Nobody ever wrote down a business plan to be broke. This happens when you do not have a business plan
Here's why a B-plan is a must to…
- Avoid big mistakes :
- The last thing you want to do is work on your start-up for a year, only to realize you were doomed to fail from the start.
- From our experience, we find many founders learn the hard way that they didn't set aside enough capital to reach their goals, took on partners with the wrong skills and resources, or don't have a viable way to make money. Developing and sharing a business plan can help ensure that you're sprinting down the right path.
- Counterbalance your emotions:
- At times during your start-up experience, you'll be manic — so passionate about your ideas you lose sight of reality. At other times, you'll be overwhelmed by doubt, fear, or exhaustion.
- When your emotions get the best of you, having a business plan lets you step back, and take an objective look at what you are doing and why, what you know for a fact and what you are trying to figure out.
- Make sure everyone's on the same page :
- Chances are, you are not building a company by yourself. Ideally, you'll have partners, so you can launch faster, smarter, and with less need to pay employees or suppliers.
- Even if you don't have partners, you'll have advisers involved. A business plan helps get everyone involved in your start-up heading in the same direction.
- Develop a game plan:
- At a start-up, execution is everything. That means you have to set priorities, establish goals, and measure performance.
- You also need to identify the key questions to answer, like "What do customers really want?." "Will customers buy our product and how much will they pay?," and "How can we attract customers in a way that's cost effective and scalable?" These are all things you'll address during the business planning process.
- To raise capital:
- If you wish to raise or borrow money — even from friends and family — you'll need to communicate your vision in a clear , compelling way.
- In our experience start - ups with a business plan raised twice as much capital as those without a business plan within the first 12-15 months.
A business, may be able to be succeed and make money without a business plan, but imagine how much further that business could go with a little more forethought and planning?