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April 23, 2007

Starting a Small Business Can Be Great Therapy

The Opportunity Through Entrepreneurship Foundation (OTEF) posted an article about a pilot program for their organization where they helped a group of women staying at a safe house for recovering victims of domestic violence start a new business. According to their website, OTEF is an organization that helps "at-risk youth and adults improve their lives by creating and growing entrepreneurial ventures."

What I found interesting from their pilot program is the effect that the experience had on the participants. From their blog:

What's new is how the women in the program feel about having created something among themselves. In the three months of delivering the progam, I have noticed that only one woman of all the participants has relapsed. The rest have gone from a group of depressed, down-on-their-luck victims to a room full of attractive, vibrant, potential entrepreneurs.

THEY (not me) attribute a lot of their recovery to being involved in the program and being able to create something -- a business.

I've always felt that growing and starting a business can have a positive impact on people mentally. Starting a new business brings about so much satisfaction and growth (as is the case with most things that are difficult and take effort). I was excited to read about what OTEF has been doing and I'm certain that it will be a positive experience for all those involved. I hope that other cities will have similar programs to help people get on their feet.

Visit the OTEF Website to read more about the program.

Posted by Jon at 11:30 AM | Comments (1) | TrackBack

April 19, 2007

Is a Business Plan Really a Waste of Time?

Recently, I've read a few articles discussing whether or not writing a business plan is necessary (Guy Kawasaki's article "Is a Business Plan Necessary?", for example). This discussion comes as a result of the Wall Street Journal article "Entrepreneurs: Do Start-ups Really Need Formal Business Plans?" that references a Babson College study claiming that a business plan may not be relevant in the success of the business. Here is a quote from the abstract of the study:

This study examined whether writing a business plan before launching a new venture affects the subsequent performance of the venture. The data set comprised new ventures started by Babson College alums who graduated between 1985 and 2003. The analysis revealed that there was no difference between the performance of new businesses launched with or without written business plans. The findings suggest that unless a would-be entrepreneur needs to raise substantial startup capital from institutional investors or business angels, there is no compelling reason to write a detailed business plan before opening a new business.

While I agree with certain points that are being shared in the blogging community and in newspapers regarding the study, it concerns me that many people will take this article and believe that planning is not necessary to the success of their business. This is a dangerous approach and attitude if you are serious about starting a business.

Completely disregarding the planning process is asking for trouble. If you're not looking for outside funding you might not need as detailed a plan as otherwise, but you still should develop the important parts of your business plan. For example, you should still create a mission statement and set goals for your company. Don't disregard the importance of mapping out pro forma financial statements for five years. You should definitely still research your target market and develop a detailed marketing plan and strategy. These are all important parts of business plans that should not be disregarded in any case.

The study doesn't suggest that no planning is done by those businesses that are successful without a written business plan, but it does suggest that you don't need to actually write your business plan. The main reason why I disagree with this idea is because I don't believe that a goal is a goal until you've written it down, and the real value in writing a business plan isn't describing your management team or what technology you will use. The real value comes from the goals and objectives you set.

One point that I readily agree with is raised by Professor William Bygrave. He explained that many would-be business owners spend too much time planning and not enough time doing. That's definitely the truth in many cases. It's one of the main reasons why we developed the Business Plan Success template - to make this planning process easier so that business owners could finish their business plan and concentrate on running their business quickly. I agree with his advice to get out and "just do it." I disagree with the idea that you should get out and do it without any written planning or direction though.

Don't use the study from Babson College to justify not writing a plan for your business. While many businesses are successful without a formal business plan, I'm willing to bet that there was some sort of planning involved in getting every successful business started.

Posted by Jon at 8:19 AM | Comments (0) | TrackBack

April 13, 2007

Business Plan & Marketing Plan Writing Forums Available

Business Plan Success is excited to introduce the Business Plan Success forums. Visitors can use these forums to ask questions on writing a business or marketing plan, starting a business, and other useful topics.

To sign up for an account on the forums, visit http://www.business-plan-blog.com/Forums/ and click on "register".

Posted by Jon at 10:20 AM | Comments (0) | TrackBack

Get help with your Marketing Plan

Marketing Plan Success has recently expanded its marketing plan writing resource library to include even more information and articles on writing a marketing plan. Here are some examples of the new articles available:

• Writing a Situational Analysis
• Analyzing your Macroenvironment
• The Marketing Mix
• Creating an Action Plan
• Complete Article Library >>

Don't forget to also check out our new article "Coming Soon: Advertising on Toilet Paper"! It's got some great ideas for expanding your marketing reach.

Posted by Jon at 8:30 AM | Comments (0) | TrackBack

April 11, 2007

Coming Soon: Advertisements on Toilet Paper

Original Source: Marketing Plan Success.

You can't watch a movie or play a video game without seeing products conveniently placed and advertised. Ads are on TV, websites, inside DVD covers, and even on EGGS! Advertising is everywhere…well, almost everywhere. There are still a few forgotten advertising opportunities that haven't been exploited to their fullest potential yet. If you're looking for some fresh advertising ideas, check out these ones from Marketing Plan Success. If advertising on eggs is acceptable, anything goes.

Parking Spots – They are everywhere and, as of yet, not sponsored. What are companies thinking?!? Supermarkets, stadiums, and malls could make a fortune by selling advertising space in their parking lots. The GAP would surely love to have people read about their Summer Sale as they pull into their parking space.

Fire Trucks & Ambulances – They drive around with their sirens blaring, demanding everyone's attention. Why not put this attention-getting scheme to good use by slapping some ads on the trucks? Could you imagine hearing the siren, turning your head, and seeing a fire truck decked out like the Oscar Meyer Weiner barreling down the street? It's ingenious!

Trash Cans – They're ugly, but everyone has to have one and you see them everywhere. Why not spruce up the curb on trash day by wrapping some advertising around your trash? Instead of ugly black, gray and green cans you could turn your neighborhood into a sea of colorful ads.

The Dentist Office – Dentists have people coming in all day who are forced to stare at the ceiling for hours at a time. Why not give them something to look at? Dentists could sell advertising space by the tile and made loads of cash! Patients would be thrilled because they'd have something to concentrate on besides their root canal.

Dogs – You shell out hundreds of dollars each month to take care of your pets. Why not make them earn their keep? People sell advertising space on their cars. You should do the same with your dog. Imagine how much attention your business would get if a dog was paraded through the city park each day dressed up like your company mascot.

And finally, our #1 forgotten advertising opportunity…

Toilet Paper – Ok, maybe you don't want people cleaning up with your company logo, but it's worth a try. It would definitely be memorable for the user! "Top-of-mind." That's what marketing is all about. Isn't it?

Discover how you can easily create a marketing strategy that works. Download Marketing Plan Success and finish your marketing plan today!

Posted by Jon at 3:18 PM | Comments (0) | TrackBack