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ENTREPRENEURSHIPSCHEDULEBLOCK4

Task

Classtopic

Welcomebacktoclasses!Scheduleforblock4!
Class
Article#1:CompanyDescription(Mission+Vission)
Participation
Timetoworktowardsfinalproject:Settingteamsanddivisionoftasks,
Definingproducts/service/marketanalysis

Homework:Search2companiesthatstartwiththesameletterasyour
Class
name.Writetheirmissionandvisionstatements.
Participation
ComereadingArticle#2:OrganizationandManagement
Timetoworktowardsfinalproject:marketingstrategy
ComeReadingArticle#3:Financials
Homework
HomeworkPrintouttheexamplesoffinancialstatementspaper(Bringto
class)
Timetoworktowardsfinalproject:Writingfinancials

DueDate
October12

October13/15

October19

Class
ComereadingArticle#4FundingRequirements
Participation Timetoworktowardsfinalproject:Writingfinancials

October20/22

Quiz+Class Quiz:articles(14)
Participation WritingtheBusinessPlan:
WritingFundingrequirement

October26

Group
activity

ProjectPresentation:BusinessPlan
Part1:GroupActivity(Folder)
(1point)Executivesummary.
(1point)MarketAnalysis
(1point)CompanyDescription
(1point)OrganizationandManagement
(1point)MarketingandSalesStrategy
(1point)ServiceorProductline
(1point)Financialsummary.
(1point)FundingRequirement
(1point)Presentation:Coverpage,folder,printed
(1point)OverallGrammar

Part2:IndividualParticipation(presentation)
(2points)Areyoufluent?Didyourehearseyourcontent?
(2points)AreyourBodyLanguageandexpressionsproper?
(2points)DidyouhaveVisualAids?
(2points)Wereyouorganizedinyourpresentation?
(1point)Didyoupreparedbeforehandallyourmaterial?
(1point)PeerEvaluation

October27/29

Resources:
http://www.huffingtonpost.com/maryellentribby/theeightkeyelementsof_b_3623800.html
http://accountingsimplified.com/financial/statements/types.html#sthash.vyN0BuhR.dpuf

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ARTICLE#1:CompanyOverview
A
companyoverview
(alsoknownas
company
informationora
company
summary)isanessentialpartofa
business
plan.Your
companyoverview
shouldbeexactlywhatitsoundslike:an
overview
containingallofthemost
importantpointsaboutyour
company
.Itusuallyappearsaftertheexecutivesummary.

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ARTICLE#2:OrganizationManagement

https://www.sba.gov/content/organizationmanagement

OrganizationandManagementfollowsthe

MarketAnalysis
.Thissectionshouldinclude:yourcompany'sorganizational
structure,detailsabouttheownershipofyourcompany,profilesofyourmanagementteam,andthequalificationsofyour
boardofdirectors.
Whodoeswhatinyourbusiness?Whatistheirbackgroundandwhyareyoubringingthemintothebusinessasboard
membersoremployees?Whataretheyresponsiblefor?Thesemayseemlikeunnecessaryquestionstoanswerina
oneortwopersonorganization,butthepeoplereadingyourbusinessplanwanttoknowwho'sincharge,sotellthem.
Giveadetaileddescriptionofeachdivisionordepartmentanditsfunction.
Thissectionshouldincludewho'sontheboard(ifyouhaveanadvisoryboard)andhowyouintendtokeepthemthere.
Whatkindofsalaryandbenefitspackagedoyouhaveforyourpeople?Whatincentivesareyouoffering?Howabout
promotions?Reassureyourreaderthatthepeopleyouhaveonstaffaremorethanjustnamesonaletterhead.

OrganizationalStructure
Asimplebuteffectivewaytolayoutthestructureofyourcompanyistocreateanorganizationalchartwithanarrative
description.Thiswillprovethatyou'releavingnothingtochance,you'vethoughtoutexactlywhoisdoingwhat,andthere
issomeoneinchargeofeveryfunctionofyourcompany.Nothingwillfallthroughthecracks,andnothingwillbedone
threeorfourtimesover.Toapotentialinvestororemployee,thatisveryimportant.

OwnershipInformation
Thissectionshouldalsoincludethelegalstructureofyourbusinessalongwiththesubsequentownershipinformationit
relatesto.Haveyouincorporatedyourbusiness?Ifso,isitaCorScorporation?Orperhapsyouhaveformeda
partnershipwithsomeone.Ifso,isitageneralorlimitedpartnership?Ormaybeyouareasoleproprietor.

