A business plan is a very important requirement for every business irrespective of whether it is a new business venture or an existing one. It creates a comprehensively written outline evaluating all aspects of the economic viability of the business venture. Apart from economic viability, the business plan defines and focuses one’s objective using suitable information and analysis. It is of immense help in making presentation to potential investors and lenders. It is also of great use in soliciting advice whenever a new business is started from people experienced in the said field. However best one tries to cover all aspects of starting a new venture, there will be certain gaps which do not surface at a time. All or most of such gaps surface whenever a comprehensive business plan is prepared.
Present day business is so competitive that unless one is very focussed and clear about his objectives and strategies to achieve such objectives, it is very difficult to make the business click. There are so many components that constitute the over all business make-up that unless they are put in writing in unequivocal terms and taken care of, they become very fluid and wayward. Wayward management of business components spells doom for business. So it is always desirable that a clear and comprehensive business plan is prepared and kept ready before starting any new business venture. The business plan also serves as a reference guide to check whether the business is going ahead according to the plan or any revision is required due to contingencies.