Editing Business plan (section)

== Content ==

Business plans are essential [[Decision support system|decision-making tools]]. The content and format of a business plan depend on its goals and target audience. For example, a business plan for a non-profit organization might emphasize how it aligns with the organization's mission. Banks are particularly concerned about defaults, so a business plan created for a bank loan should convincingly demonstrate the organization’s ability to repay the loan. On the other hand, venture capitalists focus on initial investments, feasibility, and exit valuation. A business plan for a project that requires equity financing needs to explain why current resources, upcoming growth opportunities, and sustainable competitive advantages will contribute to a high exit valuation.

Creating a business plan requires knowledge from various business disciplines, including finance, human resource management, intellectual property management, supply chain management, operations management, and marketing, among others. It can be helpful to view the business plan as a compilation of sub-plans, each addressing a key business discipline.

A well-crafted business plan can help establish credibility, clarity, and appeal for individuals unfamiliar with the business. While writing a good business plan cannot guarantee success, it can significantly reduce the likelihood of failure.

The process of creating a business plan involves five distinct steps. The first step is to clearly outline the main business concept. The second step is to gather data regarding the feasibility of your idea, including specific details about your business. The third step involves organizing the information you have collected and refining your plan. After that, you can start drafting an outline of your business plan, detailing the specifics of your business idea. The fifth and final step is to compile this information into a compelling format that will encourage potential investors to support your business.<ref>{{Cite book |last=Abrams |first=Rhonda M. |title=The successful business plan: secrets & strategies |date=2003 |publisher=The Planning Shop |isbn=978-0-9669635-6-4 |edition=4th |location=Palo Alto, Calif}}</ref>