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Writing the Marketing Plan Section of a Business Plan

August 31, 2010 by Frank Goley, Business Consultant

First Develop the Products and Services Section of the Business Plan

Developing, writing and implementing a successful Marketing Plan starts with solid Industry and Market Analysis and concludes with an implementable Marketing Strategy and Marketing Programs.  A Marketing Plan is not developed and implemented independently; rather, it should be developed in close coordination with your Business Plan Products and Services Section and ultimately implemented through your Company’s Strategic Plan and Sales Plan. The Marketing Plan Section of a business plan is typically developed after the Products and Services Section of the plan have been developed. This gives the marketing plan process a head start on developing a cohesive and competitive marketing strategy and program.

What The Marketing Plan Does

§  Shows how your product and service will be marketed

§  Summarizes your Marketing Research (the actual research is contained in the Appendix)

§  Fully details your specific Target Market Segments

§  Explains and exploits your products and services Competitive Advantage

How Your Products and Services will be Positioned

The Marketing Plan explains in great detail how your products and services will be positioned in the market, all supported by detailed, believable market research. The Marketing Plan carves out your target market niches and develops effective Marketing Programs, along with a Strategic Marketing Plan.

Example Format of the Marketing Plan Section of a Business Plan

1)     Industry Overview

2)     Industry Distribution

3)     Market Segments Description

4)     Market Segment Needs

5)     Market Segmentation Strategy

6)     Market Trends

7)     Market Growth

8)     General Nature of the Competition

9)     Customer Choice Factors

10)  Product and Service Competitive Comparison

11)  Competitive Analysis

12)  Competitive Positioning

13)  Competitive Edge

14)  Marketing Strategy

15)  Marketing Programs

For more information and a step by step guide on developing a Marketing Plan, see the ABC Business Consulting Business Plan Workbook.


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The Products and Services Section of a Business Plan

August 30, 2010 by Frank Goley, Business Consultant

Your Competitive Advantages and Disadvantages

The Products and Services Section of a Business Plan is the “meat” of the plan. By the time you get to this section, you should have developed the Company, Management and Operation Sections. It is now time to describe in detail your company’s Products and Services.  This section also contains information on your competitor’s products and services.  One of the most important aspects of this section is to explain why your products and services are unique. This includes your competitive advantage.  On the converse, this section states where you have weaknesses in your product and service line-up.

Start with a Resource Audit

A Resource Audit is an honest self-evaluation of your company.  In this analysis you identify your strengths, weaknesses, opportunities and threats (SWOT), which will be considered in your Marketing Plan and addressed in your Strategic Plan.  In this section you develop your product and service price points, features and value to be fully exploited in the Marketing Plan.  Customer identification, analysis and segmentation starts in this Section to be later developed in the Marketing Plan.

The Products and Services Section Sets Up Your Marketing Plan

This initial analysis of your products and services sets up the success of your Marketing Plan. It lays the foundation to develop an effective Marketing Strategy. Spend time on your competitive advantages and disadvantages, your price points and initial SWOT analysis in this section and developing your Marketing Plan will be much easier and much more effective.

A Sample Format for the Products and Services Section of a Business Plan

1)     Products and Services Description

2)     Awards, Honors & Achievements

3)     Case Studies

4)     Product and Service Mix and Price Points

5)     Product and Service Analysis

6)     Life Cycle

7)     Production Strategy

8 )     Research and Development Strategy

9)     Space Utilization

10)  Departments Descriptions

11)  Future Products and Services

12)  Effects of Technology

13)  Computerization Requirements

14)  Company Sales Literature and Brochures

15)  Internet Strategies

16)  Electronic Ordering and Fulfillment

17)  Inventory Method and Management

18)  Regulatory Compliance

19)  Product and Service Liabilities


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The Company, Management and Operations Sections of a Business Plan

August 27, 2010 by Frank Goley, Business Consultant

In an eight section Business Plan, the Company Section and the Management & Operations Section come in as sections 2 and 3 respectively. These two sections set up the meat of the business, the Product and Service Section, which is typically Section 4 of a business plan. These two sections of a plan are critically important as they speak to the quality of how a company is set up and run, as well as, the quality of the team running the company, which will ultimately spell success for a company. Many think the Marketing Plan section and the Products and Services section are the most important in a business plan, but without sound company management and operational management, the best products and awesome marketing can not make it successful. It is the team and how it runs a company that makes it successful. It is the heart of a company.

