You would think that Business Planning was the same as going to the dentist if you saw how many business owners react when discussing the future of their business.  However, business plans are more like a big road map for a long trip away.

Without having the intended journey for your business mapped out, it can be like heading to a point in an unfamiliar city with no map. Using a map and an itinerary will help you get to the place you want to, rather than making wrong turns and seeing where you end up - which can take a lot longer and cost more.

Fundamentally, business planning is all about identifying the point you want your business to get to and mapping out how you will get it there. Therefore the first aspect of successful business planning is goal setting and identifying the ultimate goal or vision you have for your business - some refer to this as the "Big Hairy Audacious Goal".

Setting Business Goals
Spend time establishing where you want the business to be in three years and describe what that looks like. This is the destination for your business. Now you need to plan how to get there. As the old saying goes - If you don't know where you are going, then you will certainly not know how to get there.

The Business Strategy
Once the ultimate goal, the destination, has been identified, you need to decide how you are going to get there. If this was a trip round the country you may decide to acquire a car, drive yourself and try to camp as much as possible. That strategy will then determine how you plan your journey and the decisions you make to reach your destination.

The How
The plan needs to be broken down into smaller goals with milestones and timeframes set for achieving these smaller goals. Setting timeframes of where to be by what time is often the first challenge for many. Most of us find it easy to identify what needs to be done, but it is the "how" and "by when" that can present the first stumbling block.

This can be addressed by thinking about the barriers you may encounter when trying to achieve the goals and then planning how you will overcome them.

What Do You Need?
As with any successful trip, a key factor to consider is what help you will need to get you there. Many business owners think they have to have all the answers rather than thinking beyond themselves. When planning a trip, it's much more efficient to get a local guide who knows the area to help you along. The same applies in business and therefore know what you don't know and seek the skill sets of friends, family and others you are associated with to help.

The When
With regard to the "when", you need to remember that you are running a business at the same time as trying to reach and achieve these milestones. Therefore, you need to ensure that the goals set are achievable in the timeframes you are  setting. You know what it's like when you try to do too much when on a trip - you don't enjoy the journey. So set yourself one or two things a month to do. That way if you have a busy start to the month, you still have time to achieve your milestones
before the month is complete. Once you let yourself get behind, it becomes easy to turn your attention away from the strategic aspects of the business and get swamped by the here and now. This happens all too often in many small businesses - even those with a business plan.

Changing
Change is the only constant and in business, like any trip, you are sometimes required to make a slight detour or even cut a piece short. Things crop up, but you still need to bear in mind your main strategy i.e. that you are driving yourself and camping.

To maintain momentum towards your goals, be prepared to embrace change, recognise new opportunities, consider how they will impact your business and update the business plan and goals accordingly.

Finally, your business plan is a living document and it is your itinerary to get your business to its destination. Whilst you are on the journey, things change tactically so in order for your business to be successful, it will need to move and adapt too.

To discuss any of the points covered in this article or for help preparing a winning business plan, please contact your WHK Adviser.