how often should you review your business plan

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Run » finance, 8 signs it's time to update your business plan.

You should update your business plan more frequently than you might think. Here are eight signs it’s time to update your business plan.

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Updating your business plan ensures that the information is up to date and in line with the changing goals of your organization. Here are eight situations where it’s necessary to update your business plan .

It’s been over a year since you updated it

Your business plan is never finished — you should constantly be reviewing and updating it. How often you update it is up to you, but it’s a good idea to schedule regular periods to review and update your plan.

For instance, you could do a minor review quarterly and then conduct a major review at least once per year. This will give you an opportunity to see what’s changed and if there are any outdated items.

You’ve added new products or services

Your company’s products and services are an integral part of your business plan, so when they change, your business plan should change as well. That's because adding new products or services affects your sales projections and how you manage company resources.

[Read more: How to Communicate a Product Discontinuation to Customers ]

The competition is changing

Paying attention to what your competitors are doing can help you determine when it’s time to shift your own business strategy. For instance, let’s say a competitor has copied your product or service or is undercutting you on price. You should take the time to evaluate their strategy and decide whether you want to do anything in response.

[Read more: 6 Steps to Market Your Business in a Competitive Market ]

The market is changing

Anytime there are changes in the market, you should adjust your business plan accordingly. For instance, businesses that relied on in-store traffic to make sales had to make adjustments during COVID.

Current issues like inflation or fears of a recession could affect a customer’s ability to buy your product or service. Any factors that could negatively affect your revenue warrant reviewing your business plan.

When you started your business, it may have just been you and one or two other employees. If your company has experienced substantial growth since then, it’s time to review your business plan.

You’ve experienced a financial change

It’s a good idea to update your business plan anytime you experience a significant financial change, whether good or bad. For instance, landing a major client is a great problem to have. But serving that client may require more time and resources than your team initially planned for.

Likewise, if a long-term customer cancels a major contract, that will affect your future revenue. Each of these scenarios requires you to revisit your business plan and develop a new strategy.

You’re going through internal changes

Internal changes can require you to update your business plan as well. For instance, let’s say you switch to a new tech platform to make your business more competitive. Or maybe you’ve recently switched vendors to deal with supply chain issues.

Losing a key staff member can also deal a major blow to your business. Perhaps that person had strong relationships with many of your customers, so you need to rethink how your business will operate without them.

[Read more: How to Talk to an Employee About Poor Performance ]

Your company has grown substantially

And when you update your business plan, it’s a good idea to involve several key employees. Getting buy-in from your employees helps ensure the implementation will be successful.

You’re trying to obtain funding

You'll need to provide a detailed business plan if you’re trying to obtain funding from a bank or investor. When an investor looks at your business plan, they should understand what your company does and your future financial projections.

Your business plan should include:

An executive summary.
An explanation of your total available market.
A description of how you plan to use the funding.

This may sound complicated, but it isn’t if you follow a free business plan template .

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How Should You Review Your Business Plan?

Ultimate Guide On Writing A Business Plan

May 25, 2024

When was the last time you reviewed your business plan?

If you can’t recall, it’s possibly long enough, and by now your plan might not even offer a realistic blueprint for your business.

You see, writing a business plan is not enough. It’s much more important to review and update it time and again to keep it relevant and useful.

Now, the question is how and how often should the business plan be reviewed. Well, we will cover all that in this blog post but before that, let’s understand what exactly is a business plan review .

What is a business plan review?

A business plan review is a structured evaluation of your business plan to identify its strengths and weaknesses so that you can take remedial steps to improve its effectiveness.

A business plan review process evaluates the feasibility and assumptions of the plan and enhances its overall clarity to help make it more presentable to potential investors.

Why should you regularly review your business plan?

Whether you have just written your business plan or yours is sitting on the shelf collecting dust—it is important to revisit it regularly to ensure that it remains useful and relevant.

Many businesses review their business plans regularly, and if you don’t, here are all the reasons why you should.

A rigorous review ensures that your plan includes all the relevant and essential information for stakeholders. It identifies gaps in your plan and removes inessential fluff to make it crisp and qualitative.
Regular review realigns your business strategies with the changing market conditions. This will ensure that your plan remains relevant, effective, and in line with your long-term objectives.
The review analyzes resource allocation and helps you make essential changes to ensure that none of the resources get over or underutilized.
Critiquing your plan allows you to see your business objectively. You can see the faults that are otherwise invisible and make essential changes to strengthen your business’s position.
Reviewing your plan pushes you to reevaluate your financials, making sure they aren’t impractical or unrealistic.

Plan review is therefore essential for everyone— a new business as well as an established one to drive a business in a forward direction.

How to review your business plan?

Reviewing a business plan requires an eye for detail. While we are not suggesting a microanalysis of the plan, thorough reviewing should ensure that every aspect of the plan is properly covered and presented, the facts quoted are corrected, and there is negligible scope for confusion.

Here is a quick step-by-step guide to reviewing business plans:

1. Read the business plan

After you write a business plan , read it at least twice to find critical errors, gaps in information, lack of depth, and irrelevant information. Start making notes wherever you find room for improvement.

2. Put yourself in the investors’ shoes

As you review your plan, think from an investor’s perspective. Evaluate if the plan has sufficient information about a business model and financial aspects to aid decision-making. If not, rework and focus on aspects that show the business’s potential to make money.

3. Assess your business strategy

While reviewing, reassess your market research and analysis. Ensure that the target market and competitors’ edge are explicitly explained.

Think from the customers’ perspective while analyzing your products and service section . Do you see the benefits or USPs that would make the target customers want your products and services? If not, rework the section and present your offerings in a stronger light.

Also, check your marketing and sales strategies to see that they are clearly laid out.

4. Evaluate the management team

Assess the management section to see if it strongly reflects the potential of your people to execute business strategies. If not, the section needs rework. Focus on highlighting their achievements, skills, and expertise.

As a new business, you might still be building your team. However, the section must acknowledge the gaps in your talent team and offer strategic ways to overcome them.

5. Reassess your financial projections

Scrutinize your financial and profit projections to identify missed costs and overly optimistic profits and revenue. Ensure that you offer a logical and easy-to-follow explanation to help prospective investors assess the practicality of your projections.

Following these steps will ensure that the business plan is effectively critiqued.

How often should a business plan be reviewed?

A business plan is a living document that needs regular reviewing and a thorough update every now and then. However, the question is how often?

Ideally, a business plan should be reviewed at least once every year to keep it relevant and useful. However, most successful businesses follow a review cycle of 45 days to 6 months to increase their adaptability to market changes, emerging trends, consumer shifts, and government regulations.

It’s okay if you cannot conduct a regular review of your business plan, month after month. However, if there are major industrial or market changes in your business landscape, you should reassess the plan and make essential changes immediately.

Now, you and your partners can determine the review cycle for these living documents. However, as long as your plan represents the current situation of the business landscape, the review can be carried out on an annual basis.

Things to consider when reviewing a business plan

Now, here’s a list of things you should keep in mind or bear as a checklist while reviewing your small-business business plan.

Ensure that the business plan covers information about all the essential business plan components . This includes sections for executive summary, company overview, market analysis, products and service offerings, sales and marketing plan, operations plan, management team, and financial plan.
Ensure that there is a verifiable source for every data you present or the claim you make.
Remove all extra information that is irrelevant to the context. Focus on simple, concise language with no complicated jargon.
Reassess your competitors’ section and check if it highlights your competitive advantage.
Ensure that the plan offers a clear understanding of your target market and the market share.
Check your financial projections to make sure they aren’t conservative or overly optimistic.
Add a table of contents if the plan is extremely detailed.
Evaluate the business strategies and ensure they are in line with your business goals.
Reassess the plan from your audience’s point of view.
Recheck for any factual, grammatical, or content errors.

Mark this checklist as you review your business plan to ensure full assessment.

Review your Business Plan with Upmetrics

When was the last time you checked your plan? If you can’t remember this is probably the time to review it and make necessary updates so that it continues to serve as a realistic guide for your business.

No excuses about how tiring or exhausting updating your business plan can be. With the right Business planning software , you can review and update your plan in no time.

Its AI business plan writing feature allows you to quickly draft/rewrite sections of your business plan and reassess your financial projections to ensure that no expense, costs, or revenue streams remain unaccounted for.

However, if your plan needs a complete makeover, consider rewriting it using our AI business plan creator . All it takes is 15 minutes for this tool to create a plan based on the details and answers you offer.

Build your Business Plan Faster

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Frequently Asked Questions

Who should review my business plan.

Since no one understands your business better than you, you should be the one reviewing your business plan. However, if you find someone more experienced from your industry to help you review your plan, an external unhinged opinion can be of great help.

Business plans should be reviewed at least once a year to keep them relevant. However, you should be reviewing your operational, financial, and strategic plans every few months to keep up with the changing trends and industrial shifts.

What should I do after a business plan review?

After reviewing your business plan, focus on implementation. Communicate the changes in strategies to your internal team, adjust your financial projections, and test your strategies in the actual world.

About the Author

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

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Business Plan Review-When and Why Should I Review My Business Plan?

Almost all entrepreneurs should keep in mind the importance of a business plan review and also consider updating the strategies and tactics section of their business plan to meet constantly changing market realities.

Writing your business plan may have been a pain, but updating a plan is easier because you already have a framework. During your business launch, you probably had little experience, and many of your marketing and operational forecasts were just educated guesses. Now that you have some experience and a proven track record, you know what works and what doesn’t.

Recognizing the important events and changes that may require you to update your tactics is an important skill to acquire. Here are some pointers on how to recognize those times.

You are ready to take your business to the next level. Getting funds from a bank or investors requires a more sophisticated plan. Even if you don’t need additional funding, a business plan based on a certain size of business might not be adequate to support a much larger one, which may need additional employees, square footage, etc.

Uncle Sam throws you a curveball, in other words, regulatory changes impact your business. One potential change in many states is the imposition of a sales tax on all internet purchases. The result could be a leveling of the playing field that will make online and brick-and-mortar stores more competitive with each other.

The economy has changed inflation, recession, and unemployment rates, all impacting your customers’ ability to buy your product or service. This will impact your revenues in a bad way, and depending on your staffing, adjustments may be needed there as well.

Here are some stages that how often should a Business Plan be reviewed

The high-level overview

How often : daily The high-level overview is the section I look at most often. It’s my big picture part of the plan. Here’s what it includes:

What I’m doing – the problems I’m solving
Why I’m doing it – my vision
Who I’m doing it for – their problems, needs and wants
My tagline – so I’m always focused on my business mission
My sales and marketing strategy – the sales and marketing activities to focus on
Finances – a summary of major income and costs

Your business plan review is just that – a surface-level overview.

The projects in progress

How Often Should I Review My Business Plan: daily and weekly This part of my business plan gets looked at daily, especially when I’m creating things in my business or working on a specific task.

Sometimes I’ll leave it for a few days while I’m focused on client work and routine tasks. But whenever I’ve got projects on the go, which is pretty much always, I check in with this part of my business plan.

I find it really useful to refer to whenever I need to make a decision. For example, I might be thinking about registering a new domain name for my website (buying URLs is fun, right?). But I can look at my plan and ask myself, “Do I really need this?”.

Then I’ll use my template to write a paragraph about the item and how it fits into my business. If I can’t think of what to write, I don’t have a good enough reason for what it would mean to the business and how it fits into the bigger picture. Then I don’t buy it.

I’ve got the same rule for software programs and it stops me from spending all my money on Xero Add Ons ! Because there are few things I love more than looking at all the latest software and seeing what I can implement to make my business (and my clients’ businesses) more efficient. But I know that it’s not efficient to add too many tools to the mix, especially if I’m not really going to have the time or patience to use them.

The financial forecast

How often: Monthly I work on my financials and forecast at least every week or once a month. This was an area of real struggle for me.

That was a big shock to me and I never would’ve picked up on that fact if I hadn’t reviewed my finances and thought about how I could do things differently. Once I started to implement some different processes, and actually reviewed the numbers every week, I brought my finances under control.

You’ve really got to practice and discipline yourself. That’s why it’s gotta happen regularly.

The benchmarks

It’s a useful way to look at projections and add credibility to your plan, but it’s always important to remember that there’s no business out there exactly like yours.

So your benchmarks are only useful to a certain point. I only look at benchmarks when I do quarterly plans and reviews. It’s interesting to see how I’ve gone over the previous quarter and it’s a useful planning tool for the future. But it’s not something you need to get stuck into every day or even every month.

Your business plan is a living document

A business plan is a perfect foundation for your business. Think about the foundation of the home you live in. You wouldn’t just wake up one day and decide to take out that foundation! And you certainly wouldn’t engage a builder who didn’t believe in foundations.

It’s there, underpinning everything you do in your home, adding strength and security. It’s the same with your business plan. You put it in place, and then you build your business on top of it… and it’s there every single day, holding your business firmly together.

Challenge… are you living inside your business plan?

I want to know… do you look at your business plan every day like I do?

Maybe you’ve got a business plan (and it’s not working for you), and you’re halfway through one. Maybe you’ve never started one or you’re a bit skeptical and you don’t even know if you actually need one.

I want to challenge you to be your best in your business, step out and start achieving your goals. A lot of the time, the first step is writing out your business plan. The next step is making sure you review it regularly.

Pro Tip: For a perfect business plan you can visit our page on business plan writing services

Why put your business plan into writing instead of just keeping it in your head

Writing down your business plan will make it more powerful and real. But let’s get more specific. Here are 6 reasons why you should write a business pla n :

Keep it real . Once you see things in black and white in writing, they’re much more tangible. Your written business plan can work as a reality check where things aren’t going as well as you thought they were.
Spot gaps . When you write it down, you can see the gaps and holes that you hadn’t thought of.
Be accountable and collaborate . Having it written down allows you to show it to others and be accountable.
Create SMART goals . A written plan can be broken down into steps and scheduled into your calendar. This makes it far more likely that you’ll achieve it.
Measure your progress. When your plans are written down, you can review them and see your progress. This is especially useful if you’re a type-A personality like me.
Free up your brain cells . Having your plan written down actually (and literally) frees up your headspace so you can use your mental energy for other more important things.
Preparing for the future . And let’s not forget the importance of preparing for the future. Keeping your business in your head is not a good business practice for so many reasons.

Related Article: 25 reasons why you need a business plan

It is recommended to review your business plan regularly, at least annually. Additionally, you should consider reviewing your plan during significant business milestones or changes, such as entering new markets, launching new products or services, or experiencing shifts in your industry or competitive landscape.

Reviewing your business plan helps ensure that it remains relevant and aligned with your current business objectives. It allows you to assess the progress made, identify any gaps or areas for improvement, and make necessary adjustments to your strategies, goals, or financial projections. Regular reviews also enable you to adapt to changing market conditions and seize new opportunities.

Reviewing your business plan offers several benefits, including:

Assessing Performance: Determine how well your business is performing relative to your initial projections and goals.
Strategy Alignment: Ensure that your strategies are still effective and aligned with your current market positioning and customer needs.
Financial Analysis: Evaluate your financial projections and make any necessary adjustments based on actual performance and market conditions.
Risk Assessment: Identify potential risks or challenges that may impact your business and develop contingency plans.
Opportunity Identification: Recognize new opportunities, emerging trends, or untapped markets that you can leverage to drive growth.

