5 Reasons You Need a Strategic Plan in Your Business

June 6, 2014 | Roger and Susie Engelau

Imagine how you’d react if you hired a general contractor to build a home, and he refused to use blueprints.  If he said, “You know, I’m just gonna use instinct and gut on this one”—as opposed to effective strategy, planning, measurement, and management.

How long would you keep him as your contractor?

And yet how many of us as business owners work day-in and day-out without any kind of meaningful plan?

If that sounds like you, it’s time get serious about planning.  Why?  Here are five solid reasons…

  1. Reduce Your Risk of Failure. The Small Business Administration lists lack of planning  as one of the top reasons for business failure. It’s a common problem, which means that one of the fastest ways to give yourself a serious competitive advantage is to plan properly!
  2. Inspire Yourself and Your Team. A solid business plan is based on the vision that you have for what your business can become.  The more carefully and specifically you’ve crafted this, the better you’ll be able to inspire yourself AND the people on your team to make it a reality!  Nothing’s quite as motivating as understanding what you’re working for.
  3. Avoid Distractions Masquerading as Opportunities.  The novel, Life of Pi, is a beautiful story about a young man, Pi’s, journey across the ocean after being shipwrecked.  At one critical point in the story, Pi lands on an island in the middle of nowhere.  At first, he thinks the island is an oasis…but later it discovers that it is actually an extremely dangerous, perhaps deadly, place.  Business is like that—every once in a while, “opportunities” may arise that initially look attractive (partnerships, clients, joint ventures, etc.) but that will actually take you away from your intended destination and may even spell the end of your business.  If you have a solid plan in place, you’re far less likely to get caught up in something like this, because you’ll be able to weigh the opportunity against your goals and objectives.
  4. Financial Stability.  If you’re “operating off of instinct,” chances are you’re managing your cash flow the same way.  And the thing about instinct is that it doesn’t involve much foresight!  Cash flow problems are a major killer of otherwise solid businesses—avoid the ups and downs with advance planning and careful preparation.
  5. Peace of Mind.  Having a plan brings you, and the people who work for you, peace of mind.  You can feel confident and secure that you have organization, structure, and solid strategies mapped out to help you reach your objectives. This creates a better work environment, attracts higher-quality team members, and of course makes it easier for your business to succeed.

Are you a bit like the contractor at the beginning of the post?  Do you lack a plan?

Well on June 27th, you’ll have the opportunity to take control of your business’s future like never before.

Our Growth Plan Workshop is your chance to step back, get perspective, define your strategy, and develop a powerful focused plan to guide your business forward. This is one of the single most important steps you can take to create a truly dream business.  Don’t miss out!  Learn more and register here: https://growthplanjune27.eventbrite.com/