The Competitive Analysis section for our cycling rental business could start something like this:
Also keep in mind that if you plan to sell products online the global marketplace is incredibly crowded and competitive. Any business can sell a product online and ship that product around the world. Don't simply assume that just because "the bicycle industry is a $62 billion business" (a number I just made up) that you can capture a meaningful percentage of that market.
Also, keep in mind that if a supplier runs out of capacity--or goes out of business altogether--you may not have a sufficient supply to meet your demand. Plan to set up multiple vendor or supplier relationships, and describe those relationships fully.
In general terms, if serving your market seems easy you can safely assume competitors will enter your market. A good business plan anticipates and accounts for new competitors.
Sales and Marketing
Some business plans include less essential but potentially important information in an Appendix section. You may decide to include, as backup or additional information:
Like any other investment you would make, money spent on marketing must generate a return. (Otherwise why make the investment?) While that return could simply be greater cash flow, good marketing plans result in higher sales and profits.
A great business solves customer problems. If your Summary cannot clearly describe, in one or two pages, how your business will solve a particular problem and make a profit, then it's very possible the opportunity does not exist--or your plan to take advantage of a genuine opportunity is not well developed.
The Competitive Analysis section of your business plan is devoted to analyzing your competition--both your current competition and potential competitors who might enter your market.
Outline the strengths and weaknesses of your potential competitors, as well as strategies that will give you a competitive advantage.
With your target customer and your brand identity under your belt, you can begin building the core marketing elements of your small business, which includes your website, your blog, your email tool, your conversion tool, and your social media accounts. To dive deeper into these topics, read our beginner's guide to small business marketing here.
Naming your business is a little more complicated than making a list and picking your favorite. If you're using a name other than your personal name, then you need to register it with your state government so they know you're doing business with a name other than your given name.
In addition to researching your target customer, when you're first starting a business, you'll need to build the foundation for a strong brand identity. Your brand identity is about your values, how you communicate concepts, and which emotions you want your customers to feel when they interact with your business. Having a consistent brand identity to promote your business will make you look more professional and help you attract new customers.
Market Analysis Templates
- Marketing Plan: A Blueprint for Start-Ups - A 20-page guide that covers how to build a sales and marketing machine, which demand generation activities with the biggest return on investment, and more. Get the Guide
- HubSpot's Free Marketing Tools - Free marketing tool that gives you insight into what every lead does before and after they fill out a form. It includes built-in analytics that make it easy to learn which pages, offers, and traffic sources are driving the most conversions for you. Get the Free Tool
- Website Grader - Enter your website URL and email address, and you'll get a detailed grade on your website's performance, mobile, SEO, and security, along with detailed tips and resources for making impactful improvements on your website. Assess My Website
- Press Release Templates - Downloadable press release templates you can customize, along with a corresponding guide to building a press release and promotion plan. Get Your Press Release Templates
- Case Study Templates - Downloadable case study templates you can customize, tips on how to find and reach out to candidates, and sample interview questions. Get Your Case Study Templates
- Content Creation Templates - 100 social media image templates, 8 PowerPoint presentation templates, 50 call-to-action templates, 15 infographic templates, 5 ebook templates, 5 blog post templates, and more. Get Your Content Templates
Furthermore, businesses are regulated on the federal, the state, and sometimes even local level. It's important to check what's required on all three of those levels. When you register your business with the government, be sure you're covering registration on all the levels required for your business' location. Your business won't be a legal entity without checking these boxes, so stay on top of it.
Keep in mind that your business plan is a living, breathing document. That means you can update your business plan as things change. For example, you might want to update it a year or two down the road if you're about to apply for a new round of funding.
Financial Plan: A complete set of forecasts including a Profit and Loss Statement, Cash Flow Statement, and Balance Sheet.
Discover the sample plan that best fits your business. Search our gallery of over 500 sample business plans and find the one that's right for you.
Executive Summary: A quick overview of your plan and entices investors to read more of your plan.
A Word doc you can edit We don’t just have PDF documents that make editing a challenge. Each plan is available in Word format so you can start editing your business plan example right away.
Key Sections Included in our Example Business Plans:
Products and Services: Reviews what you sell and what you’re offering your customers.
Market Analysis: Describes your customers and the size of your target market
If you’re interested in learning how to write a business plan, read our free in-depth guide to writing a business plan , download our free Business Plan Template , and check out LivePlan —our award-winning business planning software.
A complete business plan Unlike other blank templates, our business plan examples are complete business plans with all of the text and financial forecasts already filled out. Edit the text to make the plan your own and save hundreds of hours.
Financial Plan: A complete set of forecasts including a Profit and Loss Statement, Cash Flow Statement, and Balance Sheet.
Discover the sample plan that best fits your business. Search our gallery of over 500 sample business plans and find the one that's right for you.
Executive Summary: A quick overview of your plan and entices investors to read more of your plan.
A Word doc you can edit We don’t just have PDF documents that make editing a challenge. Each plan is available in Word format so you can start editing your business plan example right away.
Key Sections Included in our Example Business Plans:
Products and Services: Reviews what you sell and what you’re offering your customers.
Market Analysis: Describes your customers and the size of your target market
If you’re interested in learning how to write a business plan, read our free in-depth guide to writing a business plan , download our free Business Plan Template , and check out LivePlan —our award-winning business planning software.
A complete business plan Unlike other blank templates, our business plan examples are complete business plans with all of the text and financial forecasts already filled out. Edit the text to make the plan your own and save hundreds of hours.
Before you start working on your positioning statement, you should take a little time to evaluate the current market and answer the following questions:
For businesses that serve consumers from a storefront, this information is critical. Also, for businesses that require large facilities for manufacturing, warehousing, and so on, this information is an important part of your plan.
Often the biggest decisions you’ll make for your business are amidst volatile periods of growth, decline, or even external crises. This requires you to make highly consequential decisions far more quickly than you may like. Without up-to-date planning and forecast information, these decisions may be less certain or strategic than they need to be.
“Our patent-pending technology is a one-connection add-on to existing bCPAP setups. When attached to a bCPAP setup, our product provides non-invasive dual pressure ventilation.”
Execution
Be sure the packaging section of your plan answers the following questions:
The final section of your target market chapter should discuss key customers.
Investors look for great teams in addition to great ideas. Use the company and management chapter to describe your current team and who you need to hire. You will also provide a quick overview of your legal structure, location, and history if you’re already up and running. Jump to this section.