1. Seek investment for a business, whether it is a startup or not. Investors have to see a business plan before they decide whether or to not invest. This is what they will be expecting no matter what, some will not even want to talk about it until they have one. Some investors want a business plan before seeing them and if the numbers are realistic, attractive and with it, then they will give you a call to schedule a meeting.

2. Create a new business. Use the business plan to determine the proper steps on how to start and grow it. This plan will include strategies on how to target your proper audience, what will be your operational plan, your business innovation analysis and your project benefit just to name a few.

3. Grow your existing business. Establish strategies and assign resources consistently with strategic priorities. This business plan will help you keep on track and escalate your business. Once you write down it will be your guide on growing your business. 

4. Business loan applications. Here it will help you with loans, even banks need to see what you are going to do with their investment, what the next steps are and what the business is going to do in the future. So it’s crucial. 

5. In order to sell your business. Usually the business plan is a vital part of selling the business. WHY? It helps buyers understand what you do, what you’ve got, what it’s worth and why they need it. 

6. Provided it to your team of professionals. Share confidential plans with your attorneys and accountants, and consultants. 

7. Share and explain business objectives together with your management team, employees and new hires. Make selected portions of your business plan a part of your new employee training. 

8. Set specific objectives for managers. Good management requires setting specific objectives, tracking and following up. Some businesses manage their business without a plan, so they can compare their actual situation and that’s why most businesses don’t grow. So don’t cut corners and do the right thing from the beginning. 

9. Decide whether you would like to obtain a new asset. Use your business plan to decide or help you decide what is going on to happen in the future. 

10. Decide whether or to not rent new space. Rent may be a new obligation, so you have to have a backup until it starts running as expected. 

11. Hire new people. This is often another new obligation. So you have to know how these new employees will help your business grow and prosper. What exactly are they going to be doing? Are they necessary for the business? How many more employees do you need?

12. Develop new business collaborations. Use your business plan to decide who is an ideal brand to collaborate with whether it is a company or a person.

These are just some pointers on why a business plan is so important.

Now this is just the beginning.

If the business plan does not meet the criteria for possible investors, then your business will most likely grow but just as a slower pace, but if your business plan surpasses what investors are looking for, then you will be on the fast pass to success because at the end, investors will not only provide capital for your business, since they want it to succeed in order to obtain the highest ROI (return of investment), but most importantly some of them will provide you with their expertise in order for you to get to the next step. 

Additional Pointers