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Why a small business plan is important for successful small business marketing by Brandt Stohr
By Brandt Stohr
Why a small business plan is important for successful small business marketing
By Brandt Stohr

When most business owners think of a small business plan, they think of a way to secure start-up capital. While it’s true that a good small business plan is a must-have for businesses looking for start-up investments and loans, a small business plan is an important document even if you’re not looking for start-up capital.

In fact, a good small business plan is a crucial precursor to a good small business plan. Why? Because the act of creating a small business plan forces you to think about your business in an objective, systematic way. It forces you, in short, to cover all your bases. And that will allow you to move forward with all of the information you need to create a dynamic, successful small business plan.

You can buy a software package designed to help you prepare a small business plan, though there are also a number of good free templates online. First and foremost, your small business plan should be well-organized. The essential components include:

I) Executive summary

II) General company description
1) Mission statement
2) Company goals and objectives
3) Business philosophy
4) Market
5) Industry
6) Company strengths and core competencies
7) Legal form of ownership

III) Products and services
1) An in-depth description of your products and/or services
2) You competitive advantages or disadvantages
3) How much your products and/or services will cost

IV) Marketing plan
1) Market research: know your industry
2) Market research: know your customers

/> 3) Market research: know your product or service
4) Market research: know your competitors
5) Find your niche
6) Develop your sales strategy

V) Operational plan
1) Production
2) Location
3) Legal environment
4) Personnel
5) Inventory
6) Suppliers
7) Credit policies

VI) Management and organization
1) Key employees
2) Professional and advisory support

VII) Startup expenses and capitalization
1) Forecast expenditures (add a 20% “contingency” item)
2) Forecast startup contributions

VIII) Financial plan
1) 12-month profit and loss projection
2) Four-year profit projection
3) Projected cash flow
4) Opening day balance sheet
5) Projected balance sheet
6) Break-even analysis

The part of your small business plan that will be most relevant in your small business is the fourth section, where you’ll create your plan. Understanding your industry, your customers, your product and/or service, and your competitors will set you up to optimize your small business strategy. And finding your niche is a precursor to developing your brand.

As you write your small business plan, avoid writing what sounds good but isn’t true. By making promises in your small business plan that you couldn’t possibly keep, you’re setting yourself up to fail. At the same time, don’t sell yourself short. Whether you’re using your small business plan to attract potential investors or as a guide for growing your business, you want to challenge yourself to reach new heights! I wish you the best of success with your small business, Brandt Stohr.
Brandt Stohr, the Small Business Marketing Genius has brought startup one man operations to billion dollar corporations by using creative marketing techniques rather then investors and capital. Brandt has been helped hundreds of entrepreneurs to get their small businesses exploding with sales without the use of expensive traditional marketing techniques. For more information and a free report on the ten deadly mistakes most small businesses are still making visit Brandt Stohr's site at www.smallbusinessmktng.com

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