A written business plan is an important aspect of the startup of any business. When it comes to the success of any organization, a perfect business plan attracts investors and provides direction. An individual can set the foundation of their business through a business plan.

Select a business plan format that meets your needs:

There are no special criteria to write down a business plan. However, while writing a business plan the plan must meet your business expectations.

A business plan could be one of these two categories i.e. traditional or lean startup.
The most commonly used plans are the traditional business plans, as the standard structure is adopted to prepare them and you can write detailed analysis for all sections. There is no specific requirement for such a plan and can cover lots of pages.

A less common business plan is a lean startup but they still use a standard structure. In this plan, only the key elements of the plan are summarized and written down. A maximum of one hour is enough to note down this plan and consists of one page.

Traditional business plan format:

The most preferred format is a traditional business plan especially for those who are concerned with comprehensive planning, detailed orientation, or who are planning to request financing from other sources.

It is not mandatory to stick to a specific business plan outline while writing a business plan. However, it is essential to use sections that make sense for a business and its needs. Below are some sections of the traditional business plans.

Executive Summary:

Normally through the executive summary, an interest is developed in the reader. Therefore, use specific words that briefly summarize the company and its success which can include the company's mission statement, information on product or service, location, company's leadership team, and employees.

The next step is to provide detailed company information. It's preferred to mention those details to showcase the company is capable of providing viable solutions to its customers.

For the success of a business always be precise and explain the company's competitive advantages, the expertise of a team, and the impact of the company's location in the market.

Another important step of a business plan is conducting good market research of your business. An individual will have a good idea through competitive research regarding the strength of other businesses and what strategies to be adopted for the success of their business in the market.

A proper company structure should be mentioned in a business plan. A reader should have a clear image of whether the company is a general or limited partnership, sole proprietorship, or LLC.

An organization chart is the best way to highlight the company's structure which displays the reporting line and what type of team a company possesses. It would be a bonus to mention cvs of key personnel of the organization.

We have noticed that people tend to prioritize their time in the planning of their business that they don't consider learning legal formalities to be essential priority. It is recommended to learn of the legalities involved to avoid possible complications. For instance, there is always a possibility that failing to acquire a legal license will result in the winding up of business.

It is important to mention the type of product a company sells or the services they provide. There should be a clear indication in the business plan on how a company's product or service will benefit its customers.

There is no specific approach to a marketing strategy. The ultimate goal is to describe in a business plan how a company will attract and retain customers. A sale process should be mentioned clearly in this section so that the company's business will have a good imprint on the reader.

A business funding request should be outlined clearly. It should mention how much funding is required for the coming years and how it will be utilized; how much is required to buy equipment, pay salaries, or cover other miscellaneous expenses.