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How to Write a Business Plan, Step by Step

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Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money .

1. Write an executive summary

2. describe your company, 3. state your business goals, 4. describe your products and services, 5. do your market research, 6. outline your marketing and sales plan, 7. perform a business financial analysis, 8. make financial projections, 9. add additional information to an appendix, business plan tips and resources.

A business plan is a document that outlines your business’s financial goals and explains how you’ll achieve them. A strong, detailed plan will provide a road map for the business’s next three to five years, and you can share it with potential investors, lenders or other important partners.

Bizee

Here’s a step-by-step guide to writing your business plan.

» Need help writing? Learn about the best business plan software .

This is the first page of your business plan. Think of it as your elevator pitch. It should include a mission statement, a brief description of the products or services offered, and a broad summary of your financial growth plans.

Though the executive summary is the first thing your investors will read, it can be easier to write it last. That way, you can highlight information you’ve identified while writing other sections that go into more detail.

» MORE: How to write an executive summary in 6 steps

Next up is your company description, which should contain information like:

Your business’s registered name.

Address of your business location .

Names of key people in the business. Make sure to highlight unique skills or technical expertise among members of your team.

Your company description should also define your business structure — such as a sole proprietorship, partnership or corporation — and include the percent ownership that each owner has and the extent of each owner’s involvement in the company.

Lastly, it should cover the history of your company and the nature of your business now. This prepares the reader to learn about your goals in the next section.

» MORE: How to write a company overview for a business plan

write a micro business plan

The third part of a business plan is an objective statement. This section spells out exactly what you’d like to accomplish, both in the near term and over the long term.

If you’re looking for a business loan or outside investment, you can use this section to explain why you have a clear need for the funds, how the financing will help your business grow, and how you plan to achieve your growth targets. The key is to provide a clear explanation of the opportunity presented and how the loan or investment will grow your company.

For example, if your business is launching a second product line, you might explain how the loan will help your company launch the new product and how much you think sales will increase over the next three years as a result.

In this section, go into detail about the products or services you offer or plan to offer.

You should include the following:

An explanation of how your product or service works.

The pricing model for your product or service.

The typical customers you serve.

Your supply chain and order fulfillment strategy.

Your sales strategy.

Your distribution strategy.

You can also discuss current or pending trademarks and patents associated with your product or service.

Lenders and investors will want to know what sets your product apart from your competition. In your market analysis section , explain who your competitors are. Discuss what they do well, and point out what you can do better. If you’re serving a different or underserved market, explain that.

Here, you can address how you plan to persuade customers to buy your products or services, or how you will develop customer loyalty that will lead to repeat business.

» MORE: R e a d our complete guide to small business marketing

If you’re a startup, you may not have much information on your business financials yet. However, if you’re an existing business, you’ll want to include income or profit-and-loss statements, a balance sheet that lists your assets and debts, and a cash flow statement that shows how cash comes into and goes out of the company.

You may also include metrics such as:

Net profit margin: the percentage of revenue you keep as net income.

Current ratio: the measurement of your liquidity and ability to repay debts.

Accounts receivable turnover ratio: a measurement of how frequently you collect on receivables per year.

This is a great place to include charts and graphs that make it easy for those reading your plan to understand the financial health of your business.

» NerdWallet’s picks for setting up your business finances:

The best business checking accounts .

The best business credit cards .

The best accounting software .

This is a critical part of your business plan if you’re seeking financing or investors. It outlines how your business will generate enough profit to repay the loan or how you will earn a decent return for investors.

Here, you’ll provide your business’s monthly or quarterly sales, expenses and profit estimates over at least a three-year period — with the future numbers assuming you’ve obtained a new loan.

Accuracy is key, so carefully analyze your past financial statements before giving projections. Your goals may be aggressive, but they should also be realistic.

List any supporting information or additional materials that you couldn’t fit in elsewhere, such as resumes of key employees, licenses, equipment leases, permits, patents, receipts, bank statements, contracts and personal and business credit history. If the appendix is long, you may want to consider adding a table of contents at the beginning of this section.

How much do you need?

with Fundera by NerdWallet

We’ll start with a brief questionnaire to better understand the unique needs of your business.

Once we uncover your personalized matches, our team will consult you on the process moving forward.

Here are some tips to help your business plan stand out:

Avoid over-optimism: If you’re applying for a business loan at a local bank, the loan officer likely knows your market pretty well. Providing unreasonable sales estimates can hurt your chances of loan approval.

Proofread: Spelling, punctuation and grammatical errors can jump off the page and turn off lenders and prospective investors, taking their mind off your business and putting it on the mistakes you made. If writing and editing aren't your strong suit, you may want to hire a professional business plan writer, copy editor or proofreader.

Use free resources: SCORE is a nonprofit association that offers a large network of volunteer business mentors and experts who can help you write or edit your business plan. You can search for a mentor or find a local SCORE chapter for more guidance.

The U.S. Small Business Administration’s Small Business Development Centers , which provide free business consulting and help with business plan development, can also be a resource.

On a similar note...

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Step-by-Step Guide to Writing a Simple Business Plan

By Joe Weller | October 11, 2021

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A business plan is the cornerstone of any successful company, regardless of size or industry. This step-by-step guide provides information on writing a business plan for organizations at any stage, complete with free templates and expert advice. 

Included on this page, you’ll find a step-by-step guide to writing a business plan and a chart to identify which type of business plan you should write . Plus, find information on how a business plan can help grow a business and expert tips on writing one .

What Is a Business Plan?

A business plan is a document that communicates a company’s goals and ambitions, along with the timeline, finances, and methods needed to achieve them. Additionally, it may include a mission statement and details about the specific products or services offered.

A business plan can highlight varying time periods, depending on the stage of your company and its goals. That said, a typical business plan will include the following benchmarks:

  • Product goals and deadlines for each month
  • Monthly financials for the first two years
  • Profit and loss statements for the first three to five years
  • Balance sheet projections for the first three to five years

Startups, entrepreneurs, and small businesses all create business plans to use as a guide as their new company progresses. Larger organizations may also create (and update) a business plan to keep high-level goals, financials, and timelines in check.

While you certainly need to have a formalized outline of your business’s goals and finances, creating a business plan can also help you determine a company’s viability, its profitability (including when it will first turn a profit), and how much money you will need from investors. In turn, a business plan has functional value as well: Not only does outlining goals help keep you accountable on a timeline, it can also attract investors in and of itself and, therefore, act as an effective strategy for growth.

For more information, visit our comprehensive guide to writing a strategic plan or download free strategic plan templates . This page focuses on for-profit business plans, but you can read our article with nonprofit business plan templates .

Business Plan Steps

The specific information in your business plan will vary, depending on the needs and goals of your venture, but a typical plan includes the following ordered elements:

  • Executive summary
  • Description of business
  • Market analysis
  • Competitive analysis
  • Description of organizational management
  • Description of product or services
  • Marketing plan
  • Sales strategy
  • Funding details (or request for funding)
  • Financial projections

If your plan is particularly long or complicated, consider adding a table of contents or an appendix for reference. For an in-depth description of each step listed above, read “ How to Write a Business Plan Step by Step ” below.

Broadly speaking, your audience includes anyone with a vested interest in your organization. They can include potential and existing investors, as well as customers, internal team members, suppliers, and vendors.

Do I Need a Simple or Detailed Plan?

Your business’s stage and intended audience dictates the level of detail your plan needs. Corporations require a thorough business plan — up to 100 pages. Small businesses or startups should have a concise plan focusing on financials and strategy.

How to Choose the Right Plan for Your Business

In order to identify which type of business plan you need to create, ask: “What do we want the plan to do?” Identify function first, and form will follow.

Use the chart below as a guide for what type of business plan to create:

Is the Order of Your Business Plan Important?

There is no set order for a business plan, with the exception of the executive summary, which should always come first. Beyond that, simply ensure that you organize the plan in a way that makes sense and flows naturally.

The Difference Between Traditional and Lean Business Plans

A traditional business plan follows the standard structure — because these plans encourage detail, they tend to require more work upfront and can run dozens of pages. A Lean business plan is less common and focuses on summarizing critical points for each section. These plans take much less work and typically run one page in length.

In general, you should use a traditional model for a legacy company, a large company, or any business that does not adhere to Lean (or another Agile method ). Use Lean if you expect the company to pivot quickly or if you already employ a Lean strategy with other business operations. Additionally, a Lean business plan can suffice if the document is for internal use only. Stick to a traditional version for investors, as they may be more sensitive to sudden changes or a high degree of built-in flexibility in the plan.

How to Write a Business Plan Step by Step

Writing a strong business plan requires research and attention to detail for each section. Below, you’ll find a 10-step guide to researching and defining each element in the plan.

Step 1: Executive Summary

The executive summary will always be the first section of your business plan. The goal is to answer the following questions:

  • What is the vision and mission of the company?
  • What are the company’s short- and long-term goals?

See our  roundup of executive summary examples and templates for samples. Read our executive summary guide to learn more about writing one.

Step 2: Description of Business

The goal of this section is to define the realm, scope, and intent of your venture. To do so, answer the following questions as clearly and concisely as possible:

  • What business are we in?
  • What does our business do?

Step 3: Market Analysis

In this section, provide evidence that you have surveyed and understand the current marketplace, and that your product or service satisfies a niche in the market. To do so, answer these questions:

  • Who is our customer? 
  • What does that customer value?

Step 4: Competitive Analysis

In many cases, a business plan proposes not a brand-new (or even market-disrupting) venture, but a more competitive version — whether via features, pricing, integrations, etc. — than what is currently available. In this section, answer the following questions to show that your product or service stands to outpace competitors:

  • Who is the competition? 
  • What do they do best? 
  • What is our unique value proposition?

Step 5: Description of Organizational Management

In this section, write an overview of the team members and other key personnel who are integral to success. List roles and responsibilities, and if possible, note the hierarchy or team structure.

Step 6: Description of Products or Services

In this section, clearly define your product or service, as well as all the effort and resources that go into producing it. The strength of your product largely defines the success of your business, so it’s imperative that you take time to test and refine the product before launching into marketing, sales, or funding details.

Questions to answer in this section are as follows:

  • What is the product or service?
  • How do we produce it, and what resources are necessary for production?

Step 7: Marketing Plan

In this section, define the marketing strategy for your product or service. This doesn’t need to be as fleshed out as a full marketing plan , but it should answer basic questions, such as the following:

  • Who is the target market (if different from existing customer base)?
  • What channels will you use to reach your target market?
  • What resources does your marketing strategy require, and do you have access to them?
  • If possible, do you have a rough estimate of timeline and budget?
  • How will you measure success?

Step 8: Sales Plan

Write an overview of the sales strategy, including the priorities of each cycle, steps to achieve these goals, and metrics for success. For the purposes of a business plan, this section does not need to be a comprehensive, in-depth sales plan , but can simply outline the high-level objectives and strategies of your sales efforts. 

Start by answering the following questions:

  • What is the sales strategy?
  • What are the tools and tactics you will use to achieve your goals?
  • What are the potential obstacles, and how will you overcome them?
  • What is the timeline for sales and turning a profit?
  • What are the metrics of success?

Step 9: Funding Details (or Request for Funding)

This section is one of the most critical parts of your business plan, particularly if you are sharing it with investors. You do not need to provide a full financial plan, but you should be able to answer the following questions:

  • How much capital do you currently have? How much capital do you need?
  • How will you grow the team (onboarding, team structure, training and development)?
  • What are your physical needs and constraints (space, equipment, etc.)?

Step 10: Financial Projections

Apart from the fundraising analysis, investors like to see thought-out financial projections for the future. As discussed earlier, depending on the scope and stage of your business, this could be anywhere from one to five years. 

While these projections won’t be exact — and will need to be somewhat flexible — you should be able to gauge the following:

  • How and when will the company first generate a profit?
  • How will the company maintain profit thereafter?

Business Plan Template

Business Plan Template

Download Business Plan Template

Microsoft Excel | Smartsheet

This basic business plan template has space for all the traditional elements: an executive summary, product or service details, target audience, marketing and sales strategies, etc. In the finances sections, input your baseline numbers, and the template will automatically calculate projections for sales forecasting, financial statements, and more.

For templates tailored to more specific needs, visit this business plan template roundup or download a fill-in-the-blank business plan template to make things easy. 

If you are looking for a particular template by file type, visit our pages dedicated exclusively to Microsoft Excel , Microsoft Word , and Adobe PDF business plan templates.

How to Write a Simple Business Plan

A simple business plan is a streamlined, lightweight version of the large, traditional model. As opposed to a one-page business plan , which communicates high-level information for quick overviews (such as a stakeholder presentation), a simple business plan can exceed one page.

Below are the steps for creating a generic simple business plan, which are reflected in the template below .

  • Write the Executive Summary This section is the same as in the traditional business plan — simply offer an overview of what’s in the business plan, the prospect or core offering, and the short- and long-term goals of the company. 
  • Add a Company Overview Document the larger company mission and vision. 
  • Provide the Problem and Solution In straightforward terms, define the problem you are attempting to solve with your product or service and how your company will attempt to do it. Think of this section as the gap in the market you are attempting to close.
  • Identify the Target Market Who is your company (and its products or services) attempting to reach? If possible, briefly define your buyer personas .
  • Write About the Competition In this section, demonstrate your knowledge of the market by listing the current competitors and outlining your competitive advantage.
  • Describe Your Product or Service Offerings Get down to brass tacks and define your product or service. What exactly are you selling?
  • Outline Your Marketing Tactics Without getting into too much detail, describe your planned marketing initiatives.
  • Add a Timeline and the Metrics You Will Use to Measure Success Offer a rough timeline, including milestones and key performance indicators (KPIs) that you will use to measure your progress.
  • Include Your Financial Forecasts Write an overview of your financial plan that demonstrates you have done your research and adequate modeling. You can also list key assumptions that go into this forecasting. 
  • Identify Your Financing Needs This section is where you will make your funding request. Based on everything in the business plan, list your proposed sources of funding, as well as how you will use it.

Simple Business Plan Template

Simple Business Plan Template

Download Simple Business Plan Template

Microsoft Excel |  Microsoft Word | Adobe PDF  | Smartsheet

Use this simple business plan template to outline each aspect of your organization, including information about financing and opportunities to seek out further funding. This template is completely customizable to fit the needs of any business, whether it’s a startup or large company.

Read our article offering free simple business plan templates or free 30-60-90-day business plan templates to find more tailored options. You can also explore our collection of one page business templates . 

How to Write a Business Plan for a Lean Startup

A Lean startup business plan is a more Agile approach to a traditional version. The plan focuses more on activities, processes, and relationships (and maintains flexibility in all aspects), rather than on concrete deliverables and timelines.

While there is some overlap between a traditional and a Lean business plan, you can write a Lean plan by following the steps below:

  • Add Your Value Proposition Take a streamlined approach to describing your product or service. What is the unique value your startup aims to deliver to customers? Make sure the team is aligned on the core offering and that you can state it in clear, simple language.
  • List Your Key Partners List any other businesses you will work with to realize your vision, including external vendors, suppliers, and partners. This section demonstrates that you have thoughtfully considered the resources you can provide internally, identified areas for external assistance, and conducted research to find alternatives.
  • Note the Key Activities Describe the key activities of your business, including sourcing, production, marketing, distribution channels, and customer relationships.
  • Include Your Key Resources List the critical resources — including personnel, equipment, space, and intellectual property — that will enable you to deliver your unique value.
  • Identify Your Customer Relationships and Channels In this section, document how you will reach and build relationships with customers. Provide a high-level map of the customer experience from start to finish, including the spaces in which you will interact with the customer (online, retail, etc.). 
  • Detail Your Marketing Channels Describe the marketing methods and communication platforms you will use to identify and nurture your relationships with customers. These could be email, advertising, social media, etc.
  • Explain the Cost Structure This section is especially necessary in the early stages of a business. Will you prioritize maximizing value or keeping costs low? List the foundational startup costs and how you will move toward profit over time.
  • Share Your Revenue Streams Over time, how will the company make money? Include both the direct product or service purchase, as well as secondary sources of revenue, such as subscriptions, selling advertising space, fundraising, etc.

