If you were to start a business, in which you,  expected to seek funds from commercial banks or government lenders; Then chances are…You would need to consider creating a formal business plan.  You see, most big loan corporations wouldn’t have it any other way. However, there really are entrepreneurs, who may be considering starting an online business; Or may already have an online business…Who may feel since they don’t have to apply for loans, that it’s not really necessary to have a business plan.

So, if you are considering working a business, mainly online or entirely 100% online …And don’t have a clue. Hopefully, by the end of this post, (reading) you will know whether or not it makes sense to get a business plan going for your online business. I’m always looking out for “newbies” so for the sake of business newbies out there. I would first like to define what a business plan is and the benefits of having one in place.

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Definition Of Business Plan

A business plan is a form of  documentation, whether it be, formal or informal  that is created to indicate a business purpose, mode of operation, financial, marketing strategies, actionable steps and goals. It’s sort of like a “road map” that provides a clear pathway and direction for a business.

Why Some People Think An “Online Business” Plan Should Be “Put On A Shelf” or…Not Used

Don’t worry, I’ll get to the benefits or reasons why an online business plan can be useful. But first, I’d love to share with you… Why some people think a business plan for and online business is a total waste.  This should be interesting, so let’s get started on a list or reasons NoT to create a business plan for an online business. Or specifically, any business that does not have a plan for that matter.

  • Some entrepreneurs, feel if it’s an online business that will not eventually require pleading for bank loans…That it is, totally a waste to worry about making initial plans for the business.  They actually feel, that the time and energy spent on planning could be used in a more efficient way.

  • For instance, they’d rather spend this time… branding themselves and the business, maintaining relationships, funneling prospects into their systems, feeding a hot market a “hot” need….things along that nature.  They generally feel most comfortable executing (or taking) the action steps to make it all happen, rather than wasting the time to put it all in writing.

  • They tend to think by creating the “plan” it serves as a barrier or “stumbling block” that slows them down (causes procrastination)…Or they may actually feel they’re mentally capable of mastering the plan in their head.

  • Some feel, they simply rather waive the options to make a plan…Due to the blessings of a family member(s) or even friends funding the business, or helping them financially…In turn, they do not have to worry about any type of plan.

  • Or they would rather for the time being, “test drive” and see if they can be just as successful without a plan. Especially if it’s a new passion or interest they’re seeking to make profitable.

  • They may even feel they’re too busy to get a plan up and going. They may simply just not see the need…Possibly because they have not learned the true value or importance of putting a plan into effect.

Why A “Business Plan” Can Be Useful For ANY Business?

Finally, let’s see why or how a business plan can be useful…There really are benefits in planning. Here is a quick list:

  • A business plan can help you set realistic goals and action steps.

  • It creates a reasonable route or clear path to follow for the success of a business.

  • It helps you prioritize; It is a record of what you will be doing, exactly when and how.

  • It helps you to track important dates and all of your deadlines.

  • It keeps you focused “on task” and accountable for your actions.

  • It can monitor and track your cash flow. It helps determine your route of spending.

  • It can help you to analyze your competition.

  • It allows you to observe, make adjustments or changes to ensure success.

So whether you are expecting investors to fund your business or NoT…Developing a plan is always a sensible move to make. By writing an outline of your mission and goals in your business, it will help you to experience a clear path to success. Enjoy this 5 step video by a photographer, on a simple plan and hope it helps…And don’t forget to leave your comments, tips, ask questions and to hit the share buttons.

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