Business case FAQsSimon Buehring
Who approves a business case?19 Feb 2026
Usually on a project, the project sponsor (the person or people who are committing the funds) will approve a business case. Before approving it, they need to have confidence that the problems have been addressed and the right solution has been selected, that the benefits are achievable and realistic, when the investment will pay off, and how big will the return on investment be.
What makes a good business case?Access recommended templates for PRINCE2 management products. Essential tools to support your project management practices.
As you have seen in this article, there’s several important bits of information which goes into a business case. Don’t spend unnecessary time though adding information which isn’t required. Your project sponsor will have to read your business case before they approve it, and you don’t want to make their job any harder than it already is!
There are several things you can use to check whether your business case is adequate or not. Here’s a checklist of 13 questions to ask yourself before you submit your business case to your sponsor for approval:
- Are the reasons for the project consistent with the corporate, portfolio or
- Get expert advice on passing the Practitioner PRINCE2 exam with our practical guide. Read on for invaluable tips and insights.Is it clearly defined what will judged a successful outcome?
- Is the preferred business option clearly stated, along with the reasons why?
- If the project requires external procurement, is the preferred sourcing option stated, and why?
- Is it clearly stated how any necessary funding will be obtained?
- Does the business case include non-financial, as well as financial criteria?
- Does the business case include operations and maintenance costs and risks?
- Does the business case include project costs and risks?
- Does the business case conform to organisational accounting standards (e.g. break-even analysis and cash-flow conventions)?
- Are the major risks faced by the project explicitly stated, together with any proposed responses?
How do you write a good business case?PRINCE2 management products
A good business case must contain certain key information including:
- The reasons for doing the project;Simon Buehring
- The business options which have been considered, including the base business options of do nothing, so something, or do something else;19 Feb 2026
- Project and operational costs;
- Project and operational timescales;Learn about PRINCE2 management products and how they assist in planning, managing, and controlling projects. Scroll down for a detailed guide.
- Benefits, expressed in measurable terms;
- Investment appraisal (or cost benefit analysis);
- Major risks and their mitigation plans;
How long is a business case?
A good business should be long enough that it contains all the information needed for the decision-makers to take an informed decision about whether to invest in the project. That means, remove any waffle, and only include information which helps decision-making.
What’s included in a business case?
The following are the most important items to put into a business case:
- Executive summary – summarizes the key points;
- The reasons for the project (answers the question ‘Why are we doing this?’);How to pass your Foundation-level exam in PRINCE2
- The options considered – e.g. do nothing, do something, or do something else – (answers the question ‘What’s the best option?’);
- The expected benefits – in measurable terms – (answers the question ‘What’s the return?’);Simon Buehring
- Costs – both project and operational – (answers the question ‘How much will it cost?’);19 Feb 2026
- Timescales – for the project and for realizing benefits – (answers the question ‘How long will it take?’);
- Investment appraisal – weigh up costs, times, risks against benefits – (answers the question ‘Is it worth it?’);Maximise your chances of passing your Foundation-level exam in PRINCE2 with our targeted revision tips. Read on for effective study strategies.
- Major risks – (answers the question ‘What if?’).
What is a business case template?
A business case template serves as a starting point when writing a business case. It is reusable and can be used across all your projects. Depending upon its needs, your organisation may have different business case templates, each one used for different scales of projects.
You can download an example business case template here .
What is the purpose of a business case?
The purpose of a business case is simple – it’s used to justify an investment in an activity. Typically, in an organisation this activity is a project. It helps give confidence to management that their investment is worthwhile and will realize benefits for the organisation.Knowledge Train’s PRINCE2 exam results
Who owns a business case?
A business case is owned by the person who is funding the project. The name of this role is different across organisations, but commonly this role is known as a project sponsor, or project executive.Simon Buehring
By owning the business case, it means this person is accountable for ensuring that any investment decisions which are taken based upon the information within the business case are worthwhile.19 Feb 2026