Creating a business plan is an essential milestone for any entrepreneur, providing a blueprint to launch and grow a business. However, many new business owners wonder: what comes next? In Canada, taking steps beyond the business plan is critical to turning a well-thought-out vision into reality. This guide outlines the next actions to take after creating your business plan, providing specific advice tailored to Canadian entrepreneurs.
Also read How Much Does It Cost for a Business Plan? A Comprehensive Guide for Canadian Business Owners
Step 1: Validate Your Business Idea with Market Research
While your business plan likely included preliminary market research, deepening this research will give you the confidence to proceed and may reveal insights that refine your approach.
- Engage with Potential Customers: Conduct surveys, focus groups, or product trials to gauge interest in your offerings.
- Research Industry Trends in Canada: Stay informed on national and local industry trends, using resources like Statistics Canada or the Business Development Bank of Canada (BDC) to gather data.
- Analyze Your Competition: Take a close look at both direct and indirect competitors, focusing on their strategies, strengths, and areas where your business can stand out.
Doing thorough market research ensures that you’re ready to enter the market with a product or service that resonates with Canadian consumers.
Step 2: Secure Funding
A business plan is often a tool to attract investors or secure loans, and the next step is to turn those plans into funding. This can involve various channels, each with specific advantages for Canadian businesses.
- Apply for Business Loans in Canada: Canadian banks, such as RBC and TD Bank, offer small business loans specifically designed for startups. You may also qualify for the Canada Small Business Financing Program, which supports new business owners.
- Seek Government Grants and Subsidies: Canada offers numerous grants and subsidies for businesses, especially in sectors like technology, clean energy, and manufacturing. Platforms like Innovation Canada and the National Research Council Canada (NRC) are good resources.
- Pitch to Investors: Present your business plan to angel investors or venture capitalists. Highlight how your business will address a market need in Canada and show your path to profitability.
Building a funding strategy from these sources will give you the financial backing needed to take the next steps in your business.
Read How to Get ChatGPT to Write a Business Plan: A Step-by-Step Guide
Step 3: Register Your Business and Handle Legal Requirements
In Canada, there are specific requirements for registering your business and ensuring legal compliance. After finalizing your business plan, start addressing these essential legal steps.
- Choose a Business Structure: Decide whether your business will be a sole proprietorship, partnership, or corporation, as each structure has its legal and tax implications.
- Register Your Business Name: You’ll need to register your business name provincially or federally, depending on the reach of your business.
- Obtain Necessary Licenses and Permits: Check with local and provincial authorities about permits specific to your industry. You can use the BizPal tool to find the permits you need based on your location and industry.
- Get a Business Number (BN): Register with the Canada Revenue Agency (CRA) for a Business Number. This is also the step where you set up your GST/HST accounts if you expect to generate over $30,000 in revenue annually.
Ensuring your business is legally established sets the foundation for a smooth operation in compliance with Canadian regulations.
Step 4: Develop a Strong Online Presence
Having an online presence is essential for any modern business. This involves creating a website and establishing a brand on relevant social media channels, especially if you’re targeting a Canadian audience.
- Create a Professional Website: Use a simple platform like Wix, Squarespace, or WordPress to set up your website. Include sections for your product or service offerings, contact information, and an “About” page to tell your story.
- Set Up Social Media Accounts: Identify the social media platforms where your target customers are active. For Canadian businesses, Facebook, Instagram, and LinkedIn are generally good choices, while younger audiences may engage more on TikTok.
- Invest in Local SEO: Optimize your website for local search terms, such as “best [your service] in Toronto” or “eco-friendly businesses in Vancouver.” This helps potential customers in Canada find you more easily.
Building a solid online presence makes your business more accessible and enhances your credibility in the eyes of customers and lenders alike.
Step 5: Hire the Right Team
Your business plan likely outlined an organizational structure, but now it’s time to start hiring to bring that structure to life. Finding the right talent in Canada can provide the support you need for growth.
- Post on Canadian Job Boards: Websites like Indeed.ca, Job Bank, and LinkedIn are effective for reaching Canadian talent pools.
