Well-crafted business plan! A key to success for startups!!

"A good plan is a success half-done whereas a bad plan is a possible failure in progress."

• Companies with business plans experiences  higher growth rates
• A formal business plan increases your chances of success by 16%.
• Business plan provides you a better chance of raising capital for your startup company

Does a business strategy make startup success assured? Not at all. But great planning often makes the difference between success and failure. Anyone can have a great idea. But turning an idea into a viable business is a different ballgame.

For a startup company the business plan is the blueprint for its formation, its operation, and its success. A business plan reveals the company's strengths and weaknesses. It uncovers ways to capitalize on the strengths and minimize the weaknesses, reveals every fact of the business that can be developed, and points to the best method for that development.

Why it is important

Many business plans are fantasies. That's because many aspiring entrepreneurs see a business plan as simply a tool--filled with strategies and projections and hyperbole--that will convince lenders or investors the business makes sense.

That's a huge mistake.

First and foremost, your business plan should convince you that your idea makes sense, because your time, your money, and your effort are on the line.

So a solid business plan should flesh out strategic plans, develop marketing and sales plans, create the foundation for smooth operations, &convince a lender or investor to jump on board.

With the well-prepared business plan you will enter the business world prepared, ready to run your business and ready to compete. It will improve your chances of success, and diminish your risks of failure.

 According to Harvard Business Review “the real key to succeeding in business is being flexible and responsive to opportunities.

A typical business plan must consist of the following elements:

Executive summary:- A snapshot of the company's purpose and goals. It includes a description of products and services.

Company description:- Description of what you do, what makes your business unique.

Market analysis:- Research on your industry, purchasing habits, buying cycles, market and competitors.

Competitive Advantage:- It describes a detailed analysis of both your current competition and potential competitors.

Organization and management:- Your business and management structure, it describes skills, experiences, of management team.

Product & services:- The products or services you’re offering.

Marketing and sales- How you’ll market your business and your sales strategy like advertising, public relations, promotional literature, etc.

Funding request:- It is a projection about how much the money you’ll need for the next 3 to 5 years.

Financial Analysis:- Financial projections and estimates. It includes supply information like balance sheets, cash flow statements, etc.

Appendix:- it includes résumés and permits.

Whom it can convince?

Firstly, your business plan should convince you that the idea you have for a business is not just a dream but it can be a viable reality.

1. Potential sources of financing 

If you need seed money for startup and operating capital to get off the ground from a bank or friends and relatives, your business plan can help you make a great case.  Lending naturally involves risk and a great business plan can assist lenders to understand the quantity of risk, eventually increasing your chances for approval.

2.  To attract potential partners and investors.

In case of other investors--including angel investors or venture capitalists--generally require a business plan in order to evaluate your business& convince them for investment.

3. Skilled employees. 

When you need to attract talent, you need something to show prospective employees since you're still in the startup phase, so your business plan can help prospective employees understand your goals--and, more important, their place in helping you achieve those goals.

4. Potential joint ventures. 

As a new company, you will likely be an unknown quantity in your market. A joint venture with an established company could have a significant effect in getting your business off the ground.

Summary

Launching a startup company is exciting. It’s easy to get so caught up in the moment that you rush into things. If you want to achieve success, you need to take a step back and plan things out.

Going through the process of writing a formal business plan will increase your chances of securing an investment and also improve your potential growth rate.An accurate,well-organized,&easy-to-read, business plan conveys professionalism and credibility.

Never forget that the goal of your business plan is to convince you that your idea makes sense. Because ultimately, it's your time, your money, and your effort on the line.

About Prakash Bhosale:- 

Prof. Prakash Bhosale is the entrepreneurship consultant for startups. He is a serial IT, Media entrepreneur  & leading business consultant He has Over 15 years of experience in education, corporate, IT, e-Marketing, Consulting domain. He is a columnist on business & entrepreneurship with newspaper, magazines, portals, published over  1100 articles. He is the writer of the 4 books on business, entrepreneurship, business ideas. He also guides   PhD fellows, business plans, DPR preparation.

Phone: 08355979232, 09867806399

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How do I prepare myself to become a successful startup CEO?

"There are no secrets to success. It is the combined result of preparation, hard work, and learning from failure"- Colin Powell.

