MANAGEMENT

Detailed explanation-1: -A budget only includes a financial forecast, whereas a business plan will also detail the commercial opportunity and the market, the company and its organisation and strategy over the next few years. The scope of the business plan is therefore much larger than the budget. Both documents have very different time frames.

Detailed explanation-2: -Explanation: The production of a business plan is likely to help (not hinder) the achievement of business aims and objectives and minimise the chance of the business failing. This is because it provides a comprehensive framework which guides operations and decision making.

Detailed explanation-3: -A good business plan guides you through each stage of starting and managing your business. You’ll use your business plan as a roadmap for how to structure, run, and grow your new business. It’s a way to think through the key elements of your business.

Detailed explanation-4: -The primary purpose of a business plan is to establish your plans for the future. These plans should include goals or milestones alongside detailed steps of how your company will reach each step. The process of creating a roadmap to your goals will help you determine your business focus and pursue growth.