How to create Business Model ?

A Successful business is to identify sources of revenue for business . Provide problem solving product and services for customers with detail of finance planning . Business model describe , how an organization creates, deliver and grab a value . The process of business model is to construction and modification .

A business man plan who approach to design a business model require an approach that allows them to understated how to identify revenue for business .

How to create business model ?

Plan should be short and simple to understand

At a time of making a plan you should keep it in mind . That your plan should be short and simple to understand your business partners and co workers it should be in common language and clear . More information

Should know your Customers demography and physiography

Product launching is not an easy . You should know your customer demography and physiography . Have to do some servery in market to give best product or services . Analysis your competitor for more information

Financial Plan

It is an important at every business you should have to make finance planning and make an entries in a book . how much capital you need and which area you will be going to spend it . How much will be your daily expenses . what is your cash flow. more information


Opportunity of market . Analysis a market you will find more opportunities to stand your product ans services . Grab the opportunities and grow your business . Go for opportunities find out and solve your problems

Don’t be intimidated

Don’t be intimidate with what you don’t know . That can be your greater strength . It is not a good sign for business. Ideas is clear to your partners make it work.

Execute the plan

Business model is a blue print of a business . If it is ready to execute start with out delay . Market Don’t stop it will move with a time . may be some one is their with same strategy of yours . If plan don’t work re-think where it went wrong, Check it again what was a loopholes , Adjust as needed try it again .

What types of business model /What are Example of business model

  • Direct sale.
  • Franchising
  • Advertising based
  • Manufacturer
  • Distributor
  • Retailer

Direct sale Business model

Direct sale method is also know as network marketing . Company is not selling their product with shop they sell product with individual sellers . They try to find out the problem of customers and find out that their product is solve the problem of customers .


This model is use to expand your business if your business running successfully in market . Franchise model help to multiply the business and expand fast . Example Alshaya trading Co. This is a big Franchising company in Gulf Country.

Advertising based Business model

Advertising business model help to gather audience . Create an awareness about product and services . Advertising should be eye catching to audience message to engage an audience . Types of advertising model are Print, Direct mail, paid digital media .


Manufacturer make a finished product with raw material and remove a cost of good sold or making charges and sell product in a bulk quantity to Distributor and retailer some times it also make direct sale to consumer with out middle man .

Distributor Business model

Distributor or middle is a person who purchase a product direct through a company in a bulk quantity with cheap rate and sell to a retailer with a margin of 1 or 2 percent but for this they need to have big ware house . Large amount of capital to purchase a huge quantities and good chain of retailers to sell their product.

Retail Business model

Retailer are have direct connection with customers . They Know the needs of a consumer . Retailer Purchase a small amount of goods from distributor . They make a par level for a month .