8 Uses for a Business Plan

Every entrepreneur knows about business plans.  You can’t raise money for a startup without one.  But once your new venture is launched, do you file the plan away and forget about it until the time comes to woo investors again?

What are the uses for a business plan?

1.  Raising capital.  A good business plan can convince investors to put up the money to help start a new venture or to move a business to the next level.

2.  Financing.  Give your loan application a boost.  Attach an updated copy of your business plan.

3.  Attracting executive talent.  Your new marketing VP will understand the company much faster with an up-to-date business plan at hand.

4.  Alliances.  Would-be strategic partners can learn about your company by studying your plan.

5.  Departmental uses.  Sections of your business plan can be the starting point for a detailed marketing plan or a human resources policy.

6.  Keeping current.  Update your business plan according to the calendar or to take account of changes in your company or industry.

7.  Staying on track.  Are your current activities or near-term goals in line with your original strategy?

8.  Long-term planning.  Use your business plan as a platform for testing future scenarios.

If you have more uses for a business plan, please leave a comment.