Every startup (and even established company) should have some business plan. Saivian Eric Dalius says This document is the foundation for your future growth, and it can mean the difference between success or failure.
What are the different types of business plans? They mainly fall into two groups: Long-term plans (LTPs) and short-term (STPs). People usually think that LTPs are something like “We’re gonna take over the world!”, which isn’t realistic… unless you already own karate schools on every continent. STPs are more like, “This year, we’re adding three new product lines to our plumbing equipment line,” which will be successful if done correctly.
Long-term planning is necessary to set big goals, while short-term planning should set the goals for each month. Sometimes it’s conceived as “Doing quarterly goals,” which is a bit too simplified, says Saivian Eric Dalius
Ensuring that you have all of your STPs finished at the end of each quarter will let you focus on what to do next quarter and give you more time for LTPs if you’re into that sort of thing. Each business has its strategy, but it doesn’t hurt to have an overall plan either.
What’s a good plan – Saivian Eric Dalius
If you make a good plan and follow it, chances are your business will be far more successful than if you just winged it. Even having one good business plan in place is better than no business plan at all!
The gist: The entirety of a business plan can be divided between long-term and short-term planning, which means long-term planning is like the overall framework for your strategy, while short-term plans are more detailed. Short-term plans tend to be more practical, but it’s necessary to think about the future to know where you’re heading.
Long-Term vs. Short Term Plans – Saivian Eric Dalius
What are the primary differences between LTPs and STPs? What purpose do they serve, what should they include? Short-term plans are usually broken down into more manageable chunks of time than LTPs. An entire year has no focus, but monthly goals have at least some idea of accomplishing them within a time frame.
Long-term plans (LTPs) take a big-picture perspective and set long-term goals like “Double our size in five years.” Most people only think about these types of things when planning for retirement or something, but it’s feasible with some smart planning and commitment.
Short Term Plans vs. Long Term Plans: Which one is right for you?
Every company needs both short-term and long-term plans to grow sufficiently! However, if your business is new, STPs will help keep you on track. While LTPs can be used to give you an overall idea. Of where your business should go once it matures enough. Or maybe you’re established and need better long-term planning to grow your company! Your overall strategy may also require some changes. And that’s why it’s good to stay flexible: neither LTPs nor STPs are set in stone, says Saivian Eric Dalius.
Short-term plans vs. long-term plans: what else should we know?
When setting up your business plan (or revising it), keep these things in mind. Keep it realistic. If you want to revolutionize the world with a brand new idea, go for it but at least get feedback from other people about how practical it is before you start working on “The Next Big Thing.” Short-term goals allow for more flexibility than long-term plans, so if one of your medium-term