|Strategic Planning Information|
Business Plan: Planning the Operations
Writing a business plan is no easy task, sure you can whip something together in a day or so, but without proper planning you are setting yourself up to fail. Many first time entrepreneurs have a bit of trouble writing a business plan, which will be acceptable to bankers and investors. One easy place to fall down on is the understanding of the daily operations of your chosen business model.
In the operations section of the business plan you will need to address many important factors and these must coincide with your proformas and financial projections. For instance hours of operation, labor costs and over time. Also with regards to inventory, turnover and purchasing. Service businesses must also have procedures of operations.
Below I have included for you a very simple example of an operations section of a business plan, which was written for a mobile car wash business, which was part of a larger franchise organization. Feel free to print this article and then work thru each item and modify it to fit your business. Then put pen to paper on a legal pad and write additional paragraphs to your business model. Then you will have a really good understanding of what you will need complete your own operational strategic plan to insert into your award winning business plan. Think on this.
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In this operations segment we will cover inventory, equipment, distribution and hours of all basic operations.
We are required to buy all of our supplies from Car Wash Guys International, Inc. There are no set guidelines as to how much product we must buy. We are only required to purchase enough supplies to service customer demand.
We will stock all supplies on the truck locked up in toolboxes below the truck bed. We will spend approximately $40.00-$60.00 per week per truck in supplies. Our initial supply inventory is provided with our franchise package. It consists of:
2GD2USE Rubber Conditioner (1 Gallon)
Blitz Wax (1 Can)
BST4U White Wall Magic (5 Gallons)
Car Wash Guys Bumper Magic (1 Pint)
Carpet Express (1 Pint)
Carpet Machine Cleaner (2 Gallons)
Crystal Clear Window Cleaner (1 Case)
GR-8 Wax (1 Gallon)
Hot Wheel Tires (5 Gallons)
Resource 5000 (1/2 Gallon)
Sparkle Shine Soap (1 Gallon)
Super Blitz Wax (1 Gallon)
Super Clay (1 Package)
The most important products to stock are: Crystal Clear Window Cleaner, BST4U White Wall Magic, Hot Wheel Tires and GR-8 Wax. We will order one month's supply of these in advance. Other products will be ordered on Thursdays. We do a product check on Wednesdays after completing the route. We will use the franchisor's on-line computer ordering system with UPS next day or following day service.
We are required to buy the truck and all car washing equipment through the franchisor or through a list of approved vendors.
We will check all equipment for fluid levels each week as prescribed in our operations manual. We will fix any problems with the equipment as soon as detected, provided that all customers are serviced for that day. In case of accidental breakage, we will immediately call the franchisor for a spare truck, alert the manufacturer for an appointment or on-site service visit or repair or replace the worn or defective items.
It is our intention to run our trucks as many hours of the day and night as possible. We will use the truck to wash cars during the day. At night we might clean:
Our standard car wash day will be from 7:30 am to 5:30 pm. Truck fleets will be done from 6:30 pm to 9:30 pm weekdays and all day on weekends. Concrete, graffiti and heavy equipment will be done the rest of the night until 6:00 am or until all work is completed.
On rainy days we will provide the following services:
Holiday Store Front Window Paint Removal
House Paint Prepping
Interior Deep Cleaning (Automobiles)
Special Detailing Discount Services
"Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance; www.WorldThinkTank.net/wttbbs
Describing Intellectual Property in Your Business Plan
Most companies that are worthy of raising venture capital have proprietary Intellectual Property (IP). In fact, the quality of the IP and the management team are often the two most important aspects of a venture capitalist's investment decision. The challenge that many ventures face, however, is that most investors will not sign non-disclosure agreements (NDAs), and NDAs are critical to maintaining the proprietary nature of the IP. This article details the appropriate strategy for addressing proprietary IP in your business plan in order to attract investor attention while retaining the confidentiality of your inventions.
Family and Friends Referrals Make the Best Franchisees
As a franchisor it is imperative that you seek, find and recruit the best franchisees to maintain a strong franchise system. Your current Franchisees are your very best sales people, sometimes without even knowing it. As a franchisee starts making more money, it will show. Soon they will be moving out of their apartment or home into a nicer area. They will be driving a nicer car. They will be frequenting nicer eating establishments. A female franchisee's husband will tell the guys at work in a bragging way how great his wife is doing and that he plans on quitting his job to help her. A male franchisee's wife will brag to her friends that she is planning a vacation of that they bought a new indoor four-person Jacuzzi. Her friends will entice their husbands and boyfriends to look into the franchise, franchise companies should encourage this scenario and spend more time and money on referrals than straight sales. Sure mass marketing works, but throwing spaghetti at the refrigerator until something sticks is not very becoming of a star rated franchise system. Many times people at the franchisee's old job will start talking, "Hey, did you hear about Skip?, He's really doing well with that new franchise thing he doing." "Yah! Have you seen his new Corvette."
