What is a structured plan that forecasts sales, costs, and cash flow for a business?

A structured plan that forecasts sales, costs, and cash flow for a business is referred to as a business plan. This comprehensive document outlines the business's objectives, strategies, market research, financial forecasts, and the operational structure. By including projections for sales, costs, and cash flow, the business plan helps entrepreneurs and stakeholders understand how the business intends to achieve its financial goals and sustain operations over time.

The business plan serves multiple purposes, including securing funding from investors or lenders, guiding the business's strategy, and providing a framework for evaluating performance. The financial forecasts within the business plan allow for anticipated cash flow management and planning for expenses, which are critical for maintaining business stability.

Other options like a business model describe how a company creates, delivers, and captures value but do not specifically include detailed financial forecasts. An operational plan focuses more on the day-to-day activities required to run the business successfully rather than long-term financial projections. A business strategy outlines the long-term vision and competitive positioning but lacks the comprehensive financial details that a business plan provides.