Throughout November and December, I’m focusing my blogs on #business planning, so you have plenty of information to create a great plan. Look for checklists, processes, business plan templates, and systems--ready to use, too.
Business Planning Mistake
Many people think that a business plan consists of actions to take. Yes, that’s one of the parts of a business plan. But, it’s actually the last step in creating the business plan. If we don’t think through the other steps that precede the action plan, we end up
in a impractical action plan
Instead of leaping right to an action plan, use a #business planning process and template (business planning steps) that guides you through the right thought process.
Grab my strategic business planning template and process here. I created this process just for real estate professionals, to help them accurately think through each part of their businesses. This is a #business plan sample of the entire process I created for Beyond the Basics of Business Planning.
Start with the Past: What Happened?
If we don’t know where we’ve been, how can we decide on best strategies for the next year in our business plan?
Here are the business plan tools you’ll need in your business planning toolkit:
- Time analysis (watch my next blog for a questionnaire to analyze your time management)
- Business plan activity review
- Expense/budget review
- Profit and loss statement review
1. Your time analysis. Do you have the business plan analysis tools to see where your business is, and where you want to take it? With a time analysis tool, you can see what your priorities are. It’s amazing how many agents and managers have no idea where they spend the bulk of their time. Look at your schedule for the last week. Did you spend time in the areas that are most productive for you? If not, why not?
2. Business plan activity review tool. This allows you to capture the history of your business in a way that clarifies your direction. For example, does the tool you use ask you where you got your business last year? Does it ask you the percent of your listings you sold in normal market time? Find the tools that ask you the right questions.
3. The expense and budget review. How many agents have a budget? How many managers and owners? All businesspeople set budgets and review them. After all, it’s about profitability in a business, not productivity! At best, you want to use tools that are similar to the ones used by others at the same business level as you, so you can analyze like problems and solutions.
4. The profit and loss statement review. How many agents do you think have a profit and loss statement—and review it? I believe, less than 5%. Yet, if you don’t know where your money went, you can’t analyze its effectiveness. Use Quicken or Quickbooks to get a handle on your money.
Analyzing your business in these four areas gives you a great ‘handle’ on your business habits, your strengths, your challenges–and the areas you want to change for a more successful year next year. Now, you’re ready to create that next step of your business, your mission.
With the right #business planning process, templates, and samples, you’re on your way to a strategic business plan that actually will work for you next year.
It’s been a chaotic, year, where our best laid plans have been tossed upside down. That’s why doing a fresh, creative business plan is so important right now.
Register here for How to Build the Best Business Plan Ever. (complimentary webinar).
- A new way to think through your business so you have a plan that works
- The missing planning step that assures your plan will work for you
- The biggest change to make to thrive in 2021
- Insights with 10 questions to answer BEFORE you commit to action
- The seven best recommendations to put in your plan
Included: Strategic business planning handouts and 2 bonuses for managers
When: November 16 (Monday) 1-2 PM Pacific Standard Time
I created the only internationally published book for real estate agents on business planning, and I can help you build exceptional plans.