Business plan myths

A business plan’s existence is obvious. Drafting one can help start, grow or enable any next steps/ future plans in the pipeline of your business. With the age of the millennial well and truly upon us, the entrepreneurial life is in full swing. And where there is an entrepreneur sure enough there is a business idea being conjured up behind them. Despite this rather refreshing desire to start and nurture a business, creating a business plan can be crucial to your success. So, sieving through the myths and facts of how to create one is a handy trick and important business hack that you’ll need to grasp. So, sit back, enjoy your coffee whilst we debunk some of the biggest business plan myths out there.

1. Only start-ups need a business plan

Sure, a start-up does need a business plan to lay out their goals, aims, strategies etc. What is not true, however, is that only start-ups need a business plan. They’re helpful too if you are planning on growing your business, helping you with setting milestones and planning forecasts. Good, effective businesses run on good, updated plans that are amended regularly. Good planning is, after all, important for any business, no matter the size.

2. The longer the better

Believe it or not but this one is also a business plan myth; your plan can be as simple as you want it to be. You certainly do not need pages and pages of strategy, it all depends on how detailed you want it and what you have in mind. Like aforementioned though, good planning is exceptionally important to a business. So, it does go without saying the longer it is the more planning and research you’ve carried out. If you’re planning on showing your strategy to an investor though, focus it around readability and summarisation.

3. Who even creates a business plan anymore?

Although it can be argued that every business doesn’t necessarily need a business plan, we cannot stress enough the effect and numerous benefits of excellent business planning. Even established, well-run businesses will have an up-to-date plan, which is updated regularly. While start-ups may have a more basic plan, with starter aims and goals and costings etc., they’ll still have a plan. So, when answering the question, who even creates a business plan anymore? Everybody does. So don’t skip this vital step to success.

4. Stick to the plan

By now you’ll have figured out that even the best laid out plans might not happen – life doesn’t always go to plan. So, sticking to a plan, regardless of what else is happening around you is not the best approach. You have to be fluid with change, amend, adjust and alter where necessary. Plans are made to be adapted after all. There wouldn’t be any point in just a plan A, would there? Let’s consider our current business environment, which is very much a start-up haven. Within this start-up world environments can be fast-paced and ever-moving. Sticking to a plan in such an environment is not the best business approach, so, consider your plan as more of guidelines than scripture.

While there are many, many business plan myths out there, deciding what you should do within yours is important for going forward. If success is on your horizon, you have to plan a route there first.