A business plan is the blueprint for your business and should be written for the purpose of:
- Enabling you to plan the running of the business
- Benchmarking to measure your efforts and keeping your business on track
- Raising money from external sources
Your business plan should well thought through, finely written and contain all information pertinent to the running and success of your business.
YOU should write your business plan, as you will essentially know the what, why, and how of the business. Some people find it difficult to set out their ideas on paper; hence the availability of business counsellors and consultants who can work with YOU, to assist in writing an effective plan, as they often have more experience than someone newly starting out.
When approaching external sources for the purpose of raising money, your business plan is essentially your written sales pitch; it should show a good return on investment, inspire confidence in the lender that you are able to manage the business either by prior experience or education and show a market for the product or service.
The length of a business plan will vary, the less money you need to raise (>ï¿½20,000) the shorter the length. The more money you need to raise the longer the length of your business will be, as you need to show the reader a more detailed plan and strategy to convince them of the viability of the project.