BUSINESS TALK

{ SHIFT+CONTROL }{ COACHING WITH KRISTIN{ BUSINESS TALK } } A GOOD BUSINESS PLAN IS NEVER DONE

BY RUMELLA CAMERON

A business plan is a very important and strategic tool for entrepreneurs. A good business plan not only helps entrepreneurs focus on the specific steps necessary for them to make business ideas succeed, but it also helps them to achieve short-term and long-term objectives. The purpose of a business plan is to create an effective strategy for growth, determine your future financial needs, attract investors or lenders and manage change. Consider your business plan a roadmap to guide you as an entrepreneur to see the big picture, make important decisions, and improve overall performance and success.

Each year you should block out time to revisit your business plan to go over the goals that you had set for yourself to achieve that year and reflect on what worked and what didn’t. This gives you the opportunity to plan for the upcoming year and use this as a management tool going forward. Updating your business plan is essential to keep all your information up to date. It may need updating to show a change in a physical location, alter your business goals, add a new business partner, or similar adjustments. Challenge yourself to take a hard look at your business plan to understand whether the contents are still applicable or not.

Formulating a business plan should be the first step when starting a new business. Business plans typically include detailed information that can help you improve the business chances of success, like market analysis, competitive analysis, customer segmentation, marketing, logistics and operations plans, cash flow projection, and an overall path to long-term growth. If you’re an existing business it’s necessary to update your business plan on a regular basis. You can use it as a management tool to track your progress, make changes and make good business decisions.

Some would ask when is a good time to revisit your business plan and when should you update and make changes to it? Entrepreneur.com recommends that you should update your business plan at least once a year. This big update to your plan should include a review of your value proposition; a look at new market segmentation; and a look at the larger potential market for whom your products or services could provide a solution. You can also do a monthly update, which involves reviewing the difference between the actual results you achieved over the course of the month and the planned results you had hoped to achieve. Whether you’re looking to expand and are seeking funding, perhaps there’s a stronger or new competition, or maybe your business plan no longer reflects your current state anymore. There could be a number of reasons why it would be time to review and update your business plan.

Entrepreneurship is often an endless exercise in decision-making and crisis management. Sitting down and considering all the ramifications of any given decision is a luxury that entrepreneurs can’t always afford. Putting together a business plan requires entrepreneurs to ask themselves a lot of hard questions and take the time to come up with well-researched and insightful answers. Even if the document itself were to disappear as soon as it’s completed, the practice of writing it helps to articulate your vision in realistic terms and better determine if there are any gaps in your strategy. Many businesses are created out of passion, and while passion can be a great motivator, it’s not a great proof point. Planning out exactly how you’re going to turn that vision into a successful business is perhaps the most important step between concept and reality.

“You want to ensure you update your plans periodically to address any legal and regulatory changes, as well as to make certain your company is continuing to make the choices necessary for success.”

vital because no company can succeed unless it stays current with the times and unless it evolves. The goals that you have for your organization will be different when you first get started then the goals you have once your organization is already underway. You want your plan to reflect the latest goals that you hope your company will accomplish so you have clear and measurable objectives to work towards. If you need help with updating your business plan, you can join us on November 17th for our upcoming Business Plan and Mindset Workshop. Working with Conversance Business Solutions to keep your plan updated is a smart choice. You want to ensure you update your plans periodically to address any legal and regulatory changes, as well as to make certain your company is continuing to make the choices necessary for success. Conversance Business Solutions is a full-service administrative support, and consultancy firm, serving businesses from small to mid-size nationwide. Our team specializes in various virtual assistant services and onsite support tailored to meet each of our client’s needs. Whether we work as an extension of your team for one-time projects or long-term engagements, we bridge the gap between where you are and where you want to be. We hope these tips were helpful. Get in touch with us today at 585-484-0038 or visit us online at www.conversance.biz to find out more about the ways in which our team can help you.