How to Write an Online Business Plan

Posted by Anonymous , 9/4/2007 Tags:WriteOnlineBusinessPlan

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Introduction Write an online business plan as the first step of starting any business. An online

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Introduction

Write an online business plan as the first step of starting any business. An online business plan is what banks and government lenders use to determine whether to lend you money or not. Follow these steps to write the business plan you need.

Instructions

Difficulty: Moderately Easy

Steps

1

Step One

Draft an outline of goals and objectives. This is the most important section for lenders. Here, you'll introduce your business strategy and summarize your ideas.
2

Step Two

Give a brief history. Describe how your company came together or how you came up with your ideas.
3

Step Three

Explain goals in detail. Take a couple of paragraphs to discuss in detail your short-term and long-term goals. Include your target customer and how fast you expect your company to grow.
4

Step Four

Pitch your service or product. Explain why your product is marketable or why your service is unique from anything else on the market.
5

Step Five

Research the market potential of your service or product. Hire a research firm to put together a report for you or use the Internet to gauge the demand for your product or service.
6

Step Six

Develop a marketing strategy. Explain in detail how you plan on selling your project. Be specific about how you will advertise--by word of mouth, search engine optimization, television or radio spots.
7

Step Seven

Map out a 3 to 5 year financial projection. Put together some spreadsheets for your forecast period, including income statements, balance sheets and cash-flow projections. Explain to lenders how much money you need to cover your startup costs.
8

Step Eight

Create an exit strategy. Include a section that delineates when your company will bow out gracefully. It can be based on a revenues, profits or market reception or a vote by board members.

Overall Tips & Warnings

  • Finding a professional to help you with your financial projection is well worth the money.
  • You may also want to include biographies of your management team, especially if they have a particularly notable background.
  • Keep your business plan short, ideally under 50 pages.
  • Don't overestimate the significance of your idea. Focus more on showing that you have the time, money, experience and perseverance to make your business plan work.
  • Avoid vague terms and business hype. Anyone that reads your business plan will be able to recognize it as fluff.

Overall Things You'll Need

  • Financial projections
  • Market research
  • Exit plan
  • Marketing plan
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