Edmonton Accountant | Why Business Plans Help Entrepreneurs Succeed
Whether business owner is struggling, and wants to overcome their difficulties says Edmonton accountant. Or if an entrepreneur is already succeeding, but wants to grow even larger. A business plan can help significantly.
According to a study done by Palo Alto, the software manufacturing company. Business plans will help entrepreneurs grow their business by 50%. Over and above entrepreneurs that do not have a business plan at all.
The reason why business plans are so important. And successful in helping entrepreneurs succeed. Is because they outline all the things that an entrepreneur needs to do. Either to overcome their obstacles. Or know what they have to do to increase their sales and their revenue.
Business plans are essentially a plan that an entrepreneur is going to follow each day in their business. To help them achieve the goals that they have outlined their Edmonton accountant in their business plan.
A great business plan can be made in for meetings with their Edmonton accountant and four hours of their own time. And if a business owner does this year after year. They will have a great blueprint that can help them each year in their business. Know what they have to do to succeed.
The first meeting that they have will be explaining to their accountant all of their personal circumstances. Such as what the business owners debt servicing is personally. How much money they need to take out of their business, and if they have any other revenue that they are generating for themselves.
The second meeting will be the accountant showing the business owner their tax and financial plan. So that they can be certain that they are able to generate income from their business. That they need to survive.
Between meeting to and three, the entrepreneur will put their own vision into the business plan template. Which is where they need to spend about four hours of their own time. To ensure that the business plan reflects what they are hoping to accomplish in their business.
The third meeting will be where the Edmonton accountant is understanding the business owners vision for the business. So that they can come up with a marketing plan, and a schedule that they need to follow. So that a business owner knows exactly what they are going to do each day in their business to succeed.
And finally, the fourth meeting will be reviewing the plan in its entirety. In order to ensure that business owner understands it, it reflects their personal circumstances and their vision. And to ensure that there are no mistakes in the plan. That might impact the entrepreneur’s ability to bring this plan to fruition.
Once a business owner has business plan. It is extremely important that they do not end up putting it on a shelf and forgetting about it. It needs to be reviewed often, and the objectives need to be followed closely. In order to help a business owner achieve the goals within it.
Edmonton accountant | why business plans help entrepreneurs succeed
All small businesses should have a business plan according to Edmonton accountant. So that they know exactly what they need to do in their business in order to succeed. In fact, there are three common reasons why Canadian entrepreneurs fail. And those three reasons can be easily overcome with the right business plan.
The first reason that industry Canada has discovered why entrepreneurs in Canada have failed. Is because they are unable to find the customers they need to purchase their products and services.
In fact, 42% of all failed entrepreneurs say that this is the reason why their business was not successful. Which is why having a business plan can help so many entrepreneurs succeed. Because they can overcome this obstacle very easily.
The components of the business plan that are going to help entrepreneurs find customers include their differentiation factor. By making a list of its most unique about their business. And then choosing two or three things to focus on doing exceptionally well.
Can help entrepreneurs attract their ideal and likely customers who are looking for those things. Because they are being under serviced by the current competition.
Another reason why a business plan can help entrepreneurs find customers is because they will come up with a great sales and marketing plan. Even if many entrepreneurs know what they are going to do to markets their business. It may not be quantified. Making it difficult for an entrepreneur to follow through with their plan.
For example, they may know that they want to send out flyers. But they do not know how many flyers they are going to send, where they are going to send them, and how often they are going to send those flyers.
By coming up with the sales and marketing plan. Edmonton accountant can help entrepreneurs understand exactly what they need to do for their marketing. How often, they need to do it, and what deliverables they are looking for. In order to ensure that they are achieving their objectives with this marketing plan.
A business plan can even help an entrepreneur understand their pricing. Because if business owners do not have a plan, they may not know what their pricing has to be at. To ensure that they are covering not just their direct expenses, but their overhead expenses as well.
And also, how many customers they need in their business in order to break even. As well as how many customers they need to grow their business. Which all can be outlined and specified in a business plan.
Therefore, if the entrepreneurs that failed in Canada because they were not able to find the customers that they needed to buy their products and services. Chances are if these entrepreneurs would have a business plan. Or follow their business plan. More of them would be able to succeed according to Edmonton accountant.
If entrepreneurs are wanting to ensure that they can overcome the most common obstacles that small businesses face in Canada. Creating and then following a business plan. Is one of the most effective things that they can do.