- Create Detailed Job Descriptions: Define roles clearly and outline responsibilities. Include the skills, experience, and attributes needed to succeed in your company.
- Consider Internships and Part-time Positions: For smaller startups, hiring interns or part-time employees can be cost-effective and allow you to manage resources better while still filling important roles.
Building a capable and committed team will provide the necessary skills to launch and expand your operations.
Read What is a Business Plan? A Comprehensive Guide for Canadian Business Owners
Step 6: Establish Financial Management Systems
Good financial management is essential for tracking your business’s growth, managing expenses, and preparing for taxes. Set up reliable systems early on to maintain financial stability and accountability.
- Open a Business Bank Account: Most Canadian banks, such as Scotiabank or CIBC, offer business banking services. Having a separate business account makes managing expenses, tracking revenue, and preparing for tax season easier.
- Invest in Accounting Software: Platforms like QuickBooks or Wave Accounting can help you track income, expenses, and invoices. These tools also make tax reporting more straightforward.
- Prepare for Taxes: Familiarize yourself with Canadian tax obligations. Most Canadian businesses are required to file an annual tax return, and some may also need to collect and remit GST/HST. Hiring an accountant can be helpful to ensure compliance and maximize deductions.
A solid financial foundation is crucial for managing day-to-day expenses and meeting your long-term financial goals.
Step 7: Build Partnerships and Networks
Building professional relationships can support your business in various ways. Networking with other Canadian entrepreneurs, suppliers, and industry experts can provide valuable advice and open doors to opportunities.
- Join Canadian Business Associations: Organizations like the Canadian Federation of Independent Business (CFIB) and local chambers of commerce can provide networking opportunities and resources for entrepreneurs.
- Attend Trade Shows and Industry Events: Participating in trade shows, conferences, and expos gives you exposure and a chance to connect with potential partners and customers.
- Consider Mentorship: Programs such as Futurpreneur Canada offer mentorship and funding to young Canadian entrepreneurs, providing guidance to navigate common business challenges.
Building strong partnerships fosters a supportive network that can help sustain your business in the long term.
Read Difference Between a General Business Plan and a Construction-Specific Business Plan
Step 8: Execute Your Marketing Strategy
You likely outlined a marketing strategy in your business plan. Now it’s time to implement it to attract customers and grow your brand.
- Launch Initial Campaigns: Start with a mix of online ads, social media posts, and email marketing. Platforms like Facebook and Google offer targeted advertising options that can reach Canadian customers based on location and interests.
- Gather Customer Feedback: Engage with customers to gather feedback on your product or service. This will help you adjust your offerings to better meet market needs.
- Measure Performance: Use tools like Google Analytics and social media insights to track the success of your campaigns. Adjust strategies based on what resonates most with your target audience.
Active marketing is key to driving initial sales and building brand awareness in your market.
Step 9: Monitor and Adjust Your Business Plan
As your business grows, it’s important to review and refine your business plan regularly. This process ensures that you stay on track and can adapt to changes in the Canadian market.
- Review Key Metrics: Track performance indicators such as revenue growth, customer acquisition, and operational costs. Compare these with the projections in your business plan.
- Adapt to Market Changes: Stay updated on industry trends and be ready to pivot if necessary. For example, if a new competitor enters the market, consider adjusting your pricing or offerings.
- Set New Goals: As you achieve initial milestones, set new, challenging objectives. This helps your business remain growth-oriented and forward-thinking.
Regularly updating your business plan keeps your business aligned with its mission while allowing for flexibility in response to market dynamics.
Read How Long Should a Business Plan Be? A Guide for Canadian Entrepreneurs
Conclusion of What Must a Business Owner Do After Creating a Business Plan?
Creating a business plan is a fantastic start, but it’s only the beginning. Canadian entrepreneurs have a range of essential steps to take once their business plan is in place, from securing funding and establishing a legal foundation to building a strong team and developing a marketing strategy. By following these steps and staying adaptable, your business will be better positioned for long-term success. The journey may be challenging, but each step brings you closer to building a thriving, sustainable business in Canada.
Also read How to Write a Business Plan to Give to a Lending Company in Canada
