What is a Business Plan?

Written by Admin | @sherpaindonesia

A business plan is a written description of business's future, a roadmap for business that outlines goals and details how to plan to achieve those goals. A business plan lays out a written plan from a marketing, financial and operational viewpoint.

Business plan can help perform a number of tasks for those who write and read them. They're used by investment-seeking entrepreneurs to convey their vision to potential investors. They may also be used by firms that are trying to attract key employees, prospect for new business, deal with suppliers or simply to understand how to manage their companies better. There are three primary parts to a business plan:

1. Business Concept, where discussing the industry, business structure, particular product or service, and how to plan to make the business a success.
2. The Marketplace Section, in which describing and analyzing potential customers: who and where they are, what makes them buy and so on. Here also describe the competition and how the position to beat it.
3. Financial section contains the income and cash flow statement, balance sheet and other financial ratios, such as break-even analyses. This part may require help from the accountant and a good spreadsheet software program.