Planning for success
Starting out in your own business is a decision thousands of people make world wide. Everyone is different and the motivation to be your own boss is wide and varied. Some people want to be in control of their own entity, explore avenues others may not have undertaken or perhaps they simply want a change of lifestyle.
The owners of Perfect Paws have had several businesses over the years and if one thing should be noted from their continued success is the importance of a solid, qualified business plan.
The days of writing 100 pages documents are no longer necessary - however it is pivotal that if an idea is to come into reality not only should a plan be put into place but also a good set of financial figures need to be developed and ultimately tested prior to anyone ever going into business for themselves.
All too often we see people opening up a grooming salon and the strength of the business plan simply relies on a bunch of good ideas centered around things like the name, location and overall presentation.
Unfortunately, failing to plan can often mean planning to fail.
This is a line often heard yet seldom understood. It's great to have an idea on paper but what about the financial projections and sums are they strong enough for you to have a sound business?
An example is the dogwash operator that buys a hydrobath a trailer and bucket load of hope that his or her foray into self employment will work. This person hits the road and the phone begins to ring, bookings are taken and ultimately the business grows however from a qualified accounting perspective the person is barely making a living, has no superannuation, holiday leave, sick leave and most importantly makes less money than when he or she was working for someone else.
A solid business plan would have set some achievable and realistic bench marks and goals that this person could have used whilst building the business and instead of panicking when the phone stopped ringing and reducing the price to compete for work realised that perhaps the strategy was all wrong.
At its minimum the importance of a S.W.O.T. (Strengths Weaknesses Opportunities and Threats) analysis is something every business owner needs to undertake and do it as honestly as possible. Match a S.W.O.T. analysis to a decent marketing plan (will your clients actually use your service?) and you may have the foundation for a successful business.
Perfect Paws can assist aspiring business owners with a template on developing the right business plan for any situation.
Email us for further information or a referral to an expert close to you that can assist you in making your business really fly. busiplan@perfectpaws.com.au