How To Write A Business Plan
  1. Business Plan: Introduction
  2. Business Plan: Do You Need One?
  3. Business Plan: Describing Your Business
  4. Business Plan: Composing Your Executive Summary
  5. Business Plan: Analyzing Your Industry
  6. Business Plan: Marketing And Sales
  7. Business Plan: Your Organizational And Operating Plan
  8. Business Plan: Your Financial Plan
  9. Business Plan: Presenting Your Plan
  10. Business Plan: Conclusion

Business Plan: Introduction

By Amy Fontinelle



The purpose of a business plan is to explain in writing what your business idea is, why it is needed in the marketplace, how it will succeed and who will make it happen. In the process of writing a full business plan, you'll essentially be forced to run your new business on paper before you get in over your head. The plan will reveal any flaws in your idea or its execution and give you a chance to correct those issues before you invest too much time or money, or pledge your house as collateral for a commercial loan. Writing a business plan will also show you everything you need to know about your business as its owner.



Once your business is up and running, your business plan will be a document you can look back on any time your business is struggling or you are having doubts. Consulting your plan at times like these can show you if you are on track. Perhaps you've strayed from your plan and need to return to your original ideas; on the other hand, if you are on track and things just aren't working, the business plan will allow you to easily examine every detail of your business and see where you need to alter your plan to improve your business model. (Do you know how your companies really make their money? Learn to assess the systems by which businesses generate their revenue - read Getting To Know Business Models.)



In an ideal world, everyone would write a business plan before they actually started their business, but sometimes this is not the case. If you are already up and running but don't yet have a business plan, your primary motivation for preparing one will almost certainly be to obtain financing. An existing business that is undergoing a significant change would also benefit from preparing a business plan, regardless of whether it is seeking financing. The good news about creating a plan for an existing business is that you will have real-world experience and real-world financial data to work with. (Don't overlook the details when starting up a business. It's the small expenses that have the potential to make or break a great idea, check out Business Startup Costs: It's In The Details.)



Business Plan: Do You Need One?

  1. Business Plan: Introduction
  2. Business Plan: Do You Need One?
  3. Business Plan: Describing Your Business
  4. Business Plan: Composing Your Executive Summary
  5. Business Plan: Analyzing Your Industry
  6. Business Plan: Marketing And Sales
  7. Business Plan: Your Organizational And Operating Plan
  8. Business Plan: Your Financial Plan
  9. Business Plan: Presenting Your Plan
  10. Business Plan: Conclusion
RELATED TERMS
  1. Business Plan

    A written document that describes in detail how a new business ...
  2. 529 Plan

    529 is a category of plans that provide tax advantages when saving ...
  3. Portfolio Plan

    An investment strategy applied to a personal or corporate portfolio ...
  4. Variable Benefit Plan

    A type of retirement plan in which the payout changes depending ...
  5. Top Hat Plan

    A form of retirement plan available only to selected company ...
  6. Active Participant Status

    Active-participant status is a reference to an individual's participation ...
RELATED FAQS
  1. What is the point of developing a business model?

    Learn some of the benefits of developing a business model and how business models are used. Consider an example of business ... Read Answer >>
  2. How do you plan for retirement if you have multiple employers? Can you combine retirement ...

    Retirement planning for those who work for more than one employer is essentially the same as for those who work for only ... Read Answer >>
  3. Can I roll over the 401(k) money from my old job into my new company's plan?

    Roll over your old 401(k) to your new employer's 401(k) or other retirement plan. Check with your new plan to ensure eligibility. ... Read Answer >>
  4. Do I need an employer to set up a 401(k) plan?

    Investing in your retirement is not just a good idea, it's a must. Even individuals can invest in their own personal 401(k) ... Read Answer >>
  5. What do you need to know to create a business model?

    Learn what a business model is, its importance and the primary elements that are needed in order to create a successful business ... Read Answer >>
  6. Can I roll my 401(k) and/or IRA funds into a more liquid investment fund without ...

    Choosing your retirement plan investments requires the assistance of an expert who is able to analyze your options and to ... Read Answer >>

You May Also Like

Trading Center