What Do You Need For A Business Plan

What do you need for a business plan? Let's talk about that. I am the master of business planning. I don't know how many business plans and business scalability plans that I have wrote. So we're going to talk about the critical components of an operational and a capital raising business plan. We're also going to talk about the essential components that are necessary to have in the core business plan. Because some of you have, there's some of these esoteric things, are they really needed? No, we're going to get to what's the core things you absolutely have to do to get operational and capital raising. Very different core things. And then last, let's talk about practical steps to take action, due diligence, and get this planning in motion. We are filming now at the beginning of 2024. If you don't have a plan for 2024, I'm going to say you're behind. You need to get caught up as fast as we have this conversation today. So what are the critical differences between an operational plan and a capital raising plan? They're huge. Operational is just for internal use. You're not publishing it anywhere. You might show it to your CFO or CPA. This is for internal use. What are your strategies? What are the tactics of those strategies? How are you week by week, month by month, going to get to where you want to go in your, what I call KPIs. I'm sure you've all heard of that, which are key performance indicators. Capital raising is different. It's way more sophisticated. Normally in a capital raise, it's going to show up in some form of a prospectus, some form of a PPM. That's an American term. But you're going to have some document that's going to go usually to a variety of lenders, family offices, private equity firms, they're going to look through everything. So that includes a lot more financials because you're handing this to a third party to accept a capital raising or to be accepted by a big lender, family office, private equity, hard money lenders. So you're going to need all the financials. The biggest thing that I see is the difference is not only the financials, it's the sophistication of the marketing research. Can you sell the product that you are building? Do you have a marketing plan to get it to distribution to the entire industry? And even more importantly, do you have a management team? So who's your management team? Who has the experience to do what you say you want to do? Who has experience to raise investor capital and then manage it and make sure you have enough resume that you can show return? So we get so many people, whether it's from YouTube or other social channels that they come because they want to learn to raise capital and they want to do the first real estate deal or second real estate deal. I wouldn't even look at a capital raising plan for you guys until you've done three to five deals. You have got to get a resume. You got to get to the street, get to the playing field and really do deals at the front line, not behind other wholesalers, not behind other people and brokers. You have to know how these deals get done at the front line. You've got to know how to manage the costs, the vendors, all of it. That's what builds a resume. So I'm invited a lot of times as a board of advisor to be on the management deck for somebody's capital raising idea or project. I will never take a director position for many reasons. An advisor's fine, even though I'm not an advisor legally by definition, by having a securities license or a financial planning license, any of those. I am just helping usually in marketing and sales. Believe it or not, I'm brought in for more of that tactic than anything else. But I have a huge resume. I've got six bestselling books. I've got, you know, lots and lots of transactions behind me. So I have a huge resume. So a lot of you, you're looking for capital raising and you have no resume. You haven't even done one real estate transaction or one deal. So don't spend your time on capital raising. Do your own operational internal plan. Just get some deals done and build a resume. Now, what are the components of a plan no matter what? And again, the capital raising plan is going to have a little more sophistication and a few more tabs to it. But in general, the components, get a pen, write these down. And I write about this a lot in my business plan products. So I actually wrote a process. It's a four-hour process on how to build a business plan, an operational plan. In four hours, you listen to me talk. You type while I talk into a beautiful document and you're up and running in four hours. So in that, we talk about your mission and vision. Now, for some of you, if your mission and vision is you just want to quit your job and get something going, skip that chapter because that's work you don't need to do. So I'm going to talk to you like, what's your mission? What's the exit going to be? You don't know what that is right now. Like when I jumped from Chevron to work on the Rich Dad Poor Dad team, I just wanted to quit my job and I wanted to transition to this industry that I'm now commanding. I didn't want to be an exercise physiologist anymore. I didn't want to work for Chevron anymore. So I didn't have a mission and vision. So I just skipped it and moved on. Like, what do I want? I need to get to revenue as fast as I can. So then you go to your revenue strategies. You go to your revenue model. You got like, how are you going to make money? What's the strategies and tactics of that? And