Lean Business Plan Template for Startups

Lean Business Plan Templates for Startups

Download Lean Business Plan Template for Startups

Microsoft Word | Adobe PDF

Startup leaders can use this Lean business plan template to relay the most critical information from a traditional plan. You’ll find all the sections listed above, including spaces for industry and product overviews, cost structure and sources of revenue, and key metrics, and a timeline. The template is completely customizable, so you can edit it to suit the objectives of your Lean startups.

See our wide variety of  startup business plan templates for more options.

How to Write a Business Plan for a Loan

A business plan for a loan, often called a loan proposal , includes many of the same aspects of a traditional business plan, as well as additional financial documents, such as a credit history, a loan request, and a loan repayment plan.

In addition, you may be asked to include personal and business financial statements, a form of collateral, and equity investment information.

Download free financial templates to support your business plan.

Tips for Writing a Business Plan

Outside of including all the key details in your business plan, you have several options to elevate the document for the highest chance of winning funding and other resources. Follow these tips from experts:.

  • Keep It Simple: Avner Brodsky , the Co-Founder and CEO of Lezgo Limited, an online marketing company, uses the acronym KISS (keep it short and simple) as a variation on this idea. “The business plan is not a college thesis,” he says. “Just focus on providing the essential information.”
  • Do Adequate Research: Michael Dean, the Co-Founder of Pool Research , encourages business leaders to “invest time in research, both internal and external (market, finance, legal etc.). Avoid being overly ambitious or presumptive. Instead, keep everything objective, balanced, and accurate.” Your plan needs to stand on its own, and you must have the data to back up any claims or forecasting you make. As Brodsky explains, “Your business needs to be grounded on the realities of the market in your chosen location. Get the most recent data from authoritative sources so that the figures are vetted by experts and are reliable.”
  • Set Clear Goals: Make sure your plan includes clear, time-based goals. “Short-term goals are key to momentum growth and are especially important to identify for new businesses,” advises Dean.
  • Know (and Address) Your Weaknesses: “This awareness sets you up to overcome your weak points much quicker than waiting for them to arise,” shares Dean. Brodsky recommends performing a full SWOT analysis to identify your weaknesses, too. “Your business will fare better with self-knowledge, which will help you better define the mission of your business, as well as the strategies you will choose to achieve your objectives,” he adds.
  • Seek Peer or Mentor Review: “Ask for feedback on your drafts and for areas to improve,” advises Brodsky. “When your mind is filled with dreams for your business, sometimes it is an outsider who can tell you what you’re missing and will save your business from being a product of whimsy.”

Outside of these more practical tips, the language you use is also important and may make or break your business plan.

Shaun Heng, VP of Operations at Coin Market Cap , gives the following advice on the writing, “Your business plan is your sales pitch to an investor. And as with any sales pitch, you need to strike the right tone and hit a few emotional chords. This is a little tricky in a business plan, because you also need to be formal and matter-of-fact. But you can still impress by weaving in descriptive language and saying things in a more elegant way.

“A great way to do this is by expanding your vocabulary, avoiding word repetition, and using business language. Instead of saying that something ‘will bring in as many customers as possible,’ try saying ‘will garner the largest possible market segment.’ Elevate your writing with precise descriptive words and you'll impress even the busiest investor.”

Additionally, Dean recommends that you “stay consistent and concise by keeping your tone and style steady throughout, and your language clear and precise. Include only what is 100 percent necessary.”

Resources for Writing a Business Plan

While a template provides a great outline of what to include in a business plan, a live document or more robust program can provide additional functionality, visibility, and real-time updates. The U.S. Small Business Association also curates resources for writing a business plan.

Additionally, you can use business plan software to house data, attach documentation, and share information with stakeholders. Popular options include LivePlan, Enloop, BizPlanner, PlanGuru, and iPlanner.

How a Business Plan Helps to Grow Your Business

A business plan — both the exercise of creating one and the document — can grow your business by helping you to refine your product, target audience, sales plan, identify opportunities, secure funding, and build new partnerships. 

Outside of these immediate returns, writing a business plan is a useful exercise in that it forces you to research the market, which prompts you to forge your unique value proposition and identify ways to beat the competition. Doing so will also help you build (and keep you accountable to) attainable financial and product milestones. And down the line, it will serve as a welcome guide as hurdles inevitably arise.

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The Smartsheet platform makes it easy to plan, capture, manage, and report on work from anywhere, helping your team be more effective and get more done. Report on key metrics and get real-time visibility into work as it happens with roll-up reports, dashboards, and automated workflows built to keep your team connected and informed. 

When teams have clarity into the work getting done, there’s no telling how much more they can accomplish in the same amount of time.  Try Smartsheet for free, today.

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How to Write a Business Plan for a Small Business

Last Updated: December 25, 2023 Fact Checked

This article was co-authored by Helena Ronis . Helena Ronis is Co-founder and CEO of AllFactors, a unified web analytics software to drive company's marketing and business growth. She has worked in product and marketing in the tech industry for over 8 years, and studied Digital Marketing & Analytics at the MIT Sloan School of Management Executive Program. There are 11 references cited in this article, which can be found at the bottom of the page. This article has been fact-checked, ensuring the accuracy of any cited facts and confirming the authority of its sources. This article has been viewed 1,020,176 times.

Helena Ronis

Preparing To Write Your Business Plan

Step 1 Determine the type of business plan you will use.

  • The mini plan. This is a shorter plan (likely 10 pages or less), and is useful for determining potential interest in your business, further exploring a concept, or starting point to a full plan. This is a great starting point. [2] X Research source
  • The working plan. This can be considered the full version of the miniplan, and its main purpose is to outline, without emphasis on appearance, precisely how to build and operate the business. This is the plan that the business owner would refer to regularly as the business moves towards its objectives. [3] X Research source
  • The presentation plan. The presentation plan is meant for individuals other than those owning and operating the business. This could include potential investors or bankers. It is essentially the working plan, but with an emphasis on sleek, marketable presentation, and proper business language and terminology. Whereas the working plan is made for reference by the owner, the presentation needs to be written with investors, bankers, and the public in mind. [4] X Research source

Step 2 Understand the basic structure of the business plan.

  • The business concept is the first broad element of a business plan. The focus here is on the description of your business, its market, its products, and its organizational structure and management.
  • The market analysis is the second major element of a business plan. Your business will operate within a particular marketplace, and it is important to understand customer demographics, preferences, needs, buying behavior, as well as the competition.
  • The financial analysis is the third component of the business plan. If your business is new, this will include projected cash flows, capital expenditures, and the balance sheet. It will also include forecasts as to when the business will break-even.

Step 3 Obtain appropriate help.

  • The above sections are the broad components of the business plan. These sections in turn break down into the following seven sections, which we will, in order, focus on writing next: Company description, market analysis, organization structure and management, products and services, marketing and sales, and request for funding. [6] X Research source

Writing Your Business Plan

Step 1 Format your document correctly.

  • While the first section is technically known as the "Executive Summary" (which gives an official overview of your business), it is typically written last since all the information from the business plan is required to create it.

Step 2 Write your company description as the first section.

  • For example, if your business is a small coffee shop, your description may read something like, "Joe's coffee shop is a small, downtown-based establishment focused on serving premium brewed coffee and fresh baking in a relaxed, contemporary environment. Joe's coffee is located one block from the local University, and aims to provide a comfortable environment for students, professors, and downtown employees to study, socialize, or simply relax between classes or meetings. By focusing on excellent ambiance, close location, premium products, and superb customer service, Joe's coffee will differentiate itself from its peers."

Step 3 Write your market analysis.

  • Include information about your target market. You should be able to answer questions like, who is your target market? What are their needs and preferences? How old are they, and where are they located?
  • Make sure to include a competitive analysis that provides research and information on immediate competitors. List your main competitors strengths and weaknesses and the potential impact on your business. This section is extremely important, as it outlines how your business will gain market share by capitalizing on competitor's weaknesses.

Step 4 Describe your company's organizational structure and management.

  • Talk about your team's expertise and how decisions will be made. If the owners and managers and have extensive backgrounds in the industry or a track record of success, highlight it.
  • If you have an organizational chart, include it.

Step 5 Describe your product or service.

  • Address any questions about your product's life cycle. Do you currently have or anticipate developing a prototype, or filing for a patent or copyright? Note all planned activities.
  • For example, if you are writing a plan for a coffee shop, you would include a detailed menu that would outline all your products. Before writing the menu, you would include a short summary indicating why your particular menu sets your business apart from others. You may state, for example, "Our coffee shop will provide five different types of beverages, including coffee, teas, smoothies, soda's, and hot chocolates. Our wide variety will be a key competitive advantage as we can provide a diversity of product offerings that our main competitors are currently not offering".

Step 6 Write your marketing and sales strategy.

  • Be clear in defining your sales strategy. Will you use sales representatives, billboard advertising, pamphlet distribution, social media marketing, or all of the above?

Step 7 Make a funding request.

  • Gather financial statements to support your funding request. To accurately complete this step, in some cases it might be necessary to hire an accountant, lawyer, or other professional. [13] X Trustworthy Source U.S. Small Business Administration U.S. government agency focused on supporting small businesses Go to source
  • Financial statements should include all historical (if you are an existing business) or projected financial data, including forecast statements, balance sheets, cash-flow statements, profit and loss statements, and expenditure budgets. For one full year, provide monthly and quarterly statements. Each year after that, yearly statements. These documents will be placed in the Appendix Section of your business plan.
  • Include projected cash flows for at least 6 years or until stable growth rates are achieved and if possible, a valuation calculation based on discounted cash flows.

Step 8 Write the executive summary.

  • Existing businesses should include historical information about the company. When was the business first conceptualized? What are some notable growth benchmarks?
  • Start-ups will focus more on industry analysis and their funding goal. Mention the company's corporate structure, its funding requirement, and if you will provide equity to investors.
  • Existing businesses and start-ups should highlight any major achievements, contracts, current or potential clients and summarize future plans.

Finalizing Your Business Plan

Step 1 Include an Appendix.

  • This should include financial statements, credit reports, business licenses or permits, legal documents and contracts (to demonstrate to investors that revenue forecasts are secured by concrete business relationships), and bios/resumes for key personnel.
  • Elaborate risk factors. There should be a section clearly outlining the risk factors affecting your venture and your mitigation plans. This also indicates to the reader how well prepared you are for contingencies.

Step 2 Revise and edit.

  • Rework or completely rewrite content to ensure it works from the perspective of the reader. This is especially true if you are creating a "presentation plan".
  • Read your document aloud. This allows you to detect if any sentences do not flow together well, and it also makes any grammatical mistakes more obvious.
  • Make a copy and give it to a trusted friend or colleague to proofread and provide feedback. You can go online and print a Non-Disclosure Agreement (NDA) for them to sign to help protect your business idea.

Step 3 Create a cover page.

  • Your cover page should include: The words "Business Plan" centered in large bold font, along with your company name, company logo, and contact information. Simplicity is key.

Help Writing a Business Plan

write a micro business plan

Expert Q&A

Helena Ronis

  • In addition to this guide, you can follow along with the SBA's Create A Business Plan [16] X Trustworthy Source U.S. Small Business Administration U.S. government agency focused on supporting small businesses Go to source for more in-depth step-by-step instructions. Thanks Helpful 0 Not Helpful 0
  • Useful small business resources are available through city and state government agencies. Check with your local Chamber of Commerce, or visit the Small Business Administration (SBA) website at: www.sba.gov. Thanks Helpful 0 Not Helpful 0
  • In the case of a startup, you should use a business model canvas according to the Lean Startup method. Thanks Helpful 0 Not Helpful 0

write a micro business plan

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Write a Management Plan

  • ↑ Helena Ronis. Business Advisor. Expert Interview. 23 January 2019.
  • ↑ http://www.entrepreneur.com/article/38290#sec2
  • ↑ https://www.indeed.com/career-advice/career-development/parts-to-a-business-plan
  • ↑ https://www.cdfifund.gov/sites/cdfi/files/documents/business-plan-outline.pdf
  • ↑ https://www.sba.gov/content/company-description
  • ↑ https://openstax.org/books/entrepreneurship/pages/11-4-the-business-plan
  • ↑ https://www.business.qld.gov.au/running-business/marketing-sales/marketing/strategy-planning/writing-strategy-plan
  • ↑ https://www.sba.gov/content/financial-projections
  • ↑ https://www.entrepreneur.com/starting-a-business/first-steps-writing-the-executive-summary-of-your-business/241071
  • ↑ https://writingcenter.unc.edu/tips-and-tools/editing-and-proofreading/
  • ↑ Create A Business Plan

About This Article

Helena Ronis

To write a business plan for a small business, start by writing an executive summary that briefly outlines your business. Follow that with a company description that explains your business in more detail. You'll also want to include sections on your target customers, how your business will be structured, and what products or services you will offer. Finally, conclude your business plan with a section on your marketing strategy and also a funding request for potential investors. For help writing each section of your business plan, read the article! Did this summary help you? Yes No

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BUSINESS STRATEGIES

Free business plan template for small businesses

  • Cecilia Lazzaro Blasbalg
  • Dec 7, 2023

Free business plan template for your new business

Creating a successful business is about more than launching a business website or hanging a shingle on your front door. It requires a well-crafted plan that keeps you on track, anticipates obstacles and acts as a concrete roadmap for launching or improving your small business.

Business planning allows you to clarify your vision while providing information to both intrigue and reassure potential investors. The process may seem daunting, but creating a business plan isn’t difficult—and templates like the one below can help simplify the process even further.

Ready to launch your business? Create a website today.

What is a business plan?

A business plan is used by small business owners and entrepreneurs when starting a new business venture. It’s a strategic document that outlines the goals, objectives and strategies of your new or expanding business, including the company's vision, target market, financial projections and operational plans.

A business plan can attract potential partners, convince investors and banks to help you raise capital, and serve as a resource for future growth. Most importantly, you’ll be able to use your business plan as a roadmap for how to structure, operate and manage your new venture, whether it’s a sole proprietorship, a partnership or something larger.

Who needs a business plan?

Every business owner needs a business plan. They’re an essential tool for any person or entity interested in starting a business . There are many benefits, including:

Defining your business idea

Clarifying the market and competitive landscape

Outlining your marketing strategy

Stating your value proposition

Identifying/anticipating potential risks

Seeking investments from banks and other sources

Setting benchmarks, goals and key performance indicators (KPIs)

A business plan also gives you a way to assess the viability of a business before investing too much time or money into it. While all business involves risk, taking the time to create a plan can help mitigate fallout and avoid potentially costly mistakes.

When creating a business plan, it's important to establish your business goals up front and be prepared to spend time researching the market, performing a competitor analysis and understanding your target market .

Download Wix’s free business plan template

Creating a successful business plan is no easy feat. That’s why we’ve put together a simple, customizable, and free-to-download business plan template that takes the guesswork out of getting started. Use it to create a new business plan or to refresh an existing one.

Download your free Wix business plan template

Lean startup versus traditional business plan formats

In terms of types of business plans , there are two main formats to choose from: traditional and lean.

Traditional business plan format

A traditional business plan includes every detail and component that defines a business and contributes to its success. It's typically a sizable document of about 30 to 50 pages that includes:

Executive summary: The executive summary contains a high-level overview of everything included in the plan. It generally provides a short explanation of your business and its goals (e.g., your elevator pitch ). Many authors like to write this section last after fleshing out the sections below.

Company description: A company description should include essential details like your business name, the names of your founders, your locations and your company’s mission statement . Briefly describe your core services (or products if you’re writing an eCommerce business plan ), but don't go into too much detail since you’ll elaborate on this in the service/product section. Wix offers some helpful mission statement examples if you get stuck. It’s also a good idea to create a vision statement . While your mission statement clarifies your company’s purpose, a vision statement outlines what you want your company to achieve over time.

Market analysis: One of the most extensive sections of the business plan, this section requires that you conduct market research and write your conclusions. Include findings for the following: industry background, a SWOT analysis , barriers/obstacles, target market and your business differentiators.

