Reasons to have your business plan evaluated

The entrepreneurial adventure is not fixed by the business plan. If he draws a roadmap, he does not rule out all kinds of adventures. This roadmap, like a boat race, will make his navigator choose other options than those he had used depending on the wind, storms and sometimes dead calm. He will make his evolution a proof that in the adventure, he is the one who knows how to adapt and find the way that will lead him to success.

You established your business plan a few years ago. This includes a market study, presents your team, your product, your strategy and its quantified impact. Yes, but now, the Internet users you have made turn out to be different from reality most of the time. So why and how to update it?

The business plan is an essential tool for the entrepreneur. It allows you to present your battle plan to your potential or real investors. In general, it is between 30 and 50 pages and accurately analyzes your market and defines your positioning in relation to your competition as well as the means that will allow you to establish yourself in your market. So why update it?

Knowledge of your market is changing

You know your market better and better. By dint of objections and comparisons (by your customers most of the time), your vision of the market evolves. Those who were not your competitors become competitors and vice versa. The initial truths may turn out to be completely wrong or new things that you do not know may appear. Updating your business plan allows you to take into account this new data and to give you an image of your company in its universe. The market is also changing on its own, with some competitors requiring different positioning than what you have experienced.

Your own positioning too…

Apart from your market, which you may not know perfectly, it is your positioning that may have changed. Your better knowledge of the market or confrontation with the field often generates modifications. Criteo, which has had its business model evaluated several times, is a typical example. To succeed, you must above all know how to adapt to your market and take into account the elements that make it up or that affect it. An entrepreneur recognizes himself in relation to his ability to adapt to his market.

Your strategy can be changed

The strategy you planned initially can estimate. Your knowledge of the market or the many tests you have carried out may lead you to make long-term decisions that are different from those you initially planned. Your means may have evolved in a positive or negative way. You will therefore have to take it into account to have your strategy of penetration or development in your market evaluated.

Your encrypted data is refined

But that’s not all. The reality characterizes you with more exact figures. So you can refine most of the data. Your projections will be particularly affected by the confrontation on the ground. In order to have a clear vision of your development and to take a step back, it is recommended to update your business plan in relation to these. Since monitoring your activity is essential, do not hesitate to have your business plan evaluated at the same time. Having a good view of the evolution of its turnover, its cost structure, etc. is essential to effectively manage your business. Your business plan remains above all a planning and decision-making tool.

An effective communication tool

The business plan is above all an effective communication tool with your investors. It is therefore essential to update it so that those who are not directly confronted with the terrain containing the evolutions and likely to soak up your experience. Updating the business plan allows you to communicate effectively with them.

As you will have understood, the business plan is not a tool without interest. Beyond simple projections intended to convince investors, it allows you to lay out your vision of the market and define your strategy in relation to it. An essential decision-making tool, it allows you to follow developments in relation to your predictions. Its implementation remains tedious but is often very useful …

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