Business requirements document (BRD) template
A business requirements document (BRD) says why a project is being done and what the business needs from it — the goals, the scope, who is affected and how success will be measured — before anyone decides what the software will do. The sponsor signs it, and the functional specification is written from it. Below is a free template, a filled-in example for a customer portal, and how a BRD differs from an FRD, an SRS and a PRD.
User stories in the brd? Yuck. A list of epics maybe. I always see the brd to be the 30,000 ft view document.
— r/businessanalysis, 2023
What is a business requirements document?
| Aspect | Business requirements document |
|---|---|
| Answers | Why the business needs it, and what outcome counts |
| Written by | A business analyst, with the sponsor |
| Signed by | The sponsor |
| Written | At the start, often during a discovery phase, before the functional specification |
| Leaves out | Features, screens, rules and data — those go in the functional specification |
A BRD stays at the level of the business. It names the problem, the outcome and the boundaries; it does not design the software. Kept short, it is the page someone new can read to understand the project. One commenter thinks of it as “a simple 1-2 pager” (r/businessanalysis, 2024); another wants “a one pager that anyone coming into the project can read over in 5 min” (r/businessanalysis, 2023).
What a BRD includes
- Summary: the project in three sentences.
- Business objectives, each one measurable.
- Background: how things work today, and what goes wrong.
- Scope: what is in, and what is out.
- Stakeholders: who asked, who decides, who is affected.
- Business requirements: one statement each, with an ID, a priority and where it came from.
- Success measures: how you will know, after launch, that it worked.
- Constraints: budget, dates, regulation, systems that must stay.
- Assumptions and dependencies.
- Risks.
- Open questions, each with an owner and a date.
- Changes since the last version.
- Sign-off.
BRD template
Copy it into Google Docs, Word or Confluence. Everything in square brackets is yours to fill in.
BUSINESS REQUIREMENTS DOCUMENT
Project: [project name]
Version: [x.y]
Status: [draft / in review / signed
off]
Author: [name, role]
Sponsor: [name, role]
1. SUMMARY
[what the project is, why now, and what
it should change, in three sentences]
2. BUSINESS OBJECTIVES
BO-[n]: [objective, with a number and
a date]
3. BACKGROUND
Today: [how the work is done now]
Problem: [what goes wrong, and what
it costs]
4. SCOPE
In scope: [business areas,
processes, users]
Out of scope: [what someone might
assume is in, but is
not]
5. STAKEHOLDERS
[name, role]: [asked for it / decides
/ affected]
6. BUSINESS REQUIREMENTS
BR-[n]: [what the business needs, not
how the software does it]
Priority: [must / should /
could]
Source: [who asked, where]
Serves: BO-[n]
7. SUCCESS MEASURES
[measure]: from [today's value] to
[target] by [date]
8. CONSTRAINTS
[budget, dates, regulation, systems
that stay]
9. ASSUMPTIONS AND DEPENDENCIES
[ ]
10. RISKS
[risk]: [what we will do about it]
11. OPEN QUESTIONS
[question]: [owner], by [date]
12. CHANGES SINCE THE LAST VERSION
[x.y], [date]: [what changed, and the
change request number]
13. SIGN-OFF
(one block per person)
Name: [ ]
Role: [ ]
Decision: [approved / approved with
comments / rejected]
Version: [x.y]
Date: [ ]
BRD example
Part of a BRD for a customer portal — the same project as the functional specification example:
Project: Customer portal
Version: 1.0
Sponsor: Finance director
2. BUSINESS OBJECTIVES
BO-1: Cut the calls to the service
desk about invoices by half
within six months of launch.
BO-2: Get invoices paid sooner.
4. SCOPE
In scope: business customers;
invoices, payments,
account details
Out of scope: consumer customers;
changes to the billing
system itself
6. BUSINESS REQUIREMENTS
BR-01: Customers can see their own
invoices and payment status at
any time, without calling us.
Priority: must
Source: service desk
Serves: BO-1
BR-03: Shorten the time invoices stay
unpaid.
