Before starting work on a business plan, ask yourself the following.
Why is it being written, e.g., to persuade bankers or investors to provide finance, or to record and quantify objectives?
At whom is it targeted, e.g., your board of directors or your bankers?
How will you measure its success, if on the strength of the plan, your board approves a new project or an investor provides funds, for example?
If the business plan is confidential then number each copy and keep a record of the recipients. In exceptional circumstances, where the information is highly confidential or sensitive, you may even need to stipulate that the document can only be inspected by third parties at your own or your solicitor’s premises.
Every business plan should be written in a way that best suits its objectives and target audiences, but most include the following:”
brief introduction – why the document has been prepared
index/contents – with page or section references
summary of conclusion – usually no more than one page
background – the “story” of the existing or proposed business and, if relevant, its promoters
products/services – the business activities underlying the plan – include copies of marketing material, possibly as an appendix
market – the size of the nature of present and prospective market(s) for the underlying products or services
competitors – including their market shares and strengths/ weaknesses.…
