Having a business plan is a very important tool in business, however there is no point having a fantastic plan and then hiding it in your bottom draw.
A business plan is simply a written plan that incorporates the many aspects of your business, for example; financial, marketing, short and long term goals, time appreciation.
A business plan will give a business owner a good idea of how much investment is required in specific areas of the business. If you are thinking about requesting financial assistance from a bank, a business plan is a must. A good business plan will demonstrates the amount of money needed to spend on specific requirements at the right time.
Good business plans will also include the quality and rate of raw materials used, the cost of advertising, the prospects of importing or exporting and transportation requirements. The plan can also deal with partners, staff requirements, legal, insurance and training. In fact the list can be endless.
Many people enjoy the challenges of setting up a business, however within a short space of time they look to sell on the business for a profit. These people are able to do this because they have structured business plans that they work to.