It’s not just about finances
Many times we see entrepreneurs launch ventures that are innovative, embody drive, and even incredible merit. They put together a business plan and decide to pitch their idea to investors. As visionaries, they see the light at the end of the tunnel and seek backing from the ‘successful’ experts. After-all, their idea is different. It’s brilliant.
And even in brilliance, many fail.
Failing isn’t just about the idea, or the pitch. Failing can translate to lack of sales, experience, intellectual property value, relationship and more.
Annual business planning isn’t always something start-ups consider. They may think they won’t need to perform this aspect of business due to their unique model and potential to be acquired. There may be a partnership imbalance, or perhaps the first years have been profitable and there is an assumption that additional years will mirror past success.
Either way, know this: annual business planning is not just about finances. The financial state of a business is only one aspect of a venture. As a business owner, planning takes gumption. It requires a true, bottom-line evaluation of past and current situations, ability to project hypothetical scenarios and ultimate goals into the future, and to share this information with individuals who have not only been in your shoes, but will provide honest feedback and wisdom.
Whatever planning you may seek, it is key to remember that planning is an ongoing commitment. In order to be successful, planning must be reviewed regularly and implemented consistently.