So much has been written about the value of a business plan but I see too many small businesses operating without one. So do you really need one?
If you asked a pilot if he absolutely needed a flight plan to fly a plane, what do you think he would say? The point is that you don’t need a flight plan to fly a plane any more than you need a business plan to operate a business. That being said, why is there so much written about how important a business plan is?
Here’s my spin on this. A business plan will force you to think through the obstacles you will likely face when running your business (not all of them of course). It will force you to map out your course and identify operating targets so you have something to measure your success or failure against. The purpose is to help you manage, and the plan should be updated regularly to incorporate the things you have learned along the way.
So yes I did say “Business Plan”. Every small business should have one and it should be the foundation used to measure their operations on an ongoing basis. Without a plan you are flying a plane without knowing where you should be going and whether you are approaching danger.
Happy Holdiays!
Victor
