How important is a business plan?

Discussion in 'Starting a Lawn Care Business' started by Mowtown Mike, Jan 26, 2007.

  1. Mowtown Mike

    Mowtown Mike LawnSite Member
    Posts: 70

    I do not have a business plan, I have been in business for a year, full time and made some money. What are the benefits to a plan? Is it for getting a bank loan purposes only? I thought about making one, but it is not easy, and I get bored easy. More braun then brains!
     
  2. Team-Green L&L

    Team-Green L&L LawnSite Bronze Member
    Posts: 1,776

    A business plan is more for you than anyone else. Do you remember when you had to put your goals in writing for High School? Same thing in layman's terms. It is the entire operations, expectations, profit reporting, and marketing productivity reports all in one plan.

    To answer your question; some people buy an old car and try to fix it up and some people will do the same thing, but buy a Chilton's or Haynes to help. I am one of those Chilton's shoppers. I figure it is easier to work on something (even if I know what I'm doing) with written instructions. I will personally suggest you take the time to plan a business before investing too much time in operating it.
     
  3. LindblomRJ

    LindblomRJ LawnSite Silver Member
    Posts: 2,570

    Do you have goals for your business? If so a plan is important to realize your goals. Not only if you need to borrow money. A good plan will identify your customers, your competition, your advantages. It will give facts from the past and projections to realize your goals.

    Doesn't have to be fancy. But it should somewhat detailed.
     
  4. daveintoledo

    daveintoledo LawnSite Silver Member
    Posts: 2,587

    lots of good info out there on how to due this....its a really good idea to do it.... forget about lawn care, any one opening a business should do this, and its a must for a startup business loan....
     
  5. lawnpro724

    lawnpro724 LawnSite Silver Member
    Posts: 2,201

    Business plans give your business direction and the strategy to get there. If you follow your plan it will keep you on track of your goals and keep you from straying off in another direction. If you apply for a loan most banks will want to know what your income projections are for the business over 5yrs and a business plan will let them, the bank know how your going to achieve your financial goals.
     
  6. thomaslawn

    thomaslawn LawnSite Member
    Posts: 88

    Think of a business plan as a strategic roadmap; this is where you are, and decide where you want to be. By the simple process of writting a business plan it will make you think about what direction you want the business to grow towards. As stated before it it a neccessary tool when applying for a business loan.
    If your having trouble putting one togerther (they are very tedious) check out the following site. bplans.com. Go to the Sample Plan Tab and they guide you through a basic formatted plan, completely free. Have fun.
     

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