A business plan is a formal document that outlines a company's goals, strategies, and the steps needed to achieve them. It typically includes sections on market analysis, financial projections, and operational plans. This document serves as a roadmap for the business and is often used to attract investors or secure loans. Creating a business plan helps entrepreneurs clarify their ideas and identify potential challenges. It can also assist in measuring progress over time, ensuring that the business stays on track to meet its objectives. Overall, a well-structured plan is essential for guiding a successful business venture.