4 Business Planning

Question 1

Why is having a business plan important wrt financers?

Answer 1

We must be able to justify to them that our business is worth investing in

Question 2

4 possible goals when planning a business:

Answer 2

1. New type of business (innovation)
2. Expansion of services
3. Upgrading
4. Reduce process inefficiencies

Question 3

4 ways to influence other using your business plan?

Answer 3

1. Facts
2. Faith
3. Fear
4. Politics

Question 4

What is essential when pitching you business plan?

Answer 4

EVIDENCE to back it up

Question 5

How can you tell whether your plan was successful or not?

Answer 5

By measuring outcomes

Question 6

4 major components of a business plan:

Answer 6

1. Operations plan
2. Human resources plan
3. Marketing plan
4. Financial plan

Question 7

The part of the business plan SUMMARIZES the entire business plan.

Answer 7

Executive summary

Question 8

Describe how goals should be formulated in a business plan introduction.

Answer 8

1. motivational

2. out of immediate reach, but not out of sight (avoid frustration, encourage motivation)

Question 9

What should the industry overview section of the business plan include?

Answer 9

A description of the industry in which the organization operates

Question 10

What should the operations plan of the business plan include?

Answer 10

Clear description of how the org is ORGANIZED (site, building, floor plans, how the product is produced/obtained, training involved, who provides the svcs, etc.)

Question 11

What should the human resources section of the business plan contain?

Answer 11

1. job descriptions
2. compensation details
3. training programs
4. planned new positions

Question 12

What should the marketing plan section of the business plan? (the 4 P’s)

Answer 12

1. Product(s) (svcs and/or goods)
2. Price
3. Place
4. Promotion
5. Target consumers
6. Competitive analysis
7. Strategic analysis