If you are starting a business, there is no shortage of advice on the steps you should take: registering your business name, getting a Tax ID, deciding on a business structure and logo design to establish branding. While these are all very important steps to take, a business plan will be vital to how you start, grow and scale your business.
Here are 5 reasons why you need a business plan:
- It will help you guide your business as you start and grow.
Think of a business plan as a navigation system to get your business going. A good plan guides you through each stage of starting and managing your business. You’ll use it like a GPS for how to structure, run, and grow your new business. It’s a way to think through and detail all the key elements of how your business will run. In the midst of the hustle, it is easy to lose your way if you don’t plan ahead.
- It’s not as difficult as you think.
It is a tool that projects 3-5 years ahead and outlines the path your business intends to take to make money and grow revenue. Think of it as a living project for your business, and not as a one-time document. Break it down into mini-plans – one for sales and marketing, one for pricing, one for operations, and so on. Our small business resource academy modules help you achieve.
- It will help you to reach business milestones.
A well-executed business plan helps you to step back and think clearly about the important elements of your business and helps your decision-making process.
- It can help you get funding.
Business plans can help you get funding or bring on new business partners. It can be a valuable asset when you consider crowdfunding as an option to find your venture as well. Having one in place will help investors feel confident that they will see a return on their investment.
- There’s no wrong way to write a business plan.
There is no right or wrong way to write a business plan. You can pick a plan format that works best for you. What’s important is that your business plan meets your needs. Most business plans fall into one of two common categories: traditional or lean startup.
Because knowing where to start can be challenging, Idiya has tools to help make writing a business plan less intimidating and time consuming. Our small business resource academy offers a free module for a business plan that helps simplify the process.
If you want a more hands-on approach, you can get assistance from a coach to help complete your business plan. Working with a coach can help with all aspects of starting, growing or expanding your business.
"Don’t get distracted. Never tell yourself that you need to be the biggest brand in the whole world. Start by working on what you need at the present moment and then what you need to do tomorrow. So, set yourself manageable targets." -Jas Bagniewski, Co-Founder of Eve Sleep