1. A business plan helps you structure your business idea
A business plan helps you structure and concretise your business idea. It helps you clarify which services or products you offer, how you sell and market, and who your customers are. By knowing your customers and your strengths, you can also define the most important thing: Why would a customer buy from you?
When a business idea is clearly defined and structured, it is easier to start building a business. It ensures that you understand your market, customer base and competitive situation and can act in a planned and goal-oriented manner.
2. A business plan helps you assess your business risks
Every business has its own risks. Creating a business plan will help you identify and assess these risks in advance. A careful risk assessment will give you a better understanding of the factors that can hinder your business’s success and how you can prepare for them.
It is important to look realistically at any potential risks and develop a plan to manage them. This may include changes in the market situation, measures taken by competitors or financial challenges. A well-prepared business plan reduces the risk of surprises and improves your readiness to face potential problems.
3. A business plan makes it easier to assess your company’s profitability
A business plan will often include various financial calculations, such as financing, profitability and cash flow calculations. These calculations are key to assessing your company’s financial situation. They will help you understand how much capital you need to start your business and how profitable your business can be in the long run. These calculations also allow you to make realistic predictions of how much sales you will need to achieve and what your company’s financing needs will be.
4. A business plan will help you find funding and partnerships
A business plan is often a key document when applying for outside funding. Financiers, such as banks, investors and parties granting startup grants, want to see a clear plan for how your business is going to operate and thrive. A carefully crafted business plan will help you convince them that you have taken all of the relevant factors into account and that your business is a good investment.
The plan also serves as a negotiation tool with other business partners, such as landlords or suppliers. When you present a clear and comprehensive business plan, your partners will see you as a reliable and professional operator.
5. A business plan will help you develop your business in the long term
Not only is a business plan a tool to get started, it can also become a continuous tool to develop your business. As the company grows and develops, it is worth updating and modifying the plan to meet new needs and goals. It helps you make better decisions at different stages of your business and provides a clear direction for strategic choices.
When the plan changes with your business, it makes your business more agile and allows you to react to changes in the market and business environment. The business plan also serves as a tool for identifying new opportunities and managing risks.
Business Helsinki will help you draft your business plan
On our website, you will find tools for making a business plan. We also offer free training for drafting your business plan and any essential calculations. In personal business advisory services, you will go through the business plan and the related calculations together with a business advisor. Take a closer look at our services and succeed with us!