Writing a Business Plan That's Set for Growth

If you've ever felt lost while writing your business plan, trust me, you're in good company. There are a variety of ways to document the key business decisions you plan to make. But for businesses that want to grow, a planning approach that's flexible enough for ongoing management is key.??

Let's dive into an uncomplicated approach to writing a business plan that's focused on driving growth. After all, companies that plan grow 30% faster than those that don't.?

Strategy: The Art of Making Choices

At its core, strategy is about focus. It's the art of making choices — pinpointing exactly what you're going to dive into, and what you can afford to sidestep. Michael Porter, a business planning guru who developed the Five Forces framework of understanding competitive forces, said "the essence of strategy is choosing what not to do."

Take a moment to let that sink in.

Four Cornerstones of Strategy:

• Identity: Your business's identity is defined by its strengths, weaknesses, core competencies, and goals. The choices you make in regards to these attributes reveal a lot about your identity as a growing business. When considering a new market or seeking opportunities for growth, your unique approach and decisions are what distinguish you amongst competitors.
• Market Identification: Tailor your market focus by recognizing how your business identity aligns with specific customer segments. Understanding these dynamics helps target and effectively address customer needs.
• Problem and Solution Clarity: Spell out the specific problems your target customers face and how your offerings directly solve them. Making this connection should be grounded in your understanding of your market and identity.
• Strategic Growth: You can outline a clear growth strategy when you connect your identity, market understanding, and solutions with your financials. Aligning these factors is crucial for effectively navigating and capitalizing on growth opportunities.

It’s important to understand that these four choices form the foundation of your business strategy. More than just being grounded in a solid plan, it’s about recognizing and taking advantage of opportunities for growth within your strategy.?

Is there room to explore new markets close to your existing one? What about developing new products? Staying on top of change and taking the time to look for the opportunity for growth and efficiently tackling the steps and resources to make it happen is what’s important here.

Milestones and Metrics

It’s easy to lose direction while hustling to run a business from day to day. This is where setting clear milestones and closely watching your metrics becomes invaluable. Think of them as signposts on your journey, helping you know if you're charging ahead in the right direction wandering off course. Metrics in a strategic growth plan go beyond revenues and expenses. They include key performance indicators like web site traffic, leads, conversions, and social media engagement, tailored to your business type. Make sure these metrics are quantifiable and meaningful, presented as clear lists of dates, teams, names, and numbers.

Diving into the Numbers

It's fun to dream big, and I'm all for it! But keep one foot grounded. By regularly checking in on your financials — sales, expenses and cash — you're ensuring those dreams have a solid foundation. The numbers, as they say, don't lie.

Change is the Only Constant

Here's something I've learned over decades in business: the best business plans aren’t set in stone – they're more like clay. The business landscape is always shifting, so routine reviews and timely tweaks to your plan can make all the difference. Embrace change, keep an ear to the ground, and pivot when necessary.

For those with an insatiable thirst for growth tactics, I can't recommend the LivePlan Blog enough. It’s a treasure trove.

In wrapping up, remember: When planning for growth in your business, adaptability isn't just a skill — it's your secret weapon. Stay curious, stay focused, and most importantly, keep pushing for that growth.