Blog entry by Kimberly Harris
Lying is very ugly and even more so if you are trying to mislead the recipient of your business plan. Convince them strategies of what you are going to do and how, and rely on data, but not unrealistic ones. This wow essay research describes how to make a business plan, which you help create successful business.
A mistake is trying to justify and argue a milestone with inflated figures so that everything fits. I want to get X, and as the accounts do not come out, instead of saying that I will invoice 10,000 euros, I will earn 50,000, and for that, I say that, instead of getting 100 customers, I will get 1,000, and so I get the result that I will 'sell' to the recipient of my 'business plan.'
The value is zero
No figure is worth anything if it doesn't have a stand behind it. If you say you're going to get 300 customers and don't explain what and how you're going to do it, that figure is inaccurate because no one can guarantee such a character. You don't have to focus on the numbers, but on what you're going to do to get that figure.
Another error is the generalities in the figures when we analyze the sector in which we are going to operate: a market of X billions, of which we will get, for example, at 0.3%. First, you have to analyze if there is a pie for everyone (our potential market). Then, transform that potential market into an open market: what part of that potential market could be within our reach. Then define our target market (men, women, age, hobbies) to find out if our business makes sense.
Market shares should always be seen as a result, not as a target, because the goal is what you will do to achieve it.
Sinning in excess
Another error is the oversaturation of data: Too much quantitative information can make you dizzy. And it can be attached to the end of the document. More than just putting in a lot of figures, the plan should be a document that conveys confidence, credibility, passion, and desire for ambition with the objectivity of who we are, our experience, our resources, and financial capacity, etc. What a plan should never reflect is what we are not. That is lying.
A cum laude team, at least
Multidisciplinary and complementary team: That would be ideal. But it's not always the case. Many business plans list all the promoters, whether they add value to the project or not. And that can be counterproductive because it can signal a lack of market knowledge.
A large part of a project's success is the knowledge of what the development team has in its hands. The ideal is to have a team that ensures that the essential sticks of the project are covered. The mistake is to put all the team members, and none of them has experience in the business they are going to get into. The right thing to do is to have someone on the team who controls the market they will be operating in. All the project's essential resources should be highlighted, especially experience in that market and a network of contacts. It is a mistake - it can even generate distrust - to put members who do not contribute anything. That's inside information.
Not looking for a job: Another mistake is to put everyone's CVs as if they were looking for a job. The right thing to do is create a very telegraphic professional profile of the members of the promotion team, which aims to convince the reader that these people can contribute something interesting to the project. In this sense, it should be reflected that profiles are mutual and total commitment to the project. Depending on what the company is going to do, it is convenient to indicate that they have specific knowledge and skills according to the plan. For example, if the project is aimed at the international market, it is not superfluous to say that they have experience in those markets, or that they handle languages or have this or that specific training. It is important to emphasize all those aspects that will enrich the project and not as a support to praise the virtues of its promoters.