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Friday, August 9, 2013

Experts View on Business Planning: Part I




When you are planning on opening a business there are many things that you have to take into account that could affect your failure or success. One of the biggest things that most people might see as insignificant is the detail, effort, and importance put into the business plan. The likely hood of you succeeding as a business and getting funding is much, much higher the better and more detailed your business plan is. According to SmallBusinessTrends.com (2010), people who complete detailed business plans are nearly twice as likely to successfully grow their businesses or obtain capital as those who didn’t write a plan or whose plan was poorly executed. Below are two experts that all potential business owners could learn something from prior to opening their business. In my eyes, these experts have been very successful in their endeavors, which have made them some of the most successful entrepreneurs in the world.

Mark Cuban


Mark Cuban was born in Pittsburgh, Pennsylvania on July 31, 1958 where he got an early start as an entrepreneur at the age of 12 when he sold garbage bags door-to-door in his neighborhood (ABC.Com, 2013). Mark went on to graduate from Indian University in 1981 with a degree in Business. After he got his degree, he made a move down to Dallas, Texas where he started his first company called “MicroSolutions” which grew into a $30 million dollar company (Forbes.com, 2013). Mark then went on to sell MicroSolutions to CompuServe a few years later, which enabled Todd Wagner and himself to start AudioNet, which later became known as Broadcast.com (Forbes.com, 2013). After selling Broadcast.com to Yahoo in 1999 for billions of dollars, he went on to purchase the NBA’s Dallas Mavericks basketball franchise (IMDB.com, 2013). Mark is a high successful entrepreneur and has invested in many start ups including Mahalo, JungleCents.com, motionloft.com, filesanywhere.com, Naked Pizza and 140Fire.com (ABC.Com, 2013).

Marks past success, abilities, and current ideals are something that make him a very successful entrepreneur we can learn a lot from. Mark is person that is constantly looking for new investments and will invest in something if he believes he can add value to it or if they can help him in his business (Forbes.com, 2013). Based on research done on Forbes.com, below are the key components of which Mark believes you should include when preparing your own business plan.

  • Be as creative as possible! The amount of creativity put into the business plan affects the end outcome and the number of investors interested.
  • List how the investors would make money or how your company would add value to theirs.
  •  Be sure to state who, what, when and where your product or service is needed.
  •  Include a financial outlook or track record. If you don’t have one yet, provide projected costs and estimates.
  •  Tell your investors where you plan to be and how your company much your company could potentially grow over the next few years.


Donald Trump




Donald Trump was born June 14, 1946, in Queens, New York. At the age of 13, Trump was sent to New York Military Academy where he became a star athlete and a student leader by the time he graduated in 1964 (Biography.com, 2013). Trump then went on to college at Wharton School of Finance at the University of Pennsylvania where he graduated in 1968 with a degree in economics. After college he started his business career in an office that shared with his dad, Fred, whom he worked under for five years (Trump.com, 2013). After working for his father, he entered the real estate business that has allowed him to become the man he is today. Trump is owns many prestigious landmarks, hotels, and buildings, he is a world-class golf-course developer, a best selling author, and has a successful television production company.

According to YahooVoices.Com (2013), after researching Trumps past speeches, books, and ideals here are some key tips for a business.

  •   In order to be successful a business must have a plan. Without a business plan the company will fail because it has no direction or focus.
  • Be creative and be open to new ideas and concepts.
  •  Don’t be afraid to fail because failure is inevitable. Learn from those failures, don’t let it happen again, and come back stronger.
  • Negotiation is key. Stand your ground and negotiate. If you don’t get what you want or if you think it’s unfair, walk away.
  • Find your passion. Do what you love and love what you do.
  • Know whom your target market is and if they have money.


Although, the above tips are not the only things that you should pay attention to when making a business plan, they will help you mold your business plan into something even more successful. Both Mark Cuban and Donald Trump have had their fair share of failures and successes; therefore, taking and learning from their tips will allow you to become successful and entice investors to become a part of your company.  A few questions to my readers; What are some ways that this helped you? Are you are going to apply this to your company?


References:

ABC.Com. (2013). Biography of Mark Cuban. Retrieved on August 6, 2013, from; http://abc.go.com/shows/shark-tank/bios/mark-cuban

Biography.com. (2013). Donald Trump. Retrieved on August 6, 2013, from; http://www.biography.com/people/donald-trump-9511238

Forbes.com. (2013). At Age 25 Mark Cuban Learned Lessons About Leadership That Changed His Life. Retrieved on August 6, 2013, from; http://www.forbes.com/sites/monteburke/2013/03/28/at-age-25-mark-cuban-learned-lessons-about-leadership-that-changed-his-life/

GlobalSports.com. (2013). Mark Cuban Image. Retrieved on August 6, 2013, from; http://www.goglobalsports.com/file/pic/photo/2012/04/d8b40de693cd3088a32607c268642463_1024.jpeg

 IMBd.com. (2013). Biography for Mark Cuban. Retrieved on August 6, 2013, from; http://www.imdb.com/name/nm1171860/bio

Launchmag.co. (2013). Business Trend Image. Retrieved on August 6, 2013, from; http://launchmag.co/wp-content/uploads/2012/01/business-plan.jpg

 SmallBisinessTrends.com.(2010). A Business Plan Doubles Your Chances for Success, Says a New Survey. Retrieved on Aug 6, 2013, from; http://smallbiztrends.com/2010/06/business-plan-success-twice-as-likely.html

Weddingwoof.com. (2013). Donald Trump Image. Retrieved on August 6, 2013, from; http://www.weddingwoof.com/wp-content/uploads/2013/01/knauss-trump-portrait1.jpg

 Yahoo Voices. (2009). Ten Donald Trump Business Tips for Entrepreneurs. Delores Williams. Retrieved on August 6, 2013, from; http://voices.yahoo.com/ten-donald-trump-business-tips-entrepreneurs-3022099.html

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