Читать книгу Entrepreneurial Finance - Robert D. Hisrich - Страница 23

Since a business plan details the entrepreneur's vision in writing and indicates the implementation strategy and the costs involved, it has several benefits:

1 Determining the amount and timing of resources needed. The business plan indicates the existing resources of the firm, the resources needed, and some potential suppliers of these resources. This allows the entrepreneur to determine how much money is needed at various times to obtain these resources and what approach to develop and use to obtain the money as well as any other resources. The money will be obtained from outside capital providers. Other resources needed are in the areas of supply, distribution, personnel, and support services.

2 Establishing the direction of the firm. Since the business plan is a comprehensive document, it treats all the major issues faced starting and growing the venture. This enables the entrepreneur to develop strategies and contingency plans to reduce the impact of any problems.

3 Guiding and evaluating. By setting goals and milestones for the new venture, the business plan lays out the intentions of the entrepreneur as well as his or her values. Accomplishments and results can be measured and any deviations from the plan corrected in a timely manner. These results should be reported to all interested stakeholders and to outside providers of financial resources on a regular basis, usually four times a year if not more frequently, such as every month in at least the first year.

4 Avoiding conflicts. By being put together by the entrepreneur and the management team and being reviewed and revised frequently, the business plan can be used to guide decisions and help avoid conflicts among the entrepreneur, management team, employees, outside vendors, and financial providers. The amount of energy and resources needed to launch and grow something new is enormous, with the risks being high; the new firm requires reinvestment and seems to always need more time and money. This requires significant sacrifice by the entrepreneur in terms of short-term income and people and family. There are often individuals hurt by the tough personal decisions that an entrepreneur needs to make.