Purpose Business Plan

Purpose Business Plan-13
Typical structure for a business plan for a start up venture Cost and revenue estimates are central to any business plan for deciding the viability of the planned venture.But costs are often underestimated and revenues overestimated resulting in later cost overruns, revenue shortfalls, and possibly non-viability.Non-disclosure agreements (NDAs) with third parties, non-compete agreements, conflicts of interest, privacy concerns, and the protection of one's trade secrets may severely limit the audience to which one might show the business plan.

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Such plans have a somewhat higher degree of candor and informality than the version targeted at external stakeholders and others.

This situation is complicated by the fact that many venture capitalists will refuse to sign an NDA before looking at a business plan, lest it put them in the untenable position of looking at two independently developed look-alike business plans, both claiming originality.

In such situations, one may need to develop two versions of the business plan: a stripped-down plan that can be used to develop a relationship and a detailed plan that is only shown when investors have sufficient interest and trust to sign a Non-disclosure agreement.

In its entirety, this document serves as a road map that provides direction to the business.

Business plans may be internally or externally focused.

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Comments Purpose Business Plan

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