Complete the FINANCIAL PLAN document:-
1.1 Risk Assessment
1.1.1 Which aspect of the industry (customers, competitors, suppliers) may create the greatest risk for your business? Explain.
1.1.2 How will your business respond to these challenges to minimize the risk?
1.1.3 What insurance do you need?
1.2 Human Resource Management
1.2.1 If you have employees, how will you account for the loss of key people?
1.3 Contingency Plan
1.3.1 At what point might you decide to call it quits?
1.4 Goals and Objective
1.4.1 Where do you see your company in the next 3 months and in one year?
1.4.2 What reduction in expenses can you aim for? What increase in revenue can you aim for in the second year?
1.4.3 Where will you find funding?
2.1 Operations Scope and Costs
2.1.1What are the costs to your operations: both variable and fixed.
2.1.2 Calculate your break even sales volume in $ using this formula
2.1.3 What measures will you take to maintain and improve the quality of your product or service?
2.2 Suppliers
2.2.1 Who are your main suppliers and what do you receive from them?
2.2.2 Are the suppliers reliable and do they have a good track record for doing quality work?
2.2.3 How easily could you replace a supplier if you lost it?
2.2.4 What are your suppliers' prices/terms/conditions?
2.3 Production Control
2.3.1 How will you keep track of inventory (if you have inventory)?
2.4 Management Background
2.4.1 What experience do you and/or your management team have that is directly useful to operating the company?
2.4.2 What support groups do you have to help you through your business planning and business operation?
2.5 Management Structure
2.5.1 How many full-time and part-time workers will you have?
2.5.2 What is the major skill-sets your key employees should possess?
2.5.3 What will you pay these people?
2.5.4 What is your timeline for hiring?
2.5.5 How will you train new employees?
3.1 Implementation
3.1.1 What must be done before you can introduce your product or service to the market? What is the timeline?
3.1.2 What essential resources and capabilities are lacking? How can you acquire them?
3.1.3 What are the one-time start-up costs of the company?
4.1 Seasonality
4.1.1 Do you have any seasonality in your sales? Describe the nature of the seasonality. During which months are your busiest and slowest, and why?
4.1.2 If your sales are seasonal, how do you plan to meet expenses during the off-season?
4.1.3 Describe how you will meet emergency and surprise expenses.
****Proceed to Financial Spreadsheets- separate document attached****
5. Executive Summary
Note: Your reply to this part should appear in CYBF section 10
Suggested format for executive summary:
1. Is your plan viable or not?
2. need 5 specific reasons to support your decision in #1 as follows;
a) Need 3 reasons for your decision that come from your cash flow and income statement forecasts.
b) Do you or someone involved have the passion/ interest and/or time to pursue this?
c) Do you or partners have at least 2 of the 5 skills needed to succeed? ( see 5 skills below)
List the ones you have.
1. Managing Money
2. Managing People
3. Directing Business Operations
4. Directing Sales and Marketing Operations
5. Setting Up a Business