This Is Not an MBA Business Plan,Part 1

 “There's nothing wrong with staying small. You can do big things with a small team."

— Jason Fried

Most MBA programs teach business plan courses. However, these plans are often crafted for businesses that already have access to capital, a team of advisors, and ample time to develop ideas. They typically rely on hypothetical case studies in high tech—big ideas, big innovations, big dreams.

That’s not the reality for most first-time entrepreneurs.

They worry about launching a business with limited time, limited funds, and perhaps no staff at all. At the heart of entrepreneurship is the ability to work with constraints.

The Hands-On Business Plan

More than 94% of businesses need what I call the “Hands-on” business plan. This approach focuses on building a real business within the next 30 to 90 days. No fluff, no theory. Just execution.

There are numerous misconceptions about when and how to write a business plan, which is why I'm turning this into a series. New entrepreneurs can easily feel lost. Social media is filled with “proven” hacks to make $10,000 in 30 days. The media, startup gurus, and even educators often spotlight flashy, one-in-a-million companies with clever marketing or breakthrough products.

But that’s not most of us.

Most businesses are what I call main street businesses: local cafés, freelance consultants, niche online stores. They’re not trending on social media. Instead, they are developing practical strategies they can use for their business. And each one has its own story. You have a right to yours.

Let’s start with the right mindset.

The Future Path of a Business

A business plan outlines the future path of your business. When written with curiosity and purpose, it can serve as your guide. However, if it’s created merely to check a box, it becomes a burden—and can even be dangerous. Faulty assumptions can lead you straight to failure.

Because it's about the future, some plans get stuck trying to prove that a big idea is viable.

But there's another level to consider: feasibility.

Viability: For Investors

Many business plans focus on demonstrating that there’s a market for the product or service. This is crucial if you're pitching to investors like angels or venture capitalists.

However, investors typically want to talk to you first. Then, they’ll review your pitch deck. Only if they're interested will they request to see your plan. They're looking for upside. They want their money back—with a healthy profit. That’s why your exit strategy is important.

Still, too many business plans remain in “investor mode.” They never progress to feasibility.

Feasibility: For Lenders

Most business plans are crafted to apply for loans. In this context, lenders care less about big potential and more about whether you can make it work right now.

Can you operate from day one? Are you savvy enough to sell, deliver, and adapt quickly?

Having vision is great. But lenders want to see how you’ll generate sales in the next 30 to 90 days.

That’s what feasibility is all about.

It’s your reality check.

What’s the Point?

Here’s a conversation I had recently with Thomas*, an entrepreneur who didn’t see the point of writing a plan.

“A business plan is about the future, and since you can’t predict the future, what’s the point? It all depends. Right? Things can change.”

I told him: “Things will change. That’s the point. A business plan increases your odds of success. It helps you think through your direction and actions before you dive in. No plan gives you 100% certainty—but a good one helps you avoid costly mistakes.

Most entrepreneurs find that effective planning and solid market research provide a clearer picture of what to do next—and what to avoid.

Smart entrepreneurs take calculated risks."

“But how will I know if I’m going in the right direction?” Thomas asked.

“You have to talk it through,” I said. “With me. With your lender. A business plan should evolve. It’s not like doing your taxes where you submit it to some mystery office and you’re done. You need feedback, revision, and sometimes a challenge to your thinking.

Writing a business plan helps you:

• Test your thinking and reveal assumptions.

• Play out “what if” scenarios.

• Understand your industry deeply before jumping in.

• Ask yourself: “Where am I now? Where do I want to go? And how do I get there?”

  
  

Hard Truths

Here’s why many people avoid business plans.

They force you to confront uncertainty.

When you work for someone else, there’s stability. You do your job. You get paid. Planning isn’t your concern. But once you venture out on your own, you enter a new game.

It’s the game of becoming comfortable with being uncomfortable.

Our “donkey mind” craves quick answers—even if they’re wrong. It’s easier to say, “Business plans don’t work anyway,” and dive in with blind optimism. That’s a dangerous kind of confidence.

Or your donkey mind swings the other way, paralyzing you with overthinking. Welcome to paralysis by analysis.

Creative Tension

This is what a business plan helps you navigate. The tension between where you are and where you want to be. You learn to work within constraints while aiming for something ambitious. A good plan keeps you just outside your comfort zone—exploring, testing, and refining.

It’s about details.

It’s about nuance.

It’s about learning.

And yes, sometimes it's about facing tough realities.

But that’s how you grow.

In the next few posts, I’ll break down what it really means to write a “Hands-on Business Plan.” We’ll discuss when to write one, when not to, and which parts truly matter.

Stay tuned.

*Not his real name.