Three Myths About Business Planning

I often meet new entrepreneurs and an alarming trend among them is that they do not have a business plan. The entrepreneurs that I am referring to usually fall in or around one of the following scenarios:

• they are working on a start-up while they continue working their full time job for funding
• they have decided to open a business that does not require a lot of upfront funding they are turning a hobby into a business/side business, such as a photographer
• they are a professional who decides to branch out on their own, such as an attorney
• they have the equipment and absolute basics to take their business off the ground 중소기업청 사업계획서

Generally the underlying theme seems to be that they typically own the business by themselves, they do not require a business loan, and consequently overlook a business plan. Business plans are not, under any circumstances, designed solely for acquiring funding. In fact, at the exact moment one makes the decision to create a business, the absolute very first thing they must do is: create a business plan. Pull up a chair for a minute and I’ll explain why.

Business plans are a map and a compass. They illustrate where you came from, where you are at, where you are headed, why, and how. They define the value that your business provides to consumers. They outline goals and provide a mini-map for achieving them. Often times they determine how your business is going to deal with competitors, your marketing strategy, finances, financial plan, keys to success, competitive market analysis, defining and exploring your niche possibilities, sales forecast and so much more (I will link you some good examples in a few minutes).

Once you sit down and develop your business plan I am willing to bet you, that you discover something new about your business, rather it be a strategy, service, or marketing idea. A business plan is truly a path of discovery. Once you have this gem at your finger tips, you will still need it – so don’t be quick to toss it to the side. You need to update it – and update it often. If you decide to go in a different direction, take a different approach, or deviate from your original plan, change your plan accordingly. Put down the chisel, this bad boy needs to be on paper, preferably an editable computer file.