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Why Create a Business Plan?
Every small business owner has a "plan" tucked deep within his/her mind with the company's goals and objectives, a route intended to steer the company from point A to B. Yet, as we can all attest, traveling through life is much simpler with the help of a map! Pure luck and intuition can only take you so far before you realize that you've gone fifty miles out of your way (and your spouse is sitting in the seat next to you saying "I told you so!" because you were too stubborn to stop and ask for directions). Moral of the story- you can save yourself some time, money and aggravation by constructing a thorough business plan prior to heading out on your own. Business plans serve a variety of important purposes. First, writing a business plan forces you to examine the true feasibility of your potential product or service. If you already know that the road is going to be a tough one from the get-go, you may make changes to your business model that will ultimately save your company (and your sanity!). Better to make these changes sooner than later. Although businesses fail for many reasons, including lack of cash, lack of skills or research, or a host of other reasons, most often the core reason for failing is a lack of planning in one or more areas. By putting together a business plan, many of these pitfalls can be avoided. Second, business plans keep you on track and continually remind you of your goals and objectives for your business. Once your business is off and running, you may lose sight of your original goals and aspirations. A business plan serves as a constant reminder of the path that you initially chose to take and why you chose to take it. Third, business plans make a strong case for capital. No lender or investor (bank, angel investor or venture capital group) is going to sink money into a business that has no future. A thorough, well thought out and researched plan is much more likely to attract attention and funding. This plan must demonstrate clearly and forcefully that there is a market for the product or service and that the business will gain a viable share of that market against the competition, enabling the repayment of debts and the ability to make a profit. Whether you hire a company to conduct the research and writing or do it on your own, take a map on your journey. A direct and safe route is always the best way to go! And Maple Alley can be your guide! So, let us know if we can assist you in writing, editing or consulting on your business plan.
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