During a business plan review, pay attention to the following key areas:

Goals and Objectives: Assess whether your goals are still relevant and achievable, and adjust them if needed.
Market Analysis: Evaluate changes in your target market, customer preferences, and competitive landscape.
Strategies and Tactics: Review the effectiveness of your marketing, sales, and operational strategies and identify areas for improvement.
Financial Performance: Analyze your financial statements and compare them to your projections, identifying any gaps or discrepancies.
Risk Management: Identify new risks and evaluate the effectiveness of your risk mitigation strategies.

It is beneficial to involve key stakeholders in the business plan review process. This may include business owners, management team members, department heads, and external advisors or consultants. Their diverse perspectives and expertise can contribute to a comprehensive assessment of the business plan and generate valuable insights and recommendations for improvement.

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Updating Your Business Plan Our coach explains why constantly updating your business plan is the key to growing successfully.

By Tim Berry Edited by Dan Bova

Opinions expressed by Entrepreneur contributors are their own.

"When should I update my business plan?" The answer to that question is always . You should be updating your business plan every month, every week and every day; whenever things change, you update your plan. And things always change. You should update your business plan when you're alone in the shower, when you're caught in traffic on the way to work, and when you're walking alone. Update your business plan when listening to customers and other managers.

While this might seem like chaos, it's actually the opposite; the constantly-updated business plan is what makes order out of chaos. It becomes a long-term planning process that sets up your strategy, objectives and the steps you need to take by constantly being aware of the results of these steps.

Managing the Planning Process

The annual update.

Update your plan thoroughly at least once a year. You can start with an old plan and revise, but make sure you're taking a fresh look--distance yourself from the trees and look at the forest.

Talk to your customers and potential customers. Review your value proposition. What are your customers buying? What problems do you solve? What other solutions can they choose?
Try to come up with a new market segmentation. Segmentation is the grouping or divisions you see in the market. For example, if you normally view your market by type of product, look at it by channel or buyer. If you divide by region, divide by size of buyer company. Think up a new segmentation to give you a fresh view.
Look at the larger potential market for the problems that need solutions. Look at contiguous businesses. Look at changing trends and technologies.

The Monthly Update

Accounting and financial analysis normally works in months since the books close after every month. Make sure you have a monthly review of the difference between planned results and actual results for your sales, profits, balance and cash.

For each of the standard pro-forma projections, always maintain a table with the plan, another with actual results, and a third with the difference between plan and actual, which is called variance.
As an annual plan marches through the months, you can use the table reserved for actual results to include changes in budget that affect the near future. For example, if the annual plan starts in January, then by the end of May you have an actual Sales Forecast that includes actual results for January through May and the latest revised forecast for June through December.
You must also review the activities, deadlines and planned results that don't fall into the financials. A good plan is full of milestones, assumptions and tasks, all of which should be measurable. Make sure you review and update these measured results every month.

Managing the Major Revisions

The business planning process involves an important paradox. Strategy works only when consistently applied over a long period, which means that you can't implement strategy without following a long-term plan. However, blindly following a long-term plan can also kill a company that stubbornly insists on following a plan that isn't working.

Resolution of the paradox is called management . It involves judgment. The owners, operators and managers of the business have the responsibility of distinguishing between consistently applying long-term strategy and blindly following a failing plan. There are no easy rules for this, but the first place to look for clues is in false assumptions. Has the real world proven wrong the assumptions on which your strategy is based? This kind of subjective judgment is what makes business management so important. The planning process, with its regular review, is critical.

Every Business Plan is Wrong

You have to realize your business plan is wrong. All business plans are wrong. Plans are about the future--and nobody gets the future right very often, so keep the plan fresh and watch closely as reality moves forward. A planning process constantly watches the difference between the plan and actual results. Reality swallows our assumptions and we need to keep track of where, why and how we were wrong. This kind of tracking becomes the key to management.

A Good Business Plan is Never Done

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Review your business performance

Once your business is established and running well, you may be inclined to let things continue to run as they are.

However, it's actually time to plan again. After the crucial early stages, you should regularly review your progress, identify how you can make the most of the market position you've established and decide where to take your business next. You will need to revisit and update your business plan with your new strategy in mind and make sure you introduce the developments you've noted.

This guide takes you through this essential process, detailing the stages you should go through to assess how well your business is performing, highlighting your strengths and areas that could be improved and suggesting the actions you need to take to implement the improvements that you've identified.

Why it's vital to review the progress of your business

Assess your core activities, assess your business efficiency, review your financial position, conduct a competitor analysis, conduct a customer and market analysis, use your review to redefine your business goals, models for your strategic analysis, breaking down your strategic review.

It's easy to focus only on the day-to-day running of your business, especially in the early stages. But once you're up and running, it can pay dividends to think about longer-term and more strategic planning. This is especially true as you take on more staff, create departments within the business, appoint managers or directors and become distanced from the everyday running of the business.

Reviewing your progress will be particularly useful if you feel:

uncertain about how well the business is performing
unsure if you're getting the most out of the business or making the most of market opportunities
your business plan may be out of date, e.g. you haven't updated it since you started trading
your business is moving in a direction different to the one you had planned
the business may be becoming unwieldy or unresponsive to market demands

It is also useful if you have decided that your company is ready to move on to another level.

Setting the direction

A clear business strategy will help to answer any concerns and show practical ways forward.

Questions you might want to ask include:

What's my direction? To answer this you need to look at where you are now, where you want to go over the next three to five years and how you intend to get there.
What are my markets - now and in the future? Which markets should I compete in, how will they change and what does the business need in order to be involved in these sectors?
How do I gain market advantage? How can the business perform better than the competition in my chosen markets?
What resources do I require to succeed? What skills, assets, finance, relationships, technical competence and facilities do I need to compete? Have these changed since I started?
What business environment am I competing in? What external factors may affect the business' ability to compete?
How am I measuring success? Remember, measures of performance may change as your business matures.

It's doubtful whether you will be able to answer these questions on your own - involving your professional advisers, your fellow directors and your senior staff will all help to make your review more effective.

A good starting point for your review is to evaluate what you actually do - your core activities, the products that you make, or services that you provide. Ask yourself what makes them successful, how they could be improved and whether you could launch new or complementary products or services.

Key questions about your products or services

It's useful to address these questions:

How effectively are you matching your goods and services to your customers' needs? If you're not quite sure what those needs are, you could carry out further market or customer analysis. See the page in this guide on how to conduct a customer and market analysis.
Which of your products and services are succeeding? Which aren't performing as planned? Decide which products and services offer both a high percentage of sales and high profit margins.
What's really behind the problems of a product or service? Consider areas such as pricing, marketing, sales and after-sales service, design, packaging and systems during your review. Look for "quick wins" that give you the breathing space to make more fundamental improvements.
Are you reviewing costs frequently? Are you keeping a close enough eye on your direct costs, your overheads and your assets? Are there different ways of doing things or new materials you could use that would lower your costs? Consider ways in which you can negotiate better deals with your suppliers.

Answering these questions will give you the basis on which to improve performance and profitability.

Many new businesses work in a short-term, reactive way. This offers flexibility - but can cost time and money as you move from getting the business going to concentrating on growing and developing it.

The best option is to balance your ability to respond rapidly with a clear overall strategy. This will help you decide whether the actions you take are appropriate or not.

At this stage you should ask yourself if there are any internal factors holding the business back, and if so, what can you do about them?

Consider the various aspects of your business in turn.

What are your long-term commitments to the property?
What are the advantages and disadvantages of your current location?
Do you have room to grow, or the flexibility to cut back if necessary?
If you move premises, what will be the cost? Will there be long-term cost savings and improvements in efficiency?
If you manufacture products, how modern is your equipment?
What is the capacity of your current facility compared to existing and forecast demand?
How will you fund any improvements?
How do you compare with your competition?

Information technology

What management information and other IT systems do you have in place?
Will these systems cater for any proposed expansion?
Will they really make a difference to the quality of product or service your business provides? If they don't, can you change them to make sure they do?
Do you make best use of technology such as wireless networking and mobile telephony to allow for more flexible working?

People and skills

Do you have the right people to achieve your objectives?
Do they know what is expected of them?
Do you operate a training and development plan?
Do you pay as well as the competition?
Do you suffer from high staff turnover? Are staff motivated and satisfied?

Professional skills

Do you have the right management team in place for growth?
Do you have the skills available that you need in areas such as human resources, sales and IT?
Do your staff need new or improved skills or to be retrained?

Businesses often fail because of poor financial management or a lack of planning. Often the business plan that was used to help raise finance is put on a shelf to gather dust.

When it comes to your business' success, therefore, developing and implementing sound financial and management systems (or paying someone to do it for you) is vital.

Updating your original business plan is a good place to start.

When reviewing your finances, you might want to consider the following:

Cash flow - this is the balance of all of the money flowing in and out of your business. Make sure that your forecast is regularly reviewed and updated.
Working capital - have your requirements changed? If so, explain the reasons for any movement. Compare this to the industry norm. If necessary, take steps to source additional capital.
Cost base - keep your costs under constant review. Make sure that your costs are covered in your sale price - but don't expect your customers to pay for any business inefficiencies.
Borrowing - what is the position of any lines of credit or loans? Are there more appropriate or cheaper forms of finance you could use?
Growth - do you have plans in place to adapt your financing to accommodate your business' changing needs and growth?

Now that you have been running your business for a while, you will probably have a clearer idea of your competitors. Gathering more information may cost time, money and effort, but there are many benefits to knowing more about what your competition is doing.

What you need to know

The type of competitor information that will be really useful to you depends on the type of business you are and the market you're operating in. Questions to ask about your competitors include:

who they are
what they offer
how they price their products
what the profile and numbers of their customers are compared to yours
what their competitive advantages and disadvantages are compared to yours
what their reaction to your entry into the market or any product or price changes might be

You will probably find it useful to do a SWOT (strengths, weaknesses, opportunities, threats) analysis. This will show you how you are doing in relation to the market in general and specifically your closest competitors. See the page in this guide on models for your strategic analysis.

How to find out more

There are three main ways to find out more about your competitors:

What they say about themselves - sales literature, advertisements, press releases, shared suppliers, exhibitions, websites, competitor visits, company accounts.
What other people say about them - your sales people, customers, local directories, the Internet, newspapers, analysts' reports, market research companies.
Commissioned market research - if you need more detailed information, you might want to commission specific market research.

When you started your business, you probably devised a marketing plan as part of your overall business plan. This would have defined the market in which you intended to sell and targeted the nature and geographical distribution of your customers.

From that strategy you would have been able to produce a marketing plan to help you meet your objectives. When you're reviewing your business' performance, you'll need to assess your customer base and market positioning as a key part of the process. You should update your marketing plan at least as often as your business plan.

Revisiting your markets

A business review offers you the opportunity to stand back from the activity outlined in your plan and look again at factors such as:

changes in your market
new and emerging services
changes in your customers' needs
external factors such as the economy, imports and new technology
changes in competitive activity

Asking your customers for feedback on your business' performance will help to identify where improvements can be made to your products or services, your staffing levels or your business procedures.

At the same time, it is important to remember that while reviews of this kind can be very effective - they can give your business the flexibility it needs to beat off stiff competition at short notice - it is important to think through the implications of any changes. In the new phase of your business you'll need to plan your finances and resourcing carefully at all times.

To remain successful it's vital that you regularly set time aside to ask the following key strategic questions:

Where is the business now?
Where is it going?
How is it going to get there?

Often businesses are able to work out where they want to go but don't draw up a roadmap of how to get there. If this happens, a business will lack the direction needed to turn even carefully laid plans into reality.

At the end of any review process, therefore, it's vital that work plans are prepared to put the new ideas into place and that a timetable is set. Regularly reviewing how the new plan is working and allowing for any teething problems or necessary adjustments is important too. Today's business environment is exceptionally dynamic and it is likely that you will need regular reviews, updates and revisions to your business plan in order to maintain business success.

Continuous improvement

In addition, a simple planning cycle can greatly enhance your ability to make changes in your business routine if necessary. Good planning helps you anticipate problems and adapt to change more easily.

Expert input

You may find at this stage in your business' development that you need external skills to help you with the changes you have to make. In this case you might consider:

employing skilled consultants in areas where you cannot afford to develop inhouse skills
appointing an experienced non-executive director who can provide a regular, impartial assessment of what you are doing
using a management consultant to help you identify how you can strengthen or change your management structure to grow the business

There are a number of useful business-analysis models that may help you think more strategically about your business.

The SWOT analysis (strengths, weaknesses, opportunities, threats) is one of the most popular. This involves looking at the strengths and weaknesses of your business' capabilities, and any opportunities and threats to your business. Once you've identified all of these, you can assess how to capitalise on your strengths, minimise the effects of your weaknesses, make the most of any opportunities and reduce the impact of any threats.

Opportunities and threats in the external environment

It's important to remember that opportunities can also be threats - for example, new markets could be dominated by competitors, undermining your position. Equally, threats can also be opportunities -for example, a competitor growing quickly and opening a new market for your product or service could mean that your market expands too.

A SWOT analysis can provide a clear basis for examining your business performance and prospects. It can be used as part of a regular review process or in preparation for raising finance or bringing in consultants for a review.

Once you have collected information on your organisation's internal strengths and weaknesses, and external opportunities and threats, enter this data into a simple table.

	Positive	Negative
Internal	Strengths	Weaknesses
External	Opportunities	Threats

Other tools include:

STEEPLE analysis - a technique for understanding the various external influences on a business – Social, Technological, Economic, Environmental, Political, Legal and Ethical.

Scenario planning - a technique that builds various plausible views of possible futures for a business.

Critical success factor analysis - a technique to identify the areas in which a business must succeed in order to achieve its objectives.

The Five Forces - the theory that there are five defined factors that influence the development of markets and businesses - potential entrants, existing competitors, buyers, suppliers and alternative products/services. Using this model you build a strategy to keep ahead of these influences.

As owner-manager of your business or as a member of its management team, you should stand back once in a while and review your business' performance.

The areas you need to look at are:

Your market performance and direction - how well you are performing through your sales results, which markets to aim for next and how to improve your performance.
Your products and services - how long your existing products will meet your customers' needs and any plans for renewal.
Operational matters - your premises, your methods, technologies used, your processes, IT and quality. Are there any internal issues that are holding your business back?
Financial matters - how your business is financed, levels of retained profit, the sales income generated and your cash flow.
Your organisation and your people - your structures, people planning issues, training and development.

The five steps above will give you a clear indication of any issues that you need to address quickly in order to maintain your business in its early stages.

If you feel all of the areas above are strong, you can start to plan for the next phase and build a cohesive strategy to develop your business. However, if there are areas that need attention, deal with them now so that you can move forward. There are a variety of growth options for every business - it's important that you settle on the right one for you.

Also, once you've isolated your best route for developing your business, you can boost your chances of success by planning it carefully and monitoring your progress against an updated business plan.

Our information is provided free of charge and is intended to be helpful to a large range of UK-based (gov.uk/business) and Québec-based (infoentrepreneurs.org) businesses. Because of its general nature the information cannot be taken as comprehensive and should never be used as a substitute for legal or professional advice. We cannot guarantee that the information applies to the individual circumstances of your business. Despite our best efforts it is possible that some information may be out of date.

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You should always follow the links to more detailed information from the relevant government department or agency.
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How often should I look at or review my business plan?

by The Savvy Bookkeeper | 8 Oct, 2018 | Strategy , Business Planning | 0 comments

Is it time to review your business plan?

Want to know how often to review your business plan?

The short answer: you should refer to and look at your business plan every single day, and review and update the details in it at least quarterly.

