The strategic planning process aims to define the goals and criteria for the long-term success and survival of the company, ensuring that these goals are communicated and accessible to all levels of management and planning. Planning is the fundamental function of management, which guides the company towards progress and success. Business planning is a critical element of strategic management that significantly affects the development and survival of a company. A one-year operational and financial plan is crucial for coordinating the different levels of management, aligning the internal and external parts of the company, and aims to find a way to increase the wealth of the owners. The diagnosis of the state, position and operation of the company forms the basis for forecasting and planning assumptions, which must be aligned with the business vision, mission and philosophy of the company. Available scientific and professional literature and selected Internet sources were used in the research, using secondary data collection methods from Internet sources and books from Zagreb libraries. The subject of this paper is business planning in the context of strategy formulation, with the aim of demonstrating its importance for long-term development and achieving goals. The planning process includes the creation of strategic and operational plans, the design of financial statements and the assessment of the future value of the company, and in this paper an example of a business plan for the company "VU Med d.o.o." was given, where it was seen how the company can forecast its operations and thus direct everything their strength towards the realization of the set plans.