Episode 418 - How to Write a Business Plan (That Actually Works)

This episode teaches aspiring entrepreneurs how to write a real-world business plan that sets their idea up for success. Learn the 7 must-have sections of a business plan, from defining your customer to locking in your revenue model.

Host: Paul Falavolito
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Episode Transcript

Speaker 1 (00:04):
Helping leaders motivate their people to a higher level of
performance through strong human relations, team building, and golajving. This
is the seven Minute Leadership Podcast with your host Paul
fella Aledo.

Speaker 2 (00:20):
Hello everyone, and welcome to the seven Minute Leadership Podcast.
It's episode four eighteen. Today we're talking about something every entrepreneur,
side hustler and startup founder will eventually face, writing a
business plan. Now, before you tune out thinking I don't
need a thirty page plan to get started, let me

(00:43):
stop you. I'm not talking about some corporate bound document
filled with fifty pages of crap. I'm talking about a
real plan, one that's sharp, tactical, and written so that anyone,
even if it's just you and a dream, can take
action on. Here's the truth. Most people skip this step

(01:05):
because it feels intimidating. But let me put it this way.
If your idea is worth doing, it's worth planning. The
business plan isn't a hoop to jump through. It's your
game plan for survival and your blueprint for growth. So
let's get into it. I'm going to break this into
seven quick sections, each one critical and easy to understand.

(01:27):
Grab a notebook or pause, and come back later if
you're in the middle of something, but don't skip this step.
Part one is the problem. Start with this What problem
are you solving? Be honest, be specific. Great businesses solve
real pain points. The example I'd give is scheduling for

(01:48):
home healthcare workers is inefficient and wastes twenty percent of
their time. That's a real problem. If your business doesn't
solve it, it's then just a hobby. Part two the So,
this is your product or service. What are you offering
and how does it solve the problem better, faster or cheaper?

(02:10):
And don't get cute here. Don't write we are redefining
the digital experience right Our app cuts scheduling time in
half with AI driven smart calendars. Get clear on what
you're offering, because if you're not clear, your customers won't
be either. Part three target market. Who are you selling to?

(02:31):
And don't say everyone. Your product might help everyone, but
your first customers won't be. Define your beachhead market. Are
they college students, busy parents, small business owners with less
than ten employees. Nail it down. Your marketing, pricing, and
messaging all depend on this section. Part four is your

(02:53):
competitive edge. What makes your idea different? Or better. This
is where you explain why you're not just another coffee shop,
another podcast, or another T shirt brand. Maybe it's your price,
maybe it's your brand voice, Maybe it's your delivery speed,
maybe it's your background. The point is you need an
edge and you need to put it on paper. Number

(03:16):
five is revenue model. How are you going to make money?
Be simple and specific if it's subscription, a one time
product sale, a licensing fee. Will you sell directly to
customers or through partners? And don't forget to answer this,
what will you charge and why? If you're scared to
talk about money, you're not ready to be in business.

(03:38):
Part six is marketing and sales strategy. How will people
hear about you and what will make them buy? List
your plan? Will you use social media ads, partner with influencers,
attend local events, cold email, SEO or word of mouth?
Also include your sales funnel. What happens from the first

(03:59):
click to the final sale. Don't just wing this. You
don't get customers by accident. And Part seven is financial
forecast and milestones. You don't need a CPA to do
this part just be realistic. What will it cost to start?
What are your monthly expenses, what's your break even point,

(04:20):
how much do you need to make in year one?
And what are your key milestones for the next twelve months?
And here's the leadership mindset. A business plan is not
about predicting the future. It's about showing you have a
plan if things go wrong, and that you know what
success looks like when it finally shows up. So keep

(04:40):
it simple. One page is better than nothing, A few
pages is fine. A fifteen page investor ready document comes
later if needed right now, just start use bullet points,
use sticky notes, use voice memos. I don't care how
it gets done. Just get it out of your head
head and into a plan. So, if you're serious about

(05:06):
building something that lasts, this is the seven minute mindset shift.
You can either hope your idea works or you can
plan for it to succeed. Writing a business plan is
not about checking a box. It's about stepping into leadership
and owning your idea like it's already real. And that's

(05:29):
how you go from dreamer to doer. This has been
the seven minute Leadership podcast, and I thank you for listening.

Speaker 1 (05:37):
For more, Paul fell of Alito Podcasts, visit paulfellowalito dot
com