Business plans are essential, and their benefits are the same for non-profit as well as for-profit businesses. In fact, the term “not-for-profit” has emerged as a better description for non-profit organizations, conveying the more accurate information that while the business does not exist to make a profit, profits are essential to its continuing operations and ability to achieve its identified mission and vision.
Business planning helps non-profit organizations ensure a focus on achieving their identified mission. When developing a plan, the first step is revisiting the mission, vision and values of the organization to ensure that they are still accurate and appropriate. All of the ensuing activities should be designed to ensure alignment with the mission, vision and values toward the pursuit of clearly identified goals. This focus can help non-profit organizations use their resources most effectively to achieve desired outcomes.