Is A Business Plan Your Secret Business Growth Weapon?
Krista Mollion
3x Founder | GTM Strategy + Fractional CMO for SaaS SMBs | → LinkedIn?? Top Voice and Creator I help B2B brands go from barely noticed to unignorable I Self Made Stories Podcast ??
Does a small business owner like a coach, consultant, or service-based provider need a business plan?
While you may think it is overkill, I assure you it is not.
You don’t need anything fancy or elaborate, but I encourage you to have one still, even if you are a solopreneur.
Let’s have a closer look:
The Purpose Of A Business Plan (For Small Businesses)
There are many advantages of having a business plan but here are my top reasons:
A business plan will achieve all of this, providing clarity and setting priorities, and having a clear and professional outline to present to potential partners, whether an investor, a coach, the bank, or team members you onboard into your business. Lastly, having a business plan shows you are serious about building a business.
Your business plan is your home base.
Without a business plan, it is easy to change all the time and never hold yourself to niching down and getting clear on what you will do, for whom, and with whom.
A business plan’s purpose is to have a written guideline to follow and to share with others so there is never uncertainty around the key business goals.
Having a written business plan shows you are serious about your success.
A good business plan should be something other than a document that gathers dust, and no one ever sees it. Instead, it is a living, breathing guideline that becomes the heart of your business.
I am sure you’ll hear of successful people who never had a business plan. I hear stories all the time, like people who win the lottery or hit one million followers in less than a year. My question for you isn’t whether you could succeed without a business plan. My question is: do you consider yourself to be comparable to those people? I don’t, which is why I have a business plan. Why risk it?
How To Create A Good Business Plan As A Solopreneur
My version of a good business plan for small businesses has nine parts. This is the plan I would use for coaches, consultants, and service providers.
Here are the components I like to include:
This may seem like a lot, but it doesn’t have to be long. The purpose of having all these sections is to make sure you have covered your bases and positioned your company for success. Remember you don’t need to write this plan alone: book a call with a qualified business coach and do it together!
The Breakdown Of A Business Plan (For Small Business Owners)
Let’s dive into these components and have a closer look:
This is the most important part of your business plan. It is your elevator pitch. You will use it over and over to state the essentials about your business, including who you are (industry), what you do (service), for whom (target avatar), and how (proprietary product). Lastly, it outlines what makes your business unique and special.
2. Mission and Values Statement
Why does the company exist? This is another essential part of your business plan. Customers, investors, and partners want to know why you are so passionate about building this business. This is the section where you can describe your big vision and tie it into values the company is built upon.
3. Executive Team
Every good business plan needs to outline who are the leaders of the company. Even if you are alone, it is good practice to include this page because eventually, you will probably build a team. If it is only you, use this section to include your CV.
4. Financial Plan
How are you planning to finance your business? Lack of funds is the top reason businesses fail so you should definitely not skip this part! You can work through this section with a business coach or a financial advisor. Set up good financial habits from Day One in your business so you can thrive.
5. Market Positioning
However unique you believe yourself to be, you will need to decide on which market to enter. This part requires a detailed study of the existing market, including competitors, demographic, and location. You should consider hiring someone to do market research for you since this part is time-consuming. Don’t skip this step! It could make or break your business.
6. Unique Value Proposition
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Following your market research analysis, it is now time to describe your services and products. This is the section where you want to show that you have thought things through and validated via your research what you believe your audience wants and why your offers will crush the competition.
7. Marketing Strategy
You know your market, finances, and services ready….now it is time to plan how you will get the word out about them! Which channels will you invest in? Who will lead these initiatives? What will your marketing budget be? Solopreneurs must consider many of the same factors as large companies regarding marketing. We all start as invisible, and it is up to us to reach our ideal customers. Your marketing plan should cover everything you plan on doing to grow, including milestones and key metrics.
8. Sales Strategy
Being discoverable is excellent but then what? Many small businesses need to plan regarding sales, mainly because they need to write up an actual sales plan. Who will be in charge of sales? Do you have the tools you need? Are you versed in social selling and closing tactics? Are your sales pages and funnels ready? Write this all down, as I don’t know a single business that ever complained about having too many sales. No sales = no business.
9. Five-Year Growth Plan
Where is the vision down the road? How do you imagine the company growing and evolving? Are you going to retire? Are you aiming to go public? The one thing we don’t control is time; five years can fly fast. If you want to achieve your goals, write them down and reverse-engineer your actions.
How To Use Your Business Plan
At the beginning of this article, I said your business plan should be a living, breathing document. I meant it! Here are five ways you can make use of this precious document:
People want to know the ‘why’ behind your business. Use your Mission and Values Statement to get them on board and turn strangers into true fans.
2. Present Your Company Better And Consistently
Use one polished version of your executive summary everywhere, from public speaking, business networking, videos, and podcast interviews, to your About pages on your website and socials.
3. Attract Talent
Sooner or later, you will need partners, whether you want an equal partnership or to recruit talented people who share your vision and believe in your product. Your business plan can be turned into one compelling brand story that gets the right people into your company.
4. Financing
Whether you need a business loan or just a larger line of credit, your business plan can be used in this endeavor. Present it to investors or your bank to support your requests.
5. Strategy
Essentially, your business plan is one big strategy document. When you hire help to grow your business, you can use it to present to Marketing, Sales, or Business Development professionals whom you want to collaborate with on your brand.
These are only a couple of ways to use your business plan. I hope it is enough to inspire you to prepare or update yours today.
I can’t wait to hear more about your business!
More Resources For Your Business
If you are a coach, consultant, or service-based entrepreneur, I have many resources that could interest you. Start with these three:
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?? Recovering Engineer ? Building Automatic Sales Funnels for Small Business Owners ?? Featured ????
1 年Having a business plan, even as a solopreneur, helps you set clear goals and strategies. It's worth the effort! Krista Mollion
Great post. Keep up the good work!???
Elevating the stories of women leaders to inspire and inform the evolution of business culture ?? Master Storyteller ?? Coach/Advisor ??Speaker ?? Author of Discovering Power and Pursuing Truth
1 年Thanks for sharing! This is a great outline for a business plan. I sometimes help my clients create them… I may “borrow” some of this.
UI/UX Designer at Snexus Pvt Ltd
1 年Allow me to rephrase and summarize this incredible content at no cost. This post you're about to read is undoubtedly valuable, presenting a comprehensive guide on the qualities and actions required to become a successful entrepreneur who not only initiates ventures but also sees them through to completion.