Writing a business plan

Before starting any project no matter how big or how small, you need some sort of a plan. For example, if you were building a home, you better budget a good architect to draw up plans for construction. If not, anticipate having the ugliest or most unsafe house on the block. The same applies to building a business; again, no matter how big or how small, you need a plan to build a sturdy house. In my opinion, most businesses fail, because they either do not have a plan or fail to track their performance.

The result of your research will be part of a business plan, a written document that clearly defines your goals, and vision for your business. This business plan will allow you to examine the future of your business, by asking difficult and important questions. Ok - some of the questions may not be as enjoyable as that exciting day you decided to go into business for yourself. That is why it's so important, because the heightened enthusiasm may have a tendency to make you forget the practical side of starting your business.

Constructing your business plan will be time consuming. Just remember the results will outweigh the effort. The completion of the plan will force you to examine important areas such as management, marketing, personnel, and finance. Another important benefit of the plan is to project the funds needed for start-up and the early stages of your business. This objective and organized plan will become the road map guiding your daily operation and future growth. Keep in mind, most successful businesses are ever changing and update their plan regularly. Business planning is an ongoing activity.

Plans may differ depending on the type of business and also the purpose of the plan. If it's a useful tool for your company or a planning process for acquiring financing, the plan should follow a solid framework as follows:

•     Cover sheet (title page). Include the business name, address, phone
•     Table of Contents
•     Mission Statement. Description of your company's purpose
•     Executive Summary. Include a short description of the venture, purpose of the plan, goals of the business, description of the products and services
•     Industry Status. National/Regional economic outlook, Industry outlook, projected opportunities
•     Target Market/Customer Base Characteristics of the target market, market segmentation, customer buying habits
•     Marketing Plan. Sales goals, description of products and services, competition, pricing, location, customer service policies
•     Production and Operation Plan. Facility, equipment, production process, suppliers
•     Insurance. Product liability, personal liability
•     Management. Key managers, personnel
•     Financial Plan. Start-up costs, balance sheets, projection cash flow, break-even analysis
•     Attached Exhibits. Managers' resumes, marketing research, patents, trademarks, letters of support

The outline above is basic and to be used as a starting point. There are numerous business plans available; I suggest researching various sources and pick the one suitable for your needs. For FindYourDream Inc., I followed a format obtained from the SBDC (Small Business Development Center), which was very helpful because of the support available through appointed analysts. A quick search on the net will result in a list of business plans to choose from. We've included a few below.

The business plan is the foundation of a successful business and the proven way to answer questions that have long lasting effects on your success. The plan details who you are, what you are going to do, where you are going, and how you are going to get there. Being an entrepreneur is about being a rebel, spontaneous and taking risk. It's also about staying afloat, so do a business plan and boost your odds of not having to return to that 9 to 5.

Business Plan Resources

BizPlanIt.com - Provides Virtual BizPlan that is an excellent resource for writing a functional business plan. It is also an Internet based business plan consulting firm offering professional services and over 100 pages of business plan tips and advice.

Small Business Association - Offers an outline with descriptions of common parts of a business plan.

Business Plan Template for Microsoft Excel - The Business Planner Template for Microsoft Excel analyzes business' current financial situation and helps forecast its future cash flow.

Can I Help You?

In an ideal business world, customers are appreciative, patient, and understanding. In the real world, this may be the stuff of dreams. Keeping customers happy brings them back to buy more, and gives them motivation to tell others to buy from you. In our world, we need to establish good customer service techniques and habits. In this article, I discuss what customer service means to the growing business and how to transform a snarling consumer into a beaming buyer.

The customer is always… ?

The old adage that "the customer is always right," is far too simple to be practical. What is far truer is "the customer is always in charge." Mrs. Smith is handing over the credit card, or signing her name to the check, so she has the final say in how you're handling the sale. So, whose job is to it help Mrs. Smith complete that transaction?

The term "the customer is always right" implies that one should treat each person who enters their store, or calls on the phone with respect and professionalism. This is far too obvious to comment on, except to say that customer service goes beyond a generous smile, and a quick answer. Below are some guidelines to keep in mind every time the little bell goes off as the store door opens.
Failed Expectations

Many customers are unsatisfied, because they expect one thing and receive another. Granted, we don't all have the most perfect products in the world, but if you tell a customer that product X will definitely pick up dirt off the floor, then it better!

Here's a real life example: Joe is a home-based accountant with some stiff competition. A friend-of-a-friend, William, happens to catch him at a dinner party, where he and Joe discuss some simple tax matters. Joe says something like, "William, if I was your accountant, I can get you a 20% better return on your taxes than your current accountant." So William gets Joe's help during tax season. Joe does a great job and does increase William's tax return by 15%. William is less than impressed, since that magical "20%" number was thrown around.

Let's change this around a bit. At the dinner party, Joe says to William, "of course, I can't make a guarantee, but I have a few ideas that should get you a better return." Less strong on the salesmanship but completely honest. So Joe is hired and gets a 15% return. William is ecstatic, because his expectations were based on a comparison of last year's return, not based on what Joe thinks he can get him.

So, be careful with what you guarantee, because you will be apologizing and refunding in the long run. In short, remember - "promise less than you can deliver -- and deliver more than you promised."
The Unhappies

It is bound to happen - the dissatisfied customer. For whatever reason, the person feels ripped-off, taken, or unhappy, and it's your job to change that feeling. There are many suggestions from experts on dealing with "The Unhappies," and here are a few to remember:

Always try to turn a negative into a positive. When a customer tells you that something is wrong, use it as an opportunity to show interest and provide attention. If the customer truly believes you have their best interest in mind, the sale won't necessarily be lost, and there's a good chance of keeping that customer for the future.

