Business plan

• What is the main aim of producing a business plan

  to reduce the risk associated with starting a new business
• What is a business plan

  a document produced by the owner at start-up, which provides forecasts of items such as sales, costs and cash flow
• Give 2 positives of a business plan

  Reduces risk of failure - forces owner to think about every aspect of the business

  shows potential lenders or investors that the business has done their research
• By carrying out research , how will it help the business

  well - informed about the potential problems and chance of success and can select the most appropriate source of finance based on this information