A business plan is vital for starting, managing and growing your business.
Not all businesses share the same business plan. The one size fits all approach does not work because every business focuses on different considerations.
A spa in particular will definitely have a different set of challenges from a F&B business. This is why a business plan is not just about outlining goals and methods of achieving them but is also about understanding your niche market.
Every beauty spa business owner in India needs a business plan because it offers many benefits. Some of the benefits are mentioned right here in this article!
1. Setting the Direction
The first reason that explains why every beauty spa business owner in India needs a business plan is that it allows a business owner to define what a business is or what it intends to be in the future. It could also describe what products or services you are planning to offer and your unique selling point (USP) as well.
When an investor, shareholder, or business partner reads your business plan, it should help him or her to understand the essentials of your business and the direction and vision you want to achieve. It would also be great if the business plan can describe the unique points of your business.
For instance, when Mr. Ashok Khanna opened Ananda in 2001, he wanted it to be more than a passive store experience. As a result, he promoted that the spa revolves around yoga and Vedanta
A business plan can help you to align on your businesses north star, keeping you focused and motivated to achieve your main business objectives.
2. Building a Future [restrict]
Another reason why every beauty spa business owner in India needs a business plan is that it allows a business owner to be prepared for the future. When you have a goal that you want to reach mentioned in the business plan, factors like slowing trends or market changes won’t demotivate. You will be more likely to stay on the path of the success.
Also, remember to update the business plan as you go because business goals change with time. Planning would help you attain success consistently. A good example of this can be the Spalon India Private Limited whose CEO and Co-Founder Mr. Vikram Mohan thinks of the future. He shared plans to open the next salon in Hyderabad during the launch of his first shop. This demonstrates that Mr. Vikram is someone who is visionary and outward-looking as he expressed his plans for business expansion from the onset.
3. Getting Financial Backing
Having a clear business plan for your beauty business is extremely beneficial in the event that you need to apply for a business loan or attract investors.
A clear and concise business plan will invoke a sense of confidence among investors.
Investors will flock to pour money into your business if they can see the potential of returns and gains from their investment.
Therefore your business plan should also outline project revenues, profits, losses, cash flow, statistics, graphs and more. Your business plan should essentially be very detailed as this demonstrates that your commitment to your business too.
4. Building a Team
Every beauty spa business owner in India needs a business plan to ensure that sufficient funds are set aside for hiring. Incorporating this into your business plan allows you to plan out how much of your business capital to set aside for hiring employees and also how urgently to fill roles within your company.
Questions to ask yourself are, can your business afford more staff? How many beauticians do you need? How many hair stylists do you need to hire? Where can you source for masseuses from? What’s the market rate in terms of salary? Do you need to hire foreign labour?
Moreover, sharing your business plan with your employees, similar to investors, also invokes a sense of confidence within them as they are able to see for themselves the potential for growth and expansion of your business. This will also motivate your employees to stay on within the company as they will realise that there exists potential for growth in terms of skills, within your company.
5. Managing Becomes Easier
Every beauty spa business owner in India needs a business plan that describes how a business needs to be managed to achieve all the set goals. Managers should be able to refer to the business plan as a guide when they need help.
A few key features of the business plan that includes guidance for a manager were described by Sangeeta Sharma, MD, Sevenseas Spas. According to her, management includes everything from planning precisely, ensuring top quality of work, forming lasting records with the clients and having a great safety record. She believes that management is crucial to the success of any spa.
A manager should have enough expertise and education to be able to meet any challenge head-on. If a business plan can guide the manager, there’s no harm in it, is there?
In essence, it can be said that every beauty spa business owner in India needs a business plan if they want to have a clear direction, bright future, great team members, proper management and financial support.
If you are planning to open a spa in India, get inspired by the business plans available online. It will let you create a business plan document that’s unique. If done right, it will lay the foundation of success for your business.
Start creating a successful business plan by assuming that you are explaining the business to a friend or family member. Pen down your thoughts and polish it section by section to get a business plan ready in a few days.