Title: Innovative new Product Prospectus
Details of task: This assignment is to be completed by students in pairs. Students may wish to complete the assignment individually. Groups of 3 or more will not be approved.
Assignment- This assessment is designed to test achievement of Objectives.
This assignment is to completed by an individual student or in pairs. Groups of 3 will not be acceptable.
The Group will prepare a 5000 word "prospectus" for a new product or company based on one of their own "ideas", which provides sufficient information to allow a potential investor to make an informed decision on the "value" of the possible investment. The "success" of the prospectus will depend on the ability of the writer to convince potential investors to invest money in the student's proposed new idea or new company.
This will include, for example, does the offering have a market, will the market be interested in the offer, does the Group have the necessary skills to produce and supply the offering, will the offer be financially viable, can the investor (s) trust and rely on the Group to see this project though to the end. These requirements and other aspects will be covered during the semester.
This "prospectus" should he based on material you have been exposed to in class and in your own reading. This assignment is NOT a business case.
Suggested outline:
Proposed Company Offering - include
- How much do you want?
- What are you going to do with it?
- How much do I get?
- When do I get it back?
- What else do I get?
- What is the offer?
The Management team- This includes background of the Founder and key staff involved.
The Company and concept - What industry will the Company operate in.
- The company and the concept
- Products or services offered
- Entry and growth strategy
Market Research and analysis - Research the industry
- Competitors
- Existing markets
- External environmental factors
Economies of the business
- Gross and operating margins
- Profit potential and durability
- Fixed and variable costs
- Break even analysis
- Months to break even
- Months to reach positive cash flow
Marketing
- Objectives
- Strategies
- Implementation Plan
- Budgets
Proprietary issues
Regulatory and Legal issues
Operations plan including how you will manage growth
Critical Risks, problems and assumptions
Financial Plan
- Balance- sheets
- cash flow statements
- profit and loss statements
- each of-the above for 2 years
Exit Strategy
This is the minimum you should include.