Your startup NEEDS a Business Plan! Developing Startups #3

Your startup NEEDS a Business Plan! Developing Startups #3

Hey Guys! Welcome to our channel “Developing startups!” Sherika: My name is Sherika Bailey and this
is my husband Kimroy: Kimroy Bailey And on this channel we share our story of
operating a startup company in a developing country. Sherika: So for this episode we will be discussing:
To do a Business Plan or Not to do a business plan! Kimroy: And that is a very interesting question
because starting out I personally did not have a business plan. I never really thought a business plan was
really necessary. It was just that document that deterred you
from doing real business. but trust me you absolutely do NEED a business
plan. It was not until my wife left her job which
is what we spoke about in the previous episode that she came and shook things up and said
guys. How can you be operating without a business
plan! Sherika: Guys, Having a business plan is like
having a ship that has a steering. Kimroy Really? Sherika: YES! And the steering turns this way and turns
that way. If you do NOT have a business plan like Kimroy
your ship will be going all over the place. OK Kimroy: NO! We make educational robotics kit for primary
and high school students like our bionic hand. I knew high school students like these stuff,
primary school students like these stuff as well. I decided to just make it and sell it, How
hard is that? Sherika: This is the problem with not having
a business plan! Kimroy thought that his customers were going
to be high school students. When we actually tested out the market we
found out that it was really youth organizations. Such as NGO and non profits that were really
looking for these types of products. Kimroy: That’s true Sherika: We we exploring funding from international
agencies such as IDB which is the Inter American Development Bank or the United Nations or USAID or any other type of grant funding that will be coming out. They
will need to see your business plan. Kimroy: Something that you have to consider
Mrs. Bailey 90% of the startup entrepreneurs and founders are not business minded like
you turned out to be. Sherika: So why are you doing a business? Kimroy: I am an engineer and I think I am
a relatively good business man and I do not have the forte to write a fantabulos business
plan!. Sherika: So if you are thinking about starting
your startup and you are like Kimroy. He is an engineer, he is technical and don’t
know the details of the business side of things For a basic business plan structure is this. You will have an executive summary, then you
roll into about your company and about your products. We need to also know about the pricing model
and the different revenue streams that you are going to be having. Also how are you going to sell this product. We also need to know about your customer segment
and your marketing plan. Extremely KEY if you do not have anything
else at least have a section in your business plan that you talk about the different growth
strategies that your company is going to be doing. So when I came in the business with my husband. I told him “Listen we need to make actual
robotics kit that can be paired with a software that each child can actually go home with.” This allow us to sell these to parents and
try to sell these to other organizations that want to keep summer camps. Then we also talked about doing tours of our
robotics laboratory. Kimroy: Which we will do with you in a future
episode. Sherika: We have actual workshops for schools
teaching students how to build robots and about actuators and teaching them about sensors
and things like that. Things that are fresh and new in our country
and in this side of the world. Kimroy: What that allowed us to do. We instantly moved from just this idea of
having a robotics kit into not just summer camp income but workshop income as well. We do online training on our robotics kit
and training on 3D Printing. So we are earning online foreign exchange
US dollars which are very good. This also allow us to target the big organizations
who are having summer camp for their kids. Sherika: So guys, in conclusion a business
plan is very critical. Please have your pricing model, please have
a growth strategy, marketing strategy and a go to market strategy. As an investor in your company I would also
like to know about the different risks that are involved for your company and your risk
mitigation strategies that you are going to be implementing. Kimroy: Thank you so much for watching this
episode guys. Please feel free if you have any questions
and comments you can leave in the comment section below and we will be answering you
questions on Thursdays and uploading new tips on Fridays.

Comments (3)

  1. keep up the good work guys, nice video.

  2. Can we get examples. LIKE some of the risks we could face and a few suggestions of how to mitigate.

  3. Good advice 👍 Can't wait to see the tour of the robotics lab. Loving the dogs 🙂

Comment here