The strategic business plan is a key management tool. It is also a vehicle by which investors review your company's investment potential.

A well-written strategic business plan is essential to the capital-raising process for your company. It is a way for an investor, whether a venture capitalist or other provider of funds, to review your company's potential. Today, most investors and banks will not even consider putting money into your company without first seeing a strategic business plan.

A strategic business plan is also a management tool. It can help you focus in a logical and organized manner on the future growth of your company. It also permits you to monitor and assess progress. Every company should have a business plan and should review it and update it each year.