Why Every Business Needs a Professional Business Plan
A business plan is more than a document - it is your roadmap to success. Whether you are seeking a bank loan, pitching to investors, applying for government subsidies, or simply wanting clarity on your business direction, a well-crafted business plan is essential.
In India, where over 70 lakh MSMEs are registered and thousands of startups launch every year, a professional business plan can be the difference between securing funding and being rejected.
When You Need a Business Plan
- •Bank loans: MUDRA, MSME, term loans, working capital - all require detailed project reports
- •Investor fundraising: Angel investors and VCs expect structured business plans
- •Government schemes: Startup India, PMEGP, CGTMSE, state subsidies all need business plans
- •Internal planning: Aligning your team and tracking milestones
- •Partnerships: Convincing strategic partners to collaborate
Business Plan Format: Section-by-Section Guide
1. Executive Summary (2-3 pages)
The executive summary is the most important section - many decision-makers read only this. Write it last, but place it first.
What to include:
- •Business overview in 2-3 sentences
- •Problem you are solving and your solution
- •Target market and opportunity size
- •Revenue model and financial highlights
- •Funding requirement and use of funds
- •Key milestones and achievements
Pro Tip: Keep it under 3 pages. Banks and investors should understand your entire business from this section alone.
2. Company Overview (2-3 pages)
- •Legal structure (Pvt Ltd, LLP, OPC, etc.)
- •Date of incorporation and registration details
- •Registered and operational address
- •Vision and mission statements
- •Business objectives (short-term and long-term)
- •Promoter/founder background
3. Products and Services (3-5 pages)
- •Detailed description of each product/service
- •Unique value proposition
- •Pricing strategy with comparison
- •Product lifecycle and development roadmap
- •Intellectual property (patents, trademarks)
- •Technology overview (if applicable)
4. Market Analysis (5-8 pages)
This section demonstrates you understand your market deeply.
TAM/SAM/SOM Analysis:
| Market Level | Definition | Example (Ed-tech) |
|---|---|---|
| TAM (Total Addressable Market) | Entire market | Rs.50,000 Cr (India education market) |
| SAM (Serviceable Available Market) | Your segment | Rs.8,000 Cr (online coaching) |
| SOM (Serviceable Obtainable Market) | Realistic capture | Rs.200 Cr (your niche in 5 years) |
Include:
- •Industry overview and growth trends
- •Target customer demographics and psychographics
- •Customer pain points and buying behavior
- •Market drivers and tailwinds
- •Regulatory environment
5. Competitive Analysis (3-5 pages)
- •Direct and indirect competitors
- •Competitive matrix on key parameters
- •SWOT analysis of your business
- •Sustainable competitive advantages
- •Barriers to entry
6. Marketing and Sales Strategy (4-6 pages)
- •Customer acquisition channels
- •Sales process and cycle
- •Pricing strategy justification
- •Digital marketing plan
- •Partnership and distribution strategy
- •Customer retention approach
7. Operational Plan (3-5 pages)
- •Business operations overview
- •Manufacturing/service delivery process
- •Supply chain management
- •Technology infrastructure
- •Quality control measures
- •Key operational milestones
8. Management Team (2-3 pages)
- •Founder profiles with relevant experience
- •Key management team members
- •Organizational structure
- •Advisory board
- •Hiring plan for next 12-18 months
9. Financial Projections (8-12 pages)
This is where banks and investors spend the most time. At Setup India, our CA team builds every financial model.
Must Include:
- •Revenue projections (5 years, monthly for Year 1)
- •Cost structure and P&L projections
- •Cash flow statement
- •Balance sheet projections
- •Break-even analysis
- •Key assumptions documented
- •DSCR (Debt Service Coverage Ratio) - critical for bank loans
- •Sensitivity analysis (best/base/worst case)
- •Unit economics (if applicable)
10. Funding Requirement (2-3 pages)
- •Total funding needed
- •Sources of funding (equity, debt, grants)
- •Use of funds breakdown (with percentages)
- •Expected ROI for investors
- •Exit strategy (for equity investors)
- •Repayment schedule (for bank loans)
11. Risk Analysis (2-3 pages)
- •Market risks
- •Operational risks
- •Financial risks
- •Regulatory risks
- •Mitigation strategies for each risk
12. Appendix
- •Detailed financial worksheets
- •Market research data sources
- •Founder resumes
- •Licenses and certifications
- •Letters of intent or partnership agreements
Business Plan Page Count Guide
| Purpose | Recommended Pages | Detail Level |
|---|---|---|
| Bank Loan (MUDRA/MSME) | 30-40 pages | High financial detail |
| Angel/Seed Investment | 40-50 pages | Balanced strategy + financials |
| Series A/B Funding | 60-80 pages | Comprehensive with modeling |
| Government Subsidy | 50-70 pages | Compliance-focused |
| Internal Planning | 20-30 pages | Strategy-focused |
Common Business Plan Mistakes
| Mistake | Why It Fails | Fix |
|---|---|---|
| Unrealistic projections | Banks reject, investors distrust | Bottom-up modeling with assumptions |
| No market research | Shows lack of preparation | Include TAM/SAM/SOM with sources |
| Weak financial section | Banks cannot assess risk | Get CA-prepared projections |
| Too long/too short | Either overwhelming or insufficient | Follow page count guidelines above |
| Generic content | Does not stand out | Industry-specific, data-backed content |
| Missing DSCR | Banks cannot approve loan | Include DSCR and ratio analysis |
How Much Does a Business Plan Cost in India?
| Provider | Price Range | Turnaround | Quality |
|---|---|---|---|
| DIY (self-written) | Free | Weeks-Months | Variable |
| Freelancer | Rs.3,000-10,000 | 7-14 days | Basic |
| Online Templates | Rs.1,000-5,000 | Instant | Generic |
| Setup India Professional | Rs.9,999 | 5-7 days | CA-prepared, bank-ready |
| Setup India Enterprise | Rs.11,999 | 8-10 days | Investor-grade, unlimited revisions |
| Big 4 / Premium Firms | Rs.50,000-3,00,000 | 2-4 weeks | Premium |
Why Choose Setup India for Business Plan Writing?
- •CA/CS-led team: Every plan is prepared by qualified Chartered Accountants
- •500+ plans delivered across manufacturing, tech, retail, healthcare, F&B
- •100% bank approval record for properly documented loan applications
- •5-7 day delivery with thorough research and financial modeling
- •Transparent pricing: Rs.9,999 with no hidden charges
Conclusion
A professional business plan is an investment that pays for itself many times over - whether it secures a Rs.10 Lakh MUDRA loan or a Rs.10 Crore Series A round. The key is getting the format, financials, and narrative right.
Get your CA-prepared business plan | Schedule a free consultation