Failing to plan is planning to fail.
Alan Lakein
Yet few startups have a business plan and those that do have generally only written it to raise funding. Having started several successful businesses and a few unsuccessful ones I can tell you from first hand experience that the time you invest in preparing a business plan is time well spent.
Now I’m not suggesting you need to write a twenty to thirty page plan complete with detailed financials that is beautifully presented. Rather I suggest you have a three to five page plan that addresses the following questions:
- What is the the business concept? In other words:
- What do you sell?
- Who do you sell it to?
- How much will you sell it for?
- How much profit will you make?
- What is required to start the business?
- What is required to operate the business?
- How will the business be marketed?
- How will the business be financed?
- What are the possible problems the business faces?
The point of the exercise is not to create the perfect plan, but to go through the process of answering these questions. Let me repeat that important point, the value is not in the plan you produce but process of answering the questions required to create the plan. Don’t be afraid to add more questions as they will help you to carefully think through your business idea.
This blog is about business opportunities and ideas that I spot, think of or hear about and think are useful and interesting. It is intended to provide ideas and inspriation for you to help you find the right business idea for you to then grow it into a successful business.
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