A Company’s Management Team is of Paramount Importance

No matter how good the company’s Products or Services, it can not be successful with out the solid building blocks of the Company, Management and Operations Sections of its business plan. I usually combine Operations with the Management section but it can stand on its own or be part of the Company Section. Either way, it is important to establish the connection between Company Structure, the Management Team, Management Objectives and the Operational aspects of the company. It is a very important and necessary triangle to plan well for.

The Company Overview Section

The Company section of a Business Plan speaks to all the pertinent details of your particular company. This section comes first in the Business Plan (after the Executive Summary) as it serves as an introduction to the necessary details and background of your company. For instance, the Company Section could contain this type of information… 

§  How it is formed

§  What your company does

§  How it is organized

§  Your Vision, Mission and Goal Statements

§  History of the company

§  Where it is located

§  How you can be contacted

§  And so forth…

Suggested Format for the Company Overview Section

1)     Company Establishment

2)     Company History

3)     Company Structure

4)     Company Ownership & Legal Formation

5)     Facilities & Locations

6)     Products & Services Overview

7)     Trends Affecting the Company

8 )     Customers

9)     Competitive Strategy

10)  Company’s Strengths & Weaknesses

11)  Company Performance

12)  Company Finance

13)  Company Assets

Management and Operations Section

You can have the greatest business idea or concept but lack the people to execute the plan.  Therefore, the Management Section of the Business Plan is the most important element of the plan and often scrutinized as such by finance sources, customers and your Business Plan audience. This section builds on the Company Section explaining in detail…

§  Who will run the company

§  Who founded the company

§  Who the key employees are within the company

§  How the company will be run

§  What are the specific qualifications of those who will run the company, work in the company, and be responsible for sales, marketing and its strategic direction

§  The specific gaps in Management and talent, providing a plan to fill or overcome those present gaps

§  And so forth…

Example Format for the Management and Operations Section

1)     Employees

2)     Management Philosophy

3)     Management Requirements

4)     Management Gaps

5)     Organizational Structure

6)     Founders / Directors / Principals / Management / Key People

7)     Management Administrative Procedures & Controls

8 )     Decision Making Teams & Processes

9)     Company and Management Objectives, Goals and Strategy

10)  Compensation Structure

11)  Human Resources

12)  Outsourcing

13)  Consultants and Advisors

14)  Products and Services Production and Delivery

15)  Distribution System

16)  Order Turn Around

17)  Suppliers and Vendors

18)  Service Standards

19)  Customer Service Plan

20)  Quality Control

21)  Costs Minimization

22)  Technology

23)  Production and Operation Advantages

24)  Capacity

25)  Safety Procedures

26)  Inventory

27)  Environmental Considerations


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How to Write The Executive Summary Section of a Business Plan

August 26, 2010 by Frank Goley, Business Consultant

Write the Executive Summary Last

The Executive Summary should be written last.  Why?  Because it organizes and summarizes the entire Business Plan. You cannot achieve this effectively until all other sections of the Business Plan are completed. You should develop two types or renditions of the Executive Summary for your Business Plan.  A short version which is 2-3 pages and a longer version that is 5-7 pages long.  The Executive Summary contains the Company Statement, Visions and Mission, the Purpose of the Business Plan and a short summary of each section of your Business Plan, along with a Financial / Profitability Section. You can also provide the key strategic competitive success areas of your Marketing Plan.

The Executive Summary is a Mini Business Plan

The Executive Summary (short version) is part of your Business Plan, giving the reader a quick overview of the important facts contained in your Business Plan.  The Executive Summary (short and long versions) can also operate as a stand-alone document to be used to generate interest in your business opportunity or venture, i.e. to be sent to a funding source to generate and gauge their initial interest.  An Executive Summary can accompany an Investment Overview to provide more details to a venture capitalist about your particular business opportunity. 

Brevity and Inclusiveness are both Key

Brevity, yet completeness and inclusiveness, is key when writing your Executive Summary.  It should be concise yet have adequate detail about your Business Plan.  This can be difficult to achieve if you attempt to write it prior to completing all the sections of your Business Plan.

An Example Format of an Executive Summary

This is an example of the different sections that an Executive Summary can contain. Adjust for long or short versions and for your intended audience.

