Business Planning 101

Developing a business plan is sometimes a daunting task and hard work by business owners. However, business planning can help advance any company or small business forward. Why write a business plan, you may ask, it provides entrepreneurs a powerful tool for the foundation and goals for their business. There are many reasons to why writing a business plan is essential to any owner. Scott Pietreface, owner of Fumatore di Sigaro Premier Lounge and Cigar Shoppe located in Cape Girardeau Mo., said that, “All businesses should have a business plan because this allows entrepreneurs to brainstorm ideas that they would like to implement how to accomplish them.”

 Importance of a Business Plan

Think of a business plan as a blueprint for a home. What can help keep the house up and steady? What makes a blueprint for a house successful? As for businesses, what can help a business stay steady and up and running? Also, how can a business increase profit? What can help make a business a successful one? The answer is preparation and developing a business plan. Business plans are excellent tools for implementing the company’s vision, mission, and goals to investors, customers, and even employees. Also, to give any business any chance of success, writing a business plan will guarantee that business owners pay attention to financial details, such a budgeting. According to Rieva Lesonksy, author of A Business Plan Doubles

Your Chances for Success, says the findings of a new survey, “The study indicated that the type of entrepreneur who completes a business plan is more likely to run a successful business.” Pietreface spent two and a half years developing a thorough business plan. He said, “I always had a vision of what I wanted the business to look like, but didn’t know how to get there.” The business plan laid everything out for Scott and for many other business entrepreneurs.

Competitors

With every company, comes a competitor, and establishing a business plan will provide business owners with strategies to differentiate their products.  This allows them to better market their business to customers better than the competitor can. Also, business planning is a critical time process because it allows entrepreneurs to test “what-if” situations and create back-up plans just in case the first plan turns out a little differently than what was expected. Pietreface included, “Fail to plan, then you plan to fail.” The business plan can show you what your business’s strengths and weaknesses are and this forces the entrepreneurs to create a timeline of events that must happen. Also, plans can help provide organization tactics for business owners. Nonetheless, business plans will help entrepreneurs survive over time and have a constructive impact to their business.

Your local small business technology development center in Jackson, MO is always ready to help any future or present entrepreneur plan for their start up or growth of the business idea.  The Jackson center serves the I-55 corridor from Ste. Genevieve to Pemiscot counties and

includes Bollinger, Madison, Iron, St. Francois and Washington counties. The center is also part of a statewide network so the resources extend beyond Southeast Missouri. For assistance just call 573-243-3581 and ask for Richard Proffer.