Every new venture should have a business plan. A Business Plan Preparation is the formally composed expression of the entrepreneurial vision. It explains the strategy and operations of the proposed venture. A venture capital group might call it the “funding plan” or “investment prospectus”. Presented to an investor, it might be called a “loan proposal.”

The advantages of writing a Business Plan Preparation, outweigh the costs. The reason for the arrangement is to empower the top executives of the firm to consider their business comprehensively, to communicate their objectives to people who might have a stake in the firm’s future, to have the premises for making decisions, and to encourage the planning process.