A business plan is a document used to
detail plans for a start-up or existing business. This document is used to
describe business goals and strategies, as well as provide a blueprint of
financing and marketing plans. Essentially, it provides detailed information
about where a company is going and how it will get there. Many experts consider
such a plan critical to the success of a business.
Often, a business plan is required when seeking a
business loan or investment capital. Investors and loan officials need to know
what a business owner hopes to accomplish and the steps he or she plans to take
to meet goals. Business plans help those in the position to loan money
determine whether or not a business is likely to succeed, based on information
provided by the owner or owners. A company backed by a well-thought-out
business plan is a better loan or investment
risk than one with a thrown together or incomplete
plan.
When preparing a business plan, it is vital to put
maximum effort into researching every aspect of your venture. You'll need to
include detailed information about everything from the basics of your product
or service to how you intend to manage daily operations. If you plan to seek
outside financing, you'll need to make your business plan both informative and
captivating. By doing so, you'll be able to keep loan officers or investors
interested long enough to read the bulk of your plan and, hopefully, decide to
provide the financing you need.
Your business plan should provide a detailed
description of your business, including the products or services you plan to
offer, as well as expected expenditures and profits. If you have products to sell,
you'll need to include information about the manufacture of those products. A
detailed description of the market for your products or services, along with
competition comparisons, should be provided as well. You'll also need to
include your plans for development, distribution, staffing, funding, and more. Finding help with creating
a business plan is not difficult. There are many resources on the Internet that
provide step-by-step instructions for creating business plans. There are also
many books, computer programs, and business plan kits available for purchase.
Likewise, your local public library is likely to have an abundance of resources
for business plan creation.