Will and Vision
Remember Chux? The disposable diaper that took the market by storm in 1932?
Building a Better Brick-and-Mortar with the Billion-Dollar Web
More than $117 billion passed hands from Internet shoppers to Internet vendors in 2004, according to the statistical research firm comScore. That's billion, with a B. Compared to the year before, the figure represents a whopping 24 percent increase in sales. Compared to the early 1990s, when the Web was a questionable commercial venture, today's $117 billion is proof-positive that the Web is the full-fledged money-making machine. It seems to be a big enough pie that any merchant with a Web site can cut out his heaping slice.
How to Write a Business Plan in Five Steps
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Your Business: Will It Have A Happy Ending?
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The Top 10 Priorities That Guard Your Five-Star Reputation
Making money doesn't make your reputation... your reputation makes you money. Gala Gorman
Corporate Contingency Planning
Business Plans Keep You On The Success Course
Where would your business be without a proper plan? A business plan sets the direction for the future of the business. It gives the business owner or manager a sense of guidance, listing the goals and objectives of the business from the start.
Online Promotion: 10 Ways To Use Focus Groups To Ignite Your Profits
A focus group is a group of employees or current customers that discuss and brainstorm new ways to improve different parts of your business.
Do You Really Need a Business Plan?
"I don't need a business plan."
6 Changes You Can Make to Increase Business Profits
I read once that something like 30 percent of all drinkable water gets wasted on the way to the consumer by leaky pipes. Likewise, your business may be letting potential revenue drip away, to be lost forever, all over the place. Use this checklist to make sure you are taking best advantage of all the opportunities for earnings that would be arriving safely if you only plugged up those holes.
Succession Planning: Problems Getting Started
A survey released by the American Institute of Certified Public Accountants in the spring of 2005 illustrates a widespread problem on the lack of succession planning [deciding who will take over running the firm when the current managers die or retire]. The survey found that 60% of responding certified public accountant (CPA) firms have owners who are in the 55-to-62-year-old age bracket, and more than half (56%) have at least one partner who will retire in the next five years. However, according to the survey, 81% of these firms still do not have a written succession plan in place. Among those firms with annual revenues under $150,000, the percentage rose to 96%. If we polled small businesses in other fields, the percentages would be comparable: around 80% of small business owners have no succession plans.
Microsoft Great Plains in Advertising & Publishing ? implementation highlights
Microsoft Great Plains, former Great Plains Dynamics is excellent fit for service oriented business and in this small article we'll give you magazine publisher and advertiser implementation and reporting scenarios. The system we describe is not real, we are putting together industry specifics, based on our consulting practice. In the case if you do not see some unique features of your publishing business ? this just means that publishing industry is diversified and say, regional newspaper publishing is quite different from magazine with narrow specialization.
The Accountability/Alignment Process: Three Steps to an Accountable Organization
The Accountability/Alignment Process: Three Steps to an Accountable Organization
College Students and Graduates to Run Company Outlets or Franchises
Does your overall business strategy include the recruitment of college students to run your locations? Are you a franching company and looking for young, talented, hardworking and dedicated franchisees? There are some things to think about before you deploy such a strategy. There are both positives and negatives to focusing your recruitment efforts on college students, for instance best reason's to use college students include some of the following:
To Go or No Go, That Is The Question
Last week we talked about a few of the ways to test the feasibility of a business idea to help determine if the idea really had merit or just looked good on the surface. To recap, I said don't bet the farm on the opinions of friends and family, consult with knowledgeable business experts, and conduct a SWOT (Strengths, Weaknesses, Opportunities, and Threats) Analysis. This week let's take it a step further and talk about the creation of a formal Feasibility Plan which will help you determine the true feasibility of your big business idea.
The Power of Strategic Thinking: Creating Meaningful Success
Too much goal setting and strategic planning can leave you feeling like you're working against the forces of nature; too little and you end up where you never intended to be-with a life or business that is bigger, smaller, or different than what you genuinely desire. Though getting you and your organization where you most want them to be at any given time can be hard work it can also be exhilarating. Is there a better way? Is it possible to minimize the stress and maximize the exhilaration while still accomplishing those things that are most important to you?
Shortening Product Life Cycle!
The current state of the available technology at the disposal of designer is the most limiting determinant to what is technically and economically feasible to develop, therefore research into metatechnology such as computer science, whereby interdisciplinary spin off provides advances that both directly increase capabilities, and affects other technologies to dramatically improve system performance, is a necessity, the implication being that despite many of the basic principles being relatively static, the technology used is essentially in a state of constant development.
5 Strategies That Will Boost Your Business Productivity Today! - Part 2
Growing your own small business can be one of the most exciting journeys you could ever embark upon!
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