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Experts say that a strong business plan is one sure step in the direction of success. So, what is a business plan in the first place? It is defined as a document that outlines the functional and financial objectives of a business. It also contains details of the budget involved and the goals to be achieved.

The business plan serves several purposes: Enables the entrepreneur to think through the business in a logical and structured way and to set out the stage in the achievement of the business objectives ; Enables the entrepreneur to plot progress against the plan ; Ensures that the resources needed to carry out the strategy and the times when they are required are both identified ; Preparing the business plan ensures that the entrepreneur has thought through the crucial aspects of the venture ; It is a means for making all employees aware of the business direction ; It is an important document for discussion with prospective investors and lenders of finance ; It links into the derailed, short-term, one-year budget.

A valuable source of information about your business that may be required by third parties ; Improved use of your company personal resulting from participation in the business planning process ; Increased employee motivation ; Increased profits and sustained growth.

I say that because of course you need to be careful with commercially sensitive ideas, as you do not want to pass your plan on to someone in the pub who then starts your idea before you across the road.

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