Business plans are ‘waste of time’ say owners

Half of business owners believe preparing a long-term business plan is a waste of time, according to a poll by a Lancashire-based business advisory firm.

The online poll, conducted by Moore and Smalley Chartered Accountants and Business Advisers, also revealed that 13 per cent of owner managers had a business plan that was limited to 12 months or less because it was difficult to forecast over a longer period.

He said: “A clear strategy detailing what you're going to do and when is essential to any successful business. It’s the route map showing how you will take your business from where you are now, to where you want to be in three to five years’ time.

According to Stephen, a strong business plan is also a key to unlock business funding as investors will be impressed by a plan that gives evidence-backed information on how an entrepreneur intends to develop their business, the track record of the management team, and how they will handle financial management. He added: “While there are many critics of the business plan, just the act alone of putting one together will benefit your business because it means taking a good, hard look at your activities, market position and relationships with customers, suppliers, employees and other stakeholders.”