Do be realistic
While it's important to show ambition, be realistic when projecting your results.
To build a successful business, having a clear mission and specific goals is vital. The best way to do this is to write a thorough business plan setting out exactly how you're going to turn your dreams into reality.
While it's important to show ambition, be realistic when projecting your results.
It may be an old cliche, but you only get one chance to make a first impression. Make sure you triple check the accuracy of your content and ask a colleague or mentor to proof read it with a fresh pair of eyes.
Make sure all research is up to date and accurate, and that any claims can be substantiated. You need to be aware of the good, the bad and the ugly!
Your business plan is about the company you intend to run, not ones you may have run in the past. A link to a completed LinkedIn profile will tell someone all they need to know about you.
There's always competition, the key is understanding your market and convincing your customers that your product is superior.
Start with an executive summary. This should be one page long and is your elevator pitch on paper.
Our in-depth six-step guide can help you put together a robust business plan and set you up for success or expansion.
A business plan is a written description of your company, your aspirations and ambitions, and the methods by which you can achieve your goals.
Creating a business plan gives you a clearer understanding of what you need to do to reach your objectives. By producing a detailed business plan containing facts, figures, statistics and a summary of your skills, you will give potential investors all the information they need to buy in to your proposal.
Once you've decided to write a business plan, the next step is deciding what needs to be included. And remember, your plan should be flexible.
An executive summary exists to summarise your ambitions and approach in a concise way. This is not always an easy task, but it's a good way to ensure you remain focussed on both the bigger picture and your core ambitions.
Your business summary should
You should cover:
It's vital that all of these factors are assessed prior to launching or expanding a business. Research carried out by the Chartered Management Institute (CMI) has discovered that over half (54%) of all UK businesses that fail within the first three years of operation do so because of poor management.
It's good to have a solid concept, strong product and ambitious goals, but to grow a successful company, you will also need a detailed understanding of job roles, company structure and the day-to-day running of your operation.
This section of the plan is often the most detailed. Overlooking just one of the below areas could be extremely harmful when it comes to launching a company or seeking investment.
Areas to cover
All aspects of your business plan are essential in their own right, but it's important to make sure the financial elements are accurate and in order.
Some entrepreneurs make the mistake of believing that because they are determined to succeed, they will be able to fund business growth by reinvesting the business' profits. However this rarely works, suppliers need to be paid prior to the customer getting their hands on the goods, meaning you will need some kind of initial investment or loan to cover supply costs.
Consider:
No business is guaranteed to succeed. Investors understand that handing any amount of money over to a startup is a risky decision, but it's important to reassure them. Highlight that you are aware of the risks, have plans in place to avoid pitfalls, and are willing to change course or adopt different methods should you need to.
Types of business risk
You can find additional information and a range of business plan templates and examples on the www.gov.uk website.
From the start, you’ll need to think about your approach to running your business and what support you might need to make it happen.