A business plan is a description of how you will manage your business day-to-day to achieve long-term goals. It’s also crucial in attracting customers and investors from outside. And it’s a must for anyone who is looking to set up the process of starting a new business either as an individual entrepreneur or as part of an enterprise division. It’s no wonder so many studies point out the horrendous rate of failure for businesses which don’t have a thought out and executed plan.

There are some best practices to follow, even the fact that every business plan is dependent on the requirements and objectives of the company. The first step is to identify the audience that the plan is for. This will determine the level of detail, language and overall structure of the document. This will aid in deciding on the sections to Continue Reading include and which ones to remove.

The next section should give background on the business. This can be accomplished through a description of the company that focuses on the distinctive characteristics and features of the business. It may also include the legal structure of the business whether it is a sole proprietorship or LLC, partnership, or corporation, and how many people are involved in the business.

The next step is a detailed analysis of the company’s market. This includes the intended audience in terms of size, as well as the competitive landscape. It’s also beneficial to highlight any unique advantages that the business has for example, industry expertise or a team of leadership that has extensive experience.