Planning Your Business
Having a business plan is an essential part of starting a business. Think of it as a general guide to your business, its customers, how it earns money, and how it will grow now and in the future.
I admit I’m unfamiliar with creating a business plan; as a professional private music teacher, my plan was simple: incorporate Bach To Basics, advertise, get students, and start teaching. Because I drove around to my students’ homes, I didn’t need seed money from the bank to start my business. The cost was just a little out-of-pocket money to incorporate and advertise, and I only advertised once at the very beginning with a mail-out flyer. From there on, for over 25 years, it’s been all word of mouth. I only started advertising online when I took my teaching studio internationally, teaching students in Canada, the United States, the United Kingdom, and Australia through Zoom.
If I had needed investors or a bank loan, the situation would have been different. A business plan would have been necessary to demonstrate my company’s potential for profitability, giving the bank confidence that the loan could and would be repaid.
Nothing has changed for me when setting up Up-Tempo Publishing. Since it’s a vanity publishing company—a term used for a sole proprietorship that publishes only the works of its owner—I don’t need a business plan. Up-Tempo Publishing is simply an additional resource to my main teaching studio, so I’m not looking for the company to be a main source of income in the same way my teaching studio is.
However, for most companies—especially if your business is intended to be your primary source of income—a business plan is crucial. A solid business plan provides a roadmap for your business and serves as a key document when seeking investors or securing a loan. Below is a detailed business plan template for a pretend publishing company called ABC Publishing. This example outlines what a business plan typically includes, why it is important, and how each section contributes to the success of your business.
ABC Publishing – Business Plan
1. Executive Summary
The executive summary is the most crucial part of your business plan. It provides a concise overview of your company, its mission, and its goals. It should highlight what your company does, who your target audience is, and what makes your business unique.
Example: ABC Publishing is an independent publishing company dedicated to providing high-quality digital sheet music for amateur musicians of all ages and skill levels. Our mission is to make professionally arranged sheet music and music books accessible to performers and musicians seeking quality resources for practice and performance.
2. Company Description
This section outlines the structure of your business, its location, the industry it operates in, and its key objectives.
Example: ABC Publishing is a sole proprietorship founded in 2025 and based in Toronto, Canada. The company specializes in digital and print sheet music and music books. Our goal is to provide affordable, high-quality resources designed for musicians of all ages and skill levels, from hobbyists to professionals.
3. Market Research and Analysis
Understanding your target audience is critical. This section includes market trends, competitor analysis, and potential customer demographics.
Example:
- Target Audience: Amateur and independent musicians of all ages and skill levels.
- Market Trends: Increased demand for digital sheet music due to online accessibility and ease of use.
- Competitive Analysis: Major competitors include established music publishers and self-publishing platforms such as Kindle Direct Publishing and Sheet Music Plus.
4. Products and Services
Clearly define what products and services your company offers.
Example: ABC Publishing will offer:
- Digital and print sheet music
- Music books
- E-books and collections of curated compositions
5. Marketing and Sales Strategy
Your business plan should outline how you will attract customers and generate revenue.
Example:
- Online Marketing: SEO optimization, social media advertising, and targeted email campaigns.
- Partnerships: Collaborating with music shops and independent musicians for promotions.
- E-commerce: Selling directly through our website and third-party platforms like Amazon and Etsy.
6. Organization and Management
This section details the business’s ownership, key personnel, and management structure.
Example:
- Owner: John Doe, founder and CEO.
- Team: Freelance graphic designers, editors, and customer support representatives.
7. Operations Plan
Your operations plan outlines how the business will function on a daily basis.
Example:
- Production: Sheet music and music books are created in-house and distributed digitally.
- Distribution: Digital products will be available for immediate download, and physical copies will be printed on demand.
- Customer Service: Email and online support for customers.
8. Financial Plan
This section includes revenue projections, startup costs, and funding requirements.
Example:
- Startup Costs: Website development, licensing fees, and initial advertising.
- Revenue Streams: Direct sales, affiliate partnerships, and licensing agreements.
- Funding Needs: ABC Publishing seeks $15,000 in startup capital to cover operational expenses for the first year.
9. Appendices
This section contains supporting documents such as licensing agreements, financial statements, and legal documentation.
Example:
- Sample contracts for authors and contributors
- Projected income statement
- Copyright registration details
Why You Need a Business Plan
A business plan serves several key purposes:
- Guidance: It acts as a roadmap for business growth and decision-making.
- Financial Planning: Helps determine necessary investments, pricing strategies, and profitability projections.
- Attracting Investors: If seeking funding, a solid plan shows potential investors your vision and strategy.
- Market Understanding: Ensures you understand your audience, competitors, and industry landscape.
While a business plan is not necessary for every type of business, having one can significantly improve your chances of success, particularly if you plan on scaling your company or securing external funding.
Final Thoughts
If you’re starting a company and plan on making it your primary source of income, a well-crafted business plan is invaluable. Even if you’re not seeking funding, creating a plan can help clarify your business goals and strategies.
Disclaimer: This post is for informational purposes only and should not be considered legal or financial advice. Be sure to do your own research or consult a professional when creating your business plan.
Until next time, I’m just a music teacher having fun. Catch ya on the next one!
