What is a projected profit and loss statement in relation to the?
A profit & loss statement is only one tiny slice of a business plan (maybe 35 pages of a 40 page document). A business plan covers a very broad range of subjects. A business plan is a broad strategic document that covers everything from operations to marketing to personnel planning to the financial statement forecasts. The table of contents for a typical business plan might cover something like: Executive summary & investment highlights Industry analysis Audience demographics Competitor analysis Product and value proposition Competitive advantages / disadvantages Business risks Partners / sponsors Marketing plan Legal Team, hiring plan & advisors Financial statements (heres your profit and loss statement!) But keep in mind, financial statements include the profit & loss statement, cash flow statement, capital expenditure layout and balance sheet. So the P&L is just a small slice of a small slice. HOWEVER, if the business doesnt have a profitable business model (or a plan to become profitable), then the whole plan is bad. So the P&L is very important! Hope this helps!