We will use a poultry farming business has the template for writing our business plan and you’ll be walked through the key components of a business plan that receives funding.Your company name should appear at the top of your business plan pitch or proposal.
We will use a poultry farming business has the template for writing our business plan and you’ll be walked through the key components of a business plan that receives funding.
In this section, you will make a short list of your competitors.
Your competitors are divided into two categories: direct and indirect.
Also, get a good graphic designer to design a nice logo for your company.
Doing this will give your business plan a professional look and it will immediately make it stand out from the crowd.
Identifying your sales channels is important to understanding the economics of your business model. Common examples of direct costs (also known as costs of sales, costs of goods sold, or just COGS) are the raw materials you need to manufacture your products, wholesale purchases of products you are reselling, and sales commissions.
In this section, you explain how you plan to attract attention, build interest in your offerings, and convert prospects into customers. Where regular expenses like rent, marketing, and insurance may remain steady as your sales fluctuate, making more sales always means incurring more direct costs.You need to know the number of people who make up your target market and how much they averagely spend each year to address the problem you intend to solve.Some market research will be needed for this aspect and you can get market data from sources like the United Nations, World Bank, and National Bureau of Statistics.The next step is to describe your company and the business opportunity it will be taking advantage of.Make sure you use strong, compelling and graphic words to describe your company and its business opportunity.Direct competitors are those businesses that already exist in your intended market or industry space and who are producing similar products and services.Your indirect competitors are those businesses who aren’t producing similar or the same products and services like you intend to but who are still competing for money your target customers could have spent with you.For our poultry farming business plan and for your plan, you need to separate direct costs from other expenses because it lets you understand your gross margin.Shown on the profit and loss statement, gross margin shows the portion of your revenue — as a monetary value and a percentage — that is left over after paying your direct costs, but not your other expenses.In this section, you explain and describe how you plan to get your products or services to market. If your direct marketing is largely done by resellers or dealers, what kind of marketing will you do to attract and keep those key partners?Are you selling and delivering to your target customers directly through a retail store, website, or catalogue? Do you plan to sell through intermediaries — distributors, dealers, resellers, or others? When you are confident that you have identified a market with a problem worth solving, it's time to put together a quick financial forecast for your solution. Some opportunities look good at a glance, but don't hold up to financial scrutiny. The idea behind direct costs is that every time you make a sale, you incur more costs.