The document discusses key components of a business plan including an executive summary, industry and market analysis, product/service description, production, operations, marketing, organizational, risk assessment, and financial plans. It emphasizes that the business plan establishes the viability of a new venture, guides planning activities, and helps obtain financing. Regular monitoring of inventory, production, quality, sales, spending, and website metrics is also recommended to track progress against the plan.

1. THE CREATING AND STARTING THE VENTURE

3. Owner and president, GC Micro… Belinda Guadarrama waged and won a one-woman legal battle against the goliath Defense Logistics Agency (DLA) to ensure proper apportionment of government defense subcontracts to small disadvantaged businesses . Guadarrama’s company, GC Micro, sells computer software and hardware, principally to the defense and aerospace industries.

9. 4. Description of venture.. A. Product(s) B. Service(s) C. Size of business D. Office equipment and personnel. E. Background of entrepreneur(s). 5. Production Plan. A. Manufacturing process (amount subcontracted) B. Physical Plant. C. Machinery and equipment. D. Names of suppliers of raw materials. 6. Operational Plan. A. Description of company’s operation. B. Flow of orders for goods and/or services. C. Technology utilization.

10. 7. Marketing Plan A. Pricing B. Distribution C. Promotion D. Product forecasts E. Controls 8. Organizational Plan. A. Form of ownership. B. Identification of partners or principal shareholders. C. Authority of principals. D. Management-team background. E. Roles and responsibilities of member of organization. 9. Assessment of Risk. A. Evaluate weakness(es) of business B. New technologies. C. Contingency plans.

11. 10. Financial Plan A. Assumptions B. Pro forma income statement. C. Cash flow projections D. Pro forma balance sheet E. Break-even analysis F. Sources and applications of funds. 11. Appendix (contain backup material). A. Letters B. Market Research Data C. Leases or contracts D. Price lists from suppliers.

12. Economy: The entrepreneur should consider trends in the GNP, unemployment by geographic area, disposable income, and so on. Culture: Evaluation of cultural changes may consider shifts in the population. Such as Shift in attitude “ Buy American”. Technology: Advances in technology are difficult to predict. Should make careful short-term marketing decisions. Legal Concern: The entrepreneur should be prepared for any future legislation strategy. The deregulation of prices, restrictions on media advertising and safety regulations.

13. 1. What are the major economic, technological, legal and political trends on a national and an international level? 2. What are total industry sales over the past five years? 3. What is anticipated growth in this industry? 4. How many new firms have entered this industry in the past three years? 5. What new products have been recently introduced in this industry? 6. Who are the nearest competitors? 7. How will your business operation be better than this? 8. Are the sales of each of your major competitors growing, declining or steady? 9. What are the strengths and weaknesses of each of your competitors? 10. What trends are occurring in your specific market area? 11. What is the profile of your customers? 12. How does your customer profile differ from that of your competition?

16. Entrepreneur should do a quick feasibility study of the business concept to see whether there are any possible barriers to success. The information, obtainable from many sources, should focus on marketing, finance and production. The internet, can be a valuable resource for the entrepreneur.

17. If the new venture is a manufacturing operation, a production plan is necessary. This plan should describe the complete manufacturing process. If manufacturing process is to be subcontracted, the plan should describe the subcontractors, including location, reasons for selection, costs and any contracts that have been completed.

18. All business manufacturing or nonmanufacturing should include an operations plan as part of the business plan. It might include inventory or storage of manufactured products, shipping, inventory control procesures and customer support services.

19. It is an important part of the business plan since it describes how the products or services will be distributed and promoted.

20. The Organizational plan is the part of the business plan that describes the venture’s form of ownership- that is, proprietorship, partnership or corporation.

21. Every new venture will be faced with some potential hazards, given its particular industry and competitive environment. First entrepreneur should indicate potential risks to the new venture. Next should be a discussion of what might happen if these risks become reality. Finally, the entrepreneur should discuss the strategy that will be employed to either prevent, minimize or respond to the risks should they occur.

22. Like other plans it is also important part of the business plan. It determines the potential investment commitment needed for the new venture and indicates whether the business plan is economically feasible..

23. During the introductory phases of the start-up, the entrepreneur should determine the points at which decisions should be made as to whether the goals or objectives are on schedule. 1. Inventory Control: By controlling inventory, ensure maximum service to customer. 2. Production Control: Compare the cost estimated in the plan with day-to-day operation plan. 3. Quality Control: Depend on the type of production system and making sure that the product performs satisfactory. 4. Sales Control: Information on units, dollars, specific product sold, price of sales. 5. Disbursement: Venture should control the amount of money paid out. 6. Web site Control: More and more sales being supported from a company’s website.