1.     Company Information

2.     Business Plan Purpose & Objectives

3.     Company Goals & Vision

4.     Company Mission Statement

5.     Company Description

6.     Company Purpose

7.     Company Situation

8.     Founders, Management & Principals Capabilities

9.     Products & Services

10.  The Competition

11.  Keys to Success

12.  Finance

13.  Growth & Expansion Goals

14.  Sales Forecast

15.  Return on Equity / Return on Investment


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How To Organize and Use Your Business Plan for Best Effectiveness

August 25, 2010 by Frank Goley, Business Consultant

I.  Table of Contents

The Table of Contents of a Business Plan is one of the most important elements of the plan.  The Table of Contents should be very detailed, so that the person reading and using the Business Plan can find and access the information needed very easily and quickly.  You can write a great Business Plan with all the necessary information in it, but if you can’t easily find or access that information, then the Business Plan ceases to be a useful tool. 

How to Organize the Table of Contents

The Table of Contents should be organized by each section of the Business Plan and the specific page numbers of each section and sub-section.  It is strongly recommended that a Business Plan be organized as an online document, with the sections and sub-sections hyperlinked to the page where that information resides.  This way you can access information very quickly on a computer online versus having to flip through the paper document to find the information.

II.  Organization

The Organization of the Business Plan is quite important.  The 8 Section Business Plan is in a specific order from which each section builds on the previous section. There is fluid thought and reasoning employed to achieve a Business Plan which reaches its specified purpose- i.e. to run a business, to buy a business, to expand a business, to enter a joint venture, to finance a business, to complete a particular project.  Although the Executive Summary is the first section of a Business Plan, the Executive Summary should be written last.  With the exception of the Executive Summary, all the other sections should be written in the order they are listed. 

Business Plan Format

Remember that a Business Plan is a Business Document; you are NOT writing prose.  It should contain a very precise and concise format and be organized into numbered sections and sub-sections, which contain specific information in short, paragraph form. Business Plans should be written in paper form, computer format and online format.  Computer Format means the Table of Contents are hyperlinked so you can easily access certain information quickly and precisely in one click on your computer.

Sharing the Business Plan

You should have your Business Plan published securely, online (via password access) so that certain key managers or employees can access and manage remotely.  Also, you can use an online Business Plan to attract funding for your venture. You can have different versions accessible online for particular purposes. For example, you could have your Marketing Plan accessible remotely so your Sales Manager can update it or refer to it while in the field or on an important sales call.  You could have a funding version of your Business Plan accessible online for angel investors or venture capitalists to view your opportunity. 

The Business Plan is a Living Document

A Business Plan is a dynamic document, as it changes on a daily, weekly and monthly basis.  By being able to access it on your company computer network and / or online, the CEO, Executives, Management and Key Employees can update it easily and effectively.  For a Business Plan to be successful, it must be intertwined into the fabric of your business and implemented through the Strategic Plan.  Having the Business Plan organized with Hyperlinks with highly organized sections and uploaded on your company’s computer network and accessible online, allows the Business Plan to become a “living” document which can effectively:

1.     Run a business 

2.     Be readily changed, adapted and updated

3.     Be a sales tool

4.     Obtain funding

5.     React quickly to market changes

6.     Give you the ability to make realistic forecasts and projections

7.     Seize opportunities

8.     Keep your Competitive Advantage. 

Keep Your Audience in Mind

Organization of your Business Plan is KEY to its effectiveness and utility.  It is important to remember that too many Business Plans are written from the perspective of the Business Owner.  When writing your plan, remember your audience extends beyond you, the Owner.  Don’t neglect your Managers, employees, customers, the marketing aspects and the potential investor elements.  This is also why I suggest writing one Comprehensive Business Plan to run your business and develop other Specific Purpose Plans for different audiences, i.e. a Customer Plan, an Investor Plan, a Lender Plan, a Strategic Management Plan, a Marketing Plan, Supplier Plan and so forth.


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An Effective Business Plan Comes From a Good Process

August 24, 2010 by Frank Goley, Business Consultant

A Business Plan is Important for Business Success

A good Business Plan is the most important, but most often overlooked, part of running a business, starting a business, expanding and growing a business, or obtaining finance for a business.  If a Business Plan is well developed and written, the starting, expanding, running or financing a business is much easier and effective, leaving less room for error and failure.  While you cannot predict everything that can happen in a company’s future, a good Business Plan helps you avoid certain pitfalls, overcome obstacles, while also anticipating and creating opportunities.

