STRATEGIC BUSINESS PLAN: YOUR MAP TO SUCCESS
For a new business, consider your business plan as the blueprint for a new construction. The business plan should describe the foundation, walls, and roof of the business, in which as an entrepreneur, you will be creating a hub for success.
A business plan allows an entrepreneur to form a formal statement about the business goals, to defend the rationale behind the attainability of the goals, and to outline a plan for achieving those goals.
A business plan allows a business to look ahead, allocate resources, focus on key elements, and prepare for obstacles and opportunities. Although business plans are typically on developed when starting a new business, applying for business loans, or seeking venture capital, business plans are also vital for operation a business in order to optimize growth and development according to priorities. A business plan should be re-assessed on an annual basis, in order to evaluate progress and consider new goals and objectives. In an ever-so changing economy, it is crucial to keep your business plan current and up to-date in order to keep up with competition.
Business plans may also target changes in perception and branding by the customer, client, taxpayer, or larger community. When the existing business is to assume a major change or when planning a new venture, a 3 to 5 year business plan is required, since investors will look for their annual return in that timeframe.
The strategic business plan includes:
- Operational Plan
- Market Analysis
- Financial Projection
A business plan is required when applying to any type of loans, including the Canada Small Business Financing Loan and the BDC Working Capital Loan.
To apply for a Small Business Financing Loan, you must present your business plan directly to a chartered bank. Guidelines
To apply for a BDC Working Capital Loan, you must present a solid business plan to BDC. Guidelines