The business plan is a system of systems that dictates how these systems should function at best.
Business planning is an extremely vital process of every successful businesses. As the saying goes – a failure to plan is a plan to fail. The business plan is a working document that is constantly being used to guide the business according to its plan. Not all plans workout the way they were intended, but knowing the alternatives will increase the probabilities of success. Also remember that business planning is ongoing and adapting this practice will get your business further than you can imagine.
Most investors and financiers want to see a business plan before deciding on an investment or funding. Some of the most important questions that the business plan should answer include but not limited to; the problem the business is solving, the capital needed, the development stages, who will buy what is being sold, how will potential buyers be reached, the competition, the defense against the competition, how much will the business make and how much the investors will make.
The business plan can also be modified according to its purpose. A business plan used to operate the business, may not include certain details as the business plan used to present to an investor or financier.
Good business planning is 9 parts execution for every 1 part strategy…Tim Berry
Practicing business planning should not paralyze the business into a planning without execution mode. No business will survive on pure planning. Executing the plan is nine times more important than preparing it.
