3 Primary Steps in Making a Business Plan
Business plan, this term must be really familiar to all of us. Undeniably, it is one of the most important points so that a business can establish and run well. However, there is no guarantee that the business you make must be successful. All you need to do is doing the best in the planning stage and then trying to realize it properly and correctly.
You must know well that a business, no matter what it is, cannot be separated from any risk. But the risk should completely stop it without planning solutions. This is another key point about how important the business plan is.
Starting with Research
You may have prepared a great idea in the business plan that looks promising and nobody may have expected it before. But that great idea is still fragile without being supported by strong research. The research is mainly functioned to measure the idea of whether it is worthy or not to continue. Even when it has been proven to be worthy, a businessman must also think about how to apply it well on the field.
The research itself can be differentiated into some types. Despite the general research about the business’ worthiness mentioned above, there is also market research. There are possibilities that your idea doesn’t meet the market’s demand for sure. So, you must make movement after knowing that changing the idea of putting attempts to make the idea is more acceptable in the market.
Determining Purposes
Targets are essential things to emphasize in the business plan. They are also measurement tools for the success of your business. So, determining targets as purposes helps you in running business strategies systematically and still on the right path. To ease you in determining purposes, you can divide it into 3 different types. What are they?
- Long-Term Purposes
Long term purposes are big purposes that embody the vision and mission of the company entirely. So, it is expected that the purposes generally can be achieved around 10 years later after the business is started. Of course, it is quite difficult to plan it all at once. That’s why; there are also medium-term and short-term purposes that construct long-term purposes.
- Medium-Term Purposes
Medium-term purposes are purposes that must be achieved in around 4-7 years. Many companies tend to use 5 years as the duration to achieve them. What to include in medium-term purposes vary based on the main goal or long-term purposes of your company.
- Short-Term Purposes
Short-term purposes are to achieve only in around 1-2 years. Since the time duration is really short, the targets commonly tend to be easy. Sure, although it is considered easy, you must work hard for this. Once the short-term purpose cannot be reached well, it destroys other longer-term purposes.
Creating Planning Categories
Lastly, for the best business plan, you must create some categories. This step is also known as establishing strategic plans that include the SWOT analysis. For you who don’t know it yet, SWOT refers to Strengths, Weaknesses, Opportunities, and Threats.
