If we have to bet on one thing when it comes to opening a business on schedule; we’d say it WILL NOT. No matter how well you plan, it seems things always go wrong somewhere resulting in delays.
Not being able to open the business on-time can hurt you on multiple fronts –you not only lose sales for every day that the business is not open, while your expense clock is already ticking; but also you end up throwing more money on tasks that are running late.
The reason it takes longer and costs more than you planned when opening a business is that it is a complex project to handle. Don’t believe us? Go and ask someone who has gone through this, even once. There are so many tasks to be completed. Some are under your control; while others you cannot do anything about. Some tasks have dependencies on others. Then there are things that go wrong at the last minute. Finally, when you think you have taken care of everything, the inspector comes in and asks to change certain things because they do not comply with code.
While there will always be tasks that are not in your control, there are step you can take to mitigate other risks to help you open the business as close to original plan as possible. Below we have highlighted some of them.
- Make a detailed plan listing EVERYTHING that need to be completed. This is one of the most important steps you can take. You can use a formal project planning software, a simple spreadsheet or even good old-fashioned pen and paper to prepare it. Whatever you use, make sure you list everything, and we mean EVERYTHING, that need to be completed. Along with each task write down who is responsible, expected finish date, required finish date and estimated cost. You should also think about whether it is dependent on any other tasks and whether other tasks dependent on it. In addition to reviewing the plan yourself, make sure to review with others, preferably those who have been through the process in the past.
- Start with those tasks that are expected to take longer. This is common sense; but is difficult to follow unless you have a written plan.
- Focus on tasks that other tasks are dependent on. Again, this is common sense logic. After you have determined how certain tasks are dependent on others being completed, you should prioritize those tasks that others depend on first.
- Always have a backup plan. Believe us!! Many of the things will not go according to plan – the contractor will not show up on-time; vendor will not have items you are looking for. The list goes on and on. You should identify the tasks that are critical to the success and have a backup plan for them in case things don’t work out as planned. We are amazed at how many times business owners scramble at the last minute and end up spending lot more because they didn’t have Plan B.
- Communicate, communicate, and communicate. Make sure you are in constant touch with external vendors and contractors you are working with. Explain to them your expectations and understand their needs. Making assumptions about these things will only hurt you and delay the opening.
- Get buy-in from inspectors ahead of time. You will need to get approval from number of government agencies (city, county, state and federal) as well as franchise office before you can officially start the business. Find out what their requirements are. How strict are they when it comes to approval. You do not want to assume anything and get surprised at the last minute.
- Finally, track progress on a daily basis. At the end of each day; go through the plan, check off tasks that have been completed, understand how much progress has been made on the remaining ones, highlight the ones that are running late and plan for the next day.
We hope you can take advantage of these suggestions to succeed and open your business on-time. Feel free to add your suggestions to this list based on your personal experience in the comments below.
