LESSON 3-4 Flashcards
written document
that outline the future
activity for an existing or
proposed business
venture.
BUSINESS PLAN
is the formal written
expression of the
entrepreneurial vision,
describing the strategy
and operations of the
proposed venture.
BUSINESS PLAN
document that brings
together the key elements
of a business that include
details about the products
and services, the cost,
sales and expected profits.
BUSINESS PLAN
serves as the blueprint
of the business.
BUSINESS PLAN
Parts of a
Business Plan
-Executive Summary
-Management and Organization
-Product and Service Plan
-Market Plan
provides an overview of your
business plan, emphasizing key elements and arguments
that illustrate the business’s potential for success and
relevance to the audience.
Executive Summary
An executive summary should include:
-Description of the proposed business: The company’s
mission statement and/or vision statement and
Overview (Information about the company’s owners)
-Description of the market opportunity to capture: An
outline of your business model (problem and solution)
and the target market
-Reasons why your business is an attractive one: The
competition and what sets you apart
-Key distinctions of the business: An implementation
plan for bringing the business into the real world and
your reader’s next action
-Overview of projected financials containing the initial
capital, expected profit, and expenses: The company’s
current financial status, goals, projections (over at
least three years) and needs and your sales strategies
and campaigns
part of a business plan
focuses less on the business itself and more on the people
behind it. A business is only as good as the people making
decisions. It is sometimes called as “organizational
management” or “business management” that refers to
the activities involved in the four general functions:
planning, organizing, leading, and controlling.
Management and Organization
Identifying goals, objectives,
methods, resources,
responsibilities, and timelines
to achieve tasks.
-PLANNING
Arranging resources to
achieve goals in an optimal
way.
-ORGANIZING
Setting direction and
influencing people to follow
that direction.
-LEADING
Coordinating systems,
processes, and structures to
effectively and efficiently
reach objectives while
adjusting as needed.
-CONTROLLING
Importance of a Business Name
-First Impression
-Brand Representation
-Unique Industry Position
It is the first thing customers see and influences initial perceptions.
First Impression
Reflects the essence of the
business and conveys key information about the
company, products, and values.
Brand Representation
Establishes trust, authority,
and expertise, helping the brand stand out.
Unique Industry Position
5 Steps to Naming Your Business
1.Brainstorm Names
2.List the Best Names
3.Follow Naming Rules
4.Check Availability
5.Register the Name
Generate creative options.
Brainstorm Names
Narrow down to the strongest
contenders.
List the Best Names
Ensure compliance with business
structure requirements.
Follow Naming Rules
Confirm the name isn’t already in use.
Check Availability
Secure legal rights to use it.
Register the Name
a graphic representation or symbol used
on company communications, marketing, and advertising
materials. It is often the first thing noticed and plays a
critical role in establishing brand identity.
business logo
Functions of a Logo
-Inspire Trust
-Recognition
-Admiration
Builds credibility.
Inspire Trust
Makes the brand memorable.
Recognition
Evokes positive feelings about the business.
Admiration
Qualities of a Good Logo
-Simple
-Memorable
-Timeless
-Appropriate
-Versatile
-Reflects desired audience associations
Types of Logos
-Textual
-Illustrated
-Symbolic
-Combination
Uses recognizable words with unique fonts,
shapes, and sizes (e.g., Walt Disney).
Textual
Includes an illustration as the main feature
(e.g., Pepsi’s circle logo).
Illustrated
Abstract designs that work well internationally
(e.g., Nike’s swoosh).
Symbolic
Mix of textual, illustrated, or symbolic
elements (e.g., FedEx with its arrow symbol).
Combination
These components define the long-term goals and purpose
of an enterprise.
Vision, Mission, and Objectives of the Business
-Describes the ideal future state of the business.
-Should be written clearly in 25 words or less.
Vision
-Defines the purpose of the business.
-Focuses on what the business aims to achieve for customers,
employees, and owners, and the needs it will fulfill.
Mission
-Specify measurable end results.
-Typically focus on customers, market goals, and desired
financial outcomes.
Objectives
visually represents reporting
relationships and roles by title. It implies responsibilities
but doesn’t explicitly state them. These charts also
highlight scalability and can motivate employees. They
should be prominently displayed and easily readable.
organizational chart
Two Basic Types of Organizational Chart
-Flat Organizational Structure
-Hierarchical Organizational Structure
-Relies on self-management, with most employees
reporting directly to the owner.
-Encourages egalitarianism but may lead to informal
leadership and overwhelming responsibilities for the
owner.
-Common in small businesses.
Flat Organizational Structure
-Establishes clear roles, job descriptions, and a reporting
hierarchy.
-Promotes accountability, role clarity, and a healthy culture of
compassion and mutual respect.
-Reduces workplace issues like duplication of effort and ego
clashes.
-Suitable for creating an organized and sustainable work
environment.
Hierarchical Organizational Structure
Key Components of a Management Summary
1.Head of the Team
2. The Team
3. Business Structure
4. The Board
5. External Professionals
-Profile of the person responsible for organizing and
leading the team.
-Includes credentials, background, and vision.
Head of the Team
-Education: Relevant to each individual’s role.
-Work Experience: Past and current roles that align with company
objectives.
-Skills and Competencies: Specific to their position in the company.
-Achievements: Accomplishments made within the company.
-Personal Information: Age, residence, and motivations for joining
the team.
THE TEAM
Description of the company’s legal structure (e.g., sole
proprietorship, LLC, corporation, partnership).
Explanation of the hierarchy and command flow.
Business Structure
Profiles of board members (if applicable), including their roles
and reasons for selection.
The Board
Overview of external experts or consultants
contributing to the company’s objectives.
Description of their roles and impact on the
organization.
External Professionals
