Starting a business is tough. Throughout the start-up phase you will be faced with many doubts. Some will come from within your self and some will come from others. You or others may knowingly or unknowingly plant seeds of doubt by asking questions like: “How can you afford to start your own business?” or “What makes you think you can pull this off?
Your best strategy for redirecting this energy is to create a personal focus that is so powerful it will act as a shield and provide you with the strength to move forward — no matter what. This can be accomplished by creating a clear and precise action plan.
How do you go about creating an action plan? Start by defining your vision, your mission, and your purpose. This is the underlying emotional foundation of your business and if done properly, will provide you with the strength and courage to carry on.
An action plan can help you outline the specific steps necessary to carry out the strategies you have identified in your business plan. It can help you achieve your goals and determine who does what and when they will do it. Additionally, the action plan should focus on the resources required to put things in motion and identify the expected result. The following steps can help your organize information and create an effective action plan.
Step One: Define Your Vision and Mission. One of the finest examples of what can happen when you create a solid action plan is that of Dr. Martin Luther King, Jr. When he proclaimed, “I have a dream,” what followed was a vision that changed a nation. Dr. King clearly outlined his vision. That vision manifested because people took action.
A vision statement is created from the beliefs, values, and principles you have about your business. It focuses on the path you intend to travel and describes the future you hope to see. Think of it this way: While your business plan is the blueprint for your organization, the vision statement is the blueprint for the achievement of that plan.
A vision statement needs to be realistic and credible. It is a description in words that helps everyone connected to it understand its purpose. It should serve as a guide to action and be in alignment with the organization’s values. In a nutshell, a vision statement should challenge and inspire an individual or organization to achieve its mission.
A mission statement describes the “what” and “why” of your business. It tells people why your organization is in business and what you are hoping to achieve. A mission statement identifies your company to its customers, vendors, and the media. It has one common function: to serve as guide for you and your employees in making decisions that effect the direction of your company.
A typical mission statement contains three components:
1. The purpose of your business.
2. What your business does.
3. The values of your business.
Step Two: Know Your Customers. In order to be successful in business, you must understand your clients or customers. You need to know what makes them tick; what they need; the challenges they face; and how your product or service can address and solve those issues.
Look at demographic characteristics such as age, gender, ethnicity, education, or income. Find out what they like and what they don’t like. You’ll want to know how your services or products can solve a problem they have. Why would they think about you or your company? What would they want to know about you and the services or goods that you provide? You may have different types of customers for different types of products or services. If this is the case, you’ll want to study each type separately.
Step Three: Host a Brainstorming Session. Even if you will be the only person involved with your business, your friends and family can provide you with important feedback and ideas. The start-up phase of a business can be overwhelming without the help of others. Not to mention it’s nearly impossible to think of everything you need to accomplish.
Make a list of the various things you could do to implement the strategies outlined in your business plan. Think about the most effective and economical ways to get things done. In other words, you don’t want to spend money on untested methods. Find out what has worked for others and stick to tried and true strategies.
With brainstorming you put as many ideas as possible down on paper. You could also record the session. Use your business plan as an outline for the brainstorming session and develop an action list for each section. Keep your brainstorming session casual and relaxed. People are more creative in this type of environment and thoughts can flow more easily. The goal is to come up with many different and creative ways to implement the strategies in your business plan.
Let’s say one of your business plan goals is to provide helpful video clips to your customers via your Web site. These clips offer tips on everything from the best way to clean your windows to changing the oil in your car. A brainstorming session would involve coming up with strategies for filming and uploading the videos. You would also need to know where you will obtain the people in your video. Will your “actors” be friends and family members or will you hire professionals? How long will the videos last? Will they be free to your visitors or will you charge a membership fee? Write out every detail you can think of. Don’t be afraid to include obstacles that might get in your way. By brainstorming, you can determine what is feasible and what it not.
Step Four: Identify Costs. This is oftentimes the place where reality sets in. Do NOT let the information gathered here deter you from pursuing your dream! Although you may find that your start-up costs are more than you imagined, there are many creative ways to get what you want. We’ll talk about that in a minute.
You will need to create a simple spreadsheet to record your costs. Using the video concept above, you would want to include the following costs on your spreadsheet:
* The cost involved for filming the videos. If you plan on shooting the videos in-house, what type of equipment will you need and how much is the cost? If you will be using the services of a professional photographer, what are your expenses?
* The cost involved for editing.
* The cost involved for uploading the videos to your Web site.
* The cost of the Web site.
* Payroll expenses, including taxes, insurance, etc.
Remember, time is money and every activity has a cost associated with it. One of the biggest mistakes new business owners make is that they neglect to include the cost of time.
Step Four: Find the Best Deal. You now have your list of start-up expenses. The next step is to create a final list that fits both your budget and your objectives. Chances are you will have to make some choices. You should be able to spot the items that are most affordable and effective. Others will be out of reach at the current time. That’s okay. Just create a second list or a “goal board” for the future.
There are many creative ways to obtain things that you need, so don’t completely nix an idea until you’ve given this some thought: Depending on your product or service, you might be able to barter with another business owner who has what you need. Think about ways you can work with others and then brainstorm creative deals. You might be surprised at how many people are willing to do this, so give it a try.
If you plan on advertising in print publications and will be creating your own ads, ask for the 15 percent agency discount. Most publishers provide this discount to advertising agencies. If you are creating your own ads, then technically, you are your own advertising agency. Ask and you shall receive.
Another way to save big bucks in advertising is to inquire about “remnant space.” Publishers oftentimes have left over space they need to fill. Remnant space can oftentimes be purchased at savings of up to 50 percent.
There are always deals to be found. If you take the time to shop around, or partner with others to create your own deals, you can save yourself a tremendous amount of money each and every year.
Step Five: Establish a Deadline. You have your vision, your mission, and your goals. You’ve brainstormed, determined your costs and found the best deal. Now it’s time to make things happen. Go back to your list and create a timeline. Set a date to accomplish each task in every section of your plan. Some tasks can be accomplished quickly, while others may take a year or more. Once the timeline is added you can easily use your action plan as a checklist to ensure that you actually do what you set out to do. By taking these steps you will turn your business plan into a powerful business compass.
Reference:
- Tips for Writing a Mission Statement – www.bplans.com/dp/missionstatement.cfm
