Writing a Successful Business Plan

American corporations are downsizing, outsourcing, and flattening out. As a result, advancement opportunities are shrinking. Conversely, workers are looking for security, new opportunities, and rewards from their work. In search of a more rewarding lifestyle, increasing numbers of people are determined to become their own boss or to work more independently· by starting their own businesses and becoming entrepreneurs.

Entrepreneurs are now considered the catalysts for change in today's business world (Bangs, 1995). Most businesses in the United States are small, with 20 or fewer employees. Yet in total, small businesses account for most of the new jobs created each decade. New business owners are becoming the life blood of the American economy. They are developing new ideas, products, and services that are on the "cutting edge" of the economy. Their success brings profits and a competitive environment spawning even more ideas and innovation. This entrepreneurial spirit is alive and well in the occupational health and safety field, with large numbers of safety personnel, industrial hygienists, and occupational health nurses forming businesses of their own.

About one million new businesses are started each year in the United States. From those, approximately 200,000, or one in five businesses, will survive to see their fifth anniversary. A considerable amount of time, energy, and resources go into starting a business. Why do so few survive for such a short time? The fact is that most of these business owners did not have a business plan. There is no simple equation for success. However, one basic rule holds true: "A business owner who fails to plan, plans to fail" (Covello, 1995).

When entrepreneurs are asked why they did not develop a business plan, their responses usually are: "it requires a lot of hard work and time"; "I am able to self fund my business, and developing a plan is not critical at this time"; and "I have my plan in my head." Many feel that a rapidly changing economic environment invalidates their plan. While no plan will ever be 100% accurate or current, an effective business plan enables an entrepreneur to quickly make necessary changes to meet competitive environmental challenges.

Success is not accidental. It requires hard work and careful planning. A business plan is the owner's road map...