To ensure that a project gets off the ground, there are several assessments that should be done. But above all, you should not forget to frame a business plan. One might ask: what is a business plan? What are the essential elements for a business plan? And what can it be used for? We asnwer all these questions in this article…
What is a business plan?
In a few words, the business plan is a document that introduces the company’s business. Whether the latter is in the start-up or the operating phase, a business plan must be written to give information about it. It must contain the necessary elements to convince lenders. But also, it helps you assess, at the time of its creation, if your project is feasible. Thanks to it, you will also determine what you need to do to correct and improve it.
What are the essential elements for drawing up a business plan?
It is crucial to know the elements that should be mentioned in a husiness plan. Namely, it is important to talk about the activity of the company that must meet the objectives you have set and the demand in the market. Hence, the market study must be present. You should also include the technical part, which mentions not only the resources you need, but also the strategies you have developed to differentiate yourself from your competitors. There is also the financial plan and the Gantt chart, which will detail the need for and use of money, but also the timeframe for the completion of your project. It is also recommended that you put the administrative documents in the appendix as only by completing this information can you submit your business plan to an investor.
What is a business plan used for?
As is well known, a business plan should have a technical and a financial part as it will serve as a reference document for investors. In this document, we can see the “smart” objectives of your project and throught a guide that allows you to follow the stages of realization (Gantt chart). Ultimately, potential investors can conclude, by the quality of your business plan, whether it is a serious project or not. His is exactly why you have to be very careful in writing it!