The Three Mantras of Entrepreneurship – Part 1
June 16, 2016
ULNR0006-Customer Financing
March 8, 2012

The Back of the Envelope Plan

So what does it take to transform an idea into a business, or perhaps first into a plan then a business?

First you have to start with an idea, next pen it down and communicate it with others, following which, you need to elaborate on the plans and strategies, look for money, and finally complete the necessary documents and agreements. It is only after all these most difficult tasks have been done that the business would finally have taken shape.  Mr Inderjit Singh, The Art and Science of Entrepreneurship.

Ideas usually get conceived in the creative mind. Initially they may not be coherent, but after a period of time, you are able to put the thoughts together to see something probable.

Your idea may start with a problem you faced or something that you came up with randomly. The next step would then to formulate a mental model and make a plan of that model into a business. See how it can be developed properly and what opportunities can be tapped.

While the idea originates and dwells in the mind for some time, it is typical for the entrepreneur to write/draw the idea out. A mindmap or a sketch helps put things into perspective. It helps show the whole picture of what is going on and what is needed (especially resources) to make the business work.

You will be able to see how each part of the business links to each other and from there formulate ideas to improve on the plan.

By organizing your thoughts, you will be able to visualize the idea better. This will help you develop the idea, as you will be able to see all the different aspects of your business better.

Do take a look at the example of a Back of the Envelope Plan in the EntreCity Classroom(Sign In Here)

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