Why a start up business should complete a business plan

A business plan is a written document that describes your business. By committing your thoughts to paper, you can understand your business better and also map specific courses of action that need to be taken to improve your business.

It covers objectives, strategies, sales, marketing and financial forecasts.

A business plan can help you to:

Map the future

• by understanding your business and the market you can plan how best to operate in your business field and you will be well placed to ensure your long-term success.
• use a plan to establish the right steps to starting a new business, including what you need to do, what resources will be required, and what you expect to happen.
• set out your goals
• measure your progress
• decide whether you need large assets and whether to buy or lease them. Use your business plan to help decide what’s going to happen in the long term and how long will this important purchase last in your plan

Secure Lending or Grant Funding Applications

• opportunities cannot always be funded by Company Funds alone, and the business may secure external funding from lenders
• new start ups will not have recent accounts and all prospective lenders will require access to the Business Accounts, so an up-to-date business plan will help
• a well-written business plan can help you convey these points to prospective investors

Clarify your business idea

• Help to convince customers, suppliers and potential employees to support you.
• Set specific objectives for managers. Good management requires setting specific objectives to develop a plan

Decide whether or not to rent business space

• rent is an obligation and usually a fixed cost. Do your figures and plans justify taking on this fixed cost

Taking on staff

• employee costs are an obligation and again a fixed cost. Will employees help your business grow and prosper

 Deal with professionals

• Share selected highlights of your plan with your accountant, solicitor and advisors if this is relevant to you.

Meeting with one of our partners, associates or managers for a free initial consultation should be your starting point. This will enable you to explain your business plans to us and ask us for guidance in the relevant areas. Our business future is tied into yours, and we are passionate about providing you with all of the advice and support services that you will need to prosper. If you wish to discuss this further, please contact your local office or usual Whiting & Partners contact.  Alternatively, we have a number of start-up seminars for new businesses looking for advice on business structure.  For more information please visit our events page.

Disclaimer - All information in this post was correct at time of writing.