Developing a business plan for training center venues involves creating a formal roadmap for how the organization will be structured, managed, and marketed.
The Basics of Creating a Business Plan for Training Center
Creating a business plan is an important step in the process of preparing to open a training business. When seriously considering launching a new training center, drafting a business plan is the first thing that you should do.
By going through the process of creating your business plan, you will find out what is really involved in creating and managing a training business. You will learn if the business is feasible, from both a competitive standpoint and from a financial perspective.
Some people find it beneficial to utilize business plan software to help draft a business plan. Others like to create their own plans with standard word processing and/or spreadsheet software. Either way is fine, as long as the finished product includes the basic elements of a comprehensive business plan.
Elements of a Business Plan
- Business Description
- Marketing/Sales Strategy
- Projections for Financial Performance
- Executive Summary
What to Include in Your Business Plan for Training Center
Each business is unique, and there is more than one way to draft a business plan. Even though the elements necessary for business plans are consistent regardless of the type of business being developed, certain planning considerations are specific to training centers.
In the business description section, explain the type of training center you plan to operate. The description needs to be as specific as possible. It should include detailed information about your target population and the method you plan to use to deliver training services.
For example, do you plan to offer training for individuals seeking to obtain skills related to a particular career field, for those planning to go into business for themselves, or for some other target population? Will you offer live, instructor-led classes, or will training be delivered via tele-seminars or eLearning?
Marketing and Sales Strategy
The best business idea has no chance of succeeding without a sound marketing and sales strategy. This section of your business plan needs to include specific information about how you will sell your training center to prospective customers. Include information about the types of strategies you will use, as well as details about how they will be implemented. It isn't sufficient for your business plan to say that you plan to market your new center online. You need to outline specifics of your online marketing strategy. For example state specifics such as: you plan to launch a marketing-oriented website, engage in ongoing email marketing, participate in regional specific pay-per-click advertising programs, or any other strategies and tactics to be utilized.
Management and Staffing
To complete the management and staffing portion of your business plan, give serious consideration to the number of people and types of positions needed to get your training center off the ground. Include initial staffing plans, along with growth benchmarks indicating the need for additional personnel.In this segment of your plan also include an organizational chart, procedures for staffing, salary considerations, and related information. When you decide to move forward with opening your training center, you will need to add job descriptions.
Depending on the type of training center you plan to open, the state in which you plan to operate may have licensing requirements that impact staffing. For example, some states have specific regulations regarding the presence of a full-time, on-site director; education or work experience for faculty members; and limits on the number of hours that instructors are allowed to teach each day.
The operations component of your business plan for training center will detail plans for handling the day-to-day operations of your business. Information typically highlighted in this segment includes:
- Company structure (corporation, partnership, LLC)
- Hours of operations
- Information technology needs
- Insurance needs
- Licensure requirements
- Physical location of business
- Telecommunications requirements
- Other relevant operational details
As you move closer to getting ready to launch your business, incorporate both personnel manuals and student handbooks into this part of your plan.
The financial projections portion of your plan includes a detailed budget. It outlines the projected startup costs and expenses along with revenue expectations. The numbers used to build your financial projections must be built on sound, realistic estimates. This portion of your plan allows you gain an understanding of the amount of capital needed to get your training center up and running.
If applying for a small business administration loan or other form of financing, your financial projections will be very closely scrutinized. Be prepared to show backup documentation for every number in the budget.
The executive summary actually serves as the introduction to your business plan. However, it needs to be the last part of the document that you create. Your business plan is a work in progress, and there is no way you can draft an executive summary without first working your way through at least the first draft of your plan. The purpose of the executive summary is to provide a broad overview of your proposed venture.
A Work in Progress
The primary purpose of your initial plan is to help determine if your business idea is feasible and if it is truly something that you want to do. The business plan for training center that you first create will form the basis for the plan you will eventually implement should you choose to proceed. Your plan will continue to evolve throughout the life of your training center.