Bankable Business plan is the foundation and soul of every business. It is the bedrock on which quality is built on. Without a bankable business plan an enterprise has no future as well as an exit point.
A bankable business plan help individuals and business managers understand the peculiarity of their business finance.
With a business plan it is easy for a business to look into the future and forecast what they are expecting over a period of one year or more.
Also, a business determines and defines his market and focus on them with the help of a bankable business plan.
Most business forget that everyone is not their customer so they market to everyone and thereafter waste too much cash along the line.
With a bankable business plan in sight you will be able to streamline your customer even before you start up which will help you safe cost and thereby boost your profit margin at long run.
A bankable business plan has many things within it which I cannot fully break down in this article but the little I can give in this article should give you a clear picture of what is obtainable. Below are things a bankable business plan should have:
Executive summary: the first page every investor check when they pick up any business plan is the executive summary because this contain a summary of your business: your business name, the type of business you offer, your products and services, who your customer segment are, the details of the business owner, number of staffs, the amount your business requires and sources of capital.
Introduction: this is the page you come in contact with immediately after your executive summary. In this page you are expected to introduce your business to whomever pick up the business plan.
The introduction should tell the reader who you are, what your business goals are, what you have accomplished thus far if your business is an existing one and when your other set goals will be accomplished.
Also you need to make clear where your start up fund comes from whether it is a personal savings or supports from family members.
You need to clearly state the amount you want to take from the bank and what you intend using it for.
Your introduction should be clear and digestible by anyone that picks up your business plan even if it’s for your personal use, because this could be used to monitor your business growth over time.
SWOT Analysis: SWOT simply mean Strength, weakness, Opportunities and Threats. This portion is subdivided into two portions which includes the following: the Company and the Environment.
The company entails your company’s strength and her weakness. The second which is the environment entails: the opportunities your company have and her threats.
Strength: Your strength has to do with what your organization can do without having much trouble. What you can do better than your competition. Your strength put you at an advantage over your competition.
Weakness: Your weakness is what might serve as impediments to your business now as well as the future.
Your business’s weakness might be lack of financial capacity, poor human capacity and resource management, company workflow, organization culture as well as the company’s reputation among many other things.
Opportunities: this has to do with environmental elements that the business can exploit for its growth. This can be physical location, human resources, closeness to source of raw materials and more.
These are few of the several opportunities that a business can exploit to move her enterprise ahead.
Threats: these are physical elements that could impede the growth, success and wreak havoc on the development of the organization either in the short term or in the long term.
The essence of this analysis is to enable you see these threats and find a way to prevent them from ruining your business.
Product: in writing your bankable business plan you also need to analysis your product and these includes: the description of the product and service, the needs and problems it solved and similar products and service available in the market place.
In the analysis of your product, you need to identify the advantages and disadvantages of your service or products as compared to that of your competition and probably a substitute product.
Customer: you will need to describe your business’s present customers that’s if you are an existing business while you will need to define who your potential customers are especially if you are just a brewing business.
To achieve this you will need to identify your customers as well as your target customers.
Competition: your competition can either be a threat or a standard to measure your business progress from time to time. Once there is a healthy competition it will help your business to grow.
In order to analysis your competition you need to know who your major competitors are, their strength and weakness.
Pricing: this is the price at which you wish to sell your products or render your service. You need to first determine the factors that encouragements the cost of your finished goods and service because this will determine the sales price.
To determine your price you need to know your fixed cost per unit as well as the variable cost per unit of the product.
Fixed cost per unit plus variable cost per unit will give you the total cost per unit of each of your product as well as your services.
Once the total cost per unit is determined then you determine your desired margin. Your total cost per unit plus your desired margin will give you the sales price of your products.
Other things you need to consider while putting together a marketable business plan is the market available for your products service.
Secondly, you need to identify the elements of commercialization process and design a strategy to market the product and service in order to reach your desired audiences.
In doing all these you must also put into consideration the kind of message you want to pass across.
Another thing you must consider is the sales forecast. This will help you assess the company present situation and it will help the company identify parameters critical in the development of a solid sales plan, cost plan, financial forecast and cash flow.
NOTE: I appreciate your patience in reading through this long article. The best way you can pay me for this little knowledge is to SHARE it on your Social Media so that other people will have same opportunity to learn one or two things as well.
If you need the service of a Professional Bankable Business Plan writer ensure you give me a call. I will be most delightful to serve you and offer you the best service.
Twitter & Instagram; @leopridas