then you go to how are you going to market it? How are you going to sell it? Who's going to be the team to do it? And that's all quick and operational. So you can be up and running in an operational business plan within literally, I think, four, six hours. I mean, you can't do it in a day. You're stumbling around, wasting a lot of time. You just get clear, what is it that you want to do? And how are you going to get it done? And who on the team's going to do it? So for a lot of you, if you're a solopreneur, you're going, well, I'm going to do it all. No, you're not. You don't have the skills to do what takes about seven departments to run any company. Even if it's a little company or a big company, you're going to need marketing. You got to go get a lead. You're going to need sales. You're going to need accounting to manage your cash flow. Top three skills of an entrepreneur is marketing, sales, cash flow. Then you fulfill. I'm assuming you all know how to fulfill. That's why we always say we're industry agnostic. We don't care what industry you're in. You just have to know how to do the thing. Then you follow it up with customer service. You're going to need all the technology and any of the other operational support. That's minimum. So if you're out there as a solopreneur saying, I'm going to do it myself. No, you're not. Well, you can cobble it together. You'll be lucky to get to six figures in 10 years because you're trying to do everything and you're not good at all of them. Like I always say, I'm good at maybe three to five things. And I just focus on strengthening those strengths and I hire the weaknesses. So you have to start hiring. Now, before I go to the last point, I want you to subscribe to my channel. I want you here five days a week. I don't do these because I need to stand behind a camera. I'm doing this for you, your family, and your knowledge. So you don't have any fear or weird issues about money. You have a lack of knowledge about money. So make sure you subscribe to the channel. Click the notification button and listen to it. Every day I want you to at least take away a key learning. You can grab my YouTube journal. It's in the description below. So grab that really quick. You can take notes on what you're learning. You couple the notes you're learning here on my channel with a business plan. You got gold and let's start making money right away. Like immediately. There's no reason you can't all make money today if you actually just started doing what I'm telling you to do. Are you willing to do it versus what I'm telling you? That's usually where I see the gap in our clients. And please share this channel with as many people as you can. So what are the practical steps right now to take some action and do some due diligence? So you do need to do some research. Like who's solving the problem you want to solve? And really, is there a market? How big is the market? What's already being spent in that market? So that's part of it. Also like putting some financials next to it. What's a potential revenue model of the P&L and balance sheet? I mentioned that before, but really thoroughly detailing. Like before I started becoming a speaker, author, trainer, right? And this coach in this category. I mean, I looked around the category and I entered this in 1996. So it was pretty new. Coaching was a pretty like new kid on the block. Now there's thousands of coaches, training institutes. There's hundreds of thousands of people who say they're coaches. But when I started, it was a fairly new industry and I saw a huge, huge skyrocket of potential revenue in being a coach facilitator. And when you supplement that by bestselling books and all the content that supports, and then you start getting a lot of testimonials on the evidence you can produce, then you start moving into the seven, eight, nine figure categories. So in your due diligence, look at that marketing research. And the other activity I love to do is a SWOT analysis. What are the strengths, weaknesses, opportunities, and threats of what you're about to do? Like, do you, I think the biggest threat for most of you is you won't hire a team. Like, I'm just going to say, you want to make a lot of money, but you want to play cheap and it's not going to work. So you're going to have to figure that out. And I can tell you, I have never figured this out on my own. Since 17, I've had a mentor. I'm always mentored. I'm always a learner. How is it that you're in business and have never hired a proper multi-millionaire business mentor? Wealth building mentor. I think it's fascinating that some of you live out there on your own and risk the possibility of failing quicker. Because what do mentorships do? What have they done for me? What do I do for you? You introduce, I mean, the phone, the Rolodex. I want connections as fast as you can get them to me. I want to avoid costly errors because you've already been there, done it, and I haven't. And I want any other resources that you can possibly give me and guidance to get where I want to go faster. So there's speed associated with it instead of stumbling around and taking course after course after course. Some of you just keep buying courses knowledge by itself. Knowledge without action is going to keep you exactly where you are. So if you've enjoyed any of this, let us help you. Go to asklaural.com. A-S-K-L-A-U-R-A-L. Asklaural.com. Ask a question. Make a request. We're here five days a week for your benefit and your family's. Talk to you tomorrow.