What are the different parts of a business plan?

A business plan is an aggregated document prepared as part of the creation, management, or takeover of a business. The document aims to detail the company's strategy and bring together a certain amount of important information for its recipients.

The different parts of a business plan

Photo Credit: Unsplash Luca Bravo

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A business plan can be intended for the managers of the company themselves (internal business plan), or for external interlocutors, who can be investors, credit institutions, from which the company seeks a loan or a line of credit, suppliers to whom the company asks for payment terms, partners, customers.

The business plan is not a standardized document, but it must nevertheless contain enough information for its recipients to obtain answers to their questions or to want to work with the company. We will see what the different parts of a business plan are and the elements they contain.


Presentation of the project and the market
Presentation of the strategy
Legal and financial presentation


Presentation of the project and the market

First and foremost, the business plan must contain a detailed presentation of the project. It is a question here of mentioning the context, the elements which contributed to the emergence of the chosen concept, the stages of reflection, then the final choice of the project.

It is also advisable to present the various promoters of the project, to define the roles they plan to take on, the distribution of tasks between them. It is important to detail their motivations, what led them to choose this project, their curriculum vitae, their experience, and what they consider to be their strengths to lead this project.

After the presentation of the project, it is necessary to present the market in which the project fits, and in particular who are the main players, what are the major trends in this market, what are the size of the market and its dynamics.

Presentation of the strategy

The heart of the business plan concerns the presentation of the strategy chosen within the framework of the project, with a projection of 3 to 5 years. This strategy must be detailed and accompanied by a precise action plan, highlighting the various stages that are envisaged.

Legal and financial presentation


The business plan must also contain a legal review of the main legal aspects of the project (legal form, structure put in place, identified risks and risk coverage strategy).

Finally, one of the crucial parts of the business plan concerns the presentation of the main financial indicators and a financial inventory over at least three years. This involves presenting balance sheets and income statements, profitability or profitability indicators, cash flows, loan repayment capacities.

Each of these parts can be broken down into several sub-parts, depending on the needs and objectives of the business plan.


Sources:
- Faire son business plan - Bpifrance-creation.fr
- Les neuf éléments incontournables d'un business plan réussi - L'Express L'Entreprise