Yep, I look at my plan daily, and sometimes more often than that. I have my online business planning tool set so that when I open my browser in the morning, it’s the first thing that pops up.

The first thing I do when I start work is I look at my business plan.

If you’re thinking, “ughhh but Amy, I don’t want to look at my business plan everyday”, I totally get it. A lot of people think, “I've done my business plan. It's done and dusted.” But unless you're looking at your business plan on a regular basis, there's no point in actually really having one.

Tip: Make your business plan something you want to refer to daily.

Let me explain what a business plan review actually looks like in practice and why you might want to make it part of your daily habits. Because you might not read your whole business everyday (that could take awhile), but you might pay attention to each section at different times.

I’ll run you through the four main parts, when to review them, and why writing and regularly reviewing your business plan is an essential activity for every business owner.

Part 1: The high-level overview

How often: daily The high-level overview is the section I look at most often. It’s my big picture part of the plan. Here’s what it includes:

What I’m doing – the problems I’m solving
Why I’m doing it – my vision
Who I’m doing it for – their problems, need and wants
My tagline – so I’m always focused on my business mission
My sales and marketing strategy – the sales and marketing activities to focus on
Finances – a summary of major income and costs

Your business plan overview is just that – a surface level overview. So you can review where you stand at a glance. It’s a quick way to remind yourself of what you need to focus on.

Part 2: The projects in progress

How often: daily and weekly This part of my business plan gets looked at daily, especially when I’m creating things in my business or working on a specific task. Sometimes I’ll leave it for a few days while I’m focused on client work and routine tasks. But whenever I've got projects on the go, which is pretty much always, I check in with this part of my business plan.

I find it really useful to refer to whenever I need to make a decision. For example, I might be thinking about registering a new domain name for my website (buying urls is fun, right?). But I can look at my plan and ask myself, “Do I really need this?”. Then I'll use my template to write a paragraph about the item and how it fits into my business. If I can’t think of what to write, I don't have a good enough reason for what it would mean to the business and how it fits into the bigger picture. Then I don’t buy it.

I’ve got the same rule for software programs and it stops me from spending all my money on Xero Add Ons! Because there are few things I love more than looking at all the latest software and seeing what I can implement to make my business (and my clients’ businesses) more efficient. But I know that it’s not efficient to add too many tools to the mix, especially if I’m not really going to have the time or patience to use them.

So this section is essential for keeping on track, focused, and making those day-to-day business decisions.

Part 3: The financial forecast

How often: Monthly I work on my financials and forecast at least every week or once a month. This was an area of real struggle for me.

My first couple of years in business I didn't make a profit because I was earning good money, but I was spending all of it. In the first year of running my bookkeeping business, I spent so much money that I actually spent about $30,000 of my husband's salary.

That was a big shock to me and I never would've picked up on that fact if I hadn't reviewed my finances and thought about how I could do things differently. Once I started to implement some different processes, and actually reviewed the numbers every week, I brought my finances under control.

You've really got to practice and discipline yourself. That’s why it’s gotta happen regularly.

Part 4: The benchmarks

How often : Quarterly This is the section of my business plan that I look at the least often. Benchmarks display data about similar companies to help you compare your business with what’s considered normal for your market. It’s a useful way to look at projections and add credibility to your plan, but it’s always important to remember that there’s no business out there exactly like yours.

Your business plan is a living document

A business plan is the perfect foundation for your business. Think about the foundation of the home you live in. You wouldn’t just wake up one day and decide to take out that foundation! And you certainly wouldn’t engage a builder who didn’t believe in foundations.

What I’m saying is… your business plan is vital to your business! It’s something that you should think about (and live inside of) every day.

Challenge… are you living inside your business plan?

I want to know… do you look at your business plan everyday like I do?

Maybe you’ve got a business plan (and it’s not working for you), you're halfway through one. Maybe you've never started one or you're a bit sceptical and you don’t even know if you actually need one.

No matter where you’re at, I’d encourage you to think about what results you want in your business. What are your goals? What plans do you have in your head? Why haven’t you achieved them yet?

I want to challenge you to be your best in your business, and step out and start achieving your goals. A lot of the time, the first step is writing out your business plan. The next step is making sure you review it regularly.

Why put your business plan into writing instead of just keeping it in your head

Writing down your business plan will make it more powerful and real. But let’s get more specific. Here are 6 reasons why I always recommend you write your business plan down:

Keep it real. Once you see things in black and white in writing, they’re much more tangible. Your written business plan can work as a reality check where things aren’t going as well as you thought they were.
Spot gaps. When you write it down, you can see the gaps and holes that you hadn’t thought of.
Be accountable and collaborate. Having it written down allows you to show it to others and be accountable.
Create SMART goals. A written plan can be broken down into steps and scheduled into your calendar. This makes it far more likely that you’ll achieve it. (Like the classic S.M.A.R.T goals = Specific Measurable Achievable Relevant & Timely)
Measure your progress. When your plans are written down, you can review them and see your progress. This is especially useful if you’re a type-A personality like me. You tend to be hard on yourself, easily forget how far you’ve come or feel like you’ve been unproductive even when you haven’t.
Free up your brain-cells. Having your plan written down actually (and literally) frees up your headspace so you can use your mental energy for other more important things. (Like remembering what those other more important things were in the first place… um… what was that thing again? Lol.)
Preparing for the future. And let’s not forget the importance of preparing for the future. Keeping your business in your head is not good business practice for so many reasons.

Ask yourself these questions:

What if I got very sick and I couldn't run the business?
What if I died?
What if something happened where I couldn't run my business anymore?
What if someone else had to take over really quickly and run it?
Or what if I needed to wind it all down? Would anyone have an idea?

My business plan is my succession plan or exit plan, to be able to sell the business one day, it's all there in writing that I can hand it over to somebody else. It's hugely important. It’s almost as important as having a will.

So what's the next step? Would you love to free up your brain-cells, prepare for the future and spot gaps in your business? Join me online for my free Business Planning training.

Learn more about the savvy Bookkeeping Business Plan

Join me for the Business Planning Basics webinar. It's FREE!

During this 35 minute webinar presentation , you will learn;

why it’s important to have a written business plan
what’s involved in business planning
which is the best stage of business to start a business plan
why more people don’t have business plans
how to get started with your business plan
and earn a CPE point (happy dance!)

Find out if a business plan is right for you – book in for the webinar, or watch an instant replay now.

That's our take for when to do a business plan review. Now over to you…

If you take one thing away from this post, it’s that you need to take your business plan seriously. This isn’t a fad. And it’s not about getting a business plan done because it’s what someone told you to do. Or because it’s a “cool” thing to do (but seriously, people with business plans are known to be at least slightly cooler that those who don’t :-P).

Stop and think about it and realise the impact a written business plan could have on your business, especially when you review it every single day. Get that information out of your head and put it into a tangible plan. Figure out where you want to go, what you want to do, and actually make it happen!

I’d love to know your thoughts on this… do you have a written business plan? If so, how often do you look at it? Feel free to leave me a comment below!

Stay savvy,

PS: I can't wait to see you on the webinar >>

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How Often Should You Update Your Business Plan?

Southern California business attorneys can provide you with assistance in determining how frequently a business plan needs to be updated. Companies should have a comprehensive business plan both when they first start operating and once they are established. This business plan can be used to help set goals, resolve disputes, and ensure that the company is on track to remain successful.

Brown & Charbonneau, LLP can assist with the creation of your initial business plan so you are prepared and ready to start your company and build a successful business. We can also provide you with assistance making periodic updates to your business plan as needed. Not only can we guide you through the actual updating process, but we can also give you insight and advice as to how frequently you should update your plan.

Entrepreneur.com recommends that you do a thorough update to your business plan at least once annually. This big update to your plan should include a review of your value proposition; a look at new market segmentations; and a look at the larger potential market for whom your products or services could provide a solution.

You can also do a monthly update, which involves reviewing the difference between the actual results you achieved over the course of the month and the planned results you had hoped to achieve. This update of your plans does not need to be as comprehensive or as detailed as your annual update. The goal is simply to see how you are doing with achieving your objectives and to make any necessary adjustments going forward during the rest of the year.

When major changes occur at your company or in your industry, this is also a good time to update your business plan. Your plan needs to reflect the current situation and it needs to be relevant within the current business landscape that you are operating in. If something major has changed, it is essential that you make an update to your business plan to accommodate that shift.

Why is it Important to Keep Your Business Plan Updated?

Keeping your business plan updated is vital because no company can succeed unless it stays current with the times and unless it evolves. The goals that you have for your organization will be different when you first get started than the goals you have once your organization is already underway. You want your plan to reflect the latest goals that you hope your company will accomplish so you have clear and measurable objectives to work towards.

Updating your business plan regularly can help you to ensure that you and your partners or co-owners are on the same page if there are multiple owners of your company. Sitting down together to update your plans and make any necessary changes ensures that you still have a shared vision and are making company decisions with that vision in mind.

Keeping your plans updated also allows you to adjust to any changes in the law or market conditions that could affect profitability; helps you to identify new competitors and new potential sources of business; and allows you to see how your company is progressing with enhancing profitability over time.

These are just a few of the many reasons why updates to a business plan are so essential for any organization. It is up to you to keep your business plan current and comprehensive, but our legal team can help you with this process to make it easy.

Getting Help from Expert Business Law Attorneys

Working with California business attorneys to keep your plan updated is a smart choice. You want to ensure you update your plans periodically to address legal and regulatory changes, as well as to make certain your company is continuing to make the choices necessary for success.

Your attorney can advise you on when laws or regulations may affect your organization and can help you to ensure you always have a comprehensive business plan aimed at achieving your latest goals.

Brown & Charbonneau, LLP has extensive experience helping companies with the business planning process. Whether your company is just getting off the ground or you have an established business that you want to ensure keeps growing and thriving, our legal team can bring our expertise, business knowledge, and legal knowledge to the table to help you make the plans you need.

Give us a call at 866-237-8129 or contact us online today to find out more about the ways in which our legal team can help you.

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Time To Conduct A Strategy Review? Here's How To Get Started

Tricia Jessee

Tricia manages our implementation and onboarding team to ensure the success of ClearPoint customers.

4 steps to help identify and approach any strategic shifts in your organization.

Table of Contents

Has your organization undergone a strategic shift this year? This could be anything from a technology advancement in your market, to a new political regulation, new competition, or just a major change in revenue (either positive or negative).

The issue is that many organizations don’t consider how these types of changes affect their strategic plan—or if they do consider them, they simply don’t know how to make the appropriate strategic changes to accommodate this shift. Making sure your strategy stays evergreen is a critical (but often overlooked) component of the strategy implementation process. We’ve found that the best approach to evaluating your strategic plan—and ensuring the changes are reflected in your strategy for the upcoming year—is to conduct annual strategy reviews .

What Is a Strategy Review?

A strategy review is the process in which organizations discuss the progress of their goals and objectives and make the necessary adjustments for the upcoming year.

Even though, on the surface, there might not be an apparent need for a strategy review, you’ll experience a number of benefits from taking the time to evaluate performance and identify areas for improvement:

One of the most significant benefits is that employees have an opportunity to re-engage with the strategy. Depending on where they sit within the company, some people may not be regularly immersed in the strategic plan. Conducting a periodic review brings it back into focus for everyone, hopefully stimulating a renewed sense of purpose.
It reinforces organizational alignment. Bringing everyone together to clarify mutual goals promotes collaboration and teamwork. Employees are also reminded how their daily activities contribute to the bigger picture.
It also promotes camaraderie among team members, leading to a positive, high-performance culture. Strategy review sessions offer leaders the opportunity to shape culture by rewarding actions that align with organizational values, and fostering inclusion among team members.
Last but not least, it offers the chance to identify new growth opportunities that could benefit you financially. Assessing current market conditions and evaluating internal performance might lead you to make a major change in your strategy, such as creating a new objective or redirecting resources, that will help you be more successful.

When and How Often Should You Do a Strategy Review?

Most organizations do a strategy review once a year, typically at the end of their annual cycle. So if you are on the calendar year, then your review would take place in January or February; otherwise it would happen at the beginning of your fiscal year.

Conducting this review annually allows you to review the previous year’s results and home in on elements that might need to be changed for the new year. However, if your organization experiences a big change—like hiring a new CEO, for instance—it makes sense to conduct an ad hoc session at that time to realign your priorities.

How To Revise A Strategic Plan: 4 Steps

Below are four steps that will help you identify and approach strategic changes in a productive way, to ensure everyone in your organization is working toward the same goal.

Step 1: Review The “Big Picture”

The first thing you need to do during your strategy review process is step back and look at each element of your strategic plan. We always suggest asking the question, “Is our big-picture strategy still valid?” This is important—and frankly, it’s often overlooked. If where your organization stands has changed over the last year (or over the last several years), that will dramatically impact all of the elements that make up your strategic plan—from your mission, vision, and values, all the way down to your objectives, measures, and initiatives.

Therefore, we suggest you take the time to look at your strategic landscape to see if there has been a disruption (as it pertains to technology, politics, the environment, etc.). You could find, for example, that a new competitor has entered your industry and is changing the pricing model for the entire market.

Step 2: Review Details Of The Plan Itself

Strategic plan details include your objectives, measures, and initiatives. Here’s how to review each:

Objectives are your high-level organizational goals. During your strategy review process, you’ll need to ask, “Are our objectives still relevant? Do they relate back to our mission, vision, and values?” Your answer needs to be made with actual data , not your gut feelings.

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Measures are sometimes referred to as key performance indicators ( KPIs ) or metrics. Each of your objectives should have measures associated with it—and for each of these measures you need to set a realistic target. Any changes to your measures should come from your department heads or others in a leadership position—so we recommend holding a strategy retreat or half-day meeting to discuss any measures that need to be changed.

Initiatives aren’t one-off tasks; they’re big picture or long-term projects your organization is tracking for strategic success. You’re more likely to shift, remove, or add new initiatives during your strategy review process than you are to change your measures or initiatives. Therefore, be sure to discuss budget, start and end dates, and tie-ins to your measures and objectives before making these decisions.

Step 3: Improve Your Reports

Reports are imperative to communicating performance on your overall strategic plan. If you simply ignore your reports during your strategy review process, the strategy you’ve worked so hard to build may simply become ineffective. Therefore, you’ll want to ask the following:

Are we meeting at the right frequency? Quarterly and monthly meetings have different purposes, and you’ll want to be sure each meeting you hold is productive. ( This guide to meeting management can help! )
Are our reports formatted correctly? In other words, do your reports show the information everyone needs to see in order to understand your performance? Keep in mind that each report will highlight different information; a measure report might show the owner, the frequency at which it’s being tracked, and series status, while an initiative report might show the start date, end date, budget, and milestones.

Step 4: Communicate Changes To Your Organization

When you conduct a review of your strategy, it’s extremely important to consider how you’ll communicate updates to or changes within your plan throughout your organization. Otherwise, you won’t create organization-wide buy-in, which will make it far more difficult for you to attain strategic success.

One organization—the United Nations Federal Credit Union (UNFCU)—achieved buy-in by making their strategic plan as visible as possible internally. They used videos, progress reports, brochures, posters, and even a strategy map cake to keep the organization’s printed strategy in front of employees and consistently on their minds. You can read more about how they used this strategy to their advantage in this case study.

