Professional Documents
Culture Documents
EMBA Batch
The Program
Session Topic Curriculum Welcome the students Explain course and schedule The Contract Students expectation of the course Interaction I the Business Case Study #1 Interaction The Name Ball Interaction-I the Investor Part 1 Discussion Singapore Incorporated and Entrepreneurship Presentation Entrepreneurship Process Presentation Leadership and Entrepreneurship explained Interaction I the Business Case Study #2 Discussion Doing Business in India and China Interaction Jockey Quiz Presentation Myths about entrepreneurship Presentation The ten mistakes a new entrepreneur make Interaction I the Business Case Study #3 Self Assessment - Are you the entrepreneurial type? Discussion Challenges of an Entrepreneur Presentation Generating ideas and opportunities Presentation Types of Business Plan Presentation Making assumptions and identifying constraints Interaction I the Business Case Study #4 Interaction Briefing on The Coffee Stall Business Discussion Business Entertainment Understanding of social entrepreneurship Learning the value of business (The Coffee Stall Business) Date
9th April 7.00 pm to 8.15pm
Introduction
Entrepreneurship
The Entrepreneur
Business Planning
5 6
The Program
Session Topic Curriculum Presentation Understanding and evaluating business risks Presentation Taking Risk Presentation Funding Types and Process Presentation Closing the Deal Interaction - I the Investor Part 2 Interaction I the Business Case Study #5 Discussion - My Business Values Presentation Business structures & its incorporation Presentation Processes and System Presentation Maintaining a business Presentation Growth of a Business Interaction I the Business Case Study #6 Discussion Learning from the $100 Experience Presentation Death of a business Presentation Why business failed Presentation Element of Success in Business Discussion Bad Business Practice I the Business Individual Assessment The $100 Experience Business Plan Presentation Course Review Result of your Assessment Review of The Contract Date
13th April
2.00 pm to 3.15pm
Doing Business
13th April
4.00 pm to 5.15 pm
Success in Business
13th April
6.00 pm to 7.15 pm
10 11
Assessment Assessment
14th April
10.00 am to 11.15 am
14th April
12.00 pm to 1.15 pm
12
Conclusion
14th April
2.00 pm to 3.15 pm
: Generating Ideas and Opportunities Business Planning Approach to Strategic Planning Interaction : I the Business Case Study #4 Briefing on The Coffee Stall Business Discussion Guan Xi and Business Entertainment Background Reading Questions and Answers
Presentation
Christopher Benjamin Consultancy Services 5
1990
6
Christopher Benjamin Consultancy Services
2007
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Christopher Benjamin Consultancy Services
Opportunities?
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What is an idea?
An idea is a plan for action.
In entrepreneurship, it is critical to understand how these two concepts are different as well as how they relate.
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while an idea may be identified as the solution. An innovative idea is of no value if there is no opportunity or market.
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Many more.
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"2,994 start-ups showed that founders who spent a long time in study, reflection, and planning were no more likely to survive their first three years than people who seized opportunities without planning."
Procrastination.
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Interaction
Given a recent HEADLINE
What are the opportunities?
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Evaluating Opportunity
1. Has the opportunity been considered by others? 2. 3. 4. 5. If yes, have others selected or acted upon it?
Can I determine how long the opportunity may last? Am I satisfied that I have accurate and sufficient information about the opportunity? Have I specifically defined the opportunity? Will people care about the opportunity?
6.
7. 8. 9.
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Missed Opportunities
Missed Opportunity = EMOTIONAL BLOCK
An emotional block may be overcome with greater self confidence and self esteem. Fear, distrust, desire for security, and the inability to change may prevent you from generating creative ideas. Staying flexibility is a great method for overcoming an emotional block. Decision in seizing opportunity has to look at in the context of GOOD and BAD; not RIGHT and WRONG.
Interaction
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Industry
Application
Business Planning
Presentation
Christopher Benjamin Consultancy Services 27
A business plan precisely defines your business, identifies your goals, and serves as your firms resume. The basic components include a current and pro forma balance sheet, an income statement, and a cash flow analysis. It helps you allocate resources properly, handle unforeseen complications, and make good business decisions. Additionally, it informs sales personnel, suppliers, and others about your operations and goals.
From the US Small Business Association
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STRATEGIC PLANS outline the actions necessary to achieve longrange goals. Applies mainly to on-going business. TACTICAL OR OPERATING PLANS focus on the short-run, usually one year. Normally as a result of changes affecting the business, where a review was necessary FUNCTIONAL PLANS specify short- to medium-range actions having to do with specific aspects of the business, such as marketing, finance, manufacturing, or personnel.
INVESTMENT PLAN, used by small business owners to gain access to financing from banks or venture capitalists.