Business Plan Formats

There are different Business Plan Formats for different purposes.  Always start with a Comprehensive Business Plan to successfully run your business.  Once you have completed your Comprehensive Business Plan, then you can take certain parts of that Plan to form the other ancillary Business Plans for other purposes, such as a Funding Business Plan for a Bank, Investor or Venture Capital Firm.

Business Plan Process

Formats are important for Business Planning but most important is the Process.  The Process is a building block system that is continuous, systematic and comprehensive.  It involves the entire Company, produces effective decision making and executes those decisions in a Strategic Plan.  A good Business Plan measures the relationship between Expectations and Performance- it evaluates your Company’s progress or the lack thereof.  A Business Plan’s goal is to create the future for your company, taking a proactive approach toward your target markets.

Business Planning is Art and Science

It is said, writing a good Business Plan is more art than science.  It is good to have a proven process and format, but you can’t just fill in the blanks on a master planning program or document.  It is a matter of asking yourself the right questions within that proven process and format which brings about a successfully developed and written Business Plan. You can find such a process in my Business Plan Book.


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Use Testimonials to Increase Business

August 13, 2010 by Frank Goley, Business Consultant

If you are a customer centric company and have satisfied customers, then getting testimonials shouldn’t be hard. In fact, it should be an automatic thing to ask a customer to make a testimonial for you when you complete a service for them, sell them a product or solution, or simply help them in some form. Here is the why and how on how to use Customer Testimonials to really boost your company profits.

Why Use Testimonials

Testimonials bring trust and credibility, two major factors in a prospect’s buying decision. When posted on your website, testimonials help sell a prospect with out your involvement. What an incredible automatic sales tool. Testimonials clearly show that you deliver, which at the end of the day, is why people buy from you.

Tips on Using Testimonials

§  Any Time You Have a Positive Interaction with a Customer: If someone says great things about your website or blog, ask them for a testimonial. If you send them a Free E-Book ask for their feedback and if positive, ask for a testimonial. If you went out the way for a customer and they appreciated all the effort, get a testimonial. Testimonials aren’t just about a successful sale, it is also about the way you successfully interact with you customers. 

§  Make Sure They are Genuine: The Customer may ask for your input on the testimonial but make sure the testimonial is genuine and comes from the customer. If they are contrived, it is evident. Understand they may be checked on.  

§  Place Them Everywhere: Good places to put and use testimonials include your Blog, Website, Sales Pages, Brochures, a Press Release, Direct Mail Letters, Solicitations and Referral Sources. Use Twitter, Facebook and the other Social Networks to spread the word when someone writes you a nice testimonial. It also raises awareness toward the person writing the testimonial, a nice thank you! 

§  Written and Video: Using both forms of testimonials works great. Video connects with visual and emotional people and written with others. Also, some prospects may be viewing from an office where they don’t want to have the audio on so have a mix of both. If video, include it on your YouTube Channel under a Testimonial section. This is a great way to spread the news about your company! 

§  Doesn’t Need to be a Customer: Having a strong partner write a testimonial really can say a lot about a company’s reputation. Think of your strategic partners, alliances, joint ventures, suppliers, vendors- all those you do business with. If they are favorable toward you and your business, it means you have a good business reputation which says a lot. It helps you close those bigger customers and build new business relationships.  

Today’s Video is on Using Twitter to Get Testimonials


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Posted in Business Growth Strategies. 2 Comments

Perform a Smaller Service For a Customer to Earn the Bigger Order

August 12, 2010 by Frank Goley, Business Consultant

I like to offer different levels of products and services as some customers will not start with a company unless they have tried you out in a lower risk, nicely priced service or product. I strive to do an excellent job on the initial, lower end, service or product, and bam, what do you know, the customer comes right back and orders a more profitable service or product offering. To me it is about earning the client’s business, giving the client the easy choices to make when considering what I have to offer them. All businesses should adopt this philosophy, understanding that initially winning the customer over may start at a lower level product or service offering threshold.

