Jodi Reichenberger

In the previous article we discussed the reasons for writing a business plan. Now let's talk about the elements of the plan itself.

A good starting point to begin thinking about the elements of your business plan is to carry out a SWOT analysis (what are your business's strengths, weaknesses, opportunities and threats)?

The strengths you identify will become the foundation for your competitive focus.  You want to think of ways to exploit your strengths here as these are what will set you apart from your competition.  For example, you may be particularly good with people.  Use this talent in the customer service aspects of your business to distinguish yourself from your competition who may be lacking in this area.

By identifying weaknesses, you can plan for ways to compensate
for them.  For example, you may be in a business where you have
to wait for some time to be paid by your clients and as a result
you may be vulnerable to cash flow shortfalls from time to time.
By recognizing this potential weakness in your business, you
can take steps to minimize cash flow difficulties by arranging
for an overdraft facility with your bank.  Or introducing an
incentive for clients to pay you earlier such as an early
payment discount.
 

The opportunities you identify become the cornerstones for
your business development.  What opportunities exist that you
can exploit in the next 12 months to develop your business?
Think here in terms of things like technological advances
that you are in a position to exploit but your competition is
not, possible joint venture partnerships, or the exclusive
rights to XYZ patent that you have negotiated.
 

Finally, the threats you identify become the foundation for
your contingency planning.  By recognizing the threats that
exist to the future health of your business before they
become a reality, the better placed you will be to implement
contingency plans in case the worst happens and the better
prepared you will be to ride out the storm.
 
 

Deciding on Your Plan
 

Once armed with your SWOT inventory you can begin to
refine your thinking in terms of coming up with an overall
strategy for your business.  Remember, you want to exploit
your strengths and opportunities and minimize the impact of
your weaknesses and threats.
 

Once you have your overall business strategy in front of you,
you are then in a position to reformulate the elements of your
SWOT analysis into specific goals and objectives.  Write
objectives to support every goal for every area of your
business.  Think about your products and services, customers,
competition, image, customer service, marketing and advertising,
financial objectives and the like.  For example, one of your
goals may be to introduce a second or a third product line
in the coming twelve months; or to launch a new advertising
campaign or to negotiate a more favorable line of credit with
your bank.
 

By the time you are done, you will be very clear in your
own mind where you want your business to go and what you
need to do to get there.  In turn, this awareness will help you
to recognize new opportunities as they present themselves.
 

Finally, bear in mind that a business plan is just that, a
plan.  It is not carved in stone and, as with any plan, be
prepared to be flexible and make changes as circumstances and
priorities change.  Work with your business plan and treat
it as a living, breathing, organic part of your business.  By
constantly keeping your plan in mind when making business
decisions you can rest comfortably, knowing  you are steering
your business in the direction YOU want it to go.

Jodi Reichenberger of JDA Publishing and owner/creator of the Web Builder Letters, is a 6 year veteran of website design and internet marketing. She is an active website designer and writer. Visit http://www.JDAPublishing.com ...... giving the dreamer the tools to make their dream of a home based business a reality.

---

Grab your FREE Home Based Business
Resource Kit from JDA Publishing.

Fill out the form below and you will receive.......

DISCOUNT!! on Website Design FREE!! 7-Day Internet Marketing Course FREE!! Beginner's Guide to Starting a High Income Business on the Internet. FREE!! eCommerce Start Up Checklist. FREE!! Web site Traffic Generating System Save!! money with $12.45/mo Internet access FREE!! Web Builder Letters Subscription Plus much more...!!

	Your Name: Email Address:

The Only thing that will stop the growth of the internet is a very large asteroid....." Scott Farrell

---

Home ::  Articles ::  Current Newsletter ::  Services
Privacy ::  Ask Jodi !! ::  Pricing ::  Free Courses

---

©Copyright 2004, JDA Publishing