BoardofDirectors'Qualifications
Themajorbenefitofanunpaidadvisoryboardisthatitcanprovideexpertisethatyourcompanycannototherwiseafford.
Alistofwellknown,successfulbusinessowners/managerscangoalongwaytowardenhancingyourcompany's
credibilityandperceptionofmanagementexpertise.
Ifyouhaveaboardofdirectors,besuretogatherthefollowinginformationwhendevelopingtheoutlineforyourbusiness
plan:

Names

Positionsontheboard

Extentofinvolvementwithcompany

Background

Historicalandfuturecontributiontothecompany'ssuccess

ARTICLE#3:Financials
http://accountingsimplified.com/financial/statements/types.html#sthash.vyN0BuhR.dpuf

A
financialstatement
(or
financial
report)isaformalrecordofthe
financial
activitiesandpositionofabusiness,
person,orotherentity.Relevant
financial
informationispresentedinastructuredmannerandinaformeasyto
understand.

FourTypesofFinancialStatements
Thefourmaintypesoffinancialstatementsare:
1. StatementofFinancialPosition:
StatementofFinancialPosition,alsoknownastheBalanceSheet,presents
thefinancialpositionofanentityatagivendate.Itiscomprisedofthefollowingthreeelements:
3

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Assets:
Somethingabusinessownsorcontrols(e.g.cash,inventory,plantandmachinery,etc)
Liabilities:
Somethingabusinessowestosomeone(e.g.creditors,bankloans,etc)
Equity:
Whatthebusinessowestoitsowners.Thisrepresentstheamountofcapitalthatremainsinthe
businessafteritsassetsareusedtopayoffitsoutstandingliabilities.Equitythereforerepresentsthe
differencebetweentheassetsandliabilities.

2. IncomeStatement:
IncomeStatement,alsoknownasthe
ProfitandLossStatement,
reportsthecompany's
financialperformanceintermsofnetprofitorlossoveraspecifiedperiod.Income Statementiscomposedof
thefollowingtwoelements:
Income:
Whatthebusinesshasearnedoveraperiod(e.g.salesrevenue,dividendincome,etc)
Expense:
Thecostincurredbythebusinessoveraperiod(e.g.salariesandwages,

depreciation
,rental
charges,etc)Netprofitorlossisarrivedbydeductingexpensesfromincome.

3. CashFlowStatement:
CashFlowStatement,presentsthemovementincashandbankbalancesovera
period.Themovementincashflowsisclassifiedintothefollowingsegments:
OperatingActivities:Representsthecashflowfromprimaryactivitiesofabusiness.
InvestingActivities:Representscashflowfromthepurchaseandsaleofassetsotherthaninventories
(e.g.purchaseofafactoryplant)
FinancingActivities:Representscashflowgeneratedorspentonraisingandrepayingsharecapitaland
debttogetherwiththepaymentsofinterestanddividends.
Seemoreat:http://accountingsimplified.com/financial/statements/types.html#sthash.vyN0BuhR.dpuf

4.StatementofChangesinEquity
StatementofChangesinEquity,alsoknownasthe
StatementofRetained
Earnings
,detailsthemovementinowners'equityoveraperiod.Themovementinowners'equityisderivedfromthe
followingcomponents:
NetProfitorlossduringtheperiodasreportedinthe

incomestatement
Sharecapitalissuedorrepaidduringtheperiod
Dividendpayments
Gainsorlossesrecognizeddirectlyinequity(e.g.revaluationsurpluses)
Effectsofa

changeinaccountingpolicy
or

correctionofaccountingerror

LinkbetweenFinancial
Statements

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EXAMPLESOFFINANCIALSTATEMENTS

source:http://www.agni.com/financial/UnAudited%20Financial%20Statements%20for%20the%20half%20year%20ended%2031st%20Dec.2010.gif

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ARTICLE#4:FundingRequirements

fyouareseekingfundingforyourbusinessventure,usethissectiontooutlineyourrequirements.
Yourfundingrequestshouldincludethefollowinginformation:

Yourcurrentfundingrequirement

Anyfuturefundingrequirementsoverthenextfiveyears

Howyouintendtousethefundsyoureceive:Isthefundingrequestforcapitalexpenditures?
Workingcapital?Debtretirement?Acquisitions?Whateveritis,besuretolistitinthissection.

Anystrategicfinancialsituationalplansforthefuture,suchas:abuyout,beingacquired,debt
repaymentplan,orsellingyourbusiness.Theseareasareextremelyimportanttoafuturecreditor,sincethey
willdirectlyimpactyourabilitytorepayyourloan(s).
Whenyouareoutliningyourfundingrequirements,includetheamountyouwantnowandtheamountyouwantinthe
future.Alsoincludethetimeperiodthateachrequestwillcover,thetypeoffundingyouwouldliketohave(e.g.,equity,
debt),andthetermsthatyouwouldliketohaveapplied.
Tosupportyourfundingrequestyoullalsoneedtoprovide
historicalandprospectivefinancialinformation
.
Onceyouhavecompletedyourfundingrequest,moveontothenextpartofyourplan

FinancialProjections
.