Business plans key to company growth

Monday 14 January 2013

Having a business plan is the starting point when attempting to grow a business, it has been suggested.

Writing for Ychange.com, Jim Smith claimed that failing to plan is essentially "planning to fail".

He urged business owners to write down their company’s primary goals for 2013, including their target audience and markets.

They should also draw up an estimate of the amount of money it will take to keep the company going over the next 12 months, Mr Smith stated.

"You cannot afford to run your business with a 'flying by the seat of your pants' attitude," he stated.

"You need to understand and get the true picture of the daily operations of your company, whether you are operating at a loss or making a profit and whether your cash flow is positive."

Mr Smith said that if company bosses are unable to develop and write a business plan themselves, they should seek assistance from a third-party expert.

"Once you have done so you will be well on your way to a successful start in 2013," he claimed.

Last week, John Walker, national chairman of the Federation of Small Businesses, claimed that small business leaders are eager to grow and invest this year.

He was commenting after a study conducted by the organisation revealed that levels of optimism are higher than in either of the last two years.

Posted by Jenny Arthur