Business requirements document template + free PDF

Every project has moving parts, and if you want a successful project outcome, you'll need all those parts to come together at the right time and place. Think about putting a puzzle together; the secret to solving it is to look at the picture on the front of the box as you work through it.

A business requirements document (BRD) is like that puzzle box picture. It outlines everything a project entails and helps stakeholders gain clarity on the requirements for project success. In this article, we cover the key components of a business requirements document template, explain the difference between business and functional requirements, and show you how to write an effective BRD for your next project.

What is a business requirements document (BRD)?

A business requirements document (BRD) is a formal report that outlines a project's goals, scope, and requirements to align stakeholders and guide successful delivery. It details project objectives, expectations throughout the project lifecycle, and what's required to accomplish the project.

The seven components of a BRD are:

1. Executive summary

2. Project objectives

3. Project scope

4. Business requirements

5. Key stakeholders

6. Project constraints

7. Cost-benefit analysis

By outlining each of these sections, anyone who reads your business requirements document should clearly understand what your project is, what you hope to achieve, and how you plan to achieve it.

Why use a business requirements document template?

A business requirements document template gives you a consistent structure for every project, so you never miss critical information. Here's why teams rely on them:

• Stakeholder alignment: Define your project's boundaries and objectives upfront to keep everyone focused on the same goals.

• Scope control: A clear template helps prevent scope creep by documenting what's in and out of the project from the start, and supports a formal change control process.

• Time savings: Instead of starting from scratch, you have a proven structure that guides you through the process.

• Faster approvals: When executives and clients review a well-structured document, it's easier to get buy-in for your project plans.

What should a business requirements document include?

Your business requirements document template should be detailed yet concise. The goal is to give readers the information they need without unnecessary length.

Many people may read a BRD, including project stakeholders, executives you need approval from, and clients influenced by the end results. Learn more about each component to include in your template below.

1. Executive summary

The executive summary is a high-level statement outlining what your project is and its purpose. Those who don't have time to read the BRD in its entirety should understand what you plan to accomplish by reading your executive summary.

Even though your executive summary is the first thing in your BRD, you should actually only write it after writing the other sections. That way, you can review everything and ensure you've created a comprehensive opening statement.

2. Project objectives

Your project objectives are the business goals you want to achieve by putting your project into action. It's important to state your project objectives before kicking off any work so you can use them to measure your progress.

List your project objectives as SMART goals to ensure that they're:

• Specific

• Measurable

• Achievable

• Relevant

• Time-specific

Measuring your project objectives helps you determine whether to adjust your workflow. For example, if your objective was to increase your customer base by 10% by quarter's end, you can clearly see whether you hit that goal. From there, review the actions you took to understand what worked and what didn't.

3. Project scope

Your project scope communicates the boundaries of your project in your business requirements document. By defining your project scope in a scope management plan, you'll keep everyone on the same page and prevent scope creep, which is when your project expands outside of the boundaries you set for it and becomes hard to control.

Details to outline in your project scope include:

• Timeline

• Budget

• Deliverables

• Project requirements

• Project team

You can also make a list of project exclusions, or things you specifically want to leave out of your project, like business processes or risky strategies you want others to avoid when they're working on the project.

4. Business requirements

The business requirements are the meat of your BRD template. In this section, you'll list the actions required to accomplish your project. Depending on the project's complexity, this list may be just a few items or extensive.

In addition to listing your requirements and describing them, rank them by priority and assign each item an importance level based on its criticality. This will help others understand which requirements they need to complete first.

If one of your requirements is to code a website, you may make it your top priority. You can also label this task as highly critical because, without coding your website, you won't have a foundation to complete other business requirements.

5. Key stakeholders

Project stakeholders include anyone with an interest in your project. These are likely the people who will read your BRD template to understand what the project is about. Your key stakeholders may be:

• Team members working on the project

• Project managers leading the project

• Executives approving the project

• Clients influenced by the finished project

In this section, list the names, roles, and responsibilities of each stakeholder in relation to the project.

For formal collaborations, a partnership agreement template can help document roles and expectations. You can also use a stakeholder engagement plan to ensure every stakeholder is aligned with the project.

Once you've identified stakeholders, it's equally important to build a strong working relationship. A client onboarding process template can help you standardize kickoff steps, clarify responsibilities, and strengthen trust early on.

6. Project constraints

You likely presented an overview of your project constraints within your project scope, but here, you'll explain these boundaries in more detail. When the reader reviews this section, they should see the project's shape and its limits.

Project constraints may include:

• Project risks

• Team availability

• Resources

• Project dependencies

• Deadlines

• Project budget

Project constraints help stakeholders visualize the project's complexity and how easily it will be to achieve project objectives. Anyone involved in the project should first review the project constraints.

7. Cost-benefit analysis

Ending your business requirements document with a cost-benefit analysis is a strategic move. If you're using your BRD to get approval for your project, this section may be the deciding factor. Clients and executives care about the project's objective, but if you can't prove you'll make a profit, all is lost.

To create a cost-benefit analysis:

• Describe all the costs associated with your project

• Explain the associated benefits

• Write the total expected cost of your project

• Estimate the expected ROI by subtracting your estimated costs from your estimated income

What is the difference between business requirements and functional requirements?

You'll often hear functional requirements come up when discussing business requirements, but it's important to know the difference. Think of it like a board game: the BRD is the box explaining what the game is, while the FRD is the instruction manual teaching you how to play.

Besides functional requirements, there are:

• User requirements: These are more detailed than the BRD and explain what the user can do with the finished deliverables.

• Product requirements: These requirements are more detailed than both business and user requirements. Product requirements explain the finished project's purpose and features.

• Non-functional requirements: These requirements are equally detailed as functional requirements. They explain how the project should operate and the intended user experience of the finished project.

Business requirements document template (and example)

Below is an example of a business requirements document template for a tech company launching a marketing blog. The project manager explains the project's purpose, objectives, and scope to prevent scope creep.

The BRD also lists the business requirements (the actions needed to complete the project), the stakeholders involved, project constraints, and the cost-benefit analysis.

If you want to use a business requirements document template for your own project, use our free template below.

How to write a business requirements document

Writing a business requirements document is a straightforward process when you break it down into steps. The key is to be clear and thorough, ensuring anyone can understand the project's purpose and requirements.

Follow these steps to create your BRD:

• Gather input: Talk to all key stakeholders to understand their needs and expectations. This ensures all perspectives are considered before you start writing.

• Draft each section: Use your template to fill out each of the seven components. Start with what you know and fill in the details as you go. Remember to write the executive summary last.

• Keep it clear and concise: Write in plain language that anyone can understand. Avoid jargon and focus on what matters most for your project's success.

• Review and refine: Share the draft with your team and stakeholders for feedback. This helps catch any gaps or unclear points and ensures everyone is aligned.

• Get approval: Once everyone agrees on the document, get formal sign-off from the project sponsor or key executives. Your BRD is now the official guide for the project.

Manage your requirements with project management tools

Whether you're creating a business requirements document or something more detailed, the best way to share information with stakeholders is through one streamlined tool.

With project management tools and strong requirements management practices, you can prioritize business objectives and ensure nothing falls through the cracks. Use Asana to streamline team communication, keep your requirements organized, and make it easier to hit project milestones. Get started with Asana today and bring clarity to your next project.

Frequently asked questions about business requirements documents