I am Not Talking About Giving Services and Products Away for Free  

While this can be a good strategy, and one I use quite a bit (i.e. a free business plan review, a free consultation, free e-books, etc), it isn’t the same. This strategy just lowers the economic level the customer enters into a relationship with you. It isn’t a big money maker but a service or product that brings you some income and provides a huge opportunity to earn more quality business.

Offer Different Levels of Services and Products

I offer four levels of business plans so clients with a young and growing company can start with a solid entry plan, and then I can upgrade the plan for future needs as warranted (and as the initial business plan pays off for them). I also offer an entry level business plan so a client can comfortably try my services with very little risk, see the great value and payoff for them, and then become very open to speaking with me about my monthly and onsite consulting services. I also separate out certain sections of the business plan, like the Marketing Plan or Strategic Plan or the Executive Summary, if a client has the business plan and wants to strengthen it up, update it, or have a good implementation plan in place. I also offer other ancillary packages such as an Investor Overview or a Loan Package, which accompany a Funding Business Plan. These are value add services at lower levels that can earn the client’s bigger commitments in the future.

Earn the Bigger Business

Once I have thoroughly satisfied the customer at the lower level service, then the customer is very willing to talk about more of a commitment like the Business Coaching or Business Consulting services I offer, along with the more complex business planning. A lot of the introduction to my SEO and Web Development Services come through business at the lower service level and earning it later.

It Makes Business Sense

You get a small commitment from the customer initially which helps you maintain cash flow with the opportunity to make a more profitable sale in the future. It really is a win-win if designed, presented and sold properly. It works particularly well in this Recession when customer dollars are tight, and they need to make really good decisions with little room for error.

Consider Services or Products You Don’t Normally Offer

I wrote some business articles for an experienced and accomplished business owner which earned me small bucks, but they are great bucks! Why? Because it has led me to great SEO and Content work for his websites. It was a fantastic way for me to introduce myself and what I can offer. The owner jumped on the opportunity when he received the quality articles. I write quality content for myself everyday, why not for others to potentially earn that better business in the future?

Design, Package and Present it Well

The assortment of services and products I offer have a definite design, plan, strategy and process behind them. I know how to effortlessly present customers options, close them quickly with value and confidence, implement the lower service or product well and fast, then be right back with them in short time speaking about our other, higher level, yet more value and payoff based, services and products. It helps the customer and later the customer helps me, and in turn, I am so excited to help them succeed with the repeat business. It drives my passion! My passion to help customers and earn quality business down the road. Think about it…

Today’s Video is on “How to EARN a Customer’s Referral”


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Posted in Business Marketing Strategies. Comment

Blog for Business Success

August 11, 2010 by Frank Goley, Business Consultant

A Blog is a really useful tool for any type of business, whether you sell a product or service. As a Business Consultant, I see blogging not being done by enough businesses, or I see the blogging being done with out any real commitment or passion. In this post I will review the reasons to blog, and how to do it well. Hopefully after reading this post you will see the merit of having a blog on your website or renew your commitment to your blog.

Why Blog?

Ø  Blogging Sets You Up as An Expert: Expert status will get you talked about on the web and bring you another level of customer.

Ø  Blogging Increases Web Traffic: Your blog subjects will bring in targeted web visitors who over time will become customers, or refer your blog and company.

Ø  Blogging Helps Your SEO and Ranking: Search Engines love fresh, new, relevant content. It helps tremendously in getting your website consistently spidered and well placed in the search engine results.

Ø  Blogging Tracks Prospects: If web visitors find your blog interesting, they will subscribe to your RSS Feed. Now you have an email to track and communicate with potential customers.

Ø  Blogging is Fun: Give it a chance and you will find it is a rewarding experience.

Ø  Blogging Brings You Customers: Some customers take time to become comfortable and buy. A blog is a great way to stay connected with them until they are ready. Blogging creates lots of real time opportunities to gain customers. Blog posts get spidered quickly by the search engines so you can pick up immediate customers.

Ø  Blogging Helps People: If you give it away, you will experience a return 10+ fold. People appreciate great information and will refer you.

Ø  Blogging Gives You Competitive Edge: If a prospect is comparing companies and websites, the one who has a good, fresh blog will stand out. It is a great way to show your expertise.

Ø  Blogging is Viral: Through the social networks and other bloggers, your good blog posts will be passed around again and again. The viral aspect really increases your customer reach.

