The easiest way to simplify the writing of a business plan is to start with a template.
You're already spending time and energy planning your small business there's no need to reinvent the wheel when it comes to formatting your plan. Rather, consider time-tested structures created by entrepreneurs and startups who have gone before you to build a complete and effective plan.
Writing a business plan is often used to secure funding, but many businesses find it valuable even if they never work with investors. That's why a free business plan template to help you get started.
You can use this template to make sure you are thinking through all the aspects of starting a new business. It is intended to help new entrepreneurs and small business owners consider the full scope of running a business and identify functional areas they may not have considered or areas where they may need to improve their skills as they grow.
Nevertheless, it may not contain the specific details or structure preferred by an investor or lender. Check with your target organizations-usually banks or investors to see if they have a template you can follow to maximize your chances of success with your business plan.
This free business plan template includes seven key elements:
Executive summary: A one-page summary of your whole plan, typically written after the rest of the plan is completed.
Company description: An overview of your business. It includes many possible sub-sections, such as your legal structure (whether you are a sole proprietor or a limited liability company (LLC)) and your business model. You can also add more meaningful information, such as your business's value proposition and mission statement.
The description section will also cover your management team, business strategy and objectives, and general background information about the brand.
Market analysis: This section includes everything from estimated market size to your target markets and competitive advantage. It’ll include a competitive analysis of your industry to address competitors' strengths and weaknesses.
Products and services: What you sell and the most important features of your products or services. It’ll also include any plans for intellectual property, like patent filings or copyright. If you do market research for new product lines, it’ll show up in this section of your business plan.
Marketing plan: How you intend to get the word out about your business, and what strategic decisions you’ve made about things like your pricing strategy. It also covers potential customers’ demographics, sales plan, and your metrics and milestones for success.
Logistics and operations plan: Everything that needs to happen to turn your raw materials into products and get them into the hands of your customers.
Financial plan: It’s important to include a look at your financial projections. This section includes templates for three key financial statements: an income statement, a balance sheet, and a cash-flow statement. You can also include whether or not you need a business loan and how much it’ll be.
A fictional business that creates greeting cards that have your pet's paw prints on them, and the founder is putting together a plan to help understand the market, as well as logistics and costs involved so that they have the best chance of success before they launch.
The sample is set up to help you get a sense of each section and understand how they apply to the planning and evaluation stages of a business plan. If you’re looking for funding, this example won’t be a complete or formal look at a business plan, but it will give you a great place to start and notes about where to expand.
Read through the following business plan example before writing your own. Download a copy in Microsoft Word or Google Docs and use it to inspire your own planning.
Lean business plan example
A lean business plan format is a shortened version of your full business plan. It’s helpful when modifying your plan for a specific audience, like investors or new hires.
Also known as a one-page business plan, it includes only the most important, need-to-know information, such as:
It’s tempting to dive right into execution when you’re excited about a new business or side project, but taking the time to write a business plan and get your thoughts on paper allows you to do a number of beneficial things:
A business plan can be as informal or formal as your situation calls for, but even if you’re a fan of the back-of-the-napkin approach to planning, there are some key benefits to starting your plan from an existing outline or template.
There are some high-level strategic guidelines beyond the advice included in this free business plan template that can help you write an effective, complete plan while minimizing busy work.
