SET UP A 5 YEAR BUSINESS PLAN FOR A BETTER OUTCOME
June 13th at 2:59am Published by sharpshooteradmin
Sometimes business get started without a short term or long term business plan. But no matter how small your business, it’s never too late to set up a plan that can take your business to new heights. Concentrating in short term goals is ok, like how much revenue the business is going to have this month or this year, but planning for 5 years seems to have a greater impact.
There are lots of benefits to set up a 5 year plan for your business:
- Business processes and organization will be more focused to long term
- If you project to 5 years you will be more motivated as you see greater growth than short term.
- Advertising can be better structured and it can help you save money
- Hiring can be planned depending on longer term goals
- Your business can help you reach long term lifestyle goals
- Projections and planning can help you with future investors and other funding
How to create a strategic 5 year plan
1. Take stock of how your business is doing today.
Gather your business mission and vision statements, sales data etc and pinpoint your business’s strengths and weaknesses, as well as the opportunities and threats facing it from the industry, the economy and the competition.
2. Think about where you want your business to be in five years.
Determine how big you want your business to be, what type of customers you want to have, etc.
3. Picture what you want your life to be in 5 years.
Be very specific. Think if you want to work more, have more employees, more responsibilities, more time to travel, etc.
4. Create a concrete plan to achieve your business goals.
Your plan should cover all aspects of your business: marketing and sales, staffing, operations, financial projections and how you’ll generate or obtain the operating capital you need to reach your goals.
5. Determine how you’ll measure success.
Success is different for each business owner, some entrepreneurs measure success on the amount of money the business generates, some see success on a stable company with loyal clients, while others see a good company culture as success within the working environment therefore a more pleasant and happy way to work.
6. Review your plan every 6 months and fine tune as needed.
This keeps you from wasting time working toward a goal that no longer makes sense. Keep up to date on your target market/s, industry trends and economic indicators so you can adjust your plan accordingly.