How to Write a Business Plan | Free Proposal Sample in Nigeria
It is not unusual to see the average entrepreneur reacts to the term “business plan” with disgust, seeing it as an indispensable evil when setting up a business or seeking financial supports. In this post, we will show you how to write a business plan like a professional, with free business proposal sample for different start-ups.
Today, it is now more usual to see business oriented people sit up and plan their future in the area of business. Investing their time and funds into something more creative than indulge in time wasting activities. It is even more popular among entrepreneurs to pay experts to help write a constructive business plan.
What is a business plan? Why the sudden surge to write a business plan before starting up a business? Why are lots of people paying experts to write a business plan(s) for them? These and many more questions are what we would be considering in this article.
What is a Business Plan?
This can simply be said to be a mapped out guide for any business. It can also be said to as a written document that outlines the nature, objectives, marketing strategy, goals and future aspiration of the business giving the entrepreneur an aim to focus on.
Significance of a Business Plan
Sometimes, quite a good number of people are faced with this kind of question; what are your plans for the future? For the shallow minded or let me say those that haven’t really thought about the importance of the future, this is one heck of a question they try all their possible best to avoid as they may not really have any plans for the future and once they are asked such question, they are like “would you tell me please, which way I am to go from here?”. Candidly speaking, if I am to answer such question, I would gladly tell such individual “it depends on where you want to be”.
This answer best justifies the question asked as we all know the importance of planning ahead even in our everyday life, say less in a financial management.
The following represents the top three reasons why a well grafted business plan is necessary.
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1. To Maintain Growth And Procure Funding
At some point, every business tends to face investment decisions during the course of their existence. Most times, these opportunities cannot be funded by domestic cash-flow alone, so there’s need for the business to seek funding externally. However, despite the fact that the market for funding is highly competitive, all prospective investors will need access to the company’s recent Statements (profit and loss) of account, along with at least one current business plan.
When seeking investors in any business, it is important to evidently describe the opportunity in your business plan template as financier will want to know:
- Why they would be better off investing in such business, rather than depositing their money in a bank that will generate interest or investing in another business?
- Why people will trust the owners of the business as well as the business itself so well that they can part with their cash to buy from it?
- What the Unique Selling Proposition (USP) for the business coming from the prospect is?
2. To extend and be in touch with a course of action
A business plan helps an organization assess future prospects and consign to a meticulous course of action. By committing the plan to paper, all other options are effectively outlined and the company is united to focus on major activities. The plan can assign landmarks to explicit individuals and in due course help management to track progress. Once it is penned down, a plan can be strewn quickly and will also prompt further questions and feedback by the readers helping to ensure a more collaborative sketch is produced.
3. To support a strategic plan ‘B’ in case the first fails
At some point, the owners of a business may decide it is time to re-strategise or exit their present business. Taking into account the likely exit/re- structuring strategy in before then can help inform and express their present day resolution. The aim might likely be to upgrade or to liquidate the investment, so the owner/current investors have the option of cashing out or investing more when they want.
Common restructuring strategies include;
- Initial Public Offering of stock (IPO’s)
- Management buy-outs
- Domination by competitors
- Family succession
A well-prepared business plan can help express these tips to potential investors, helping them feel comfortable with you and in the meticulousness with which you have considered upcoming development. The most fundamental component for them will be clear confirmations of the company’s future ability to generate sufficient cash flows to meet debt obligations, while enabling the business to move effectively.
Read also: How To Write A Proposal Letter [With Sample]
Free Business Proposal Sample in Nigeria
Below is a perfect sample of a well written businessplan with detailed information about an educational consulting firm, Smartlecturer
Business Plan Template for Smartech
“Name of company: Smartech enterprises
Date of Inauguration: 26th of March, 2015
Table of Contents
Products and Services
Pricing and Sales
Management and Staffing
Smartech enterprise will be formed as a consulting company specializing in Learning Management System and general health issues as well as hi-tech products in the education markets. Its founder, Godswill Paul is someone driven with passion to help maximize the educational zeal in Nigeria youths especially and the world at large, thereby creating a platform as well a nicely constructed business plan to help enhance the beauty of education and also provide educational related consulting services, internet-based software and market research, all in educational sector both nationally and internationally.
The founder founded Smartech enterprises to make official the educational services the company offers.
Smartech offers Learning Management System (LMS) for blended learning among instructors (teachers and lecturers) and students in higher institutions. It is a collective networking cyber application suitable for teaching and learning. It is a replica of the prevailing conventional instruction, but in an online social media app configuration. It is capable of providing lecturers and instructors with the necessary tools for in-class communication as well as alliance within and outside the class room. Smartech is a high-technology inclined and reliable Leaning Management with a high quality alternative to in-house resources for education business development, market research and channel development on a national range delivering an even higher value to its clients. Initial focus will be development in Nigeria and then extend to other African countries before expanding to the outside world in general.
