Now that the New Financial Year is here, it seems timely to look at the importance of planning for your business. If you have some (or even just a little) business experience, you will have heard the expression ‘failure to plan is a plan for failure’. Yes – there are numerous benefits to planning in general, many of which we’ve talked about in our previous E-Books.
Here are 3 key benefits to creating a business plan:
- Success: Like any goal, ‘planning your plan’ and working out manageable steps, is essential for short and long term success. Most businesses who do not have a plan, do not succeed.
- Motivation: A plan with smaller achievable steps that get ticked off are incredibly motivating for business owners and other stakeholders.
- Control: Having visibility about where your business is headed reduces stress and gives you a feeling of control.
Is July (The New Financial Year) a good time to create a business plan?
If you didn’t get the chance to make a plan back in January this year – you’re in luck –it is just as important to be planning for the new Financial Year. Planning in the New Financial Year has some great benefits, including:
- Track Financial Progress. From a business point of view, a financial year plan makes perfect sense. Business goals are often centred around monetary goals, and tracking these goals during a financial year makes it easy to see how you’re progressing.
- Make Tax Simple: Business and tax go hand in hand, so having a business plan that follows the financial year will be more straight-forward for you, your accountant and investors in the business.
- Make Financials Simple: If you plan to sell your business, a New Financial Year plan will tell you immediately if your financial details are ready to be shown to potential buyers. What do the last two-three years of financial records look like for your business? What does the year ahead need to look like for you to be ready to sell?
Ready to get started and build your business plan now? Use these in these five simple steps:
- Outline your goals first, making sure they’re all genuinely motivating to you. Start with your end goal first (like, living in the Bahamas)
- Make your goals ‘SMART’ – Specific, Measurable, Achievable, Results-based and Time-scaled
- List the smaller, specific and time-scaled, bite-sized steps to reach each goal
- Ensure that the overall plan is realistic, otherwise you will feel defeated and lose motivation
- Somewhere in the plan, make sure you’ve included down-time and holidaysfor yourself.
Finally, take a step back and make sure your business plan factors in some personal development and personal goals (for example time off, time with family or philanthropic contribution).
Before July slips away, contact us to book in your complimentary coaching session to help build a strong plan for the new financial year.