What is Business Planning?
Business Planning is thinking and working out the details of your enterprise with the hope that you will be able to prevent problems, improve your business, and thus earn more profit. Engaging in planning helps you to analyze your potential for success. Planning also enables you to identify what you will need to do on your way towards having a successful business.
What is a Business Plan?
A Business Plan is a tool that helps entrepreneurs to plan their businesses. It is a written summary that describes the important aspects of the business. The nature of the Business Plan will be determined by the purpose for which it is needed. Persons seeking funding will require a formal business plan. This is best done by a professional with the relevant experience.
The importance of a Business Plan
- Prevents mistakes.
- Identifies strengths and weaknesses.
- Spots and corrects errors before they occur.
- Communicates your ideas to investors and lenders.
- Clarifies your product or service.
- Establishes the break-even point of the business and prepares cash flow forecasts.
- Identifies any other requirements or needs such as training and finance.
- Identifies objectives for the upcoming year.
- Reveals the timing and location of business development.
- Guides the start-up of the business.
- Acts as a standard for evaluating the progress of the business.
- Builds the entrepreneur's confidence.
- Redirects the entrepreneur to new and better ideas.
- Identifies potential customers and strategies to communicate with them.
- Enables the entrepreneur to approach the business realistically.
- Forces the entrepreneur to analyze costs and profits carefully.
How can CED help you in planning your business?
The Centre for Enterprise Development Inc. provides the following services that can help you plan your business more effectively:
- Business Counselling and Advice: Individuals can receive free counseling and advice. All individuals who have a business idea can come to CED where they would be assisted in better formulating that idea.
- Business Plan Writing: Business Plans are written by CED's specialist staff. There is a Business Development Officer and an Assistant Business Development Officer who will prepare your plans in a timely manner. However, it is encouraged not to wait until you have an appointment at the bank or credit union to have your business plans done. There is a small fee attached to this service.
- Conducting Market Research and Developing Marketing Plans: Before starting your business, CED encourages you to conduct market research to determine the feasibility of your idea. The information from your market research will be used in the business plan under the Marketing segment. CED can also develop a separate Marketing Plan for your business.