BUSINESS PLAN 101, the Nitty-Gritty of Writing a Business Plan

There are many reasons to write a business plan—it’s not solely the domain of entrepreneurs who want to secure funding to start or grow their business.

A business plan can help you clarify your strategy, identify potential roadblocks, decide what you’ll need in the way of resources, and evaluate the viability of your idea or your growth plans before you get started.

Whatever your reason for writing a business plan, the task will probably still feel like a homework assignment. When you’re starting a business, your to-do list is a mile long and filled with more immediately rewarding tasks, like taking product photos, creating ad campaigns, and opening social media accounts.

Not every business launches with a formal business plan, but many founders find value in taking time to step back, research their idea and the market they’re looking to enter, and understand the scope and the strategy behind their tactics.

That's where writing a business plan comes in.

but first of all what is a business plan;

A business plan is a written document describing the nature of the business, the sales and marketing strategy, and the financial background, and containing a projected profit and loss statement. Business plan is also a road map that provides directions so a business can plan its future and helps it avoid bumps in the road. The time you spend making your business plan thorough and accurate, and keeping it up-to-date, is an investment that pays big dividends in the long term.

There are a few key things to keep in mind to help you write an effective business plan.

• Know your audience. When you know who will be reading your plan—even if you’re just writing it for yourself, to clarify your ideas—you can tailor the language and level of detail to them. This can also help you make sure you’re including the most relevant information and figure out when to omit sections that aren't as impactful.
• Have a clear goal. You’ll need to put in more work, and deliver a more thorough plan, if your goal is to secure funding for your business versus working through a plan for yourself or even your team.
• Invest time in research. Sections of your business plan will primarily be informed by your ideas and vision, but some of the most crucial information you’ll need to include relies on research from independent sources. This is where you can invest time in understanding who you’re selling to, whether there’s demand for your products, and who else is selling similar products or services.
• Keep it short and to the point. No matter who you’re writing for, your business plan should be short and readable—generally, no longer than 15 to 20 pages. If you do have additional documents you think may be valuable to your audience and your goals, consider adding them as appendices.
• Keep the tone, style, and voice consistent. This is best managed by having a single person write the plan or allowing time for the plan to be properly edited before distributing it.

A business plan can help you identify clear, deliberate next steps for your business, even if you never plan to pitch investors—and it can help you see gaps in your plan before they become issues. Whether you've written a business plan for a new business or for growing your current company, you now have a comprehensive guide and the information you need to help you start working on the next phase of your business.