What is a business plan?

I want to begin a business but am told I need to build a business plan. What is this and what is its purpose?

Before the business has started:

An overblown, convoluted document that really doesn’t really serve any purpose other than providing the Founder with a time suck and sense of reassurance they’re really thought about the business

But if it’s a business with huge capital cost. Then perhaps it’s different.

When the business has started:

A document/plan for the future that’s to be tweaked and adjusted as more discoveries about the market/business are made

Now it’s becoming more useful. And probably lots of it is wrong

When the business is raising money/generating revenue:

A document detailing where the business is going, how it’s going to get there, when it’s going to get there and who’s driving.

Shown after slides/summaries/pitch decks.

It’s finally useful

All business plans:

Should contain:

  • Objective
  • Battle plan
  • Key milestones
  • Supplies needed and their cost
  • Ongoing fuel costs
  • The predicted outcome of battle
  • Information upon the captains of this vessel
  • An overview

transcribed from what is a business plan