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Getting Started: Creating a Business Plan

Written by: Jimmie Sypolt
Mar 11, 2006

You're excited. You have a great idea for a profitable online business. Maybe it is an original idea that has not been marketed online before. Maybe you have come up with a new spin on the ordinary. Whatever it is that has influenced you to start your online business, be sure that you have a plan before you begin. This is not the time to “pick it up as you go”. These are some basic things that should be included in your business plan. While having all of the success attributes will not assure you of instant success, not having them could spell failure.

"The business plan is a necessity. If the person who wants to start a small business can't put a business plan together, he or she is in trouble," says Robert Krummer, Jr., chairman of First Business Bank in Los Angeles.

The online business summary should give a brief description of the entire online business and is an integral part of the overall business plan. After you have completed the online business summary you should begin to list the objectives or the goals that you want to accomplish through the business. Next and perhaps most importantly, you should develop your marketing plan. The marketing plan will address all the specifics of the business. When developing the marketing strategy you should consider the following: Target Market, Competition, Advertising, Pricing, and Shipping.

The target market is the customers that you expect to see visiting your site. For example will your product be more appealing to college students or those who are in retirement?

Consider the competition for your product when determining the marketing strategy for your online business. Choose a product that will be seen as unique and useful. Visit sites that are offering the same or similar products. Find out the cost, and how they are marketing their product. Finds out the pros and cons of their online business and try to improve your product based on their flaws.

Research the various methods for advertising an online business. You should become educated about search engines and how they work since each one is different. Also be sure that you know how to submit your site to search engines. You should be prepared to spend a small amount of money on advertising, but the profits that you will gain from the advertisements will prove to be money well spent.

Think about pricing. Again, look at the competition and see what similar products are selling for. Pricing can play a big role in the success of your product since selling a product well below the average price may lead customer to think that there is a problem with the product or that it is not of the best quality. However, pricing items too high could also detour customers from your online business.

Determine the shipping method. Be sure that you know how products will be shipped so that you can have shipping details clearly posted on your site. If you are shipping things of great value, you should consider providing shipping insurance. Also think about shipping outside the country that you live in.
These few things will help your online business to become a great success and also provide you with peace of mind knowing that you have thoroughly thought about and planned for the opening of your online business.


About the Author: This article is freely distributable as long as this Resource Box is kept in tact.

About the author:
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To find the best home based business ideas and
opportunities so you can work at home visit:
http://www.OnlineBusinessSources.com
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