How to write a business plan

Business Plans are typically produced to mitigate financial risk so banks and lenders can get some level of confidence that they will indeed get their money back and investors want some evidence that the business knows how to provide a return from their invested funds. Another less common reason for writing a Business Plan is that the business owner wants to establish the business on the right footing and determine a clear direction going forward. A Business Strategy can also serve this purpose and although this will be less detailed it can be created more quickly.

Either way, there is tremendous value in capturing this information in documented form since it helps define specific (measurable) targets, set the priorities, determine required resources, enable task tracking and identify clear accountabilities.