FOUND. Chapter 10

Question 1

A written description of your business as you see it today and as you foresee in the next five years:

Answer 1

Business plan

Question 2

Research obtained regarding the clients your business will target in their needs and wants and habits:

Answer 2

Marketing plan

Question 3

Is a sweeping picture of the long-term goals for the business what it is to become and what it will look like when it gets there

Answer 3

Vision statement

Question 4

In this time. You may want to move from being a working professional into a full-time manager of the overall business and begin planning for your eventual retirement

Answer 4

Year 11 to 20 business timeline

Question 5

What are some qualities a good location has:

Answer 5

Good visibility 
high traffic
easy access
sufficient parking
handicap access

Question 6

 Govern the opening of the business including leases vendor contract employee contracts and more

Answer 6

Written agreement

Question 7

Can be invaluable and helping you gather Accurate financial information

Answer 7

Certified public accountant CPA

Question 8

Guarantees protection against financial loss from malpractice, property liability, fire ,burglary and theft and business interruption

Answer 8

Insurance

Question 9

Is the individual owner and most often the manager of the business who determines policies and has the last say in decision making, as well as assumes expenses, receives profits, and bears all Iosses

Answer 9

Sole proprietor

Question 10

Business structure two or more people share ownership

Answer 10

Partnership

Question 11

Money to invest in a business another is to have help running your operation

Answer 11

Capital

Question 12

Is an ownership structure controlled by one or more stockholders

Answer 12

Corporation

Question 13

When purchasing an established business you should Include the following items:

Answer 13

-Financial audit
-written purchases
-complete and signed statements -confirmed identity of owner
-use of the business name and reputation
-disclosure of any and all information regarding the shops clientele
-disclosure of the conditions of the facility
-noncompete agreement stating that the seller will not work and or establish a new salon
-employee agreement
-A transfer of note,mortgage, lease or bill of sale

Question 14

A way that you can reduce risk and ensure this protection against fire, theft, and lawsuits:

Answer 14

Keep accurate records of the number of employees
their salaries
length of employment
and Social Security numbers

has required by various states and federal laws that monitor the social welfare of workers

Question 15

Smooth business management depends on the following factors Of operation:

Answer 15

Sufficient investment capital
efficient management
good business procedures
strong computer skills
corporation between management and employees
trained and experienced personnel excellent customer service
proper pricing and services

Question 16

Income is usually classified as receipts from

Answer 16

Services and retail sales

Question 17

expenses include:

Answer 17

Rent
utilities
insurance
salaries
advertising
equipment
repairs

Question 18

What should all service records include?

Answer 18

Name address of the client
date of each purchase or service
amount charged
product used
results obtained
Clients preference noted

Question 19

Currently booth rental is legal in every state except

Answer 19

Pennsylvania

Question 20

Solely responsible for their own clientele supplies recordkeeping and accounting and have the ability to be their own boss with very little capital investment;

Answer 20

The owner
booth renters

Question 21

This person handles the job of answering phones scheduling appointments greeting clients and attending to client needs

Answer 21

Receptionist

Question 22

When booking an appointment if a client cannot come in at any of the times available you should suggest

Answer 22

Another professional

Question 23

Ways to handle complaints over the phone

Answer 23

Respond with self control,tact and courtesy

Question 24

The personal communication about a service or product between target clients and their friends relative and associates

Answer 24

Viral marketing A.k.a. word of mouth

Question 25

Adding an additional service it’s called

Answer 25

Up selling

Question 26

Encouraging a client who is booked for one service to add another

Answer 26

Cross promoting

Question 27

As an aesthetician it is your job to encourage your clients

Answer 27

Invest in retail and services that will keep them coming back for more while helping to maintain the look you just gave them

Question 28

Supplies sold to clients

Answer 28

Retail supplies

Question 29

The rules and regulations adopted by a business to ensure that all clients and associates are being treated fairly and consistently

Answer 29

Business policies

Question 30

Supplies used in the daily business operation

Answer 30

Consumption supplies

Question 31

Any and all local state and federal regulations and laws that you must comply with when you decide to open your business or rent a booth

Answer 31

Business regulations and laws

Question 32

Information about a specific population including data on race age income in educational attainment

Answer 32

Demographics

Question 33

A set of bench markers that once achieved help you to realize your mission and your vision

Answer 33

Goals

Question 34

Three occurring processes or activities involved in the running of a business for the purpose of producing income and value

Answer 34

Business operation

Question 35

Helps you maintain a perpetual inventory which prevents overstocking or a storage of needed supplies, alerts you to any incidents of theft. helps establish the net worth of the business at the end of the year

Answer 35

Purchase records