As Benjamin Fraklin once said, “Failing to plan is planning to fail.” Business planning is taught in MBAs and has been used by businesses for decades. It is a key part of any business journey. A business always starts with a business idea; however, the key is transforming a vision into reality through a solid plan and execution strategy.
Many budding entrepreneurs find themselves lost when asked where they see their business in 1,3 or 5-years. It isn’t easy to look into the future, foresee potential challenges, identify opportunities, and set clear objectives. Here, we share three essential planning tools to help entrepreneurs navigate from their initial idea to a detailed strategic business plan. These tools include the business canvas model, a detailed business plan and the infamous pitch deck. We explore each tool and how to use it effectively for business planning.
Business Canvas Model
The business canvas, a widely used model globally, is not just a tool for business planning. It’s also a key component of design thinking, facilitating rapid ideation. This high-level plan for your business serves as a starting point for your detailed business plan, offering a versatile approach to business ideation.
The canvas model offers an overview and a concise yet powerful snapshot of the business idea. This plan is a guiding force, aiding entrepreneurs in building a robust foundation by outlining strategies, systems, revenue streams, resources, channels, and operational frameworks. At YoungGems we also include the problem you are trying to solve to frame the business canvas, so we keep on track and focused on the problem.
It is important to remember that the business canvas needs to be a living document that reflects changing market conditions. This means your business canvas can be used throughout your business journey—not just at the beginning phase. It should be revisited and adjusted when required, as you must always be agile and quick to respond as an entrepreneur.
Business plan
The business plan is a comprehensive and detailed document to help you run your business and stay focused. It is a roadmap for your business, bridging the gap between your current position and your desired future. By meticulously documenting your vision, the business landscape, market, and resources, the business plan crystallises the business’s identity and operational methodology. This living document, constantly evolving as visionary aspirations meet strategic realities, provides a guide and framework for decisions and actions, stimulating informed conversations about the business’s direction.
Here are the 8 key steps to business planning to get you started:
- The vision and setting the scene
- The landscape
- The market
- Marketing strategy
- The business model and financial plan
- People and resource plan
- Roadmap
- 12-month action plan
Pitch deck
Once your business plan is ready, you are prepared to pitch! Pitching is the main way to sell your idea. It involves publicly presenting your business idea and getting buy-in for your future business. However, pitching, in its essence, is not limited to presenting a business idea. It is indeed a skill that we carry forward in our lives and practice every day, for example, when we are doing a job interview or presenting our portfolio on LinkedIn.
A well-prepared pitch is not just a conceptual notion but a well-defined and strategic concept ready for implementation. To learn more about how to get pitch-ready, check out our YoungGems® Masterclass, Crafting Your Pitch.
In summary, effective business planning is a crucial aspect of entrepreneurship. The business plan provides a roadmap that blends visionary aspirations with strategic realities and provides clear guidance for decision-making and business direction. The journey from a raw idea to a structured, pitch-ready concept is marked by continuous adaptation, strategic planning, and the celebration of incremental progress. Entrepreneurs are encouraged to embrace this journey as this builds a strong foundation for their business. Learn more by checking the YoungGems® masterclass on Exploring Your Idea.
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