4 Tips For Conducting An Effective Strategic Review

To make sure your strategy review is as productive as possible, consider the following:

Include members from across the organization. By increasing inclusion and flattening hierarchies, you’ll foster the emergence of new ideas. Encourage management to participate rather than lead, and all levels of staff to engage on equal footing.
Make use of an outside facilitator. Both the management team and employees may have difficulty seeing “outside the box.” It often helps to invite an experienced outsider who can see things through an objective lens and guide conversations around tough subjects that need to be tackled.
Modify your strategy as needed; don’t overhaul it. Strategic decisions are long-term in nature and involve big commitments, so in most cases, the basic direction of your strategy shouldn’t change every year. A strategy review may prompt adaptations, but the bigger picture should stay relatively consistent.
Learn from your annual reviews. During each review, you will find that certain exercises worked or didn’t work with your organization. Continue to iterate on your review process so you can improve it over time.

Want to Ensure That Your Strategy Review Process Is Successful?

We have witnessed firsthand how many organizations (including many of our own clients!) had an incredibly difficult time conducting strategy reviews. And that is why we created our in-depth, step-by-step strategy review template.

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It goes into far more detail about each of the four steps above, provides additional details about how to manage your previous-year and future-year strategic plans, and gives information on what you should do if you’re abandoning your current strategic framework entirely. If you work through each step methodically and cross off each part of the checklists included, you will have a successful strategy review—period.

Simplify Your Strategy Reviews With ClearPoint Strategy Software

Following through on your strategy over the course of three to five years requires a great deal of work and focus. Strategy software like ClearPoint simplifies strategy-related tasks (like data-gathering and reporting) and helps to ensure that you continually focus your efforts on activities that will actually contribute to accomplishing your objectives.

As the central hub for your strategy information, ClearPoint is an invaluable tool for annual reviews. It supports your strategic discussions by serving as a quick reference for:

Your big-picture strategy map.
Organizational and departmental objectives, measures, and initiatives, and how they interconnect.
Performance data on KPIs that roll up into strategic objectives .

You can easily review these items and make changes on the fly, as one of our customers did during a recent strategic review. ClearPoint played an integral role in the day’s activities. As a local government, this customer had just created new city-wide objectives. During the meeting, its administrators broke into focus groups, with each group assigned to a specific objective.

The groups used ClearPoint to link existing departmental measures and initiatives to the new organizational objectives. When they came back together, they used ClearPoint to view and discuss the strategy, and noticed that some of the objectives were not currently supported. As a result, they discussed the need for additional measures and initiatives that would help them accomplish all their goals.

This was emblematic of what the software can do: You identify needs, evaluate your options, make decisions, and follow through—all with the help of ClearPoint. Interested in seeing it live? Pick a time for a DEMO and we’ll show you!

How do you review strategy?

To review strategy:

- Assess Objectives: Evaluate whether the strategic objectives are being met and if they remain relevant. - Analyze Performance Data: Review key performance indicators (KPIs) and other metrics to assess progress. - Gather Feedback: Collect feedback from stakeholders, including employees, customers, and partners. - Identify Gaps: Identify any gaps between expected and actual performance. - Review External Factors: Consider external factors such as market trends, competition, and economic conditions. - Adjust and Adapt: Make necessary adjustments to the strategy to address identified issues and capitalize on new opportunities.

What is a strategy review?

A strategy review is a formal process of evaluating and assessing an organization's strategic plan to ensure that it remains aligned with the organization’s goals and the external environment. It involves analyzing performance data, gathering feedback, and making adjustments to the strategy as needed to improve effectiveness and achieve desired outcomes.

What is strategy review evaluation and control?

Strategy review evaluation and control involves:

- Evaluation: Systematically assessing the effectiveness of the current strategy by reviewing performance metrics, KPIs, and other relevant data. - Control: Implementing corrective actions to address deviations from the strategic plan, ensuring that the organization remains on track to achieve its goals. This process includes setting performance standards, measuring actual performance, comparing it with standards, and taking necessary corrective actions.

What are the steps involved in the strategy review process?

The steps involved in the strategy review process are:

- Preparation: Define the scope, objectives, and timeline for the strategy review. - Data Collection: Gather data on performance metrics, KPIs, and feedback from stakeholders. - Analysis: Analyze the collected data to assess the effectiveness of the current strategy. - Gap Identification: Identify gaps between the strategic plan and actual performance. - Review External Environment: Assess external factors that may impact the strategy, such as market trends and competitive landscape. - Feedback Integration: Incorporate feedback from stakeholders into the review process. - Adjustments and Recommendations: Develop recommendations for adjustments to the strategy based on the analysis. - Implementation: Implement the recommended changes to the strategy. - Monitoring: Continuously monitor the updated strategy to ensure its effectiveness and make further adjustments as needed.

What are the different types of strategy reviews?

Different types of strategy reviews include:

- Periodic Reviews: Conducted at regular intervals (e.g., quarterly or annually) to assess overall strategic performance. - Milestone Reviews: Focus on evaluating progress at specific milestones or stages of a strategic plan. - Ad-hoc Reviews: Conducted in response to unexpected changes or challenges in the internal or external environment. - Comprehensive Reviews: In-depth evaluations of the entire strategic plan, often involving extensive data analysis and stakeholder engagement. - Performance Reviews: Focused on assessing specific performance metrics and KPIs to determine if strategic objectives are being met.

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Original text

In this post, you will learn what events trigger a need to update your business plan, how updating a business plan differs from creating the original, and who should be involved in the updating process.

Do i need to update my entire plan.

Rarely is a complete update required, but frequently the marketing section strategies and tactics need review and updating to meet constantly changing market realities.

For example, which of your actions/activities worked well and should be continued, and which should not? If everything is working, then you are not experimenting enough — not everything will work as planned and you can only grow from the lessons learned.

If updating your plan fills you with dread, don’t worry

Creating your first business plan may have been a chore, but updating a plan is easier and more fun. During your start-up, you likely had little direct experience and no track record or historical information, so many of the marketing and operational forecasts were educated guesses. Now you have some experience and a track record, and you have experimented and know what works and what doesn’t. Plus, you have already existing information to use as a foundation.

Situations That May Trigger a Plan Update

Business plans are living documents and need to be revisited every so often to ensure they are still relevant. In this way you can continue to use and benefit from the strategies and tactics.

Further, business plans are forward-looking, so they are based on estimates, which mean updates are often necessary. Following are some specific situations that may be cause for you to look at updating your plan.

1. Competitors have reacted to your market entry by reducing prices for similar products, extending business hours, liberalizing their return policy, providing free shipping, etc.

You must decide whether to match their tactics or stick to your plan. In either case, your revenues will be lower, so you will need to plan a course of action. These situations may affect your plan’s marketing, products & services and operations sections with a resultant impact on the financial section.

2. A competitor has copied your product or service.

Do you have intellectual property protection (patents, copyrights), and is it economically feasible to go after the perpetrators? If yes, there will be legal expenses, and revenues may decline with the increased competition.

3. The economy has changed (inflation, recession, unemployment rates), impacting potential customers’ ability to buy your product or service.

This will negatively impact your revenues, and depending on your staffing, adjustments may be needed there as well.

4. You land a major new customer, or an existing customer cancels a big contract.

The first is good news and might require more resources than originally planned, but the latter is not good at all and will require you to come up with a fresh approach.

5. A major vendor has cut you off or changed their terms and conditions.

For example, they previously allowed a 30-day grace period but now require cash in advance. If you are cut off, you must scramble to find a replacement. Maybe you stop buying from a vendor due to quality and dependability issues, or your business has outgrown a vendor’s limited services.

6. Regulatory changes impact your business.

One potential change in many states is the imposition of sales tax on all internet sales. A possible result is that online sellers and brick and mortar stores will have the same prices — and no competitive edge.

7. You lose a key staff member, which affects productivity.

Reduced resources mean either your business must reduce its size or you need to find alternatives.

8. You are ready to take your business to the next level.

Obtaining growth funds from a bank or angel investor requires a more sophisticated plan. Even if you do not need additional funding, a business plan based on an estimated $50,000 business might not be adequate to support a $300,000 one, which may need additional employees, for example.

Whether one of the previous reasons dictates an update or not, make it a practice to review your business plan at least once a year and plot your activities for the coming year. Do this as part of your annual planning and budgeting process at the end of your fiscal year. If you previously had your forecast in a full year increment, this time do it quarterly, and next year monthly.

Who Should Update Your Company’s Business Plan?

You probably prepared the original business plan yourself, since you were likely the only employee. If you have now grown and added staff, try to involve them so there is buy-in. That way, when it is time to implement the plan, your staff will be on-board and the activities will go smoother.

Don’t Have a Plan to Update?

It is never too late. Make an appointment with a SCORE business mentor—go to www.score.org to find a mentor near you. You may also want to visit www.secretsofbusinessplans.com for information about The Secrets to Writing a Successful Business Plan: A Pro Shares a Step-by-Step Guide to Creating a Plan That Gets Results.

Key Lessons

External and internal events can trigger the need to update your business plan.
Business plans should be reviewed and possibly updated at least once a year, especially for younger companies.
Updating your business plan is more focused and fun than the writing the original one.
Involve staff in the updating process.
It is never too late to create a business plan.
Determine if any of the triggering events have occurred in your business
Schedule an update of your plan by the end of your fiscal year.

Funded, in part, through a Cooperative Agreement with the U.S. Small Business Administration. All opinions, and/or recommendations expressed herein are those of the author(s) and do not necessarily reflect the views of the SBA.

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5 Reasons Why You Should Get a Business Plan Review

As an entrepreneur, you understand the value of a well-crafted business plan. It’s the essential roadmap for launching your business and something you’ll use to impress banks and investors. Writing your plan yourself is the perfect opportunity to think critically about every aspect of your business. But it’s easy to get caught up in the process. Here are five reasons you should get a business plan review from a professional.

1. Get Validation

A business plan review is the perfect opportunity to discuss your strategies, plans, and goals with an experienced professional. They’ll give you objective feedback on your idea, flag any potential challenges, ensure you include key information, and present ideas you may have yet to consider.

2. Test Your Pitch

The ability to pitch your business is a necessary skill for any aspiring entrepreneur. At its core, a business plan is essentially an in-depth pitch. Knowing your plan inside and out will foster confidence among all investors you meet. So, having it undergo a review is like a “stress test” for your business.

3. Know Your Business Model is Viable

No matter how fantastic your business is, you’ll need money to sustain it. Can you demonstrate how your business will generate cash over the next six to 12 months? A business plan reviewer will ensure this is covered. They’ll be able to identify gaps in your numbers, how to adjust, and any minor details you may have missed.

4. Discover What to Tackle First

Getting a second set of eyes on your document will help you identify issues you must tackle before sharing it with investors. An experienced reviewer can clearly identify what to fix first so you can make it presentable as quickly as possible.

5. Gain Clarity in Your Decisions

Entrepreneurship can feel like a lot of pressure. Reviewing your business plan lets you share and discuss your plans and options with an expert. They can help you weigh the pros and cons of your choices and evaluate your decisions objectively. Once you’ve considered their recommendations, you can make an informed decision.

Where to Get A Business Plan Review

There are many more benefits to conducting a business plan review, and Small Business BC’s consulting and review service can help at every step of the way. Work with our expert business plan advisors and get the professional advice you need to turn your business ideas into reality. Download SBBC’s Business Plan Template and Cash Flow Forecasting Tool to get started on your business plan.

Small Business BC is Here to Help

SBBC is a non-profit resource centre for BC-based small businesses. Whatever your idea of success is, we’re here to provide holistic support and resources at every step of the journey. Check out our range of business webinars , on-demand E-Learning Education , our Talk to an Expert Advisories , or browse our business articles .

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Metrics for Success: 5 Key Early-Stage Startup Metrics You Should Track

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Which KPIs and Metrics Should Early-Stage Startups Focus on in 2024?

Antonio Del Cueto, CPA

August 19, 2024

Have you ever wondered how some of the world's biggest companies started? Statista reports that giants like Apple, Tesla, and Facebook began as humble startups founded by visionaries like Steve Jobs, Elon Musk, and Mark Zuckerberg.

Tracking the right metrics was integral to their success. But, which metrics should you focus on? This article is for startup founders eager to optimize growth. Read on to discover the five key early-stage startup metrics you should track for your business .

What Are the Essential Early-Stage Startup Metrics to Track?

Tracking the right metrics is integral for the success of your startup. Here are the top five early-stage startup metrics to track in 2024:

Customer Acquisition Cost (CAC)
Customer Lifetime Value (CLV)
Monthly Recurring Revenue (MRR)

Why is Customer Acquisition Cost (CAC) a Key Metric for Startups?

Customer Acquisition Cost (CAC) represents the total cost of acquiring a new customer, which includes marketing and sales expenses. Understanding CAC is essential for managing budgets and forecasting growth. By tracking and analyzing CAC, startups can assess the effectiveness of their marketing strategies and identify areas for improvement.

High CAC can signal the need to optimize marketing channels or improve conversion rates. Monitoring this key metric helps startups ensure they are not overspending to gain new customers.

How Does Customer Lifetime Value (CLV) Influence Business Decisions?

Customer Lifetime Value (CLV) represents the total revenue a customer is expected to generate over the lifetime of their relationship with your startup. CLV helps you understand the long-term value a customer brings to your business.

Comparing CLV with CAC can reveal if you're spending too much on customer acquisition without receiving sufficient return. A higher CLV than CAC indicates effective customer acquisition strategies and sustainable growth. Tracking CLV is essential for making informed decisions about marketing, product development, and customer support.

What Does the Churn Rate Indicate About an Early-Stage Startup?

Churn rate measures the percentage of customers who stop using your product or service over a given period. This critical metric provides insights into customer satisfaction and product-market fit. A high churn rate can indicate issues with your product, customer engagement, or support, necessitating immediate attention.

Lowering the churn rate boosts customer loyalty and enhances long-term profitability. Monitoring churn rate helps you assess the effectiveness of your retention strategies and identify opportunities for growth.

How Can Monitoring Monthly Recurring Revenue (MRR) Boost Your Business Growth?

Monthly Recurring Revenue (MRR) is a critical metric for subscription-based businesses. It provides a clear picture of the revenue a customer is expected to generate every month, helping startups forecast future earnings and make informed decisions.

Tracking MRR offers insights into your startup’s growth rate, customer engagement metrics, and the effectiveness of your sales strategies. Steady growth in MRR indicates healthy customer acquisition and retention rates, while fluctuations can highlight areas needing attention.

Why is Burn Rate Vital for Early-Stage Startups?

Burn rate indicates how quickly your startup spends its capital. This key financial metric is essential for maintaining financial stability and extending your runway until the next funding round or profitability. By closely monitoring burn rate, startups can ensure they don't run out of funds prematurely.

This metric helps you make data-driven decisions about spending and investment, allowing you to focus on strategies that drive growth. Keeping burn rate in check is vital for the long-term success of your business.

What Role Do Bookkeeping, Accounting, and Taxes Play in Tracking Startup Metrics?

Accurate bookkeeping and accounting are integral for tracking and analyzing key metrics . They ensure financial data is reliable and up-to-date, which is essential for calculating metrics like CAC and MRR.

Proper accounting practices help monitor the rate at which your startup spends capital and track metrics like burn rate and revenue. Understanding tax implications aids in strategic financial planning and avoiding unexpected expenses, ensuring the future of your startup remains financially stable.

What Are the Best Tools for Tracking Startup Metrics?

Popular tools for tracking startup metrics include:

Mixpanel : Offers in-depth analytics on user behavior and product usage, essential for performance metrics.
Google Analytics : Provides comprehensive data on website traffic and user interactions, helping track key performance indicators.
Baremetrics : Focuses on subscription-based growth metrics like MRR and churn rate, providing a clear view of your startup’s financial health.

