According to the Small Business Association, only about one-third of small businesses will make it to the 10-year mark. One in five businesses will fail within the first year.
I’ve started multiple businesses over my career, and I’ve found that a business plan is one key to success. If you’re a struggling entrepreneur, here are three reasons your business may not be growing.
You don’t have a business plan.
A 2016 survey found that having a business plan doubles your chance of success. You can have great ideas, but a plan helps you put those ideas into action. It also helps you budget accordingly and define and measure success. If you aren’t sure how to draft a business plan, here’s a post that covers my basic outline.
You have a plan, but you aren’t sticking to it.
Your business plan is meant to help you grow and scale your business, but it won’t work if you aren’t using and sticking to it. Of course, occasionally plans need to pivot to accommodate certain circumstances, but 90% of your business plan should be followed regardless.
You aren’t updating your plan regularly.
Some businesses fall into the trap of creating a one-time business plan, and then failing to update it once they scale and grow. You plan is just as vital to your business as you are! Your plan should grow with you. I recommend reviewing your plan quarterly, and updating it at least once a year.