By Desirée Timo in collaboration with Christiane Rigos
Your business plan will fail.
That is a harsh statement. It is, nevertheless, a true one. The basis for this broad assumption is a philosophical one: no amount of planning will ever perfectly reflect reality. Reality is, in essence, unpredictable.
However, before you are taken aback by entrepreneurship, let’s go back to the beginning.
When starting a business, common sense dictates you should kick off with a business plan. Is it the first step? Is it indeed necessary? If so, why?
For obvious reasons, the business idea itself precedes the planning. Also, doing nothing about it is not an option – at least not for a true entrepreneur.
Therefore, the first step should be writing a business plan indeed. Especially before applying any resource (time, money, brains) into the enterprise.
The reason for not skipping the planning stage altogether is a counterintuitive one. Yes, it will fail because reality will not comply. Still, that is precisely the reason for having a great business plan.
Not a crystal ball – The business plan is not there to predict how things are going to turn out. It is there to give you the best possible idea of the minimal conditions in which you feel comfortable operating.
It is supposed to give you the foundation to start acting. An entrepreneur, after all, does not have to face risks blindly. In an ideal scenario, the entrepreneur should be managing, if possible minimizing, risks.
Planning is precisely the tool to remove from the equation the nothingness of the thinking stage and the extreme uncertainty of an initial entrepreneurial venture.
Not a bind either – Nevertheless, sticking too hard to a plan, in the business world, might mean missing out on opportunities. Adaptability and agility are paramount in the beginning.
That is why a business plan is not a cast but a guide. It is, at the most of its capacities, a map.
It will fail because, as we know, life cannot be planned. Even so, part of its importance is to allow an entrepreneur to fail fast without losing sight of the business goals and the operational parameters set.
Against extreme uncertainty, a business plan can go a long way. Things will not happen exactly as in the paper. The business plan will fail. That does not mean your business, or you, will.
Contact FCBB and we will help you figure out how to succeed in the networking part of your business. Your business, our network!