The Importance of a Business Plan

When you are going on a journey you will think about a number of things.

What time do I need to leave?

What route will I take?

How will I travel?

We go through this process many times in our life yet many people freak out at the thought of planning their journey in business.

I get that there are additional things that a Business Plan will contain, especially if you are applying for business finance BUT the general concept of a Business Plan is the same as planning a journey.

How and when we decide to go into business will differ from person to person. My brief story was one day I was at work as a Police Detective when I suddenly said to myself I do not want to be doing this job until I retire. You will have your own story.

Like me many of you will know what it is in business that you want to do and there are many who do not have any idea. This is ok. As an Entrepreneur I am constantly having business ideas pop into my head as I go about life but not everyone is the same.

A Business Plan is not just a document you prepare when you are looking to raise finance. If you are anything like me you will get loads of ideas about different things to try and it is very easy to go off track and go down a road that you had not originally planned. I have had to be reigned in a few time by those around me. Having a Business Plan helps you remain focussed on the task in hand and keep that forward drive.

Don’t think that just because you’ve written a business plan that you cannot make changes. In fact the world of business is always changing and things will force you to have a rethink. A highly topical current example would be the changes in the price of energy. If when you start you budget for one price and the goal posts move this will have a massive impact on your business planning so do not feel that you cannot make changes.

Business Plans do not have to be complex. Some of the best Business Plans that I have seen have been extremely basic but highly effective.

A Business Plan is an evolving thing and many established businesses will have a yearly, five yearly or longer plan. Your plan could be month to month in the early days. You need to do what works for you.

The key thing is that you have a plan!!!

I cannot stress this enough.

If you would like to learn more about writing a business plan I recommend you complete the SME Business Concierge Ltd online course on Writing a Business Plan.

If having completed the course you have any questions please do not hesitate to contact me.

Martyn Linton – SME Business Concierge Ltd

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