21 Nov 2007
How to CREATE YOUR OWN BUSINESS PLAN
'The number one reason people don't get what they want is they don't know what they want.' T Harv Ecker
How do you know if you can actually make a living at what you want to do?
Millionaire Mind author T Harv Ecker describes an entrepreneur as 'a person who solves problems for people at a profit.' That describes every Alternative Health professional! Is there a demand for safe and natural solutions to health problems? You bet! See STATS & FACTS
The best way to get a clearer picture of your market and your business potential, is to conduct surveys. Consumers—your potential clients—can provide more accurate and timely information than any other source. With the right information, you will be able to adjust and refine your business idea to make it successful.
Use the following questions to conduct surveys and research statistics. The answers to all these questions will help you determine the extent of your market, and the number and type of potential clients you might attract.
These answers will help you choose advertising, decide how to market your services, determine your fees, help you attain financing, and show just how big your business has the potential to grow. You will also define your business in your mind’s eye, understand its value to others, and discover whether you need to make any adjustments to make your service more desireable.
What is your business idea? Accurately and concisely describe what you would like to do. For example: I will offer in-home Reflexology treatments that include a foot bath and pedicure.
What is the higher meaning for your work? What do you hope to accomplish? What impact or effect will your work have? What difference do you expect to make in your community through your work? Whose lives will you touch in a positive way? Who benefits?
This is a highly personal issue. We all want to experience fulfillment, growth and joy in our work. A spiritual individual achieves this through understanding the impact their work has on the world around them. By focusing on the contribution you will make, your satisfaction and motivation levels remain high. This will keep you energized and positive through even the most trying periods.
Why would people want or need this product or service ? What makes your idea different or unique? Are you the only one who will be doing this? Is it how you are planning to do it that makes it special? Is it your location? Are you somehow better at it than others? Are you improving on an existing service or creating an entirely different product or service?
Are you capitalizing on a current trend, such as home spa parties, or is your service something entirely new and different? Does it make people feel good? Is it a practical necessity? How will the public perceive your product or service? Get input from potential clients. Be objective.
Understand your market . The natural health and wellness industry is the fastest growing business sector in North America.
Employers have discovered that keeping employees stress-free and healthy increases productivity and profits. Aging baby boomers want to feel younger and have more health and vitality. And they have disposable income to spend on health and wellness.
Consequently, revenues in the natural health and wellness industry have doubled every year for the past ten years. 86% of the population has tried some form of natural product or therapy and 1/3 of the population now use natural health products and services. The majority of these are women.
There is a huge market for spa therapies, anti-aging services, holistic therapies, and natural health products. That’s good news for you!
All you need are the business skills to capitalize on this demand. In your community, who are your potential clients? Who will want your product or service? How many of these potential clients live near you? How far will people have to travel to get to you?
How many clients do you need ? Can you develop a sufficient number of potential clients to support you full time? Can your potential clients afford your services? How often will they require your product or service? What will induce them to buy from you?
Potential customers are not actual customers. This is simply the pool of people from which you can attract your clientele.
To calculate your potential clients, divide the number of people living in your community by 3, because, right now, only about 1/3 of people will potentially be interested in natural health services.
Now, divide that sum by the total number of similar practitioners in your area. This reveals how many people are potentially available to come to you.
For example: your town’s population is 79,000. There are 8 similar practitioners in your city. 79,000 divided by 3 = 26,333 divided by 8 = 3291 potential clients.
How many clients can you serve in a week? Multiply that by 50 weeks. That is how many appointments you can take in a year.
How often will a client return on average? Twice a month? Once a week for six weeks? Divide this sum into the number of appointments you can take in a year.
For example: 5 sessions a day X 5 days in a week = 25 sessions a week X 50 weeks = 1250 sessions a year. Your clients will come once a week for 6 sessions. That means you need 208 new clients to fill your appointment calendar every year.
Of the total number of clients you serve over the course of a year, only about 20% of these will become loyal repeat clients. People relocate, get well, become dissatisfied, get lured away by someone else, can lo longer afford your services, or just want to try something new. That means you will always have to be searching for 80% new clients. So, if you need 1250 clients, you need 6250 potential clients.
By using this calculation method, you can also learn if there is room for new practitioners, or if the market is over-saturated and you need to move to another city to earn a living.
Do you have any competitors? Competition can be a very valuable tool and a great motivator. Competition keeps you on your toes, striving to improve or innovate to stay ahead. It shows you where you need to change or improve. Competition makes you more aware of your own distinct market niche, or forces you to more clearly define your niche. It provides the consumer with choices.
Is someone doing the same thing in another region or in your own region? How successful are they? Why are they succeeding or not succeeding? Can you improve on what your competition is doing in order to make it work better for you? What prices are currently charged for similar services?
How can you best offer your services to the people who will want to buy them? See Attracting Clients
For more helpful tips and information see
Training & certification costs compared with income potential
Are you RUNNING Your Business or GROWING Your Business?
Where to locate. What are your OPTIONS?
How to ATTRACT CLIENTS
INDUSTRY STATISTICS & FACTS
How to choose your BUSINESS NAME
How to determine WHAT TO CHARGE for your services
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(c) 2003 This article was excerpted from the A-Z Self-Employment Guide for Complementary and Alternative Health Professionals. It contains everything in this website and MUCH MORE! Buy this book
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