Are you losing momentum?
Great leaders are always on the lookout for the next opportunity or threat. When things seem disorganized, chaotic or sluggish, it might feel like you are losing momentum. Perhaps your team is spread too thin chasing big dreams and goals. We have even heard this described as a need for more accountability, a sure sign that team members are getting frustrated or distracted.
Time to revisit the business plan?
“Often people think business plans are limited to starting up new companies or applying for business loans. However, they are also essential to running a business with a clear, well-documented plan.” (Bdc 2022) In our blog “Is Your Business at Risk?” we discovered not using a current and relevant business plan was a key contributor to business failure.
The Thrive 2020 states “Your business plan is essentially your road map to success.” Well done business plans will unify and focus your organization. We recommend completing a business plan with your key leaders to generate buy-in and get expertise from those that will need to enforce execution.
What is involved in a business plan?
That seems to vary depending on the application. While everyone seems to agree that a business plan is a necessity the structure vary from elaborate to simple. However, even the proponents of more sectioned business plans agree that each section should be concise. The extremes that we found were as follows;
5 Section Business Plan
(The Hartford - Business Owner’s Playbook 2022) published this structure;
Executive summary
Business description and structure
Market research and strategies
Management and personnel
Financial documents
10 Section Business Plan
The website Growthink published this more comprehensive structure;
Executive Summary
Company Analysis
Industry or Market Analysis
Analysis of Customers
Analysis of Competition
Marketing, Sales & Product Plan
Operations Strategy, Design and Development Plans
Management Team
Financial Plan
Appendix
Which business plan structure is right?
In a quick survey of the internet, the two main reasons that companies did not have a business plan was due; a) to not starting one, and b) not feeling like there was enough financial information to complete the financial plan. With that in mind, start or re-draft a current outdated plan with the minimal 5-section Business Plan. As your plan matures, include necessary sections from the 10-section plan.
It’s a plan, revisit it yearly. Keep it fresh.
“Your business plan reminds you of why you started your business in the first place, what your original goals were and how business changes will affect your original vision.”
Small Business Chronicles 2019
At Drive, as stated before, we highly encourage business owners to include their key staff in this process. “Many hands make light work.” Including others in the process is enriching for them as well as the most expedient method to finishing the task. It also breaks down the stigma of the untouchable business plan. It’s a plan afterall, it might need to change. Often annual company retreats offer a great venue to review and edit your existing business plan.
Need help?
Drive’s 1-day or 2-day annual planning session goes through the components of a well-drafted business plan. It might be the perfect tool to focus your team and get them all pulling in the right direction. If you think that sounds refreshing, schedule a free 30-min consultation and a coach will discuss what is involved.
