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003 Page Business Plan

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Marketing Analysis/Strategy: The next thing to write (after the general description) should be your marketing strategy. For new or existing businesses, market analysis is an important basis for the marketing plan and will help justify the sales forecast. Existing businesses will rely heavily on past performance as an indicator of the future. New businesses have a greater challenge _ they will rely more on market research using libraries, trade associations, government statistics, surveys, competitor observations, etc. In all cases, make sure your market analysis is relevant to establishing the viability of your new business and the reasonableness of the sales forecast.

Here are the steps you would need to take. First, you would need to know all your current business numbers. This will be the basis for the plan. You're going to need to know: 1. What your current average monthly sales are 2. What your current average monthly material cost is 3. What your current average monthly labor cost is 4. What your current average monthly fixed expenses are 5. What your current average monthly variable expenses are 6. What your average number of transactions per customer per month are 7. What your average dollar sale per transaction is 8. What your average monthly profit is 9. What your average monthly profit margin is 10. And what % capacity your business is at right now Second, decide what you want your salary to be Third, determine how many years in the future you want to plan for Fourth, you will need to know: 1. What % is your material cost of sales? 2. What % is your labor cost of sales? 3. And what % is your variable expense of sales?

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