Question

Although each aspect of a business plan is important, if you had to determine which one is the most important, which one would you choose and why? Finally, how important is ethics that it be incorporated into a business plan?

Answer 1

Of each of the aspects of a business plan ie. production, financing, marketing, management, collection and others, the Financing function of the plan is the most important because

a) To initiate the business activities it is very important to have finance.

b) Through proper financing the production facilities and production could be initialised.

c) Financing at a correct cost will put the whole cost of production at the lower level.

d) The financing is a seperate function of the management wihich should be handled perfectly.

e) The financing part is involved in each and every function of the management whether production, marketing or other.

Ethically, we should put the Financing part of management at the top while incorporating a business plan because of its importance in each and every part of business function. The finance availability being more a technical and economical function of management which is prime and necessary one.