App Development Business Plan

An app development business plan is vital to start a new, expand your current, or purchase an existing business in the IT industry.

App Development Industry Overview

Application development is the process of creating software that supports a business function. It consists of tasks relating to each of the seven stages of the application lifecycle. This starts with planning and gathering business requirements; continues with designing, development, testing, and deployment; and ends with the maintenance of your finished software application.

The mobile app development market is quite enormous. It is one of the biggest markets spread across the globe. With cloud-based services, the limitations of on-site development have also been mitigated.

This has further propelled the growth of the app development industry. Research shows that the global mobile application market size was valued at USD 187.58 billion in 2021 and was expected to garner USD 206.73 billion in 2022.

As per a report by, Technavio the development market witnessed a YOY (Year-on-Year) growth of 20.45% in 2021 and a CAGR (Compound Annual Growth Rate) of 20.65% during the forecast period. The market is expected to increase by USD 653.91 billion from 2020 to 2025, and the market’s growth momentum will accelerate at a CAGR of 20.65%

At DTC, our developments are often used to create a vision for businesses, secure funding, secure non-repayable business grants, attract team members and/or manage the company. Let us develop your App Development Business Plan today!

Contents of a comprehensive App Development Business Plan include:

Executive summary

Briefly tell your reader what your company is and why it will be successful. Include your mission statement, your product or service, and basic information about your company’s leadership team, employees, and location.

Company description

Use your company description to provide detailed information about your company. Go into detail about the problems your business solves. List the consumers, organisation, or businesses your company plans to serve. Explain the competitive advantages that will make your business a success.

Market analysis

You’ll need a good understanding of your industry outlook and target market. Competitive research will show you what other businesses are doing and what their strengths are. In your market research, look for trends and themes.

Organisation and management

Include how your company will be structured and who will run it through an organogram. Describe the legal structure of your business. State individuals job roles and how they will contribute to the success of your venture.

Service or product line

Describe what you sell or what service you offer. Explain how it benefits your customers and what the product lifecycle looks like. Share your plans for intellectual property, like copyright or patent filings. If you are conducting research for your service or product, explain it in detail.

Marketing and sales

There’s no single way to approach a marketing strategy. Your strategy should evolve and change to fit your unique needs.

This section is to describe how the business will attract and retain customer, so this section must thoroughly describe your marketing and sales strategies.

Financial projections

Supplement your funding request with financial projections. Your goal is to convince the reader that your business is stable and will be a financial success.

If your business is already established, include income statements, balance sheets, and cash flow statements for the last three to five years. If you have other collateral you could put against a loan, make sure to list it now.

Provide a prospective financial outlook for the next five years. Include forecasted income statements, balance sheets, cash flow statements, and capital expenditure budgets. For the first year, be even more specific and use quarterly or monthly projections.

Annexures

Provide supporting documents or other information that were specially requested. Common items to include are credit histories, resumes, product pictures, letters of reference, licenses, permits, patents, legal documents, and other contracts.

At Dream Team Capital…

We understand the complexities of the criteria and requirements for an accurate and tailour-made business plan. Whether you are using the document to raise funding and/or non-repayable business grants, we guide you through the process and provide access to our network of funders.