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Anyone who is willing to take a risk on being a part of your business venture will see your plan. This includes investors such as a bank or other supporting organization or individuals that may lend you money to get started.
Other interested parties include organizations that may choose to partner with you, as well as suppliers and buyers who will depend on your business to buy or sell their products.
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Presentation
Christopher Benjamin Consultancy Services 32
1. Executive Summary
2. Company Background
Business History Growth and Financial Objectives Legal Structure and Ownership Company Location and Facilities
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Executive Summary
The Executive Summary is the most critical element of the business plan. If it does not grab the investor's attention, the investor will neither read nor request the full business plan. As such, spend time developing the best possible summary. Work to get it in the hands of the right investors by creating two versions : Stand-alone executive summary Plan predecessor
Christopher Benjamin Consultancy Services 34
Executive Summary
The Plan Predecessor
When the Executive Summary precedes the business plan, its length should be short, typically only one to two pages and certainly no longer than three pages. This is because the Executive Summary is not meant to tell the whole story of the business opportunity. Rather, the summary must simply stimulate and motivate the investor to learn more about the company in the body of the plan.
The Stand-alone
The second type of Executive Summary is a stand-alone document. That is, it is given, by itself, to investors for their initial review. Purpose is to entice interest in your plan. If interested, the investor will then request the full business plan. A stand-alone Executive Summary is often used to limit the flow of information. That is, if an investor is not interested in the general opportunity that your summary presents, you don't want to reveal to them intimate details of your plan.
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Where do I begin?
Be aware of some general rules for preparing a plan:
BE HONEST with yourself and your teammates, investors, and others involved in your plan.
PRACTICE GOOD WRITING SKILLS: use clear language, accentuating the positive. SHOW YOU HAVE DONE YOUR HOMEWORK: make sure it is clear that you have carefully evaluated your business idea and opportunity, and that you have taken the time to look at other business cases, both the successes and the failures STRESS YOUR UNIQUENESS: how do you and your business idea stand out from the crowd? MAKE THE PLAN LEGIBLE AND NEAT: use appropriate print and paper. USE CHARTS, TABLES, ILLUSTRATIONS AND PHOTOGRAPHS when applicable BE REALISTIC: do not exaggerate what you will be able to do with your time and resources.
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Presentation
Christopher Benjamin Consultancy Services 40
Equipments
93,750
93,750
Total
471,855
471,855
Downpayment (20%) Hire Purchase and Leasing (80%) Finance Cost (5% PER ANNUM) Installment Payable (5 YEARS)
0 0 9,437 47,186
0 0 18,874 94,371
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Total
Equipments Computer and Peripherals Teaching Aids Kitchen Equipment Changing Rooms Lockers Signages and Graphics Total
Christopher Benjamin Consultancy Services
Staff
30,000 12,000 0 0
18,000 6,000 0 0
135,960
336,420
657,405
1,129,785
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Fixed Expenses Rental Utilities Telecommunication Maintenance and upkeep Advertising & Promotion Miscellaneous
Operating Expenses
101,232
96,232
184,464
381,928
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Training Centre area Rental per sf Utilities per month Telecom per month Maintenance per month Miscellaneous per month
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Income
Training Income Number of students per month Average training fee charged per student per month Total training fee received for the phase Food Court Income Food Stalls Number of stalls Average sales proceeds per stall per month Total Food Stalls Sales for the phase Drink Stall Average sales proceeds per month Total Drink Stall Sales for the phase Catering Income Average 3 meals per day for 24 days per month Cost of per meal Number of person per month Total catering sales for the phase 30 800 72,000 60 800 288,000 90 900 972,000
