How To Write An Effective Project Plan In 6 Simple Steps
Projects are a complicated business; there’s a lot of logistics, elements, and moving parts involved in the process. So, if you want your project to move forward successfully, you need to set yourself up for that success—and that means writing a project plan.
“A project plan is an action plan outlining how…[to] accomplish project goals,” says Jami Yazdani , certified Project Management Professional (PMP), project coach, and project management consultant, and founder of Yazdani Consulting and Facilitation . Project plans are like a map; they clearly outline how to get from where you are now (the beginning of the project) to where you want to go (the successful completion of the project)—and writing a project plan is that absolute must for any new, complex project you have in the pipeline.
Cash Flow Statement
When writing a business plan, you’ll be required to show Cash Flow Projections for each month over a period of one year as part of the Financial Plan of your startup. The Cash Flow Projections consists of three parts:
Cash Disbursements – This will take into account various expenses across categories. List out expenditures that you expect to pay in cash for each month over a period of one year.
Reconciliation of Cash Revenues to Cash Disbursements – Reconciliation here signifies adding the current month’s revenues and subtracting the current month’s disbursements. The result is then adjusted to the cash flow balance that is carried over to the next month.