This blog will give you a clear idea about business plan cost and other relevant factors associated with it.
What works for someone else might not work for you. The same goes for a business plan and the type of services you take to write one.
Depending on your business, you might not need to spend hundreds or thousands of dollars on a business plan. And as effective spending matters for businesses, it is the best practice to go through all of your options and pick the one that fits your business and budget the most.
In this article, we’ll discuss different sources for writing a business plan, and normally how much writing a business plan costs.
The Hiring Cost of a Business Plan Writer
With thousands of things to look after, you might not want to or have the time to write a business plan on your own. In this case, you can hire a business plan writer who’ll write a professional and well-put-together business plan.
Here are the pros and cons of hiring a business plan writer:
- Well researched with added points.
- Business plan writers know the jargon and style investors prefer.
- Let you focus on other aspects of your business.
- Might look homogenous with other plans in the same industry.
- You might have difficulty including your own vision in the plan.
- Would be a big drawback if the writer doesn’t know enough about your industry.
- Can be difficult to present as you’ve not written it.
- Doesn’t help you answer an investor’s tangent questions.
- Can be expensive, especially if you’re just starting out.
How much does the business plan writer cost:
A business plan writer costs anywhere between $1000 to $3000. It is the appropriate method for businesses that need above $500,000 in investment and has complex planning and staffing needs.
The Hiring Cost of a Consultant
One of the most popular options, especially if you are trying to attract a particularly large sum of investment. A consultancy company would help you at every step from research to strategizing, business plan writing, and updating the plan.
But on the downside, consultancy services can be pretty expensive and aren’t for every business. Here are some pros and cons.
Pros and Cons of hiring business plan consultancy:
- Consultants are usually experts in the niche and can give out-of-the-box ideas.
- They look at things from an unbiased perspective.
- They charge a predecided fixed amount.
- Help with updating and improving business practices and plans.
- They handle multiple clients and struggle with availability.
- They don’t give a guarantee of success.
- Consulting services are expensive and not viable for everyone.
- It can be difficult if the company leaves the organization.
- Many consultants go for generic solutions which might not work.
How much does the business plan consultancy cost:
Consultancy services for writing a business plan costs anything between $25,000 to $50,000. This also depends highly upon the firm you’re approaching and their level of expertise in the industry.
Consultancies also charge on a per-hour basis. The rates also depend upon the complexity of the work.
The Costs of Using Business Plan Software
Writing your business plan with the help of software is the least expensive option on the list. On the downside, you’d have to do most of the work yourself. But that gives you the added benefit of knowing your business, the strategies, and the industry inside out. It also reduces your dependence on external resources.
And although it is time-consuming, writing your business plan yourself helps you get the main essence of planning your business and also makes you sound more credible to your investors.
If you have a large-scale business, writing it on your own might not be viable given the time constraints. Also, it can be difficult to come out of roadblocks on your own.
Pros and Cons of writing through software:
- You get to inculcate your plans and strategies better in your business plan.
- It is the cheapest way to write a well-rounded plan.
- You can work more independently on your plan.
- Financial forecast software helps you deal with your finances too.
- Most of the software services come with step-by-step guidance.
- It is time-consuming.
- You might need additional help.
- Might not be sufficient if you need a bigger amount in investment.
Software as a business plan writing service can cost anything between $50 to $500 per annum depending upon the plan and software you choose to go with.
Using Combined Services to Reduce Business Plan Costs
Now if you don’t want to spend a huge chunk of money on a business plan writer or consultancy, but need a little more help than a business plan software would provide then you can also use a combination of services to write your business plan. If you need more help with the leg work you can do so with the help of a consultant and business plan software.
And if you can do the initial research and create the first draft of your business plan, you can use a combination of business plan software and business plan writer.
This might be a good choice for entrepreneurs who have the initial idea and a rough plan of how to set goals and milestones but would need more help with writing a business plan.
Why Does Your Personal Touch Matter in Your Business Plan?
All of us know that a business plan is much more than a 20-30 page long document. It captures the essence of your business and acts as a roadmap on your business journey. So, even if you’d save loads of time by using a business plan writer or consultant, your business plan would lag in a personal touch and unique vision.
Also, it is important to note that you can’t rely too much on consultants. Because no matter how good they are at their job, they’re still an external source and can leave your business anytime, and that would be a major setback for your business if you rely solely on your consultant.
Hence, taking part in your business plan writing process would ensure that you have a strong grip on your business from the beginning itself.
In conclusion, if you look through your options you can not only save money but also pick a method that would be the best for your business.
A business plan is perhaps the most important document for your business.
Hence, it is essential for you to think through these 4 steps:
- Figure out the time and resources you have.
- Figure out what you can do by yourself and the areas you would need help in writing.
- After you find out what services you’d need, study the different software, writers, and consultants available on the market.
- Look through the services and what their previous clients say about them before you go ahead and take your pick.
At the end of the day, do your research, pick the right services, and take part in the process with full force and determination.
After all, your business dreams deserve all of it and more!