Why Every New Business Needs a Simple Business Plan (and Why You Should Stick to It)”

A clear, helpful guide for new oil & gas entrepreneurs.

Starting a business in the oil and gas industry takes courage, hard work, and usually a

clear reason. Most people don’t start a company randomly. They do it because: - They

have years of experience in their field. - They see a gap in the market that no one is

filling. - They have a competitive advantage or a unique skillset. - They want more

control over their time and income. - They know they can deliver better service than

what they’re seeing out there.

These are strong reasons to start a business—and your business plan helps you hold

onto that reason when things get shaky. And in the oilfield, things will get shaky.

This article will help you understand why creating a business plan matters, why sticking

to it protects you, and how to build a simple, clear, and powerful plan without needing a

college degree.

1. Why a Business Plan Matters (Especially in

the Oilfield)

A business plan isn’t a fancy document for bankers or investors. It’s not something that

has to be perfect.

A business plan is your compass rose.

It keeps you pointed in the right direction when: - work gets overwhelming, - customers

push you in different directions, - unexpected problems pop up, - money gets tight, - or

new opportunities tempt you away from your core strengths.

In the oil and gas industry, where jobs are unpredictable and conditions change fast, a

business plan helps you stay focused on why you started and what makes your

company valuable.

2. The Advantages of Writing and Sticking to a

Business Plan

A good business plan gives you:

✔ Clarity - You know exactly what your business does and why.

✔ Focus - You don’t chase every shiny opportunity that comes along.

✔ Confidence - You make decisions based on a direction—not emotions.

✔ Stability - Even when the market shifts, your foundation stays steady.

✔ A Strong Identity - Customers know what you do and what you stand for.

✔ Protection from Costly Mistakes - You’re less likely to enter markets you’re not ready for.

✔ A Roadmap for Growth - You can expand the right way, at the right time.

✔ Better Team Alignment

Everyone on your crew knows what you’re building—not just where you’re working

today.

A business plan is not a prison. It doesn’t lock you in.

But it keeps you from drifting off course.

3. Your Business Plan Isn’t Set in Stone

Especially in the oilfield, things change quickly: - operators change priorities, - markets

shift, - contracts move, - jobs dry up in one area and explode in another.

Your business plan can (and should) adjust as needed.

But the core reason you started? That should stay steady.

Maybe you started to: - provide a safer, higher-quality service, - offer reliability where

others didn’t, - bring a specialty skill to the market, - or fill a gap you saw in the field.

Those reasons matter. They should guide your decisions every time things start to feel

chaotic.

4. Building a Simple, Strong Business Plan (No

Business Degree Required)

A business plan does NOT need to be complicated. You can create a powerful one with

a few simple sections.

Below is a breakdown of the non-financial parts first—because your direction and

identity matter just as much as your dollars.

5. Section 1: Vision Statement — Where You’re

Going

This is the “big picture.” It describes what you want your company to become.

Keep it simple.

A vision is long-term and inspirational.

Examples: - “To be the most trusted small service company in the Permian.” - “To set

the standard for safety and reliability in production services.” - “To become the go-to

contractor for fast, dependable roustabout work.”

Your vision gives you direction.

6. Section 2: Mission Statement — What You Do

Every Day

Your mission is practical and action-based.

It explains how you will achieve your vision.

Examples: - “We provide dependable, high-quality field services with safety and

integrity.” - “We help operators reduce downtime with fast, professional solutions.” - “We

deliver honest work, fair pricing, and consistent results.”

Your mission keeps you grounded.

7. Section 3: Core Services — What You Actually

Do

This part prevents you from drifting into services you shouldn’t be doing.

List your primary services, only what you truly want to offer.

Examples: - Roustabout services - Tank battery work - Flowline repair - Hotshot

services

You can always add to this later—but your business plan should define your lane.

8. Section 4: Competitive Advantage — Why You

Stand Out

Explain what makes your business different, such as: - experience, - speed, - better

communication, - safety record, - specialized skill, - relationships, - reliability.

This section is what keeps customers choosing you.

9. Section 5: Target Customers — Who You

Serve

This helps prevent you from chasing every customer in every direction.

Examples: - small to mid-size operators, - production companies, - maintenance

supervisors, - pipeline companies.

Knowing who you serve keeps your efforts focused.

10. Section 6: Values — What You Stand For

This part guides your decisions, your culture, and your reputation.

Simple examples: - Safety - Quality work - Honesty - Timeliness - Respect -

Accountability

Values act as your guide when tough decisions come up.

11. Section 7: Goals — What You Want to

Accomplish

Break these into: - Short-term (3–6 months) - Mid-term (1 year) - Long-term (3–5

years)

Keep goals realistic and measurable.

Examples: - Short-term: “Secure 3 operators as steady customers.” - Mid-term: “Hire a

foreman and second crew.” - Long-term: “Expand into a second region.”

12. Section 8: Operations Plan — How You Run

the Business

This describes how your work gets done.

Keep it simple: - How tickets get turned in - How safety meetings happen - How

equipment is maintained - How scheduling works

This prevents chaos as you grow.

13. Section 9: Basic Financial Planning (Simple,

Not Scary)

Even though this article focuses on non-financial parts, you should still include: -

estimated startup costs, - monthly expenses, - pricing strategy, - cash flow expectations,

- and a savings buffer.

A simple spreadsheet works—you don’t need anything fancy.

Final Takeaway

A business plan isn’t about paperwork. It’s about direction, stability, and purpose.

In the oilfield, where the environment is unpredictable and work can swing sharply, a

business plan gives you: - a direction to follow, - a reason to stay focused, - protection

from risky decisions, - and a clear identity your customers can trust.

Keep it simple. Keep it honest. Make it yours.

And let it guide you—just like a compass rose—when the industry throws chaos your

way.