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Business Plans

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Why is a business plan so vital to the health of a business ?

A business plan is a written expression of the entrepreneurial vision. A good business plan serves as a roadmap for the firm and provides information in a systematic format to investors, founders and financial advisors. A plan of activities contains details of founders, business model, competitor’s analysis, market analysis, financial projections and a detail report of business activity of a startup. The purpose of a business plan or investor pitch is for fundraisings like equity capital or angel investment.

A business plan consists of seven key factors :

  • Executive summary.
  • Business model.
  • Marketing strategies.
  • Competitive analysis.
  • Technology & product plan .
  • Operations and management plan.
  • Revenue plan .
  • Financial projections .
  • Business valuation.
  • Investment offerings.
  • When you need a business plan?
  • At the beginning of the financial year
  • A new fiscal period is about to begin. You may forecast your business plan annually, quarterly or even monthly if your industry is dynamic.

For SEED / Venture Funding

When you approach VS or angel investor the first question that they are going to ask that do you have a business plan to help them make financing decisions.

Market Change

When you are in a dynamic market, you see Shifting client tastes, consolidation trends among customers and altered regulatory climates can trigger a need for plan updates.

Launching a New Product

Your firm is planning launch a new product or develop a new product, technology, service i.e.

Change in Management

If there is substantial change in the top or middle management, new managers should get fresh information about your business and your goals.

Frequently asked Questions

Do I still need a business plan if I’m going to fund the business myself?

Yes. Business plan is blueprint for your business and its can forecast your risk so that you can prepare yourself in advance. Entrepreneurs often operate under the wrong assumption that business plans are only necessary when seeking financing from Venture capitalist. A solid business plan can be more helpful even if you intended to provide all the capital for your business.

Who Needs a Business Plan?

The only person who doesn’t need a business plan is one who’s not going to start a business. A business plan is required to prepare at the each stage of business whether at early stage or growth stage.

Do I need to consult with a CA/CPA before writing my business plan?

It’s really up to you, and every businesses model will have different needs, but consulting a CA/ CPA who is well-versed in startup issues affecting startup issues can be quite valuable.

How Long Should Your Business Plan Be?

It should be of maximum 20-30 pages.



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