What is the purpose of the concept of the business plan?

Business plans are created both in preparation for setting up a company and as part of the strategic and operational planning of existing companies.  Companies providing the best traffic course in new york have their business plans written first.

The business plan serves as a “timetable” for founders because it is there that the business idea usually takes on concrete form for the first time and is further developed into a detailed business concept. A good business plan also helps as an orientation aid in the start-up phase of your own company, so that you can counteract any deviations in good time.

What should be in a business plan?

In the business plan, the visions, assumptions, assessments, and forecasts are presented from an economic point of view in order to check the business idea or the entrepreneurial project with regard to feasibility, profitability, and customer benefit. The business plan describes the business project with short and medium-term corporate goals as well as the planned paths and measures for their implementation.

Typical structure of a business plan

The structure of a business plan roughly comprises the following sections:

  • Brief Executive Summary
  • Personal requirements of the founders
  • Products and/or services
  • Market and competition
  • Target group and market segment
  • Marketing mix and marketing planning
  • Purchasing and production planning
  • Choice of location and legal form
  • Organization and personnel planning
  • Financial planning and appendix

Each bullet point in the business plan needs refinement and customization. These include:

  • Aims
  • Strategies to achieve the same
  • Business processes
  • but also possible risks to the content

Important for financing a business start-up

The business plan is also essential for banks, investors, or other financiers to attract them to finance a business start-up or a business venture. The plan should convince them that the granting of loans for start-up or company financing or participation represents a safe or promising investment. Public funding to increase the equity ratio also mostly depends on convincing business plans.

In this way, the financial planning merges the individual plans previously worked out. From the point of view of a financier, financial planning is the decisive element of a business plan, alongside the executive summary and the personal requirements of the founders.