Applying experts' views to my business plan proposal

From my previous blog, I absorbed a lot of useful information from business plan experts. In fact, I have had to make specific changes to my business plan proposal because I take the experts' tips and advice very seriously.

First, both of the experts I researched stressed the importance of a highly structured and exhaustive business plan. This means that every section must be strong, detailed, and concise. There are some sections in my proposal that I would like to conduct more research on, especially since my plan is a nonprofit organization that operates very differently than a for-profit business. Since the proposal is supposed to be detailed, I figured this meant filling the pages from top to bottom with information. The experts say to be concise and tight, but too much information can annoy the reader. I will make a change in this area by leaving sufficient white space. This will also be more inviting to the reader (Hopkins, 2001).
Second, one business plan expert reiterated the fact that you must continuously strive to answer the question, “why is this business uniquely qualified to succeed?” I need to be sure to have an exceptionally well-qualified management team because no matter what you are selling, you are selling your people, and your people are what really make your company unique. I need to be more specific on how my people will be used, the experience they have, accomplishments they have achieved, their education, their strengths, and their attributes that they must enhance to become more effective (Woodruff and Woloshyn, 2010).  

Lastly, the experts stated to focus most of your attention on the financials of your business plan. Readers are expecting to see professionalism, so I will be sure to use standard formats. I was under the assumption that for a newer business, words mattered more over the numbers. Since this is not the case according to the experts, I will have the financials be more of a focal point of my business plan.

After investigating business plan proposals, I consider the budget and financial projections to be the most important section when presenting the work to an investor. The investors need to know where the money will be coming from to fund the program and how the funds will be used. The investors also like to see (in numeric terms) the intended path of growth (Larson, 2002). 

Another section I consider to be the heart of my business plan is the market/industry analysis. Reliable and creditworthy research is a necessity because it helps the reader really understand the needs and demands of the target market. It is also extremely important for the reader to be informed of how your company is similar or dissimilar to other businesses.

References:

Hopkins, Bruce (2001). Starting and Managing a Nonprofit Organization: A Legal Guide. Wiley nonprofit law, finance, and management series. New York: Wiley.

Larson, Rolfe (2002). Venture Forth!: The Essential Guide to Starting a Moneymaking Business in Your Nonprofit Organization. Saint Paul, Minn: A.H. Wilder Foundation.

Woodruff, Gigi, and Elaine Woloshyn (2010). "Minding Your Business: Nonprofit Business Planning." Center for Nonprofit Excellence. 

Great advice from business plan experts

In the world of nonprofit organization management, it is crucial to have a thorough and well thought-out business plan in place before beginning the incredible venture. To gain more of an insight into the work it takes to create a business plan for a nonprofit organization, I found some experts in the field of NPO business plan writing and reviewing.

First, Dave Lavinsky is the President of Growthink: a company that provides strategic business plan consulting.  Since 1999, Lavinsky has created thousands of high-quality business plans. Growthink has been interviewed by top media sources, such as Business Week, and has received an A-rating with the Better Business Bureau. Lavinsky offered some great advice. The first being to not let a consultant do the work for you because many times the consultant does not do it correctly. He also stated to not use sample business plans because over 99% of business plans were put together incorrectly. Also, do not use business plan software because it is a waste of time and makes you answer useless questions. 
Lavinsky reiterates the fact that you need to be spending your time executing your plan, not writing it. So, in turn, he offered some business plan writing tips. The most important part of your plan is to answer the question, why are you uniquely qualified to succeed? The answer to this sets you apart from every other business out there. Another tip is to write a one-line company description, not a whole paragraph. Many times, investors reading your plan do not fully understand what your business does, so the one-line company description must be accurate and concise. Lastly, a great tip I took from Lavinsky was that multi tasking is a huge drain on your productivity (Lavinsky, 2011). It is crucial to establish a routine, work in a natural rhythm, get rid of distractions, prioritize, make good use of your time, filter your information, set goals, and have fun (Business Burrito, 2009).

The second business plan expert I researched was more specifically geared towards nonprofit business plans. Stephen Windhaus is a renowned planning expert who writes for Bplans.com: a company that helps you build and grow your business. Windhaus believes that individuals should write their nonprofit business plan as if it were a for-profit business. He stated that a nonprofit must generate income to pay the bills just like a for-profit does. Windhaus recommends attending some workshops on this topic to gain a better understanding and maybe even get some counseling. Unlike the former business plan expert, Windhaus believes that a business plan should be a work in progress because it evolves over time. It could be impacted by outside factors along the way, so it is important to keep in tune with the economy and local conditions around you. Windhaus also suggests to be extremely careful when creating the financial section of your business plan because it will most likely take the most time and effort in completing (Windhaus, 2011).

Although there is a lot that goes into writing a business plan, I have acquired great knowledge from the former business plan experts. I know that as I move through the process, I will be confronted with challenges, but they offered great advice to begin the nonprofit venture. The vision and options are mine to explore.

References: 

Business Burrito (2009). Put More Time in Your Day With These Personal Productivity Tools. Business Burrito. Retrieved July 12, 2011 from http://www.businessburrito.com/personal-productivity-tools.html.

Lavinsky, Dave (2011).  Business Plan Template for Your Nonprofit Organization. Growthink. Retrieved July 12, 2011 from http://www.growthink.com/products/customizable-template?s=Non%20Profit%20Organization&utm_source=google&utm_medium=cpc&utm_term=nonprofit%20business%20plans&utm_campaign=Non+Profit+Template++Search&utm_content=sgqmRlQN0%7Ckw%7Cnonprofit%20business%20plans%7Cpcrid%7C6924247601%7Cmt%7CExact%7Cpl%7C.

Windhaus, Stephen (2011). Starting a Nonprofit Community Organization. Bplans. Retrieved July 13, 2011 from http://articles.bplans.com/small-business-legal-issues/starting-a-nonprofit-community-organization/46.