The answer to this question canโt be a straight NO or a resounding YES.
I wonโt just say no because we sell business plan software.
But does that mean business plans are obsolete? Not exactly.
(You: Wait, what? Stop the confusion! ๐)
Sorry for the confusion. Let me clarify.
Alright, let me clarify. Business plans arenโt deadโtheyโre evolving.
The fact that we make a living helping people write business plans is evidence enough that theyโre still relevant.
Butโฆ.
I also see businesses raising millions without having a traditional plan.
(I didnโt say they didnโt plan at all, they just didnโt stick to the standard business plan format.)
So hereโs my answer.
Your plan needs to be flexible.
You donโt need to stick with the traditional, 40-page plan format.
Your plan can go up to a hundred pages or can be a concise one-page document.
The goal is to create a plan that resonates with your audience.
But how do you decide the format, length, and sections?
Here are a couple of pointers to help:
1) Understand the purpose of your business plan
The purpose of your plan dictates its structure.
If your purpose is to secure SBA grants, bank loans, or VC funding, a traditional business plan is still the way to go.
But if you need a document for quick idea sharing or initial pitches to angel investors, a one-page plan would do.
Similarly:
- For team alignment and resource management, consider an internal business plan.
- For long-term goal setting, a strategic plan works best.
- For expanding operations or entering new markets, a growth business plan is ideal.
Hope you got the point.
2) Know your investors
Every investor is unique, so tailor your plan to match their expectations.
Learn what aspects of your business they care about most and emphasize those areas.
For instance, some investors might not have the time or interest to go through a lengthy documentโthey just need to feel confident about your product.
In that case, you wonโt need your plan to be 40-50 pages long.
To conclude, Business plans arenโt dead, but theyโre no longer one-size-fits-all.
Agree that a traditional business plan doesnโt drive results for everyone, but itโs still a critical document in the business world.
If a certain format doesnโt work for you, the question shouldnโt be whether business plans are dead, but whether youโre using the right format.
Thatโs why weโre here. To help you find the right course of action.
Upmetrics helps you create lender-ready business plans, investor pitch decks, accurate financial projections, and long-term strategic plans.
The range of planning tools in our workspace ensures youโre creating a plan thatโs flexible, lender-ready, and aligned with todayโs evolving standards.
To summarize this newsletter,
- Business plans are not yet dead, but theyโre evolving.
- A business plan format may fade, but planning will always matter.
- Business planning is about flexibility, not sticking to a 40-page standard.
That was my perspective on the matter. Feel free to share your thoughts, Iโd be happy to discuss.
Until the next time,
Happy business planning ๐