Business Planning Steps
Business Planning Steps
Suggested steps towards developing a Business Plan include the following:
1. Primary Objectives: What is the primary objective identified by the organisation for the plan?
2. Business Plan Summary: What is the specific purpose of the business plan? Outline long-term objectives. For example, details of the event or the proposed facility to be developed, equipment to be purchased, proposed costs, funds to be raised, source of funds and project timelines.
3. Business Description: Outline a brief description of the core activities of the organisation and the relationship with the objectives of the Business Plan. For example, a tennis club’s core activities are conducting tennis competitions and offering coaching. The purpose of the Business Plan is to install all weather courts with lighting to ensure greater court time, therefore enabling the club to offer more coaching sessions and attract more members into club competitions.
4. SWOT Analysis: Identify the Strengths and Weaknesses within the organisation and identify the Opportunities and Threats within the broader market. This enables the organisation to make the most of the competitive advantages, take steps to overcome the shortcomings, exploit opportunities within the broader market and minimise the exposure to external threats.
5. Market Analysis: It is essential to indicate that there is a sound market base for the objective.
- Who are the clients?
- What is the geographic/demographic make-up?
- What influences the clients?
- What is the price sensitivity?
- What is the competitive edge?
- How are the clients accessed?
- What is the expected demand and growth?
6. Marketing Strategies: A well-developed marketing strategy is vital to the success of an organisation’s plan. Clients and potential clients must know about the service/product of the organisation and be encouraged to purchase. Marketing strategies should acknowledge and address the following:
- first class customer service
- promotional literature
- means of advertising
- pricing policy
- location and visibility of the event or facilities, and
- the competitive edge over similar organisations.
7. Business growth and development: How does the organisation anticipate increasing memberships/sales, optimising use of the organisation’s infrastructure and continually improving the product and service to ensure the organisation is continually developing and growing?