How to turn an idea into a business plan – advice for a budding entrepreneur
Setting up a company and starting a business can seem like a huge challenge, especially if you don’t have a clear business idea in mind. In this article, we take you step-by-step through how to turn your idea into a concrete business plan. Setting up a company and starting a business can seem like a huge challenge, especially if you don’t have a clear business idea in mind. In this article, we take you step-by-step through how to turn your idea into a concrete business plan.
- Book an appointment for business start-up advice. All you need at this stage is a vague business idea or an interest in entrepreneurship.
1. Turning an idea into a business concept
The first step is to turn an abstract business idea into a practical business concept. Start by considering the following questions:
- What is at the core of my idea? Which problem or need does it solve?
- Who is my target audience and what are their expectations of my product or service?
- How will I produce and deliver the product or service?
At this stage, it’s important to do thorough market research and analyse the competition in the sector to ensure that you have a unique product or service, and the potential to succeed in the market.
- Read more about drawing up a business plan
- Create an account for the LISSU Business Plan program
2. The basic structure of a business plan: where to start and what to include
Once you have a clear vision of your business concept, it’s time to start working on your business plan. Take advantage of the free LISSU business plan program, which will guide you step by step towards your ideal business. When drawing up your business plan, you should consider at least the following:
- Introduction: A brief overview of your business objectives and strategy.
- Business concept: A detailed description of the product or service, what makes it unique and its target audience.
- Market analysis: A study of market size, competition and trends.
- Marketing plan: A strategy for marketing, sales promotion and customer acquisition.
- Plan of action: Practical steps detailing how you plan to run your business and achieve your goals.
- Financial plan: An assessment of your financial needs, budget, projections and potential risks.
- Management and organisational structure: A description of the company’s ownership, management and organisation.
3. Example of the structure of a business plan
Below is an example of the business plan structure of a fictional café:
- Introduction: The aim is to set up a cosy café in a busy part of the city centre.
- Business concept: We offer top-quality coffee and freshly made baked goods in a relaxing environment.
- Market analysis: The study shows a growing demand for café culture and a relatively small number of competitors.
- Marketing plan: Includes social marketing, advertising locally and a loyalty programme.
- Plan of action: The steps involved in finding a café space, renovating it, hiring staff and opening the café.
- Financial plan: The budget includes initial capital for rent and equipment, and we expect to make a profit in the first year.
- Management and organisational structure: The company is owned and managed by the founders, who have experience in the restaurant industry.
Following this advice, you will be able to build a solid foundation for your business and have a clear idea of how you are going to achieve your goals.
