The Business Planning Process

Business plans are decision-making tools. There is no fixed content for a business plan. Rather the content and format of the business plan are determined by the goals and audience. A business plan should contain whatever information is needed to decide whether or not to pursue a goal.

For example, a business plan for a non-profit might discuss the fit between the business plan and the organization’s mission. Banks are quite concerned about defaults, so a business plan for a bank loan will build a convincing case for the organization’s ability to repay the loan. Venture capitalists are primarily concerned about initial investment, feasibility, and exit valuation. A business plan for a project requiring equity financing will need to explain why current resources, upcoming growth opportunities, and sustainable competitive advantage will lead to a high exit valuation.

 

The Business Planning Process Infographic

 

Preparing a business plan draws on a wide range of knowledge from many different business disciplines: financehuman resource managementintellectual property managementsupply chain managementoperations management, and marketing, among others. It can be helpful to view the business plan as a collection of sub-plans, one for each of the main business disciplines.

“… a good business plan can help to make a good business credible, understandable, and attractive to someone who is unfamiliar with the business. Writing a good business plan can’t guarantee success, but it can go a long way toward reducing the odds of failure.”

Source: Wikipedia


ARTICLE CONTRIBUTED BY:

BPlan Experts (www.bplanexperts.com)

BPlan Experts is one of the world’s top business planning and startup consulting firms. With over 1800 clients located across 80 countries, BPlan Experts is an authority in startups and entrepreneurship. BPlan Experts specializes in providing end to end support to entrepreneurs and startups to include ideation, feasibility. business planning, funding assistance, implementation support, and scaling up of operations.

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