Problem: You want to start your own business. You found an investment group that is willing to give you the capital needed for the first year of your business, but only if you can convince them you have a solid plan for the success of this business. Your investor is very concerned with how the accounting functions of this business will be handled. You must persuade your investor to put up the capital by addressing the following questions in your business plan:
Q1. What is the name of your business?
Q2. What type of business structure is it (sole proprietorship, partnership, or corporation)? Why did you choose that structure?
Q3. What type of services or products does your business provide?
Q4. What role will accounting play in the start up of your business?
Q5. What type of work characteristics will you look for when hiring your accounting staff?
Q6. What education should a person have in budgeting, internal controls, and cash management before going into business?
Q7. What kinds of internal controls will you put in place for the business?
Q8. How will your managers use financial information to predict outcomes for your business?