What Is A Business Plan?

The term business plan refers to a blueprint and tool which is used for the purpose of communication to parties who are interested in knowing about a business. A business plan, in other words, is a device which is helpful to the owner of the business to plan how he or she intends to operate his or her business. It is like a road map which will help others to know how the owner of the business expects to get there.

A business plan is defined as a written document which describes a business, the objectives of the business, the strategies of the business, the target market or target customers of the business and the financial forecast of the business.

This document spells out the expected course of action which will be taken by the company for a specified period of time. It includes a detailed list and analysis of the risks which are involved in running the business.