Business Planning Flashcards
Types of business plan
Strategic Plan: Long-term vision, overall direction, and goals.
Operational Plan: Day-to-day operations and short-term objectives.
Departmental Plan: Specific plans for different departments.
Corporate Plan: Broad company-wide plan encompassing various aspects of the business
Essential Elements of a Business Plan
Executive Summary: Overview of the business idea, goals, and financials.
Business Opportunity Description: Details of the market gap or problem and proposed solutions.
Team Details: Key personnel and their roles.
Operations/Actions: How the business will function and deliver its services or products.
Forecast Cash Flows: Projected income and expenses.
Objectives: Specific, measurable goals.
Financial Measures: Key financial metrics and projections.
What are the types of organisational structures
Sole Trader: Individual owner with full control and personal liability.
Partnership: Shared ownership and liability among partners.
Limited Company: Separate legal entity with limited liability for shareholders.
Limited Liability Partnership (LLP): Hybrid structure offering limited liability to partners.
Public Limited Company (PLC): Shares traded on the stock exchange with more regulatory requirements.
What is a SWOT anaklysis
Strengths: Internal advantages.
Weaknesses: Internal limitations.
Opportunities: External chances for growth.
Threats: External challenges.
what are some key financial benchmarks?
Key Financial Ratios:
Acid Test Ratio: Measures liquidity.
Return on Capital Employed (ROCE): Measures profitability.
Gearing Ratio: Measures financial leverage.
Financial Statements:
Balance Sheet: Financial position at a specific point in time.
Income Statement (Profit & Loss): Performance over a period.
Cash Flow Statement: Cash inflows and outflows.
What are the RICS requirements for a new business?
Professional Indemnity Insurance (PII): Coverage for professional liabilities.
Regulations for Client Money: Proper handling and accounting.
Complaints Handling Procedure: Formal process for addressing grievances.
Staff Training: Ensuring competency and compliance.
What is some relevant legislation that needs to be observed when starting a new firm or business?
Companies Act 2006: Governs company operations and financial reporting.
GDPR: Regulations for data protection and privacy.
Money Laundering Regulations 2017: Anti-money laundering requirements.
Consumer Credit Act 1974: Rules for consumer credit activities
