What is the Number One Danger to Your Company?
by Ann Connor
The Lack of or a Poor Business Plan
The Business Plan –
Not Just For Start-Up’s After All
The single most critical component that determines your company’s success or failure is your business plan. Doing one right forces you to think and plan strategically. It outlines your goals and identifies how you are going to achieve those goals and what is required to do so.
Ultimately, Companies Do Not Fail Due To Lack Of Money.
The bottom line is that poor cash flow is merely a symptom of poor business planning. Successful business owners recognize the critical importance of ongoing and consistent reviews of their business. Yet, more than 60% of business owners don’t have an executable plan.
Key Components Of The Business Plan.
We all know what the key components of the business plan are but few of us actually take the time to map it out and get it on paper. Basically, your plan should include a company overview with its history and current status; your strategic objective; description of products and/or services; analysis of the competition; marketing plan; and, financials including a projected income and sales forecast.
How To Use Your Plan Effectively
* A business plan can be a functional outline. It does not need a lot of detail for implementation.
* The plan should be used as a decision-making tool to guide the implementation process and keep you on track
* It should be a work in progress and updated on a periodic basis
* The most important part of your business plan is your marketing plan