A business plan (BP) is an essential step between getting the idea and developing a real service or product to sell; thus, its purpose is for owners to assess the risks and strategize all stages. Moreover, BP is crucial for identifying what recourses are needed and crafting a successful pitch for investors, convincing them to fund a project.
A plan must communicate that an owner is well aware of the situation in their market niche, has a growth strategy, cost-efficient operations, and can overcome possible obstacles. A project would more likely receive funding from investors if its BP is presented based on the evidence, has reliable forecasts, and is trustworthy.