1,332,000
1,252,800
211,680
2,980,800
Total Revenue
361,440
866,880
4,548,960
5,777,280
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361,440 (177,840)
866,880 (427,968)
4,548,960 (2,761,776)
5,777,280 (3,367,584)
GROSS PROFIT STAFF COST ESSENTIAL OPERATING COST PROFIT/(LOSS) BEFORE DEPRECIATION DEPRECIATION OF FIXED ASSETS (5 YEARS) PROFIT/(LOSS) AFTER DEPRECIATION FINANCE COST PROFIT/(LOSS) BEFORE TAXATION
TAXATION (18%)
PROFIT AFTER TAXATION
0
(110,215)
0
(50,363)
(149,773)
682,297
(149,773)
521,720
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Cash Flow
Profit/(Loss) before taxation Add: Depreciation of fixed assets Finance Cost CASH FLOW/(IN USED) FROM OPERATION CASH FLOW FROM INVESTING ACTIVITIES Purchase of fixed assets
(110,215)
(50,363)
832,070
671,493
47,186 9,437
(53,592)
47,186 9,437
6,260
94,371 18,874
945,315
188,742 37,748
897,983
(471,855) (525,447)
0 6,260
0 945,315
(471,855) 426,128
CASH FLOW FROM FINANCING ACTIVITIES Issurance of share capital Hire purchase and leasing Repayment of hire purchase and leasing
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Balance Sheet
SHARE CAPITAL PROFIT AND LOSS Shareholders' equity FIXED ASSETS CURRENT ASSETS Cash and cash equivalents Total Asset
54,852 479,521
13,926 391,410
864,870 1,147,983
Less: CURRENT LIABILITIES Hire purchase creditors Provision for taxation Government grant
339,736 0 0 339,736
139,785
301,987 0 0 301,987
89,423
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Expenditure Cost of sales Salary CPF Skill Development Levy Capital expenditure Rent Utilities Telecommunication Maintenance & Upkeep Downpayment Advertising & Promotion Miscellaneous Total Expenditure Cash Surplus (Deficit) Cash brought forward Cash carried forward
$0 $20,000 $2,610 $50 $7,864 $3,622 $4,800 $450 $3,500 $94,371 $6,000 $2,000 145,267 104,733 0 104,733
$0 $20,000 $2,610 $50 $7,864 $3,622 $4,800 $450 $3,500 $0 $2,000 44,896 (44,896) 104,733 59,837
$0 $20,000 $2,610 $50 $7,864 $3,622 $4,800 $450 $3,500 $0 $3,000 $2,000 47,896 (47,896) 59,837 11,940
$59,280 $20,000 $2,610 $50 $7,864 $3,622 $4,800 $450 $3,500 $0 $2,000 104,176 16,304 11,940 28,244
$59,280 $20,000 $2,610 $50 $7,864 $3,622 $4,800 $450 $3,500 $0 $6,000 $2,000 110,176 10,304 28,244 38,548
$59,280 $20,000 $2,610 $50 $7,864 $3,622 $4,800 $450 $3,500 $0 $2,000 104,176 16,304 38,548 54,852
$177,840 $120,000 $15,660 $300 $47,186 $21,732 $28,800 $2,700 $21,000 $94,371 $15,000 $12,000 556,589 54,852
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$71,328 $50,000 $5,945 $125 $7,864 $3,622 $4,800 $450 $3,500 $0 $4,000 $2,000 $153,634 ($9,154) $54,852 $45,697
$2,000 $149,634
($5,154) $45,697 $40,543
$71,328 $50,000 $5,945 $125 $7,864 $3,622 $4,800 $450 $3,500 $0 $2,000 $2,000 $151,634 ($7,154) $40,543 $33,389
$2,000 $149,634
($5,154) $33,389 $28,235
$71,328 $50,000 $5,945 $125 $7,864 $3,622 $4,800 $450 $3,500 $0 $4,000 $2,000 $153,634 ($9,154) $28,235 $19,080
$2,000 $149,634
($5,154) $19,080 $13,926
$427,968 $300,000 $35,670 $750 $47,186 $21,732 $28,800 $2,700 $21,000 $0 $10,000 $12,000 $907,806 ($40,926)
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Mistake 2: Over ambitious projections Everyone thinks their business will grow exponentially in the first 12 months but in reality this is rarely the case. Your business plan must show a realistic path to profitability that proves your actual revenues and profits are comparable with your written plan.
Mistake 3: Leaving something out Every business plan follows a certain structure. Lenders and professional readers generally look for 3 or 4 aspects of your plan. You need to ensure you have these elements correctly written in the right area of your business plan.
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Mistake 5: Poor understanding of marketing Communicating your products to your prospects is a critical success factor for every business owner. You need to show you understand your target customers, what their needs are, why they will buy from you and how you will communicate with them.
Mistake 6: An inability to sell your plan Having an accountant prepare your plan may save you a headache, but it is you who needs to explain to your lender or investors every question they have about your plan. You need to understand everything that is written in your plan.