With an irate customer, don't feed into the anger. If you get angry back, it will only explode into a situation that could be much more damaging than losing a single sale. Try to calm them down, apologize for whatever happened (even if it wasn't your fault), and find a rational way to deal with the situation.

Don't just deal with the incident, consider the solution in terms of your business. It is possible that a policy you have is unreasonable and needs to be adjusted. For example, you may have a strict "no return policy" on items sold after 30 days. However, if a good customer returns on day 31, can an exception be made? Is it worth sticking to a strict rule if it will make a loyal customer seem less than special?

Do not minimize the complaint. Do not try to convince the person that the problem is "no big deal." If they perceive it as a major catastrophe then spend your energy on creating a solution, rather than blowing it off.

Speed in resolving the problem is crucial. If you delay or do it with any less attention than immediate, you will problem lose that customer. If this becomes symbolic of the way you handle complaints, then you will have a lot of trouble getting repeat business.
The Internet and Email

The newest form of commerce, electronic commerce, has a few twists and turns to customer service. It is the nature of dealing with instantaneous credit card processing and shopping carts. First of all, customers may buy something and have more questions after the purchase than before. Set up resources to help deal with such inquiries. Also, email is a mixed bag of worms in communication - it can be considered simple and non-intrusive, or distant and vague. Emails do not allow visual cues, so things can be misunderstood very easily. Also, email has been likened to the infamous Road Rage (a popular term describing the rage of car drivers in traffic); we will have the courage to say things in email that we wouldn't say in person. So, be very careful about dealing with customer service online. It is probably much more practical to call the person than respond with an email reply: first, it shows interest, and secondly, it is a quicker way to deal with it.

Customer service is one of the most important aspects of a business. Keeping a customer takes far less effort than attracting a new one, and a satisfied customers tells friends!

Choosing a Right Name for Your Business

If you call a boat "Victory", it will sail as a victory, if you call it "Disaster", it will sink in a nearest pond. - Anonymous

So, that's it. You have finally made a big decision - you are starting your own home based business. You are very busy now, working on all of the issues of a newborn venture. All that time, you may solve different problems, depending on the nature of your business. But, there is one unfortunately - "What am I going to call my business?"

You may be tempted to spend a couple of minutes and then stick with your own name or your initials, and move to more important tasks. But this would be a big mistake. Think, when you have a new baby or dog, you will probably spend a lot of time, considering all the possible options. You know, that the name is meaningful, and it can make positive or negative impact on the entire life of your child, and you definitely want your child to be the smartest child in the world. You want your dog to have a cute but not silly name, so you will take its breed, character and even color into account.

Don't you want to have the most successful business ever? Then, do not make fast decisions; instead choose the name for your business carefully.

The name you choose will be a big part of your marketing identity. Ideally, it should indicate to your clients what is the nature of your business, because it will be the first thing they will know about your company. Also, remember that people buy particular products or services not only for rational, but also for emotional reasons. Therefore, your company or product name should encapsulate a message to potential or existing customers and, at the same time, create a good feeling about your company, your product and you, personally.

Therefore, before you start to search for a name, there is quite a lot of background thinking you need to do about your market place, your competitors, and advantages of your product.

Consider what kind of target audience you want to attract. What would be appealing to them - for example a conservative or an unusual name. Make a list of all things you need to take into account when choosing a name. Then write down all names you can think of after doing the previous step. You can also conduct a brainstorming session with your partners, friends, or your family. Remember the main principle of brainstorming technique- do not criticize anybody's ideas, just write them down no matter how silly or inappropriate you think they are. You can also use Thesaurus, a Latin Dictionary, or any other source you can think of.

How to Balance your ‘Day Job’ with your Home Business

You’ve got a great idea for a business. You’ve got what it takes to be an entrepreneur. But you’re not quite ready to give up the security and benefits of your current job to take the plunge. So, you decide to do both for awhile.

Working for someone else and working for yourself at the same time will inevitably cause some conflict, whether with your boss, your schedule, or at least your sense of priorities. But, it’s not impossible to do both things, and many people manage it quite well. Here are a few tips:

Do find out what your company’s policy (official and unofficial) is on "moonlighting." Have you agreed in your contract to let the company own you and your time 24 hours a day 7 days a week? What precedent has been set by other employees who have been discovered working another job or starting their own business? With this knowledge you can make an informed decision on whether keeping your day job and starting your own business would be a conflict of interest.

Do let your clients know when you are available to conduct business. You may fear you won’t be taken seriously if customers know you aren’t devoted full time to your business. However, you will make a far worse impression if you say you are available from 9 a.m. to 5 p.m. and never answer calls during that time. Customers will be frustrated by failed attempts to reach you, and interpret your lack of prompt response as being unprofessional.

Do keep one, and only one, calendar. It might seem logical to have one calendar for your job and one calendar for your home business, but this only works if you are literally living two separate lives. When you’re setting up an appointment to meet with an investor or new client, it’s important to know that you’ll be out of town for three days at the beginning of next month for a trade show.

Try using a comprehensive organizer or day planner (I recommend ones made by Franklin-Covey) in which you’ll have room to record long-term commitments and goals, as well as short-term planning, project tracking, to-do lists, expenses, and other important information all in one easy to access place.

Do find and take advantage of "lost" time to make your schedule and overall life less hectic. It can be quite a chore to balance the demands of your day job and the demands of starting your new business. Instead of staying awake until midnight every night to play catch up, attempt to get some of the little things done at times when you normally are idle, like the 30-minute commute on the train each morning, or while you’re waiting for your children to come out of school in the afternoon.