dispenses with the formalities that are needed when presenting a plan externally for a loan or investment and focuses almost exclusively on business strategy, tactics, milestones, metrics, budgets, and forecasts. The first Lean Plan takes just a few hours to do (or less), and a monthly review and revision can take only an hour or two per month.
These lean business plans skip sections like company history and management team since everyone in the company almost certainly knows this information. Lean business plans are management tools used to guide the growth of both startups and existing businesses.
Plans can also differ greatly in length, detail, and presentation.
Plans that never leave the office and are used exclusively for internal strategic planning and management might use more casual language and might not have much visual polish.
Existing businesses use business plans to strategically manage and steer the business, not just to address changes in their markets and to take advantage of new opportunities.
They use a plan to reinforce strategy, For existing businesses, a robust business planning process can be a competitive advantage that drives faster growth and greater innovation.
No, this doesn’t mean a very small font size and cramming tons of information onto a single page—it means that the business is described in very concise language that is direct and to-the-point. First, it can be a great tool to introduce the business to outsiders, such as potential investors.
Since investors have very little time to read detailed business plans, a simple one-page plan is often a better approach to get that first meeting.
Later in the process, a more detailed plan will be needed, but the one-page plan is great for getting in the door.
is also great for early-stage companies that just want to sketch out their idea in broad strokes.