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12/7/2004

Looking Ahead to 2005, Business Plan Review
by Heather Robinette, Business Consultant, UALR Lead Center

As we all know, a business plan can be a very important document to any small business, but business planning is one task that is never truly complete. No matter how long you’ve been in business, it is always important to periodically review the plan and update it for the future.

In reviewing an existing business plan, consider previous expectations and projections for 2004. Did you accomplish your goals? Did you correctly anticipate your sales and expenses? If business performance varied from expectations, it is important to understand the reasons. Update your plan to include the events and changes that occurred throughout the year. In addition, include actual financial statements for 2004.

In preparation for 2005, update the plan with goals and objectives. Be sure to include an action plan for achieving those goals and make sure the proper resources are in place. For example, will the business need additional employees, equipment, or working capital? Include financial projections on a monthly basis for 2005 as well as a plan for obtaining any needed financing or resources.

Most importantly, don’t wait another whole year to review your business plan. Schedule time throughout 2005 to regularly revisit and update the business plan.

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The Arkansas Small Business and Technology Development Center is funded in part through a cooperative agreement with the U.S. Small Business Administration through a partnership with the University of Arkansas at Little Rock College of Business and other institutions of higher education. All opinions, conclusions or recommendations expressed are those of the author(s) and do not necessarily reflect the views of the SBA. It is the goal of UALR to eliminate discriminatory harassment and to promote equal opportunity regardless of race, gender, color, national origin, sexual orientation, age, religion, veteran's status, or disability.