Essential factors of a successful business plan

Business plan is the English term for business plan, a management tool to guide the creation and growth of a company. In this article you can see its importance and some of its components.

What is a business plan?

Business plan, or for those who prefer the term in Portuguese, business plan, is a powerful management tool that guides the administrative team in all company processes.

In general, it is a customizable document that details all data and information relevant to the company's operation in a coherent manner. Furthermore, it provides a more assertive analysis of the company's goals and objectives, making them more attainable and realistic.

As previously stated, the business plan is a customizable document, that is, each company must build its own, based on its reality, aspirations and vision of the future. Therefore, we cannot say that there is a business plan model that will work for everyone.

On the other hand, there are some components that are present in the business plan of most companies, that is, essential and basic to guide any business.

Generally, what cannot be missing are general data and area of ​​activity, organizational chart, definition of the public, description of products and services, objectives, among others. I will detail some of these components in more detail throughout the text.

On the other hand, it is worth remembering that the more details the better. After all, as this document will serve as a map for the company, it will be constantly reviewed to check whether the processes are proceeding as expected.

In this way, it is interesting that all teams find the answers to most of their questions, avoiding rework or deviations from the route.

How important is the business plan?

It is not uncommon for entrepreneurs to start their businesses without planning. In fact, this is extremely common, especially in Brazil. According to Sebrae, the lack of a prior business plan is one of the three main reasons for the closure of company activities in the country (prior planning, business management and entrepreneurial behavior).

In this sense, sad data about Brazilian entrepreneurship are revealed. On average, 60% of Brazilian companies do not complete 5 years. When it comes to micro and small businesses, around 80% close in less than 1 year. Generally, the causes are related to management setbacks.

Furthermore, the institution collected some more important data about how entrepreneurs in Brazil see planning as an essential resource for their businesses. More than half of those interviewed in the survey, around 55%, revealed that they had not created a business plan before starting the company.

Solid foundation for the company

However, we can affirm not only the importance of structuring a business plan, but also of doing it calmly and carefully. This is because Sebrae himself explains that the longer it takes to define the business plan, the greater the chances of the company being successful.  

Finally, in general, the business plan is important to have a macro view of the business and all its processes. Furthermore, it enables market analysis, helping to define strategies and action plans.

Although the entrepreneur can review it and make changes, it is a more permanent document than the plans for each sector. In this way, it becomes a resource so that the company does not deviate from its main objectives, mission, values, vision and identity. 

What are the components of a business plan?

As you have seen throughout this text, there are several factors that influence the business plan of each business, making each company adapt it to its needs.

Yes, there are some common components, which you will find in the most basic models of a business plan, such as the executive summary – which is a summary of the plan, usually inserted at the beginning of the document. Or, the details of the company, that is, all the basic information such as name, partners, address, operational processes, suppliers, organization chart, among others.

But it is clear that to have a successful business, you need to go beyond the basics, making the plan as complete as possible.

Below, you can see 4 of the main components of a business plan.

Market analysis

Before anything else, the entrepreneur must evaluate the market in which he will operate. In other words, study your competitors, map out how you can differentiate yourself, detail your ideal client, understand how the sector works and identify market gaps.

Objectives, goals and future vision

It is impossible to know how and where to go without having a destination. Therefore, it is necessary to define objectives, measurable goals and where you want the company to be in a given period.

Operational and financial plan

Even experts in a given activity must document in detail how everything will be done. After all, if the idea is to grow the business, more and more people can be hired in the future to carry out operational tasks. In addition, the business plan must include: all expenses, billing plan, possible investors and percentage of resources allocated to each sector.

Marketing plan

This topic may or may not be in the business plan, but it is recommended that it be. This is because marketing is always directly associated with company management, and actions need to be designed from the beginning. At this point, it is worth defining everything from ideas for visual identity to selecting the agency that will support you in digital marketing.

We cannot forget that, nowadays, digital marketing assumes a significant responsibility in the performance of small and medium-sized start-up businesses. In fact, Beatz is an expert in this, and can help you a lot. Talk to our experts and find out how!