The thought of preparing a business plan for the first time can be very intimidating. There are many critical elements, and it's easy to get lost in the details. Many entrepreneurs tell me that they don't know where to start or if a business plan is even required. The goal of this chapter is to clarify the considerations and guide you through the implementation you choose.

There are indeed situations where a business plan is not a high priority; these situations will be outlined in this chapter. However, I always recommend that you write a business plan, as I have found from personal experience that I don't realize what I don't know until I try to write it down. Very few entrepreneurs can keep the whole blueprint for their business in their head and communicate it effectively to all the stakeholders without a written document.

To be effective, it must also be a living document. This means that it must be updated as you...