unit 1 business plans

Question 1

what is a business plan

Answer 1

an ideas for a business is not enough to start one . an entrepreneur will need to think of a plan. a business plan is a document setting out details of the business opportunity and how it will be achieved.

Question 2

what does a business plan have

Answer 2

it provides;
the details of goods and service .
aims and objectives
financial information an cash flow forecast outlining the money coming in and going out of the business

Question 3

why do they need a business plan

Answer 3

to identify how much money is needed to start a business. it is vital to raise funds from investors or banks

Question 4

finance

Answer 4

the capital or money that a business needs in order to carry out its plans.

Question 5

profit

Answer 5

generating a level of revenue that is greater than the costs incurred by a business over a period of time

Question 6

entrepreneur

Answer 6

an individual who is good at spotting business opportunities and takes risks

Question 7

business plan

Answer 7

a document that sets out a business opportunity and how it will be achieved

Question 8

cash flow forecast

Answer 8

a documents showing the expected cash inflows and outflows in coming months

Question 9

visions

Answer 9

long term goals of a business

Question 10

what happens if you do not make a business plan

Answer 10

it may not identify a business plan it may not identify the correct resources or staff it needs.
risks will increase, banks may deem you as unreliable and you may fail the target audience
run out of money waste resources

Question 11

benefits of business plan

Answer 11

a business plan it may identify the correct resources or staff it needs.
risks will decrease, banks may deem you as reliable and you get the target audience

Question 12

achieving business aims and objectives

Answer 12

the business plan includes aims in order to succeed. they will do research and consider what it takes to achieve it
sets out problems before it arises

Question 13

resources and help

Answer 13

the business will outline the things that they need e.g workers, premise.
investors and banks will see them as prepared and it hints to how much capital the they need

Question 14

identifying market

Answer 14

business plans can help to start their target audience and they will be ready to cater them.
banks will trust them for they have an audience

Question 15

helping with finance

Answer 15

business pl;an tells them how many will be spent and hoe it will be repaid on time

Question 16

content of business plan - competitors

Answer 16

are their any competitors with the same product like us and how can we be different in order to beat them

Question 17

content of business plan - target market

Answer 17

certain group that business can cater to.

it should be clear on the target marker on who they are selling their products or service

Question 18

content of business plan - finance

Answer 18

cost of setting a business
what do they need to buy
where will they get their money from?

Question 19

content of business plan - market research

Answer 19

how it will be sold

whether consumers will like to buy it or use their service

Question 20

content of business plan - business ideas

Answer 20

it can be a new idea or existing product,.

it need to be practical and stands alone a chance of selling and being successful

Question 21

purpose of plan

Answer 21

to succeed and reduce risk

Question 22

what is a business plan

Answer 22

a formal document that sets out future business goals and helps attract funding for the business idea
set out future plan
turns ideas into successful business
showing it to the bank to get a loan etc..