5 Reasons Why You NEED a Business Plan!
1. Clarify Direction
The primary purpose of a business plan is to define what the business is or what it intends to be over time. Clarifying the purpose and direction of your business allows you to understand what needs to be done for forward movement.
2. Future Vision
Businesses evolve and adapt over time. Factoring future growth and direction into the business plan can be an effective way to plan for changes in the market, growing or slowing trends and new innovations or directions to take as the company grows.
3. Attract Financing
The development of a comprehensive business plan shows whether a business has the potential to make a profit or not. By putting statistics, facts, figures and detailed plans in writing, a new business has a better chance of attracting investors to provide the capital needed for getting started.
4. Attract Team Members
Business plans can be designed as a sale tool to attract partners, secure supplier accounts and attract executive level employees.
5. Manage Company
A business plan conveys the organisational structure of your business. This includes titles of directors or officers and their individual duties. It also acts as a management tool that can be referred to regularly to ensure the business is on course. This means you will be meeting goals, sales targets or operational milestones.