One of the biggest mistakes that business owners commit these days is to believe that a business plan is something you would only do for your bank manager.
Creating a working document that will serve as road map is always USEFUL for your business – it’s your plan for success!
Can you imagine how hard it would be to get on holiday if you didn’t know where you were going? Even if you did know the destination, but you haven’t planned or booked how you were going to get there then it would be virtually impossible to get there and really hard work!
People run businesses like this though. They usually don’t have any clear plan or thought of where they want to go and it costs them dearly in time, effort and money.
There is a well-known saying – “fail to plan and you plan to fail”. And it is very true.
The direction you want your business to go in needs to be clearly charted with both yourself and your team on a clear path of that journey. You simply cannot experience a profitable business without a plan for success.
Your plan may be to stay the size you are now or it may be to be double the size in 2 years. Whatever it is you envision for your business, you need to have a plan.
Your plans may change and you may end up taking a detour, but you should have markers or steps to get your business running on a good solid route. Written down plans are always more effective than thoughts in your head, so get a plan done and down on paper as soon as possible.
Your markers could be things like the next piece of equipment you want, a course you want to do, or monthly targets for growth in turnover. They will always be things that you can strive to achieve and then you will naturally move on to your next challenge.
You should also have a long-term plan for success in place too.
- How long do you want to have the business for?
- Do you want to sell it eventually?
- If so how much would you like to sell it for?
These are all key parts and elements to your business and don’t forget, this should be a fun exercise and updated regularly.