The Water Trough- We can't make you drink, but we will make you think!
The Water Trough- We can't make you drink, but we will make you think!
From Ideas to Action: Crafting an Effective Business Plan
🏢 Ready to turn your business ideas into reality? 🌟 Listen to the latest episode of The Water Trough as we dive into the importance of a solid business plan with Ed Drozda, The Small Business Doctor. Let's make your business dreams happen!
Welcome to The Water Trough, where we can't make you drink, but we will make you think. My name is Ed Drawster, the Small Business Doctor, and I'm really excited you chose to join me here as we discuss topics that are important for small business folks just like you. If you're looking for ideas, inspiration, and possibility, you've come to the right place. Join us as we take steps to help you create the healthy business that you've always wanted.
Microphone (Yeti Stereo Microphone):Welcome back to the water trough. This is ed draws to the small business doctor. And our previous episode, we talked about building a strong foundation for your business. Today, I'd like to talk about the importance of having a business plan.
Microphone (Yeti Stereo Microphone)-1:Perhaps the idea of putting together a business plan sounds mundane. After all who wants to spend time doing that when they can really be getting things done.
Microphone (Yeti Stereo Microphone):Plain and simple. The business plan is a vital step. It doesn't matter how big your business is. Whether you have one. Or a hundred people, the business plan matters.
Microphone (Yeti Stereo Microphone)-2:You might be thinking after building a strong foundation, what's the big deal.
Microphone (Yeti Stereo Microphone):You've done some thinking you've sorted yourself out. You've got a good sense of the fact that, yes, this is what I want to do. Well, that is a great place to begin. So who needs a plan? In short, you do. We all do. Building the foundation as a thought process. And it answers a lot of questions. It also creates quite a few more. Now, you're sitting here with lots of answers and ideas. How are you going to turn them into something actionable? Throw them up in the air and see where they land. I don't think so. So then what is the value of a business plan? Well, for starters, it forces you to focus and to organize the information that you've put together.
Microphone (Yeti Stereo Microphone)-3:With this, you can create a guide. A roadmap, if you will, to the creation
Microphone (Yeti Stereo Microphone):development and growth of your business. The roadmap is tangible. And most importantly, it provides actionable guidance.
Microphone (Yeti Stereo Microphone)-6:All that information can now. Be put to practical use. Oh, cool. Is that.
Microphone (Yeti Stereo Microphone)-7:The business plan is invaluable and helping to create your team. As well, including startup employees and partners. Lacking evidence of your vision and plan. How can you hope to garner their interest, their support and their buy-in. It takes more than enthusiasm. They need facts. They need projections to help them make an informed decision. Do I really want to go with this idea. Do I really want to support this business? The business plan provides answers. And it also spurs further questions. You cannot do this alone and building the right team can make the difference between success and failure. The business plan matters to investors as well.
Microphone (Yeti Stereo Microphone)-8:Now whether or not you need financial backing as a personal thing.
Microphone (Yeti Stereo Microphone)-7:There are folks who have ample money and don't need financial investment from outsiders. Yes, they do exist. And for them. Well more power to them. But most of us need to secure investment of some sort. Being a small business loan. Angel investor, venture, capitalist, and so on. Whatever the source. Investors need to fully understand what they're entering into. And that includes projections about their returns. Their expectation naturally is that they're not only going to get back what they invested. But something additional as well. Your financial projections. Coupled with other salient elements of the business plan. We'll help them also. To make an informed decision. The business plan can help you avoid or mitigate risk. You're probably curious how it plan. Can help you to avoid risk. While you're creating your business plan. You're developing. A full awareness of all that is going on. All that is going into making this business a possibility. You identify the pitfalls, the possibilities, the contingencies. This awareness, this knowledge. We'll enable you to see things you could not have otherwise envisioned.
Microphone (Yeti Stereo Microphone)-9:The business plan will put you in the proactive mindset.
Microphone (Yeti Stereo Microphone)-7:Sure things are going to slip by no doubt about it. But you'll be in a far better position. Then he would be without it. The last thing you want to be doing. It's stomping out fires that you could have prevented in the first place. There's one more business plan value. I want to address. And believe me, there are many others. But this last one is that it helps us to envision where our resources will be allocated. And what purchases will be necessary. In other words. The plan provides clarity. About the things that we're going to need to start and to build this business. These things can be financial. And logistical as well. I have deliberately chosen not to address how to create a business plan. For starters, it's not consistent with the water trough theme. There are thousands, perhaps tens of thousands of how to guides out there. After you have completed your foundation building steps. You'll be better equipped to identify The resource. This is right for you. I do want to tell you. They while creating a business plan is essential. It need not be complex. What matters most is that you carefully assemble the necessary information. Consider the old computer adage garbage in, garbage out. Guy go. Your plan is only as good as the information used to create it. I think it's clear. The business plan matters. So give it the attention it deserves. To recap today's episode.
Microphone (Yeti Stereo Microphone)-10:Starting a business is exciting, but it's overwhelming as well. Your first step. As we talked about the last time around.
Microphone (Yeti Stereo Microphone)-11:Develop a solid foundation.
Microphone (Yeti Stereo Microphone)-10:It gives you lots of answers. And even more questions, not a bad thing. The second step, develop a business plan. The business plan is vital. Even if creating, it seems a bit mundane and I can assure you. It kind of is. The size of your business. It doesn't matter at all. No matter how big you are. Or how small you are. The business plan is essential. And it will help you to focus. Turning ideas and information into actionable material. Providing information. That will help to develop the interest, the support and the buy-in of your team. Remember you can't do this alone. It will aid investors and making informed decisions. If you need financial support. You want to make sure. That you've got strong. And interested investors behind you. The business plan construction. We'll build awareness. Helping you to avoid and mitigate risks. It supports a proactive mindset. Again, the last thing you want to be doing is spending your time stomping out fires. That wouldn't have to be there in the first place. Had you only taken the time to build the awareness? And finally. The business plan aides and providing clarity. About the things you're going to need to start and build your business. They can be both financial and logistical in nature. There are, and there will be many moving parts. Clarity is so incredibly important. Having a clear mind when going through the process. Of starting. And growing a business. Is absolutely imperative. This is ed draws with a small business doctor. And until next time here at the water trough. I want to wish you a healthy business.
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