These tools help track and analyze key metrics, offering insights into your startup’s performance and aiding in making informed decisions.

How Often Should Startups Review Their Key Metrics?

Every startup should review their key metrics at least monthly. Regular monitoring of performance indicators ensures that startups stay on top of changes, assess the effectiveness of their strategies, and make timely adjustments.

More frequent reviews, such as weekly, can be beneficial during critical growth stages or when implementing new strategies to quickly gauge their impact on the startup landscape.

Can Outsourcing Accounting Help with Metric Tracking?

Yes, outsourcing accounting can ensure accurate and efficient tracking of financial metrics. Professional accountants maintain up-to-date records, handle complex calculations, and provide financial insights, allowing founders to focus on strategies for growth. This ability to track and analyze key metrics accurately supports better decision-making and enhances the overall performance of the startup.

What Are Some Common Mistakes Startups Make in Tracking Metrics?

Common mistakes include:

Inconsistent Tracking : Failing to monitor metrics regularly, leading to data gaps.
Ignoring Data Quality : Using inaccurate or incomplete data, which skews results.
Not Acting on Insights : Collecting data without leveraging it for decision-making nullifies the benefits.

Avoiding these mistakes ensures that metrics provide valuable insights, helping to drive the growth of your startup.

How Can Startups Use Metrics to Attract Investors?

Metrics help you understand and demonstrate growth potential and financial health to investors. Positive trends in metrics like CAC, CLV, MRR, and a controlled burn rate showcase effective management and scalability.

Providing clear, data-driven evidence of performance metrics makes the startup more attractive to potential investors, increasing the likelihood of securing funding and ensuring the future of your startup.

Key Takeaways

Customer Acquisition Cost (CAC) : A critical metric for startups, it measures the time it takes to acquire a new customer.
Customer Lifetime Value (CLV) : This metric measures the percentage of revenue expected from a customer over their lifetime.
Burn Rate : A critical KPI, it tracks how quickly your startup is spending funds during the early stages.
Monthly Recurring Revenue (MRR) : This metric is essential, as it measures the percentage of revenue that remains consistent each month.
Churn Rate : A critical metric, it measures the percentage of customers who stop using your service.
CAC vs. CLV Ratio : Tracking and analyzing these metrics allows you to ensure the cost to acquire customers is lower than their lifetime value.
Runway : This metric serves to determine how long your startup can operate before needing more funding.
Active Users : Growth measures the percentage of revenue that remains from the beginning of the period and the number of new users engaging with your product regularly.

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Disaster recovery planning and management

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How often should you review a business continuity plan?

Business continuity plans are not a one-and-done deal. Before a disaster strikes, ensure your organization's BC plan is up to date with regular reviews.

Paul Kirvan

To ensure a business continuity plan runs smoothly, it must be up to date. If an organization moves to multi-cloud storage, a BC plan built with the previous legacy storage in mind won't be any good. There is no room for downtime, so regular reviews will help prevent hitting avoidable snags during a recovery.

Traditional business continuity practice suggests that the organization must review completed business continuity plans on at least two occasions. The first is an annual review, and the second is after the business goes through a material change. This might be an IT or hardware change, or it can be when the company goes through a merger or acquisition.

In practice, the person responsible for the BC plan and its associated program will determine how often the company reviews the plan. Since it is often up to that individual's discretion, based on their view of the company's readiness, review schedules vary greatly among different organizations.

Available guidance for BC plan reviews

Businesses that believe BC plans should be reviewed regularly are in good company.

The following standards and guidelines cover the importance of conducting business continuity plan reviews:

ISO 22301:2019, the global standard on business continuity .
NFPA 1600:2019, the American standard for emergency response and business continuity.
The Federal Financial Institutions Examination Council's Business Continuity Management handbook .

The Business Continuity Institute and Disaster Recovery Institute International also advocate for regular plan reviews.

Aside from various standards and practices advocating plan reviews, it is simply good business to ensure BC plans are accurate, appropriate for the organization and easy to understand, and that they initiate and address the issues essential for keeping the business operational.

How to perform a review

Think of a plan review as a gap analysis. Using one or more standards and good practices documents as guides, begin by comparing the plan's sections with the frameworks presented in the various standards and guidance.

Where something appears to be missing, make a note to add the missing section and relevant data after the initial run-through. It might be useful to change the sequence of sections in the plan, again based on the guidance. It might help to convert a standard or other guidance document into a checklist. This way, as each element is reviewed, enter a check in the appropriate box.

Business continuity plan examples and templates from other organizations can also help, as the way someone else structures a plan might make more sense than the way the plan is currently structured.

When digging deeper into the plan's details, it might be necessary for BC managers to speak with others in the organization, such as business unit leaders and IT department staff. These individuals can help identify potential changes and clarify existing procedures.

Many different BC plan development software tools are available, and it might be useful to acquire one of these to assist with the review. Retain a BC consultant to complete a plan review, based on the expectation that the consultant has expertise in plan development, review and testing.

Participation in professional BC organizations, such as the national Association of Continuity Professionals, provides opportunities to discuss BC plans and related activities with other professionals. Their insights are based on real-world experience, might save the organization a lot of time and often won't cost more than a phone call or two.

The good news is that plenty of source materials and expert professionals are available to support a BC plan review.

Using the review results to update the plan

Once the review is complete and the organization has identified necessary revisions, it is time to update the plan document with the changes. Be sure that all contact data is current; this is often an overlooked activity. It should address not only employees, but also every external vendor that is needed to support business operations. The plan might also include information about the organization's supply chains, such as the primary suppliers and alternates.

When performing a plan review, ask the question, "Will this plan be sufficient to recover the business to its pre-incident status?" Another way of asking that question is, "Will this plan work when a disaster strikes?" A regularly updated and exercised BC plan, regardless of the many types of disasters possible, is far better than not having any plan at all.

Circulate the updated plan to people previously interviewed, as well as other knowledgeable employees and third parties, for their comments.

Don't forget plan testing and exercising

Often used interchangeably, testing and exercising -- no matter which term is used -- verify that the BC plan will perform as designed to facilitate business recovery and resumption. In a live event, it might be difficult to use the plan, depending on how the event is occurring. This is where prior plan testing can also identify alternate procedures, such as backdoors. Businesses can launch these in lieu of or to supplement the original plan procedures.

Finally, once plan testing has been completed, identify changes to the plan from the exercise and complete an additional update. It is a good idea to circulate the test-updated plan as the final step in the review process.

Consider setting up an annual schedule of BC-related activities such as plan reviews, exercises and business impact analysis updates. This will ensure BC plan reviews are part of an organization's regular roster of activities.

Dig Deeper on Disaster recovery planning and management

The 4 phases of emergency management

How to conduct incident response tabletop exercises

Cybersecurity vs. cyber resilience: What's the difference?

Business continuity maturity model: An at-a-glance guide

Part of: Tips for maintaining business continuity over time

Business continuity maturity models are effective tools to improve disaster recovery processes and define an organization's desired level of BC preparedness.

Business continuity failures are costly and can significantly harm a company's reputation. These four high-profile examples demonstrate what can go wrong when a plan fails.

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Business continuity plan maintenance: How to review, test and update your BCP

A professional updating their business continuity plan on a tablet.

We've written before about how all organizations need to have a robust business continuity plan . A comprehensive BCP gives your business assurance that it can continue operations, even in the event of an unexpected incident or full-blown crisis.

Putting in place a plan is the first stage in this process, but far from the only on Business continuity plan review checklist. Business continuity plan maintenance, review and testing form equally vital steps in your business continuity strategy.

Is Business Continuity Plan Maintenance Important?

Those who were best-prepared have shown themselves to be most resilient when it comes to facing the challenges of Covid-19 . The pandemic has provided an all-too-live example of the need for a plan B. If ever there was a time to be confident in your business continuity strategy, it's now. However, it's a mistake to think that creating a BCP is a one-time exercise; that once you've put your plan in place, you can sit back and breathe a sigh of relief. There's no room for complacency in business continuity ' the threats you face are ever-changing, and the potential remedial actions need to evolve in tandem. Your business continuity plan might follow best practice guidelines. You might be certified to ISO23301 standards and have put in place the ideal team to manage your disaster planning and BCP strategy. But none of this compensates for a BCP that has grown stale, failing to move with the times when it comes to identifying the latest threats and using the newest approaches to tackle them. That's why reviewing, testing and updating your BCP is as vital as the process of creating a plan in the first place.

Questions You Should Ask When Scheduling BCP Reviews and Drills

Your BCP plan needs to be a living document . Creating a BCP isn't a one-off; once you have put your plan in place, you should ask yourself the following questions:

How often should a business continuity plan be reviewed?
How often should a business continuity plan be tested?
How often should a business continuity plan be updated?

Here we look at each of these questions and identify the best strategies for testing, updating and reviewing your plan.

The Importance of the Business Continuity Plan Review

Why is it important for the business continuity plan reports to be submitted and reviewed regularly? There are several reasons:

The nature and severity of the threats you face may change
Your business operations may have evolved, leading to, for instance, a larger number of entities or subsidiaries to consider in your planning or new operating geographies . You may have taken your company public , which brings with it a range of new regulatory obligations
Your personnel may have changed, so the people responsible for continuity planning may re no longer be current

Your business continuity plan should be reviewed when any of these situations apply. How often you should review your plan is another question organizations often ask; cio.com recommends that you '''Bring key personnel together at least annually to review the plan and discuss any areas that must be modified.''' Feedback from employees is essential in the review. Intentionally seek input from those involved in creating the plan and those involved in its execution. What can they tell you about changes to staff, operations or other factors that impact the plan? This is particularly important if you have numerous locations or remote operations where changes might not be immediately apparent to people sitting in a headquarters building. Ensuring your plan is based on comprehensive, accurate information about all your entities and subsidiaries ' a '''single source of truth' for your entire organization ' is vital. Putting in place a checklist is often a good strategy for any business review, and your BCP is no exception. Consider creating a business continuity plan review checklist to ensure you capture all the elements you need to consider. And of course, if you've been unfortunate enough to face a business continuity issue that forced the enactment of your plan, you can use the real-life experience you gained to finesse it. What worked well; what should be changed?

Business Continuity Plan Testing Considerations and Best Practices

Testing is an equally essential stage in ongoing BCP management. What should testing your business continuity plan look like? And during what stage of the business continuity lifecycle do we need to test the business continuity plan? Of course, the real test is an incident itself. But doing business continuity drills will give you the reassurance that your plan is robust enough to face a real incident ' and enables you to determine this in a less pressured way than waiting for a real crisis.

Business Continuity Plan Testing Types

When it comes to types of business continuity plan testing, there are three main routes: a table-top exercise, a structured walk-through or full disaster simulation testing.

First: Table-top or role-playing exercises allow everyone involved in the plan to go through it and identify any missing steps, inconsistencies or errors. Second: A walk-through is a more in-depth test of your approach, with everyone involved examining their own responsibilities to spot any weak points. Third: A full simulation of a possible disaster goes a step further, creating a scenario that mirrors an actual disaster to determine whether your plan enables you to maintain operations. It should include your internal team, alongside any vendors or relevant external partners like security or maintenance companies. However you test your plan, it should be rigorous - CIO suggests that '''you try to break it' to ensure that it's fit for purpose. And whatever route ' or combination of approaches ' you choose, you should carry out business continuity plan testing at least once a year.

How To Keep Your Business Continuity Plan Current

Of course, however comprehensive your reviews and testing, they're of no benefit if you don't act on the findings. Updating your BCP is the final stage in the business continuity plan maintenance lifecycle, taking on board the results of your walk-through or simulation and finessing your plan to adopt any improvements noted during your reviews and tests. How often should a business continuity plan be updated? Every time you identify any shortcomings ' whether this is due to your testing/reviewing regime or whenever any errors or omissions come to light. What elements should you consider in an update? While all aspects of your plan are worth checking to ensure they remain current, some areas deserve singling out for special attention:

Your contact list: To ensure you have up-to-date details of everyone you need to contact in the event of an incident.
Your business entities and subsidiaries data : This forms the basis for your plan. Do you have an up-to-date picture of your organizational structure? Do you have accurate information on all your legal entities and critical functions?
Challenge assumptions: Play devil's advocate to challenge your beliefs about incidents that could occur.
Your technologies and systems: Including entity data management software , CRM systems and other IT systems central to supporting your operations.

Maintain Confidence in Your BCP

It's clear, then, that putting in place a BCP is only the first step. Reviewing, testing and updating your plan are all equally important stages. In other words, business continuity plan maintenance is crucial. Underpinning all of this is the need for reliable data on your organizational structure, people, systems and dependencies. Diligent's software suite can help you create the single source of truth you need to manage all your business entities effectively. Find out more by getting in touch with us for a no-obligation demo.

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How To Create A Successful Marketing Plan

Published: Aug 13, 2024, 7:15am

How To Create A Successful Marketing Plan

What is a marketing plan, marketing plan vs. marketing strategy, why businesses need a marketing plan, essential marketing channels, how to create a marketing plan, bottom line, frequently asked questions (faqs).

The difference between a flourishing business and a floundering business often comes down to an effective marketing campaign. This is especially true for small businesses. Every successful marketing campaign starts with a well-thought-out marketing plan. In this article, we will guide you through the steps on how to create a top-notch marketing plan to help put your business on the road to success.

A marketing plan is essentially a roadmap that guides businesses through the complex terrain of promoting their products or services. Think of it as a blueprint that details specific marketing campaigns, timelines, target audiences and channels such as social media , email or traditional media. Your plan should also establish clear metrics for success, the methodology used to evaluate performance and allocated budgets.

It is important to note that a marketing plan is not a static document. It is supposed to be an ever-evolving plan that adapts to market trends, customer feedback and the successful or unsuccessful marketing efforts. If done properly, a marketing plan will help you synchronize your marketing objectives with your overall business goals and ensure every marketing activity aligns with your broader vision of growth.

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Some assume that “marketing plan” and “marketing strategy” are the same thing, but be aware they hold distinct meanings and serve different purposes. A marketing strategy is more big-picture thinking. It identifies your target market, your value proposition, how you position yourself against competitors and how you will sustain your value over time. It involves deep insights into your customers’ needs, market trends and competitive analysis. It is essentially the “why” behind all your marketing actions.

The marketing plan, on the other hand, details the “what” and the “when” of those efforts. Once you have your marketing strategy outlined, you can begin to create a marketing plan. The plan should outline the specific campaigns, activities and tactics you’ll use to carry out the strategy. This includes details on the marketing channels you’ll use, the timeline for implementation, the budget and the key performance indicators you’ll track to measure success. It’s a blueprint that translates the strategy into actionable tasks and schedules.

A carefully crafted marketing plan can be a game-changer for small businesses dreaming of steady growth and a competitive edge over larger companies. Marketing plans with smart strategies and targeted campaigns can level the playing field by helping small businesses carve out their niche. It provides a clear roadmap that aligns marketing efforts with business objectives to ensure every marketing action contributes to the broader company goals.

This focused approach saves small businesses money by efficiently focusing resources instead of using a scattergun approach that can drain limited budgets. By identifying and understanding target markets, businesses can tailor their messaging to meet specific needs, which increases the likelihood of conversion. A solid marketing plan offers a framework for measuring success by setting benchmarks. With careful tracking, small businesses can quickly see what’s not working and adjust strategies in real time for better outcomes.

