It is also a document for demonstrating credibility and vision when seeking funding, key employees and strategic partners. However, building a solid business plan that not only snags the attention of key partners, but also acts as the point of reference for a company as it grows, is no easy task. They also want to be convinced the company will succeed in its target market and that the management team offers the breadth and depth of experience to execute on the plan. A good business plan should reflect a company's flexibility to evolve as new models and information come to light, such as changes in the market, in the competitive landscape and in the opportunities that technological developments can afford to your venture. The proliferation of new businesses, and the growth of entrepreneurship, has given rise to accelerated competition for capital, employees and customers.
Every startup competes with a great many other companies for resources and market share.
In addition, companies of all sizes must strive to be entrepreneurial in order to succeed in a marketplace becoming more and more competitive every day. This competition begins with the ability to put forth a compelling business strategy. Enter the business plan. In the end, simply plugging in data is not what makes a good plan. Even if a business plan is well executed, it is often missing a less tangible element - the spirit of the venture and a clear understanding of its goals and objectives.