Five important elements of a venture plan

by Ashvini on August 21, 2012 · 7 comments

in Entrepreneurship

I have been out of action for about two weeks because of a nasty eye infection. Not being able to post is troublesome. I need to get better planned about it.

Elements of venture planning

Entrepreneurs are excited about their venture. Most of the focus is often on executing the project and taking the product to customers as soon as possible. In the heat, planning may be neglected. Without proper planning the risks at execution increase quite a bit. Of course it is not possible to think of all the bottlenecks that can hamper a project. But a little bit of planning makes for a lot less trouble later on.

As an entrepreneur, here are some of  my favourite points on planning.

  1. USP (Unique selling proposition) :

    This the single most important point that differentiates your business from others. This could be a unique product feature, unprecedented service support, guarantees or anything else that makes your business stand apart. Getting the right USP is not easy and often it may even involve change of business plan. Without USP , your business does not have chance of competing with businesses of similar kinds.

  2. SWOT Analysis :

    Knowing your strengths and weaknesses is a must because it gives you a sense as to where you are standing in comparison to other businesses. Building on strengths while minimizing the impact of weakness is vital. Also knowing the opportunities and threats to your business gives you enough time to reassess your strategy and become better planned.

  3. Cash flow planning:

    You have a great pool of money right now. After one year, it might get reduced quite a bit. Unless you can plan for your expenses a few months after the beginning, it may threaten the existence of business itself. Having a well developed cash flow plan means that you are aware of the expenses and the ways you are going to meet them.

  4. Dedicated team:

    Many entrepreneurs think that people they hire are part of their team. They are technically part of the company. However a dedicated team stands with you in thick and thin. They could be your friends or family which will stand by you and willing to work with you without expectation of immediate rewards( unlike salaried employees). Having a group of people who believe in your cause is a must. Forming a dedicated team is part of planning stage and not when your business starts operation.

  5. Scope of your project:

    It is important to know the scope of your project. It includes the features of products that you are creating or the service that you are offering. Based on your risk capacity, you may enhance or limit your offerings. Writing down your scope of services helps you keep track of your project goals and timelines.

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{ 7 comments }

DiNaRa August 27, 2012 at 12:13 pm

For me it is great that you have put USP as the first point as it should the main one which will distinguish your product among otheers. I agree that planning is also vital and the more careful it is the better for you.

Ashvini Kumar Saxena August 30, 2012 at 11:55 am

thanks for your views

migisi August 23, 2012 at 2:11 pm

Hi Ashvini,
Your post about the venture plan is really nice and interesting.. the points you have mentioned are very important points and they are very useful also.. thanks for sharing this post with us..
How is your eye infection?

Ashvini Kumar Saxena August 30, 2012 at 11:57 am

Hi Migisi,

Thanks for asking. It is healed now and I am glad to be back to work.

Barrett Rossie August 23, 2012 at 2:18 am

Ashvini, I followed you here from Bill Dorman’s site, a great meeting place. I wanted to add some great advice I heard on planning a venture: Make sure you can tell it as a story. David Reimer advises students at the Hass School of Business, University of California at Berkeley, using Pixar’s film Toy Story 3 as an example. Here’s a link where you can find a video of David’s talk to a competitors in a business plan competition.: http://ow.ly/da2xz

The video is long, but if you’re interested in venture plans, it’s worth a look. He talks about the elements of story telling, and relates how you have to craft a good story to interest VCs.

Cheers!

Adrienne August 22, 2012 at 7:21 pm

Hey Ashvini,

I’m so sorry that you’ve been out of commission for a few weeks. I take it your eye is much better. I hear what you’re saying, I know that I probably need to get several posts lined up ahead of time as well but for the most part, I write about what I want at that particular time.

Planning ahead is of course so very important so that we can meet unforeseen events that may occur but like you also mentioned here, it’s just smart business. Man, I would love to get a dedicated team working with me but I have a feeling that will happen some day. In the meantime, it’s just little old me.

Great points you made and of course they are all very important. Now, we just need to kick it into gear and implement them all.

Feel better and enjoy what’s left of your week.

~Adrienne

Ashvini Kumar Saxena August 30, 2012 at 12:02 pm

Hi Adrienne,

I am doing much better now.
I am also looking for the day when I have a dedicated team working for myself. As you said rightly, planning is necessary for making business smart.

Thanks for your comment. Its always great to see you here :)

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