BRD vs. PRD: The ultimate guide for Product Managers

As a new or even seasoned product manager, you’ve probably encountered the infamous acronym jungle: BRD, PRD, MRD, SRD—it can feel like an entirely new language. And among them, two documents stand out as must-knows for any PM: the Business Requirements Document (BRD) and the Product Requirements Document (PRD). At first glance, these two might seem interchangeable. After all, they both talk about requirements, right? But once you dig in, you’ll quickly realize they play very different roles in your product development process.

So, what’s the actual difference between a BRD and a PRD? Why do you need both? And when do you use which? Let’s break it down in plain, non-technical language. No jargon, no fluff—just the facts, with a little guidance and storytelling thrown in.

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What is a BRD (Business Requirements Document)?

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Imagine you’re starting a road trip. The BRD is like the map. It shows where you want to go, why you’re going there, and who’s coming along for the ride. A Business Requirements Document outlines the high-level goals, objectives, and needs of a business initiative. It doesn’t focus on how something will be built—it focuses on why it’s needed and what it’s meant to achieve. In simple terms? It’s your business case in document form.

It answers:

• What business problem are we solving?
• Why is this important now?
• Who are the stakeholders?
• What are the success metrics?

Key components of a BRD:

• Executive Summary: Quick overview of the project and its purpose.
• Objectives: What the business hopes to achieve.
• Scope: The boundaries—what’s in, what’s out.
• Stakeholders: Key people involved.
• Timeline: Milestones and deadlines.
• Budget: Estimated costs and benefits.
• Constraints: Any limitations or known risks.

Let’s say your company wants to reduce customer support tickets. A BRD might define the goal as “Reduce incoming support tickets by 30% in six months by offering better self-service tools.” No tech specs, no feature list—just clear business intent.

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What is a PRD (Product Requirements Document)?

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Now, think of the PRD as your GPS and itinerary. It tells you how you’re getting to your destination, where you’ll stop, and what supplies you’ll need. The Product Requirements Document outlines everything the development team needs to know to build the product. It focuses on features, functionality, user stories, and technical requirements. Where the BRD is broad, the PRD gets detailed. In short: The PRD takes the business needs and turns them into a product blueprint.

What’s typically in a PRD?

• Product Overview: High-level description of the product or feature.
• Goals & Purpose: What this product aims to solve.
• Target Users: Who will use it and what problems they face.
• Features: Detailed list of features and functionalities.
• User Stories: “As a user, I want to…” statements to capture needs.
• UI/UX Requirements: Sketches, wireframes, or design guidelines.
• Technical Requirements: Frameworks, APIs, integration needs.
• Dependencies and Edge Cases: What could go wrong or delay progress.

Let’s revisit the example: reducing support tickets. The PRD might outline building an in-app FAQ, integrating a chatbot, and including a ticket deflection system. Each feature would include design guidance, user interactions, and expected behavior.

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PRD vs. BRD: what’s the difference?

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So now that we’ve defined both, how are they different? Let’s compare them side-by-side:

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Think of the BRD as the why behind the project, and the PRD as the how the team will build the solution.

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When to use each one?

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If you’re still not sure when to use a BRD or PRD, don’t worry—you’re not alone. Here’s a simple rule of thumb:

• Use a BRD when you’re kicking off a project and need to define business goals, justify investment, and align stakeholders.
• Use a PRD when the project is approved, and it’s time to define features, design requirements, and guide the development team.

You typically start with a BRD. Once that’s approved, you move into the PRD.

Here’s how that might look in real life:

1. Your executive team says: “We need to increase user retention by 20% this year.”
2. You create a BRD: This document outlines the problem, the business need, possible strategies (like launching a loyalty program), and what success looks like.
3. Once the strategy is chosen: You write a PRD to define how the loyalty program works in the app, what features it needs, and how the backend will handle rewards.

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Why you shouldn’t skip either one

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A common mistake product managers make (especially in startups or small teams) is skipping the BRD or blending it into the PRD.

Here’s why that’s risky:

• Without a BRD, you may build something that doesn’t align with business goals.
• Without a PRD, you risk miscommunication with developers and missed requirements.

Both documents serve as your safety net. One aligns the why across the organization; the other ensures the how is executed effectively.

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Real-world example

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Let’s say your company wants to enter a new market with a mobile banking app.

The BRD might say:

• Problem: We’re losing potential customers in emerging markets due to lack of digital banking options.
• Goal: Launch a secure mobile banking app by Q3 with basic features to capture a new audience.
• KPIs: Acquire 100K users in six months, reduce churn, increase digital engagement.

The PRD would then include:

• Features like user registration, balance check, fund transfers.
• User personas: rural users with low bandwidth, needing a simplified interface.
• Edge cases: users without email addresses.
• UI sketches and backend integration specs.

Together, these documents keep everyone focused and aligned—from strategy to delivery.

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Tips for writing a great BRD

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If you’re tasked with writing a BRD, follow these tips:

1. Talk to your stakeholders early. Understand their pain points and goals.
2. Stay high-level. Don’t dive into design or tech details.
3. Be specific about goals. Use measurable KPIs.
4. Keep it readable. Avoid jargon; make it easy for anyone to read.
5. Update when needed. As goals evolve, keep your BRD current.

To speed up BRD creation, consider using a template like the one from Lucidchart to help visualize business processes.

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Tips for writing an effective PRD

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Writing a PRD can be more involved. Here’s how to do it right:

1. Start with user needs. Use real feedback, surveys, or interviews. Tools like Typeform make collecting user feedback easy.
2. Break down each feature. Use clear user stories and acceptance criteria.
3. Include visuals. A wireframe speaks louder than words. Use Figma for design collaboration.
4. Collaborate across teams. Use tools like Notion or ClickUp to centralize documentation.
5. Keep it flexible. Your PRD will evolve. That’s normal.

To structure user stories and feature specs, you can reference Atlassian’s PRD guide which provides a solid foundation.

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Common pitfalls to avoid

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Here are a few things to watch out for:

• Writing a BRD that reads like a PRD. Don’t mix business and product details.
• Overloading the PRD with fluff. Keep it focused on what the dev team needs.
• Leaving stakeholders out. Always align your documents with the right people.
• Skipping validation. Have others review your docs before moving forward.

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Do you need both every time?

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Not always. In smaller teams, BRD and PRD often merge into one lightweight doc. That’s okay if everyone’s aligned and you’ve clearly captured both the business need and the product plan. But in larger teams or regulated industries, having both documents separately can save you a lot of time, money, and frustration.

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Conclusion

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As a product manager, you’re the bridge between business goals and product execution. The BRD is your foundation—it aligns the vision. The PRD is your action plan—it brings the vision to life. You don’t have to be an expert writer or a technical guru to get these right. You just need to be clear, collaborative, and focused on outcomes. Use both documents as your compass throughout the product journey. They’ll help you make smarter decisions, build better products, and keep your team aligned every step of the way. Remember: A great BRD answers “why are we doing this?” A great PRD answers “how are we going to do this?” Get those two questions right, and you’re already ahead of the game.