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Presentation
Christopher Benjamin Consultancy Services 54
APPROACH
DIAGNOSTIC
Internal Assessment
TO STRATEGIC
PLANNING
STRATEGIC ALIGNMENT
STRATEGY FORMULATION
Pre-assessment Workshop
SWOT Report
Strategy Workshop
Action Planning
Process Re-alignment
Middle Management
Middle Management
Project Expectations
Process Re-alignment
Sales & Marketing Procurement & Warehousing Human Resources Financial Management Information
External Assessment
Participants Deliverables
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APPROACH
TO STRATEGIC
PLANNING
Mission Objectives
Strategy
How to Statement
Action Plan
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APPROACH
TO STRATEGIC
PLANNING
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APPROACH
SWOT Analysis
TO STRATEGIC
PLANNING
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APPROACH
TO STRATEGIC
PLANNING
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Employee Ownership
Human Resource
APPROACH
Manufacturing
Mission
Objectives Strategy
Strategic Alignment
Purchasing Warehousing & Logistics Management Information
TO STRATEGIC
PLANNING
Management Commitment
APPROACH
TO STRATEGIC
PLANNING
School Holiday
Mission
Objective
= to go to Desasu
Strategy
Strategic Alignment
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Action planning
Action Planning Date:
Goals
Prepared By :
2008
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
By Whom
Remark
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Industry
Application
Geographical Customer
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EXAMPLE
OF STRATEGIC
PLANNING
Corporate Vision
To establish overseas presence in 4 countries by 2010 Vietnam Thailand To achieve national business recognition award by 2010; Indonesia To publicly list the company by 2012 Brunei
To have a fully automated logistic hub by 2010. To attain ISO 9000:2000 certification by year 2008.
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Engineering
Consultation
Application
To set up sales office In Penang, Johor & East Malaysia To attain ISO 9000:2000 certification
Integrated logistic hub commence Operations, Sales points commence business in 4 countries, Additional 4 outlets in Malaysia, Total of 13 outlets to provide wider market coverage
To construct new Integrated logistic hub Increase stock capacity Reduce order lead time
Q2 2008
Q3 2008
Q4 2008
Q1 2009
Q2 2009
Q3 2009
Q4 2009
2010
Year
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Goals
Prepared By :
Steven
Action Plan Main task A. Widen product range Sub-task 1. 2. 3. 4. 5. 6. Source one new product - Torx screw Find suppliers Requisition for sample Product training for staff Market new product Review of sales result Jul X X Aug
2007 Sep Oct Nov Dec By Whom Team Michael Steven Team Michael Micheal / CG Remark
X X X X X X X
1. 2. 3. 4. 5.
Target new sales area - Pasir Gudang List potential customers and contacts Train sales staff Make sales calls and visit Review of sales performance
X X X X X X X X X X X
1.List of old stock 2. Review pricing of old stock 3. Approval for sales of old stock 4. List target customers for old stock 5. Contact target customers and sell 6. Review of sales performance
X X X X X
X X
X X
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NetFoodasia
Case Study #4
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Four friends got together in 1998 to develop a portal to assist restaurateurs / chef with their purchasing operation.
One of the founder, a chef by professional realize that he needs to prepare and sent out purchase orders every night to his suppliers, a process that take more than an hour per night. There is need to simplified this process hence Netfoodasia was born.
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Phase 1 Informational
Information Job Opportunities Student Placement Events / Activities Forum Search News New Development Criteria for Phase 1 on-time information attractive appearance interactive nature interesting/relevant content fast access
Phase 2 Transactional
Advertising
Banners
Fee
Revenue Model
Payment
e-Shop
Subscription
Discussion
Guan Xi
Discussion
Guan Xi
network
Interest Groups
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Guan Xi
Undivided attention
Preferably enjoyable
Successful Networking
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Values
Trust
Values
Trust
Support
A good relationship is like an equilateral triangle
Support
But sometime the relationship is like an isosceles triangle
Values
Trust
When the triangle is broken Closing the triangle will require time and events
Support
2. Maintain professionalism
a. Never bad mouth anyone b. Watch what you said to anyone, the world is a small place. c. Never talk in a lift, you never know who is listening d. Said what is good, may not be right
4. Maintain status
a. Never be out of your circle of contacts and lost you b. Constantly work on widening your contacts and find new Guan Xi
(relationship)
Business Entertainment
Discussion
Business Entertainment
Objective What you want to get out of it? Whats the budget?
Who you are entertaining? Status - Theirs and Yours Type of Industry With or without family
Duration
80
Business Entertainment
Time of the Day
Daytime Golf Yachting / Fishing Johor Singapore Southern Islands S$40 per game S$100 per game Half day - $800 for a 30 footer Luxury 100 footer about $10,000 including meal $200 per person per session
Location
Cost
Spa Night Dinner Casual Fine After Dinner Clubbing Massage Parlour Karaoke
St James / Mohammad Sultan / Clarke Quay Clean & Special High Class to Geyland Area
$30 - $200 per person per night out Foot reflexology $40 per hour Full Body $60 - $100per one hour Hourly Rate - $50 to $300 per sitting Butterfly - $20- $50 Liqueur - $300 to $800 per bottles Time Booking - $200 to $300 From $50 to $2000 excluding rooms
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Interaction
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policy
Profit?
process
people
Background Reading
Confidence by Rosabeth Moss Kanter Enterprise & Small Business by Michael Schaper & Thierry Volery
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