Although many businesses are tempted to use their business plans solely for this purpose, a good plan should set the course of a business over its lifespan.
A business plan plays a key role in allocating resources throughout a business.
If you regularly assess your performance against the plans and targets you have set, you are more likely to meet your objectives.
It can also signpost where and why you're going astray.
This should include regular business planning meetings which involve key people from the business.
To find out more, see our guides on how to review your business performance and how to assess your options for growth.However complex it turns out to be, the individual business unit plan needs to be easily understood by the people whose job it is to make it work.They also need to be clear on how their plan fits in with that of the wider organisation.This guide will show how you can turn your business plan from a static document into a dynamic template that will help your business both survive and thrive.Most potential investors will want to see a business plan before they consider funding your business.Regular review is a good vehicle for showing direction and commitment to employees, customers and suppliers.Defining your business' purpose in your business plan keeps you focused, inspires your employees and attracts customers.Typically, each department head will draft the unit's business plan and then agree on its final form in conjunction with other departments.Each unit's budgets and priorities must be set so that they fit in with those of the entire organisation.Planning is key to any business throughout its existence.Every successful business regularly reviews its business plan to ensure it continues to meet its needs.