What Is a Good Business Plan?

by Contributing Writer

Overview

A business plan is a document in which you gather specific strategic information about your business. You can present your business plan to get financing for your company, attract advisers and employees or use it as a decision-making tool for yourself.
Comprehensive

A good business plan should include an Executive Summary plus seven sections: Market Analysis, Company Description, Organization & Management, Marketing & Sales Management, Service or Product Line, Funding Request and Financial Information. It can also include an Appendix.

Specific

Use exact numbers and as much detailed information as you can. Example: Our target market is women ages 25 to 50 who are employed full-time.
Compelling

Your business plan should present all the necessary information (who, what, when, where and why) and be written in a way that keeps readers interested in the success of the business.
Logical

A well-written business plan will provide a framework for your business. The act of preparing it will give you focus and carrying it out will require discipline.
Flexible

Update your plan regularly to stay current with business conditions. Unlike a contract that remains unchanged once it is signed, your business plan should be a living document. It can be used in daily business situations and updated as circumstances change.

Overview