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A well-defined business plan is what makes a concept into a business. A business plan is like a map that helps the management take critical decision and reach the desired destination. It not only helps you define your business and its future but it also portrays your vision and mission in front of the investors.
Your business plan is the blueprint that helps you actualize your business model and checks you from deviating from it. Your business plan is your first impression on private equity or angel investors and helps them in understanding your business model. One important part of any business plan is its financial feasibility.
It is an internal analysis that helps the promoters comprehend vital financial factors like sales, purchases, profits and cash flow. It also predicts the required amount of time to reach the breakeven point and estimates the current standing of the company. The financial feasibility report also furnishes the taxes and liabilities of a company. It gives you the idea about the viability of your business model.
May it be a small grocery store or a giant power plant, we start with understanding your business model. We then crunch several numbers to create projections for your business. The Business plan will help you predict the revenues that you would make, expenditures that will be incurred, initial capital outlay and working capital requirements.
Business plan is drafted with an intention to showcase the key ratios of our business in front of the investors so that they calculate an accurate valuation of the venture. Business plans also help you decide the terms of investments so that it’s a win-win situation. This also helps the investor figure out the way he can exit out of the business after a certain period.