The Main Purpose of A Home Business Plan

The Main Purpose of A Home Business Plan. Building a business, it is advisable to start with careful planning. Every plan that is done is a preparation of steps so that the business can run smoothly and can avoid the risk of failure. Careful business planning can also be a strategy so that products sell better in the market.

The Main Purpose of A Home Business Plan. Every business will need a business plan every step of the way. Even for a home business type. Every business detail is written in the business plan so that the goals and vision of the business are easier to achieve and avoid the risk of bankruptcy.

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Definition of a business plan

A business plan or Business Plan is a document that contains the goals of the business and how to take steps to achieve these goals. In the business plan, there is also a period for achieving these goals to make it clearer and more detailed.

Purpose of the Business Plan

The main purpose of a business plan is to provide a roadmap, clarify what to focus on, and know the business projections going forward.

Provide a Roadmap

A business plan is a map or roadmap in running a business. With a business plan, we can run the business in stages starting from the vision and mission of the business.

Clarify Business Focus

It is not uncommon for business owners to have difficulty running a business. Having a business plan will help clarify the business focus. With a clear focus, business owners can stick to the line of business that has been created before.

As proof of seriousness

Business plans are not only intended for business owners but are also useful for stakeholders or investors who will support our business. A business plan can certainly be an identity for our seriousness in running a business.

Example of a Business Plan for a Home Business

Why do home businesses still need a business plan? The first reason, the business plan aims as a brake or reference in the business. Home businesses that do not have a clear organizational structure are very prone to overestimating or misjudging so that they are out of focus.
Second, home-based businesses often find it difficult to control finances, so a business plan is very useful as a reference in making expenses and also utilizing assets.

Create an Executive Summary

The executive summary contains the business objectives and identity which includes the logo, products sold, packaging, organizational structure, who is the founder, to the production location. In this case, we can find out about everything that is in the business.

Production Analysis

Production analysis is made to determine production capacity and how to meet the needs of target markets with existing production capacities. This is useful so as not to overestimate. Production analysis also includes marketing plans, suppliers, and stock management, to risk management.

Human Resource Analysis

In this section, we can write about how many employees are needed for the business to meet customer demand.

Financial Analysis

In a home business plan, it is not too different from a large corporate business plan. In it must contain an estimate of the budget and cash flow in the initial three years of production, and also most importantly the analysis of return on investment or Rolls.


In the appendix, contains each license from the business. However, if you are a home-based business in the field of cakes, in the business plan attachment we can include halal certification or BPOM (Food and Drug Supervisory Agency). Also, you can include product photos, menu designs, packaging designs, production processes, and the materials used.