Contents
Foreword by Robert Kiyosaki xi
Chapter One Plan to Win 1
Chapter Two Why Do You Need a Plan? 5
Chapter ree Business Plan Basics 11
Chapter Four Missions and Goals 29
Chapter Five Executive Summary and Business Strategy 35
Chapter Six Know Your Business 45
Chapter Seven Know Your Real Estate 59
Chapter Eight Structure and Strategy 65
Chapter Nine e Logistics 85
Chapter Ten Marketing Your Business 97
Chapter Eleven Marketing Trends and Timing 111
Chapter Twelve Funding and Financials 121
Chapter irteen Financial Forecasting 139
Chapter Fourteen Presenting the Plan 167
Chapter Fieen Business Plans Around the World 177
Chapter Sixteen Business Plan Competitions 191
Chapter Seventeen Conclusion 199
Appendix
Appendix A Business Startup Check List 201
Appendix B Business Plan for Mikhail’s Tacos, Inc. 205
Index 237
1
“Winning isn’t everything, but wanting to win is.”
– Vince Lombardi
C
ongratulations on making the decision to turn your dream into a
business plan. It’s an exciting step and you are to be commended.
Most people’s fear of failure and inability to take risks are stronger
than their desire to live their dreams. at’s ne for them, but it limits
their lives.
Now that you have made the choice to go from an idea to a plan, the
goal of this book is to both provide a framework for winning business plans
and more importantly, to challenge your thinking. ere is a standard
format that virtually all business plans adhere to. Rather than simply
providing yet another rehash of the standard format, we will combine
the basic “how-to’s” with tough questions and street-smart insights into
what savvy investors and lenders are really looking for in each section of
your plan.
Successful entrepreneurs naturally embrace the challenge of making
their dream a reality. Creating a new business is exciting, challenging and
requires all of you to make it successful. By learning to build a successful
business those with true entrepreneurial spirit will develop a profession
few will ever achieve.
Chapter One
Plan to Win
Chapter One
2
Remember though that nine out of ten new businesses fail despite
plans that communicate great opportunity. In reality, most businesses
fail not because of poorly written business plans, they lose because their
owners don’t prepare themselves for the real world of business. So before
we begin the “how-to” section of this book, it’s critical that you answer
two key questions:
1) How bad do you want to win?
is is the rst question to ask yourself as you begin the journey of
turning your dream into a winning business plan. If your inner-drive
and motivation to start a business aren’t big enough, the “how-to” of a
plan doesn’t matter.
2) Are you mentally prepared to own your own business?
Dreams are romantic gestures that provide great inspiration. With
a business plan, inspiration meets perspiration. Starting your own
business will take everything you have. e common theme in all
novice business plans in an underestimation of the time, energy,
experience and money necessary to build a winning business.
Each business plan has a price. Most people want successful businesses
but are not willing to rst invest the time. ey want get rich quick
schemes and oen start businesses without basic skills. Most people do it
“their way” instead of investing in study and building a team of competent
advisors.
Great business plans come from entrepreneurs willing to delay
immediate gratication. ey take risks and invest the time and energy
necessary to gain relevant experience and education. ey are not afraid of
making mistakes or failing because mistakes and failure equal experience.
ey start small and build, recognizing experience leads to greater ability.
Aer paying the price, true entrepreneurs gain the knowledge to build a
winning plan and winning business.
Plan to Win
3
Most business plans are written to attract funding to start a business
or expand an existing business. Plans are also written to help existing
businesses grow, but that aspect of “strategic planning” is dierent than
the focus of this book, which is to provide a framework to convince an
investor, and yourself, that your plan possesses the necessary ingredients
to become one of the 5% of new businesses that succeed. Savvy investors
and lenders know the odds and unless you educate yourself on the realities
of winning plans, your plan will likely make its way to the bottom of the
waste basket.
Business is a plan, not a product or procedure. Good plans expect
the unexpected, but remain intact and in use throughout the trying early
years. ey just keep getting improved upon as you learn more. Your
personal plan can be nancial freedom—freedom from the day to day
grind of working for money. But your business plan has to answer the
following questions for investors and lenders:
1. Can I make money investing in this business (risk vs. reward)?
2. Do I like and understand the business I’m investing in?
3. Do I trust the people I am investing with?
It’s also important to note that winning in business has much more to
do with entrepreneurial spirit than it does with age or gender. You’re never
too old or too young to be a successful entrepreneur. In Rich Dad’s Guide
to Investing, Robert Kiyosaki describes the personal traits of a successful
entrepreneur:
1) Vision: Ability to nd opportunities others cannot see
2) Courage: Ability to act despite tremendous doubt
3) Creativity: Ability to think outside the box
4) Ability to withstand criticism: ere is not one successful
person who has not been criticized
Chapter One
4
5) Ability to delay gratication: It can be very dicult to learn
to deny short-term immediate self-gratication in favor of a
greater long-term reward
So as you begin to write your plan, ask yourself if you truly have
the tenacity to fail and start the challenge again. Nearly all successful
entrepreneurs have had many failures. e beautiful thing about business
is that you don’t have to be right 51% of the time, you only have to be
right once.
Rich Dad Tips
• As you begin the process of creating a new business surround
yourself with successful and like-minded people
• Take the time to really think about what you want in this gi
called your life. Many new businesses owners have a dream of
freedom and end up creating a “job” for themselves.
• Don’t forget to plan your exit at the beginning. Too many
people get caught up in starting a business and fail to think
about preparing for its end goal.
• ere is never a perfect time to start a business. If you want to
live your dream, prepare yourself as well as you possibly can and
then take action!
