Looking for the business plan for Living Social, or any of the major online deals websites that have taken the Internet by storm in recent years? These consumer deals sites—from Groupon to Living Social to Google's own version—have empowered consumers in new ways. Why pay full price for a product or service when you might be able to get a considerable discount (often 40-60%) by waiting until there's a daily deal promotion? There are detractors to these Living Social style deal sites, and there is increasing scrutiny into their longevity as more investors weigh their options in this space. However, if you have a special niche or regional market where this business model could pay dividends, you should definitely develop a business plan. A business plan for Living Social or a similar deals site needs:
• A description of the service suite
• The cost structure outlined (how vendors get paid, how transactions get processed, how and when the company profits, etc.)
• A list of your executive team and key personnel (provide bios)
• A market analysis that discusses the role of daily deals sites in the modern economy
• A look at the long-term risks and threats
Market saturation, commercial disinterest over time, and spotty service during promotions are some of the biggest complaints voiced about the daily deals business model, and you should disclose and address these rather than avoiding them. Also, your business plan will have the best chance for success if it uses actual figures wherever possible. Formulate assumptions that are in-line with industry averages and build your up projected revenues at a realistic rate. Investors will prefer a conservative approach to an overly optimistic one. Want to talk it over? MasterPlans is an Oregon-based business plan writing company and the oldest consultancy in the business. Our team of expert modelers and researchers has prepared a wide range of tech plans dating back to 2002. Visit our website at www.MasterPlans.com and then reach out to a consultant: (877) 453-2011.