·        Develop your communication skills
·        Be A Great Communicator
·        Be able to think on your feet

Leadership is all about development. Running a startup is one of the most difficult tasks anyone can attempt professionally. If you are the exact same person today, as you were when you founded your startup, you might be in trouble.  Figuring out how to be a successful CEO is the key for entrepreneurs.

Founders often struggle to make the transformation from founder to CEO. Some are with all vision but no administration, while others do not have the correct communication skills or don't know how to let go of the reins. It's a sensitive exercise in careful control, and for many, the difficulties of running an organization are sometimes too much even for individuals who constructed successful organizations from nothing.

In today’s twenty-first-century business world, you have to be constantly on your feet trying to think of new ways to outdo your contemporaries. There are numerous startup companies evolving each and every day and it is the responsibility of the CEO to make sure that everything runs in a smooth and efficient manner.

Here some of the tips that can help you to become a successful startup CEO

3 most basic traits for a successful CEO

Manage money

Convincing people to invest capital in your startup conveys a very strong message to the market. Understanding who, when and how to raise capital is extremely important. Running out of money is likely to be the most problematic situation in a startup. Markets can change, so focus on earnings before interest, tax, depreciation, and amortization (EBITDA) when and where you can. There are exceptions to that rule, of course. In any case, the sooner you can pursue profitability, the sooner you’ll be on much better-arranging terms with any funding source.

Manage time (Identify what matters most)

Many things will compete for your attention in a single day, but you have to decide which thing is most worthy of your time before deciding how to spend it. Think about what is most important in your life and assign enough time for things that matter.

Once you identify your top priorities, other minor pursuits will fade in importance. Some activities will need to be excluded from your schedule, you should learn to say no when needs.

Manage People.

This is one of the best things you can do, manage anyone you can, even if it's not perfect. The Majority of the job of a CEO is recruiting a team, leading a team, empowering a team, convincing a team.  This team will include investors, the public, press, etc. your company is the combined vision of many people, you can only define success in terms of what's best for the company, not for you. So you learn to manage people whenever possible.

Other lists of things which are important

Hiring the right people

As a CEO the key is to try to hire every individual on the team should be better than you, if possible.  This isn't a threat.  It's an approach to make your value worth 100x more.  Don't just hire your friends, and don't hire people that make you look good.  Hire individuals fiercely better than you that look act and feel different.

Set high goals

The biggest enemy of the progress is a comfort, so Start big and set big bold goals for yourself and your team, Stretch staff beyond their limits. Initially they may complain about it, but in the end, they will thank you for it. Try to build your client base by four to five per cent every week and supervise these objectives by having an active management role.

Be patient.

Success certainly won't happen overnight, and it won't happen for a couple of years. As a startup founder, it's basic to know the difference between a great idea and a great company. So decide now that you're all in, and don't give up when the going gets tough.

Try to Care More About People.

 This is one of the top mistakes first-time CEOsOften make. They forget to care about the people, their team.  They just assume everyone should be as committed just like they are.  But everyone else can't be.  You aren't going to double your EQ overnight.  But attempt a couple of things.  Say "Thank You" whenever possible.  Give increments more often.  Give spot rewards more often.

Summary

Running a business isn't for everyone, No one is perfect. Unlike any other job, the startup CEO has to come up with versatility of skills, high-risk tolerance, and incredible work ethic. Founders shouldn't get discouraged by a few mistakes along the way. You have to learn how to do a lot of things beyond your core strengths and interests. You should probably deal with a cap table, assess potential markets, and track your finances.

The key is finding the teachable moments that show you the lessons you need to learn to become better and avoid making the same mistakes.

Address: Unit No.450, Mastermind One - IT Park, Royal Palms, Aarey Colony, Goregaon(E), Mumbai, Maharashtra 400065

Phone: 08355979232, 09867806399

About Prakash Bhosale:- 

Prof. Prakash Bhosale is the entrepreneurship consultant for startups. He is a serial IT, Media entrepreneur  & leading business consultant He has Over 15 years of experience in education, corporate, IT, e-Marketing, Consulting domain. He is a columnist on business & entrepreneurship with newspaper, magazines, portals, published over  1100 articles. He is the writer of the 4 books on business, entrepreneurship, business ideas. He also guides   PhD fellows, business plans, DPR preparation.

Follow us on Facebook  (Click Here )

Whatsapp Me:- 8355979232