Every startup business needs a viable plan before beginning their journey. A business plan is a powerful tool in every business and a requisite for those looking for investors. Working without a business plan can hurt the longevity of your business and struggle to reach clear goals.
A business plan is a description of all the information and goals of a business compiled into a document, this serves as a roadmap that provides direction to the business as well as explaining to those looking to invest what the financial projections are. They can be externally focused or internally focused.
Externally focused business plans are must of the times a must when looking to get investment from banks or financial organizations
Internally focused business plans cover the development of plans for the business future with reachable goals and a list of factors to reach them.
These can be confused with operational plans or strategic plans, the difference relies in that business plans state much more than strategies or specific goals, focusing more on the big picture of the business future.
Now we know that business plans are, why should any startup write one. Besides being a requisite for most banks or venture capitalists , business plan help your organization keep focused on objectives.
Harvard Business Review stats show that::
A good business plan must describe the company’s projects accurately so others can support and invest. It must present the company’s current status, description of the company values and purpose, products and services it offers and the target audience of that product. Apart from that the plan must also describe the plans to market, and operate in an area, as well as financial plans and the management of operation resources. It must also convey in a convincing fashion what the company can achieve in the future for investors.
All business plans are different, but here we compile the most important sections of every business plan:
Products and Services
Management & Organization
Business plans are a lot more simple to write than you think, and they play a very critical role in the launch of your company. Data states that business plans are a pillar for startups to succeed and secure funding for investors.
Nowadays we can find templates online that help us streamline the process of creation, afterwards it’s advised to find an expert to review your plan before presenting it to investors.