The Portable MBA in Finance and Accounting, 3rd Edition

The Business Plan 289

Common inclusions would be one-page resumes of key team members, articles
that feature your venture, and technical specifications.

CONCLUSION

The business plan is more than just a document; it is a process. Although the
finished product is often a written plan, the deep thinking that goes into that
document provides the entrepreneur keen insight needed to marshal resources
and direct growth. The whole process can be painful, but the returns on a solid
effort almost always minimize the costs of starting a business, because the pro-
cess allows the entrepreneur to better anticipate, instead of reacting to, the
many issues the venture will face. More important, the business plan provides a
talking point so that entrepreneurs can get feedback from a number of experts,
including investors, vendors, and customers. Think of the business plan as one
of your first steps on the journey to entrepreneurial success.

OTHER RESOURCES

A number of resources exist for those seeking help to write business plans.
There are numerous software packages, but I find that generally the templates
are too confining. The text boxes asking for information box writers into a dull,
dispassionate tone. The best way to learn about business plans is digging out
the supporting data, writing sections as you feel compelled, and circulating
drafts among your mentors and advisors. I also think that the entrepreneur
should read as many other articles, chapters, and books about writing business
plans as possible. You will want to assimilate different perspectives so that you
can find your own personal voice. To that end, I want to suggest a number of
sources that you might want to check out.

FOR FURTHER READING

Timmons, J. A., New Venture Creation, 5th ed. (New York: Ir win/McGraw-Hill,
1999). Classic textbook on the venture creation process.
Tracy, J., How to Read a Financial Repor t, 5th ed. (New York: John Wiley, 1999).
Classic book on how to create pro forma financial statements and how these
statements tie together.
Sahlman, W., “How to Write a Great Business Plan,”Harvard Business Review
(July–Aug. 1997): 98–108.
Bhide, A., “The Questions Every Entrepreneur Should Ask,”Harvard Business Re-
view(Nov.–Dec. 1996): 120–130.
Kim, C., and R. Mauborgne, “Creating New Market Space,”Harvard Business Re-
view(Jan.–Feb. 1999): 83–93.