Contrary to popular practice, a business plan is not a means to securing financing. Instead it is a step by step guide to running your business and creating the product or service that will make it in the marketplace. Like any other map, your plan will have to be adjusted according to your vision for the company, conditions and opportunities in the marketplace and your business’ current condition.
Whether it’s formal or informal, every business has a plan. The local hair salon may not have formally written down the plan, but before setting up shop, a smart owner would have assessed the need for a shop in that area of town, the ability to attract clients there, the appropriate number of chairs, whether to hire someone to do the shampooing and sweeping, the cost of utilities, the parking availability for clients. The owner who waits to figure these things out using trial and mostly error will be lucky to be left with his/her wits, much less any customers. A business plan helps to minimizes those pitfalls.
To many people, the concept of writing a business plan for their own business is a daunting one.
WRITING YOUR BUSINESS PLAN DOWN:
- Helps you determine and coordinate all aspects of business operations
- Gives you a means to analyse and determine what might be the best change to boost your business out of a stagnant situation
- Assists you in determining the risks and benefits associated with any changes
- Decreases your chances of making a mistake or not considering important factors in your business, and most importantly,
- Dramatically increases your chances of success
Business plans are not only for those just setting out their journey in the marketplace. They are useful when acquiring a new business, forecasting growth, introducing a new product or service, entering a new market, responding to changes in the market or changing a significant aspect of your business.
For professional assistance with preparing or updating your business plan, do not hesitate to contact us.