Today’s businesses have a wide array of marketing channels available to them. From highly analytical PPC advertising to engaging in-person event marketing, there’s no shortage of methods to promote your company.

Social Media

During the past two decades, social media has proved to be a highly effective way for small businesses to market themselves at little to no costs. Platforms including TikTok, Facebook, Instagram, X and LinkedIn offer businesses a dynamic platform to engage directly with their audience. They allow for the sharing of content, running targeted ads and fostering community through comments and shares. Effective social media marketing can enhance brand awareness, drive traffic and strengthen customer loyalty.

Email Marketing

Email marketing is another highly effective way to reach an audience directly. Newsletters, promotional offers and personalized content can nurture leads, promote loyalty and drive conversions. Email marketing offers measurable results and high ROI, making it a staple in a digital marketing strategy toolbox.

Content Marketing

Content marketing involves creating hyper-relevant and compelling content that will act as a magnet to attract a laser-focused group of people. You can create blogs, videos, infographics and podcasts to cultivate an engaged community of followers with whom your brand’s message genuinely resonates.

Search Engine Optimization (SEO)

SEO is the practice of optimizing website content to rank higher in search engine results pages. Effective SEO strategies including on-page optimization, quality link building and keyword research help drive traffic to your website.

Pay-Per-Click (PPC) Advertising

PPC advertising is a method of online marketing where you pay a fee each time someone clicks on your ad. Popular platforms such as Google Ads and Bing Ads guarantee your ads show up first in search engine results for specific keywords, allowing you to bypass the “organic” results. While the pay-per-click fees can add up, this form of advertising provides immediate traffic and measurable results.

Influencer Marketing

Influencer marketing leverages the reach of influencers in specific niches to help you promote your business to a larger audience. When you partner with a credible influencer, you can tap into their loyal followings, gain trust quickly and drive engagement that will hopefully lead to greater sales. Affiliate marketing can complement influencer marketing by allowing influencers to earn commissions on the sales they drive. This performance-based option is cost effective, as you will only pay for actual results.

Event Marketing

Event marketing involves marketing your brand, company or service through in-person or virtual events. It can be anything from interactive webinars and educational workshops to large-scale conferences and industry trade shows. Event marketing gives you the opportunity to directly engage with your audience and hopefully provide a memorable experience for your customers.

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Creating a marketing plan is a step-by-step process. Make sure you take your time with each step before moving on to the next one.

1. Create an Executive Summary

An executive summary is a snapshot of your simplified marketing goals, significant milestones and an outline of future plans. It should encapsulate relevant facts about your brand, setting the stage for the detailed strategy that follows. This section provides stakeholders with a clear understanding of where the company stands and where it intends to go, concisely summarizing the essence of the marketing efforts.

2. Identify Your Target Market

Who are you trying to reach? By identifying your target market you can tailor your marketing strategies effectively to help them reach the people most likely to be interested in your products or services. Outline the characteristics of your ideal customer including age, location, goals, pains and trigger points.

3. Research Your Competitors

Competitor research is a critical step in forming a marketing plan. Analyze the strengths and weaknesses in other businesses in your industry. This insight can help you identify opportunities for differentiation and areas where you can fill in the opportunity your competitors may have overlooked.

4. Determine Your Marketing Goals

Without clear marketing goals, you are just shooting barrels in the dark. Are you trying to increase brand awareness, boast sales or grow your digital footprint? And if so, by how much and in what timeframe? Use the SMART criteria for goal setting, which advises that goals should be specific, measurable, achievable, relevant and time-bound.

5. Establish and Track Benchmarks

Once you determine what your marketing goals are, it is important to track their effectiveness.

To do this, set baseline measurements for key performance indicators related to your goals, such as website traffic, conversion rates or social media engagement. Monitor these benchmarks on a regular basis and adjust strategies as needed to enhance marketing performance.

6. Identify Your Marketing Channels

Are you going to throw all your eggs in the social media basket? Or are you going to diversify your marketing strategy with both digital and in-person events? This step requires a deep dive into the various channels available—be it social media, email marketing, SEO or traditional advertising. When choosing your marketing channels, be sure to ask yourself where your target audience is most engaged.

7. Create a Budget

Finally, create a budget that covers all aspects of your marketing efforts from paid advertising and content creation to software subscriptions and event sponsorships. This will help you stay financially responsible as more marketing opportunities arise.

One of the keys to a successful business is setting yourself apart from the competition. A strategic marketing plan that details your marketing efforts can not only help you stand out but also provide a step-by-step guide toward reaching your business objectives.

What are the main elements of a marketing plan?

The main elements of a marketing plan typically include an executive summary, marketing objectives, target audience definition, marketing strategies, budget and metrics for performance evaluation. It outlines the company’s strategy for attracting and retaining customers by detailing specific actions to achieve campaign goals, timeline with key milestones, channels to be used and team members responsibilities.

What is a realistic marketing budget?

A realistic marketing budget is typically determined as a percentage of a company’s revenue. It is recommended that B2B companies spend 2% to 5% of their revenue on marketing. Because B2C companies typically have a broader range of marketing channels, it is recommended they spend between 5% and 10% of their revenue on marketing.

What should every marketing plan start with?

Every marketing plan should start with a clear mission statement for the marketing department that aligns with the overall mission of the business. This statement should be specific enough to guide marketing efforts but also allow room to adjust the plan as needed. For example, if your company’s mission is “to revolutionize home cooking,” the marketing mission might be “to inspire home cooks and provide them with innovative cooking solutions.”

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Jennifer Simonson draws on two decades as a journalist covering everything from local economic developement to small business marketing. Beyond writing, she tested entrepreneurial waters by launching a mobile massage service, a content marketing firm and an e-commerce venture. These experiences enriched her understanding of small business management and marketing strategies. Today, she channels this first-hand knowledge into her articles for Forbes Advisor.

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Explore when you should and shouldn’t issue a PIP, what you should include and how to deliver a PIP in a positive way, with a performance improvement plan template for download.

A Performance Improvement Plan (PIP) has been seen as a last resort for handling the delicate situation of bringing an underperforming employee back from the brink of dismissal.

Rather than a document that signals an impending negative outcome, a PIP can be used to better monitor current progress and set out realistic goals for future performance.

Now more than ever, workplaces cultivate an atmosphere of improvement and not failure. PIPs can be an invaluable part of your process to empower employees to succeed and a better way for you to manage your team.

In this article, we look at when you should and shouldn’t issue a PIP, what you should include in a PIP, and how to deliver a PIP in a positive way.

You can also find a PIP template for you to download and use.

Here’s what we’ll cover

What is a performance improvement plan (pip), when should you issue a pip, appropriate circumstances for issuing a pip, inappropriate circumstances for issuing a pip, what is the best way to deliver a pip to an employee or direct report, what should a performance improvement plan include, what goals should you include in a performance improvement plan, how to complete a performance improvement plan, a performance improvement plan template.

When a performance improvement plan isn’t the right course of action

What is the timeframe for a performance improvement plan?

How often does a performance improvement plan work out well, what is the performance improvement plan success rate.

A Performance Improvement Plan is a structured plan that outlines specific employee performance characteristics and issues and provides a detailed roadmap for improvement over time. It includes goals, timelines, and criteria for measuring progress.

Until now, PIPs have been perceived as a precursor to termination rather than a genuine opportunity for improvement.

This is mostly down to it being a document that meets the requirements of 5 CFR Part 432 .

The PIP is offered as notification to an employee that their performance is not at the required standard and provides a formal period to improve before they can be demoted or dismissed.

Instead of being a useful intervention, PIPs have only been taken as a last resort to try to dramatically raise performance from an employee before commencing dismissal.

PIPs can be used far more constructively.

If implemented correctly, a PIP can help employees improve their performance to meet job expectations – or to motivate them to want to progress in the company.

It can also be used to constructively document deficiencies and provide a record of attempts to help the employee improve.

According to a McKinsey survey, 60% of respondents from companies with effective performance management systems reported that their companies outperformed peers over the past three years.

This highlights the positive impact of well-implemented PIPs on both employee performance and overall business outcomes.

If you’re considering implementing PIPs with your team, read on to find out when and how to issue.

Every employee should have their goals and expected performance outlined at their first appraisal (and after they have completed their probation period if applicable).

Alongside this, a plan of your employee’s journey with the company.

This helps your employee and their manager to have a measurable document to refer back to.

As soon as there is a decrease in performance, a manager should be offering feedback and having conversations with their direct report to understand why this is happening.

Extending help to the employee and offering any support or training where necessary.

If their performance is still not improving, this is the time for you to create a document that outlines what needs to improve and how to achieve that and to implement a PIP.

Introduce the PIP soon enough so that your employee has the best opportunity to succeed. Don’t leave it too late in the process where any chance for recovery is setting your employee up for failure.

Potential for improvement: A PIP should always be issued when you have the belief that the employee can improve with structured guidance and support.

Personal issues affecting performance: When personal issues are impacting performance, a PIP can be used to provide structured support.

Recent decline in performance: When your employee who has previously performed well starts showing a decline in performance due to temporary issues, this can be a pivotal point at which to implement a PIP. By doing this, you can monitor whether improvements are being made to reach previous performance levels over an agreed period of time.

Consistent poor performance: When your employee’s performance consistently falls below acceptable standards despite receiving previous informal feedback, a PIP can help to provide clear, more formal guidance on any further intervention needed.

Policy compliance: Last but not least, depending on the wider setup of the company, PIPs might be needed in order to comply with organizational policies or labor agreements that require the use of PIPs for handling performance issues, such as 5 CFR Part 432 .

The US Office of Personnel Management has more useful advice about performance management .

There are many circumstances where a PIP can be beneficial, but there are also a few instances to note where it would be inappropriate:

Low likelihood of improvement: If your employee has consistently been a mediocre/low performer despite detailed feedback or multiple efforts on both sides to correct performance. Or, when there is clear evidence that performance issues are unlikely to be corrected, such as long-term skill deficiencies or misalignment with job requirements, a PIP is unlikely to help.

Termination paper trail: When the primary intention is to create a documented path for eventual termination rather than genuine improvement—with no previous evidence of having an informal or formal PIP in place—serving a PIP may leave you open to potential legal action from your employee. Unless you can prove you have implemented it to make positive changes to the working relationship, your employee may use it to claim that the expectations laid out in the plan —e.g. deadlines or number/nature of tasks – are deliberately unrealistic. This could then be referenced as unfair or constructive dismissal.

Severe behavioral issues: In cases of severe behavioral problems, such as theft or violence that necessitate immediate termination, there is no need to issue a PIP.

As educator and author Stephen R. Covey once said, you should “treat your employees exactly as you want them to treat your best customers”.

Here are 5 steps for you to put a constructive PIP into place and keep your team motivated to perform:

1. The preparation stage

Have an initial conversation

Schedule a meeting to discuss the reasons for implementing the PIP, and any relevant performance issues, with your employee. Ensure this conversation is private and free from interruptions.

Remember, PIPs can be demoralizing and damaging if they are not approached in the right way and many employees see a PIP as one step from dismissal, especially if they have not been accustomed to using them from the start of their role.

So, it’s really important for managers to explain the reasons why the PIP is being put in place and reiterate the positive outcomes of following such a plan.

Given that the very nature of a successful PIP is collaborative, perhaps the most critical element in creating a PIP is to involve your employee in the decision-making process, and make sure they feed into, and agree upon, any steps to help them improve and/or stay on track.

Draft the PIP document

Include SMART goals in the PIP (read on for a full breakdown of these goals). Ensure they are realistic and attainable within the specified time frame.

A PIP can last for 30, 60, or 90 days, or as mutually agreed to allow your employee to improve sufficiently.

Once you’ve drafted the plan, it’s a good idea to run it past your HR team to ensure it’s free from any bias as an employer, i.e., that it cannot be construed as an excuse to constructively remove your employee as discussed above.

If the PIP involves any HR-specific provisions, such as onboarding or L&D training recorded in your HR management software, they can also help you kickstart the process for immediate benefit.

2. During the meeting

Build enthusiasm (not fear)

Again, frame the PIP as a positive tool designed to help your employee improve and succeed.

Emphasize that the goal is to support their professional development rather than penalize them.

Communicate clearly

Explain any specific performance issues, the expectations for improvement, and the timeline for achieving these improvements.

Use clear and direct language to avoid any misunderstandings.

Allow questions

Remember, your staff may be nervous, or may simply have reflected on what was agreed on in your initial conversation, so it’s important to give them the opportunity to ask new questions or for additional clarification on the plan.

This is your chance to show compassion and foster commitment when it comes to following the PIP.

3. After the meeting

Hold regular check-ins

Book in time to monitor progress, provide feedback, and make any necessary adjustments to the PIP.

These meetings should be documented to track your employee’s progress.

Provide support and resources

Ensure your employees have access to all the resources and support mentioned in the PIP.

This might include additional training sessions, mentorship, or other tools necessary for their success.

4. Documentation

Keep detailed records

As with any process within the organization, it’s important to keep a note of all meetings, progress reports, or any other communication related to the PIP.

This is especially important if the PIP does not result in the intended outcomes.

Consider using management software to help collate and store information in a central repository for future reference.

5. Close the plan

In most cases, your staff will start to improve during the course of their PIP.

However, if an employee’s performance does not improve by the end date agreed in the plan, you may need to consider closing the PIP and determining the next steps.

These could include reassigning or seconding them to another role or function within the organization, demotion, or ultimately, if there is no avenue left to pursue, termination.

In your PIP, you should include the following:

Clear identification of issues

Outline the specific performance opportunities you’d like to explore, challenges you’re looking to overcome, or where your employee is falling short.

These could include factors such as their attendance, ability to meet deadlines, or level of customer service.

To get the best out of the process, this is where you need to provide concrete examples, avoid ambiguity and ensure your employee understands the issues.

SMART goals

When setting goals for your PIP, it’s a good idea to follow the SMART framework (see below): Specific, Measurable, Achievable, Relevant, and Time-bound goals.

These goals should be clear and directly related to the performance issues identified.

Defined timeline including dates for check-ins

Establish a clear timeline for achieving the goals, including start and end dates, with intermediate milestones if necessary.

The timeframe should be reasonable and allow the employee adequate time to improve.

In addition, don’t leave it until after the PIP has been completed to add in dates as it will require more effort to find suitable times to meet.

Instead, add firm dates into plan at the start.

Resources and support

Specify the resources, training, and support that will be provided to help achieve the goals.

This could include additional training sessions, access to tools, or mentoring.

Consequences of outcomes

You should clearly state the consequences if the performance does not improve (e.g. reassignment, demotion, or potential dismissal).

Documentation

Keep detailed records of all aspects of the PIP process, including initial conversations with the employee and HR, the PIP document itself, progress check-ins, and any adjustments made to the plan.

This is crucial for transparency and accountability.

SMART was introduced in 1981 and has been an effective goal-setting method applied across all a range of fields including project management, personal development, and employee performance management.

SMART is a structure for creating goals that cover five key criteria – Specific, Measurable, Assignable, Realistic, and Time-related.

Let’s take a closer look:

Identify clear areas where performance can or must improve, such as meeting particular deadlines, improving accuracy, or achieving specific sales targets.

This ensures the employee knows exactly what needs to change.

Set goals that allow both your employee and their supervisor to track progress.

For instance, specify that the employee must achieve a 95% accuracy rate in reports or complete tasks within a certain time frame.

Outline who will do what and when. Goals should be directly related to the employee’s job responsibilities and areas of deficiency identified in their performance review.

