- Raad Ahmed, Law Trades A detailed business plan can run on and contain a bunch of irrelevant information if it's not structured right from the beginning.
As in anything in life, I encourage people to start at the high level, then expand from there.
To help get you going, we asked 13 entrepreneurs from YEC to weigh in on the most effective processes to use to craft a solid business plan and why these methods work.
Here's what they said: Although it sounds harsh, I'd advise newer entrepreneurs to sell at least one unit of their product or service before making a business plan, preferably more.
You should put together a decent one-pager first, as this will be important for initial partnership and investment pitches anyway. - Andy Karuza, Fen Sens Uber-focus on building a perfect business plan can doom a business before it's even off the ground.
Yes, it is critical that you plan, research and have a clear vision, but don't get bogged down. A great free and in-person resource is the SBA, which often partners with SCORE, retired execs helping entrepreneurs succeed.It's too easy to sit in front of a computer and tweak your website or business plan while trying to make it perfect.The only way to know if it's good is to speak with real or potential customers. - Brian Samson, True North When I'm brainstorming business ideas, the first thing I do is draw out a mind map.- Matthew Capala, Alphametic Once I start to consider a new business idea, I work to estimate the size of the opportunity.I start with a simple financial model that allows me to see the base case, an optimistic high case, and a pessimistic low case. " Does this only work if we hit the high case (which would lead me to kill the idea due to the unbalanced risk-reward ratio)?Having an actionable business plan as an entrepreneur is one of the best ways to secure investors and give some direction to your new organization.However, developing a thorough business plan that makes sense for your company can be a significant challenge — especially if you have never been through the process before.From there, I whittle down my mind map until I have a handful of concepts to form into a business plan.- Bryce Welker, Crush The PM Exam Live Plan is great for building a business plan because it's simple to use and comprehensive.- Jonathan Gass, Nomad Financial You must find the essential core of your idea and tell that story.What makes you special, what makes this idea work, and what your unique insights are.