1.1.3—Business plans

A business plan sets out the purpose, market, operations, people, finance and risks of a proposed venture. Its value is not the document itself but the assumptions it makes visible.

Forecasts can expose a funding gap or unrealistic sales target before resources are committed. Lenders and investors may use the plan, but they still test its credibility.

A new tutoring service should connect its target learners and price to a sales forecast, staffing capacity, start-up costs and a cash-flow plan rather than listing ambitions alone.

A plan is a forecast under uncertainty, not a guarantee; revising it after evidence is better than defending an outdated number.