Business Plan for Kids: What it is and How to write it

A business plan for kids is a roadmap that describes how your kid’s business will operate, their goals as well as how to achieve those goals. A kids business plan helps kids to put to paper their business idea turning it to reality. The process of making a business plan for kids starts with defining their business idea, followed by describing their products and services and ends with profit projection.

Making a business plan for kids is a great way for them to discover their creativity and take on responsibility early. A kids business plan is short, normally one page long. Writing a kids business plan is different from a comprehensive business plan as it does not follow the normal structure of a business plan. A business plan for kids costs around $ 500 and a professional business plan writer would help in writing it. 

What is a kid business plan

A kid business plan is a document that helps keep kids on track in their entrepreneurship journey as they start a business. It guides kidpreneurs through the stages of growing and developing their businesses. A business plan for kids helps them change their business ideas into actionable plans.

Creating a business plan for kids helps children understand entrepreneurship and financial management in a bid to foster a mindset of innovation and growth. A kid business plan encourages kids to think critically, set realistic goals and plan for the future.

How to make a business plan for kids

Making a business plan for kids is a simple step by step process. A kids business plan should be clear and concise to accommodate their young minds. Avoid using technical jargons that kids will not understand.The process of making a kids business plan helps a child clarify their thoughts so that their idea becomes a reality.

The first step of making a business plan for kids is to identify a business idea then describe the products and services to be sold. Other steps include defining marketing strategies, stating finances required for the business venture, determining profits as well as projecting profits.

Define your business idea

Defining your business idea starts with writing down all possible ideas that you may want to pursue. A business idea is developed when exploring talents, hobbies and other interests as a child. Think about the special skills that you have and could be helpful to your town. Think of problems that you want to solve or hobbies that you enjoy and could be turned into a  business.

The process of ideation is critical for finding a business venture that you are passionate about. Consider seasonal business ideas such as gift wrapping during Christmas so that you get freetime after school to devote your time to the business.

Describe your product or service

List the products and services that your business is offering. In detail, explain what makes your product unique in terms of its features and how it benefits your target market. Explain what your product is, what it is made of and how it’s different from other products in the market. Be convincing as to why a consumer should buy it and what gap it fills if it’s the first of its kind in the market.

Put a price tag on your product or service and your price should be unbeatable so as to influence consumers to buy it. This step also entails giving information on how orders from customers will be processed as well as how delivery will be made to your customers.

Define your marketing strategies

Defining your marketing strategies entail explaining how you intend to introduce and maintain your product or service in the market. Invent fun and engaging ways to promote your business such as flyers or social media. Remember to keep your customers in mind when choosing your marketing strategies. Know who your customers are, what they need and how you can help them where other businesses can’t. Consider your budget and choose a marketing channel that fits within your financial status.

State your finances

Stating your finances entails laying out a financial plan for your business. A financial plan includes estimates of start up costs, sales forecasts, projections of expenses as well as cash flows. A good financial plan keeps you on track and focused when facing new challenges and as your business grows. Stating your finances is a great opportunity for you to learn about budgeting, financial management and profits. Be accurate about startup costs and include sources of your funds such as savings or loans.

Determine your Pricing

Determining your pricing is the process of placing value on your products and services based on internal and external business factors. Effectively pricing your products increases the ability of products to sell hence contributing to overall business growth. Think about what is the right price for your product or service as well as what price will make your business profitable and attract customers.

Determining your pricing is done through a pricing strategy which is a method used to determine the price of products and services taking into account factors such as market conditions. Consider pricing your products above the cost per unit which falls under the cost based pricing strategy. 

Project your Profit

Projecting your profit entails providing estimates of the profits that your business intends to make on sales. Profit projections are important in determining the financial sustainability of your business. This is because they reflect the efficiency and competitiveness of your business.

To develop effective projections of your profit, you must do thorough research on the market, competition and industry trends as these influence profit projections. You must also use reliable statistics to ensure accuracy as well as regularly updating your projections to reflect changes in the market affecting your financial performance.

Why is a business plan for kids important?

A business plan for kids is important as it helps a child see if their business idea is worth pursuing. It helps them build and develop their business idea. Writing a kids business plan helps you to determine the costs of setting up and running the kid’s business.

A kids business plan helps them to plan various aspects of their business to keep them from making unnecessary mistakes. It encourages them to set realistic goals and how to achieve those goals hence enabling them to plan for their future.

A business plan for kids helps them understand entrepreneurship. Entrepreneurship will give them an opportunity to learn valuable life skills such as financial literacy and problem solving.

What is the main purpose of a business plan?

The main purpose of a business plan is to provide a roadmap that communicates the mission, vision, objectives and strategies of your business to steer your entity towards success. A business plan helps you as an entrepreneur to maintain business focus because as your business grows, you should be making reference to your plan. It proves that your business idea is viable hence transforming it from paper to an action plan.

A business plan helps you attract top talent for your business as they get to see your vision to help them determine if your entity is worth investing their time. Additionally, a business plan helps you understand your customers and competition because creating a business plan forces you to determine your target market as well as analyze your competition.

Is writing a kid business plan different from a comprehensive business plan?

Yes, writing a kid business plan is different from a comprehensive business plan. This is because a kid’s business plan does not follow the normal structure and process of writing a business plan. Components of a comprehensive business plan include an executive summary, a company description, product and service description, market analysis and organization and management structure. Other elements include a competitive analysis, marketing plan as well as a financial plan. A business plan for kids is also shorter than a comprehensive business plan which is normally 15 to 25 pages long. 

Can a professional business plan writer help a kid write a business plan?

Yes, a professional business plan writer would help kids to write a business plan. They have an adaptive style hence are able to relate well with kids. The adaptive nature of a professional business plan writer enables them to take on any assignment as it comes and are not afraid of changes. They can easily fix wrong wordings or thought processes of a child. Professional business plan writers provide an objective perspective regarding the business plan for kids enhancing the quality of the business plan. In addition, a professional business writer has the expertise, knowledge and skills to come up with a good business plan leading to success of your kid’s business.

What is the cost of a kid’s business plan?

A comprehensive business plan costs between $ 2000 to $ 25000 but a kids business plan costs less around $500. The cost of a business plan depends on factors such as length, size of a business, turnaround time and experience of the business plan writer. A lengthy business plan is expensive to write hence a business plan for kids costs less because it is short. Kids will normally start small businesses which will not be complicated making it less expensive to write a kids business plan. 

Kid business plan template

Kids business plan template is a guide on how to write a plan for your kid’s business.Some online platforms such as websites have downloadable templates for kids’ business plans. These templates provide an outline of how a business plan for kids looks in terms of structure and components. The purpose of business plan templates is for you to have an easy time crafting your own as it gives instructions on how to go about it.