The importance of planning should never be overlooked. For a business to be successful and profitable the owners and managers must have a clear understanding of its customers, its strengths, its competition, and must have the foresight to plan for future expansion. Whether yours is a new business or an existing business expanding, taking the time to create an extensive business plan provides you with greater insight into your business.

An effective business plan requires you to be objective, critical and focused. The finished project is an operating tool to help manage your business and enable you to achieve greater success. The plan also serves as an effective communication tool for financing proposals.

The are four major reasons for constructing a business plan are: