Before an architect designs a house, he creates a floor plan. That floor plan is what the engineers use to build the house. It ‘s what the carpenter, the foreman and the construction workers refer to in order to complete the project. This is what guides the whole construction team. Most of all this gives the client a perspective of what his house would look like and the work at hand. And just like in business, a wise entrepreneur needs a plan… a BUSINESS PLAN.
This will guide the business owner and his team on how to run the business. Some entrepreneurs take planning for granted. In our years of consulting, we’ve met a number of entrepreneurs who failed to see the importance of a business plan.
Seriously, what is a business plan? Why is this being missed out by some?
- A business plan is NOT a document you write once and not look into after you’re done.
- This should be flexible, it may be long, it may be short, depending on who and what it’s for
- Consider this a guide that outlines your goals for the business
- It’s an overview of your financial projections
- Something you can use to present not only for loan applications, but for investors, partners and and even employees. It’s for who you think should see it.
You can create a good business plan over a cup of coffee.
Some venture in business wanting growing their money, while some just got bored with their day jobs and thought that being a businessman is the easy way out. Others just went with what’s in, what’s hot and a few had great ideas they thought could be a good business opportunity. To each his own. But in order for all of these to materialize, careful planning is important. This is not a guide on business planning. I will give you my inputs with the hope that you will be able to identify your own “why”. Because the more personal your business plan is, the clearer your road map to success will be.
- If you are in business for years or is just starting, think of how everything’s been and what it’s going to be like in the next 5 to 10 years. If you cannot answer this clearly, that means you haven’t planned well enough.
- In your financial projections, we’re you able to see when your peak would be? When would you be able to see ROI? (return on investment)
- Do you and your team understand the short and long term goals of the business? Are you reaching your milestones?
You have to start with understanding what your product or service is. What problem does it solve or address? How do you get the word out there and to whom can you sell?
These will allow you to strategically plan on all the areas of your business that matter to you. It will give you an idea of your marketing channels and activities and the type of people you’d like working for you. It doesn’t have to be complicated. Your business plan can be a simple guide that gives you a sense of confidence that you are on the right track.
After all, you don’t want to press the reset button. You want to continue moving forward. So, plan ahead.
Do You Need Help In Business Planning?
We can work with you on the whole planning stage of your business, step by step.