When Michael Milnes started his own physical therapy practice in 1997, he had some idea of how he wanted to structure his business and his plans to grow. But he soon learned that it takes a lot of business savvy to run a practice. After getting some advice from a college friend who studied business, Michael Milnes knew he needed to develop a solid business plan if he was going to be successful. He started by answering some questions.
- How will the business be successful?
- What will make the business unique and stand out from the competition?
- Where will the money for the business come from? Investors or out of pocket savings?
- How much money is needed for startup costs? How much is needed for the first 6 months? How much for the first year?
- What is the target revenue so the business will be profitable? What are the financial goals for the first year and the first 5 years?
- If there are partners in the business, how will they play a role? How will important decisions be made? How will new partners be added? How will partners be removed?
- Will there need to be employees? If so, how many? What will the hiring and training processes be like?