A Business Development Plan is necessary to get financing for developing and expanding your business. It also acts as a blueprint for your development plans, making it easy for you to track your progress and make the right decisions.
Ascertain company performance till date
The first thing to do is to determine the exact status of your company as well as the ways in which it has grown or devolved in the past years. Start by gathering all pertinent financial records and calculate your business’ gross income for every month for at least the past two years.
If you company has yet to complete two years, determine the monthly gross income for each month since its establishment. Owners of just-established businesses can make use of local industry averages as a baseline for calculating potential monthly gross income.
Next, calculate the total monthly expenses for each of the months. Again, use local industry data to estimate expenses for a new company. The difference between each month’s set of gross income and total expenses will give you your net income. Use the figures to calculate quarterly and annual net incomes for the given years.
Organize the data into specific categories such as income from specific products or regions, payroll expenditure, rents and utility expenses, insurance, and so on. This makes it easy to identify the areas that need improvement or development.
Decide on your goals
Once your records have been analyzed and categorized, it becomes easy to identify the most important development goals for your business. One of the simplest ways of setting a goal is to decide how much gross income you want to achieve in each quarter of the coming year.
Determine the potential expenses for the same period and consider whether there is any way by which you can reduce those amounts. At the same time, brainstorm new strategies for attracting new contracts and clients.
Consider new advertising campaigns or modifying and adapting the existing one. Go through any client suggestions you may have received in the past year and see how you can implement and achieve them. Consider setting up a second storefront or starting an online store for popular products. What about replacing or adding sales staff? Or maybe add more products to your inventory or replace poor-selling ones with fresh products.
Calculate how much time and money it will take to achieve each of your development goals. Make a project timeline with starting points and deadlines for each goal. Calculate whether you will need extra financing for these projects. Determine how to go about getting the same.
Write the business development plan
Once you have clarified the details, it becomes easy to write down your business development plan. Divide the report into sections, with each section covering a single stage or development goal. Include the project time, potential expenses, and the resources needed as well as which employees will be handling the project, and who will be in charge.
Last but not the least, write a suitable conclusion for your business development plan. Your conclusion should be able to effectively sum up the entire report as well as persuade readers of the effectiveness of your ideas.
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