5 minute read
Writing a Business Plan can be mentally challenging. You can have all these ideas about where you want your business to go but can you articulate it well enough to create your own objectives?
The business objectives are the main things you would like to see as the outcomes for the business over the next two to five years.
It’s always better to plan objectives around a more moderate time frame (say two to three years) because things tend to change and the Pareto Effect will impact the timeframe for completion of these objectives.
In this instance the Pareto Effect means that 80% of business objectives are usually completed within 20% of the time frame scheduled throughout the planning period. Therefore most of the objectives are well underway or close to completion within 6 months of a 3 year business plan.
Here are 7 Business Objectives that you might consider as part of your Business Plan:
- Revenue and profit targets
- Establishment of resources
- Skills development
- Networking targets
- Cash flow targets from the pipeline of loan deals
- Relationship building with financial institutions
- Creating a variety of referral sources
It is important to consider the most important objectives and list these in order of impact.
Another issue to consider is that goals need to be written in such a way that they are:Specific- are detailed enough to make sense of what and how things need to be done
Measurable- have measurements incorporated example, ‘by 30 May’ – ‘to achieve $65,000 in practice revenue.
Achievable- not set at a level that is impossible to achieve.
Realistic- not rely on chance but on reasonable efforts and existing abilities
Time bound- have a time frame attached so that you can measure progress
Try writing your own business objectives. Remember to have an objective for each major aspect of the business listed in the dot points above.
Want to find out more about Business Planning? Our FNS50315 Diploma of Mortgage Broking Management can help you with your own business plan using industry examples. Find out when our next workshop starts or our online program details HERE.