Updated October 26th, 2023.
Today, you will learn how to create a simple business plan that produces results that will help you attract and serve more ideal, profitable clients.
What is a Simple Business Plan?
In essence, a business plan is a detailed document that communicates the goals and ambitions of your advisory business, along with the timeline, finances, market analysis, and methods needed to achieve them.
A well-thought-out strategy is the cornerstone of your firm. Achieving your goals is easier with a properly documented plan.
So, what exactly is a blueprint, roadmap, flight plan, or business plan?
In summary, they are all terms used to reference the design of your ideal firm.
When I was starting, I had the same question you might have now: Why is a blueprint so important?
I soon realized that it’s not just a piece of paper – it’s a strategic tool that can make or break your business.
Think of your business plan as the compass that guides you through the complex and the simple steps. Just as every minute of your time has value, every component of your blueprint serves a purpose. It’s a reflection of your vision, mission, and goals you’ve set for your business.
Early in my career, I discovered that the business coaches and financial advisors who were successful all had a blueprint. But it wasn’t just any plan; it was simple and easy to execute.
In this episode, you will learn:
- The core elements of a simple business plan
- How to create success out of challenges
- What one advisor did to get more ideal clients and double his annual revenue
- The product model successful service-based professionals use
- What successful coaches and advisors do differently
- How to grow your business, get more referrals, and have more fun
- How to identify and attract your ideal client
- The power of research and the different types
- What to do during your research process
- The biggest determinant of your results (This is a game changer.)
- What top producers do differently when choosing a niche market
Click the image to watch today’s episode:
You will also learn:
- The three key elements of a successful blueprint
- How to create a winning formula you can effectively execute
- The most critical step
- How to get more tasks completed in less time
- What most advisors do that keeps them stuck
- The three components of your blueprint
- The process to make your dream a reality
- How to attract more affluent clients
- The profit model for your business formula
- How to create a results-driven strategy
- How successful business owners manage their resources
The training in this episode provides the essential elements of your plan. Below, you will find more details about what an effective blueprint includes, why it’s important, how to choose one, and more.
A complete business plan contains the following:
- Client acquisition in your target market
- Product and services goals, etc.
- Monthly financial reports for the first 2-5 years
- Profit/loss statements of 3-5 years
- Financial projections for 3-5 years
Business Plan Elements
Though the exact specification of your strategy will vary depending on your needs and goals, it includes the following ordered elements:
- An executive summary
- Table of contents
- Company description
- Marketing Plan/Marketing Research
- Competitive analysis of target market
- Description of organizational management
- Description of product or services
- Sales strategy
- Funding details (or request for funding if you plan to go this route)
- Balance sheets
- Financial projections
For more support writing a financial advisor business plan, watch today’s episode of “How To Create A Simple Business Plan.”
Types of Business Plans
When considering a blueprint, the best thing is that you’re not just limited to one single type of plan. There’s a stream of different blueprints out there, catering to each type of business.
However, the key is to pick the one that aligns best with your unique goals and type of advisory or coaching business.
Here are a few types of business plans to get you started:
If you are starting your business, your strategy is the foundational step. It’s like laying the groundwork for a successful time management strategy. In a startup strategy, you outline your vision, mission, and objectives.
This plan is essential for securing funding, attracting partners, and keeping you on track.
An internal blueprint focuses on your goals, strategies, and tactics without the need to share them with external stakeholders. It’s a powerful tool to keep you and your team aligned with your long-term objectives.
Operational or Annual Plan
This plan is your day-to-day schedule equivalent. It helps you manage your resources, set specific targets, and track progress. Similar to managing the value of each minute, an operational strategy keeps your business and team members operating efficiently.
It’s your go-to reference to ensure your entire organization is investing resources where they are most needed.
This plan outlines your long-term vision and the steps needed to achieve it. It’s like having a clear understanding of your ultimate goals, mirroring the importance of knowing the value of your time. The strategic blueprint ensures your efforts are always moving you closer to your goals and objectives.