Organization and management: This is where you outline how your business is structured and who's in charge, including founders, executive team members, board members, employees and key stakeholders. To this end, it can be helpful to create a visual layout (e.g., org chart) to illustrate your company structure.

Service or product line: Create a detailed list of your current and future products and services. If you’re still working on your idea, create a concept statement to describe your idea or product. You should also include a proof of concept (POC), which demonstrates the feasibility of your idea. Wherever applicable, include diagrams, product images and other visual components to illustrate the product life cycle.

Marketing and sales: Detail how your business idea translates into selling and delivering your offerings to potential customers. You can start by outlining your brand identity, which includes the colors and fonts you plan to use, your marketing and advertising strategy, and details about planned consumer touchpoints (like your website, mobile app or physical storefront).

Financial projections and funding requests: Include financial statements, such as a balance sheet, profit-and-loss statement (P&L), cash flow statement and break-even analysis. It's not uncommon for a business plan to include multiple pages of financial projections and information. You’ll also want to mention how much funding you seek and what you plan to do with it. If you’ve already secured funding, provide details about your investments.

essential parts of a business plan

Lean startup business plan format

A lean startup business plan—also referred to as a “lean canvas”—is presented as a problem/solution framework that provides a high-level description of your business idea. A lean plan is a single-page document that provides a basic overview of the most essential aspects of your business. It’s a good way to dip a toe into business planning since it doesn't require the same level of detail as a traditional plan. This includes:

Problem: What problem does your product or service solve, or what need does it fulfill?

Solution: How do you intend to solve it?

Unique value proposition (UVP): Why should people use your product or service versus someone else’s?

Unfair advantage: What do you have that other companies don’t?

Customers: Who are your ideal customers?

Channels: How will those customers find you?

Key metrics: How do you define success? How will you track and measure it?

Revenue streams: How will your business make money?

Cost structure: What will you spend money on (fixed and variable costs)?

Benefits of a business plan template

Business plan templates offer numerous benefits for entrepreneurs and aspiring business owners. Here are some key advantages:

1. Save time and effort: Templates provide a pre-defined structure, eliminating the need to start from scratch. This frees up valuable time and effort that can be invested in other crucial aspects of business development.

2. Improve structure: Templates ensure a consistent and organized approach to presenting your business plan. This makes it easier for potential investors, lenders and advisors to understand your vision and evaluate the feasibility of your business. 3. Enhance professionalism: Using a well-designed template demonstrates professionalism and seriousness to external stakeholders. This can significantly impact their perception of your business and increase their confidence in your venture. 4. Guide your thought process: Templates act as a helpful framework, prompting you to consider all the key elements of your business plan and ensuring you haven't overlooked any critical areas. 5. Ensure completeness: Templates often include checklists and prompts to ensure you cover all essential information, minimizing the risk of missing crucial details. 6. Standardize formatting: Templates ensure a consistent and uniform appearance throughout your business plan, contributing to a more polished and professional presentation. 7. Access to expert knowledge: Many templates are developed by experienced business professionals or organizations, incorporating best practices and insights gained from successful ventures. 8. Adaptability and customization: While templates offer a basic structure, they can be easily customized to reflect the unique characteristics and needs of your specific business. 9. Cost-effectiveness: Templates are generally available for free or at a low cost, making them an accessible and budget-friendly option for entrepreneurs. 10. Increased success rate: Studies have shown that businesses with well-developed plans are more likely to succeed. Templates can help you create a comprehensive and persuasive plan, increasing your chances of securing funding and achieving your business goals.

Tips for filling out your business plan template

The hardest part of a journey is always the first step, or so the saying goes. Filling out your business plan template can be daunting, but the template itself is meant to get you over that crucial first hurdle—getting started. We’ve provided some tips aimed at helping you get the most from our template.

These are best practices—they’re not rules. Do what works for you. The main thing to remember is that these tips can help you move more easily through the planning process, so that you can advance onto the next (exciting) step, which is launching your business.

Consider your goals: What is the purpose of your business? Are you looking to expand, launch a new product line or fund a specific project? Identifying your goals helps you prioritize important information in your business plan.

Fill out what you can: You may already have a vague—or specific—idea of what you want your business to achieve. Go through each section of the template and fill out what you can. We suggest leaving the executive summary blank for now, since it'll be the last thing you write.

Be realistic: Even though this document is meant to serve as a marketing tool for potential investors, don't exaggerate any numbers or make any false promises.

Dig into the research: Nothing's more motivating than getting some intel about your competitors and your market. If you're truly stuck, a little research can help motivate you and provide valuable insight about what direction to take your business. For example, if you plan to start a landscaping business, learn about the specific pricing offered in your area so that you can differentiate your services and potentially offer better options.

Get help from others: Bouncing your ideas off a friend, mentor or advisor is a great way to get feedback and discover approaches or products to incorporate into your plan. Your network can also give you valuable insight about the industry or even about potential customers. Plus, it's nice to be able to talk through the challenges with someone who understands you and your vision.

Revise and review: Once complete, step back from your plan and let it "cook." In a day or two, review your plan and make sure that everything is current. Have other people review it too, since having another set of eyes can help identify areas that may be lacking detail or need further explanation.

Once you’ve completed your business plan template, it can become a meaningful resource for developing your mission statement, writing business proposals and planning how to move forward with the marketing, distribution and growth of your products and services.

After launch, you can also analyze your value chain to identify key factors that create value for your customers and maximum profitability for you. This can help you develop a more effective business plan that considers the entire value chain, from research and development to sales and customer support.

Business plan template FAQ

What is the easiest way to write a business plan.

The easiest way to write a business plan is to utilize a template. Templates provide a structured format and guide you through each section, simplifying the process of creating a comprehensive plan.

Is there a template for how to write a business plan?

What are the 7 essential parts of a business plan, related posts.

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Blog Business

Small Business Owners: How to Write Your Business Plan [+ Editable Templates]

By Krystle Wong , Apr 03, 2023

small business plan

As a small business owner, it can be tempting to jump right into launching your business and skip the step of creating a business plan. However, having a well-written business plan is essential to the success and growth of your business. 

A business plan serves as a roadmap for your business, outlining your goals, strategies, and action plans. It helps you stay on track and focused, ensuring that every decision you make is aligned with your overall business objectives.

While creating a business plan may seem daunting, it’s worth the time and effort to ensure the long-term success of your business. In this article, I’ll dive into the insights on how a business plan can help your small business thrive and how to create one that stands out. 

Ready to get started with creating a business plan to win over your investors? Pick from Venngage’s 10,000+ professional  templates  to customize your own for free!

Click to jump ahead:, why is having a business plan important for small businesses, what are the 3cs for writing a successful small business plan, what are the 7 steps of creating a winning business plan, how to make my small business plan stand out.

Nevertheless, you may be wondering – is it really necessary to go the extra mile and build a business plan even as a small business? 

For many business owners, it’s easy to get caught up in the day-to-day operations of running your business. However, it’s essential to take a step back and create a solid business plan – especially if you’re looking to:

1. Clarify your vision and goals

Whether you’re trying to start a new business or expand your existing business, it’s important to know what your goals are. The plan will serve as a blueprint for how you plan to grow and sustain your business over time. 

2. Secure Funding

Another reason for writing a business plan is to seek out investors for your business. A compelling business plan demonstrates the potential for growth and profitability of your business and increases your chances of securing funding. Partnering with a reliable invoice finance provider can offer a flexible solution to manage cash flow and support growth, especially when navigating the financial complexities of expanding a small business.

3. Identify potential challenges

From financial obstacles to operational and staffing challenges, having a business plan forces you to think critically about your business. From there, you can develop strategies to address these challenges more effectively.

4. Attract and retain customers

Having an exciting product or service is simply not enough. You need to think about how you can get customers to keep coming back to sustain in the long run. With a business plan, you can develop a strategy that resonates with your customers and stand out from the competition.

5. Measure performance

Your should include your financial projections and key performance indicators to measure your achievements. By regularly reviewing and updating your business plan, you can also ensure that your business is on track to meet its goals.

Ready to put your ideas down on paper? Here are  15+ business plan templates you can use for strategic planning .

As an entrepreneur, you’d know that running a successful business goes beyond just your day-to-day operations. Therefore, having a detailed business plan can help you take a closer look at your business — starting by analyzing your 3Cs. 

By focusing on these three key areas, you can develop a plan that effectively communicates your business concept, identifies your target customer, and positions your business to compete in the market.

The first ‘C’ refers to the concept of your business. Look for gaps in the market you’re in and how your product or service solves a problem for your target market. Focus on what is your competitive advantage and how it sets you apart from your competitors. 

Your business plan should also include information about your company’s history, business structure and mission statement. Having a solid understanding of your business will also come in handy when writing your company description and earn you extra first impression points.

2. Customers

The second ‘C’ is all about understanding your target markets and potential customers. Before you dive deep into your business plan, you should first conduct market research. This would help you identify your ideal customer profile, including their demographics, behaviors and preferences.

Additionally, you should explain how you plan to reach and acquire these customers with a detailed marketing and sales strategy plan. Creating a user persona guide helps you understand your target market and how they use your product or service. Here’s an example that you can use:

Food Customer Sales Action Plan Template

Visualize your customers with Venngage’s  User Persona Guide  tool today. It’s free and most importantly — no design experience is required.

3. competitors.

Your final “C” in writing an effective business plan is no other than your competitors. Competitor analysis is critical in positioning your business for success. You should definitely research and evaluate your competitors, analyzing their strengths and weaknesses, market position, and pricing strategy.

At the same time, you should also outline your strengths and weaknesses and explain how you plan to overcome them. You can always conduct a SWOT analysis on both your and your competitors’ business. This SWOT competitor analysis template is a good example of how it’s done: 

Marketing SWOT Analysis Example

Check out this article to learn everything about  utilizing infographics to create an effective business plan . 

If you’ve read this blog on  how to create a business plan , you’d know that a professional plan typically has the following sections: 

  • Table of Contents
  • Executive summary
  • Company description
  • Market analysis
  • Organization and management
  • Service or product line
  • Marketing and sales
  • Funding request
  • Financial projections
  • An appendix

This may seem overwhelming for many small business owners and you’re probably thinking of backing out at this point. Therefore, creating your  bus i ness plan outline  before you go into the details can ensure that you don’t leave any essential information out of your plan. 

But let me assure you that you’ll be well on your way to creating a successful business plan that can help you achieve your goals by following these steps:

Step 1: Define your business idea

Every business idea should be born out of a problem that needs solving. To find a good business idea , start by identifying a problem or a need in the market that is not adequately addressed. You also should clearly define your business idea and what you plan to offer. Don’t forget to also consider your business’s cost, feasibility, scalability, and profitability.

For example, this candle business highlights that handmade candles are made from 100% beeswax to ensure product safety and quality: 

Candle Business Plan Template

Once you have that figured out, it’ll be easy as pie for you to come up with your company description. Your company description should include details such as your business location, business resources, management team and more. 

Bakery Business Plan Template

Step 2: Conduct your market research

Conducting thorough market research builds a strong foundation for your market analysis. What’s more, it provides insights into the viability of your business idea and helps you develop a winning strategy.

You can conduct primary market research with:

  • Customer interviews
  • Online surveys or questionnaires
  • In-person focus groups
  • Purchasing a competitor product to study packaging and delivery experience

Or secondary market research by:

  • Reading company records
  • Examining the current economic conditions
  • Researching relevant technological developments

write a micro business plan

This market overview template will help you look into industry trends and your target audience and collect vital data for your marketing strategy:

Market Overview Template

Step 3: Analyze your competitors

A  competitive analysis  report outlines the strengths and weaknesses of your competitors compared to those of your own business. 

Start by creating a competitor profile for each of your competitors which typically includes:

  • The company’s revenue and market share
  • The company’s size and management team
  • A SWOT analysis 
  • An overview of how the brand is perceived by customers

In addition to specific product features, here are some attributes that you might want to look into:

  • Product quality
  • Number of features
  • Ease of use
  • Customer support
  • Brand/style/image

Use this competitor analysis report template to dive deeper into your competitor data and inform your marketing and business strategies: 

Light Competitor Analysis Consulting Report Template

Step 4: Develop a marketing strategy

Your marketing strategy can be brief, covering a single campaign, or it can be long-term, detailing your marketing plans for an entire year. 

An effective marketing plan revolves around your target market and finding ways to reach them effectively. This may include branding, advertising, and social media .

While different marketing tactics are used to achieve different goals, they should always be in sync with the overall goals of your business. 

Use a mindmap to organize your marketing goals and strategies to make sure that they are in line with your business goals. 

Business Strategy Mindmap Template

If you’re running a small business, you may have limited funds to allocate toward marketing efforts. Some commonly used marketing strategies for small businesses include:

  • Social media marketing
  • Content marketing
  • Work with local influencers
  • Word-of-mouth
  • Customer referral programs
  • Customer loyalty plans

This Japanese restaurant business plan details both their online and offline marketing strategies. They’re also keen to capitalize on the steady stream of tourists coming into the city by catering to groups with large orders.

write a micro business plan

You can also use a timeline infographic like this one here to keep you on track with your marketing goals:

Strategy Timeline Infographic

Don’t know where to start? This article will give you a crash course on  how to make your marketing plan . 

Step 5: identify your key performance indicators (kpi).

With all those marketing strategies in line, the next step is to identify the key metrics you’ll use to measure your business’s success. So, what is your KPI going to be? Is it revenue, profit margin, customer acquisition cost or customer retention rate?

KPIs give you a clear understanding of how well your business is doing and provide valuable insights that help make informed decisions. Without identifying KPIs, it can be difficult to gauge the effectiveness of your efforts. 

write a micro business plan

Step 6: Develop a Financial Plan

We’ve finally reached the core of your business strategy, which is the section that your potential investors are most interested in – your financial plan.

Having your business plan lined out can help you understand the financial viability of your business and prepare for potential challenges. It can also persuade investors and get the funding you need.

Some of the important details that you’d want to include in your financial plan are your:

  • Income statement
  • Cash flow statement
  • Balance sheet 
  • Sales forecast
  • Break-even analysis
  • Financial health 
  • Financial forecasts

Planning to start your own gym ? Use this template to project your revenues and expenses: 

write a micro business plan

Step 7: Determine your funding needs

Now that you have your financial plans worked out, you’ll have a clearer picture of how much funding you’ll need to start and grow your business . 

There are several types of funding options available for small businesses seeking financing, including:

  • Self-funding or bootstrapping
  • Family and friend loans
  • Crowdfunding
  • Angel investors
  • Venture capital
  • Business loans

For example, this non-profit business plan template details the fundraising activities they have to generate operational funds.

Nonprofit Business Plan Template

Start customizing your business plan with these  15+ templates that would help you win over your investors, lenders, or partners . 

As new business owners, having a strong business plan is essential for securing funding and laying the foundation for your company’s success. However, with so many business plans vying for investors’ attention, it can be challenging to make yours stand out. 

In summary, the following tips can help you write a business plan that captures the attention of investors:

Focus on your competitive advantages

Furthermore, show customers and investors why they should choose you over others. Highlight what sets your business apart from your competitors and how your product or service can serve as a solution. 

Show a deep understanding of your target market

Visualize your ideal customers and their needs with a user persona and analyze your competitors. This will help you explain how your business can meet those needs better than your competitors. 

Provide a clear and concise executive summary

Start with a short, punchy summary that gives investors or lenders an overview of your business. Your executive summary should also include your plans, its value proposition, and the opportunities it presents to attract funding.

Provide solid financial projections

Investors and lenders want to see that your business has a foreseeable future. Make sure to detail your business financials such as cash flow statement, income statement, break-even analysis and balance sheet.

Be specific about your goals and milestones

Lay out achievable goals and milestones that you aim to reach in the short and long term. This will give investors a clear sense of your vision and your commitment to achieving it.

Show your passion

Finally, don’t be afraid to let your passion for your business shine through. Investors and lenders want to see that you are committed to your business and that you believe in its potential for success.

