CandidCapital

A business plan is key to raising capital. It has several important roles: to explain why finance is needed and how it will be used (the investment case); to communicate the fundamentals of the business model and its potential (the business case); to demonstrate the competence of management in preparing and communicating an effective plan (management evaluation).

Executive Summary

Most investors or lenders will want to benchmark the business against basic criteria as a first step. A brief, clear precis of the business plan, usually referred to as an executive summary is normally expected for this purpose.

Business Plan

If the business meets the criteria for further consideration (size of investment, industry sector etc), the investor or lender will want to see a full business plan.

Preparing the Plan

More comprehensive advice on preparing a business plan (and executive summary) is in Raising Finance: a Handbook for Managers".