If you’re self-employed, it’s prudent to put your business plan into words, which is the first step to putting your vision into action. There is every reason that a business owner should write a business plan and plenty of reasons why a regular employee should do the same. The most basic reason is to put into words what you are trying to create for yourself and your future. Here are a few suggestions for developing your business plan.
Describe in a sentence or two what it is that you’re trying to do and why you’re doing it. What’s in it for you and how would your clients, and the world, benefit?
Revenue goals are the most critical part of a business plan as this makes or breaks businesses. Explain what you want for income in year 1, 2, 5, and so on and then justify it. You may want to explain that you’ll increase your customer base over time, increase efficiency and capacity, etc. What’s the financial outcome of your business? Is it to ultimately retire, live overseas, or just create financial freedom? Describe your ultimate lifestyle here.
Describe the market and your approach to business development. Explain how your efforts will help you reach your growth goals and back it up with data. Marketing is critically important, especially for new businesses getting off the ground as most of your energy will likely be spent here. Methodologies for growth may include referral sources, networking or cold calling opportunities, and other strategies.
Describe what, and who, you will need to build and maintain your business. This may mean that you will need to hire a web designer, for example, or an administrative assistant. Even if you’re solo, consider listing your consultants: financial advisor, tax advisor, and so on, as we can be a huge resource to get your business off the ground and grow.
Technology and other expenses
There’s no business out there that doesn’t require the use of technology. List your initial investment in computers, phones, etc., and anything else that you’ll need and include them in the upfront cost. The results of the expense analysis may lead to strategies for obtaining a small business loan to get you going.
Buy/Sell and estate plan
At any stage of the business, you should list the names of potential partners who can take over should something happen to you. There are your clients who must be taken care of no matter what and staff who still must be paid in an event of an accident or premature death. The buy/sell strategy utilizes life insurance to pay off the owner’s share of a company and allows the other partners to sustain the business.
At Eureka Wealth Management, I help business owners strategize on building and sustaining their business. I find potential lending solutions, help project personal cash flows, set up retirement plans, 401(k)’s or defined benefit plans, as well as design insurance solutions for you and your team, including health, life, and disability insurance. Call for a free, initial consultation at (760) 537-0791 or online at eurekawealthmanagement.com.