If you’re not seeking investors, or want to jump into the market quickly to launch your product or service, then an informal business plan can help you clarify your startup’s goals, sales strategy, and target market. At the least, writing it all down will help you crystallize your thoughts, set your priorities, and keep you on track.
An informal business plan should contain, at the minimum:
A company description and mission statement. Describe your business in a few brief paragraphs, including your legal structure (for more on that, see pages 70–75) and the type of unique services or products you provide. Also include a brief description of the management team, detailing each person’s responsibilities.
An overview of your target market. Be specific about the customers you serve, including any demographics you might have, such as age, income, location, purchasing habits, buying cycles, and willingness to adopt new products and services. A goal in this section is to prove that you know your customer, which is important for marketing your company.