Company Information

• Revising your company information is essential to keeping your business plan current and relevant. Even if you will not be presenting your business plan to a bank or a lending institution, reviewing and updating this information provides you with an opportunity to take stock of how your business has changed and grown since the time you originally wrote your business plan, qualitatively as well as quantitatively. Pay special attention to your mission and goals. If these have changed, then virtually everything else in your business plan will need to be revised as well.
  
  

Income Statements

• Income statements present and break down annual earnings by itemizing categories of income as well as categories of expenses, and then subtracting expenses from your income to calculate net profit. Business plan income statements should be revised at least annually because they provide information that enables you to gauge your progress and evaluate whether you are meeting your goals. If your business is earning more than you expected in one area and less than you expected in another, revise your projections and your allocation of resources to reflect these changes.
  
  

Balance Sheets

• Balance sheets provide information about what your business owns, as well as what it owes. A balance sheet is a tool that helps you calculate your net worth by subtracting liabilities from assets. It is important to revise your balance sheet because your assets and liabilities change over time, and your balance sheet will only be useful if it reflects your current financial situation. A revised balance sheet will be a vital tool for planning changes and ventures that depend on your overall financial situation.
  
  

Cash Flow Projections

• Cash flow projections are forecasts of how much money you will have coming in and going out during the upcoming year. Cash flow projections are based on assumptions about sales figures and prices of materials and utilities, among other things. These variables are subject to change and these changes affect the amount of cash that you will have available to operate your business. Revising your income statement enables you to plan more accurately and anticipate cash shortfalls.