| For many entrepreneurs the creation of a business | | | | have developed small business incubators. They |
| plan is the biggest hurdle in the development process | | | | attract additional state funding, as small business |
| of their fledgling enterprise. There is a mystery, almost | | | | growth and development are keys to job creation and |
| a dread in many people when discussion of a business | | | | an increased tax base. Take advantage of this |
| plan requirement is first broached. They conceptualize | | | | community asset. Students, graduate students and |
| a boring, dry, painful experience and many would like to | | | | professors are often available to direct your efforts. |
| avoid this step if at all possible. | | | | Ten years ago there were only a handful such |
| What is a Business Plan? | | | | programs. Today, over 1000 schools have some |
| A business plan is a document that qualifies, quantifies | | | | version of an entrepreneurial program. |
| and narrates a commercial opportunity. It is that simple | | | | Many states, regional and local governments offer |
| to state, more difficult to execute, but anyone can | | | | business development programs. They have retired |
| customize a business plan that gets results. The plan | | | | business people and mentors on hand to support, guide |
| must have an exciting Executive Summary. Like the | | | | and train prospective entrepreneurs and guide |
| opening scenes of a movie, or the first chapter of a | | | | business plan creation. There is no charge for utilizing |
| book, the writer must set a hook. | | | | this service, after all, your tax dollar supports these |
| Typically, active investors, angels, venture capital | | | | programs. |
| groups and investment bankers are deluged with | | | | SCORE, the Service Core of Retired Executives is a |
| business plans. Screeners typically read the document | | | | Federal Government sponsored initiative. Thousands of |
| before passing along to decision-makers within the | | | | retired, experienced business people make themselves |
| firm. However, very few move along the decision | | | | available to evaluate commercial opportunities and |
| making food chain precisely because the Executive | | | | direct the development and launch of those deemed |
| Summary lacks excitement, punch or sets a high level | | | | to have potential. They are often intimately involved in |
| of anticipation about what is inside the document. | | | | creating business plans. |
| Having written dozens of business plans for clients I | | | | The Ewing Kauffman Foundation in Kansas City, MO is |
| can attest that creating a plan that works is, well, work. | | | | devoted solely to the development of entrepreneurial |
| No two plans are alike. The plan must be customized, | | | | development. Mr. Kauffman started, nurtured and |
| well researched, structured and direct. I receive more | | | | developed Marion Labs from a tiny drug local |
| than 500 business plan submissions annually in my | | | | company into a multinational, multi-billion dollar |
| consulting firm. Less than 1% have commercial potential | | | | powerhouse. He also owned the Kansas City Royals |
| as written. Many describe products, services, retail or | | | | baseball team. His devotion to developing and |
| new business development ideas that otherwise might | | | | promoting the entrepreneurial base of the United |
| be exciting. However, the plan does not convey that | | | | States resulted in creation of the foundation that bears |
| potential. | | | | his name. |
| One of the worst things to evolve from the arrival of | | | | Seek out a consultant. Typically consultants charge a |
| the inter-net is the ability to download a business plan | | | | fee, just like lawyers, accountants or plumbers. The |
| template and write the document by filling in the blanks. | | | | advantage of an experienced consultant is that they |
| The template itself is not problematic, I use a | | | | write business plans for a living, will be strong writers, |
| self-developed template when I customize plans. The | | | | able to properly direct or perform research, narrate |
| problem is that many entrepreneurs do not have the | | | | financials and differentiate a commercial opportunity by |
| writing skills, the research in hand, know the keys that | | | | creating an exciting word picture. Always seek |
| turn on investors and thus, take shortcuts. Filling in the | | | | references and talk to several before deciding on a |
| blanks without sweating the details and doing | | | | consultant. |
| comprehensive research results in a document that will | | | | Why Do I Need a Business Plan? |
| not be read and an opportunity that will never launch. | | | | You might not. You might not need a deeply |
| Rule number one in the development of any | | | | customized business plan if you are seeking to license |
| commercial opportunity: shortcuts equal failure! | | | | or sell an invention, a patent or a prototype product. In |
| I am a self-taught business plan writer. If I can do it, | | | | this situation, the potential licensee would take your |
| anyone can. In reality, however, most people just want | | | | work product and develop a plan that fits their internal |
| to expose their opportunity to investors, licensees or | | | | organizational needs. |
| potential partners. They don't have writing skills, do not | | | | However, if you are attempting to fund a start-up |
| know the types of research necessary to support the | | | | business, self-market a product or buy a small |
| plans sales model, need help in creating the marketing | | | | business you will absolutely need to create a road |
| strategy, and will never be able to narrate financials. | | | | map. That road map is your business plan. The map is |
| Where can they go to create and exciting business | | | | not linear, there will be curves and setbacks, but by |
| plan document. | | | | quantifying, qualifying and narrating a well- researched, |
| The following are resources readily available in most | | | | customized business plan you are much closer to |
| communities. Many are free. | | | | success. |
| Many colleges, community colleges and universities | | | | |