Business Planning, Vision and Passion

You also must establish that there is require for your service; that you have the ability to service that require and therein lays the chance.

When business planning, it is logical to let your passion shine through a tiny.

You also require to report why your past experiences have helped prepare you to deliver that service. That experience is a sided coin. You require to have it to deliver the services to your customers and your customers require to have a positive experience to keep coming back. That "coming back" is important in the event you are trying to build a company that has sustainable economic value. Economic value attaches a premium to recurring revenue. The predictability has lots of value to a company and finanical types like to attach value to it.



Give it some thought this way, would you invest in:
one. A phone service where customers are committed to paying $35+ dollars a month
two. A phone service that charges 25 cents a call and customers only pay when they make a call

Without more information they are not sure which will derive more revenue, but number one has become the proven model. In part that is because investors "love" the predictability. So when you can highlight recurring revenue in your plan - do it!

So how do you get to recurring revenue?


Possibly, but in case you are thinking of providing value by being the lowest cost provider, keep in mind that your cost advantage can be fleeting as there is always a "new kid on the block".

Is it by lowering your cost to $29 dollars when others are charging $35?

The general experience is more important than cost alone. "There is no doubt that customers need a lovely deal", says marketing professional S. Bolf, "but that does not mean that they need the lowest cost, that means that they need a lovely deal'.

Do not confuse value with cost. Cost is an element of value but value includes much more. It is perceived & felt & not calculated. For example, lovely service is often worth a premium & is part of the worth proposition (more on this in a later installment).

People also need a sense of community, so in case you can make them feel part of your community there is a lovely chance that they will become recurring customers. Communities can be built on geographic location, but they may even be built on culture, shared values, beliefs & smiles. "When Norm, walked in to Cheers, they knew what they was getting - comradeship, a greeting, a stool & a smirk - the beer was the same watered down draft available all over town!" says Bill, another marketing type.

So let the reader of your plan know how your passion will be translated to your staff & systems. That experience has to be transferred to your customer so that you can keep them coming back. Both you & your investors need to generate & grow that recurring revenue!

Lovely luck along with your planning!