Writing a business plan helps you:

• check that your idea makes sense
• plan your sales, marketing and business operations
• identify problems and how to overcome them
• set out your objectives and the financial return you expect
• work out what financing you need
• convince other people to back your business

1. Writing a business plan helps you think about what you are doing

   The plan sets out your strategy and action plan for the next one to three years, or sometimes longer.

• As part of the process you set concrete objectives and plan how you will achieve them.
• Writing a business plan helps you focus and develop your ideas. Priorities are identified. Non-priorities are dropped, saving precious time.
• Putting the plan in writing makes it easier to spot any gaps where you have more to do.
• Once written, the plan is a benchmark for the performance of the business.
• By involving your employees in the complete planning process, you continue to build up a successful, committed team.

3. Your business and products
4. Your market and competition
5. Your marketing and sales strategy
6. Management and personnel structure
7. Your business operations
8. Financial forecasts
9. A SWOT analysis helps show that you really understand your business and the key external factors that you need to deal with.

Set out a one-page analysis of strengths, weaknesses, opportunities and threats

• Strengths might include brand name, quality of product, or management experience.
• Weaknesses might be lack of finance, or reliance on just a few customers.
• Opportunities might be increasing demand or a competitor going bust.
• Threats might be a downturn in the economy or a new competitor.
• Be honest about your weaknesses and the threats you face
• Spell out mitigating circumstances and the defensive actions you are taking.