Common Business Plan Mistakes and How to Prevent Them

Some mistakes are classics.? Others reflect the growing need for planning as a management and steering tool.? Here are some of the common mistakes when writing a business plan:

• Not planning.? Don’t wait until you have no choice to write a business plan.
• Unrealistic financial projections.?
• Using a single static plan.? Things can change overnight.? A good business plan is reviewed and revised regularly.
• Losing focus on cash.? Cash flow is critical.? You need to understand that you do not spend the profits in a business.? You spend cash.
• Not defining the target audience.? Not every business appeals to everyone. Learn about your primary and secondary market research.
• Bad research.? Check and double check your research as out of date or incorrect data will discredit your business idea.

There are various mistakes people make when developing a business plan and there are ways to avoid these errors.

• On CBC’s Dragons Den, some businesses grossly overestimated the value of their company and got shot down by the Dragons.? Showing a realistic picture of where your business is now and where it hopes to be is what lenders and investors expect to be shown.

It can be easy to make mistakes when writing a business plan and sometimes hiring some extra help to review and develop your plan is best.

• Looking for help writing a business plan?? Who do you turn to for this expertise?? At Steps we can help you create your business plan and fine tune your business goals!? Speak to one of our qualified specialists who will make a business plan that is right for you!