Business Plan: template, content, and example
A business plan that banks and boards can actually use. Here are the nine sections, a template for the strategy section, seven steps to write it in two weeks, and the mistakes that most often weaken the plan.
Published · 8 min read
In short
- Nine sections from summary to risks — 10-15 pages are enough.
- Write down the assumptions next to the budget figures.
- The strategy section gets KPI, baseline, target level, deadline, and owner.
- Business plan, strategy plan, and budget must be based on the same figures.
What is a business plan?
A business plan describes how the company creates value, earns money, and develops over the coming years. It brings together the business model, market, organization, and finances into one document that banks, investors, boards, and new key employees can read and relate to.
The difference between a business plan and a strategy plan is the time horizon and purpose. The business plan explains the entire business to an external reader. The strategy plan describes the choices and goals you are working towards internally over the next 12-36 months. In practice, they overlap, and they should be based on the same figures and assumptions.
For Danish SMEs, the typical occasion is a credit application, a generational change, an acquisition, a new ownership, or an application to Vækstfonden or EKF. But the greatest value lies in the work itself: you are forced to make assumptions explicit.
The nine sections of the business plan
Use the order here as a template. Two to fifteen pages are enough for most SMEs — attach heavy material as appendices.
1. Executive Summary
1 page, written last
What the company does, for whom, why it wins, and what you are asking the reader for.
Examples: “We are seeking DKK 4 million in operating credit to finance the order backlog until Q3.”
2. The Company
History and ownership
Establishment, ownership structure, legal form, locations, employees, and the most important milestones.
Examples: CVR information, number of employees, revenue for the last three years.
3. Product and Value Proposition
What the customer buys
Describe the solution in the customer's language and the problem it solves. Avoid technical specifications in the main text.
Examples: Value proposition per customer segment, pricing, delivery model.
4. Market and Customers
Size and segments
Market size in Denmark, segments, buying behavior, and what drives demand.
Examples: Statistics Denmark, industry figures, own sales data.
5. Competitors
Position
The five to eight real alternatives the customer chooses between, including “do nothing,” and where you are strongest.
Examples: A competitor analysis with price, quality, delivery time, and service.
6. Strategy and Goals
The next 3 years
Direction, strategic themes, and four to eight goals with KPI, owner, and target level.
Examples: “Gross margin from 31% to 36% by the end of 2028.”
7. Organization
Team and competencies
Key personnel, division of responsibilities, critical competency gaps, and the plan to close them.
Examples: Organizational chart, key person dependency, recruitment plan.
8. Finance
Budget and liquidity
Income statement, cash flow budget, and balance sheet for three years, plus the assumptions underlying the figures.
Examples: Price development, capacity utilization, payment terms.
9. Risks
And management
The six to twelve most significant risks with probability, consequence, owner, and planned management.
Examples: Customer concentration, key person, currency, compliance.
How to write the business plan in two weeks
The plan is written faster when the analysis is done first. Set aside two half-days with management and let one person edit.
1. Clarify reader and purpose
A bank advisor, a buyer, and a new chairman of the board have vastly different questions. Write in one sentence what the reader should decide after reading the plan.
2. Gather the factual basis
Financial statements, sales data, customer list, price list, employee overview, and existing budgets. Gaps here will otherwise become gaps in the plan.
3. Describe the business model
Use the Business Model Canvas as a working tool in a workshop, then translate the fields into sections 3, 4, and 5.
4. Conduct the analysis
A SWOT analysis and a brief external analysis provide a professional basis for the sections on market, competitors, and risks, rather than gut feelings.
5. Translate into goals
Choose four to eight goals. Each goal gets a KPI, a baseline, a target level, a deadline, and an owner — otherwise, the strategy section is just declarations of intent.
6. Build the budget on assumptions
Write down the assumptions next to the figures: number of orders, average price, gross margin, salary development. This way, the reader can challenge the logic rather than just the number.
7. Write the summary and have it reviewed externally
The summary is written last. Have someone outside the company read the plan and mark everything they don't understand on the first attempt.
Business plan, strategy plan, or budget?
The three documents answer different questions. Use the same figures in all three.
| Document | Question it answers | Reader and cadence |
|---|---|---|
| Business Plan | How does the entire business fit together, and is it sustainable? | Bank, investor, buyer, new board. Updated with major changes, typically annually. |
| Strategy Plan | What choices and goals are we working towards for the next 1-3 years? | Management and employees. Adopted annually, followed up quarterly. |
| Budget | What do we expect in monetary terms for the coming year? | Management, board, bank. Prepared annually, followed up monthly. |
Template: the strategy section in practice
GOAL 1 — Increase gross margin on service business KPI: Gross margin, service Baseline: 31 % (2026) Target level: 36 % (end of 2028) Owner: Service Manager Initiatives: Price adjustment, new time registration, divestment of unprofitable agreements GOAL 2 — Reduce customer concentration KPI: Revenue share, largest customer Baseline: 34 % Target level: Below 25 % Owner: Sales Director Initiatives: Two new segments, partner agreement, campaign targeting medium-sized customers
Copy the structure directly into section 6 of the business plan.
Common mistakes in business plans
- Market section with global billion-dollar figures that say nothing about the market you can actually sell to.
- Budget without written assumptions — so the reader cannot assess whether the figures are realistic.
- No competitors mentioned, or only the weakest ones. This undermines the credibility of the entire plan.
- Strategy section without KPIs, owners, and deadlines, so the plan cannot be followed up afterwards.
- Risk section downplays risks the reader already knows — e.g., dependence on one large customer.
- The plan is written once and never updated, so the figures are outdated the next time the bank asks.
Frequently asked questions
What should a business plan contain?
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Executive summary, company history and ownership, product and value proposition, market and customers, competitors, strategy and goals, organization, finance with budget and liquidity, and the most significant risks and their management.
How long should a business plan be?
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For most Danish SMEs, 10-15 pages plus appendices are ample. The bank reads the summary, finance, and risks most thoroughly, so prioritize them over long market descriptions.
Is a business plan the same as a strategy plan?
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No. The business plan explains the entire business to an external reader, while the strategy plan describes the internal choices and goals for the next 1-3 years. They should be based on the same figures and assumptions.
How often should the business plan be updated?
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Once a year in connection with the budget and strategy plan, and additionally when something significant changes: new ownership, acquisition, loss of a major customer, or a significant market shift.
What does the bank look for in a business plan?
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Whether the cash flow budget is coherent, whether the assumptions behind the figures are realistic, whether dependencies and risks are acknowledged, and whether management has a credible plan to achieve the goals.
Related guides
These guides are closely connected to business plan and are natural next steps in your strategy work.
- Strategy plan: template and contentWhat a usable strategy plan contains — and what to leave out.
- Business Model Canvas explainedThe nine building blocks of your business model, written for SMEs.
- Competitor analysis: template and methodSix steps from mapping competitors to concrete strategic choices.
- Business risk analysisRisk categories, risk matrix and a template with owner and deadline.
More strategy guides
Analysis and environment
Goals, KPIs and performance
Strategy process and planning
Keep the plan alive after it's written
Create a free account and get goals, KPIs, projects, and risks gathered in one place, so the business plan's figures are always up-to-date.