Why Do You Need A Business Plan To Be A Successful Entrepreneur

Why Do You Need A Business Plan To Be A Successful Entrepreneur

“An entrepreneur tends to bite off a little more than he can chew hoping he’ll quickly learn how to chew it.”

-Roy Ash-

Entrepreneurship or entrepreneur is not a new word to the world now. This generation is aware of the introduction, importance and prospects of being an entrepreneur or about entrepreneurship, now more than ever. The concept of entrepreneurship is dated way back than one might expect. We knew it with the names such as the barter system or the basic-business-system somehow, around 20,000 years ago according to one research. As the time passed, we saw the contemporary entrepreneurship and every nation saw their best entrepreneurs. People such as Sam Walton, Walt Disney, Henry Ford and Steve Jobs.

Entrepreneurship in Contemporary Times:


The history of modern or contemporary entrepreneurship can be traced back to the 17th century. When true recognition of risk-factor and its development is dated back to 17th century. Entrepreneurs are the agents of the economic change; planning, handling, and assuming market risks is their responsibility. Entrepreneurs have the characteristics such as: being opportunity hunter, risk taker, setter of the goals, fine strategist, problem solver with due confidence, diligent, hardworking, persistent, and committed.

In the contemporary times, entrepreneurship has taken the central and super strategic central position in a market economy. Being the simulators, entrepreneurs have more responsibilities and broader prospects to look forward to. While the main goal for entrepreneurs is to start a business, getting due profits tackling the risk factor; the modern times have given them the role of innovators and the driving body of the business world.

A world with the entrepreneurship will be a world without innovation. We’d see lesser new products and services, little or no innovation, little upgrading to the lifestyle as whole. Ideas are the soul of any lifestyle, without ideas and their implementation no progress can be achieved. Our fast changing world only looks for a certain change every second. With no entrepreneurial spirit, our world would fall into the ditch of tasteless and colorlessness. The competing spirit will be lost, hence the present service qualities will also drop.

Now, to prevent that the questions arising are; what should we do? How do we do it? How to be successful in doing it? Let’s take a look.

Spirit of Innovation:

Why Do You Need A Business Plan To Be A Successful Entrepreneur

“Remember why you started.”

-Unkown-

To answer the question posed, we need to understand how important that spark and that idea is which drives a soul of an innovator. It is the most required that the one idea which came into being in a split of a second and went by, how that is to be caught, observed, thought upon, nurtured and nourished thoroughly. A human brain is an amazing place where we have these crazy notions we have everyday and which we shrug off thinking them useless. Many successful entrepreneurs says that they stuck upon that one notion when it came by, they did not shrugged them off and held onto it. Years passed and that initially crazy notion got the world the innovation of the era!

Once you know you have that idea which can change the world, if not the general world but yours initially, the next step is to bring it to life, giving it a body and soul.

Business to Tend to Before Setting up the Business:

Business to Tend to Before Setting up the Business:

“The way to get started is to quit talking and begin doing.”

-Walt Disney-

Now, that you have a great idea waiting to get up and be functional, you have the real deal to tend to, the business setup pre setup. Not to be confused, this is an expression of your idea and how you would want to see it in coming years, how would you like it to be when it is set up and running?

The pre set up of your business will need certain things most importantly a business plan.  What is a business plan? Why do you need it? What is its significance? How will it help your set up? How will it contribute in its smooth functionality? This and a lot more is required to be gone through thoroughly for you to have a successful outcome.

What is a Business Plan?

Business plan when is being put in a simple definition, it is basically a document which is outlining the objectives of the business and its future characteristics with the aimed goals alongside the strategic approach to achieve them. It is said to be a formal written document which has to do all with what the business has to do with, be it the goals, aims, ideas, theme or the time-frame and methods to achieve them.

To know more about the importance and significance of it we should know more about the contents of the business plan. It usually have all the business jargon required to have the setup up and running such as,

  • The Executive Summary; which tells all about the business and why it has a chance of success.
  • The Company Description
  • Target Market and it’s Analysis
  • All about the Organisational Management
  • The Service and the Product Line of the Business
  • All about the Sales and Marketing of the business along with the strategic information
  • The Financial Information, the financial approach. All about financing the project and investments with the financial projections.

“If you don’t have big dreams and goals, you’ll end up working for someone that does.”

-Unknown-

What is its Significance?

Why is the business plan significant and an important part of setting up the start up? It is important because of its content. As we discussed the business plan is basically a model which is an origin and is at the core or the business which will give it the strong base and shape later. It is important being the plan to start and set the work flow of the business, setting up the course of the work and the right pace to get that work done.

To sum up the significance of a business plan we can break the key points into three bullets:

  • To establish an effective goal-oriented strategy for growth
  • To determine the future needs of the business such as financial needs and approaches to tackle them
  • To attract the audience targeted, be it the customers or investors

What Business Plan is a Good Business Plan?

The types of plans when studied comes under four basic types of plans;

  1. Operational planning.
  2. Strategic planning.
  3. Tactical planning.
  4. Contingency planning.

A good business plan should have all these types in one. The All -in- one business plan, with all and more qualities.

It is the most right to pin pick the factors determining the course of the plan. The quality business plan is supposed to have all aforementioned types of plans altogether, it should be comprehensive, determining, goal oriented and mon-flinching. You cannot have a loosely written business plan with vague ideas. The rule of a right and beneficial business plan is ‘the vivid, the better’. To have specific, tailor-made points in your business plan is the key.

Why Do You Need It?

While you are at the basic level of setting up your business, one thing you need to have is the maintenance of your business. Maintenance in true sense of it and in sense of the business going up and forward now and later. The future prospects and wide scope doesn’t guarantee that your business will always be smoothly functional and running, getting the right amount of required business and aimed profits.

 

How does a business plan comes into the equation? It does, foremost before anything and everything. Setting up a business is not less than a war with battles to cope with everyday. A business plan will help you to make sure you are on the right track following the basic rules set, which the same spirit, determination and plan with which you started with.

 

To retain the quality of your work, to develop it and take it to the top tier of your competitive circle, to inspire and re-inspire yourself and people working with you. Employees who are giving it their best and the investors who want to make sure the business is afloat, the business plan will assist.

 

A business plan is an assurance, being the blue print of your business it will make sure that all the small details and widespread prospects are observed and dealt with accordingly. We know that a reason for an ultimate success is being diligently involved with what you do. Making a business plan will make sure you go through every tid and bit, analyze everything efficiently and thoroughly with due thoughtfulness and observance.

 

After such exercise, sticking by the rules, following the right track, doing what is required regardless of the huge risk factor involved; takes you to the ultimate success, a successful business!

With everything being said, what does a successful business make? An invincible successful entrepreneur!

“Don’t worry about failure, you only have to be right once.”

-Drew Houston-

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