How to create a business plan?
Welcome to Matilda’s official website, we are a company formed by passionate people that love design and fashion; we are recognized for being a store that have tops for sale in california with amazing quality and price.
We are a wholesale and retail store in the United States and Latin America; and in this post we want to share some of the main aspects to create a successful business plan. Any business in operation should have a business plan; this is because a business plan works like a map where people can know what they want, where they are going, what the structure of the organization is, how they are going to operate and most importantly to stablish a budget for opening, operating, advertising, contemplating all the costs and expenses that could have the companies.
The objective of creating a business plan is to have a clear and objective idea of what the company is, how it is and how much it costs to maintain it; avoiding the tragic outcomes of many companies that did not contemplate their costs and are in need of closing their doors in a few months of starting to operate.
The business plan is characterized by being like a letter of presentation of each business. It establishes the mission, vision, objectives and goals. If you are looking for investors for your business, you need to have this plan to attract them and demonstrate that your business has clear objectives and will be successful. Suppose that you want to offer tops for sale in california. The plan must contemplate various aspects such as customer segment, value proposition, channels, customer, revenue, key resources, core activities and costs.
The first thing your business plan has to have is an executive summary. This section should contain information on the market, what is the benefit of your products, in this case is which tops for sale in california will you bring to your customers, highlight what has been your experience in fashion, what is the current state of your business (if already has been operating for some years or it’s a new one). In this section you must emphasize important aspects about the budget. For example, if you are going to use the money in creating a website, store decoration, inventory, etc.
Description of the industry and business. In this section the objective is to describe the industry and the business. Here you can find out what sales have been in the textile industry in the last year, what companies is the competition for you, what are the trends in the industry and how it affects your company. Marketing strategies. This aspect is one of the most relevant because here you must define what your strategy will be in the market; define your niche market, how the marketing will be used, where they will be promoted and what will be their advantages compared to existing businesses.
An example of this section for Matilda by True Love would be that we promote ourselves in social networks, sharing suggested outfits highlighting our tops for sale in california; we sell wholesale and retail and we promote B2B pages to gain access to more buyers. We emphasize that we design and produce our garments that are innovative and eye-catching with the aim of empowering women to fulfill their dreams, feeling beautiful inside and out.
Analyze the competition. This aspect is essential to be able to survive in this industry with so much competition. We suggest that you do a SWOT analysis of strengths, weaknesses, opportunities and threats. So you can internally determine what you need to improve, in which areas you can improve internally and on the outside (it is not up to you) to place here the possible threats or opportunities that you may have in the market. For example, a threat would be that in the mall where your store is, a big store of fast fashion will open and an opportunity could be that this same store does not sell tops for young women that are flashy and with good quality.
Design and development of your business. Provide investors with a description of your products. In the case of a store for: tops for sale in california. You could specify what type of tops they are, whether they sell off-shoulder, small or XL sizes, striped, and what style they are and for what target customers; as well as the price, materials and special features that your products have.
In addition, you must analyze the design of your physical business or virtual store where you offer your products. What is the personality that your store will you have, how will be the design and what will be the distribution of your products. In the virtual store, what will be the sections and how the customer’s buying process will be? At this point you must specify in detail how the process will be from the time the customer enters the page until the product is delivered to their home or business, what are the payment and shipping methods, also why do you chose those methods.
In the operations section you need to specify how your business will work daily. How many employees will you need for each area, what will be your responsibilities and activities in the business, as well as the main daily expenses of the Company. This aspect is very relevant because this is where we distribute activities between employees and areas so that people do not get confused in their roles, making the most of the company resources and reducing costs because everyone knows what to do.
The financial structure (usually the most forgotten) is undoubtedly the most important aspect of your business plan. The goal of every business is to make money. So, to make sure that these happen is why we must carry out a financial analysis contemplating all the expenses that we are going to have to make sure that we will not face losses of money. If you are looking for investors, this will be most relevant aspect of your business plan; they will analyze the numbers and then if they think it is good business they will accept to know all about your business. In this section you must place a balance sheet, cash flow, expenses, as well as a five year projection and also specify the areas where you are going to invest the money.
When you begin to make your financial structure try to be as realistic as possible, it is of no use if you place growth rates that are not credible. If you already have a business, it will be easier since you will know exactly the expenses that you have every month. In this section you should focus even in a single pen that you bought, if you do not contemplate the small expenses can cause you great problems because they become small but constant expenses and they can add large amounts of money. The most important aspect in this structure is to know the basics of finances that are:
– Balance sheet: This report shows the total assets, liabilities and capital at a specific date in time. In English this means what a company has, what it owes and how much people owe to you. With this document you can see the financial health of a business. For example, it’s no good selling a lot if your customer does not pay you on time.
– Income statement: This is a report that shows the income and expenses over a period of time; indicating what has been the profit or loss of the company. This information is used to make decisions to see where you can generate more money or where to save costs.
– Financial reasons: These are indicators that help us to understand the liquidity, efficiency and operation, debts and profitability of a business. These indicators are essential to any business. Knowing them can help you to identify what you can be improved to increase your profits and profitability.
Remember that a business plan is not static, if something is not working to achieve your goals you can and should change it. The worst thing we can do is to be foolish and not change the aspects that are not working in our business. We recommend that you use images in the daily business design and operation. This will help to have a clearer idea of the business and to visualize it. When making your business plan, try to really represent the ideas, objectives and goals of your company. The most important part is where you want to go, what your ultimate goal is. From there, you’ll know what you need to do to achieve your goals.
Our store is always concerned about the business of our customers and we want to boost their sales. Therefore, we always take care that the garments we design and bring the best price that we can offer so that their margins of profit can be higher. As well, our clients have better prices in their stores and boutiques and have more clients. We invite you to enter our page and know all the products that we offer. Please contact us by email or phone if you have any questions about our products and services. Find only the best for your store in Matilda by True Love!