Question

1) What is a business plan and how is it used?

2) Which three of the ten guidelines for preparing a business plan (see your eText) do you think are the most important for the entrepreneur to consider?

3) Outline some of the critical points to capture in an elevator pitch. Explain why each point is important.

Answer 1

Answer 1): Planning is the first and most important part of any successful process. A business proposal is an argumentative text to convince the reader to participate in an organization or enterprise. This is an important method for launching a business project regardless of the project scale and / or the scope of the entrepreneur's business experience. This will serve, when it is time to request support or financial assistance of some kind, as a business card for bringing a corporation into the company: banks, creditors, institutions, public authorities, or some other agent involved.

The business plan is used for following things:

1. The creation of a detailed strategic strategy demonstrates that a organization will make a profit or not. This needs a practical look at nearly every aspect of your company which shows that when you launch your business directly, you have sorted out all your issues and have agreed on alternatives.

2. You will log, evaluate, and measure the success with the business plan. You will calculate your success and compare your estimates to real results using your strategic strategy to set deadlines and achievements.

3. In order to overcome these blockages and develop solutions, a proactive approach can help to spot barriers.

4. To order to hit new markets, produce new goods or establish can facilities, the enterprising company may need to join partnerships with other companies A strategic strategy aims to persuade a trustworthy seller to make the launch.

5. A marketing proposal will be a perfect way to introduce your company to your family and friends. You would get a clearer idea of what you are going to do by working through it.

Answer 2): The Business Plan will stress a comprehensive, descriptive and reliable scheme which investors / financiers who are perhaps not completely familiar with the business / technologies / risk will clearly believe and will allow themselves to shape and determine whether investing in the venture is achievable and measurable. W ell developed and well-designed business plans are necessary to keep the project ahead of prospective investors and to start negotiating. The most important factors the entrepreneurs should consider while making a business plan are:

1. Business model & strategy: Within this portion the business plan, who is doing what for what and the trade justification specifics will be explained within depth.

2. Industry Analysis: Investors should look for reliable statistics and demand analysis and, if possible, objective projections to reveal that the project owner knows the economic climate, the growth opportunities and competitive threats under which the project is situated.

3. Financial Analysis: Each segment aims to stress the company's productivity. Profit lines include product and services sales / revenue and future profits from greenhouse emissions. With wise assumptions in this section, the assessment will be accurate.