Northeastern Wyoming Small Business Success Begins with a Plan in 2023

One of the most positive aspects of the country’s economic environment over the past few years has been the rise of increased support for new businesses and entrepreneurs. But it is common for an individual with a great idea not to know how to start. The first step you can take now is to write a business plan and get your operation moving forward in 2023.

Now is the best time to start, as December is National Write a Business Plan Month. The Powder River Energy Corporation knows many people within its service territory have excellent business concepts. The content below will help guide you through creating a business plan and provide access to the critical resources ready to help give direction, facilitate networking and navigate the steps to secure essential financing and other operational tools.

What Is a Business Plan?

A business plan precisely defines your business, identifies your goals, and serves as your company’s resume. It shows all interested parties — employees, investors, partners and yourself — that you are committed to building the business. Creating a plan forces you to think through and select strategies to propel your growth, including market research to support your plans. The essential components of a business plan include a current and pro forma balance sheet, an income statement and a cash flow analysis.

Why You Need a Business Plan

A business plan helps you properly allocate resources, handle unforeseen complications, and make sound business decisions. A good business plan is crucial to any loan application because it provides specific and organized information about your company and how you will repay borrowed money. Additionally, the plan can inform sales personnel, suppliers, and others about your operations and goals. A business plan is for more than just startups. It is a living document that needs to be updated annually as your company grows and changes.

Components of a Typical Business Plan

The following are some of the chief parameters of a quality business plan, based on guidelines provided by the U.S. Small Business Administration (SBA) for creating a business plan. Breaking it down into several components and working on it step-by-step can make drafting a plan more manageable.

Executive summary 

• Write a brief statement on the business, including a mission statement, current location, staff and financial information 

Company description

• Write a detailed description of the business, its goals, products or services and how they will resolve marketplace issues

Organization and management

• Discuss the ownership of the enterprise and the legal structure
• Skills and experience you or your staff bring to the business
• Explain the anticipated daily business management procedures
• Discuss hiring and personnel procedures
• Discuss insurance, lease, or rent agreements, and issues pertinent to your business

Marketing and sales

• Identify the customer demand for your product/ service
• Identify your market, its size, and locations
• Explain how your product/service will be advertised and marketed
• Explain the pricing strategy 

Financial projections

• Include financial projections and funding requests necessary over a set timeframe
• Develop a monthly operating budget for the first year
• Develop an expected return on investment (ROI) and monthly cash flow for the first year
• Account for production estimates and delivery of products and services 

Concluding Statement 

• Summarize your business goals and objectives and express your commitment to the success of your business

Business plan resources

The Wyoming Small Business Development Center (SBDC) is a team of expert small business advisors throughout the state offering free, confidential assistance. Its Start Your Business resources include a template for writing a business plan. P.J. Burns is the area’s SBDC Regional Director based out of Gillette. 

The Wyoming Business Council exists to help businesses start, grow and thrive in the state. Its startup resources, financing and advisors can be found here.

In addition to its Business Plan Tool, the SBA’s online, self-paced course on How to Write a Business Plan is an excellent resource for learning more about putting your business plan together. The course explains the importance of business planning, describes plan components and provides access to resources and sample plans.

Bplans and the SBA’s Business Planning Guide have many sample plans across specific business categories that are excellent resources to apply to your business. 

Now is the time! 

Whether you have an established business or expect to start one, a business plan is critical to meeting your goals. Once you have a draft of your business plan, review it with a colleague or contact the resources above. Once that step is complete, and if you require financing, make an appointment to review and discuss it with your banker. As the year progresses, review the business plan and decide if changes are necessary.

If you require further assistance after reading this document, please do not hesitate to contact the Powder River Energy Corporation for help accessing expert resources to help make 2023 your best year yet.