Posts Tagged ‘Business Plan’
Many authors define a business plan as a roadmap with all actions and steps to meet pre-established goals. My intention is that you yourself can at the end of this book to answer this question and are convinced of the need for a business plan, not because it is a requirement for some investors, but because it is a useful tool for you to transform your dreams and plans into reality. As also to understand and analyze your business strategically at all times.
Depend on the magnitude of the project on time for completion, can take days, months or even years. Since carry it out requires making many questions as:
• Is able to sell this product?
• What is the optimal selling price?
• What is the competition?
• What really sell?
We could say that making a business plan is basically asking questions that test the strength of it constantly. To the extent that these questions are answered the project takes shape. Many times there are questions that have no direct response and require research and development.
It is important to understand that putting together a project must be interdisciplinary, so as to optimize each point of the plan. This should seek to maximize the expertise of specialists and technicians.
The worst enemy of any company or business plan is the dreaded risk. Risk is defined as any event that directly or indirectly affect our business. There are controllable and uncontrollable risks and predictable and unpredictable.
The business plan’s main objective is to manage and anticipate risks. As in the lives of people one can choose to live it without any risk prediction and to have that luck is on your side. But perhaps like most, one chooses to anticipate the risks of simply living. For this we are going to the doctor, we studied, we check the car before traveling, vaccinate our children, and so many tasks that are solely intended to reduce risk.
A plan helps us see what we can not see clearly and strategically plan how to manage our actions towards a prosperous future.
How to get $ one million for a business and without asking .- The disadvantage is that a clever person you know, “yes, I know,” he says, “and they told me, I know,” and as that remains granted that the results arrive. Instead, a fool says “no, no, tell me,” also does not waste much time to think, find a way to make it easy.
A friend told me something truly spectacular. This friend is a fool, seems not to know anything, what you’re asking around and asking opinions about anything that interested. He told me he found a property for sale, only it was pretty big for what I was used to negotiate, but had a spectacular idea, so the development but was not sure I look as qualified opinions.
Among his many friends told him he was completely crazy to get into such a business, but it looked fabulous. Then came go to the banks, they know better handle business ideas, he said. His argument was: “Please I need your help, I need your opinion on the profitability of this property and the business I’m asking”
Some bank managers could not attend, but who treated him also interested in the project. I call a group of specialists in finance and showed them the business plan and ask them how can we fund it?
My friend said, no, I could not even any funding Acepar to see all the possibilities. But the attitude of the bank as much enthusiasm and went to other banks. With the other banks to improve their argument by saying that another bank had already offered to finance it, but what is an opinion he wanted more, the advice of an expert, and that bank thought I could find.
Guess. The other bank improved its offer. There are a lot of money out there, says my friend, you are missing good business ideas, and above all, who do you see layers. My friend says that if you ask, people will be delighted to answer, why not find the ability to raise an excellent question from a bank or millionaire friend and achieve what you achieve, a million dollars to finance its business outside the ordinary.
Examples of cash receipts are the collection of bills, collection of loans, interest charges, borrowing, rent collection, etc. Examples of cash outflows are paying bills, paying taxes, payroll, loan payments, interest payments, utility payments for water or electricity, etc. The difference between income and cash outflow is known as balance, which may be favorable (when revenues are greater than expenses) or unfavorable (when expenses are greater than income).
Contrary to the State or the Income Statement, Cash Flow shows what really comes out in cash or enter “box”, for example, charges a sale actually took effect. In the cash flow, the term gain or loss is not used.
The importance of cash flow is that it lets us know the company’s liquidity, i.e. knowing how much cash is counted, so that such information can make decisions such as:
* How we can buy merchandise.
* If you can buy in cash or is necessary or preferable to apply for credit.
* If necessary or preferable to collect cash or credit can be granted.
* If you can pay debts on their due date or need to ask for a refinancing or new financing.
* If we have enough surplus money to invest, for example, by purchasing new machinery.
* If necessary to increase the available, for example, for a possible investment opportunity.
Projected Cash Flow
To develop a cash flow we have information on earnings and cash outflows that the company has made, this information will get from the accounts we have made.
But we can also prepare a Projected Cash Flow (also known as Cash Budget), for which we need projections of future cash receipts and disbursements made by the company for a period of time.
The importance of developing a Projected Cash Flow is that it allows, for example:
* Anticipate future deficits (or lack) of cash and, thus, for example, to take timely decision to seek funding.
* Establish a solid foundation for the requirement of credit, for example, by presenting it within our business plan or project.
Very interesting for all content distributed through entrepreneurial which, though referring to a particular situation (in this case seek help from the American investment company to seize resources) distills valuable lessons for those in the waiting desired monetary injection to grow your project.
For the author of the letter, a person with a passion for software (and for that matter, for his project) does not care about funding, gets down to work and start programming. No software project that is too expensive, and if so it has not reduced its characteristics to something manageable and can be as soon as possible available to users.
No enterprise should be subject to Jan or ye get money for their continuity, the world is full of things possible and if you get stuck on something that can not be achieved, it is not more than a “dreamer.” If your product / service is good, probably through word of mouth will disclose, and otherwise is simply not something that people want, serve and interests you recommend, however painful it is heard. Even with more money and marketing that can not change it. As an example the case of the failed network Keteke, Telefonica (that even Paris Hilton was out of her bubble to promote it) . to end up buying Tuenti.
Is it better to invest time in getting funding or continue working to make your project more interesting to people? The recommendations that follow are suggested: