Your 8-Step Business Plan Framework
Follow this proven framework used by thousands of successful startups and established businesses.
Executive Summary
A compelling overview of your entire business plan that captures attention and summarizes key points.
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What This Section Includes
The executive summary is your business plan's elevator pitch—a concise overview that highlights the most important aspects of your business. Think of it as a snapshot that investors and stakeholders will read first (and sometimes only) to decide if they want to learn more.
Key Elements to Cover
- Company description and mission statement
- Problem you're solving and target market
- Your solution and competitive advantages
- Business model and revenue streams
- Financial highlights and funding requirements
- Key success factors and milestones
Example
For a food delivery app: 'FoodFast connects busy professionals with local restaurants through a 15-minute delivery guarantee. Targeting the $150B food delivery market, we've secured partnerships with 200+ restaurants and achieved $50K monthly revenue in our pilot city, seeking $2M to expand to 5 major markets.'
Pro Tip
Write your executive summary last, after completing all other sections. This ensures it accurately reflects your full business plan and hits all the key points that matter most to your audience.
Company Description
Tell your business story, define your mission, and establish the foundation of what your company represents.
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What This Section Includes
Your company description provides the context and background that helps readers understand your business. It's where you paint the picture of what your company does, why it exists, and what makes it unique in the marketplace.
Key Elements to Cover
- Company history and founding story
- Mission statement and core values
- Vision for the future
- Legal structure (LLC, Corporation, etc.)
- Location and facilities
- Key products or services overview
Example
Founded in 2023, GreenClean Solutions provides eco-friendly cleaning services to busy households in Portland. Our mission is to deliver spotless homes using only non-toxic, environmentally safe products, giving families peace of mind about their health and environmental impact.
Pro Tip
This is a great place to think about your legal structure. Most small businesses benefit from forming an LLC for liability protection and tax flexibility—something you'll want to address before seeking investment or launching operations.
Market Analysis
Research and analyze your industry, target customers, and competitive landscape to prove market opportunity.
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What This Section Includes
Market analysis demonstrates that you understand your industry and have identified a real opportunity. This section proves there's sufficient demand for your product or service and shows you know how to reach your target customers.
Key Elements to Cover
- Industry overview and growth trends
- Target market size and demographics
- Customer personas and buying behavior
- Market segmentation and positioning
- Competitive analysis and differentiation
- Market entry strategy and barriers
Example
The U.S. pet care market is valued at $261B and growing 6.1% annually. Our target customers are millennial pet owners (ages 25-40) with household incomes above $75K who spend an average of $1,480 annually on pet care and prioritize premium, natural products.
Pro Tip
Use specific numbers and credible sources. Investors want to see that you've done real research, not just made optimistic assumptions. Tools like IBISWorld, Statista, and government census data can provide reliable market statistics.
Organization & Management
Outline your company structure, introduce key team members, and demonstrate leadership capabilities.
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What This Section Includes
This section proves you have the right people and structure to execute your business plan. Investors invest in teams as much as ideas, so showcasing your leadership and operational structure is crucial for building confidence.
Key Elements to Cover
- Organizational structure and hierarchy
- Key management team profiles and expertise
- Advisory board or mentors
- Staffing plan and future hiring needs
- Compensation and equity structure
- Professional service providers (lawyers, accountants)
Example
CEO Sarah Johnson brings 10 years of retail management experience from Target and Nordstrom. CTO Mike Chen previously led engineering teams at two successful SaaS startups. Our advisory board includes former executives from Amazon and local business leaders.
Pro Tip
If you're missing key expertise, be honest about it and explain how you plan to fill those gaps. Showing awareness of your limitations and having a plan to address them demonstrates good judgment and planning skills.
Products or Services
Provide detailed descriptions of what you're selling, how it works, and what makes it valuable to customers.
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What This Section Includes
This section dives deep into what you're actually selling. It should clearly explain your products or services, how they work, what problems they solve, and how they create value for customers. This is where you can showcase innovation and differentiation.
Key Elements to Cover
- Detailed product/service descriptions
- Features, benefits, and unique value propositions
- Development stage and timeline
- Intellectual property and competitive advantages
- Product roadmap and future offerings
- Quality control and delivery methods
Example
Our flagship product is a smart home security system that combines HD cameras, motion sensors, and AI-powered threat detection. Unlike traditional systems, our AI reduces false alarms by 85% and provides instant smartphone alerts with video evidence.
Pro Tip
Focus on benefits, not just features. Customers buy solutions to problems, not technical specifications. For every feature you mention, explain why it matters to your target customer and how it improves their life or business.
Marketing & Sales Strategy
Explain how you'll reach customers, build brand awareness, and convert prospects into paying customers.
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What This Section Includes
Your marketing and sales strategy outlines how you'll attract, acquire, and retain customers. This section should demonstrate that you understand your customers' buying process and have a realistic plan for reaching them profitably.
Key Elements to Cover
- Target customer segments and personas
- Brand positioning and messaging strategy
- Marketing mix (product, price, place, promotion)
- Customer acquisition channels and tactics
- Sales process and conversion funnel
- Customer retention and lifetime value strategies
Example
We'll target busy professionals through LinkedIn advertising and Google Ads, focusing on keywords like 'meal planning' and 'healthy eating.' Our freemium model allows users to try basic features free, then convert to $29/month premium plans through in-app upsells.
Pro Tip
Be specific about your customer acquisition costs and lifetime value. If you can spend $50 to acquire a customer who pays $100/month for 12 months on average, that's a compelling business model that investors will understand and appreciate.
Financial Projections
Create realistic forecasts for revenue, expenses, cash flow, and profitability to demonstrate financial viability.
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What This Section Includes
Financial projections show the money side of your business plan. These forecasts demonstrate how your business will make money, when it will become profitable, and how much funding you need. This section is crucial for investors and lenders.
Key Elements to Cover
- Revenue forecasts and assumptions
- Operating expense budgets
- Cash flow projections (monthly for year 1, quarterly for years 2-3)
- Break-even analysis and timeline to profitability
- Funding requirements and use of funds
- Key financial metrics and ratios
Example
We project $500K revenue in Year 1, growing to $2.5M by Year 3. With 40% gross margins and $300K annual operating expenses, we expect profitability by month 18. We're seeking $750K to fund inventory, marketing, and working capital through break-even.
Pro Tip
Base your projections on realistic assumptions, not wishful thinking. Investors prefer conservative projections you can exceed rather than aggressive targets you'll miss. Include multiple scenarios (conservative, realistic, optimistic) when possible.
Implementation Timeline
Create a roadmap with key milestones, deadlines, and resource allocation to show how you'll execute your plan.
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What This Section Includes
Your implementation timeline transforms your business plan from a document into an action plan. It shows investors and stakeholders that you've thought through the practical steps needed to launch and grow your business, with realistic timelines and resource requirements.
Key Elements to Cover
- Key milestones and success metrics
- Phase-by-phase launch timeline
- Resource allocation and team building
- Critical path dependencies
- Risk mitigation strategies
- Contingency planning and pivot scenarios
Example
Phase 1 (Months 1-3): Complete product development and beta testing with 50 users. Phase 2 (Months 4-6): Launch in Portland market, acquire 500 customers. Phase 3 (Months 7-12): Expand to Seattle and San Francisco, reach 2,500 customers.
Pro Tip
Include both quantitative milestones (revenue targets, customer numbers) and qualitative ones (product launches, partnerships). This helps track progress and provides clear success indicators for investors and your team.
Free Business Plan Templates
Professional industry-specific templates are coming soon! Each will include pre-filled examples and financial spreadsheets to help you create investor-ready business plans.
Tech Startup
Technology
Perfect for SaaS, mobile apps, and technology companies seeking venture capital or angel investment.
Includes:
- Executive summary with funding requirements
- Technical product specifications
- Market analysis and competitive landscape
- +7 more sections
Restaurant & Food
Food Service
Comprehensive plan for restaurants, cafes, food trucks, and catering businesses with operational focus.
Includes:
- Restaurant concept and menu overview
- Location analysis and demographics
- Kitchen equipment and setup costs
- +7 more sections
Consulting Services
Professional Services
Ideal for consultants, agencies, and professional service providers focusing on expertise-based businesses.
Includes:
- Service offerings and expertise areas
- Target client identification
- Pricing strategy and service packages
- +7 more sections
E-commerce Store
Retail/Online
Complete plan for online retail businesses, including inventory management and digital marketing strategies.
Includes:
- Product line and sourcing strategy
- E-commerce platform and technology stack
- Inventory management and fulfillment
- +7 more sections
Templates Coming Soon!
We're putting the finishing touches on our professional business plan templates. Each template will include industry-specific examples, financial spreadsheets, and detailed guidance.
Need Professional Help?
While you can create a business plan using our guide and templates, professional tools can save time and ensure investor-ready results.
LivePlan
Entrepreneurs seeking funding or comprehensive business planning
LivePlan is the most comprehensive business planning software available, offering professional templates, financial forecasting, and step-by-step guidance. With over 500 sample business plans and automatic syncing with QuickBooks, it's perfect for both new entrepreneurs and established businesses seeking funding.
Pros:
- ✓ 500+ sample business plans
- ✓ Professional investor-ready templates
- ✓ Financial forecasting and tracking
- ✓ QuickBooks integration
- ✓ 30-day money-back guarantee
- ✓ One-on-one expert support available
Cons:
- ✗ Monthly subscription required
- ✗ Can be overwhelming for simple plans
- ✗ More expensive than alternatives
Bizplan
First-time entrepreneurs who want guided, step-by-step planning
Bizplan combines business planning with fundraising tools in an intuitive drag-and-drop interface. Their modular approach breaks business planning into manageable sections, making it less intimidating for first-time entrepreneurs while still producing professional results.
Pros:
- ✓ Drag-and-drop interface
- ✓ Modular planning approach
- ✓ Built-in fundraising tools
- ✓ Beautiful design templates
- ✓ Mobile app available
- ✓ Free version available
Cons:
- ✗ Fewer templates than LivePlan
- ✗ Limited financial modeling features
- ✗ Newer company with less track record
Upmetrics
Entrepreneurs who want industry-specific templates and AI assistance
Upmetrics offers over 400 business plan templates across various industries with AI-powered writing assistance. Their platform focuses on making business planning faster and easier with automated financial forecasting and professional presentation tools.
Pros:
- ✓ 400+ industry-specific templates
- ✓ AI-powered writing assistance
- ✓ Automated financial forecasting
- ✓ White-label options available
- ✓ Affordable pricing
- ✓ Excellent customer support
Cons:
- ✗ Newer platform, still developing features
- ✗ Limited integrations compared to LivePlan
- ✗ Some advanced features require higher tiers
Professional Business Plan Software vs DIY Templates Pros and Cons
Pros
- Step-by-step wizards guide you through each section
- Built-in financial modeling and forecasting tools
- Professional templates that impress investors
- Real-time collaboration with team members and advisors
- Automatic formatting and presentation-ready exports
- Industry benchmarking and competitive analysis tools
Cons
- Monthly subscription costs vs one-time template download
- Learning curve for complex software features
- May include more features than needed for simple businesses
- Requires ongoing internet access for cloud-based platforms
After Your Plan is Ready
With your business plan complete, it's time to make your business official. Many entrepreneurs start with planning, then form their LLC to put the plan into action.
Protect Personal Assets
An LLC separates your business and personal finances, protecting your personal assets from business liabilities.
Establish Credibility
A formal business structure builds trust with customers, vendors, and potential investors or partners.
Tax Advantages
LLCs offer flexible tax options and potential deductions that can save you money as your business grows.
Ready to turn your plan into reality? Form your LLC and make it official.
Explore LLC FormationTurn Your Plan Into Reality
Form your LLC to officially establish your business, protect your assets, and implement the strategy you've outlined in your business plan.
ZenBusiness
Entrepreneurs who want comprehensive support and compliance tools at an affordable price
ZenBusiness stands out as our top pick for LLC formation services thanks to its unbeatable combination of value, features, and support. With formation starting at $0 plus state fees, you can rest easy with their worry-free compliance service, award-winning customer support, and 100% accuracy guarantee. The Pro and Premium packages add even more value with 1-day processing, an employer ID number, operating agreement, and services to get your business online like domain name registration, AI business website builder, and more.
Pros:
- ✓ Starter package is $0 plus state fees
- ✓ Registered agent and compliance services
- ✓ Free worry-free compliance for 1 year
- ✓ Fast 1-day processing time available
- ✓ 100% accuracy guarantee
- ✓ Award-winning customer support
Cons:
- ✗ Some features require upgraded plans
- ✗ More expensive Registered Agent service
Bizee
Budget-conscious startups needing fast formation
Bizee (formerly Incfile) offers lightning-fast LLC formation with their $0 package. They're perfect for entrepreneurs who need to form their LLC quickly and affordably. With same-day processing in many states and a year of free registered agent service, Bizee provides exceptional value for basic LLC formation needs.
Pros:
- ✓ $0 basic formation package
- ✓ Same-day processing available
- ✓ Free registered agent for first year
- ✓ Compliance alerts included
- ✓ Dashboard for document management
- ✓ Free business tools and templates
Cons:
- ✗ Operating agreement not included in basic package
- ✗ Limited customer support hours
Tailor Brands
Creative businesses wanting formation plus branding
Tailor Brands combines LLC formation with comprehensive branding tools. Their unique approach includes AI-powered logo design, website creation, and marketing materials. Perfect for creative entrepreneurs who want to establish their brand identity alongside their legal structure.
Pros:
- ✓ Includes logo design and branding
- ✓ Website builder included
- ✓ Business card designs
- ✓ Mobile app available
- ✓ Operating agreement included
- ✓ EIN service included
Cons:
- ✗ No rush processing available
- ✗ Monthly subscription required
- ✗ Customer service via chat/email only
Inc Authority
Budget-conscious entrepreneurs comfortable with DIY approach
Inc Authority offers genuinely free LLC formation with free registered agent service for the first year. While their basic package is unbeatable for price, be prepared for upselling attempts and note that the registered agent service renews at $119/year. They're perfect for entrepreneurs who want the absolute lowest cost and don't mind a more hands-off approach.
Pros:
- ✓ Truly free basic formation
- ✓ Free registered agent for first year
- ✓ Free tax planning consultation
- ✓ No hidden fees on basic package
- ✓ Phone and chat support available
- ✓ Basic compliance tools included
Cons:
- ✗ Aggressive upselling tactics
- ✗ Processing can be slow (7-10 days)
- ✗ Registered agent renews at $119/year
LegalZoom
Businesses that need ongoing legal support and established credibility
LegalZoom brings decades of experience and attorney-backed support to LLC formation. While some add-ons are pricey, their comprehensive legal services, extensive forms library, and ability to connect with attorneys make them ideal for businesses with complex legal needs or those who value the security of working with an established industry leader.
Pros:
- ✓ Attorney support available
- ✓ Comprehensive legal forms library
- ✓ Rush processing available (1 day +$99)
- ✓ Phone and chat support
- ✓ 30+ years in business
- ✓ Peace of mind guarantee
Cons:
- ✗ Registered agent costs $249/year
- ✗ Operating agreement costs extra (+$99)
- ✗ EIN service expensive (+$159)
Rocket Lawyer
Businesses needing ongoing legal support beyond formation
Rocket Lawyer offers comprehensive legal services beyond just LLC formation. Their platform provides access to attorneys, unlimited legal documents with membership, and ongoing legal support. While the formation takes 5-7 days, they're ideal for businesses that anticipate needing regular legal assistance.
Pros:
- ✓ Full legal services platform
- ✓ Operating agreement included
- ✓ Attorney consultations available
- ✓ Mobile app for on-the-go access
- ✓ Document library with membership
- ✓ Phone and chat support
Cons:
- ✗ No rush processing available
- ✗ Registered agent costs $149/year
- ✗ EIN service costs extra (+$99)
Business Plan FAQ
Common questions about creating and using business plans.
How long should a business plan be?
A typical business plan should be 15-25 pages for most small businesses, though this can vary. Tech startups seeking venture capital might need 30-40 pages, while a simple service business might only need 10-15 pages. Focus on quality and clarity over length—investors prefer concise, well-structured plans.
Do I need a business plan if I'm not seeking funding?
Absolutely! Even if you're self-funding, a business plan helps you clarify your strategy, identify potential challenges, set realistic goals, and measure progress. Many successful entrepreneurs say the planning process itself is more valuable than the final document.
When should I update my business plan?
Review your business plan quarterly and update it annually, or whenever significant changes occur (new products, market shifts, major partnerships). Your business plan is a living document that should evolve with your business and market conditions.
What's the difference between a business plan and a pitch deck?
A business plan is a comprehensive document (15-25 pages) covering all aspects of your business. A pitch deck is a visual presentation (10-15 slides) highlighting key points for investors. Think of the pitch deck as the 'trailer' and the business plan as the 'full movie.'
Ready to Build Your Business?
You now have everything you need to create a professional business plan. Follow our step-by-step guide, use professional tools, then make your business official.