It's amazing how much misinformation there is about business plans. One of the biggest questions people have is about how long and detailed business plans should be. Should they be like big thick books, or are these things generally pretty brief?

Truth is, it depends.

It depends on how big the company is and how complicated it is. A business plan of a start up business making no money -- for example -- is going to be bigger than the ones that are running and making money already. What you have to do is spell out -- in enough detail -- all the necessary information on the financials, the industry, the company, and especially the management to satisfy whoever you're trying to persuade to finance it.

The management part is especially important if you plan to get investor financing.

Why?

Because people putting up money are going to want to know not only how long theyve been there and what their history with that company is...but they'll also want to know what their full background is. And the more you spell out, the better.

Bottom line: People tend to make business plans more complicated than they are, and there are things you need to know, but it's not rocket science. Just remember, if youre buying a $10 million business, youd better make sure your business plan looks like a $10 million business plan. If you're buying a $50,000 business then it only needs to look like a $50,000 business plan.

If you need help, simply hire someone to help you -- just like you'd hire a CPA or lawyer. Find somebody that does a professional job and its worth it. If you're strapped for cash, but have done your homework and know you have a good thing, there are books and software at most libraries that can help you.