Elevate your small business with an exceptional business plan that sets you apart from the competition

Having a well-thought-out business plan can really max out your business’s potential and win over your investors. But as an entrepreneur, growing a business requires a lot of time and effort and you might not have the extra time to spend on designing your business plan. 

But don’t you worry – Venngage has got it covered for you. Designing a business plan requires little to no effort with Venngage’s customizable professional templates. Most importantly, no design experience is required. 

Pick from one of the templates above or browse for more  Business Plan Templates  and start customizing your own today! 

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How to write a small business plan: 3 top tips & free sample.

How to Write a Small Business Plan: 3 Top Tips & Free Sample

Fail to plan and you’ll plan to fail. A small business plan sets your business up for success with a clear trajectory. Here is how to write your own.

A small business plan is your blueprint to success. The business planning process involves plotting out your core mission, revenue streams and marketing plan . This helps shape your business from passion project to moneymaker.

This short guide is all about helping you write a small business plan that organizes your thoughts and gets you funded.

Here’s What We’ll Cover:

Do You Need a Business Plan?

3 tips to writing a great business plan, key takeaways.

Hot take but not every business needs a traditional business plan. 

The art of business planning has been lost in recent years. When startups took over the entrepreneurial sphere, the humble business plan seemed traditional. A relic from the past that doesn’t work for adaptable rapidly changing businesses like tech companies.

But if you are reading this article, it’s likely you are a small business owner with a clear value proposition and market. That’s what startups don’t have.

Business plans are bad for startups because they have no idea what the product truly is yet! They don’t have a market. They aren’t sure where to find them. And their product is going to pivot about 15 times a month to find the elusive product-market fit. It is a completely different type of business.

write a micro business plan

We are on the small business or solopreneur train. Business plans are for you if: 

  • You have a clear idea of your product or service
  • You can easily do market analysis on your intended market
  • You are seeking funding from traditional banks
  • You have a clear sales strategy

If your business idea is more of a high-risk invention or tech startup, you need a pitch deck rather than a business plan. 

1. Nail Your Elevator Pitch

Every good business plan starts with an “executive summary”. This is essentially a short paragraph summarizing your business mission statement. A company description. The mission tells the reader what you intend to do and how you intend to do it. The vision is where you want to end up. 

These short sentences need to convey your big why. Why are you starting this business and what is your aim? Who do you serve?  

If you can’t summarize your business in just a few short sentences, the proposition is too lofty and vague.

This might be the hardest and most important section of your business plan – no pressure. 

2. Know Thy Structure

How do you structure a business plan? It depends on the core purpose. If the business plan is for internal use among management and employees, it will look one way. If you are writing a business plan to seek funding, it will look another way. 

The broad strokes are:

  • Executive summary As discussed above.
  • Goals The milestones you would like to hit in the short-term, mid-term and long-term
  • Skills & experience Why should you be running this business?
  • Products & services Your plan to make money is the core of your business strategy.
  • Target market Include any research you have done on your ideal customer.
  • Competitive analysis Who is in your space? What are their strengths and weaknesses?
  • Operational plans How do you intend to run your business? Will you be a limited liability company? Or a sole proprietorship? Do you have business partners?
  • Marketing plan How to market to your potential customers is tough to predict but do your best!
  • Sales forecast Set realistic goals for how much your business could turnover in the next 3 years.
  • Start-up expenses How much do you need? If you are seeking funding, this would be your “ask”.

Adapt it to suit your situation. A one-page business plan will still have most of these elements.

write a micro business plan

3. The Key to Success Is Market Research

Most people hate market research. It’s time-consuming. But this is the advantage you have as a small business owner operating in an established market – everyone has done it for you! 

Market research doesn’t need to be boring or even lengthy. You can use statistics from government websites and Pew Research. Statistica has paid detailed reports. There are also industry-specific researchers.

Social media can be part of your research. Face-to-face questionnaires and anonymous surveys.

The more information you gather, the better you will understand your ideal market and potential for growth.

Writing a business plan sounds more tedious than it actually is. It is helpful to keep updating it as your business progresses. Don’t feel too pressured to nail it on the first try. 

To get you started we have a free small business plan template that will take the guesswork out of the structure and presentation. All you need to do is fill it in. We wish you every success!

Find more templates and information for your small business on our resource hub .

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Home > Business > Business Startup

How To Write a Business Plan

Stephanie Coleman

We are committed to sharing unbiased reviews. Some of the links on our site are from our partners who compensate us. Read our editorial guidelines and advertising disclosure .

How-to-write-a-business-plan

Starting a business is a wild ride, and a solid business plan can be the key to keeping you on track. A business plan is essentially a roadmap for your business — outlining your goals, strategies, market analysis and financial projections. Not only will it guide your decision-making, a business plan can help you secure funding with a loan or from investors .

Writing a business plan can seem like a huge task, but taking it one step at a time can break the plan down into manageable milestones. Here is our step-by-step guide on how to write a business plan.

Table of contents

  • Write your executive summary
  • Do your market research homework
  • Set your business goals and objectives
  • Plan your business strategy
  • Describe your product or service
  • Crunch the numbers
  • Finalize your business plan

write a micro business plan

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Step 1: Write your executive summary

Though this will be the first page of your business plan , we recommend you actually write the executive summary last. That’s because an executive summary highlights what’s to come in the business plan but in a more condensed fashion.

An executive summary gives stakeholders who are reading your business plan the key points quickly without having to comb through pages and pages. Be sure to cover each successive point in a concise manner, and include as much data as necessary to support your claims.

You’ll cover other things too, but answer these basic questions in your executive summary:

  • Idea: What’s your business concept? What problem does your business solve? What are your business goals?
  • Product: What’s your product/service and how is it different?
  • Market: Who’s your audience? How will you reach customers?
  • Finance: How much will your idea cost? And if you’re seeking funding, how much money do you need? How much do you expect to earn? If you’ve already started, where is your revenue at now?

write a micro business plan

Step 2: Do your market research homework

The next step in writing a business plan is to conduct market research . This involves gathering information about your target market (or customer persona), your competition, and the industry as a whole. You can use a variety of research methods such as surveys, focus groups, and online research to gather this information. Your method may be formal or more casual, just make sure that you’re getting good data back.

This research will help you to understand the needs of your target market and the potential demand for your product or service—essential aspects of starting and growing a successful business.

Step 3: Set your business goals and objectives

Once you’ve completed your market research, you can begin to define your business goals and objectives. What is the problem you want to solve? What’s your vision for the future? Where do you want to be in a year from now?

Use this step to decide what you want to achieve with your business, both in the short and long term. Try to set SMART goals—specific, measurable, achievable, relevant, and time-bound benchmarks—that will help you to stay focused and motivated as you build your business.

Step 4: Plan your business strategy

Your business strategy is how you plan to reach your goals and objectives. This includes details on positioning your product or service, marketing and sales strategies, operational plans, and the organizational structure of your small business.

Make sure to include key roles and responsibilities for each team member if you’re in a business entity with multiple people.

Step 5: Describe your product or service

In this section, get into the nitty-gritty of your product or service. Go into depth regarding the features, benefits, target market, and any patents or proprietary tech you have. Make sure to paint a clear picture of what sets your product apart from the competition—and don’t forget to highlight any customer benefits.

Step 6: Crunch the numbers

Financial analysis is an essential part of your business plan. If you’re already in business that includes your profit and loss statement , cash flow statement and balance sheet .

These financial projections will give investors and lenders an understanding of the financial health of your business and the potential return on investment.

You may want to work with a financial professional to ensure your financial projections are realistic and accurate.

Step 7: Finalize your business plan

Once you’ve completed everything, it's time to finalize your business plan. This involves reviewing and editing your plan to ensure that it is clear, concise, and easy to understand.

You should also have someone else review your plan to get a fresh perspective and identify any areas that may need improvement. You could even work with a free SCORE mentor on your business plan or use a SCORE business plan template for more detailed guidance.

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The takeaway

Writing a business plan is an essential process for any forward-thinking entrepreneur or business owner. A business plan requires a lot of up-front research, planning, and attention to detail, but it’s worthwhile. Creating a comprehensive business plan can help you achieve your business goals and secure the funding you need.

Related content

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  • How to Get a Business License: What You Need to Know
  • What Is a Cash Flow Statement?

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Small Business Not for You? Here's How to Create a Micro Business Plan

Please note: This post contains affiliate links and we may receive a commission if you make a purchase using these links.

TABLE OF CONTENTS

Get the guide: How to Start a Micro Business

Do good things really come in small packages? If micro businesses are anything to judge by, then the answer is "no — they come in tiny ones." With a micro business, you can sidestep many of the headaches that come with small business ownership while still pursuing your entrepreneurial goals and running your own business.

So if you're ready to join the micro side, stick around to find out how to create a micro business plan.

Put your brilliant business ideas into action with Bizee’s Free DIY Course

What is a micro business.

By now, you've probably guessed that a micro business is even smaller than a small business. But what is a micro business exactly ?

In truth, it depends on who you ask. Some of the various definitions include:

  • Businesses started with less than $50,000. While this makes sense at first glance, consider that Hewlett-Packard was founded with just $538 in 1939 or about $10,000 in today's money. The tech giant now employs over 50,000 people and earns tens of billions of dollars per year, and you'd be hard-pressed to find anyone who considers it a micro business. So, this definition has too much room for error.
  • Businesses that earn less than $250,000 per year. Again, this definition seems sound at first. But when you remember that heavily investor-funded companies like Uber sometimes exist for many years before finally turning a profit , its practical use becomes much murkier.
  • Business with less than 10 employees. OK, now we're getting somewhere. Even on Forbes ' annual Small Giants roundup , a list of 25 outstanding small businesses, it's difficult to find companies with less than 20 employees, let alone 10. As such, this is one of the most solid definitions so far, and it also happens to be the one used by the U.S. Small Business Administration (SBA) .

So which definition is the best one? There is no single agreed-upon answer, but for the sake of simplicity, we'll use the same one as the SBA and say that a micro business is any with less than 10 employees . If the business was started with less than $50,000 and/or earns less than $250,000 per year, that just contributes to its micro business status.

What are examples of micro businesses? In short, the sky's the limit. That's because any and every business with less than 10 employees can be considered a micro business, including:

  • A brick-and-mortar retail shop with one owner and three sales associates
  • A tax consultation company owned by two people who occasionally meet with clients
  • A freelance writing business consisting of one person who works exclusively from home
  • A real estate company with one owner and five employees who all work out of the same office

Those are just a few of many possible examples, but suffice it to say that there are myriad micro businesses across every industry and niche.

Micro Businesses by the Numbers

You've probably heard that small businesses are the backbone of the economy, and that's certainly accurate. But if we're getting really specific, the truth is that micro businesses form the foundation of the U.S.'s wealth.

As the SBA explained, they're the most common type of employer firm. And in 2016, the country's 3.8 million micro business employers made up nearly 75 percent of all private-sector employers:

And remember, those statistics don't even account for micro businesses that don't have any employees, i.e., those consisting only of one person. The U.S. Census Bureau pointed out that in that same year, only about 24 percent of the country's establishments had paid employees, meaning that 75 percent don't have any employees at all.

In other words, the majority of the U.S.'s businesses are micro businesses whose only employee is their owner. So if you're more interested in starting a micro business than you are in starting a small business destined for growth, you're far from being the only one.

How to Create a Micro Business Plan

So you want to start your own micro business, you're brimming with entrepreneurial energy and you're ready to go. Now, it's time to start planning. But what is a micro business plan?

In many regards, a micro business plan is very similar to a small business plan in that it:

  • Provides a roadmap for starting and managing your business
  • Plans for up to five years in the future
  • Details what your business will do, how it will earn money and who it will sell to

Where micro business plans differ from other business plans, however, is in their scope. For example, all of these elements can be included in standard business plans but may be unnecessary in micro business plans:

  • Overview of management structure/corporate hierarchy: Since most micro businesses only employ their owner, there's no need to dedicate a section to detailing the business's leaders and key staff members. And even if a micro business does have employees, it will have so few that this section can remain short and sweet.
  • Funding requests: Larger businesses may need to include funding requests or investor information in their business plan. But with a micro business, your startup costs can likely be covered by your own funds (seriously — there are many businesses you can start for under $1,000 ).
  • Growth goals and scalability: For businesses whose ultimate goal is to achieve as much growth as possible, it's important to detail how much they want to grow, when they want to achieve that growth and how their business will scale. But for micro businesses that are more focused on self-sufficiency than scalability, this isn't typically a concern.

But the question still remains, how do you write a mini business plan of your own? While there is no one right way to create a business plan, your micro business plan could look something like this:

  • Business overview: A brief description of what your business will do, as well as your broader vision and goal.
  • Market summary: A breakdown of your target audience, the value you're offering to them, your main competitors and your competitive edge.
  • Marketing strategy: An outline of the marketing channels you'll use to find and connect with customers (this can include social media, content marketing, email marketing and the like), as well as the strategies you'll use to make the most of those channels (such as by posting one new blog post per week and one new Facebook post per day).
  • Expected costs: An estimation of your business's costs, including those that you'll only have to pay once (such as state fees for filing an LLC ) and those that you'll have to pay on a regular basis (such as software subscriptions).
  • Expected revenue: An estimation of how much money your business will earn from each sale and how frequently you expect sales to occur. Also note how many sales you'll need to make (and how often) in order to generate a profit.
  • Key objectives: A summary of your next steps and when you want them to be completed. For instance, form an LLC within one month, make five sales within three months and break-even within six months.

In the end, what's most important is that your micro business plan helps you form a clearer idea of what you want your business to do and how you plan to do it. You don't need a 10-page essay in order to succeed — just as with micro businesses themselves, bigger isn't necessarily better.

Creating a business plan is just one piece of the puzzle, though. If you want a guide that walks you through every step of starting a micro business on your own, Bizee's DIY Business Course can help.

Carrie Buchholz Powers

Carrie Buchholz-Powers

Carrie Buchholz-Powers is a Colorado-based writer who’s been creating content since 2013. From digital marketing to ecommerce to land conservation, she has experience in a wide range of fields and loves learning about them all. Carrie is fond of history, animals and beauty in equal measure. In her free time, she enjoys knitting, playing video games and exploring Colorado's prairies and mountains with her husband.

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October 31, 2023

Block Advisors

How to Write a Business Plan Step-By-Step

October 31, 2023 • Block Advisors

QUICK ANSWER:

  • A business plan outlines your business’s goals, services, financing, and more.
  • Business plans vary in length and complexity but should always include an explanation of what your business will do and how it will do it.
  • Business plans serve as a guide for business owners and employees and are key to boosting investor confidence.

Whether you’re a serial entrepreneur or just getting your first small business idea off the ground, creating a business plan is an important step. Good business planning will help you clarify your goals and objectives, identify strategies, and note any potential issues or roadblocks you might face.

Not every business owner chooses to write a business plan, but many find it to be a valuable step to take when starting a business. Creating a business plan can seem daunting and confusing at first. But taking the time to plan and research can be very beneficial, especially for first-time small business owners.

If you want to learn how to create a business plan or if you feel you just need a little business plan help, read on!

What is a Business Plan?

A business plan serves as a comprehensive document that outlines your business’s goals, services, financing, leadership, and more details essential to its success. Think of the plan as the who, what, and why of your new business:

A small business owner learning how to write a business plan

Who are the major players in your business?

What goods or services do you offer and why are they important?

Why are you in business and why should customers choose you?

Business plans can range in complexity and length, but, at their core, all plans explain what the business will do and how it will do it. A business plan serves as a guide for business owners and employees and should boost investor confidence. Some important advantages of business plans include:

  • Shows investors you have an in-demand product or service, a solid team to achieve business goals, and the potential for growth and scalability.
  • Increases the likelihood of securing a business loan, locking in investments, or raising capital. >>Read: A Guide to Raising Capital as a Small Business Founder
  • Helps recognize partnership opportunities with other companies.
  • Identifies and defines competitors within your given industry.

Looking for an examples of a successful business plan? Check out the SBA’s business plan page for walkthroughs of different business plan outlines.

