Problem on evaluating the firm


Problem: Your friend, Mike, has just purchased a business. He has asked for you help in evaluating the firm. Mike is not asking you to make a decision for him; he just wants you to help provide him with facts as you see them.

The task is to analyze the business and report your findings. Be sure to tell Mike everything that you can think of that will aid him once he takes over ownership from the seller. Tell him what he will need to deal with in terms of setting up his new business, and the challenges that he will face. Remember, this is your good friend, and you want him to succeed in this new venture.

  • Coversheet
  • Executive Summary
  • Regulations
  • Management
  • Finance and Accounting
  • Financial Statements
  • Problem Solving


The Coversheet should contain the title of your report, the date of submission, and your name. The Executive Summary should provide an overview of your findings. After the Executive Summary, you will explore the five different areas of Tim's business. For each of these areas, you will provide a detailed report that contains a title, summary, and action items.

Title of Subsection: Name of the business area (Regulations, Management, Finance and Accounting, etc.)

Summary: Provide a detailed summary of what you observed in this particular area of the business. Describe any strengths and weaknesses

Action Items: Based on your analysis, what will he need to do once he takes ownership of the business? Your recommendations should contain detailed directions of what needs to be done and when. Also, you should defend your recommendations by providing references that support your ideas.

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Finance Basics: Problem on evaluating the firm
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