How to Blog Well and Get Results

Ø  Blog on What You Know: Stick to your expertise areas and content areas you need better search engine ranking.

Ø  Blog 3 – 5 Times a Week: If you can, blog once or twice per day for the best results.

Ø  Submit Your RSS Feed: Submit to RSS directories so you gain a web presence.

Ø  Make Your RSS Feed Available: Make sure blog visitors see your Subscribe to RSS Feed prominently on your blog.

Ø  Set Up Automatic Pings: Set up your blog so that every time you publish a blog post it automatically pings the major search engines and blog directories. I ping 40 search engines and directories every time I post, all done on automatic. This gets the blog post in the search results instantly.

Ø  Use the Social Networks: Post your blog snippet and URL to Social Media to get exponential coverage and quickly spidered by the search engines. Increases the viral nature of your posts as well.

Ø  Choose Your Title and First Paragraph Well: This is what the search engines and web visitor will read first. Be sure it is optimized for your keyword and reflects the content of your post.

Ø  Keep Your Blog Well Organized: Make sure you pick good categories that reflect your keyword areas so search engines and visitors can quickly find the relevant content. Each blog post should be placed in a category reflecting its content.

Ø  Give Your Newsletter Prominence: If someone likes your blog, more likely than not, they will sign up for your Newsletter. Another great way to stay in contact with prospects and customers.

Ø  Ask for Comments and Feedback: Blog visitor engagement is what converts prospects into customers and gets your blog post talked about.

Ø  Add Video: To really connect with the visual blog reader, have a short video synopsis of your blog post. Add the videos to You Tube as another way for visitors to find your blog. Video will help you to personally connect with your blog visitors.

Ø  Keep Your Blog Posts Short: Long posts will often lose the reader. Keep them short with valuable information.

Ø  Use Bold and Headings on Your Posts: Just writing a bunch of paragraphs will not be as well read as short paragraphs or sentences with Bold Headings. This way a visitor can quickly scan the blog post and get the information they want and need. They can always come back to read the entire post. This organization also helps with the search engine spiders.

Ø  Use Keyword Tags: Lets the search engines know what your blog contains and prompts spidering. Helps in your positioning for keyword searches.

Ø  Optimize Your Images: Gets spidered quickly. Use Alt Tags.

Do it Today!

I hope there is enough here to convince you that Blogging needs to be part of your Business Plan and Marketing Plan. You can set up a blog for Free with Word Press. No excuses! Good luck!

Today’s Video is on How Blogging is Relevant and Effective


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Posted in Business Internet Strategies. Comment

A Good Business Plan Will Reveal Your Experience Gaps

August 10, 2010 by Frank Goley, Business Consultant

A good Business Planning Process will show (or should show) exactly where you are lacking in experience for your business whether you are a start up, growth company or mature stage organization. Why is this important?

ü  If you want funding, you need to show you have the right team in place to implement your business model.

ü  If you want to grow your company’s profits, you need a capable team who can develop and implement the Marketing Plan.

ü  Experienced and talented personnel are the number one reason why a company will succeed, not the product or service.

ü  A company that has plateaued needs new blood to reinvent its Strategic Plan and develop markets to sustain the company.

ü  A good CFO goes along way toward understanding what company numbers and financials are telling a business. Many businesses lack this experience and are behind the ball on identifying potential problems and negative trends.

ü  A Business Plan will provide an objective assessment of a company’s experience base. This process will identify where a company needs help for what they are trying to achieve in the business plan. With out this process, a company is just guessing about who they need to be successful.

ü  Forces a company’s founders and owners to evaluate their skills in running a company and carrying out the business plan. Are they the best people for the job?

ü  Helps a company determine if they have the right mix of people to handle the responsibilities assigned for major milestone objectives. Are you strategically aligned?

The Fix

The sooner you implement an objective assessment of your people’s experience, the faster you can own up to your gaps in experience. Then you can devise a plan to deal with these gaps. Do you need to bring in more people or will a strategic alliance fill the gaps?

A Good Team Finds Success

No matter what a company faces, if it has a good team in place, more than likely, it will find a way to succeed no matter the obstacles. Don’t wait until it is too late to shore up your gaps, or plan for future gaps as your company grows and evolves.  

Today’s Video is on…Should You Be a Leader?


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Posted in Business Planning. Comment