Forming and launching a Start-Up is an exciting adventure, but it can also be overwhelming. There are many decisions to be made and actions to be taken, and it can be challenging to know where to begin.
One approach that some start-ups take is to develop a 100-day plan after receiving capital. This plan can help the company focus on achieving specific goals and objectives during the critical early stages of the business. However, there are also some potential drawbacks to this approach. I wanted to share some of the advantages and disadvantages of a 100-day plan for a start-up.
Advantages of a 100-Day Plan
Clear objectives: One of the most significant advantages of a 100-day plan is its clear set of objectives and goals for the start-up to work towards. This can help focus the team's efforts and ensure everyone works towards the same end result.
Timely progress: With a 100-day plan, the start-up can break down its objectives into smaller, more manageable tasks that can be achieved within a specific timeframe. This can help the team make timely progress towards their goals and build momentum.
Investor satisfaction: Investors want to see that their money is being put to good use and that the start-up is making progress towards its goals. A 100-day plan can demonstrate this progress, increasing investor satisfaction and confidence in the start-up.
Adaptability: A 100-day plan is not set in stone and can be adjusted as needed. Suppose the start-up encounters unexpected challenges or opportunities. In that case, it can adapt the plan to ensure they continue progressing towards its goals.
Disadvantages of a 100-Day Plan
Limited scope: A 100-day plan is a short-term plan that focuses on achieving specific goals within a relatively short timeframe. This can be limiting, as it may not consider longer-term objectives or opportunities.
Pressure to perform: A 100-day plan can pressure the start-up to perform and achieve its objectives within a specific timeframe. This can be stressful for the team and may lead to rushed decisions or actions that are not in the best long-term interests of the business.
Narrow focus: The focus on achieving specific objectives within a short timeframe can lead to a narrow focus on short-term goals at the expense of longer-term objectives. This can be problematic if the start-up pays attention to essential activities that may not provide immediate results but are critical for long-term success.
Limited flexibility: While a 100-day plan can be adjusted as needed, changing course may be more difficult if the start-up encounters unexpected challenges or opportunities. The team may be so focused on achieving the specific objectives that they may not be open to exploring alternative paths.
Final Thoughts
A 100-day plan can be an effective tool for start-ups to achieve specific objectives and timely progress towards their goals. However, it is crucial to be aware of the potential drawbacks of this approach, such as the limited scope, pressure to perform, narrow focus, and limited flexibility. Ultimately, the decision to develop a 100-day plan should be based on the specific needs and objectives of the start-up. The team should be prepared to adjust the plan as needed to ensure long-term success.
About the Author
Adam Ryan is a Professor of Practice (Adjunct Professor) at Monash University and is a principal at Watkins Bay. Adam has over twenty years of start-up experience in Australia and the USA. An expert in Company Structuring for Innovation, Strategy, Mergers & Acquisitions, and Capital for early and growth-stage businesses.
Contact Details
Australia +61 (0) 418 325 387
USA + 1 (858) 252-0954
Email adam@watkinsbay.com
Reach out via Linked In
