If youre wondering how to write a business plan, youve likely been considering launching your own design firm for quite a while. When getting your new enterprise off the ground, crafting a business plan is one of the initial steps. Think of it as a road map for your firms success: A solid one is essentially method of formally structuring your ideas and laying a foundation for the direction you see your design firm taking in the futureboth short-term and long-term. If you plan to seek funding for your company, youll need to draft a traditional business plan; however, if youre self-funding, a simple outline will suffice.Scroll on to find AD PROs comprehensive guide, with explainers for how to determine the format thats best for your practice to the key sections to include in your business plan and more.What type of business plan is right for you?Typically, business plans fall into one of three categories:How to Become an Interior Designer: Everything You Need to KnowIs the interior design profession calling your name? Read on for advice on how to become an interior designer, starting today1. A one-page business planThis brief, simplified document summarizes your business goals and introduces your concept to potential investors, who may not have time to fully digest a lengthy document. Viewable at a glance, a one-page business plan works well for initial meetings, and it offers a substantial starting point for your companythough you may need a more detailed plan in the future.2. A lean start-up planSlightly longer than the one-pager, a lean start-up plan includes a summary and a bulleted list containing your firms financial information, business strategies, metrics, and forecasts. This type of business plan usually functions as an internal tool; thus, its not necessary to include all the sections and dense information of a formal traditional business plan (see below). This simple-to-navigate, 5-to-10-page document should clearly delineate your business strategy, the tasks you need to complete to achieve goals along with their due dates, projected sales, spending, and cash flow. Updating this plan regularly (at least twice a year) is essential, as it will guide the growth of your company and help keep all internal team members informed. As such, your lean start-up plan should evolve organically in tandem with your business.3. A traditional standard business plan (a.k.a. an external business plan)Youll need to create a more formal business plan to share company information with key players such as potential investors to fund your endeavor, lenders to support loan applications, or even future employees. Since youll be using this document to explain your strategies for your business with those who may finance or join your company, youll want to precisely outline your plan in detailed sections.Where to begin?Your business plan is a living document that will evolve with your business. It should plot out how your business will operate, state your goals, and precisely express your vision for your company. Check out these solid tips before you begin drafting your business planregardless of the type of document you choose to create.1. Keep it simpleDo not further complicate the already stressful process of starting your own design firm by constructing a convoluted plan. Create a simple bulleted blueprint that cites goals and your strategies for achieving them; then, update it as your company warrants it. For a traditional business plan, keep it to less than 40 pages. If youre having trouble distilling the essence of your company down to 30 or 35 pages, consider hiring an expert to help you write it. Sites like UpWork and WriterHire offer business plan writers for hire by the hour to help you draft your document. Or there are business plan writing consultancies such as LivePlan or Toptal. However, outsourcing business-plan writing can be costly. According to UpMetrics, for expert writers to create a basic business plan, it can cost between $500 and $2,500, a comprehensive business plan costs $2,500 to $10,000, and an industry-specific plan can run up to $20,000.8 Ways to Set Your Business Up for Success in Your First YearNow that youve launched your company, learn how to run a small business with these simple tips that will set you up for successEven if you go with a traditional, external business plan, keep it concise. Get to your essential points as quickly and efficiently as possibleyou dont want to risk losing a potential investor out of boredom! And dont spend too much time making your business plan pretty. As a designer, your instinct may be to focus on stunning graphics, and while they can indeed enhance the appearance of the document, the actual content is whats most important. Use simple graphs, charts, and photos to break up the text and illustrate your message without obscuring it.2. Know your audienceTailor your business plan to suit your needs, and craft it so that the intended audience can clearly understand it. Use clear, concise, and straightforward language, and avoid any lingo only an A&D professional would understandespecially if you intend to use the plan as a pitch to investors or for a loan application.3. Know your competitionBrush up on who your competition is, know what they are doing well (and poorly), and make it evident in your business plan how you will distinguish your brand from the rest. However, never ever speak disparagingly about other design firms. A mistake like that reflects negatively on you rather than any potential opponents. Instead, focus on what makes your company stand out against the rest. Perhaps your firm offers online design services, specializes in custom millwork, or provides clients with assistance from a personal account director. Highlight whatever sets you and your firm apart transparently in your business plan.4. Keep it realKeep your expectations in check and never inflate your financials. While its always helpful to think positively and believe that your business will succeed financially, do not overestimate your earning potential and revenue forecast. Overpromising and underdelivering is a recipe for disaster for your budding design firm. Instead, be honest about what services you will offer and how much you will bill for them. Evaluate what comparable companies charge for similar services before giving your quote. Make your projections realistic, particularly if you are seeking funding. Explain your business model, detail how you plan to earn money, and explicitly state the reasoning behind your figures. And always be 100% certain to base all your financial information in solid facts.23 Tips From Successful Pros on How to Run an Interior Design BusinessLearn top business hacks, from hiring and firing to growing your firm5. Work backwardFigure out what you want to accomplish and by what date, and then backtrack from there. Consider: Where would you like your company to be financially one year from now? What revenue goals would you like to achieve by that time? Then determine what you must do in 12 months, six months, and three months to arrive at your objective in a timely fashion. Work these milestones into your business plan. Youll be pleased as you see results accumulate throughout the yeareven more so when you realize your objective by your firms one-year anniversary.6. Just get it startedDont let the task of drafting your business plan paralyze you. Start out simply by jotting down your business ideas. Glean inspiration from whatever it was that motivated you to embark on your own design firm to begin with. Dont worry about writing your business plan right now if that feels too daunting. Make preliminary notes and worry about constructing your ideas into your formal business plan later.Starting can be the hardest part. Perhaps it would help for you to begin with a simple one-page plan. Then, you can use that document as an outline for your formal business plan and go back and fill in more details later. Remember: No one knows your business better than you do. Let your passion for starting your new company be the impetus to start writing. And dont be afraid to let your enthusiasm come through in the final document. Being honest about your motivation and your plans will better convey your vision and help your readers understand what your small business is all about.What are the components of a business plan?Now you understand what type of business plan will work for you and how to approach the task. But what are the essential components of a business plan? Entrepreneurs have varying ideas on whats essential and what you can skip. But when starting your first-ever business, consider following the advice of the US Small Business Administration and make sure that your business plan contains these nine recommended sections.Everything You Need to Know About Interior Design Jobs and Their SalariesLooking to start or advance your interior design career? Heres your guide to the interior design jobs to look out forand what they pay1. Executive summaryAs the single most important part of your business plan, the executive summary should briefly convey to the reader the essence of your company and pique their curiosity to want to know more. Brevity is key. This synopsis states what your business, product, or service actually is; it should name your companys mission, cite your short- and long-term goals, and highlight your strategies for attaining these goals. Be bold and put in writing how and why you think your company will be successful. What sets your firm apart from the competition? Get this information out there immediately. Also, include basic facts about your employees, management team, location, and financial statistics.