Why Write a Business Plan?
Why Do I Need to Write a Business Plan
Reservations concerning ‘why write a business plan’ intensify when one scrutinizes the efforts and inputs that go into drafting one in terms of time, pains and the costs involved. If you are an entrepreneur with a fat idea under your sleeve, a moderate budget, high inspirations, lofty ideas, but no action plan then there is no point in having the preceding list as well.
Often individuals muse over the requirement of a business plan while asking, “Why to write a business plan when one has got all the data sheets, graphs and stats neatly stacked up, thick and fast.”
“Ever thrown a group party?”
When you think about throwing a party, you separate the details; music, food, invite-list, accessories, who is gonna manage what, and the costs of course. Next you craft a mental map and then proceed to step wise plan the course of party, with attention to detail while keeping in lieu with the budget, yet maximizing fun and entertainment (of course who doesn’t want to bask in eminence for the next week or so).
But, would a good party be possible without effective planning? Of course not, and there is a high probability of it turning into a chaos with the hosts wondering “what exactly is going on?”, “this is not what I had in my mind”, “it sure doesn’t look like MY party.”
So that is why write a business plan. You would definitely not want anything to get out of hand or out of forecast down the road and writing up a business plan ensures things to remain in a pre-specified bracket
Instant Rationale for ‘Why Write a Business Plan’
Every business is a dream to begin with. No matter whatever the objectives are, in order to start and roll them, one needs entrepreneurial blood pouring through savvy veins. The entrepreneurial blood is passionate and dreamlike in quality and rests on certain visions whereas the savvy veins hold the gush and are intent on playing it by the books.
Nevertheless, the savvy veins acknowledge that every business undertaking has a good way to go before some zenith is reached. And the footholds for the higher rungs require some extensive and steady efforts involving planning and strategy along with the notorious dictum of economics:
Cost-minimization + Profit Maximization
So, why to write a business plan necessitates for the following sum-up:
Imagination> Structural Visualization >Pluses and Minuses> Implementation
Detailed Validation for ‘Why Write a Business Plan’
A written business plan helps an entrepreneur in organization and management in the following manner:
A plethora of ideas, objectives, and concepts are listed that are the first step in laying down an actual blue print. This brings the benchmarks upfront in flesh.
Numerous things are stricken off due to budget-limitations, ‘centralization of targeted focus’ or personnel mismatch
Marketing, competition, and tactics are evaluated and added on the basis of available information. This gives a sound basis for working out a SWOT analysis in future.
The writing business, specifically that of business plans and business proposals is all about ‘proofreading strategy’. Writing a business plan automatically gives way to the development of a short-term and long-term policy adhering to a well defined line of attack. It also lays ground for advanced steps to write a business plan.
“Ready for the party?” To let the party out and rolling…That is why write a business plan!