By Rebecca Brightwell, MBA
AgrAbility in Georgia Staff
After acquiring a disability,
individuals often experience
a loss of farm revenue. This
is especially true if their farm
operation was on shaky ground
prior to the accident.
Having a sound business plan
can help rebuild, sustain, and
grow a business. No matter what
size operation you have, a
business plan will benefit you.
The Kauffman Center for Entrepreneurial
Leadership surveyed
the annual winners of its Entrepreneur
of the Year Award. They
found that companies with written business plans had 50 percent greater sales growth
and 12 percent higher gross profit margins than companies without plans.
So what
makes up a business plan? General sections of
a plan include:
Company
Overview - This
section is a summary
of some of the
main points in your plan.
It describes your company and
the nature of your business. It
may include your mission and
vision statement, your products
or services, ways your farm is unique, and what your business opportunities are.
Business Environment - This
section includes an analysis
of your industry, an in-depth
description of your competitors,
and a close look at your customers.
Company Description -
Includes information about
how you manage your
operation, your products
and services, and your market
potential.
Company Strategy - This
section is about your road
map for the future. Included is
your analysis of the opportunities
and threats your business
faces along with the ways you
plan to avoid pitfalls and take
advantage of opportunities.
Marketing Plan - You will want
to describe how you plan to
make sales and develop a
loyal clientele. Because your
customers are essential to
your success, this is a critical
part of your plan.
Financial Review - This is all
about the dollars and cents.
You will want to state your
current finances and what
you expect your
financial
picture to look
like in the
future. It
typically contains
financial
statements,
including an
income statement,
your balance sheet, and
a cash-flow statement. If any
of these feel foreign to you, it
may be a good area to get
assistance in.
Action Plan - This is how you
will implement your plan,
including the sequence of
events (time line) and how
they fit with your goals and
objectives.
The hardest part of the business
plan is getting started. It may
seem like a big task, but broken
down into small steps, it is quite
doable. Don’t hesitate to get
assistance where needed.
A little time invested in planning
could mean greater financial
returns.
If you have a specific question on business plans, please contact us.
VIDEO CLIP
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Video description:
Carol McDonell, Area Director of The Small Business Development Center, discusses what a business plan is.
