The
Benefits of Creating A Business Plan
By Liz Folger, Work-at-Home Mom Expert
When I started my first business I didn't have a solid, well thought-out
business plan. I threw together a rough one that I used to apply
for a bank loan (which I didn't get, by the way). If you take the
time to research and put together a small business plan, you will
have a much clearer and focused idea of what you can expect from
your business.
A good business plan will help you figure out approximately what
your business will cost to get off the ground. You don't want to
guess at this. Knowing your costs will help you decide what you're
going to charge.
The
bottom line - most businesses fail because they don't have a clearly
spelled-out business plan. Don't make that mistake.
For
those of you who have been in business for awhile, don't think a
business plan can't help you. Because you'll be wrong. Your business
plan should be taken out on a regular basis, reread and updated.
Below
I have given you a list of questions you should ask yourself when
starting your home business. For a complete list of questions, check
out my book, "The Stay-at-Home Mom's Guide To Making Money",
available at http://www.bizymoms.com
or at your favorite bookstore.
1.
What is your business exactly? Explain in one or two sentences.
(If you can't describe your business in a couple of sentences, rethink
your business and focus your idea).
2.
Is your particular business needed? List the reasons that make you
thinks so.
3.
Where do you see your business in one year? In three years? In five
years? (Be specific.)
4.
How will you fund your business? Savings, credit cards, loans?
5.
What equipment/office supplies/licenses will you need to get your
business started? Total Cost?
6.
What organizations and trade publications will you need? Total Cost?
7.
Who is your target customer? Describe them.
8.
What other businesses will you be competing with?
9.
What makes your business different from your competitor's business?
(Include price, quality, unique services, etc.)
10.
Where will you set up your home office? Is it going to cost me money
to make a nice workable office? Cost?
11.
Will you use daycare everyday or once a week? Cost?
12.
How much money do you need to make each month to help my family
survive?
Once
again, this is just a partial list, but there are enough questions
here to give you a good idea of what you'll be facing with a new
business and the costs involved.
A business
plan is essential to any successful home business. As one great
quote says, Those who fail to plan, plan to fail. - Author Unknown
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Liz
Folger is Work-at-Home Mom Expert and author of, "The Stay-at-Home
Mom's Guide To making Money". Her book is available at your
favorite bookstore or by calling, 800-632-8676. Liz has also created
a resource site for work-at-home moms at: http://www.bizymoms.com.
When you visit don't forget to sign-up for the free e-newsletter
just for moms who work from home. If you have a question that you'd
like covered in a column, e-mail her at: Bizymommy@aol.com.
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