Spotlight on Beverly Stein
Action-oriented Business Plans Make the Difference
While possessing the best and most honorable of intentions, many professionals who write business plans miss the point and place their emphasis on the wrong set of objectives. In addition to compiling an often incorrect set of components within the plan itself, many do not even understand what a business plan is intended to accomplish.
"Today’s entrepreneurs and just about any other business managers need an action-oriented plan," says Beverly Stein, president of P.O.V. Marketing in Dallas. "These business plans must be developed quickly to keep-up with the pace of today’s market and their emerging businesses."
The "point" so sorely missed is a focus on what’s going to help them get through the day-to-day trenches of actually running a business versus just the financial aspects of the plan, but more on that later. Stein knows first-hand the rigors of writing and coaching others in how to write business plans based on her years of experience both in the corporate world with Ralston Purina, Energizer Battery, Quaker State Motor Oil, and Universal Studies, Florida, and as an entrepreneur. She now teaches others how to write plans, and offers the business plan component as part of her marketing approach with a diverse client base. "P.O.V.," a marketing acronym for Point Of View, also represents the Perspective Originality and Vision she brings to her clients.
"The difference between successful businesses and business failures is planning; according to the Small Business Administration, lack of, or poor planning in general, is the number one reason why most businesses fail," says Stein. "In the last decade, for example, fewer than 10 percent of all business start-ups wrote business plans and only two percent followed their plan."
All is not to be blamed, however, on the professional, says Stein. The Internet, the computer and the acceptance of virtual offices changed the start-up requirements for many entrepreneurs. As a result, many now finance their own start-ups or use their credit cards to do the financing. She says this eliminates the need to go to outside sources for funding and has led to a decline in the required discipline of developing the business plan.
What it hasn’t eliminated, however, is the necessity for the discipline of the plan. Stein says there are many business plan development guides and reference manuals available. These however may present a double-edged sword in that most guides focus on the financial sections of the plan with the intent of teaching a person how to prepare a plan to obtain financing. If financing isn’t needed these plans create unnecessary work. Most entrepreneurs just need to know how to manage their business on an ongoing basis and a simpler business plan will best suit their needs.
Stein advises both start-ups and established companies that a plan must be strategic and narrowly focused on a business’s particular issues. Naturally, the required components of a plan vary on the type of business and its operations, but there are several components that must be present in all business plans.
"Most available references on creating a business plan haven’t caught up to business in the age of the Internet," says Stein. "Business today is moving more quickly than ever before, and the planning stage needs to move just as quickly."
Stein welcomes comments to firstname.lastname@example.org.
Each week AccountingWEB will spotlight one individual or firm or organization that has made a unique contribution to the field of accounting. We encourage all of our members to recommend firms or individuals or organizations for consideration as a Spotlight focus. Recipients of this recognition will receive a press release they can send to colleagues, associations, local media, etc, and an official AccountingWEB Spotlight icon which can be placed on their own web site for a direct link to the feature story. Send recommendations to Gail Perry at email@example.com, and enjoy our newest addition!
Voice of the Editor
Which isn’t completely true. I mean, occasionally I drop by when I manage to sneak out of the nonstop frat party over at Going Concern, but I’m mostly a wallflower over there. I’m happy to say that I’ve been given express permission (or explicit orders, if you like) to wander over here to AccountingWEB more often.
Why is that, you might ask? My job is to replace the irreplaceable Gail Perry as Editor-in-Chief. What does that mean? I don’t really know! I think it’ll be fun getting a feel for things, throwing in my own thoughts here and there, and listening to the discussions you’re having about the accounting profession.