The main reason that some people take opportunities when they arise, and others do not, is that some people are ready.
They have their business plan ready and all they need to do is take advantage of the opportunities.
Where can you find the right business plan?
If your business is based in the United States - click here
If your business is based in the U.K. - click here
Ideas To Action.
Part 59 - Logistics.
The logistics chain in any business is difficult to manage, and unless you are extremely efficient, prepared to anticipate problems and execute contingency plans, you are going to find it stressful.
Therefore it is vitally important that you keep yourself sharp and continue to hone your skills. Efficient businesses generally adopt the following practices in order to excel:
- Plan ahead: The hallmark of an efficient business lies in the planning process. When the plan is foolproof, there is minimal chance of failure or a breakdown in the chain, unless there are extenuating circumstances.
- Do not be overconfident: Even though the plan may be foolproof, business owners worth their salt know that they can never be overconfident that nothing can go wrong. They always keep in mind Murphy’s Law: if something can go wrong, it will.
- Never panic: Keeping a cool head in the face of a disaster is essential if you want to improve your business. If you panic or worse, show that you are losing control, the situation could go haywire and your entire business could end up in shambles.
- When you know how to make the best of a bad situation, you do not tend to panic and upset everyone else working with you too.
- Cultivate strong relationships along the supply chain: Good business owners know that their entire operation is only as strong as the weakest link in the supply chain. So they take great pains to forge strong and honest relationships with their suppliers and vendors so that the goodwill they earn keeps their operations moving flawlessly.
- Learn from mistakes: The best business owners know and accept that they are bound to make mistakes. They do not make excuses for them, rather, they use them as stepping stones to success, learn from their mistakes and chalk it up to experience.
Managing a Business
- Introduce your CV and a short summary about how your skills will be used in the company.
- Describe the management team and you must focus on their skills and what they will be doing in your business.
- Briefly describe the sort of person you will be looking for and how many employees your company will require.
- Explain the introductory and ongoing coaching you need to organize for your employees.
You need to incorporate the management teams resumes and a brief evaluation of any private or working relationship you have had with them; not many plans encompass these particulars and their omission will weaken your document. You should include details of any previous business success that you or any of your executive team have had. What are their backgrounds? What are their strengths? Why are these suited to your company?
You should itemize the set-up expenditure that your new venture will have. This should be a thorough list of your expenses before your new venture begins generating a positive cash-flow, that incorporates:
- Expenses for professional fees, graphic design, brochures, site rental and improvements.
- Start-up assets that includes money at the bank, initial stock, equipment, office furniture and IT systems.
- Compensation for the people that will assist you during the start-up phase together with any taxes, benefits and travelling expenses.
It is vitally important that you calculate your spending accurately:
- Do not underestimate your spending; ignore something before you start and you might fail before you even begin.
- Be mindful that starting a business and then producing income takes time; your start-up expenditure needs to deal with the whole of this period.
- You need to include your personal expenses over this period; otherwise how will your own bills be paid?
- When you are considering your continuing expenditure remember to differentiate between overheads, such as your utilities and rentals, and flexible spending such as marketing, commissions and transportation costs.
- Do not skimp on selling costs, transport and customer service as bad customer service will not lead to repeat clients.
- You should understand that people, particularly employees, will need their wages promptly; they have their own bills to pay.
- Keep in mind that smaller amounts added together will soon grow into big amounts; ensure that you have incorporated all of your expenditure, regardless of how small.
You must use your business plan to:
- Obtain the financing you will require for your business by incorporating the correct financial statements.
- Tell the story of your business to likely customers, suppliers and your staff as well as investors.
- Manage the company by making sure your business plan is kept up-to-date and pivotal to your day-to-day activities.
- Boost the equity value of your small business by concentrating on your targets.
Write out a full list of all the individuals and the likely backers that you want to read through your business plan. You should try and prioritize the listing and talk to the people you have put at the top to begin with but, prior to doing that, you need to walk through the way that you will present your business plan, and therefore your business, and painstakingly prepare for a lot of troublesome questions and plenty of negativity.
Keep in mind that a few people will not be dazzled with what your business is doing, and a fair amount will not be concerned, whatever you do! Show appreciation for their time and ask them if they know an investor who may be interested in your business plan - you may be surprised at how helpful they swiftly become.
Above all your business plan gives you something that is substantial to gauge your organizations development against.
Ideas To Action - next
A Great Business did not just happen - It was planned that way.