While there are no rules governing business plans, the U.S. Small Business Adminstration notes that most fall into one of two categories: traditional or lean startup. Traditional business plans follow a standard structure and can span dozens of pages as entrepreneurs share detailed information in regard to every aspect of their business and their goals for it. A lean startup business plan is a brief, typically one-page summary of the essential points of your plan. The SBA notes that lenders and investors commonly request traditional business plans as opposed to lean startup plans. However, the SBA notes that lean startup business plans may be more useful than traditional business plans in certain situations. For example, entrepreneurs whose businesses figure to be relatively simple or subject to routine changes may be better off drafting lean startup plans, which are not as detailed and do not take nearly as long to design as traditional business plans.
December 10, 2019
