A different business plan
I will not go with what is different from the traditional business plan, because few are those who might say what is traditional. Business plans are somewhat like people – everyone is different and special in itself .
Looking at formal things, most people are boring.
The business-plan is also pretty boring read. So let’s break and make interesting. Let’s get the man to whom it was intended, to think on it, to provoke him to study it and to awaken his interest.
In any case should not be long.
Leave a vast length of thighs for the length of female legs or the length of breaks and holidays.
The business plan must be clear and concise. It must be concise as a “little vodka”. Be read easily and quickly. Be easily understood and “digestible”.
Details will be cleared at a later stage with a detailed action plan. Now often called such detailed plans ” ekshanplanove ” but these action plans do not have the required attributes for such a plan – time charge , contractor resources.
They resemble more of a “vision” of what needs to happen.
But now the word comes to business plans.
People who make a business plans, are most often the people who actually work. They would rather plan is divided into four simple sections:
With the next statement risk to offend some investors, but it will affect only those who have reason to be affected. Let us consider in depth on it.
And it is that many of them see in all the money and very rarely the work of the people and the people themselves. And the time you reach money only rated as an obstacle.
In order to have balance and be happy all will divide the “Resources” of three separate parts: “People”, “Time” and “Money”. A structure consist following six sections:
Let me jot down what different components might contain.
The section “Status” describes things as they are. Wherever possible, the most simple. This describes the target market, the emergent need for product idea and adopted laws already adopted standards, rules and procedures, competition, achievements and failures of other people with similar ideas before, if there was any at all, or to highlight the uniqueness of the idea, if them there are none.
For countries like ours, it is important to describe the legal status and stability in this area so far. Depth , with the maximum amount of information, but at the same time as specific as possible, without the so-called “Ballast”.
The purpose of this section is to convince investors that the situation and the status of the project at the moment are well known for presenting the plan. That it works “in its waters”.
“Status” is with the volume as much as is necessary. Often, there is more extensive. It is therefore recommended at the beginning of the section to list the most important things. Then do not interfere if they are detailed – it is likely to deepen the investor at them only after reading the last section – the money. To be easily “digestible” status is good to include diagrams, spreadsheets, analysis and everything you need to make it easier for the investor maximum unerring perception of the business environment in which the project is being undertaken.
The section “Idea” contains certain these proposals and how they will change the status described in the previous section. One may already be open. Others to appear, if he provide the appropriate circumstances. Third to be acted actively in the middle – of course is the cost of certain resources. Fourth would be presented to the market and the market will respond to with the fifth.
This section is the real potential energy of the business plan. Dynamics and development. The only reason to start a project is economic benefit achieved by changes or implement something. The investor needs to know exactly what will happen and how to assess the risks to your money – it is an extremely sensitive topic.
This section can not be accurate. It contains statements that may not happen. Others even difficult to predict, especially if dependent on decisions of our government.
The section “Alternatives” comes out of place in that order. It defines what should be done if the expected happened. Or if there’s something completely unexpected. This is the so-called “Plan B”. If the idea fails, it’s the end of it? If the market resist the idea, how can we influence it?
So far so good (say a fall from a skyscraper flyby 25th floor).
No manager would want to drive something without having clarity about the powers and resources which may be available to achieve the ultimate goal. This clarity is essential for the team flexibility and shortens the time required, and thus the cost to the investor, although many investors are limited to the money they will earn.
The investor will not say these things alone. They need to be inspired and he offered so then he handled in his own name .
The section “People” clearly highlights the key element to any human activity – human resources. Available as team functions specific people or best both (if you are ready for this). Projected dynamics of the team – who (as a function or person) will start, who will join in the development of the project and when exactly. Defines the necessary and/or existing relationships, abilities, qualifications and experience.
The section “Time” is closely related to the “People” and “Money”. The desire to be distinguished as a separate mass comes from its neglect. Real time evaluation can save money and provide better interaction with all counterparties. On the other hand, in order to shorten the time required for the optimal quantity and capabilities of people (the maximum number of people or with identical abilities are not good decisions).
The section “Money” is intended only for the money. How much money you need, how much and how they will be used, how it will move cash flows. Defines the basic rules on accounting (accounting policies) on the profit and loss account, balance sheet, margins and exit strategies in case of failure. Contains budgets. They are objective, not dogma – may be exceeded or unused. Make a preliminary risk assessment (qualitative full risk assessment is necessary to hire professionals).
Not every investor will love this format, especially if you keep the traditional business plans (in such format can be recorded and duties of the investor, and who likes additional obligations?).
However, if an investor is thinking, surely this plan will help both him and the manager and the project team – subject to the plan, to think over difficult issues more clearly, specifically and thoroughly.
And let me again emphasize the brevity of the plan – to achieve its goal, the business plan in this format should be shortest – to help investor easily and clearly understand the benefits for themselves and for the company.