How to Write a Business Plan: 10 Simple Steps

Starting with a blank page is undoubtedly intimidating. So, begin with a structured business plan template including the key elements for each section. Once your outline is complete, it’ll be time to fill in the details. Don’t worry, you’ll know how to write a business plan in no time. We’ve broken each section down to help you write a business plan in a few simple steps.

1. Brainstorm and Draft an Executive Summary for Your Business Plan

This will be the first page of your business plan. Think of it as your business’ written elevator pitch. In this high level summary, include a mission statement, a short description of the products or services you will be providing, and a summary of your financial and growth projections.

This section will be the first part people read, but you may find it easier to write it last. Writing it after building out the rest of your plan may help you condense the most important information into a concise statement. You’ll need to streamline your thoughts from the other sections into a one page or less summary.

2. Create a Business Description

In this next section, describe your business. Add more specific details than the executive summary. You should include your business’s registered name, the address of your business’s location, basic information about your business structure , and the names of key people involved in the business.

The company description should also answer these two questions:

  • Who are you?
  • What do you plan to do?

Explain why you’re in business. Show how you are different from competitors. Tell investors why they should finance your company. This section is often more inspirational and emotional. Make sure you grab the reader’s attention. The goal is to get them to believe in your vision as much as you do.

What business structure is right for my company?

Answer these six questions to help you find your fit

3. Outline Your Business Goals

This section should serve as an objective statement. Explain what you want to accomplish and your timeline. Business goals and objectives give you a clear focus. They drive your business to success, so dream big. Include objectives that will help you reach each goal. Don’t forget to make your goals and objectives SMART – that is, they should be:

S pecific | M easurable | A ttainable | R elevant | T ime-bound

4. Conduct and Summarize Market Research

Next, outline your ideal customer with some research. Do the math to estimate the potential size of your target market. Make sure you are choosing the right market for your product, one with plenty of customers who want and need your product. Define your customer’s pain points. Explain your expertise in relation to the market. Show how your product or service fills an important gap and brings value to your customers. Use your findings to build out a value proposition statement.

5. Conduct a Competitive Analysis

In a similar way, you’ll also want to conduct and include a competitive analysis. The purpose of this analysis is to determine the strengths and weaknesses of competitors in your market, strategies that will give you a competitive advantage, and how your company is different. Some people choose to conduct a competitive analysis using the SWOT method .

6. Outline Your Marketing and Sales Strategies

Your marketing sales strategy can make or break your business. Your marketing plan should outline your current sales decisions as well as future marketing strategies. In this section, you should reiterate your value proposition, target markets, and customer segments. Then, include details such as:

  • A launch plan
  • Growth tactics and strategies
  • A customer retention plan
  • Advertising and promotion channels (i.e. social media, print, search engines, etc.)

7. Describe Your Product or Service

By this point, your products or services have probably been mentioned in several areas of the business plan. But it’s still important to include a separate section that outlines their key details. Describe what you’re offering and how it fits in the current market. Also include details about the benefits, production process, and life cycle of your products. If you have any trademarks or patents, include them here. This is also a good time to ask yourself, “Should my plan include visual aids?”

[ Read More Must-Have Tips to Start Your Small Business ]

8. Compile Financial Plans

Financial health is crucial to the success of any business. If you’re just starting your business, you likely won’t have financial data yet. However, you still need to prepare a budget and financial plan. If you have them, include income statements , balance sheets , and cash flow statements . You can also include reporting metrics such as net income and your ratio of liquidity to debt repayment ability.

If you haven’t launched your business yet, include realistic projections of the same information. Set clear financial goals and include projected milestones. Share information about the budget. What are the business operations costs? Ensure you are comprehensive when considering what costs you may need to prepare for.

9. Build a Management and Operations Plan

Identify your team members. Highlight their expertise and qualifications. Outline roles that still need to be filled now to establish your company and later as the business grows. Read More: 8 tax steps to take when hiring employees >>

Include a section detailing your logistics and operations plan. Consider all parts of your operation. Create a plan that provides details on suppliers, production, equipment, shipment and fulfillment, and inventory. This shows how your business will get done.

10. Create an Appendix – A Place for Additional Information and Documents

Lastly, assemble an organized appendix. This section can contain any other relevant information a reader might need to enhance their understanding of other sections. If you feel like the appendix is getting long, consider adding a table of contents at the beginning of this section. Appendices often include documents such as:

  • Licenses and permits
  • Bank statements
  • Resumes of key employees
  • Equipment leases

How to Create a Business Plan: The Bottom Line

A business plan helps you identify clear goals and provides your business direction. Many small business plans are 10-20 pages in length. But as long as the essentials are covered, feel empowered to build a plan that works for you and your company’s needs. Creating a business plan will help you identify your market and target customers, define business aims, and foster long-term financial health.

We’re ready to help you get your business started on the right foot today, and help you find long-term satisfaction as you pursue your business dream. Writing a business plan can be exciting. But if the steps to starting your business are feeling overwhelming, Block Advisors is here to help. Make an appointment today – our experts can assist you with tax prep , bookkeeping , payroll , business formation , and more .

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Business plan

How to write an effective business plan in 11 steps (with workbook)

February 02, 2023 | 14 minute read

Writing a business plan is a powerful way to position your small business for success as you set out to meet your goals. Research suggests that business founders who write one are 16% more likely to build businesses that are viable than those who don’t, and that entrepreneurs focused on high growth are 7% more likely to have written a business plan. HBR. July 14, 2017. Available online at https://hbr.org/2017/07/research-writing-a-business-plan-makes-your-startup-more-likely-to-succeed" data-footnote="sevenpercent" aria-label="Footnote 1" data-options="{"interstitialType":"leaving-site","targetAction":"new-tab"}" class="spa-ui-layer-link spa-fn spa-ui-layer-interstitial"> Footnote [1] Even better, other research shows that owners who complete business plans are twice as likely to grow their business successfully or obtain capital compared to those who don’t. J Grad Med Educ. 2014 Mar;6(1):15-7. doi: 10.4300/JGME-D-13-00081.1. PMID: 24701304; PMCID: PMC3963774. Available online at: https://www.ncbi.nlm.nih.gov/pmc/articles/PMC3963774/" data-footnote="twiceaslikely" aria-label="Footnote 2" data-options="{"interstitialType":"leaving-site","targetAction":"new-tab"}" class="spa-ui-layer-link spa-fn spa-ui-layer-interstitial"> Footnote [2]

The best time to write a business plan is typically after you have vetted and researched your business idea. (See: How to start a business in 15 steps .) If conditions change later, you can rewrite the plan, much like how your GPS reroutes you if there is traffic ahead. When you update your plan regularly, everyone on your team, including outside stakeholders such as investors, will know where you are headed.

What is a business plan?

Typically 15-20 pages long, a business plan is a document that explains what your business does, what you want to achieve in the business and the strategy you plan to use to get there. It details the opportunities you are going after, what resources you will need to achieve your goals and how you will define success.

Why are business plans important?

Business plans help you think through barriers and discover opportunities you may have recognized subconsciously but have not yet articulated. A business plan can also help you to attract potential lenders, investors and partners by providing them with evidence that your business has all of the ingredients necessary for success.

What questions should a business plan answer?

Your business plan should explain how your business will grow and succeed. A great plan will provide detailed answers to questions that a banker or investor will have before putting money into the business, such as:

  • What products/services do you provide?
  • Who is your target customer?
  • What are the benefits of your product and service for customers?
  • How much will you charge?
  • What is the size of the market?
  • What are your marketing plans?
  • How much competition does the business face in penetrating that market?
  • How much experience does the management team have in running businesses like it?
  • How do you plan to measure success?
  • What do you expect the business’s revenue, costs and profit to be for the first few years?
  • How much will it cost to achieve the goals stated in the business plan?
  • What is the long-term growth potential of the business? Is the business scalable?
  • How will you enable investors to reap the rewards of backing the business? Do you plan to sell the business to a bigger company eventually or take it public as your “exit strategy”?

How to write a business plan in 11 steps

This step-by-step outline will make it easier to write an effective business plan, even if you’re managing the day-to-day demands of starting a new business. Creating a table of contents that lists key sections of the plan, with page numbers, will make it easy for readers to flip to the sections that interest them most.

Use our editable workbook to capture notes and organize your thoughts as you review these critical steps. Note: To avoid losing your work, please remember to save this PDF to your desktop before you begin.

1. Executive summary

The executive summary is your opportunity to make a great first impression on investors and bankers. It should be just as engaging as the enthusiastic elevator pitch you might give if you bumped into a potential backer in an elevator.

In three to five paragraphs, you’ll want to explain what your business does, why it will succeed and where it will be in five years. The executive summary should include short descriptions of the following:

  • Business concept: What will your business do?
  • Goals and vision: What do you expect the business to achieve, both financially and for other key stakeholders, such as the community?
  • Product or service: What does your product or service do — and how is it different from those of competitors?
  • Target market: Who do you expect to buy your product or service?
  • Marketing strategy: How will you tell people about your product or service?
  • Current revenue and profits: If your business is pre-revenue, offer sales projections.
  • Projected revenue and profits: Provide a realistic look at the next year, as well as the next three years, ideally.
  • Financial resources needed: How much money do you need to borrow or raise to fund your plan?
  • Management team: Who are the company’s leaders and what relevant experience will they contribute?

2. Business overview

Here is where you provide a brief history of the business and describe the product(s) or service(s) it offers. Make sure you describe the problem you are attempting to solve, for whom you will solve it (your customers) and how you will solve it. Be sure to describe your business model (such as direct-to-consumer sales through an online store) so readers can envision how you will make sales. Also mention your business structure (such as a sole proprietorship, general partnership, limited partnership or corporation) and why it is advantageous for the business. And be sure to provide context on the state of your industry and where your business will fit into it.

3. Business goals and vision

Explain what you hope to achieve in the business (your vision), as well as its mission and value proposition. Most founders judge success by the size to which they grow the business, using measures such as revenue or number of employees. Your goals may not be solely financial. You may also wish to provide jobs or solve a societal problem. If that’s the case, mention those goals as well.

If you are seeking outside funding, explain why you need the money, how you will put it to work to grow the business and how you expect to achieve the goals you have set for the business. Also explain your exit strategy—that is, how you will enable investors to cash out, whether that means selling the business or taking it public.

4. Management and organization

Many investors say they bet on the team behind a business more than the business idea, trusting that talented and experienced people will be capable of bringing sound business concepts to life. With that in mind, make sure to provide short bios of the key members of your management team (including yourself) that emphasize the relevant experience each individual brings, along with their special talents and industry recognition. Many business plans include headshots of the management team with the bios.

Also describe more about how your organization will be structured. Your company may be a sole proprietorship, a limited liability company (LLC) or a corporation in one or more states.

If you will need to hire people for specific roles, this is the place to mention those plans. And if you will rely on outside consultants for certain roles — such as an outsourced CFO — be sure to make a note of it here. Outside backers want to know if you’ve anticipated the staffing you need.

5. Service or product line

A business will only succeed if it sells something people want or need to buy. As you describe the products or services you will offer, make sure to explain what benefits they will provide to your target customers, how they will differ from competing offerings and what the buying cycle will likely be, so it is clear that you can actually sell what you are offering. If you have plans to protect your intellectual property through a copyright or patent filing, be sure to mention that. Also explain any research and development work that is underway, to show investors the potential for additional revenue streams.

6. Market/industry analysis

Anyone interested in providing financial backing to your business will want to know how big your company can potentially grow, so they have an idea of what kind of returns they can expect. In this section, you’ll be able to convey that by explaining to whom you will be selling and how much opportunity there is to reach them. Key details to include are market size; a strengths, weaknesses, opportunities and threats (SWOT) analysis ; a competitive analysis; and customer segmentation. Make it clear how you developed any projections you’ve made by citing interviews or research.

Also describe the current state of the industry. Where is there room for improvement? Are most companies using antiquated processes and technology? If your business is a local one, what is the market in your area like? Do most of the restaurants where you plan to open your café serve mediocre food? What will you do better?

In this section, also list competitors, including their names, websites and social media handles. Describe each source of competition and how your business will address it.

7. Sales and marketing

Explain how you will spread the word to potential customers about what you sell. Will you be using paid online search advertising, social media promotions, traditional direct mail, print advertising in local publications, sponsorship of a local radio or TV show, your own YouTube content or some other method entirely? List all of the methods you will use.

Make sure readers know exactly what the path to a sale will be and why that approach will resonate with customers in your ideal target markets, as well as existing customer segments. If you have already begun using the methods you’ve outlined, include data on the results so readers know whether they have been effective.

8. Financials

In a new business, you may not have any past financial data or financial statements to include, but that doesn’t mean you have nothing to share. Preparing a budget and financial plan will help show investors or bankers that you have developed a clear understanding of the financial aspects of running your business. (The U.S. Small Business Administration (SBA) has prepared a budget template you can use; SCORE , a nonprofit organization that partners with the SBA, offers a financial planning template to help you look ahead.) For an existing business, you will want to include income statements, profit and loss statements, cash flow statements and balance sheets, ideally going back three years.

Make a list of the specific steps you plan to take to achieve the financial results you have outlined. The steps are generally the most detailed for the first year, given that you may need to revise your plan later as you gather feedback from the marketplace.

Include interactive spreadsheets that contain a detailed financial analysis showing how much it costs your business to produce the goods and services you provide, the profits you will generate, any planned investments and the taxes you will pay. See our Startup costs calculator to get started.

9. Financial projections

Creating a detailed sales forecast can help you get outside backers excited about supporting you. A sales forecast is typically a table or simple line graph that shows the projected sales of the company over time, usually for the next 12 months and as much as five years into the future. If you haven’t yet launched the company, turn to your market research to develop estimates. For more information, see “ How to create a sales forecast for your small business .”

10. Funding request

If you are seeking outside financing such as a loan or equity investment, your potential backers will want to know how much money you need and how you will spend it. Describe the amount you are trying to raise, how you arrived at that number and what type of funding you are seeking (such as debt, equity or a combination of both). If you are contributing some of your own funds, it is worth noting this, as it shows that you have “skin in the game.”

11. Appendix

This should include any information and supporting documents that will help investors and bankers gain a greater understanding of the potential of your business. Depending on your industry, you might include local permits, licenses, deeds and other legal documents; professional certifications and licenses; media clips; information on patents and other intellectual property; key customer contracts and purchase orders; and other relevant documents.

Some business owners find it helpful to develop a list of key concepts, such as the names of the company’s products and industry terms. This can be helpful if you do business in an industry that may not be familiar to the readers of the business plan.

Tips for creating an effective business plan

Use clear, simple language. It’ll be easier to win people over if your plan is easy to read. Steer clear of industry jargon, and if you must use any phrases the average adult won’t know, be sure to define them.

Emphasize what makes your business unique. Investors and bankers want to know how you will solve a problem or gap in the marketplace differently from anyone else. Make sure you’re conveying your differentiating factors.

Nail the details. An ideal business plan will be detailed and accurate. Make sure that any financial projections you make are realistic and grounded in solid market research. (If you need help in making your calculations, you can get free advice at SCORE.) Seasoned bankers and investors will quickly spot numbers that are overly optimistic.

Take time to polish it. Your final version of the plan should be neat and professional, with an attractive layout and copy that has been carefully proofread.

Include professional photos. High-quality shots of your product or place of business can help make it clear why your business stands out.

Updating an existing business plan

Some business owners in rapidly growing businesses update their business plan quarterly. Others do so every six months or every year. When you update your plan make sure you consider these three things:

1. Are your goals still current? As you’ve tested your concept, your goals may have changed. The plan should reflect this.

2. Have you revised any strategies in response to feedback from the marketplace? You may have found that your offerings resonated with a different customer segment than you expected or that your advertising plan didn’t work and you need to try a different approach. Given that investors will want to see a marketing and advertising plan that works, keeping this section current will ensure you are always ready to meet with one who shows interest.

3. Have your staffing needs changed? If you set ambitious goals, you may need help from team members or outside consultants you did not anticipate when you first started the business. Take stock now so you can plan accordingly.

