Thrive in the Recession - 8 Basics of a Sound Business Plan

Are you ready for the recession? Here's how you6. What are the costs?
can turn it into an opportunity to survive andPremises, raw materials, suppliers, marketing,
thrive: set up your own online business and createdelivery, license costs, staff costs, lawyers and
an extra stream of income.accountants, day-to-day operational expenses.
Starting a new online business does not mean7. How much money can you make?
that you have to give up your current job. YouHow much can you sell it for? How many can you
can set it up doing extra work in your eveningssell in a week/month/year? What sales channels
and weekends and keep your income from yourwill you use? How will you promote it?
current job while the income from your new8. Do you have sufficient funds?
business grows.What are the start-up costs? What are your
So what do you need to do to maximise themarketing and promotion costs? How long before
chances of success of your new business?you can break even? Where is the funding going
Find something that you're either good at orto come from?
passionate about. Then you need to research andIt doesn't matter what type of business you're
plan properly.thinking of, going through that checklist is a good
Here are 8 questions - answer them in full forway to make sure you've got most things
your situation and you'll have the basis of a soundcovered.
plan for your business:Use the answers to those questions to create
1. What are your skills?your business plan.
Can you teach? Can you write? Can you sell? AreAnd here's some good news: if you start an online
you technically proficient?business many of the items above won't apply.
2. What do people want to buy? In a recession.With an online, affiliate marketing business, for
Luxuries and frivolous things are not going to beexample, your start up costs would be negligible,
at the top of people's shopping lists if they areyour delivery and logistics costs zero, you would
struggling with the effects of recession.have no need for special equipment or premises
Necessities are.and no need for separate outside suppliers.
3. Is there a market?But you still need to develop a plan!
Is there a demand for it? How much wouldIt's important to remember that, whether your
people be prepared to pay for it? What will affectbusiness is online or off-line, it's still a business.
demand for it (e.g. weather, strikes, competition)Don't be taken in by all the promises of easy
and how? How much competition is there? Howmoney online. It simply isn't the case - if it was
much is your competition charging?everyone would be doing it!
4. What will the process be?But, as long as you treat it like a real business,
How are you going to make it? How are youyou can make a lot of money online.
going to market and sell it? How are you going toThere are lots of resources available to help you
deliver it? How are you going to get people towith developing and promoting your online
pay you for it?business - just make sure you pick top quality
5. What are the dependencies?ones.
What type of premises do you need? Do youAnd beware (and avoid) the snake oil salesmen:
need outside suppliers - if so for which parts? Dothose who promise huge monthly incomes for
you need licences - if so what licences? Do youdoing just a few hours work a month.
need special equipment? Do you need staff?