Why do I need to define my business in detail?

Defining your business in detail will enable you to define your goals and see where you may be spending your time and money. It may also reveal potential untapped markets. A simple or common type of business with little investment might need only a short description. The bigger, more unique, and high investment your business, the greater the need for a more detailed description.  Ask yourself, “What business am I really in?” Some owner-managers have gone broke because they never answered that question. One watch shop owner realized that most of his time was spent repairing watches while most of his money was spent selling them. He finally decided he was in the repair business and discontinued the sales operations. His profits improved dramatically.