Create a successful business plan.

Why write a business plan?

A strong business plan helps you get from A to B - without one, it’s like driving in a new city without a map.

It will help you:

Set a clear purpose and direction
Identify competitors and possible roadblocks
Understand your customers
Define your value proposition
Put together financial projections
Create a go-to-market plan.

Together, these give you a solid base to grow your business.

Free business plan template.

You can make a detailed business plan using the business plan template available on the Business.govt.nz website.

Learn more

Current state vs future business goals.

Think about where you want your business to be in five years. Capture that vision in your executive summary, using where your business is right now as the starting point. This part is often easiest to write once you’ve completed the rest of the plan.

SMART business goals

Make sure you set SMART goals:

Specific
Measurable
Achievable
Relevant
Time-bound.

The purpose of your business.

The first part of your business plan should detail the reason for your business - its purpose. Detail your business structure, the number of staff you have, your physical address and region where you're based. You may have locations spread out across New Zealand or the world if you export.

Explain how your business is different from your competition, the products or services you've developed, and define your competitive advantage. Consider:

Where the opportunities are for your business - are there gaps in the market that you can exploit with a new product or service?
Your strengths and weaknesses - what does your business do well and where is there space for improvement? For example, do you have outstanding customer service?
Any threats to your business on the horizon - are you aware of any new competitors or marketing campaigns from your rivals that could impact heavily on your bottom line?

Formulate a SWOT analysis

Have a brainstorming session with your staff to identify your business's strengths, weaknesses, opportunities and threats. You can even ask your loyal customers for their opinions.

A SWOT analysis helps you pinpoint the positives and negatives of your business, both internally and in your control (strengths and weaknesses), and externally and outside of your control (opportunities and threats).

Your competitive advantage.

A competitive advantage is simply what you do better than anyone else. It's important to be specific about why consumers choose your business over your competitors' businesses. What exactly is it about your operation that is an advantage?

Prime location - say you have a burger joint that's in a prime location, on the main street with huge foot traffic. Your competitors are off the main street, giving you a key competitive advantage over them
Regular cut-price discounts - perhaps you sell electronics and are well known for having sales competitors can't match every two weeks. This would mean your sales can be marketed as a main advantage
Personalised after-sales service - perhaps you have a business that sells and installs ovens, and sends staff to people's homes one month after each sale. If competitors aren't offering similar after-sales service, this is a crucial competitive advantage.

The smarter you can be about developing and promoting your competitive advantage, the better placed your business will be to succeed. Be careful not to generalise with words like 'price' or 'quality' - you have to be more specific.

Scope out your competitors

When building your business plan, describe your main competitors. Consider all possibilities - you may have competitors on the same street, elsewhere in your town or city, throughout the country, worldwide and on the Internet. As soon as new competitors enter the market, you'll want to know about them too.

There may be competitors who aren't in your precise sector of business, but you may still be competing with them for the same consumer dollar.

It's a good idea to also do a SWOT analysis on each of your main competitors. Then make use of this information by assessing how your business could reduce your competitors' strengths and opportunities, while taking advantage of their weaknesses and threats.

No market without marketing.

Get closer to your customers with a go-to-market plan, make sure you include:

Your key message – what’s in it for them
How you’ll reach your customer (print, TV, radio, influencers, social media, paid search, online display or email).
Your marketing budget and return-on-investment goals
Market research to target your spend effectively.

Position your product or service

Take into account the four Ps of marketing when coming up with your marketing strategy.

Product – make sure it meets customer needs
Price – offer value for money
Promotion – choose the best ways to promote it
Place – be where your customers are.

Doing the numbers.

Your financial plan outlines how your business will make money and stay viable. Unless you’re an accountant, it’s ok for this part to feel daunting; we’ll point you toward the right resources and support.

Financial considerations:

Cost forecast – estimate start-up and running costs
Revenue forecast – outline expected income sources for the next three years
Break-even point – when you’ll cover your costs
Profit and loss – projected earnings and expenses
Cashflow forecast – predict seasonal ups and downs <link to Westpac Cashflow spreadsheet>.
Balance sheet – snapshot of assets, liabilities, and net worth.

If numbers aren’t your strength, get an accountant or business mentor to review them or get in touch with one of our business specialists.

Business funding

If you need extra capital, we can help. Consider applying for a business loan.

Talk to us today.

You don’t have to do it alone - we’re here to support you as you shape your business plan.

Call 0800 288 101

Contact a business specialist

Things you should know.

Eligibility criteria and lending criteria, terms and conditions apply. An establishment fee may apply.

The material on this webpage is provided for information purposes only and is not a recommendation or opinion.

The material on this webpage does not take your particular financial situation or goals into account. We recommend you seek independent legal, financial and/or tax advice.

Links to other sites are provided for convenience only and Westpac accepts no responsibility for the availability or content of such websites.

Business lending products are only available for business and/or investment purposes and not for personal, domestic or household purposes.

Westpac accepts no responsibility for the availability or content of any third-party websites linked on this page.