Priority: must
Source: finance director
Serves: BO-2
7. SUCCESS MEASURES
Invoice calls to the service desk:
from 900 a month to 450 by
month six
Average days from invoice to payment:
from 41 to 30 by month six
Business requirements vs functional requirements
A business requirement stays true whatever the software looks like. A functional requirement is one way the software meets it — and one business requirement often needs several:
| Business requirement (BRD) | Functional requirements that answer it (functional specification) |
|---|---|
| BR-03: Shorten the time invoices stay unpaid | FR-014: A signed-in customer can pay any open invoice of their company by card. FR-016: The portal emails a reminder seven days after an invoice’s due date. |
| BR-01: Customers can see their own invoices and payment status at any time | FR-010: A signed-in customer sees a list of their company’s invoices, with status and due date. FR-011: A customer can download any invoice as a PDF. |
If a requirement names a screen, a button or a field, it is functional and belongs one level down. If it would still be true after a redesign, it belongs in the BRD. The other types — user requirements, business rules, constraints and more — are in types of requirements.
BRD vs FRD vs SRS vs PRD
| Document | What it covers | Usually written by |
|---|---|---|
| Business requirements (BRD) | Why the business needs it, and what outcome counts | A business analyst, with the sponsor |
| Functional requirements (FRD, FSD or FRS) | What the software does: features, screens, rules, data | A business analyst or product manager |
| Software requirements specification (SRS) | Everything the software must do and meet, including performance, interfaces and constraints | A business analyst, systems analyst or requirements engineer |
| Product requirements (PRD) | Which problem, for which users, and how success is measured — for a product, not a project | A product manager |
The names overlap from one company to the next. On a client project the BRD comes first, then a functional specification or an SRS, with each requirement traced back to the business requirement it answers. A product team may write a PRD instead. Some teams write a vision and scope document in place of a BRD: the same business requirements, with a vision statement and the scope split by release.
How to write a BRD
- Start from the problem, with the sponsor. What goes wrong today, what it costs, and what would count as fixed. A discovery phase is where most of this comes from.
- Write objectives you can measure. Even when the CEO asked for the project, write down what it must achieve: “This will help you measure whether you have succeeded or failed” (r/businessanalysis, 2021).
- Write what is out of scope as carefully as what is in. “Make sure to add in the scope section: what is not in scope” (r/businessanalysis).
- Keep each requirement at the level of the business, with an ID, a priority and its source, so the functional requirements can point back to it. For the priority, one way is MoSCoW.
- Keep it short. Detail belongs in the functional specification.
- Review it with the people affected — the requirements review checklist has the checks — then get it signed on one version: the requirements sign-off template works for a BRD too.
- After sign-off, change it only through a change request — with a new version, and the old one kept.
Do you need a BRD in agile?
Opinions split. One commenter: “First step is to realise it’s not 2003 and BRD’s are useless” (r/businessanalysis, 2024). Others keep one because the backlog tool is not where the business reads:
Office is the only format that stakeholders outside of a development team understand and will interact with. Jira is an internal tool - a great one for software development. But it is not a general business tool.
— r/businessanalysis, 2021
In a product team with the product owner in the room, a short brief and the backlog can do the job. On a client project with a budget to agree, the business-level agreement still has to be written down and signed — whether it is called a BRD, a project brief or the first part of the statement of work.
Keeping the BRD and the backlog in step
The trouble starts when the same requirements live in the BRD and in Jira. One post listed the process its author follows:
- Create requirements in Jira.
- Copy them into the BRD.
- Get them reviewed by subject-matter experts.
- Update the BRD from their feedback.
- Update Jira to match the BRD.
- Send the BRD to the development team and the other teams.
- Update the BRD from their feedback.
- Update Jira to match again.
The annoying parts are steps 5, 7, 8.
And it is not just about updating manually, but also that I may miss out updating JIRA if there are many requirements.
— r/businessanalysis, 2021
A reply: “Do a traditional BRD first to share outside the team, then when its signed off, copy/paste it into Jira and deliver” (r/businessanalysis). That keeps one copy at a time — until the first change after sign-off. From then on, give every story the ID of the business requirement it serves, and change the BRD only through change requests, so the two can be compared instead of re-typed.
Where Specroot fits
This is the problem Specroot works on: business requirements, the functional requirements and the work built from them, kept as one versioned set — instead of a signed document and a backlog kept in step by hand. Specroot for agencies and consultancies.
Read next
- Functional specification template for software — A free functional specification (FSD) template for software, a filled-in example, functional requirement examples, and FSD vs BRD, PRD and technical spec.
- Software requirements specification (SRS) template — A free SRS template based on the IEEE 830 outline: what each section holds, example requirements, IEEE 830 vs ISO/IEC/IEEE 29148, and SRS vs PRD and FRS.
- Requirements sign-off template — A free requirements sign-off template and email to copy: what to include, how to get a client to actually sign off, and what to do at the first change.