Today I want to show you my favorite SWOT Analysis Template for small business owners.

What is a SWOT Analysis?

SWOT Analysis stands for Strengths, Weaknesses, Opportunities, and Threats. SWOT Analysis matrix

Is SWOT Analysis part of a business plan?

A SWOT Analysis is typically part of the business planning or strategic planning for a small business.

SWOT analyses are a great way to generate small business ideas.

How to Write a SWOT Analysis for Your Business

Is there any greater waste of time than a poorly done SWOT Analysis?!

As you can tell, I have a rather strong opinion on this topic. Like many of you, I was trained to use a SWOT analysis as a part of my marketing plan process. The idea was to get to a great strategy by understanding your strengths, weaknesses, opportunities, and threats and then come up with a killer marketing strategy that obliterates the competition.

There was only one problem with this decision making and strategy building process. The SWOT analysis we did was nothing more than a stupid list of things that didn’t have anything to do with anything at all. It was just a list.

Then one day, I was sharing my frustration with a friend and he showed me a SWOT analysis template format that he used that I fell in love with. The idea was so simple and yet so powerful. He basically drilled down to the true essence of each SWOT element.

Internal vs External Focus

The first thing he did was explain that the SWOT Analysis was a relationship between internal and external factors.

When you conduct a SWOT Analysis you are taking the pulse of different areas of your business.

  • Strengths are internal
  • Weaknesses are internal
  • Opportunities are external
  • Threats are external factors

That simple distinction immediately focused our conversations in the right direction.

Why this is the BEST SWOT analysis outline — EVER

While there are hundreds of planning templates that you can use, the SWOT Analysis process I’m going to show you here is unique because it has CONTEXT.

The way this context is created is by having each element of the SWOT analysis grounded in answering questions that are grounded in reality and in the experiences that your business has had over the last year. Instead of just listing a bunch of stuff, you are answering questions that will actually give you insights into the next appropriate action to take inside your business. This isn’t the complete set of questions — but it will certainly get you started in thinking about new ways that you can grow your company.

“Strength doesn’t come from what you can do, it comes from overcoming the things you once thought you couldn’t”

— Rikki Rogers

Using this core idea I’ve developed a SWOT Analysis template that I’m going to walk you through right here. At the end of the article, you’ll find a FREE SWOT Analysis template download as a Word document.

The S in SWOT analysis template stands for strength

Strengths Analysis

  • In what areas does (YOUR COMPANY) perform exceptionally?
  • What important bids or proposals did (YOUR COMPANY) win this year? Why did (YOUR COMPANY) win them?
  • Which target markets or customer groups created the most sales? Which created the most profits?
  • What did (YOUR COMPANY) do best this year? What were (YOUR COMPANY) greatest triumphs?
  • Which customers or market segments grew the most? What caused this “success”

“Build upon strengths and weaknesses will take care of themselves”

– Joyce C. Lock
woman showing weakness reaching for help swot analysis template

Weakness Analysis

  • What important bids or proposals did (YOUR COMPANY) lose this year? Why did (YOUR COMPANY) lose them?
  • Which target markets or customer groups created the least sales? Which created the least profits?
  • What were (YOUR COMPANY) greatest disappointments or failures?
  • Which customers or market segments achieved the least? What caused this “failure”
  • Weaknesses with respect to: Target market needs, wants & consumption trends
lens symbolizing opportunity in SWOT template

Opportunities Analysis

  • What new customer wants can you meet?
  • What economic trends are benefiting? How can you take advantage of them?
  • What technological factors are creating opportunities for you? How can you profit from them?
  • What niches and opportunities have your competitors missed?
  • What alternatives does your ideal customer have to what you have to offer?
  • What major changes are taking place in the industry?
  • What are some things that would “never happen” in your industry? How can that become an opportunity for you?
THreats

Threats Analysis

  • Are there technological factors creating threats?
  • In what ways do your competitors threaten you?
  • What scares you most about the future of (YOUR COMPANY)?
  • Are major changes taking place in the industry?
  • Is the government increasing the burden of any previous regulations?

The SWOT Analysis Exercise

Use this SWOT exercise template with a group. 

I’ve done this before with larget organizations by assigning a team of 3 or 4 people to each section and then giving them about a week or so to work together to answer the questions.  Then the following week we’d get together to report and debrief.  The great thing about doing it that way is that the whole organization gets on the same page.

Download your SWOT Analysis Template

Conclusion

This SWOT Matrix and SWOT template are wonderful tools that you can use to create a SWOT for your business, but you can also use it to create a personal SWOT analysis as well.

The thing I love most about this SWOT Analysis template is that if yo answer all of the questions, your action plan will practically jump out at you.

Another fun way to use this SWOT template is to ask these questions on your social media channels over the course of the year or every quarter. It’s a great way to do some industry and competitive analysis.