Edmonton Business Consultant | Building Your Best Business Plan
Studies show that businesses that have a completed business plan are 50% more likely to grow their revenue than businesses who donít have a plan says Edmonton business consultant. Creating a business plan doesnít need to be a complicated or long process. There are several questions a business owner can find the answer to in order to create the best business plan for their business. By answering these questions, and finding the answers to some common pain points businesses face a great business plan can be created that will help the business owner they their business into the future.
Are business owners who complete a plan more likely to grow their business? The answer to this question is yes, a business plan and help business owners plan for the future, as well as overcome obstacles they will face in the day-to-day operation of their business. Without a plan business owners are less likely to overcome these obstacles efficiently.
Are business owners who complete a plan less likely to run out of cash? Again the answer to this question is yes. 29% of business owners say that running out of cash was the main problem they faced in their business. Creating cash flow projections can help business owners create plans for the future especially when they plan out there cash flow month-to-month, and review and update their plan on a regular basis says Edmonton business consultant.
Do business owners who complete a business plan have a more concrete HR strategy? 23% of business owners had trouble hiring and keeping the right team. Addressing this issue in your business plan is a great way to address this issue for becomes urgent. Developing great hiring and retention strategies can enable business owners to hire the best team for their needs, without hiring on a reactionary basis.
Is it possible to predict all potential future events in a business plan? No, it is not possible or even necessary to predict all future events or variables that may happen within your business says Edmonton business consultant. There will always be events that are impossible to predict, or events where you cannot predict the significance they will have on your business. People may leave your business at key times, you may lose key customers, you may have supply-chain issues, changes in the market, business owners themselves could be getting ill. A great business plan will address the three most common business problems business owners face, which will leave business owners in a better position to overcome these unexpected hurdles.
By answering these questions and spending a few hours of time thinking about your business in this way will allow business owners to come up with a comprehensive plan that will help lead their business into the future and into growth. Itís important to remember that this plan isnít hundred percent foolproof, no matter how much time you spend on it, implementing the plan is more important than refining it.
Edmonton business consultant | building your best business plan
Business owners are often hesitant to create business plans because they donít know where to begin says Edmonton business consultant. Building a plan for your business doesnít need to take a lot of your time, and doesnít need to be complicated. Business owners think that they must consider all of the relevant variables in a business plan, and thatís unnecessary. By answering some simple questions in addressing the big pain points all businesses face, creating an effective business plan for your business can be simple.
Cash projections are a great tool to use in a business plan to help business owners create effective plans for the future of their business. Is it possible for cash flow projections to be off in any business plan? Yes itís possible for cash flow projections to be off in a business plan because even the best business plan has limitations, and your business can be subjected to a number of variables. A business plan is not a crystal ball, but a guide on how your business can move forward. You may lose key customers, these people at key times, banks could pull their loans, you can have failure of your equipment, changes in the market, regulatory changes, supply-chain issues, and even business owners themselves getting sick. It would be too difficult to create a plan with all the variables. As long as a business plan addresses three common pain points in business, a business plan does not need to state every possible variable, especially because itís impossible to predict what variable may happen in your business.
Why do experts recommend conservative cash flow projections in a business plan? Edmonton business consultant recommends conservative cash flow projections because of the variables that may happen in your business even the best business plan with great cash flow projections may get off track if anyone of those variables happen in your business. Having a conservative cash flow projection means that when these circumstances happen, your not as far off your target then if you had a very optimistic cash flow projection.
Can business owners make reasonably good predictions about their business plan with four hours of thought? Absolutely this is possible, business owners are the subject matter experts in their business and therefore four hours of thinking on the right questions is enough time to get the most important information into the business plan.
Does there tend to be diminishing returns on additional time spent on plans? Yes no matter how much time you spend on it a business plan is still just a plan. Itís much more effective to spend a little bit of time up front when youíre plan then spending 40 hours at the beginning of the process.
Does there tend to be diminishing returns on additional time spent on plans? This is also true, the more time you spend on your plan, means less time spent implementing it. Your plan is just a guide for your business so once youíve created it, business owners should spend time on the business. But that doesnít mean you have to forget about your plan, most successful business owners take time to review their plan throughout the year.