Final thoughts

Most business owners don’t follow their business plans exactly. But writing one will get you off to a much better start than simply opening your doors and hoping for the best, and it will be easier to analyze any aspects of your business that aren’t working later so you can course-correct. Ultimately, it may be one of the best investments you can make in the future of your business.

Business plan FAQs

The biggest mistake you can make when writing a business plan is creating one before the idea has been properly researched and tested. Not every idea is meant to become a business. Other common mistakes include:

  • Not describing your management team in a way that is appealing to investors. Simply cutting and pasting someone’s professional bio into the management section won’t do the trick. You’ll want to highlight the credentials of each team member in a way that is relevant to this business.
  • Failing to include financial projections — or including overly optimistic ones. Investors look at a lot of business plans and can tell quickly whether your numbers are accurate or pie in the sky. Have a good small business accountant review your numbers to make sure they are realistic.
  • Lack of a clear exit strategy for investors. Investors will want to “cash out” eventually and will want to know how they can go about doing that.
  • Slapdash presentation. Make sure to fact-check any industry statistics you cite, and that any charts, graphs or images are carefully prepared and easy to read.

There are a variety of styles of business plans styles. Here are three major types:

Traditional business plan. This is a formal document for pitching to investors based on the outline in this article. If your business is a complicated one, the plan may exceed the typical length and stretch to as many as 50 pages.

One-page business plan. This is a simplified version of a formal business plan, designed to fit on one page. Typically, each section will be described in bullet points or in a chart format, rather than in the narrative style of an executive summary. It can be helpful as a summary document to give to investors — or for internal use. Another variation on the one-page theme is the “ business model canvas .”

Lean plan. This methodology for creating a business plan is ideal for a business that is evolving quickly. It is designed in a way that makes it easy to update on a regular basis. Lean business plans are usually about one page long. The SBA has provided an example of what this type of plan includes on its website.

Many elements of a business plan for a nonprofit are similar to those of a for-profit business. However, because the goal of a nonprofit is achieving its mission — rather than turning a profit—the business plan should emphasize its specific goals on that front and how it will achieve them. Many nonprofits set key performance indicators (KPIs) — numbers that they track to show they are “moving the needle” on their goals.

Nonprofits will generally emphasize their fundraising strategies in their business plans, rather than sales strategies. The funds they raise are the lifeblood of the programs they run.

A strategic plan is different from the type of business plan you’ve read about here in that it emphasizes the long-term goals of the business and how your business will achieve them over the long run. A strong business plan can function as both a business plan and a strategic plan.

A marketing plan is different from a business plan in that it is focused on four main areas of the business: product (what you are selling and how you will differentiate it), price (how much your products or services will cost and why), promotion (how you will get your ideal customer to notice and buy what you are selling) and place (where you will sell your products). A thorough business plan may cover these topics, doing double duty as both a business plan and a marketing plan.

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How to write a business plan in seven simple steps

When written effectively, a business plan can help raise capital, inform decisions, and draw new talent.

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Companies of all sizes have one thing in common: They all began as small businesses.  Starting small  is the corner for those just getting off the ground. Learn about how to make that first hire, deal with all things administrative, and set yourself up for success.

Writing a business plan is often the first step in transforming your business from an idea into something tangible . As you write, your thoughts begin to solidify into strategy, and a path forward starts to emerge. But a business plan is not only the realm of startups; established companies can also benefit from revisiting and rewriting theirs. In any case, the formal documentation can provide the clarity needed to motivate staff , woo investors, or inform future decisions.  

No matter your industry or the size of your team, the task of writing a business plan—a document filled with so much detail and documentation—can feel daunting. Don’t let that stop you, however; there are easy steps to getting started. 

What is a business plan and why does it matter? 

A business plan is a formal document outlining the goals, direction, finances, team, and future planning of your business. It can be geared toward investors, in a bid to raise capital, or used as an internal document to align teams and provide direction. It typically includes extensive market research, competitor analysis, financial documentation, and an overview of your business and marketing strategy. When written effectively, a business plan can help prescribe action and keep business owners on track to meeting business goals. 

Who needs a business plan?

A business plan can be particularly helpful during a company’s initial growth and serve as a guiding force amid the uncertainty, distractions, and at-times rapid developments involved in starting a business . For enterprise companies, a business plan should be a living, breathing document that guides decision-making and facilitates intentional growth.

“You should have a game plan for every major commitment you’ll have, from early-stage founder agreements to onboarding legal professionals,” says Colin Keogh, CEO of the Rapid Foundation—a company that brings technology and training to communities in need—and a WeWork Labs mentor in the UK . “You can’t go out on funding rounds or take part in accelerators without any planning.”

How to make a business plan and seven components every plan needs

While there is no set format for writing a business plan, there are several elements that are typically included. Here’s what’s important to consider when writing your business plan. 

1. Executive summary 

No longer than half a page, the executive summary should briefly introduce your business and describe the purpose of the business plan. Are you writing the plan to attract capital? If so, specify how much money you hope to raise, and how you’re going to repay the loan. If you’re writing the plan to align your team and provide direction, explain at a high level what you hope to achieve with this alignment, as well as the size and state of your existing team.

The executive summary should explain what your business does, and provide an introductory overview of your financial health and major achievements to date.  

2. Company description 

To properly introduce your company, it’s important to also describe the wider industry. What is the financial worth of your market? Are there market trends that will affect the success of your company? What is the state of the industry and its future potential? Use data to support your claims and be sure to include the full gamut of information—both positive and negative—to provide investors and your employees a complete and accurate portrayal of your company’s milieu. 

Go on to describe your company and what it provides your customers. Are you a sole proprietor , LLC, partnership, or corporation? Are you an established company or a budding startup? What does your leadership team look like and how many employees do you have? This section should provide both historical and future context around your business, including its founding story, mission statement , and vision for the future. 

It’s essential to showcase your point of difference in your company description, as well as any advantages you may have in terms of expert talent or leading technology. This is typically one of the first pieces of the plan to be written.

3. Market analysis and opportunity

Research is key in completing a business plan and, ideally, more time should be spent on research and analysis than writing the plan itself. Understanding the size, growth, history, future potential, and current risks inherent to the wider market is essential for the success of your business, and these considerations should be described here. 

In addition to this, it’s important to include research into the target demographic of your product or service. This might be in the form of fictional customer personas, or a broader overview of the income, location, age, gender, and buying habits of your existing and potential customers. 

Though the research should be objective, the analysis in this section is a good place to reiterate your point of difference and the ways you plan to capture the market and surpass your competition.

4. Competitive analysis 

Beyond explaining the elements that differentiate you from your competition, it’s important to provide an in-depth analysis of your competitors themselves.

This research should delve into the operations, financials, history, leadership, and distribution channels of your direct and indirect competitors. It should explore the value propositions of these competitors, and explain the ways you can compete with, or exploit, their strengths and weaknesses. 

5. Execution plan: operations, development, management 

This segment provides details around how you’re going to do the work necessary to fulfill this plan. It should include information about your organizational structure and the everyday operations of your team, contractors, and physical and digital assets.

Consider including your company’s organizational chart, as well as more in-depth information on the leadership team: Who are they? What are their backgrounds? What do they bring to the table? Potentially include the résumés of key people on your team. 

For startups, your execution plan should include how long it will take to begin operations, and then how much longer to reach profitability. For established companies, it’s a good idea to outline how long it will take to execute your plan, and the ways in which you will change existing operations.

If applicable, it’s also beneficial to include your strategy for hiring new team members and scaling into different markets. 

6. Marketing plan 

It’s essential to have a comprehensive marketing plan in place as you scale operations or kick off a new strategy—and this should be shared with your stakeholders and employees. This segment of your business plan should show how you’re going to promote your business, attract customers, and retain existing clients.

Include brand messaging, marketing assets, and the timeline and budget for engaging consumers across different channels. Potentially include a marketing SWOT analysis into your strengths, weaknesses, opportunities, and threats. Evaluate the way your competitors market themselves, and how your target audience responds—or doesn’t respond—to these messages.

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7. Financial history and projections  

It’s essential to disclose all finances involved in running your company within your business plan. This is so your shareholders properly understand how you’re projected to perform going forward, and the progress you’ve made so far. 

You should include your income statement, which outlines annual net profits or losses; a cash flow statement, which shows how much money you need to launch or scale operations; and a balance sheet that shows financial liabilities and assets. 

“An income statement is the measure of your financial results for a certain period and the most accurate report of business activities during that time, [whereas a balance sheet] presents your assets, liabilities, and equity,” Amit Perry, a corporate finance expert, explained at a WeWork Labs educational session in Israel.

It’s crucial to understand the terms correctly so you know how to present your finances when you’re speaking to investors. Amit Perry, CEO and founder of Perryllion Ltd.

In addition, if you’re asking for funding, you will need to outline exactly how much money you need as well as where this money will go and how you plan to pay it back. 

12 quick tips for writing a business plan 

Now that you know what components are traditionally included in a business plan, it’s time to consider how you’ll actually construct the document.

Here are 12 key factors to keep in mind when writing a business plan. These overarching principles will help you write a business plan that serves its purpose (whatever that may be) and becomes an easy reference in the years ahead. 

1. Don’t be long-winded

Use clear, concise language and avoid jargon. When business plans are too long-winded, they’re less likely to be used as intended and more likely to be forgotten or glazed over by stakeholders. 

2. Show why you care

Let your passion for your business shine through; show employees and investors why you care (and why they should too). 

3. Provide supporting documents

Don’t be afraid to have an extensive list of appendices, including the CVs of team members, built-out customer personas, product demonstrations, and examples of internal or external messaging. 

4. Reference data

All information regarding the market, your competitors, and your customers should reference authoritative and relevant data points.  

5. Research, research, research

The research that goes into your business plan should take you longer than the writing itself. Consider tracking your research as supporting documentation. 

6. Clearly demonstrate your points of difference

At every opportunity, it’s important to drive home the way your product or service differentiates you from your competition and helps solve a problem for your target audience. Don’t shy away from reiterating these differentiating factors throughout the plan. 

7. Be objective in your research

As important as it is to showcase your company and the benefits you provide your customers, it’s also important to be objective in the data and research you reference. Showcase the good and the bad when it comes to market research and your financials; you want your shareholders to know you’ve thought through every possible contingency. 

8. Know the purpose of your plan

It’s important you understand the purpose of your plan before you begin researching and writing. Be clear about whether you’re writing this plan to attract investment, align teams, or provide direction. 

9. Identify your audience

The same way your business plan must have a clearly defined purpose, you must have a clearly defined audience. To whom are you writing? New investors? Current employees? Potential collaborators? Existing shareholders? 

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10. Avoid jargon

Avoid using industry-specific jargon, unless completely unavoidable, and try making your business plan as easy to understand as possible—for all potential stakeholders. 

11. Don’t be afraid to change it

Your business plan should evolve with your company’s growth, which means your business plan document should evolve as well. Revisit and rework your business plan as needed, and remember the most important factor: having a plan in place, even if it changes.

A business plan shouldn’t just be a line on your to-do list; it should be referenced and used as intended going forward. Keep your business plan close, and use it to inform decisions and guide your team in the years ahead. 

Creating a business plan is an important step in growing your company 

Whether you’re just starting out or running an existing operation, writing an effective business plan can be a key predictor of future success. It can be a foundational document from which you grow and thrive . It can serve as a constant reminder to employees and clients about what you stand for, and the direction in which you’re moving. Or, it can prove to investors that your business, team, and vision are worth their investment. 

No matter the size or stage of your business, WeWork can help you fulfill the objectives outlined in your business plan—and WeWork’s coworking spaces can be a hotbed for finding talent and investors, too. The benefits of coworking spaces include intentionally designed lounges, conference rooms, and private offices that foster connection and bolster creativity, while a global network of professionals allows you to expand your reach and meet new collaborators. 

Using these steps to write a business plan will put you in good stead to not only create a document that fulfills a purpose but one that also helps to more clearly understand your market, competition, point of difference, and plan for the future. 

For more tips on growing teams and building a business, check out all our articles on  Ideas by WeWork.

Caitlin Bishop is a writer for WeWork’s  Ideas by WeWork , based in New York City. Previously, she was a journalist and editor at  Mamamia  in Sydney, Australia, and a contributing reporter at  Gotham Gazette .

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How to Write a Small Business Plan

  • December 16, 2022

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Does your business need a small business plan? The short answer is yes! Whether you’re starting a business, or already have your business up-and-running, a business plan is important for growing your business . It acts as a guiding document to keep you on track toward your goals, and shows lenders that you have a strategy in place.

In honor of National Write a Small Business Plan month , take a deep dive into the purpose of a business plan, what’s included in them, and how to write the best plan for your business.

Why do you need a business plan ?

Operating without a small business plan is like taking a road trip without a map – it could be interesting but it takes much longer, costs much more and causes avoidable hassles and headaches.

Similarly, if you don’t have a small business strategic plan, you don’t have anything to guide you. The purpose of a business plan is to:

  • Communicate your small business goals and strategy for the future
  • Calculate financial projections for your small business
  • Compare your business’s strengths and shortcomings against your competition
  • Strategize for critical issues and prepare for challenges and success

Another major benefit of a business plan is that you’ll have something to show lenders and investors that demonstrates you’ve done your research. Your business plan will show that you understand your markets and competition and know why your business is a viable and profitable venture.

What should you include in your business plan?

There are a few basic elements that should be included in your business plan, and you can tailor your plan to what fits your business best. Your business plan doesn’t necessarily need to be long. There’s no required page count, but you should keep the size of your business, your plans, and the audience in mind when creating yours. Here are the basic sections you’ll want to include when you write a small business plan:

Executive Summary:

Your executive summary is an overview of what’s in your plan. This gives potential lenders, investors, and others a summary of your business and should entice them to want to learn more. Ideally, it will only be one to two pages — any longer than that and you may be providing more detail than needed. Although the executive summary is at the beginning of your business plan, it’s the last piece you’ll write. You’ll use the brief summaries from other sections to put together this part.

Company Description:

Your company descriptions is exactly what it sounds like. You’ll include the basics like your business’s registered name, address, and important team members. You should also include a description of your products and services and how you’ll meet your customers’ needs.

Your mission and vision should be outlined as well. What’s the need that your business will address and how? What will be required for your operations?

Explain your business structure , how long you’ve been in business, your location, as well as short- and long-term business goals. You can also describe your brand and anything else that sets your business apart.

The length of this section really depends on your business. Make sure you’re providing enough detail so that your readers have a good understanding of the products or services you offer and how they meet the needs of your customers.

Industry and Competition:

This is one of the most important elements of a great business plan. The work it will take to create this section is also a good time investment in your business’s success.

Here is where you’ll outline the market and competitive research that you’ve done and describe your target markets. Take the time to organize a competitive analysis to outline your direct competitors and how your business compares in terms of products, services, and pricing.

This analysis will demonstrate how you’re different from your competitors and how you might better serve your customers’ needs. Highlight your competitive advantages and show how you’ll fill a gap in the market.

Target Customers:

Knowing your target audience is so important for your business. After all, if you don’t know who’s most likely to purchase your product and services, you won’t be able to create a plan to deliver on their needs.

Defining your target audience dictates your strategy for marketing and sales. The best way to start is to create customer profiles. What are the demographics of your ideal customer? Who else can solve their needs? What are their motivations and pain points? You can include these profiles in your business plan to guide your strategy and show that you’ve done your research.

Marketing and Sales:

While word-of-mouth promotion is great for your business, you also need a marketing plan that focuses on a few channels to really ensure your target audience knows what you’re offering. Your marketing plan doesn’t need a multi-million dollar budget to support it. With so many online options available, you can create a cost-effective and engaging marketing plan that includes a website, social media and email contacts.

And if you need traditional outreach like advertisements in print or radio, having a plan in place will help you make better investments. Organize a budget for marketing and sales activities to use as a guide in promoting your products and services. And be sure to do some research on pricing and your return on the investment.

For example, if you’re going to invest thousands of dollars in a newsletter ad placement, make sure you know how many subscribers it has, what the average click-through rate is, and what success previous advertisers experienced. This will show that you know what you’re paying for and the potential return for your business.

