Once, Elon Musk, a successful entrepreneur and investor, said, “I don’t have a business plan. I had a business plan way back in the Zip2 days. But these things are always wrong, so I just didn't bother with business plans after that.” to read the whole article, go to nytimes.com.
But why did he say that? Does it mean all we have learned so far, about business is in vain? Let's dive in and find out if you need or don’t need a plan for your business after reflecting on his insight.
A business plan is a strategic document that outlines a business’s goals, strategies for achieving them, and the time frame for their achievement. It is a tool that analyzes the market, helps you attract customers, and measures your company’s success.
So, why in the world would a founder of SpaceX and Tesla, and also a co-founder of six companies, spill this kind of thing?
Well, the first thing is that he has already built a successful company, and he no longer needs a roadmap to showcase his goals and attract investors or customers. If you have fruitful businesses, you don’t need a plan to make the next move.
Secondly, he doesn’t need a type of format to remind him where the projects he undertakes are going because he is a genius. He has already sorted things out and kept them under his control.
Therefore, the first question you should ask yourself is, “Am I Elon Musk?” If not, you surely need a business plan, that you regularly update and review.
If you ever found your business plan sucks, it might be because you don’t take the time to research your market, have a brief explanation about your financials, or lack a deep understanding of the user or the audience. The essential part you must consider aside from these reasons are the type of business plan you are working on and the tools that best suit your business based on your specific goals.
Whether you are thinking about starting a business or your business is already in progress, it’s crucial to have a business plan, which you will keep an eye on. Don’t underestimate the power of a roadmap.