start up a business

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start up a business

Сообщение khadamat » 29 фев 2020, 19:00

1. Startups
The most classic scenario of business planning is startup, as the plan helps its founders divide uncertainty into meaningful parts, such as sales forecasts, budget expenditures, milestones, and tasks.
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The need becomes apparent once you realize that you do not know how much money you need, and when you need it, without specifying the expected sales, costs, expenses, and timing of the payments. This applies to all startups, whether or not they need to persuade investors, banks, friends and family to give up their money and finance the new project.
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In this case, the business plan focuses on explaining what the new company will do, how it will achieve its goals, and most importantly, why the founders are the right people to do the job. The startup business plan also details how much money is needed to get the business out of the ground, and through the initial stages of growth that (hopefully!) Will lead to profitability.
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2. Existing companies
Not all business plans are for startups launching the next big thing. Existing companies use business plans to manage and direct business strategically, not just to tackle changes in their markets and take advantage of new opportunities. They use a plan to reinforce strategy, set metrics, manage responsibilities and goals, track results, and manage and plan resources including critical cash flow. Of course, they use a plan to set up a schedule for regular review and review.

Business plans can be a major driver of growth for existing companies. Did you know that companies writing and using plans to run their businesses are growing at 30 per cent faster than companies that take the "pants seat" approach? A study by Professor Andrew Burke, founding director of the Betany Center for Entrepreneurship and Economics at Cranfield School of Management, found out exactly that.

For existing businesses, a robust business planning process can be a competitive advantage leading to faster growth and greater innovation. Instead of a fixed document, business plans in existing companies become dynamic tools that are used to track growth and identify potential problems before they hinder business.

Choose the right type of business plan for your business
Given that business plans serve many different purposes, it is not surprising that they come in different forms.

Before you start writing your business plan, you need to think about who the audience is and what your plan's goals are. Although there are common components present in almost every business plan, such as sales forecast and marketing strategy, the business plan formats can be quite different depending on the audience and type of business.

For example, if you are creating a plan for a biotechnology company, your plan will go over the details of government approval processes. If you are writing a plan for a restaurant, details about the location and renovations may be crucial factors. And the language you use in the biotechnology company business plan will be much more technical than the language you use in the restaurant plan.

The plans can also vary greatly in length, detail and presentation. Plans that never leave the office and are used exclusively for internal strategic planning and management may use informal language and may not contain much visual polishing.

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