Organization and Management:

This section is your opportunity to highlight the key players in your business . Here, you’ll present your qualifications like your experience and education. You’ll also detail information about your partners and day-to-day management.

Talk about ho is responsible for handling the various aspects of your business. Discuss what type of legal structure you’ve chosen and why.

If you’re working with any have mentors or advisors, or if you have affiliations (like memberships to Chambers of Commerce or industry-based organizations) you can outline those here as well. This information demonstrates that you’re working on developing your business and constantly learning as the owner of the business. Potential lenders or partners may find this helpful when deciding whether or not they’ll work with you.

Financials:

When you’re just starting out your business won’t have a financial history. With some thorough research, and some help from a partner like the Small Business Development Center (SBDC), you can develop realistic financial projections and a budget to guide your growth.

Financial projections show your anticipated monthly revenue and expenses. Setting a budget will help you meet short-term financial goals and adjust your spending accordingly. 

Using projections, you can see if your business will generate enough revenue and have enough cash early on. Underfunding is one of the leading reasons why small businesses fail, so this exercise can go a long way in investing in your future success. Your first-year financials should include your budget, and three-year financial projections.

If your business is already established, this is where you’ll need to include recent profit and loss statements, your balance sheet, and a cashflow statement. Using charts and graphs to support your figures makes it even easier for an outside party to get a clear picture of your financial standing.

What else can you add to make a great business plan?

The points above are the basics to cover in your business plan, and there are other steps you can take to really make it stand out. For one be descriptive in your copy but also concise. You want to provide enough detail to tell your business’s story and plans for the future, but not so much that the reader will be bogged down in the weeds.

It’s great to include images of your products, location, and other parts that are visually interesting. Visuals are great supporting pieces for the descriptions you’re providing in each section.

Once you have a good working draft of your business plan, ask professionals from local small business development centers (SBDCs) or SCORE to review it. These organizations are free resources who can pinpoint strengths and weaknesses to make your plan stronger.

And know that your business plan isn’t set in stone. It’s a living, breathing document that should be updated as your business and experience grow.

When you’re ready to take the next step, talk to Pursuit

A great business plan is a valuable tool to guide your business decisions from startup through growth. With your plan you can find and address issues early on, and demonstrate that you understand your business and what it takes to make it successful.

When you need funding to keep your business growing, lenders like Pursuit will review your business plan to better understand your plans. If the time is right for funding, talk to Pursuit ! You’ll find more than 15 different loan programs that can help you reach higher and grow.

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Entrepreneur

10 Simple Tips to Write a Successful Business Plan

"The absolute biggest business plan mistake you can make is to not plan at all." So writes Noah Parsons in his helpful blog post 17 Key Business Plan Mistakes to Avoid in 2023 . But how does one pull together all of the necessary components of a cohesive plan? It can feel overwhelming.

Eric Butow, CEO of online marketing ROI improvement firm Butow Communications Group, has teamed up with Entrepreneur Media to update the second edition of our best-selling book Write Your Business Plan to provide you with a simple, step-by-step process for creating a successful business plan. In the following excerpt, he gives ten tips to gather all of the critical information you will need to succeed.

1. Know your competition.

You need to name them and point out what makes you different from (and better than) each of them. But do not disparage your competition.

2. Know your audience.

You may need several versions of your business plan. For example, you may need one for bankers or venture capitalists, one for individual investors, and one for companies that may want to do a joint venture with you rather than fund you.

3. Have proof to back up every claim you make.

If you expect to be the leader in your field in six months, you have to say why you think that is. If you say your product will take the market by storm, you have to support this statement with facts. If you say your management team is fully qualified to make the business a success, be sure staff resumes demonstrate their experience.

Order Write Your Own Business Plan Now and Get 1 Month of Free Access to Business Planning Software Liveplan Premium

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4. Be conservative in all financial estimates and projections.

If you feel certain you'll capture 50 percent of the market in the first year, you can say why you think so and hint at what those numbers may be. But make your financial projections more conservative. For example, a 10 percent market share is much more credible.

5. Be realistic with time and resources available.

If you're working with a big company before you buy a business, you may think things will happen faster than they will once you have to buy the supplies, write the checks, and answer the phones yourself. Being overly optimistic with time and resources is a common error entrepreneurs make. Being realistic is important because it lends credibility to your presentation. Always assume things will take 20 percent longer than you anticipated. Therefore, twenty weeks is now twenty-four weeks.

6. Be logical.

Think like a banker and write what they would want to see.

7. Have a strong management team.

Make sure it has good credentials and expertise. Your team members don't have to have worked in the field. However, you need to draw parallels between what they've done and the skills needed to make your venture succeed. Don't have all the skills you need? Consider adding an advisory board of people skilled in your field and include their resumes.

Write Your Own Business Plan is available now at Entrepreneur Bookstore | Barnes & Noble | Amazon

8. Document why your idea will work.

Have others done something similar that was successful? Have you made a prototype? Include all the variables that can have an impact on the result or outcome of your idea. Show why some of the variables don't apply to your situation or explain how you intend to overcome them or make them better.

9. Describe your facilities and location for performing the work.

That includes equipment you use to create your products and/or services. If you'll need to expand, discuss when, where, and why.

10. Discuss payout options for the investors.

Some investors want a hands-on role. Some want to put associates on your board of directors. Some don't want to be involved in day-to-day activities at all. All investors want to know when they can get their money back and at what rate of return. Most want out within three to five years. Provide a brief description of options for investors, or at least mention that you're ready to discuss options with any serious prospect.

To dig deeper, buy Write Your Own Business Plan and get 1 month of free access to business planning software Liveplan Premium.

10 Simple Tips to Write a Successful Business Plan

How to Write a Food and Beverage Business Plan + Sample Business Plan PDF

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Elon Glucklich

7 min. read

Updated February 17, 2024

Free Download: Sample Food and Beverage Business Plan Templates

The food and beverage sector is booming. Restaurant openings rose 10% in 2023 compared to 2022 — even higher than in pre-pandemic years.

From fine dining to food trucks, farmers to brewers, and wholesalers to coffee makers, there are opportunities across the food and beverage industry. 

But starting a business without covering the basics — your operations plan, marketing tactics, financial strategy, and more — carries huge risks. 

That’s why we recommend you write a business plan.

  • Why write a food and beverage business plan?

Writing a business plan is an easy first step that you can start for free. Plus, businesses that take time to plan are significantly more successful than those that don’t.

Many food and beverage establishments fail because of one of the following:

  • Poor inventory management
  • Underestimated expenses
  • High employee turnover
  • Misjudged the size of their market

Writing a business plan can help you:

  • Develop processes for managing inventory and logistics
  • Understand your cash flows and create a realistic expense budget
  • Budget for competitive employee pay that increases worker retention
  • Analyze your competition and determine how big your market is  

If you’re looking for funding from investors for your business, you’ll definitely need a business plan.

What’s your biggest business challenge right now?

  • How to write a food and beverage business plan

Many business plans follow a standard format and you can use it as a starting point when writing your own plan. Here’s what that includes:

Executive summary

  • Company summary and funding needs
  • Products and services
  • Marketing plan
  • Management team

Financial plan

For food and beverage companies, you must give extra attention to your market analysis, operations plan, and financial forecasts.

If you’re ready to start, download a free business plan template and fill it out as you read this article.

A sample business plan outline for a food and beverage business.

Every business plan should include an executive summary . It’s a brief outline summarizing the plan, no more than one or two pages.

We recommend that you write the executive summary last after fleshing out the details of your plan. 

Just summarize the vision for your business, describe your offerings and target market , and touch on your management team and financials. Don’t go into tons of detail — just provide a high-level sense of what you want your business to accomplish.

Opportunity: problem and solution

This section of your food and beverage business plan describes the opportunity you hope to capture.

Maybe you’re a farmer looking to diversify your revenue streams by distributing to grocery stores. Or a bar owner with high-end liquor that competitors in the market aren’t serving. 

Whatever your business is, describe the gap in the market and how you aim to fill it.

If you’re operating a more common type of business, like a restaurant , you can probably keep this section short. But it’s useful to document what makes your business unique and it will help focus your sales and marketing efforts later on.

Market analysis

In a field as crowded with competitors as the food and beverage space, a detailed market analysis is essential. 

Your focus should be on identifying the specific customer segments you aim to serve. 

Maybe you’re a butcher with connections to fresh livestock. Will you be more successful selling directly to consumers, or should you focus on selling to grocery stores and markets in your area?

Or, you’re opening  a diner. Should your menu focus on healthy meals or easy-to-make child-friendly options?

These are the types of questions that market research helps you answer. This section should detail the defining characteristics of your target market, including the demographics and preferences of your ideal customer and the size of the market you’re targeting. Market research questions specific to a food and beverage business could include:

  • Business location and characteristics
  • Area income
  • Local food and beverage preferences
  • Existing food and beverage options 

Elaborate on how your food and beverage offerings align with that target market ’s needs. Remember, you can’t please everyone, so focus on a specific group of people or type of person and build out from there.

Marketing and sales

For food and beverage businesses promotions are how you stand out and seize a share of your market.

The marketing and advertising chapter of your business plan is where you’ll detail your strategies for capturing the attention — and loyalty — of the customers you identified as your target market in the previous section.

With so many options for consumers in the food and beverage space, you’ll likely have to rely on multiple marketing channels , including::

  • Advertising on websites, television, and in relevant publications.
  • Content marketing — developing an engaging website and writing blog content that’s search engine optimized to drive traffic to your site.
  • Engaging with your customers on social media.
  • Offering discounts and customer loyalty programs.
  • Appearing at food and beverage industry trade shows and community events.

It doesn’t matter how delicious your recipes are, how fresh your crops are, or how innovative your cocktails are — if you don’t operate efficiently, your business probably won’t last long.

The operations strategy may be the most detailed section of your business plan, especially if you’re writing it for a bank loan or investment. This section describes how you will run your business day to day.

When writing the operations section, describe the following:

Physical space

Whether it’s a restaurant, a farm, or a food transportation business, describe the space you’re operating in, and all of the physical assets and equipment you’ll need to be successful. 

If it’s a sit-down restaurant, consider including a floorplan mockup in your appendix.

Supply chain 

List the suppliers and partners that get your product to customers. Think about the businesses you purchase ingredients from, the warehouses that goods are stored in, and the trucking companies that deliver your products to grocery stores. 

These are your supply chain partners. It’s crucial that you maintain good relationships with them.

Production processes

How long it takes to make your product, and what materials and equipment are required. Documenting how you produce your goods or services demonstrates that you understand the costs of making them. 

You may also uncover ways to produce them more quickly, or at a lesser cost.

Detail how you’ll handle matters of efficiency like order fulfillment, storage, shipping, and returns, as well as customer satisfaction. If you provide delivery services, document how you will handle the process of getting your product to customers’ homes or businesses.

List your staffing needs, training, and experience requirements for key staff. Also, document the management structure of your business. 

This helps ensure that important tasks you don’t have time to monitor are being done and that workers are being supervised.

Describe investments in payment processing systems, inventory management software, and other tools that support sales or operations in your business. Cataloging your technology systems will help you determine where it might make sense to invest in upgrades for efficiency.

Take some time to write a financial plan . Create detailed financial projections, including sales , expenses , and profitability .

If that sounds intimidating, take a deep breath, and remember that financial forecasts are really just best guesses. If you’re running an existing business, you can start with your previous year’s numbers. If you’re starting, make an educated guess about where you hope to be financially a year from now.

Investors will want to see a: 

  • Sales forecast
  • Income statement (also called a profit and loss statement )
  • Cash flow statement
  • Balance sheet 

If you use a tool like LivePlan , you’ll be able to build out your financial forecasts relatively quickly, even if you don’t have experience with business numbers.

Even if you aren’t seeking investment, the financial plan is crucial for understanding the viability of your business. It allows you to adjust your business model based on projected performance, and make informed decisions about where to spend your money.

  • Food and beverage business plan templates and examples

If you want to see how other food and beverage businesses have created their plans, check out our free library of food and beverage business plans . 

You can download all of them in Word format and jump-start your own business plan.

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See why 1.2 million entrepreneurs have written their business plans with LivePlan

Content Author: Elon Glucklich

Elon is a marketing specialist at Palo Alto Software, working with consultants, accountants, business instructors and others who use LivePlan at scale. He has a bachelor's degree in journalism and an MBA from the University of Oregon.

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How to start a small business at home in 2024

Blair Travers

Sierra Campbell

Sierra Campbell

“Verified by an expert” means that this article has been thoroughly reviewed and evaluated for accuracy.

Published 8:07 a.m. UTC Feb. 16, 2024

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Starting a small business at home can help you turn your passions, skills or ideas into financial prosperity. There are some unique perks and challenges to consider when deciding to start a home-based business. 

You’ll also want to have a solid plan and follow some key steps to get your business off on the right foot. It’s helpful to know where you can find ideas, answers to your questions and other resources you need to run an at-home business successfully.

Should you start a business at home?

There are many factors to consider when deciding to start a small business at home. On the one hand, it’s important to make sure there is demand for your business. On the other hand, you want to be able to handle the amount of business you receive. Gauging things like demand, profit margins and the ability to scale your business early on can help you avoid trouble down the road.

Across the country, at-home businesses make up a large portion of small businesses. C.E. “Tee” Rowe is the president and CEO of America’s Small Business Development Centers (SBDC), which provides free or low-cost support for small businesses in partnership with the U.S. Small Business Administration. “Here at America’s SBDC, we have seen an uptick in home-based businesses that started during the pandemic but continues to date,” said Rowe. 

Pros of a home business

Here are some key benefits to starting a business at home:

  • Increased flexibility: Set your own hours, freeing you up for other commitments as needed.
  • Less commuting: Save time and money by skipping the drive to work.
  • Comfortable work environment: Design your workspace how you want it. After all, it is your home.
  • Money-saving perks: Pay lower startup costs compared to larger businesses by avoiding costs like renting retail or office space. Take advantage of tax breaks for at-home businesses.
  • Reduce risk: Protect yourself by limiting your liability and avoiding the cost and risk of maintaining commercial space.
  • Rewards for your hard work: Work hard for your business, and your business reaps the benefits instead of some other employer.

Cons of a home business

These are some of the disadvantages of starting a business at home:

  • Limited space: You give up part of your home, and even then, you may still need more space for your business.
  • Distracting work environment: Crying babies, barking dogs and loud neighbors can all be distracting when running a business at home.
  • Professional boundaries: Some people may feel awkward about meeting to discuss business at your home or a public location.
  • Increased mental health risks: Running a home business can feel isolating for some. A lack of social interaction, time outside, work-life balance or effective time management can also threaten mental health.
  • Growth restrictive: If your home-based business scales too rapidly, you may outgrow your workspace quickly. In this situation, success creates a problem for home businesses to solve.
  • Increased costs: Whether you’re paying new employee salaries or wages or forking over more money for higher utility bills, you may feel the financial squeeze.

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7 steps to start a home business

After considering the pros and cons, does the idea of taking the reins and starting a home business appeal to you? You’re not alone. 

“When we work with individuals seeking to start a home-based business, it is frequently based on a desire to control their own circumstance and success, which are great reasons, but it always needs to be thought out carefully,” Rowe explained.

Planning is key. From creating a business plan and determining your business structure to securing funding and setting your marketing strategy, there’s a lot to think through. Follow the steps below to get on the right track to starting a small business at home.

1. Find your niche

Plenty of successful at-home businesses arise from emotion: a passion to do what you love, a frustration with the status quo or excitement to seize on a timely opportunity.

If you’re struggling to find your niche, ask yourself:

  • What do you love to do that others may find challenging?
  • What is a need that no business currently has the right solution for?
  • What are you good at? What do people ask for your help with?
  • What high-demand skills or services do you have to offer?

2. Draft a business plan

Having a business plan is essential for running your business effectively. As Rowe pointed out, “Every business needs a solid, comprehensive plan to guide them to success. That plan needs to focus on skills, finance, revenue and marketing.”

