Developing business plans can be a challenging experience for many business owners and managers. They are a necessity if you are planning to access funding for your next venture, and it is essential to give yourself every opportunity for success with a convincing case.
Having an organised proposal means your business is far more likely to be successful. A carefully thought out plans from the start of your journey means will help you to navigate through your business journey easily.
Table of contents
What is a Business Plan?
Why a strategic business plan is needed?
Keys to writing a successful plan
How to create a successful business plan
Business plan structure
Business Plan proposal questions – include above
Why an Accountant is Best Positioned to Help Create a Plan?
A business plan is a collection of business milestones and includes various practices to achieve these milestones. It also highlights a recommended time frame in which these milestones should be achieved. It recognises the marketing, operational, and financial considerations that the business has and the best-suited course of action the business should opt for.
Every company needs an excellent strategy as regularly updated plans with new activity means that you will be financially prepared for any eventuality. A well-developed business plan becomes immensely useful when the business faces critical decisions to make. It provides the business with clarity and insight into the business goals and increases the chances of the correct decision being taken.
It acts as a guide for those engaging in business dealings with the corporation. As for the individuals reading it, it ensures that they understand the crucial steps being taken and the reason behind them.
To write a business plan that sets your business on a path of success it is imperative to recognise the purpose behind the business plan. Three main reasons exist behind why a business plan is crucial, they are;
It should be factual and objective and a thorough search should be conducted to draft a business plan. Details about the various aspects that need consideration in the plan should be collected beforehand so that the plan does not feel incomplete. Catering to the needs of the audience while writing a business plan is very important, as the audience plays a critical role in the business’s success.
To create an articulate business plan there are a few aspects that need to be kept in mind. Firstly, the document should not overestimate the positive aspects of the business and should be realistic instead of being idealistic. While writing a business plan, you should aim for long-term growth and success of the business by focusing on the situation that exists. It should also be short, direct, and to the point.
A highly effective business plan includes six main components.
Current statistics state that 80% of start-ups fail within 24 months. A 20% success rate is very low and it all starts with how well you manage the planning of your business. It is very important to be clear before you discuss your business with professional bodies. Examples of questions to review with your accountant include:
– Current average monthly projects sales?
– What your current average monthly labour costs?
– Current average monthly fixed expenses are?
– What your current average monthly variable expenses are?
– Your average number of transactions per customer per month is?
– What your average dollar sale per transaction is?
– Your average monthly profit is?
– What your average monthly profit margin is?
– The % capacity your business is at?
– How much are you going to pay yourself, and when can you start?
– How far in the future do you want to plan ahead?
The research element and the figures are often the most challenging aspect. It can take months if you haven’t got a clear view of your market, customers, suppliers, finance and marketing. It can be challenging to try to convince professional groups that you know what you are doing like banks, investors and partners, and support with this process is essential
As experienced accountants and tax advisors, we can help to ensure that your business plans take your financial targets into consideration. Working with us on your proposal means we’ll have a deeper understanding of your targets.
We also carry out regular reviews of your business overall. This enables us to track market trends, check out your competition and ensure your processes meet every challenge from your customers to your critics.
Our expert accountants at Finance Equation have over 30 years’ experience in helping businesses from start-up to medium-sized companies. We support the data gathering process, work on the financials and ensure that your company is set up with the best chance of succeeding. Our part-time finance director service will help your with business plans and its implementation.
At Finance Equation we work with you to ensure that your business reaches the success you have envisioned. We will provide you with the optimum advice and suggestions that will improve your business plan and thus your chances of success. We will create or help analyse your document and highlight any changes that will enhance the success rate of your business.
All crucial questions will be answered, and all aspects will be considered. You should consider Finance Equation as your partner to receiving professional help for your business plan.
At Finance Equation, we have over 30 years’ experience in helping businesses from start-up to medium-sized companies. We support the data gathering process, work on the financials and ensure that your company is set up to succeed. Our part-time finance director service will help you with business plans and its implementation.
Finance Equation Ltd are multi-award-winning Chartered Certified Accountants providing cutting-edge expert services to individuals, property investors, businesses and contractors. We specialise in serving small, medium and large companies. We understand our clients’ needs and are passionate about providing the right advice and expertise to save you money.
Read more about us here.
The Finance Equation Ltd is a company registered in England & Wales. Company number 05116983.
Business address: Finance Equation Ltd, 334 Ley Street, Ilford, Essex, IG1 4AF.
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