In previous blog posts we have talked a lot about the importance of goals, how the goals you choose shape the direction you take, and how you can use your business plan to help you reach these goals. But what about the specific ways in which you reach your goals? If you have set yourself high goals, you may be concerned about reaching them. How big of a risk should you take to meet your goals, and what happens if those risks don’t pay off? Should you plan to be risky in your business plan?
Don’t Be Afraid To Fail
Failure is a normal part of business, and not everything you do is going to be a success – nobody runs a business without some degree of setback. Setting up your business in the first place is a risk. You need to take some calculated risks in order to be successful, and the growth of your business depends on this. Failure can teach you more than succeeding can, and if you do take a risk and it doesn’t pay off, you’ll know better for next time and hopefully you’ll have an idea of what to do next. The best thing that could happen if you take a risk is that it works for you – don’t be so afraid of failure that you don’t even try to succeed.
Be Strategic
Sometimes your goals themselves will feel like risks. What if you’re aiming too high and setting yourself up to fail? However, you shouldn’t limit yourself to what you think you are able to achieve right now. When you have more experience, resources and opportunities, what could you achieve in the future? It’s okay to set yourself a higher goal as long as you can be realistic about how you are going to achieve it. You can use your business plan to split your goal into smaller actions to pave your way towards success – whether that comes in the form of reaching a certain amount of profit, sales, or something else.
Similarly, the key is to take strategic risks that you have carefully considered. Don’t get so fixated on your original goals that you strive to meet them at all costs – be sensible about the risks you take and consider the consequences before you take action. Your business plan can help you to formulate a proper plan so that you can think through any risks you are going take, and consider the possible outcomes and any backup plans if they don’t go your way.
Be Open To Adapting
Your business plan is a living document for you to refer to and amend during the entirety of your venture. If you do take a risk and it doesn’t pay off, you can change your business plan – whether that’s in order to try another way of meeting your goals, or to set your sights on something new.
If you need any help with writing a business plan, it’s best to ask a professional. The friendly team at cbm are on hand to help you – call 01604 420 420 or contact us online using the form on the right.