Could Your Business Plan Use a Tune Up?

A business plan is not like a school assignment that you do once and forget. It’s a living document that can help you stay focused as your business moves through different stages. It’s like a roadmap. If you find yourself getting lost, you can use your business plan to help you take the next steps, whether you want to get back to your core goals or create a new destination based on economic and consumer trends.

Your business plan is vital for bringing on new investors or getting funded. It is a tool that can help you convince others that your business is not a pipe dream, but a concrete idea that is a smart choice.

Update Your Business Plan

Even if you have a very short business plan with just the key elements, you should look at your plan at least annually. The company description may change as you add products and reach out to new markets. Maybe you’ve had some setbacks that have forced you to adapt. If you update your plan every year, it will make it easy to use your business plan when you need it.

Another section of your business plan is the organizational structure and management. The legal structure of your business probably won’t change, but the key people may. As people learn more and get more training, they become more valuable to your company. You aren’t guaranteed that your team will stay the same.

Marketing and sales strategies change as you grow and evolve. Internal changes occur as you learn more about your customer and how sales happen. Externally, the marketing industry changes. You may be relying on different avenues to reach customers than you were even a year ago.

Financials Need to Be Updated

Your business plan includes financial goals. As your business ages, you should be meeting those goals and changing your financial outlook. Investors and lenders will want to see where you stand today, not where you were when you stared out. Your business plan is that document.