This ensures the PIP is focused and fair.

Ensure the goals are realistic and attainable given the employee’s current capabilities and resources available.

This encourages improvement without setting them up for failure.

Time-related

Establish a clear timeline for achieving the goals, including start and end dates, with intermediate milestones.

This provides structure, and just enough sense of urgency to motivate your employee to carry out their goals on time.

Once the objectives of a PIP have been completed, it’s time for you to review the outcomes , close the plan, and consider whether a new plan needs to be put in place.

Step 1 – Review and document progress

As the PIP comes to an end, review your employee’s performance against the established goals.

Document the outcomes in detail, including all aspects of the areas of improvement and any goals that were met.

This ensures transparency and provides a clear record of the employee’s efforts and successes.

Again, don’t forget to highlight all positive progress made to motivate your employee.

Step 2 – Conduct a final meeting

Schedule a final meeting with your employee to discuss the PIP outcomes.

Ensure the meeting is private and free from interruptions, fostering a supportive environment.

Use this time to provide constructive feedback on their progress, celebrate successes, and discuss next steps.

Encourage them to share their perspective and reflect on their journey.

Step 3 – Address the results

If goals were met:

Acknowledge your employee’s efforts and improvements. Highlight the positive outcomes and how these will impact their role moving forward. Reinforce that meeting the goals is a significant achievement and integrate them into regular performance reviews with new development goals to continue their growth.

If goals were not fully met:

Focus on the progress made and discuss the areas that still need improvement. Clearly communicate the next steps, which may include extending the PIP, offering additional support, or adjusting the goals to better align with the employee’s strengths. Ensure all actions are documented and consistent with organizational policies.

Step 4 – Provide next steps and support

Regardless of the outcome, you’ll need to outline next steps for your employee.

If the PIP was successful, discuss future goals and ongoing support to maintain and build on the performance improvements.

If further actions are required, provide a clear plan and support to help the employee continue to improve.

This might include additional training, mentoring, or other resources to ensure they feel supported and valued.

Step 5 – Document everything

If there is one takeaway from this article— it’s to document everything that happens throughout the PIP process, including the final outcomes and any follow-up actions.

Not only does it protect your organization and provide a clear record of the support you’ve provided to the employee, but it can help you quickly and confidently address any concern they may have, as well as inform any future decisions related to their performance.

If you’re ready to draft your PIP, here is a useful template to get you started.

Performance Improvement Plan (PIP) template

When a performance improvement plan isn’t the right course of action

While it’s natural to try to fix all performance issues with a PIP, it’s not always the best approach.

As a reminder, here are six instances where a PIP would not be appropriate.

1. Cases of misconduct

PIPs are not suitable for addressing cases of misconduct, such as theft, harassment, or violence.

Misconduct requires immediate disciplinary action rather than any performance improvement process.

Why? Because misconduct involves behaviors that violate company policies and ethical standards, which cannot be corrected through performance coaching.

2. Lack of improvement potential

When there is clear evidence that the employee lacks the fundamental skills or ability to perform the job despite training and support, a PIP will not be effective.

Why? Because if the employee has consistently failed to meet performance standards even after receiving support and training, other actions such as reassignment or termination may be necessary.

3. Immediate threat to safety or operations

If your employee’s performance poses an immediate threat to their own safety, the safety of others, or critical operations, immediate action is required.

Why? Ensuring workplace safety and maintaining critical operations are top priorities that require swift and decisive action, which PIPs are not designed to provide.

4. During probationary periods

The very nature of a probation period means the company is trialing, or testing out the new employee’s fit, skill set and performance.

Therefore, those who are still within their probationary period are not likely to be suitable candidates for a PIP and you should wait until this period finishes before you consider starting the PIP process with them.

Why? Probationary periods are intended for evaluating whether an employee is suitable for a permanent role, and so performance issues during this time may indicate a poor fit.

5. Repeated failures to improve (following PIPs)

If your employee has previously undergone one or more PIPs without significant improvement, continuing with another PIP may not be productive.

Why? Persistent failure to meet performance standards despite multiple interventions indicates that alternative measures, such as reassignment or termination, may be more appropriate.

6. Role misalignment

When your employee’s skills and abilities do not match the job requirements—for example, if they have been placed in the wrong role—no amount of training or support can bridge this gap.

Why? A PIP is not effective if the root cause of performance issues is a fundamental misalignment between the employee’s capabilities and the job’s demands.

The timeframe for a PIP can vary from company to company, or even from team to team.

As a rough guide, a PIP should last anywhere between 30 and 90 days, with regular check-ins during that time to monitor progress and make any necessary adjustments to the plan, as well as intermittent check-ins in the months following a PIP.

Meanwhile, guidance from the University of Oregon HR department states that PIPs should…

“start on the day the PIP is delivered to the employee and end 60 days later (or longer depending on whether an extension is granted). The post-PIP period includes the 12 months after the completion of the evaluation period. During these 12 months, the employee and supervisor are expected to meet at the 6-month point and the 12-month point to review the PIP and ensure the employee is continuing to sustain satisfactory performance. If satisfactory performance has continued, the PIP is officially closed 12 months after the completion of the evaluation phase.”

The success of a PIPs can vary greatly depending on a variety of factors such as why and how the PIP was implemented by the employer, how well it is received by the employee, and fundamentally, how well the two parties work together to achieve the intended outcomes.

The more genuine the intention for improvement, the more successful the PIP will tend to be.

And of course, as we’ve discussed, regular check-ins and support from management are vital factors contributing to their success.

Although more research is needed to ascertain the specific success rate of performance improvement plans in the workplace, there is evidence to suggest positive adoption.

According to one study, currently almost three-quarters of respondents ( 74% ) report that performance management systems are successful when managers go out of their way to provide effective coaching and feedback, setting the scene for the successful implementation of PIPs.

In a bid to improve performance management in the workplace – and elevate employee perception of PIPs – managers need to show their teams they’re giving them the best chance to succeed.

Businesses can use a performance management software like Sage HR to develop workforce talent, streamline PIP process and build a robust performance management structure.

Ask the author a question or share your advice

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See advice specific to your business

Plan offerings and flexibility

Coverage area, service reliability and speeds, customer support.

Should you sign up?

Tello Mobile review: The low-cost carrier for those who don't use much data

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With unlimited data options, free hot spot tethering, and prices as low as $5 a month, Tello Mobile makes a strong case for those seeking a low-cost cell carrier. Like other mobile virtual network operators (or MVNOs) Mint Mobile and Google Fi Wireless , Tello operates using T-Mobile's nationwide network, but they offer a different set of plan offerings geared toward low-data users, students, or simply those looking to save a few extra dollars a month.

Tello's Build Your Own plan fills a niche that many big-budget carriers tend to avoid: an essentially pay-what-you-use system meant specifically for people who aren't on their phones much — think grandparents, kids, or anyone who is most often connected to WiFi and doesn't use a lot of data. For these users, Tello's customizable plan provides exactly the right amount of data at the lowest possible rate, making it one of the best cheap cell phone plans available.

Ultimately, though, you get what you pay for with Tello, as the budget plan comes with barebones benefits. There aren't discounts for multiple lines like you might see on a traditional family plan, for example, and you have to pay extra for features like international roaming.

I tested Tello's coverage, data reliability, and speeds to see how the service fared in a typical week in New York City, considering the pros and cons of Tello's various plans so you can judge whether Tello will work for you.

Tello's unique Build Your Own plan allows you to customize your data and minutes to your specific needs and offers a low base price of $5/month.

Check mark icon A check mark. It indicates a confirmation of your intended interaction. Data and minutes customization per line
Check mark icon A check mark. It indicates a confirmation of your intended interaction. Exceptional budget value
Check mark icon A check mark. It indicates a confirmation of your intended interaction. Free hotspot tethering
con icon Two crossed lines that form an 'X'. No discounts for multiple lines
con icon Two crossed lines that form an 'X'. Not ideal for high-data users

Tello Mobile's strength lies in its wide selection of plan options, including a range of pre-designed plans and the opportunity to create your own customized plan.

Each plan has a designated allotment of data each month before your data speeds are throttled to 2G from 4G LTE/5G, and any additional data you use that month will be free of charge. Even the "unlimited" data plan has this threshold, with data speeds slowing to 2G after you use 35GB of high-speed data.

All of Tello's plans include unlimited texts, and you can choose an unlimited minutes option for calls or add prepaid minutes or data to your account using Tello's Pay As You Go credit . The Pay As You Go minutes are the lone method for international roaming , and they're also a good option if you have a minutes-only plan and want the option of data usage if you need it. Your credits will last 90 days.

Here are the specifics of each Tello premade plan and its customizable option:


2GB	Unlimited	$10
5GB	Unlimited	$14
10GB	Unlimited	$19
Unlimited*	Unlimited	$25
No data*, 1GB, 2GB, 5GB, 10GB, 15GB, or Unlimited	Unlimited text, varied minutes options (no minutes or the choice of 100, 300, 500, or unlimited minutes)	Varied (ranging from $5 to $25)

*The "Unlimited" data allotment isn't truly unlimited — after you use 35GB of 4G LTE/5G high-speed data, your data speeds will slow to 2G.

**You can't combine the "No data" option with a "No minutes" option in a Build Your Own plan; you'll have to couple "No data" with at least 100 minutes.

All of Tello's plans have a data cap, which, when met, reduces users' data speeds to 2G rather than the faster 4G LTE or 5G, but any 2G data used after that cap is free so that you won't be left without means. You likely won't be able to stream video or perform even standard functions easily at that point. Still, if you regularly watch videos over data, Tello probably isn't meant for you, regardless.

There are also a few pre-made plans directed specifically at families looking to customize individual lines on their plans. While there are no discounts for adding multiple lines to an existing plan, each line can be given its own data and minutes allotment in line with the Build Your Own plan. It's also important to note that each line will have its own billing cycle, and each will be billed separately on the day the plan was activated rather than on a single billing date for the entire account.

The prices with Tello's plans are impressive — costing as low as $5 a month — but the accompanying data and minutes can be difficult to navigate for some users, even with unlimited texts. If you want the lowest possible price with the Build Your Own plan, you'll have to choose between minimum data (and zero minutes) and minimum minutes (with zero data).

If you're a frequent social media user, tend to browse off of WiFi, or use health apps that often require data to operate, you'll likely use the low data cap quickly and be stuck with 2G speeds for the rest of the month. However, you could save serious money if you don't use your phone much or are always connected to WiFi.

Since Tello operates on T-Mobile's network, you can expect the coverage area to be the same — if T-Mobile works well in your area, it's likely Tello will, too.

Some areas in the western United States have less consistent coverage, so if you live in a more rural area out west, you might have spottier coverage. My testing area in New York City had consistently good coverage through the service, and in general, major urban centers are well-covered by T-Mobile (and, by extension, its various MVNOs, Tello included).

You can check your coverage area by entering your address or viewing the coverage map on the coverage page of Tello's website .

The downside is that with more users comes more network traffic, and T-Mobile prioritizes their top-paying customers over the lower-budget carriers that use their network, like Tello and Mint Mobile . In those high-traffic instances, Tello users will experience slower data speeds until congestion decreases. Thus, they may be more likely to encounter a 2G connection rather than a faster 4G LTE or 5G one — even if their high-speed data allotment is not yet used up.

See our Mint Mobile vs. Tello Mobile guide for discrepancies between the two T-Mobile-backed MVNOs.

While Tello's access to T-Mobile's expansive network means that customers will likely be covered throughout much of the US, your data speeds may vary depending on your location.

In my own experience, I had no issues sending and receiving texts, making audio and video calls, and using social media apps while connected via 4G LTE or 5G through Tello, which is a good sign for an MVNO operating in a major metropolitan area like New York. I noted that the audio quality of phone and video calls wasn't the best and would cut out occasionally, both on standard phone calls and WiFi calls. However, I had no undelivered texts or dropped calls, even when I only had a few bars of service to work with.

During my week of testing, I used Tello's "Data" plan, which is their option for an unlimited data and minutes plan. I only used about 2GB of data throughout the week, which is far less than the plan's 35GB data cap (after which my data speeds would have slowed to 2G rather than 4G LTE or 5G). Even calculating a month's usage would put me under the data cap. Granted, I'm connected via WiFi the vast majority of the time (either in the office, my home, or a café, all places I'm likely to be found working most days). My usage would have skyrocketed if I'd relied solely on hot spot data.

With that in mind, Tello customers can use their mobile device as a hot spot with no additional charge, a perk many carriers will charge extra for. That said, your hot spot data will come from your monthly data pool or a separate 5GB limit if you use an "Unlimited" plan.

While connected to my Tello hot spot, I was able to browse online and watch YouTube videos with ease, but I found that it struggled to stream 4K video on Netflix, for instance. This issue wasn't necessarily surprising, as I used a hot spot rather than a stable WiFi connection. If you rely on hot spots in your preferred places of work outside the home and office or stream video frequently over data, your data allowance will be spent quickly. However, this perk is not to be overlooked if you only use a hot spot occasionally.

Tello also supports WiFi calling through the My Tello app, which you might skim over as a prospective user at first but can be a key feature for areas where T-Mobile's coverage is spotty or congested. If T-Mobile doesn't adequately cover the areas you frequent, you might consider another budget carrier like Visible Wireless , which uses Verizon's network and may provide more coverage where you need it, or US Mobile , which lets you periodically switch between T-Mobile's, Verizon's, and AT&T's networks.

With Tello , your initial setup will be minimal. You'll either order an eSIM online or receive a SIM card in the mail and use an accompanying QR code to set up your account in the My Tello app, which provides a little bit more setup information and a basic walkthrough of the app's functions. Then, you're set to begin your wireless service.

Since Tello is an online-only company, there are customer support channels available through the app and by phone only (with no option to visit a brick-and-mortar store for assistance), but the 24/7 chat feature is responsive and can answer most of the basic questions you might have on setup.

You can also use the app to make calls over a WiFi connection, connect with the shop to purchase a new phone, or manage your plan preferences. The shop notably only provides phones that are mostly older or refurbished, which reflects Tello's baseline principle of affordability and accessibility for its customer base.

If you have a newer phone, it will most likely be compatible with Tello, but you should double-check its compatibility on Tello's website using your phone's IMEI number.

Should you sign up for Tello Mobile?

Tello Mobile's low-cost, low-data plans aren't for everyone, but they could be a huge money saver for the right person. As a prospective buyer, you don't choose Tello for its benefits, data, or even coverage, as it's outperformed by other MVNOs like Mint Mobile and Visible Wireless on all those counts. Instead, you choose it to save money.

I was overall surprised by how well Tello served me during my testing, especially as someone who tends to use more data while out in New York. I expected to hit data deprioritization quickly by using video calls and social media, and I figured a service that costs as little as Tello's couldn't be all that effective.

In reality, I was able to survive perfectly well with Tello, though using the service gave me pause in moments when I might usually reach for my phone. Lower data limits can be cumbersome, but there's undoubtedly some benefit to being able to disconnect from your device and be more present in the moment — even if it's simply so that you don't meet your data cap. And texts and calls work perfectly well over T-Mobile's network, so the basics are covered in a pinch even if you do hit your data max.

The plans can be as cheap as $5 a month; even the highest-cost plan for "unlimited" data is just $25 a month. However, the latter isn't the best deal for an unlimited plan, as your high-speed allotment is capped at 35GB and subject to deprioritization. In contrast, the Visible Wireless base plan offers truly unlimited data (also subject to deprioritization) for $20 a month with a current discount, and the Unlimited Starter plan on US Mobile offers 35GB of prioritized data for $25 a month through its Verizon-backed network.

