Definition of a Business Plan: According to Experts, Types, Benefits, Framework and Conclusions

Definition of a Business Plan: According to Experts, Types, Benefits, Framework and Conclusions – What is meant Business Plan? On this occasion About the knowledge.co.id will discuss what that means Definition of Business Plan and other elements about it. Let's look at the discussion together in the article below to better understand it.

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Definition of a Business Plan: According to Experts, Types, Benefits, Framework and Conclusions

A Business Plan or Business Plan is an official statement that contains the purpose of establishing a business, the reason why the founder of the business they believe these goals can be achieved and also what strategies or plans will be implemented to achieve the goals the. A business plan can also have data on the background of the organization or team responsible for meeting that goal.

Definition of Business Plan

A business plan is a formal declaration that outlines the purpose of establishing a business, the reason why the business is planned They believe that these goals can be obtained and also what procedures will be carried out to achieve these goals the.

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Definition of Business Plan According to Experts

Here are some opinions from experts about business plans, which are as follows:

• Hisrich and Peters (1995: 113)

According to Hisrich and Peters, The business plan is a written document prepared by the entrepreneur that describes all the relevant external and internal elements involved in starting a new venture. It is often an integration of functional plans such as marketing, finance, manufacturing and human resources.

• Max Coulthard, Andrea Howell and Geoff Clarke (1999: 3)

According to Max Coulthard, Andrea Howell and Geoff Clarke, The business plan is a detailed study of the organization's activities, which highlights where the organization has been, where it is owed and where it might get to in the future, and incorporates an action program to achieve these results.

• Megginson (2000)

For Megginson, a business plan is a written plan that contains mini and business goals, how to work as well as details of the financial / capital layers of the owners and management and how to achieve goals the business.

• Bygrave (1994: 114)

For Bygrave, a Business Plan is a document that reports confidence in the expertise of a business to sell goods or services by creating a satisfying and attractive profit for persons with disabilities fund.

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Types of Business Plans

There are several types of business plans that can be emulated in their preparation. Types of business plans include mini plans, presentation plans, working plans and what if plans. Here's an explanation:

• Mini Plans

As the name implies, a mini plan is a business plan that is simple. The mini plan itself is a summary of the business plan that has been made so that it will not be difficult for people who want to master the business plan.

This mini plan is very suitable for business plans that are not very large in scale. Because if the mini plan is too long that it cannot be called a mini plan anymore and it is better to leave the business Plans are always written at length so as not to diminish the original intentions and objectives of the business plan the.

• Presentation Plan

This presentation plan was prepared with the aim of carrying out presentations in front of potential investors or other interested persons. The main difference between a presentation plan and a business plan is in content and purpose. The contents of a business plan are generally writings that describe all the details of a business.

On the other hand, a presentation plan generally contains photos, graphics, statistics or videos that describe the essence of the business plan. The presentation must have an attractive appearance so that potential investors and other interested people can be interested in the business plan being made.

• Working Plan

A working plan is a document that contains details of how a business will run. In the working plan it is necessary to write down all the small details of the business that will be carried out starting from the initial business step, how to create goods or services, how to promote, how to marketing, how to recruit human resources, to the income of the employee.

This working plan is individual in nature so it does not need to contain things such as business capital and also the benefits of the business. The working plan focuses more on how an industry will run.

• What If Plan

What If Plan is a business plan written and intended for investors. What If Plan contains about how the future of a business. The what if plan also includes various future scenarios for the business. Either a good scenario or a bad scenario. Everything must be written down so that investors do not hesitate in pouring out funds for the development of the business that is being formed.

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Business Plan Benefits

The benefits of a business plan are many, especially for the progress of a business that is being started. By compiling a business plan, it will be easier for entrepreneurs to get financial support from investors. Before investors want to distribute funds to entrepreneurs, they will definitely work on a business plan that has been made by entrepreneurs. If the business plan is written very well then there is a high probability for investors to distribute funds.

If the business plan is considered unfavorable and unconvincing, it is likely that investors will not lower their funds. Not only as a tool to raise funds, a business plan is also a facility to oversee the growth of the business that is being run. Without a business plan, it is impossible for the direction of the business to be run straight forward.

It is also the business plan that will be used as a reference and guideline for business owners to make big decisions that are being experienced. This business plan is very meaningful and useful, so entrepreneurs must have a business plan for every business that will be carried out.

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Business Plan Framework

The following are some business plan frameworks, namely:

• Company Description

  • Business name and position
  • Ownership data and legal status
  • Description of the session's history of growth and future achievements
  • Identification of products or services
  • Company description
  • Corporate funding

• Target Market

  • Target market position
  • Description of the demographic characteristics of the target consumer
  • Motivation and patterns of consumer purchases
  • Market dimension
  • Market assessment

• competitors

  • Identify the type of competition
  • Identification of specific competitors
  • Competitor position
  • Competitor advantage
  • Assessment of the challenges that must be experienced as well as future competitions

• Marketing strategy

  • Marketing strategy description
  • Identify bonus strategies for marketing and sales
  • Sales team description

• Operation

  • Main elements of operation
  • Highlight operational advantages
  • Indicate future operational challenges

• Management Structure

  • Main squad member
  • Estimate future management needs
  • Describe the staffing structure
  • Board members, advisers, and consultants

• Future Growth

  • Long term goals
  • Future achievement goals
  • Risk assessed

• Financial

  • Income report
  • Develop cash flow estimates
  • Sources and use of funds

The business plan framework above is an early reflection in making a business proposal. In compiling a business proposal, we are required to really know the conditions in the field including the cost of creation if the business we are proposing includes a new business. It is possible that in making a business plan we must really go into the field for carry out exploration as well as survey both the demographic conditions of the target market and whereabouts competitors.

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Conclusion

The Business Plan is a meaningful and very useful document for a business, which shows the current conditions and the desired future. So this business plan or business plan is research on current and future organizational activities arrive and organize activities to obtain the desired results as outlined in a document planning.

Business planning / business plan is research on current and future organizational activities as well as arrange activities to obtain the desired results as outlined in a document planning. Business planning is very closely related to entrepreneurship, because this business plan is made so that the results of creating a business are made close to reality. It is expected that with good business planning, planning with reality has a fairly small comparison. Therefore this business plan can be used as a guideline for creating a business.

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