Ask anyone who has ever tried to start their own business, and they will tell you that writing a well thought out business plan is the single most important part of getting your dream off the ground. Not only will a business plan help you set up initial financing, it will give your fledgling businesses a laser-like focus you can use to build your company from the ground up. Let’s take a look at some common mistakes that people make when it comes to writing the perfect business plan.

There are no perfect business plans

While there is nothing inherently wrong with being a perfectionist, there are more and more people these days graduating from business school who have never really been challenged before. When you’ve received nothing but straight A’s before, you tend to want to write the perfect business plan. The problem is that no one has written one yet and you are not likely to be the first. A business plan, no matter how well thought out, is going to have a hole or two. The goal with your business plan is to cover as many bases as you can and then begin actually starting your physical business. If you stay in the holding pattern of writing your business plan for too long in an attempt to be perfect, your brief window of success may close, and you won’t be left with any business at all.

Talk to an expert before you talk to the bank

Since so many businesses are started by creative people who may be a bit lax when it comes to preparing an all important business plan, it is a good idea to check with someone who really knows their way around one before you attempt to speak to a lender. It is very possible that you skipped over an important part or you may have only covered an important part briefly. The two biggest mistakes that most business plans make is that they are either too brief or too long. Both can be killers, so either use a successful business plan as a template or speak to someone who can show you the ropes.

Don’t forget the competition

One hugely important part of a business plan that is often overlooked is the competition. Most small business owners believe that their idea is just unique enough and the execution of that idea is going to be so perfect that no other business out there really compares to what they have in mind. While that may be true, you need to include businesses that are already out there that offer the same essential products or services. The main reason is to prove to investors and the banks that there is a ready made market already out there and that your product/service will have a customer base. Remember, a big part of your business plan is proving that your company will not only survive, but thrive.

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