Notes

Why Set Long-Term Business Goals?
Setting business goals helps to establish the vision a business owner sees for the future and lays out a clear plan to achieve that vision. Short-term business goals typically extend 18 months to three years into the future. In contrast, long-term business goals typically extend at least three years into the future. Without setting clear business goals and measuring whether objectives are being achieved, a business owner will have a difficult time growing his or her business.

Long-Term vs. Short-Term Goals
The difference between long-term goals and short-term goals can be simplified to what you want to achieve versus how you want to achieve it. Short-term goals are the building blocks for long-term goals. A long-term goal of setting up the most successful lemonade stand in the neighborhood will be supported by short-term revenue, volume, and customer satisfaction goals. Businesses typically establish many short-term goals, but only a few long-term goals, as long-term goals are much broader in scope. Long-term goals take time to achieve and require patience and adequate planning. Important follow-up steps to establishing long-term goals include prioritizing those goals, and then establishing the short-term goals needed to reach them.

SMART Goals
It is also important that long-term business goals are SMART. SMART is an acronym that defines goals as specific, measurable, achievable, relevant, and time-bound. A goal that incorporates all of these elements is considered well written.