Successful Business Plan

Note: This article is adapted by Mike Clayton from the original article by the staff of Entrepreneur Media, Inc.

So you’ve got what it takes to be successful on the mats as an athlete. Now you want to go into business to train athletes. What does a successful business plan look like in the sport of wrestling?

1. Know your competition.

What clubs already operate in your area? How many athletes live in the area you want to draw from?

What sports are kids participating in that may be in direct competition with you?

Can you consider hosing other sports in your club to help attract new members as well as providing current members options to participate in a broad base of sport/activity options?

Be prepared to name these clubs and tell potential members what makes you different from (and better than) each of them. But do not talk down on your competition.  Competition is healthy and important. We want clubs to compete against each other while doing so in a positive and open minded environment. 

2. Know your audience.

Do you have a written business plan? Do you know what types of members you want to attract and work with? Will you focus on youth coaching? High School ages? You’ll probably want several versions of your business plan — one for banks, one for individual investors, one for companies that may want to do a joint venture with you rather than fund you (like a gear distributor). Here is a great link to walk you through making your business plan. Ensure you keep the mission of the club focused on things like long-term development of the athletes and making training more about the process of getting better, not about winning. This will help not only recruit athletes to your club but you’ll retain them longer which translates into more income for you and your club. 

3. Have proof to back up every claim you make.

If you expect to be the leader in your field, you have to say why you think so. If you say your product (or training) will take the market by storm, you have to support this statement with facts. If you say your staff has the top technique of any area club, how do you prove it? How do you ensure that your statements are accurate? How can your members measure your claims? Consider mandating that all staff involved with your club should have coaching certifications through USA Wrestling’s National Coaches Education Program (NCEP). Our courses are designed to provide great info for coaches of all levels of experience and taking the courses (and implementing the training) shows your customers that you are committed to improving your own knowledge of the sport.

4. Be conservative in all financial estimates and projections.

If you feel certain you’ll have 50 athletes training at your club in the first year, you can say why you think so but make your financial projections more conservative—for example, budget that you’ll only have 35 full-time athletes so that the extra athletes provide income above and beyond your monthly costs. Try to build a reserve fund for those lean months by setting a percentage of monthly income aside. 

5. Be realistic with time and resources available.

You may think that by running your own business, administrative tasks will get completed faster than they do at bigger companies. Remember, you are the one that will have to buy the supplies, write the checks, market the business, deal with financial paperwork, and answer the phones yourself. Being overly optimistic with time and resources is a common error entrepreneurs make. Being realistic is important because it lends credibility to your presentation. Always assume things will take 15 percent longer than you anticipated. Therefore, 20 weeks is now 23 weeks.

6. Be logical.

Think like a banker, and write what they would want to see into your business plan. Search online for free info/classes on how to build a business from the business side (not from the perspective of showing wrestling moves). You may also consider thinking from a “systems” approach rather than a “linear” approach. Linear thinks say, “I want kids to win so I train them hard for competition.” Systems thinkers say, “I want our athletes to have a rewarding experience and there are many ingredients that can make that happen - while still working for success as a bi-product. Early success doesn’t guarantee future success. 

7. Have a strong team.

Not just your athletes, ensure you have a staff with good credentials, a strong reputation in the community, a desire to keep the athlete’s best interests in mind, and expertise. Your team members don’t have to have wrestled, but you do need to draw parallels between what they’ve done and the skills needed to make your venture succeed. Don’t have all the skills you need? Consider adding an advisory board of people skilled in your field, and include their resumes.

8. Document why your club will work.

Have others done something similar that was successful? Have you made an annual calendar with practice schedules, competitions, etc.? Include all the variables that can have an impact on your club’s future success. Often, we recommend using SWOT analysis (analyze the Strengths, Weaknesses, Opportunities, and Threats for your new club). 

9. Describe your facilities and location for performing the work.

If you’ll need to start small and look to expand, discuss when, where and why. If you have a plan and a vision, let your customers and staff know the plan. You’ll find support and resources when you deploy your ideas to those close to you and your cause. 

10. Discuss payout options for the investors/staff.

If you need investor support or you plan to hire staff with a promise of future ownership in the business, know what that looks like before you start the business. Some investors/staff may want a hands-on role; some want to be on your board of directors; some don’t want to be involved in day-to-day activities. All stakeholders want to know when they can get their money back and at what rate of return. Often, partners will want to be out of their investment within three to five years. Provide a brief description of options for investors/staff, or at least mention that you’re ready to discuss options with any serious prospect.