Some startups would think that business plan is practically unnecessary as it’s much better to focus directly on the business process and start making profits right away. While I partially agree, I’ll list the importance of business plan here in the Malaysian context:
- Required by financial insitutions for loan or grant request (SMIDEC matching grant, tabung usahawan siswazah, overdraft facility, etc)
- Important information such as market size, situational analysis, financial projection, product development & ratio presentation needed for growth (request banking facilities, obtain investors)
- As the basis of company profile to gain your customer’s trust (corporate people usually need this)
I’ll write on business plan later but from da above things mentioned you can see that it’s important to have business plan documentation.
Should you wanna know more or look at examples of business plans, visit here:
Good luck on drafting your business plan! If you have resources, get consultant to help ya out, it will be easier for those that have experience in applying for loans from banks, they know which section in da business plan is important.