Most businesses, large or small, online or offline, need an injection of money at some point.
With the present recession banks are becoming stricter and more selective in their lending of money. A good business plan could be difference between you getting the money you need or of them lending to someone else.
1) Think about your future business: You need to start gathering data, evaluating your idea, assessing the market, studying the competition for your product or service. If you have taken several weeks to research your business concept, and then reflected on what you have learned, you will be well placed to evaluate the probability of your business being successful.
2) Do not try to do everything on your own: Ask others about your idea. This may be your family and friends, a paid consultant, or other small business owners. If you are an affiliate do not forget to seek the advice of other affiliates. Many affiliate programs have member forums that you can join.
By discussing your idea with others often highlights the good and not so good points in your idea.
3) Make your plan personal: You can buy templates, software packages etc to help you write your business plan basics. However, you need to personalize it, to show what you are going to do, what your expectations are etc. Your business plan should be clear, concise and brief. No bank manager wants to read through 100’s of pages of unstructured drivel.
4) Use facts and evidence: If you have diligently followed ‘step 1’ and presented your research, a potential backer should be more likely to help with the money you need. If you have found any potential problems with your idea, tell your backer. Honesty IS the best policy. You never know, they may have a simple strategy to resolve the problem.
5) Action: You need to structure your business plan in a logical order, detailing what you are going to do. It should be easy to present and to read.
6) Do not ask potential investors to sign a NDA: They will not sign a none disclosure agreement anyway. Remember your business plan is not set in stone. As you and your business grow and change so will your business plan. Your backers will be only too happy to give you advice and guidance to help you with the development and progression of your business.
