The Benefits Of A Business Plan And Why Your Business Needs One!
September 17, 2020
Having a business plan is so valuable for any type of business. In fact, it’s a basic when it comes to setting up your business. At the beginning, you probably thought extensively about what your business was going to be about, where it was going, the needs it met, and more. Which is great! Starting out with a solid plan is always a good idea. However, there’s one thing that’s very common when it comes to these type of plans. You set out with the good intentions of following it to a T. But then you get waylaid by new, more exciting plans, and what you originally thought about falls to the wayside a bit.
If your company is running smoothly, you may not have given that original plan a single thought since! Why would you, after all? Now, while you may not benefit from following your previously laid plans, having some sort of a business plan to follow can have so many benefits. In this post, we’ll be taking you through some of the benefits of a business plan and why exactly your business needs one, whether you’re just starting out or have been trading for some time!
You can set specific goals and objectives
Every business needs something to work towards, both in the short and long term. It’s what keeps everyone motivated, and ensures that your business is growing and making a profit wherever possible. Having said this, it’s easy to become lost when it comes to your goals. This is where the benefits of a business plan become abundantly clear. In planning, you can think of your goals ahead of time, so you always know what you’re working for.
Furthermore, once a goal or objective has been completed, you know what comes next. So, it’s easier to keep the momentum going and make sure the business continues to thrive. If you’re struggling with what goals to set for yourself, your managers, or your wider staff, a business plan will always help you get there, and keep everyone on track when it’s easy to fall off the bandwagon.
The benefits of a business plan include helping you hire
Having a business plan will help you to decide when the time is right to hire and expand your team. Hiring the right people, to do the right job, at the right time is a crucial part of business growth. But, it can be hard to know when it’s best to make that jump and get some new hires in. If you have a solid plan and guidelines to follow, this will make your decision easier. You’ll probably have laid out a few steps that need to be taken before you hire, so once these have been completed, you’ll know that you’re heading in the right direction.
Taking the plunge and expanding your team can be daunting at any time, whether you’re just hiring one person or 100. This process can be made a whole lot less stressful with a plan there to guide you. So, when it comes to hiring, the benefits of a business plan are clear. Even if you don’t think your business will be expanding in the near future, there’s no harm in thinking far ahead when it comes to recruitment- and following that plan will definitely help you reach that goal one day.
It allows you to see the bigger picture
As your business starts to grow, it’s natural that your priorities and workload will change. Other people may start to take on roles that you once did. This isn’t a bad thing, as it allows you to expand. But, it is where a business plan can come in handy. Having a well thought out and detailed plan allows you to see and evaluate the business as a whole. Even if there are parts that you’re no longer so involved in, coming up with a structured plan is undoubtedly one of the best ways to make sure that you still know what’s going on.
A plan helps you to set your priorities
In a similar way, having the bigger picture available to you will help you set your priorities and decide what is important for you, and everyone else that may be a part of your business, to focus on. It could be that you realise you need to focus on marketing more in order to attract more sales. Or, perhaps you need to cut costs in a certain area that’s not so profitable. Maybe you have the right people, but they’re working in the wrong areas.
Whatever your plan allows you to see, re-prioritising can never be a bad thing when it comes to business growth! Sometimes all you need is to see everything laid out clearly tor realise where you may be going a little wrong. It’s extremely common for priorities to need a bit of readjustment, and the rewards it can reap for your business are certainly worth it! You can’t do everything, so why no focus on what you can do to bring those best rewards?
Why not give yourself a strategic focus?
When it comes to the benefits of a business plan, giving yourself a higher level of strategic focus is definitely up there with the best! A good plan will give you what you need to focus on what makes you different from the rest, what you can do to manage business growth, who your target market is and how to actually target them, and more. There’s no use wandering around aimlessly with your business. Having a specific focus and plan will keep you on the right track and make sure that everything runs as smoothly as possible, all while taking any panic and stress out of trying to figure out where your business is supposed to be going.
You can manage any changes with ease with a great business plan
Having a great plan that works for your business is important. But, it’s probably equally as important to make sure you review your plan regularly. This will refresh your memory on what it’s all about, and also allow you to forecastfor and catch any changes that may be happening to your business. Being prepared is key in any situation, and your business is definitely no exception. Thus, the benefits of a business plan include giving you the ability to accurately predict any changes that might come up, as well as equipping you with a path and the knowledge you need to navigate those changes. Why would any business not want access to that kind of resource?
Track results and manage accountability
Another great benefit to having a business plan is the fact that it allows you to track results and also manage accountability within your teams. If your plan is good and detailed, it will set out the expectations that you have for your business sin the coming weeks, months, and years. Then, you can regularly revisit the plan and see how your current situation is matching up to what you planned.
If there are triumphs, then this is great news, and you may even want to consider adapting your plan to challenge your business even more. But, if there are disappointments, a solid plan will help give you an idea of what exactly went wrong, how you can fix it, and who or what is accountable for them. Managing accountability is a key factor in helping businesses to grow and overcome their mistakes and disappointments. So, if you feel as though it’s something you’re not doing enough, get planning and you will soon see the difference that it can make!
Finally, a business plan will help you to make decisions
Finally, the benefits of a business plan ultimately comes down to the fact that a good plan will help you to make decisions. This could be anything from moving into a new office space to completely pivoting what you do. Changes and big decisions are daunting. But, by having a clear roadmap behind and ahead of you, it is definitely made easier. Making decisions on your own is never easy. A great plan means that you’re not alone and you have clear evidence, data, solutions, and suggestions to back those plans up. What could be more useful than that?
So, in conclusion, the benefits of a business plan are abundantly clear. Every business needs one. It doesn’t matter the size, the industry, staffing levels, products– any company can benefit. Here at Chrysalis Partners, we are experts in helping small and medium-sized businesses grow. Our network of professionals and over 50 unique methods help to give you clarity and plan where your business is going next. If you’re feeling lost when it comes to business planning, we are here for you. But how does it work?
We have a hybrid model of coachingand consulting which means we have programs to suit every budget and every type of small to medium-sized business. Our services range from advisory to more hands-on development of marketing and sales materials.
You can benefit from support on a regular and ongoing basis, or receive help on specific projects you’ve identified. Whichever approach you choose, we use the same 50+ fully-defined and proven methodologies that are written as easy to use, step-by-step guides.
These guides cover the full spectrum of marketing and sales strategies that can and should be put in place for your business, all at no or low implementation cost. These are supported by workshops and sophisticated techniques for improving all of your business operations. Contact me today at firstname.lastname@example.org or complete the contact form here and I’ll get back to your shortly to discuss your individual requirements.
We’re passionate about great businesses and great causes. Developing a great corporate social responsibility plan is a fantastic way of generating business. Yep, giving for good causes will generate you more business. Every single month we give away free resources in exchange for a suggested donation to directly support our chosen charity Action for A-T.