A business in the start-up phase certainly needs a sound business plan. A business plan may help the owner(s) to take stock of the current situation, and to set a direction for a further course of action. It may, for example, be necessary to raise funds from a bank, or other investors, in the initial stages of an enterprise. In such cases, a good business plan may help you establish the credentials and capability of a business with a lending institution.

An effective business plan should have all, or most, of the following sections:

An executive summary ? usually a brief summary, in one page, of the business plan. Anyone who reads the document is likely to read this section, at least, so you should devote special attention to making it interesting, and readable, while conveying the key points of the plan. If you can produce a snappy ?one-liner? that sums up the content, then do so, to catch the attention of your reader. If there is a requirement for funding, say so, in specific terms.

A sales summary ? explaining core products, or services, and their benefits to your target clientele.

A technical explanation ? describing products, and their applications, and what benefits they bring to customers who use them that make them worth buying. Potential customers, as well as investors, want to know that it is profitable to do business with your company.

Your business objectives and targets, over the next year, or two, or three. Turnover and staffing projections can also be included in this section.

It is important to develop your writing skills, especially if you want produce a well crafted business plan that will impress your reader. Aside from being absolutely correct, in spelling, grammar and punctuation, your document should be free from unnecessary jargon. Use short, crisp sentences that convey the message effectively. The executive summary should be written last, although it should appear at the beginning of the business plan. Focus on the key points, and on relevant, and significant, issues. To lend a business plan a professional touch, provide a contents page and number the pages.

A professional business plan marks you out as an efficient and competent person, and shows the organisation you represent in a favourable light. Similarly, an effective, and well presented, plan will impress senior managers within a company, potential clients, other stakeholders and lending institutions.