In A Business Plan
Several businesses, especially Small and Medium Scale Enterprises (SMEs) or Small and Growing Businesses (SGBs), in our society are started without a solid and well documented plan; but even businesses owners who resolve to commit their business idea(s) to paper before implementation starts usually lack the basic understanding and knowledge of the industrial standards and business rudiments without which developing a reliable, sustainable and long-term business is much challenging. I will concentrate on introducing some common business indicators and definitions. My aim is to develop an easy flow of reading subsequent posts of Business Plan and to enable a clear focus on the practical contents ofBusiness Plan. As a result, constraints to startup will be examined. With a good knowledge of the constraints, it is expectedly easy to put together a business plan that helps the business win with minimal resources both in short and long term.
Some Common Business Indicators And Definitions.
Seed Capital
For a young entrepreneur in Nigeria, the unpredictability of fundraising could be a major concern. This is where most business ideas get stalked, grow thin and die. Getting your business idea financed or raising funds to start your business can be a long stretch. One thing to keep in mind is that ups downs will continue along your entrepreneurial track. It is only appropriate to develop a winning attitude and keep thinking and planning strategically while you remain focused on your purpose or goal. Interestingly, businesses don't always have to start with cash but most people in Nigeria don't think that way. A good idea and strategy can be married for Effective business startup. The best place to get started is with the resources available at your disposal. These resources are not necessarily valued in financial terms. People around you could be fantastic resources to enable you get a business started, if you know how to tap into their wealth effectively. The resources from relatives could come in the form of what is known as 'goodwill'. Our society is however one that the entrepreneur has to be courageous when tilting towards taking Effective advantage of relatives, otherwise the entrepreneur gets knocked down. A winning drive beyond passion is a primary and continual element needed for entry into the business world.
Technology Deficiency
There are entrepreneurs who believe that before they have to start a business, every bit of technology, equipment and input has to be in place. People in this class can spend almost every Kobo on capital equipment for starting a business. After they have start the business, they are left with little or no operating funds for the business. Logically, it is appropriate to allocate 40% or less of your startup fund to capital equipment such as land, buildings machines. Our generation is one with a lot of respect for automation. Yet, there is concern as to how machines are capable of delivering devoted results in such areas as effective customer service. In a situation where a machine does it better, cheaper, more efficient and more economical, it is perhaps good to use a machine. Businesses that have succeeded in the battlefield have done much more than leverage on a good business idea. They are excellent at executions; they have a deep understanding of their competitors and deploy strategic planning to winning step-by-step. To be a market leader doesn't mean being first in the market. For example, Google and Amazon, search engine and online booksellers respectively, joined an existing industry and they came up with better ways to serve their markets by strategizing and executing according to their business plans. Proper planning, therefore, helps increase the odds of success as it offers insight into whether you truly need such things as advanced and sophisticated technology to start your business.
If You Have These Then You Can Go Into Business.
Entrepreneurship revolves round seeing opportunities and maximizing advantages around them. There are several types of entrepreneurs, such as based on opportunity or social need. Despite the motive, all entrepreneurs attempt to maximize opportunities around them. These are people who should go into business, those willing to follow their dreams ans those willing to bring about a change by providing solutions! If you are determined by passion to recreate a chaotic nexus around you, it is a good entrepreneurship start.
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