Pitfalls To Avoid While Writing Your B-Plan

They say that the risk-takers are the new rule makers. It is a common belief that the ones who take risks are the ones who go the distance. Well, as motivating as it might sound, it does not ring true all the time in a given situation. To pick out an example, a doctor cannot operate on a patient with rusted surgical tools and expect the patient to bounce back to health or even live further for that matter. There are several things in life that cannot be risk dipped even for a split second. Several times we are required to have a meticulous plan in order to avoid pitfalls in our journey. 

One such example in the 21st century, where businesses are mushrooming everywhere, is a well thought Business Plan. Well, a business plan has to exist before one starts with his/her business. There are brilliant business minds everywhere but unfortunately they fail to express and imply their business idea for the longest span of time. This is because individuals tend  to start their business with an impulse. That impulse gives them the headstart to enter into the world of business without any practical precaution. Hence, the day comes when the business fails to withstand the reeling pressure of the market competition and gets doomed. Along with it, the time, money, efforts, brainstorming sessions and expectations too. 

If you are on a lookout to write the perfect business plan then you are at the right station here. Below listed are some of the roadblocks to be aware of while penning an error free business plan.

Don’t project an unrealistic profit graph:

When it comes to your business plan, you must allow yourself the space to be completely who you are. It is very common for entrepreneurs to project an unrealistic profit graph. This happens as they desire to win the approval and appreciation of different investors and banks.

Pull out some time, analyse your SWOT (Strength, Weaknesses, Opportunities and Threat) and then present your business plan. Set realistic business goals. Show your lenders and investors where you are today and where you can reach tomorrow. Create a detailed plan on how you will achieve it. Make your business plan reflect your expected revenue amount. It must not show ‘how’ you plan to get there. No one will invest money in you if they will sense that you are unsure of your own business plan. Hence, show practical goals. This will show the investors that they are actually achievable and you are not faking it.

Don’t start without a strategy:

Business plans mean achieving certain goals that will elevate the profit graph while creating a noticeable edge in the market for the brand. The business plan must contain a meticulous plan to achieve a specific goal. A ‘strategy’ is exactly that. In fact, it indicates and solves ‘how’ (the step by step process with complications thrown in) you intend to become the best brand in your field.

Don’t be under committed to your B-plan:

Your business plan must speak about your financial commitment to the business. This is an easy equation to grasp because if you, yourself are not ready to financially commit to your own business then why anyone else should? 

You are required to be personally involved in your business. As in if you are seeking financial support from friends and family, then you must also invest some amount of money in your business before going out and asking anyone else to do the same. This action will help people/investors and bankers to trust you faster. 

Don’t  pen ideas if they are not purposeful:

Plenty of businesses are mushrooming all across the world. Hence, the investors or banks will not delve much into ‘what’ you do. They will determine to unmask ‘why’ you are doing it. Your purpose and your motivation will speak volumes which is the priority for the investors. 

When people will be discovering your purpose, they will swiftly understand what will drive you to achieve your goals during your hardest times. The more clearly your business objectives will be defined, the more transparent your business intentions will be, the faster people will decide to partner with your business. 

Don’t take much time to trace your challenges: 

There are challenges associated with every business and investors know it all. They will just want to see if you, yourself are aware of those challenges or not. This is because one cannot overcome something that s/he is unaware of. So, while penning your business plan, share details of the challenges you expect and tactics to overcome them.

Don’t prioritize random work: 

Well, you see, in order to fight, survive and excel in the market, a business requires focus. Focus can only come when a business is sure what work to wrap up first in order to have a strong business foundation. So make sure you are starting from the ABCs and not just picking up any random task which could be done later ‘with the flow of time’. 

Don’t forget to define your target audience:

This is directly related to your purpose. Defining your target audience will give your B-plan a direction and reason to exist in the market. It is crucial for you to be absolutely confident with “Why am I planning this business?” and “For whom am I planning this business?” Once you have clear and assertive answers to these, half of your journey will be sorted. It is crucial for the investors and the bankers to have someone confident, clear-headed and  knowledgeable who has thoroughly studied the market with the intention to provide the perfect solution to customer needs.  

Don’t miss out on studying your competitor:

The market will not be having only you who provides a solution to a given set of issues. There are several brands who deal in the same industry as you are planning to get into. It becomes mandatory for you to study your competitors in order to answer the bankers and investors that why and how are you better than your competitors. This is a very common question but individuals with a business plan often fail in this one thus ultimately hampering their chances with the bankers and investors. 

Don’t fake confidence. Don’t under research:

It is common to miss out on potential market research while making a business plan. Individuals must thoroughly know about the market in order to get a reality check on whether the business idea will get sufficient environmental support to grow. The preliminary overview of the market and the industry is called market research. Know your market in and out and then pen down the business plan. A lack of market knowledge might prompt you to fake confidence to questions asked by the investors and bankers. Note one thing, the more you will fake confidence, the more unfavourable the situation will become for you. So, do your homework when you still have time.