| In the recent economic slowdown it can sometimes | | | | calendar year 2009." Your goal should be clear, |
| feel like a crowbar is required to pry money from | | | | measurable and tied to a specific time period or |
| investors to help you grow your aspiring business. But | | | | deadline. |
| during times when capital is tight, it's time to get | | | | Step 2: Outline Your Strategies |
| creative. Companies that focus on systematically | | | | The next step is to develop a bulleted list of the |
| meeting their short-term goals typically discover that | | | | primary strategies you will implement to meet your |
| they also achieve long-term business success, with or | | | | stated business goal. In this case, "What can ABC do |
| without the benefit of outside investment. | | | | to increase repeat business?" Examples might include: |
| So how do you quickly mobilize your current | | | | - Offer a 5% discount to repeat customers |
| resources, capital and team to realize your goals and | | | | - Improve the quality of product/service offerings |
| targets? Prepare a plan of attack - more commonly | | | | - Introduce additional training and quality standard |
| referred to as a business plan. But cast aside any | | | | programs for entire staff |
| worries you have about preparing a thick tome with | | | | - Implement customer service follow-up process to |
| fancy verbiage and financial projections. The business | | | | increase satisfaction and referrals |
| plan to achieve your short-term objectives is not | | | | - Commit to be on time-every time |
| graded by weight or page length, but instead by the | | | | - Develop and maintain database of customers and |
| quality and clarity of the strategies you commit to | | | | send weekly and monthly correspondence |
| paper. | | | | - Use social media strategies to more fully engage |
| In this case, we recommend you prepare a business | | | | customers |
| plan that fits onto the back of a regular sized | | | | Step 3: Identify Your Tactics |
| envelope. | | | | The third step is to write one or two bullets with the |
| You may have returned to the previous sentence for | | | | specific actions to be taken to make each strategy |
| a moment and asked, "An envelope? How can I | | | | outlined above a reality. For example: |
| prepare a business plan on the back of an envelope?" | | | | - 5% Discount - Advise Sales Manager of new pricing |
| It's a great question and there's a very simple answer: | | | | initiative |
| If your objective is to achieve an important internal | | | | - Better Training - Investigate web-based training |
| goal, rather than impress an audience of bankers, | | | | courses |
| investors or strategic partners, then an informal | | | | - Customer Database - Locate appropriate contact |
| "envelope plan" can be a perfect solution. It enables | | | | management program |
| you to quickly organize, document and communicate | | | | Step 4: Perform a Cost/Benefit Analysis |
| your business strategies to management and staff. | | | | The fourth step is absolutely critical. Prepare a |
| And in some cases, a brief document is more | | | | two-sentence assessment of the financial costs and |
| effective than thirty-plus pages of brilliantly bound | | | | rewards of executing your envelope plan. For |
| business plan literature - particularly when the priority is | | | | example... "The cost of executing this plan, including the |
| to rally your team around a common cause for an | | | | pricing discount and the cost of the other initiatives, is |
| upcoming month or quarter. | | | | $37,000. The financial reward for executing this plan, |
| A quick warning before we look at the steps to | | | | assuming that the level of new customers remains |
| prepare an "envelope plan" for your business. If in fact, | | | | unchanged and the business from repeat customers |
| your goal is to secure financial backing from investors | | | | increases to 20%, an increase in annual sales of |
| or lenders, then you will naturally need to develop a | | | | $875,000 is expected". Not a bad return on your |
| more robust business plan with well-supported financial | | | | money actually! |
| statements. A more comprehensive plan, track record | | | | Step 5: Get Buy-In |
| and qualified team are expected if you intend to gain | | | | Your final step is to share your "envelope plan" with |
| the attention of serious financing sources for your | | | | other members of your team to gain input and buy-in |
| business. | | | | into the advantages of implementing your strategies. |
| But assuming your plan is for short-term internal | | | | The envelope plan appears simple, but it's concise, |
| purposes, you can prepare an "envelope plan" in five | | | | geared toward action and infuses financial costs and |
| easy steps: | | | | returns into your overall businesses goals. |
| Step 1: Clarify the Goal | | | | An "envelope plan" is not the solution for capital |
| Begin by preparing a very precise, quantifiable | | | | transaction needs, but it is a quick, organized and |
| statement of no more than one or two sentences to | | | | informal method to instantly focus your team on |
| clarify the goal your company will achieve. For | | | | achieving short-term business goals. And after all, isn't |
| example: "ABC Cleaning Company will increase | | | | reaching your business goals what real business |
| revenue from repeat customers from 8% of total | | | | planning is all about? |
| yearly sales to 20% of total yearly sales by the end of | | | | |