Planning is a basic management function involving formulation of one or more detailed plans to achieve optimum balance of needs or demands with the available resources. The planning process identifies the goals or objectives to be achieved, formulates strategies to achieve them, arranges or creates the means required, and implements, directs, and monitors all steps in their proper sequence.
Planning helps you decide what you want in your entrepreneurship life or career. The steps you take in your plans help you meet your career and entrepreneur goals. If you are not able to meet your goals the way you planned, don’t give up. Many things can affect your goals from happening the way you first planned. Your family situation might change. Things at your work could change. Also, other events, like a change in the economy, can affect your plans. Another external factor that can affect your plans also includes government policies.
Instead of giving up, come up with a different plan or new goals. This is your backup plan, or Plan B.
Growing up, I was taught that having back up plans were important. If Plan A didn’t work, then I’d have Plan B, C or maybe even D to fall back on. While the advice made sense, looking at it from the lens of a small business owner, it is essential to understand that planning for A, B, or C should be within the available resources in other not experience entrepreneurship stagnation or business failure at long run.
Taking a look at football coach technical skills for example, they won many football matches base on the depth of their reserve benched player. Let me ask you: what will you do if your only source of income is suddenly taken away from you? If you lost your job tomorrow, what would be your next step? I believe some reader of this article will breathe deep down while answering these questions. But don’t be confused, since I don’t have money to give you, neither do I have a job to offer you, I will explain to you some basic skills that will set you free and secure your future –for life.
Knowing when it’s time to make a new plan is the best strategy that can be used to avoid competition straps and lose of progressive steps already enjoyed in the presently status. Think about past events that have changed your plans. Talk to other people about how unexpected events changed their career plans or entrepreneurship success stories. Then think about what could change your plans in the future. Your Plan B should include steps that will help you meet your goals if something unexpected happens. Change for the better, change your thinking and mindset, success is inevitable when failure mindset is dropped into waste bin. Many people who now have career and financial success reached their goals by working out their Plan B. You will meet your goals faster and easier if you have a career plan and a backup plan. When you think about possible blocks to your plan, you are more likely to keep working toward your goals. Remember, time waits for no man!
In the words of Chris Grosser: Opportunity don’t happen, you create them. Early and efficient preparation is the first key to success. In other not to be stranded in your financial and entrepreneurship life journey, the major plan B I will encourage you to key into is: personal development in skills, knowledge and relationship management. This is the greatest back-up plan you can ever have to secure your future forever. I am constantly doing this and will also be glad to share the process of transforming such skills or ideas to money spinning avenue.
How do I start my back up plans? This is another significant question that needs to be answered in order to be propelling you forward to desire track.
If you want to start a new business, new operation line, learn new skills, get out of rat race as a plan B from your existing plan A, there are some stages that are required of you to understand. For you to succeed, the right foot needs to engage is careful planning and then take some important legal steps in order to start your back up plans.
The backup plan stages include but not limited to planning stage, the financing stage and the legal preparation stage.
The Planning Stage:
The first step to take when you want to start a backup plan is the preparation of a detailed business plan. Business plan is not only limited to business establishment but comprehensive planning for acquisition of skills, knowledge, and insurance packages against unforeseen challenges. This is tantamount to business plan. The blueprint for your new business will cover how you will set up and run your business; acquire knowledge profitably, as well as what your startup costs are likely to be.
If you are new to starting businesses, then you can take a course on how to start a business properly, as well as some guidance on how to operate successfully will give you more information, strategies and confidence. You then need to identify suitable business premises of appropriate size and zoning located where your potential customers can easily find you, and which is currently available for rental or purchase.
A service delivery professionals such as, teachers, doctors, accountants, engineers or technicians that is presently an employee can kick start his or her plan B by thinking and strategizing on taking advantage of possible available shift employee duties at another available employers. That should not undermined present plan A efficiency service delivery, in other not to lose the two rats in one hole.
Moreover, service delivery professional employee can also start his or her plan B by strategizing on how to establish their own business entity after successfully learning the rope and acquire professional skills to start a profitable business entity which he or she can render the professional service to the potential customer.
Planning stage is the key to ensure efficiency of back up plans that will safe you out of sudden collapse of plan A.
The Financing Stage:
Once you have successfully passed the planning stage, you are ready to look for financing for your new business. If you are independently wealthy, then you can finance it yourself. Alternatively, you can seek additional private financing options from well to do family members or friends by requesting an audience with them and presenting your business plan.
If those methods of funding do not give you the amount you need to start a business, then you can strategize for more public funding methods. This is also known as crowdfunding. Funding strategies also include government backed business loans and bank loans. Depending on the nature of your business, grants may also be available to you. Another option involves approaching venture capital companies with your business plan to see if they might be interested in providing financing. They typically pool their investors’ funds and so have more money to invest in worthy business ideas.
However, I will advise you not to start a business or your plan B with loan, no matter the prospect of the business at the planning stage looks good with the forecasted data. If necessary to start with loan, acquire business/enterprise performance insurance policy from an insurance company or enter an agreement with the fund provider on debt-to-equity convertible bond loans. With that, you are engaging in enterprise risk management strategies.
You may like to read: How to overcome business failure and entrepreneurship stagnation
The Legal Preparation Stage:
This is the final stage of the business startup process or plan B kick off strategies. It typically starts with deciding upon a suitable legal structure for your business or back up plans. For example, it can be a sole proprietorship, a partnership, a corporation, a non-profit, etc.
You then need to come up with a business name and register it with relevant government agency. At this stage you can obtain a tax identification number from the board of internal revenue service and other operating licenses from your proposed enterprise regulatory agencies. If you plan on hiring employees, then you will need to look into insurance that will cover workers’ compensation, unemployment and disability. Securing liability and property insurance may also make sense.
In conclusion, no your strength and weakness, determine your passion, don’t follow bad wagons in making plan B decision, start small, learn and unlearn. Succeeding with plan B may require other professional services beyond your immediate capacity. Don’t undermine other professional services providers, it will safe you from loosing Plan A, B, C……… and so many things. Continuous success wishes.
Author: Oyeniyi Ayodeji (A seasoned writer, financial advisory expert, project manager and intellectual public speaker)
Contact: firstname.lastname@example.org, www.facebook.com/AyodejiOyeniyi