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Strategic Business Planning

A strategic business plan is much more than a tool to obtain financing. Preparing a strategic plan helps you clarify your company's direction, ensures your key leaders are all on the same page, and keeps both management and staff focused on the tasks at hand.

A strategic plan is often needed when:

  • Starting a new venture, product, or service
  • Expanding a current organization, product, or service
  • Buying a new business, product, or service
  • Turning around a declining business

The strategic plan provides a blueprint describing your business, its products, the competitive environment, management team, financial health, and business risks.

The plan allows you to:

  1. Identify and describe the target customer profile, features, advantages, and benefits of your new venture, product, or service.
  2. Justify that your plans are credible by researching the need being filled with your new venture.
  3. Develop marketing plans including descriptions of targeted promotional campaigns with implementation timelines. You also get to examine market conditions, the nature of your customers, as well as your competitors, sales potential, and projected results of your promotional campaigns.
  4. Develop staffing plans including identifying the key players, skills, attitudes, and expertise needed to build the venture.
  5. Develop management plans including descriptions of management systems and timelines for implementation.
  6. Develop financial plans including projected start-up costs, operating costs, revenue, profits, and break-even analysis for the first three to five years. Projected financial plans allow you to predict upcoming problems or prevent them.
  7. Identify building and equipment needs including vendors and cost estimates.
  8. Formulate business milestones including timelines for upcoming products and services in development.

The perspectives gained through your strategic business plan can make a significant contribution to your company's success and help you get the funding you require.