State how the essentials components of a business plan and financial statements aid in a company’s success.
Added by Daniel K.
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It serves as a roadmap for the business, guiding decision-making and strategy implementation. Show more…
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Explain the components of a business plan
Nick J.
The type of service and/or product your company sells is going to determine the structure of your business plan. The essential components of most business plans are: Executive Summary, Business Description, Product/Service, Mission/Vision Statements, Market Analysis, Organization & Management Team, Marketing Techniques, Financial Summary, and Economic Principles. Select two different essential components and explain why they are necessary for a business plan. There are two key factors that will drive a business plan: the entrance into a market or expanding in a market. This is going to determine the financial needs, profits/losses, and projections of the business plan. The components of the financial section of a business plan are: a sales forecast, an expense budget, a cash-flow statement, a balance sheet, an income statement, a break-even analysis, and assets and liabilities. Select two financial components and provide their definitions. State why they must be included in a business plan. Submit this assignment as an essay of approximately 550 words in a Word document. Make sure you use complete sentences. Check your work for proper grammar and punctuation. There is no set format. However, in order to receive full credit, you must fully answer each question.
Akash M.
Defining Characteristics Business Plan Component Briefly describes the business concept and the business's major goals and objectives Defines the business type, the customers it serves, the products and/or services it offers, the number of individuals it employs, its market position, and so forth. Briefly describes how the company plans to organize its leadership team Defines the industry to which the business belongs, the major characteristics of the industry, and the strengths and weaknesses of the industry's major competitors. Describes the products and/or services the business is selling and why those products and/or services provide more value than those of the competitors. Examines the current marketplace and the need for the product and/or service being offered; should include a competitive analysis and data about customers. Describes detailed sales forecasts, promotion plans, and all scheduled advertising programs Describes the business practices a company intends to implement in order to achieve the highest level of organizational and operational efficiency in order to maximize profits Depicts such details as forecasted revenue over a period of time and funding committed by investors; also details the amount of capital required to continue operations
Recommended Textbooks
Horngren’s Cost Accounting
Cost Accounting A Managerial Emphasis
Principles of Accounting Volume 1: Financial Accounting
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