Keys to Success
- Excellence in fulfilling the pledge completely classified, dependable, honestproficiency and information.
- Developing visibility to generate new business and educational leads.
- Leveraging from a single pool of expertise into multiple revenue generation
Prospects:scheme consulting, educational and project research, and marketstudy published reports.
|Main financial measures|
|2015, 2016 .2017|
|Cash 3,422 52,939 114,404|
|Sales revenue– 1,175,000 1,800,000 2,450,000|
|Net profit for financial year -112,509 76,547 210,178|
|Operating margin -9.58% 4.25% 8.58%|
|Owners’ equity 22,491 159,038 349,216|
|Return on equity (per year) -500% 48.1% 60.2%|
Smartech enterprise is an educational platform that provides high-level expertise in the educational business development, intelligence development, and marketing strategies of educational products. It will focus initially on providing eight kinds of learning triangles:
- Smartech can be used by teachers to build an online learning conversation with students on courses.
- Can be used to blend offline learning with online learning with ease.
- Students enjoy using innovative technologies and social media, even in learning.
- Teaching is made easier and smarter.
- To encourage self-paced learning.
- Instructional delivery can take place anywhere and anytime.
- Help instructors in making their teaching and learning student-focused.
- Even as it is online, the lecturer still has full control of his class.
How is this possible? See reasons below:
- Lecturers create the classes
- Students need access code to join a class
- Students can only communicate with the teacher or the whole class.
- Lecturers can delete posts.
- No individual can post anonymously.
As it grows it will take on people and consulting work in related markets, such as the rest of Africa and also comparable markets. As it grows it will look for additional influence by taking brokerage positions and representation positions to generateproportional holdings in product results.
Smartech will be created as a Nigerian based corporation based in no. 1 ___________ in Nigeria owned by its principal investor.
Products and Services:
Smartech offers the expertise and educational needs to develop new product distribution and new market segments for the markets. This can be taken as high-level retainer consulting, market research reports, software applications and/or project-based consulting.
Retainer consulting – we represent a client company as an extension of its business development and market development functions. This begins with complete understanding of the client company’s situation, objectives, business plan, and constraints. We then represent the client company quietly and confidentially, sifting through new market developments and new opportunities as is appropriate to the client, representing the client in initial talks with prospective allies, vendors and conduits.
Project consulting – Proposed and billed on a per-project and per- milestone basis, project consulting offers a client company a way to harness specific qualities and use our expertise to solve specific problems, develop and write business plans, develop specific information for business and learning as well create a formidable software.
Market research – group studies available to selected clients at $5,000 per unit. A group study is packaged and published, a complete study of a specific market, channel, or topic. Examples might be studies of developing consumer channel or implications of changing margins in software.
In the future Smartech will increase coverage by expanding into analysis of additional market for learning, web-based software and technology integration). The possibility of including a newsletter or electronic newsletter services, or perhaps special on- topic reports to help broaden the scope of users and investors so as to monitor the progress of such business/ investment.
Over time, Smartech will create a learning environment that will be an invaluable resource to young people, ambitious mentors and the community at large.”
Commitment: Unite for Youth wants to inspire pro-social friendships, strong interpersonal skills, and instill a sense of hope in the future.
Responsibility: The focus of Unite for Youth is to empower youth in establishing goals and following through on commitments.
Possibility: Sartlecturers are about to expand the perspective of young people to make them aware of life’s possibilities.
Support: An individual is dramatically influenced by their support
The program will form partnerships with local school districts and the juvenile court system. Smartech goal is to substitute a commitment to young people that will promote pro-social friendships, strong interpersonal skills, and reassert a sense of hope in the future. Only through personal relationships can a sense of individual responsibility be reestablished that will give youth the commitment to follow through on path to adulthood with a sense of pride and accomplishment.
Smartech is a program that is in direct response to the growing number of young people and older people that are either falling through the cracks at school or are already entangled with the juvenile court system. The goal of the program is to identify personnel’s who are going to have a blustery transition to adulthood and offer positive support system to avoid the pitfalls that can derail their lives. The focus is slightly different at each level but the goal remains the same; empower the young person to make positive changes in his/her life
A business plan is not just required to secure funding at the start-up phase, but is a vital aid to help you manage your business more effectively. A plan can detail alternative future scenarios and set specific objectives and goals along with the resources required to achieve these goals.
While the process of documenting your plan might not be enjoyable, the results you can get from it can be, as numerous studies have shown a direct correlation between a written business plan and a company’s success. Equally as important, creating your business plan forces you to build many good habits.
Thank you for your time. Hope this post as helpful to you? Join us some other time. Bye!