The entrepreneurial spirit is alive and well in America. From making products to providing essential services, small-business owners are the backbone of the economy.
If you dream of being your own boss, it’s time to take the first steps to bring your great ideas to life. The fundamental step from moving a thought into a concrete effort is to create a business plan. This helps you solidify your idea and give you direction.
What are the main components of a business plan? A simple one-page plan will succinctly list the business concept at the top. You can’t just say you want to start a dating service. Is it computer-based, in-person, speed dating? You need to be specific within a few sentences.
Then describe the market need. If no one needs or wants your product or service, it will be difficult to convince anyone to buy. List everything you can about the market: whom you would target, how you would market to them, how you would price your product or service, and so on — including more about your competition.
It’s important to describe your product or service and how you see it as being different from your competitors’. You don’t need to write much, but you should be able to make a few points. Finally, finish your plan with insight on potential profit, including investment costs.
It sounds simple, but it can be more complex than you think. If you need help, GetFive has a fantastic exercise called The One-Hour Business Plan. This process helps you create a solid plan with essential information in about 60 minutes. It will provide key insights that will help you determine if your idea has legs so you can feel confident taking next steps.
Keep in mind, this is an essential activity, but just the first of many. The average person spends two years researching the market and further developing his idea before he is ready to hang the “open for business” sign. For expert guidance to minimize risk and lead you toward success, consider working with a career coach.