However, the cost and customization options make Tello's Build Your Own plan one of the best cell phone plans for its budget value — a potential steal for users who don't use a lot of data each month and don't want to pay for anything more than they use.

Tello's Economy and Value plans are both less than $15 a month, and while their data allowances are 2GB and 5GB, respectively, both include unlimited talk and text. For many users, that data will run out quickly — but if you're someone who's most often connected via WiFi, if you don't use your phone much at all, if you're traveling to the US and need a phone for the duration of your stay, or if you're a student who's paying for their own phone plan for the first time, these plans could be a perfect fit.

Ultimately, Tello is a carrier for limited-data users. Data hogs, video streamers, and those traveling internationally from the US need not apply.

Who owns Tello Mobile?

Tello Mobile is owned by the global telecommunications company KeepCalling.

Which network does Tello Mobile use?

Tello operates using T-Mobile's cellular network, meaning its coverage area is the same as that of T-Mobile, though T-Mobile users will be prioritized for data speed over Tello users.

Deprioritization will occur with any MVNO (unless it explicitly offers prioritized data for a higher price), as it's part of the deal with using a larger carrier's cell towers while keeping prices low for customers.

You can purchase logo and accolade licensing to this story here . Disclosure: Written and researched by the Insider Reviews team. We highlight products and services you might find interesting. If you buy them, we may get a small share of the revenue from the sale from our partners. We may receive products free of charge from manufacturers to test. This does not drive our decision as to whether or not a product is featured or recommended. We operate independently from our advertising team. We welcome your feedback. Email us at [email protected] .

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Where Data-Driven Decision-Making Can Go Wrong

Michael Luca
Amy C. Edmondson

When considering internal data or the results of a study, often business leaders either take the evidence presented as gospel or dismiss it altogether. Both approaches are misguided. What leaders need to do instead is conduct rigorous discussions that assess any findings and whether they apply to the situation in question.

Such conversations should explore the internal validity of any analysis (whether it accurately answers the question) as well as its external validity (the extent to which results can be generalized from one context to another). To avoid missteps, you need to separate causation from correlation and control for confounding factors. You should examine the sample size and setting of the research and the period over which it was conducted. You must ensure that you’re measuring an outcome that really matters instead of one that is simply easy to measure. And you need to look for—or undertake—other research that might confirm or contradict the evidence.

By employing a systematic approach to the collection and interpretation of information, you can more effectively reap the benefits of the ever-increasing mountain of external and internal data and make better decisions.

Five pitfalls to avoid

Idea in Brief

The problem.

When managers are presented with internal data or an external study, all too often they either automatically accept its accuracy and relevance to their business or dismiss it out of hand.

Why It Happens

Leaders mistakenly conflate causation with correlation, underestimate the importance of sample size, focus on the wrong outcomes, misjudge generalizability, or overweight a specific result.

The Right Approach

Leaders should ask probing questions about the evidence in a rigorous discussion about its usefulness. They should create a psychologically safe environment so that participants will feel comfortable offering diverse points of view.

Let’s say you’re leading a meeting about the hourly pay of your company’s warehouse employees. For several years it has automatically been increased by small amounts to keep up with inflation. Citing a study of a large company that found that higher pay improved productivity so much that it boosted profits, someone on your team advocates for a different approach: a substantial raise of $2 an hour for all workers in the warehouse. What would you do?

Michael Luca is a professor of business administration and the director of the Technology and Society Initiative at Johns Hopkins University, Carey Business School.
Amy C. Edmondson is the Novartis Professor of Leadership and Management at Harvard Business School. Her latest book is Right Kind of Wrong: The Science of Failing Well (Atria Books, 2023).

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Parking and Transportation

Aug. 16- 25 Service alert: CAMBUS routes 31 Red Route, 32 Blue Route, and 35 Interdorm will detour throughout Aug.16- 25 due to road closures. Riders should use the Transit app for real-time route information. See alert for details

Fleet Services Newsletter, August 2024

Do you want to end the lease on an assigned vehicle.

It may be possible to end the lease of your assigned vehicle before the end of its life if we can transfer that vehicle to another customer. To discuss this opportunity, we need to hear from you ASAP. We have begun planning new vehicles orders for this fiscal year so we need to make any lease changes now before vehicles are ordered. If you wish to discuss your vehicle lease, please call Mike at 384-0564.

Don’t Just Submit, Validate and Review!

When you have finished filling out a Fleet Service Requisition form for a daily rental vehicle there is a button you can click that reads “Validate and Review.” Clicking on the “Validate and “Review” button before you submit to workflow allows you to review dates and times for accuracy and most importantly see the current status’ of drivers listed on the request so you know whether or not they are already approved to drive. Take a look at a short excerpt from our Kiosk Tutorial video that demonstrates the function.

Get New Staff Certified to Drive and Trained

This is the time of year that many new staff members, both student and full-time, are hired. If your new staff members may possibly drive a University vehicle make sure you get these new drivers registered in the University’s Driver’s License Review System. This system is located on Employee Self-Service in the Parking and Travel section, under the Parking and Transportation heading. If you do not have access to this system, your departmental HR person will. This is also a good time to review all of your drivers and make sure they are entered into this system as well.

Our website has lots of good information to get new staff familiar with all things University Vehicles. The Safety and Training section includes information about required driver training courses, a link to FAQs that cover all aspects of University vehicles, and tutorial videos for topics like fueling and submitting rental requests.

Is there a Toll or is there Not a Toll, Therein Lies the Question?

The official Illinois Tollway App has recently been updated to include a new Tollway Trip Planner. The new mapping feature helps drivers traveling on the Tollway system and toll roads in other states by showing all toll plazas, toll rates and payment options on the way to their destinations. By using the trip planner, drivers can map out the best routes and plan for tolls before they leave home. This app can help you determine if you might want to add an I-PASS transponder to a Fleet vehicle rental. The App also allows you to pay unpaid tolls, manage your I-PASS account and use the pay-by-plate service directly from your phone. If you are travelling in a Fleet car with a Fleet I-PASS transponder, we’ll take care of all of that for you. Check out the Illinois Tollway website that includes links to download the app.

Inventory Time!!

For those customers who have vehicles that are permanently assigned, it is a good idea to occasionally check to see if everything that should be in the vehicle is there. Here is a list of things you should have in each of your assigned vehicles: ice scraper, yellow envelope with an information exchange form for accident reporting, the vehicle registration, a self-insurance letter from Risk Management (Iowa is a proof of insurance state), a roadside assistance card or letter, and a fuel credit card. If your vehicle is missing any of these items, please let us know and we can get you a replacement.

Honest Mike’s Used Cars

Next up for auction are two Dodge Grand Caravans: a 2018 with just over 67K miles and a 2019 with almost 80K miles. Also hitting GovDeals soon will be a red 2019 Grand Caravan with less that 70K miles. Check out the auction page on GovDeals .

Fleet Factoid

Every new car sold in the US is required display a window sticker that includes the listing of certain official information about the car like make, model, trim, VIN, mechanical specs, pricing, etc.. The official name for this a “Monroney sticker” named after Almer Stillwell "Mike" Monroney, a United States Senator from Oklahoma who championed the Automobile Information Disclosure Act of 1958. The Act mandated the disclosure of information about the car on the grounds of consumer protection.

Fleet Services info
CONTACT METHOD	DETAILS
Manager	Mike Wilson
Phone number	319-384-0564
Hours	7:00 a.m. - 6:00 p.m., Monday through Friday
Shop hours	8:00 a.m. - 4:30 p.m., Monday through Friday
Shop phone	319-335-5105
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IMAGES

Five Sequential Steps Of Business Plan Review
Weekly Business Plan Review To Evaluate Decisions
How Often Should You Review Your Start-up Plan?
Business Plan Review ~ How often should I review my business plan?
How Often Should You Review Your Marketing Plan?
Business Plan Review Process With SWOT Analysis

COMMENTS

8 Signs It's Time to Update Your Business Plan
It's been over a year since you updated it. Your business plan is never finished — you should constantly be reviewing and updating it. How often you update it is up to you, but it's a good idea to schedule regular periods to review and update your plan. For instance, you could do a minor review quarterly and then conduct a major review at ...
When is a Good Time to Review and Renew Your Business Plan?
Key Lessons. External and internal events can trigger the need to update your business plan. Business plans should be reviewed and possibly updated at least once a year, especially for younger companies. Updating your business plan is more focused and fun than the writing the original one.
When and Why should you Review Your Business Plan?
To recap on why you should review and update your business plan at least one time every year: External and events can trigger the need to update your business plan (consumer trends, competition, regulations, suppliers, market, etc.). Internal events have changed (employee growth, new products, systems/processes, etc.).
How to Review Your Business Plan?
2. Put yourself in the investors' shoes. As you review your plan, think from an investor's perspective. Evaluate if the plan has sufficient information about a business model and financial aspects to aid decision-making. If not, rework and focus on aspects that show the business's potential to make money. 3.
Why and When a Business Plan review should be conducted
Here are 6 reasons why you should write a business plan: Keep it real. Once you see things in black and white in writing, they're much more tangible. Your written business plan can work as a reality check where things aren't going as well as you thought they were. Spot gaps.
Updating Your Business Plan
The Annual Update. Update your plan thoroughly at least once a year. You can start with an old plan and revise, but make sure you're taking a fresh look--distance yourself from the trees and look ...
Review your business performance
A business review offers you the opportunity to stand back from the activity outlined in your plan and look again at factors such as: changes in your market. new and emerging services. changes in your customers' needs. external factors such as the economy, imports and new technology. changes in competitive activity.
Business Plan Review ~ How often should I review my business plan?
The short answer: you should refer to and look at your business plan every single day, and review and update the details in it at least quarterly. Yep, I look at my plan daily, and sometimes more often than that. I have my online business planning tool set so that when I open my browser in the morning, it's the first thing that pops up.
Revising and Refining Your Strategic Business Plan
For more than 200 years businesses have trusted The Hartford. We can help you get the right coverage with an online quote. Because your business plan is built on future assumptions, your business plan should be reviewed and updated annually. Revisions and refinements can help your business stay competitive in an continuously changing market and ...
How Often Should You Update Your Business Plan?
Entrepreneur.com recommends that you do a thorough update to your business plan at least once annually. This big update to your plan should include a review of your value proposition; a look at new market segmentations; and a look at the larger potential market for whom your products or services could provide a solution.
6 Ways To Reevaluate Your Business Plan This Month
Build a business plan that can evolve with the changing landscape. 6. Emphasize forward momentum: Seth Talbott, founder and CEO of Relief Factor. A business plan should keep the majority of your ...
Ten Things to Consider When Reviewing Your Business Plan
Therefore, you should review your plan carefully and ask others who you feel can provide sound advice to also critique your document. Your business plan should include: All key sections: Executive summary, business overview, sales and marketing, management team, competitive analysis, and financial plan. A table of contents.
How Often Should a Business Plan Be Updated?
Yes, you should update your business plan regularly. At a minimum, update it annually, but consider quarterly updates if your business is in a fast-changing industry.
How to Conduct a Strategy Review: Steps and Benefits
Step 1: Review The "Big Picture". The first thing you need to do during your strategy review process is step back and look at each element of your strategic plan. We always suggest asking the question, "Is our big-picture strategy still valid?". This is important—and frankly, it's often overlooked.
The Best time to Review and Update Your Business Plan
Key Lessons. External and internal events can trigger the need to update your business plan. Business plans should be reviewed and possibly updated at least once a year, especially for younger companies. Updating your business plan is more focused and fun than the writing the original one. Involve staff in the updating process.
Navigating Change: How Often Should You Have Strategic Reviews?
Monthly or Continuous Reviews: In sectors where innovation and change are the norms, such as technology, or during periods of significant organizational change, a more agile approach to strategy ...
5 Reasons Why You Should Get a Business Plan Review
Here are five reasons you should get a business plan review from a professional. 1. Get Validation. A business plan review is the perfect opportunity to discuss your strategies, plans, and goals with an experienced professional. They'll give you objective feedback on your idea, flag any potential challenges, ensure you include key information ...
Metrics for Success: 5 Key Early-Stage Startup Metrics You Should Track
How Often Should Startups Review Their Key Metrics? Every startup should review their key metrics at least monthly. Regular monitoring of performance indicators ensures that startups stay on top of changes, assess the effectiveness of their strategies, and make timely adjustments.
How often should you review a business continuity plan?
Traditional business continuity practice suggests that the organization must review completed business continuity plans on at least two occasions. The first is an annual review, and the second is after the business goes through a material change. This might be an IT or hardware change, or it can be when the company goes through a merger or ...
Business continuity plan maintenance: How to review, test and update
When it comes to types of business continuity plan testing, there are three main routes: a table-top exercise, a structured walk-through or full disaster simulation testing. First: Table-top or role-playing exercises allow everyone involved in the plan to go through it and identify any missing steps, inconsistencies or errors. Second: A walk ...
How Often Should You Review Your Budget?
4. Quarterly. Another great way to review your budget is quarterly. Many of us make financial goals at the beginning of the year. Revisiting those goals, and your budget, every three months can ...
How To Create A Successful Marketing Plan
Once you have your marketing strategy outlined, you can begin to create a marketing plan. The plan should outline the specific campaigns, activities and tactics you'll use to carry out the strategy.
How to deliver a Performance Improvement Plan (PIP) with template
As educator and author Stephen R. Covey once said, you should "treat your employees exactly as you want them to treat your best customers". Here are 5 steps for you to put a constructive PIP into place and keep your team motivated to perform: 1. The preparation stage. Have an initial conversation
Tello Mobile Review: the Low-Cost Carrier for Those ...
Plan offerings and flexibility. Tello Mobile's strength lies in its wide selection of plan options, including a range of pre-designed plans and the opportunity to create your own customized plan ...
Where Data-Driven Decision-Making Can Go Wrong
Let's say you're leading a meeting about the hourly pay of your company's warehouse employees. For several years it has automatically been increased by small amounts to keep up with ...
Fleet Services Newsletter, August 2024
Here is a list of things you should have in each of your assigned vehicles: ice scraper, yellow envelope with an information exchange form for accident reporting, the vehicle registration, a self-insurance letter from Risk Management (Iowa is a proof of insurance state), a roadside assistance card or letter, and a fuel credit card.

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How Should You Review Your Business Plan?

What is a business plan review?

Why should you regularly review your business plan?

How to review your business plan?

1. Read the business plan

2. Put yourself in the investors’ shoes

3. Assess your business strategy

4. Evaluate the management team

5. Reassess your financial projections

How often should a business plan be reviewed?

Things to consider when reviewing a business plan

Review your Business Plan with Upmetrics

Frequently Asked Questions

What should I do after a business plan review?

Reach Your Goals with Accurate Planning

Business Plan Review-When and Why Should I Review My Business Plan?

The high-level overview

The projects in progress

The financial forecast

The benchmarks

Your business plan is a living document

Challenge… are you living inside your business plan?

Why put your business plan into writing instead of just keeping it in your head

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How often should I look at or review my business plan?

Part 1: The high-level overview

Part 2: The projects in progress

Part 3: The financial forecast

Part 4: The benchmarks

Your business plan is a living document

Challenge… are you living inside your business plan?

Why put your business plan into writing instead of just keeping it in your head

Learn more about the savvy Bookkeeping Business Plan

That's our take for when to do a business plan review. Now over to you…

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