Business Assumptions
But if he will not hear, take with you one or two more, that ‘by the mouth of two or three witnesses every word may be established. – Matthew 18:16
Have you developed or updated your business plan for this year? What did you base your projections on? Did you rely solely on external data or did you also allow your internal genius to guide you?
The first business plan I ever wrote for myself was a five-year plan for the Nehemiah Project International Ministries. In that plan I explained how we were going to develop an international business development and training organization. That organization would be committed to the education and support of Christian entrepreneurs and the advancement of the Gospel in the marketplace. This was in 1996, and I was only 21 years old. As they say, “I did not know jack”. I was young and wet behind the ears but I had a vision. I had received a call from God and was convinced it would happen. 19 years later, our mission is being carried out in 19 US cities, in over 20 countries around the world and we have trained and supported close to 10,000 entrepreneurs. It’s a miracle that a 21 year old with no experience and minimal research could put a business plan together and 19 years later it is in full execution. The key to the successful development of that original plan was the quality of my assumptions and the clarity of my calling.
Business assumptions are projections or propositions based on the entrepreneur’s intuitive instincts, experience and/or research. They are the foundation of a business plan and without them the business plan has no basis. The better your assumptions, the better the plan and the worse the assumptions, the worse the plan. When I’m asked to review a plan, the first thing I do is ask the entrepreneur about their assumptions and its basis. We teach in Biblical Entrepreneurship that there are three pillars to business assumptions.
- Intuitive instincts – a perception or conviction based on an inborn pattern or innate behavior without direct evidence or reasoning. It is shaped and cultivated through habit. It is an internal genius and for the biblical entrepreneur it must be spirit led.
- Experience – what you have done before or what you have been exposed to.
- Research – third party data from market and industry analysis.
Among these three pillars, intuitive instinct is the best way to shape your assumptions, especially if they are spirit led. This requires a trust in the genius within you.
At 21 years old, without much experience and with minimal research, I had a huge advantage in intuitive instincts. I had a clear call, and through prayer and discernment I tried to stay true to my spirit led intuitive instincts. Intuitive instincts are so powerful that without them you have little chance of success because they are your internal GPS. If you were to read my original plan, you would not find a lot of statistics about the need for Biblical Entrepreneurship education, nor would you find a long list of experiences I had in business, ministry or consulting but you would find a clear call, and a clear articulation of what I believed was possible based on my inner convictions and a prophetic articulation of a transformative vision. Of course not all my assumptions were correct but we were correct in the ones that really mattered and they were enough to get us to where we are today.
So as you put your plan together this year, leverage your experience and gather supporting research data, but do not allow them to overwhelm your internal genius; allow your intuitive instinct to shape the foundation of your plan. All three pillars are important because as the scripture says, in the mouth of two or three witnesses a thing is established. There is however one witness among those three whose voice should have a greater influence over your direction.
My prayer for you today is that God will grant you the wisdom to use your experience and research to support your intuitive instincts as you update the assumptions in your plan.
Responses