A business plan outlines the direction of the business — its goals, strategies, structure, ways of measuring success and plans for dealing with things like change and risk. Simply put, it’s the roadmap to success for your business.

When creating your business plan, include key sections such as an executive summary, a business description, market analysis and financial projections. For more on what to cover, check out this step-by-step guide to drafting a business plan .

3. Select a business structure

According to the IRS, the most common business structures are sole proprietorships, partnerships , corporations and limited liability companies (LLC) . Each business structure comes with its own set of operational, legal, financial and tax considerations. 

A sole proprietorship is a business owned and operated by a single individual, while a partnership is jointly owned by two or more individuals who share responsibilities. 

In contrast, corporations — like C corporations and S corporations — are independent legal entities. C corporations limit shareholder liability but are highly complex. S corporations feature pass-through taxation, distributing income (and losses) to shareholders.

While sole proprietorship is a common structure for just starting out, LLC is another popular option for at-home businesses. It combines elements of a corporation and a partnership, offering limited liability to its members and the flexibility of pass-through taxation. Members of an LLC can choose to be taxed as a sole proprietorship, partnership, C corporation or S corporation.

4. Register your business and get an EIN

After you choose a business structure, you’ll need to register your business with state and federal governments. Select a business name , pay fees and provide required documents, which vary by state.

After getting registered with your state, you can then apply for an Employer Identification Number (EIN) from the IRS. Once you’re approved, you’ll receive this unique nine-digit number that is essential for all sorts of business purposes, from filing your taxes to hiring employees. 

Not all businesses need an EIN, such as sole proprietors and single-member LLCs with no employees.

5. Get any required licenses and permits

Depending on your industry and federal, state and local requirements, you may also need to obtain licenses and permits for your business. 

Here are some examples of licenses and permits you may need, depending on your business:

  • Occupational, professional or trade licenses.
  • Online business permits.
  • Sales tax permits.
  • Health department permits.
  • Safety permits.
  • Home-based child care licenses.
  • Zoning, signage, environmental and other permits to operate an at-home business, as required by local government, HOA or deed restrictions.

6. Obtain funding for your business

Many owners fund their businesses using their own savings. Self-funding is a viable choice if you can get up and running without much money, can come up with the needed funding from your own accounts or can ask for help from family or friends. 

You can also apply for a business loan . Banks will likely want to see a rock-solid business plan, strong financial projections, good personal and/or business credit history and any collateral you’ll use for your loan. If you are a good candidate for lending, make sure that shows in your application so that you can get the best funding and terms for your business.

If you don’t have much personal or business credit history, it may be easier to get a business credit card . This gives you benefits like payment flexibility, credit card rewards and essential early or emergency spending power. It will also help your business establish or strengthen its credit so you can get favorable terms on future loans and other credit.

7. Launch and market your business

You’ve planned out your business, defined its structure and gotten your business registered, licensed, permitted and even paid for. Now it’s showtime. For many who seek to start a small business at home, the launch is the most exciting part of the journey. You are now ready to conduct business.

It’s also important to get others excited about your small business — and keep them engaged. Here are some of the most common marketing strategies for small home-based businesses:

  • Social media marketing: Reach potential customers on platforms like Facebook, Instagram, TikTok and X (formerly Twitter) by sharing engaging content and updates.
  • Business website: More than just a place to sell your products or services online, your business website should help users find what they want to meet their needs. It should also help achieve business objectives by offering features like payment services or e-commerce functionality .
  • Advertising: Platforms such as search engines and social media can help you reach your target audience.
  • Content marketing: Write blog posts, produce videos or create helpful graphics to explain what your business offers and to establish trust and authority.
  • Email marketing: To keep business coming back, build an email list to communicate using promotions, newsletters and updates.
  • Word of mouth: In the early stages, many small home-based businesses rely on word of mouth. You can also ask for customer reviews on platforms like Google and Yelp.

Weigh the costs and benefits when deciding on your marketing plan, so you choose what’s best for your business.

Top home business ideas

Check out these home business ideas to find the right fit for you:

  • Retail: Sell products you make — including crafts and customized gifts — or resell products you get for less than what you pay for them.
  • Case-based services: Open up an in-home daycare, provide home-based care for adults or even take care of pets by offering pet sitting and mobile grooming.
  • Events: Plan weddings and events. Create the perfect look as a makeup artist or stylist. Play music in a band or take your place on the 1s and 2s as a DJ.
  • Art and creative services: Capture the moment as a photographer, or maybe you’d rather bring your vision to life as an artist. More of a words person? Write, edit or translate content. 
  • Education: Teach the next generation how to do math, play an instrument or learn a new language. Provide adults with specialized training in arts and crafts, life coaching or test preparation.
  • Health and wellness: Become a personal trainer to get people in the best shape of their lives or a mental health counselor to help them find their inner peace.
  • Home and real estate: Transform homes by organizing, decorating or even staging. Produce virtual home tours for real estate agents, or become a realtor yourself.

Resources to start a business

For more resources and guidance on how to start a small business at home, check out these guides and articles:

  • Follow our step-by-step guide on how to start a business from the ground up.
  • Learn how to start an LLC if that’s your chosen business structure.
  • Discover how to start a business with no money so funding doesn’t hold you back.
  • Skip the overhead that comes with brick-and-mortar stores and find out how to start an online business .
  • Explore options to accept payments online and start making money in your sleep.
  • Find the cheapest payroll services to pay your employees and contractors.
  • Build a successful business by attracting loyal, repeat customers. 

Frequently asked questions (FAQs)

The cost of starting a business at home varies widely and depends on several factors. Some businesses, including sole proprietorships, can get away with paying little to no money to start their business. Other home-based businesses, including those with manufacturing or inventory expenses, could have considerably higher startup costs.

Yes, you can use your home address to register a business. However, you’ll want to make sure that usage does not go against local laws, HOA bylaws or property covenants. It’s also a good idea to check with your mortgage and homeowners insurance companies to make sure that running a business out of your home does not introduce unforeseen headaches.

Blueprint is an independent publisher and comparison service, not an investment advisor. The information provided is for educational purposes only and we encourage you to seek personalized advice from qualified professionals regarding specific financial decisions. Past performance is not indicative of future results.

Blueprint has an advertiser disclosure policy . The opinions, analyses, reviews or recommendations expressed in this article are those of the Blueprint editorial staff alone. Blueprint adheres to strict editorial integrity standards. The information is accurate as of the publish date, but always check the provider’s website for the most current information.

Blair Travers

Blair Travers is a business writer and content strategist with over a decade of experience breaking down complex problems to help businesses move forward with confidence. He brings a wide range of technology, banking and retail expertise. Blair enjoys helping businesses figure out complex processes and make choices that are right for them. His work has been published in U.S. News & World Report and Carfax.

Sierra Campbell is a small business editor for USA Today Blueprint. She specializes in writing, editing and fact-checking content centered around helping businesses. She has worked as a digital content and show producer for several local TV stations, an editor for U.S. News & World Report and a freelance writer and editor for many companies. Sierra prides herself in delivering accurate and up-to-date information to readers. Her expertise includes credit card processing companies, e-commerce platforms, payroll software, accounting software and virtual private networks (VPNs). She also owns Editing by Sierra, where she offers editing services to writers of all backgrounds, including self-published and traditionally published authors.

How to start a small business: A step-by-step guide

How to start a small business: A step-by-step guide

Business Eric Rosenberg

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How Fast Should Your Company Really Grow?

  • Gary P. Pisano

write a micro business plan

Growth—in revenues and profits—is the yardstick by which the competitive fitness and health of organizations is measured. Consistent profitable growth is thus a near universal goal for leaders—and an elusive one.

To achieve that goal, companies need a growth strategy that encompasses three related sets of decisions: how fast to grow, where to seek new sources of demand, and how to develop the financial, human, and organizational capabilities needed to grow. This article offers a framework for examining the critical interdependencies of those decisions in the context of a company’s overall business strategy, its capabilities and culture, and external market dynamics.

Why leaders should take a strategic perspective

Idea in Brief

The problem.

Sustained profitable growth is a nearly universal corporate goal, but it is an elusive one. Empirical research suggests that when inflation is taken into account, most companies barely grow at all.

While external factors play a role, most companies’ growth problems are self-inflicted: Too many firms approach growth in a highly reactive, opportunistic manner.

The Solution

To grow profitably over the long term, companies need a strategy that addresses three key decisions: how fast to grow (rate of growth); where to seek new sources of demand (direction of growth); and how to amass the resources needed to grow (method of growth).

Perhaps no issue attracts more senior leadership attention than growth does. And for good reason. Growth—in revenues and profits—is the yardstick by which we tend to measure the competitive fitness and health of companies and determine the quality and compensation of its management. Analysts, investors, and boards pepper CEOs about growth prospects to get insight into stock prices. Employees are attracted to faster-growing companies because they offer better opportunities for advancement, higher pay, and greater job security. Suppliers prefer faster-growing customers because working with them improves their own growth prospects. Given the choice, most companies and their stakeholders would choose faster growth over slower growth.

Five elements can move you beyond episodic success.

  • Gary P. Pisano is the Harry E. Figgie Jr. Professor of Business Administration at Harvard Business School and the author of Creative Construction: The DNA of Sustained Innovation (PublicAffairs, 2019).

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  1. Write your business plan

    Include your mission statement, your product or service, and basic information about your company's leadership team, employees, and location. You should also include financial information and high-level growth plans if you plan to ask for financing.

  2. Simple Business Plan Template (2024)

    How To Write an Effective Business Plan in 6 Steps Frequently Asked Questions While taking many forms and serving many purposes, they all have one thing in common: business plans help you...

  3. How to Write a Business Plan, Step by Step

    Steps 2. Describe your company 3. State your business goals 4. Describe your products and services 5. Do your market research 6. Outline your marketing and sales plan 7. Perform a business...

  4. How to Write a Simple Business Plan

    A business plan is a document that communicates a company's goals and ambitions, along with the timeline, finances, and methods needed to achieve them. Additionally, it may include a mission statement and details about the specific products or services offered.

  5. How To Write A Business Plan (2024 Guide)

    Describe Your Services or Products. The business plan should have a section that explains the services or products that you're offering. This is the part where you can also describe how they fit ...

  6. How to Write a Business Plan: Guide + Examples

    Writing a business plan doesn't have to be complicated. In this step-by-step guide, you'll learn how to write a business plan that's detailed enough to impress bankers and potential investors, while giving you the tools to start, run, and grow a successful business. The basics of business planning

  7. How to Write a Business Plan: A Step-by-Step Guide

    Step 1: Write an Executive Summary As with any other piece of writing, this introduction to your plan is the hook. Why should the reader believe in your business? Sell your business and explain why it matters.

  8. How to Write a Business Plan: Beginner's Guide (& Templates)

    Step #3: Conduct Your Market Analysis. Step #4: Research Your Competition. Step #5: Outline Your Products or Services. Step #6: Summarize Your Financial Plan. Step #7: Determine Your Marketing Strategy. Step #8: Showcase Your Organizational Chart. 14 Business Plan Templates to Help You Get Started.

  9. How to Write a Business Plan for a Small Business: 14 Steps

    1 Determine the type of business plan you will use. While all business plans share the common objective of describing a businesses purpose and structure, analyzing the marketplace, and creating cash flow projections, the types of plans differ. There are three major kinds. The mini plan.

  10. Free Business Plan Template For Small Businesses

    Download Wix's free business plan template. Creating a successful business plan is no easy feat. That's why we've put together a simple, customizable, and free-to-download business plan template that takes the guesswork out of getting started. Use it to create a new business plan or to refresh an existing one.

  11. Small Business Owners: How to Write Your Business Plan

    Step 1: Define your business idea. Every business idea should be born out of a problem that needs solving. To find a good business idea, start by identifying a problem or a need in the market that is not adequately addressed. You also should clearly define your business idea and what you plan to offer.

  12. How to Write a Small Business Plan? 3 Tips & Free Sample

    3 Tips to Writing a Great Business Plan. 1. Nail Your Elevator Pitch. Every good business plan starts with an "executive summary". This is essentially a short paragraph summarizing your business mission statement. A company description. The mission tells the reader what you intend to do and how you intend to do it.

  13. How To Write a Business Plan

    Step 2: Do your market research homework. The next step in writing a business plan is to conduct market research. This involves gathering information about your target market (or customer persona), your competition, and the industry as a whole. You can use a variety of research methods such as surveys, focus groups, and online research to ...

  14. How to Write a Small Business Plan in 2024

    The Ascent Knowledge Small Business How to Write a Small Business Plan Updated Aug. 5, 2022 - First published on May 18, 2022 By: Liz Froment Many or all of the products here are from...

  15. How to Create A Successful Micro Business Plan

    For instance, form an LLC within one month, make five sales within three months and break-even within six months. In the end, what's most important is that your micro business plan helps you form a clearer idea of what you want your business to do and how you plan to do it. You don't need a 10-page essay in order to succeed — just as with ...

  16. 10-part business plan template and how write a business plan

    Whether you're a long-time business owner or starting to think about launching a business, to-do lists pile up fast, and determining how to write a business plan—much less following a business plan template—often feels overwhelming.

  17. How to Write a Business Plan in 10 Steps

    QUICK ANSWER: A business plan outlines your business's goals, services, financing, and more. Business plans vary in length and complexity but should always include an explanation of what your business will do and how it will do it. Business plans serve as a guide for business owners and employees and are key to boosting investor confidence.

  18. How to Write a Business Plan for a Small Business

    When you write a business plan, you may discover how much money your small business needs to accomplish your goals. Learn how to write an effective business plan with these 11 steps.

  19. How to write a business plan in seven simple steps

    This is typically one of the first pieces of the plan to be written. 3. Market analysis and opportunity. Research is key in completing a business plan and, ideally, more time should be spent on research and analysis than writing the plan itself. Understanding the size, growth, history, future potential, and current risks inherent to the wider ...

  20. How To Write A Business Plan (2024 Guide)

    Describe your services or products. The business plan should have a section that explains the services or products that you're offering. This is the part where you can also describe how they fit ...

  21. How To Create a Business Plan for a Small Business (With Example)

    A business plan allows you to establish, revise and refer to the primary objective of the organization. Related: 10 Pros and Cons of Being a Small Business Owner How to create a business plan for a small business Here are four steps you can follow to create and write a business plan for a small business: 1. Conduct research

  22. How to Write a Small Business Plan For Your Business

    The purpose of a business plan is to: Communicate your small business goals and strategy for the future. Calculate financial projections for your small business. Compare your business's strengths and shortcomings against your competition. Strategize for critical issues and prepare for challenges and success. Another major benefit of a ...

  23. 550+ Sample Business Plan Examples to Inspire Your Own

    Need help writing your business plan? Explore over 550 industry-specific business plan examples for inspiration. Go even further with LivePlan, which harnesses AI-assisted writing features and SBA-approved plan examples to get you funded. Find your business plan example Accounting, Insurance & Compliance Business Plans Accounting Compliance

  24. 10 Simple Tips to Write a Successful Business Plan

    9. Describe your facilities and location for performing the work. That includes equipment you use to create your products and/or services. If you'll need to expand, discuss when, where, and why.

  25. Free Business Plan Template (With Examples)

    Regardless of the type of business you own or the products and services you provide, every business plan should include some core elements: Mission statement. The definition and executive summary ...

  26. How to Write a Food and Beverage Business Plan + Sample Business Plan

    That's why we recommend you write a business plan. Why write a food and beverage business plan? Writing a business plan is an easy first step that you can start for free. Plus, businesses that take time to plan are significantly more successful than those that don't. Many food and beverage establishments fail because of one of the following:

  27. How to Start a Small Business at Home in 2024

    C.E. "Tee" Rowe is the president and CEO of America's Small Business Development Centers (SBDC), which provides free or low-cost support for small businesses in partnership with the U.S ...

  28. How Fast Should Your Company Really Grow?

    Gary P. Pisano is the Harry E. Figgie Jr. Professor of Business Administration at Harvard Business School and the author of Creative Construction: The DNA of Sustained Innovation (PublicAffairs ...