Business Plan Business Expansion
A professional Business Plan for your Business Expansion
You may be an entrepreneur, a sole trader, a company that is bringing in a lot of profits or faces a changing economy environment. You are in a stage where your debts are paid off, and your business seeks out more option for growth. Your business may only be profitable in the future if you make the right strategic decisions today. gA business expansion can be a profitable solution for your products and companies. But an expansion can vary in different forms and tasks. For representing your vision for the right purpose and underlining that you are aware of using your profits effectively, a professional business plan is often required.
Understanding Business Expansion
Every business wants and needs to grow at some point or the other. When a business is at a stage where the profits can be reinvested to explore growth opportunities, the business has reached its expansion stage. Business Expansion is a stage where your business reaches the point of growth, and there is a need for additional options to generate more profit. You can expand by
- adding employees to the present business
- offering franchise opportunities to entrepreneurs or forming an alliance with a competitor with a similar business
- entering new markets with the present products and services
- increasing marketing and advertising
- offering new products or services to the existing market
- merging with or acquiring another business
- expanding either globally or through the internet
Business expansion can happen in any of the above forms. But it is important to frame a business plan for business expansion before you make any investment. A business plan for business expansion projects the marketing strategies and investment plan based on the present market growth of the business. A professional business plan consists of the overview of the present business, market analysis, competitive analysis, breakdown of the products and services offered by you, marketing plan, and sales strategy, among other details. A business plan creation for business expansion should be based on the present market growth of your business. Most companies frame a business plan while hiring a business plan writer who may be a company employee or an expert consultant from an organization like businessplan.org.
How can you plan your expansion?
If your business has reached the expansion stage, it means you want to tackle further (target) markets or product expansions. You are doing everything right, which has resulted in profits, and the next step is to invest your profits in the right way. But investing is not as simple as it seems. A lot of study is required to ensure that you invest the profits properly. A business plan consultant will be able to help you frame a professional business plan that will help you with your business expansion and delivering the right data to backup your plans. We also review your business plan at any stage or you can fully outsource your business plan creation process to our experts.
A business plan expert usually employs the following strategies to frame a business plan for business expansion. The following aspects are just an excerpt.
- Conduct a helpful market research
Market research gathers data on your present customers and potential customers (see business plan market and industry analysis). It also helps analyze the present market for the products and services provided by you and aids in business decision making. The study helps in reducing the risks involved while making the expansion decisions. Market research guides you through the four Ps of product, price, place, and promotion. It helps you determine how you can improve your product or service, and what price customers are willing to pay for it. The demographic research gives details of your customers, their buying habits, where they get their information from, what prompted them to buy a product or service. This helps you plan your marketing and advertising strategies and helps you decide where and how to promote your products or services (for market and regional aspects of a business plan see our advisor).
- Understand your target market
When you own a business, you already know who your target market is (see business plan location and target market). Your products and services are based on the needs and likes of your target market. Unknowingly, you may be targeting the wrong segment of the market. For instance, you are a product-based company selling cosmetics with a price range suitable for everyone. Your target market may be women of every age. What you are failing to see is that in present times, cosmetics are widely used by men also. It is always better to study the target market from time to time before making any business expansion plan.
- Conduct a sound competitor analysis
Every product and every service has a competitor. There is no single company that enjoys a monopoly (see business plan competitor analysis). You may be gaining a major part of the profits in the market, but at times, a competitor may enter the market offering a similar product at a discounted rate, or with better features. Competitor analysis helps to understand where the competitor stands in the market, their marketing strategy, pricing policy, among others. The study helps the business plan expert to judge where your company needs investing.
- Analyze your products and services
Your product or service may be a cash cow that is bringing in a lot of profit without any changes having been made for several years (see business plan business model). Even with several competitors entering the market, you enjoy profits. What you are failing to see is an opportunity for expansion. You are an established brand, and hence, you are making profits. If your product or service is changed from time to time to suit the needs of your target market, there is a chance for growth. A business plan writer analyses the market to understand whether there is a need for change in the product and its pricing.
- Identify future growth potential
There is always an opportunity for growth, especially when the business is making profits. But the question is, where to invest? A business has several aspects which contribute to growth and development. It may be the product or the service offered, the pricing strategy adopted, or even the marketing plan. A business plan creation is an opportunity to understand the growth potential of your business.
- Develop a business plan for your business expansion
Business expansion is possible only when your business is making profits for a certain period. As a business, you can enjoy the profits or reinvest it into your business to aid in growth. But the question is, where to invest? There are several answers to this question, but only one solution. A business plan for business expansion helps you understand for your own planning where and how the profits can be invested to ensure that your business sees growth in the future. It also shows your shareholders what your goals and strategy look like. For different objectives you will need a customized approach (see for example business plan for credit or business plan for franchise).
Writing a business plan is not an easy task. Most businesses get the help of business plan experts. If you are looking for help in framing a customized business plan for your business expansion, you can contact us, businessplan.org. Our business plan experts will ensure that their expertise is used optimally to ensure you benefit from it.