A business plan is important because it summarizes both your vision for the company and your blueprint for the company operating success. The business plan is a written guide that details the startup and the future direction of your company.Who should write the plan? You, the entrepreneur. No one else knows your business idea and goals better. Yes, there are services that can do the work for you, however, you are the one who must present this business idea to bankers or other investors. Therefore, it is best if you are very familiar and comfortable with the plan.
Although there is no set format, a good business plan typically includes:
- Cover page—Identifies your business
- Table of contents—Organizes information for the reader
- Executive summary—Provides a big picture view of the plan, highlighting the factors that will lead to success
- Business background—If it is a brand-new business, include your background and skills
- Marketing plan—Relates the business marketing strategy
- Action plan—Summarizes how you will create and deliver your product or service
- Financial statements and projections—Illustrates how the business will perform financially based on the plans assumptions
- Appendix—Includes statistical analyses, marketing materials, and resumes
