Foundations for Success: How to Create an Effective Business Plan (Solo Episode)

Welcome to another solo episode of the Dear Black CEO podcast with your host, Karl Sona!

3 out of 4 startups fail. That can be a very daunting statistic for anyone looking to start a business. So what is going to set us apart? What I’ve learned on the path to ownership is that effective planning is what ultimately takes the concept in your head to become something tangible people will pay actual dollars for. So, In this episode, I want to get very practical and break down some actionable steps you can take into your week to begin laying down the foundation for your business’ success. 

Get pumped, get energized, and dive in to unpack how to create an effective business plan! 

[00:01 – 05:40] Opening Segment

• I talk about my passion for this podcast and my vision for change
• I introduce the topic for today’s episode
• • Creating an effective business plan
  • Prepare for practical steps and takeaways 
  • 3 out of 4 startups will fail 
  • The difference is in planning
• Let’s be honest about the idea of planning
• • It very rarely ever goes that exact direction 
  • We need to be flexible and nimble in the game 
  • Failing to plan is negligent and lazy 
• Remember you’re not alone

[05:41 – 15:08] Foundations for Success: How to Create an Effective Business Plan

• First, Start off with an executive summary 
• • Why should people invest or subscribe to your business?
  • What is the market opportunity? 
  • Figure out the problem that you’re solving 
  • Make your customers elated to work with you 
  • Feel free to reach out for more ideas: karl@dearblakceo.com 
• Figure out how much money/capital you actually need 
• • Stay in the game long enough for the home run 
  • Maximize your dollars to prove out your concept
• Write down your business description
• • Describing why your idea will win 
  • How you are fulfilling a critical need 
• Move to your marketing strategy
• • Prepare to iterate 
  • Take a look at the market for competitors 
  • Think about your pricing and market share 
  • • Premium or entry-level?
  • My current model as an example

If you are a black business owner looking to grow your revenue, listen up. There is a major revenue-generating opportunity for you, and The Kas company is here to help you secure the bag. The Kas Company is a black-owned alliance agency specializing in finding and brokering partnerships between black-owned companies and big brands looking to diversify their supply chains.

• See the link below to book your free consultation today

[15:09 – 27:19] Creating an Effective Business Plan – Continued

• Think through manufacturing and distribution if you have a physical product 
• • Break down costs and responsibilities
  • Knowing turn around time is key
• The organization of your company 
• • Build out your ideal team 
  • Structure with intent to scale – think big!
• SWOT – what are your critical risks?
• • Understand the risks and the opportunities
• Your financials
• • Estimate expenses and revenue 
  • Understand your profit margin
  • Predict cash flow 
• Stay tuned for my upcoming workshop for more info 
• • Connect with other like-minded people
  • Email me at karl@dearblackceo.com
  • • Subject: Business Planning Session
• Think through your early milestones
• • Attach a timeline to it over a 3 year period 
• Final words

Tweetable Quotes:

“I think one of the reasons startups fail is, quite frankly, they can’t stay in the game long enough to connect with the home run.” – Karl Sona

“Thinking is free of charge. So if it’s free, why think small? Why not go big?” – Karl Sona (Inspired by Sujimoto)

“Take the time to exercise some patience and some discipline, and to humor yourself… It’s going to end up opening your mind to a different set of opportunities that you’re probably not considering.” – Karl Sona 

Resources Mentioned:

• Secrets to a Successful Startup

Let’s connect! Find me on LinkedIn, Instagram or check out my website http://karlsona.com/. And The Kas Company to find out more about my coaching program. Feel free to reach out to me at karl@dearblakceo.com with any questions. 

You don’t have to be anyone other than who you are to be a world-class CEO!