How to Create an Internet Business Plan and Launch an ECommerce Company

Even as total retail sales in the U.S. have suffered since the economic crisis hit, online retail sales continue to climb. In the third quarter of 2009, U.S. online retail sales hit $34.0 billion, according to a report by the Department of Commerce.

Taking your business online, or launching a new internet company, opens doors to millions of potential buyers around the world. Increase your chances of success with:

• a solid ecommerce business plan
• adequate new business financing
• an affordable and effective marketing plan

Take the time to cover these bases before your new business launch.

A business plan is one of the more important documents your company will develop. It should be a living document, updated regularly as the goals of the business evolve.

There are a variety of customizable business plan templates available online through small business centers and banks. An online business plan should include at least these sections:

1. An Executive Summary
2. Business Information
3. Market Analysis
4. Financing
5. A Marketing Plan and Budget
6. Owner/Management Information
7. Growth/Expansion Goals and Plans

A good business plan helps the entrepreneur(s) not only secure financing, but prepare for different scenarios, forecast and budget, and effectively manage growth.

For more information on ecommerce business plans, see How to Write an Online Business Plan.

Entrepreneurs, even with a good business plan, often have difficulty getting small business loans through commercial banks.

One new business financing option is to approach friends and family for seed money.  With a professional business plan and clear vision, explain to them how this funding will help the business grow to the next level.  This can be a good financing option for entrepreneurs in need of $5,000-$50,000 in new business financing.

A second option is to approach an agency or try networking to meet angel investors.  These are business professionals who need to see dedication, organization, and a workable business plan to even consider the investment.  Entrepreneurs seeking up to $100,000 might try finding an angel investor.

The third option is incorporation.  This allows the ecommerce to offer private placements, or non-public offerings, for investors.  Incorporation and selling shares often works when a larger amount of funding is needed, as the risk is spread out amongst several investors.

The goal of a new online business is to create a branded presence across social media, company websites, blogs, and sales pages.

Master social media to tap into a wealth of free advertising.  Test paid advertising methods and keep an open mind; be prepared to sink more money into winning strategies and cut loose those that just aren't performing.

Make sure the actual e-commerce webpage is professional in design, organized, easy to navigate, and optimized for search engines. 

Use press releases to catch media attention, but remember there must actually be an element of news to the story.  Plan an event or launch in a unique way to generate publicity worth covering.