Supporting new business Essay Example | Topics and Well Written Essays - 2250 words

Supporting new business - Essay Example Identification of your competitors - Is there any product, similar to your product, available in the market If yes, how different would be your product from them Why will they buy your product when they are using pre-existing products To answer your potential customers, you will have to perform a gap analysis between your product and those available in the market and highlight the key features of your product that will be beneficial to them. In nut shell, prepare plans for beating the competition. Identification of sales channel for the product - Are you planning for direct sale Are you planning to sale it through the dealers or online on the internet How will the product be delivered to the customers Estimation of the underlying infrastructure needed to support your business - What kind of machinery will be required for the production How many people will be needed to manufacture your product Do you require human resources for any other function of the business One needs money to start a business and to run every function of the business. Where will the required financial support come from You need to assess your financial capacity against what your business needs and fill this gap by arranging for the additional money. Identification of the source of funding - Do you have enough money to support your business If not, who will... Correct estimation of sales and market potential for your product will help you in making a realistic financial plan than simply relying on assumptions. Business Plan: Inputs from market research will enable you making of systematic business plan. Through business plan, entrepreneur will focus on strategies for running the business. Some of the key tasks of a business plan are: Identify the location of the business - How big should be the premises Will it be easily accessible by the targeted customers Is it affordable Identification of sales channel for the product - Are you planning for direct sale Are you planning to sale it through the dealers or online on the internet How will the product be delivered to the customers Estimation of the underlying infrastructure needed to support your business - What kind of machinery will be required for the production How many people will be needed to manufacture your product Do you require human resources for any other function of the business Identification of sales and promotion strategy - How will you promote your products in the market How will you make targeted customers aware of your product Analysis of the possible risk/threats to the new business - Identify, in what ways your business may fail Think about the mitigation plans to tackle those failure modes Financial Investment and Planning: One needs money to start a business and to run every function of the business. Where will the required financial support come from You need to assess your financial capacity against what your business needs and fill this gap by arranging for the additional money. Financial planning refers to: Identification of the source of funding - Do you have enough money to support your business If not,