Growth or Expansion Business Plan
Your advisory growth plan is all about identifying opportunities, setting targets, and allocating resources effectively.
A growth plan allows you to harness your time and energy to scale your business successfully.
Like the evaluation of the worth of a task, a feasibility plan helps you assess the viability of a new business idea.
It’s your reality check, helping you determine whether your entrepreneurial venture is worth your time and resources. This plan considers market research, potential challenges, and resource requirements.
An emergency plan is your contingency strategy. It addresses potential crises, such as economic downturns or natural disasters. It ensures that you’re prepared to protect your business and maintain its resilience in uncertain times.
How to Choose a Business Plan
Choosing a strategy that caters to your needs can be difficult, especially if you’re just starting. Here’s a table to make it easier:
Type of Business Plan
|Lay out the vision, mission, and objectives to secure funding and attract partners.
|Establish personal goals, strategies, and tactics for a private reference to stay aligned with long-term objectives.
|Manage resources, set specific targets, and track progress for day-to-day operations.
|Outline the long-term vision and the steps needed to achieve it, ensuring efforts align with ultimate goals.
|Identify opportunities, set targets, and allocate resources effectively to scale the business.
|Assess the viability of a new business idea through market research and resource requirements.
|Prepare for potential crises, addressing challenges, like economic downturns or natural disasters, to protect and maintain business resilience.
Writing a Business Plan
To get you headed in the right direction, here is an 8-step guide made from my experience in various businesses throughout my life:
1. Executive Summary
The executive summary is the first part of the business plan. Ideally, it answers the following questions:
- What is the vision of your business and why?
- What are your short-term and long-term goals?
Check out the template in today’s episode for good examples of executive summaries.
2. Business Description
This part of your business plan discusses:
- The purpose and scope of your business
- What business you’re really in
- What your business does
3. Market Analysis
Perhaps the most crucial part before starting a business is to study the market of your potential business. This can be done by asking questions like:
- Who is our ideal client?
- What does a client value the most?
4. Competitive Analysis
Right after market analysis, you need to have a clear picture of the competition in your niche. This can be done by answering questions like:
- Who is our direct competition?
- What is our UVP (Unique Value Proposition)?
- What does our competition do best?
5. Organizational Management
What does your organizational structure look like? List your employees, the hierarchy, and a brief overview of the roles and responsibilities of each level or position.
This brief section gives you a broader perspective of who is responsible for which tasks and enables you to keep a solid team structure in place.
6. Description of Services or Products
Your business might have a product of its own, or maybe you’re in the service business. Regardless, this section of your business plan includes details of your services and products.
Questions that this section should answer include:
- What is the product/service we offer?
- How do we produce this product, and what are the necessary steps?
7. Marketing Plan
Questions that this section should answer include:
- What is the target market?
- What marketing channels will your business use?
- Is there a timeline and budget for marketing, and what is it?
- How will marketing success be measured?
8. Financial Projections
Financial projections aren’t meant to be exactly on point and down to the last digit. However, they’re essentially pointing out your financial goals and what you need to do to achieve them for your business.
Some questions that this section should answer include:
- How will my business make a profit? Do you have a plan if your cash flow is less than expected?
- What do I need to do so my business will consistently retain profits? As a result, your business will survive downturns in the market.
- How will the business increase profit margins?
- How do my projections compare to my direct competition and industry averages?
Recap – The Simple Business
The above guide is an invaluable overview of what a business plan is and provides insight on how to write one that can help your business succeed.
Remember, your business plan doesn’t need to be perfect, but it should encompass all your goals, visions, and methodologies needed to succeed.
Want to learn more about crafting a business plan?
Check out today’s episode on How To Create A Simple Business Plan for a step-by-step guide!
To create your marketing plan, click here:
To Your Success,