Business Plan Custom Essay

Assignment Brief
Unit Title:
Entrepreneurship and Small Business Management MAR 602-6
Assignment Title/No:
Business Plan Assessment

Submission instructions

Unit title must be included as a header/footer on every page.
Pages should be numbered.

Task
You have to write a business plan for either your own business or for one that you want to set up. Use as a model the specimen business plan in the Appendix C to Chapter 8 that is closest to your business

(retail, service or manufacture); prepare a business plan for your own business idea, using the pro forma available in Paul Burns’ Entrepreneurship and Small Business, pp.395-401. Whilst you do not have to

follow the precise format for a plan recommended in this text, you are expected to cover all the main elements of a plan, including financial forecasts for 3 years.

Guideline length: 5000 words

Format for submission
The word limit is 5000 words.
I need table of content for this assignment.
All work should be word processed using either Times New Roman or Ariel font, with line spacing of 1½ and justified.
A bibliography and referencing (where applicable) is essential.
Extent of collaboration allowed
Individual report
Assignment Detail
The theory : 1-
. There’s no need of describing the theory at its own
– The structure :2
Flexible. You can describe the theory you intend to use to support your standpoint, and then use practical situations to reinforce your work. There is no fix order to structure this assignment.
: The link between theory and cases- 3
Remember to relate the two together sufficiently! You need to relate the theory to evidence in your assessment. The evidence needs to be specific. Don’t use generalised and anecdotal evidence.
Use of literature: – 4
If you use any academic literature to back up your point of view, you are required to have proper in-text reference and the reference list in the end using the Harvard Referencing System.
: The writing- 5
Try to approach this assignment in a logical and systematic way. Produce a plan of the report before you start. Make sure you have a logical structure, a convincing argument, clear description of the situations

which ‘set the scene’, and clear explanation which relate to theories, and a conclusion that draws your argument together.
IMPORTANT: REFER TO THE MARKING CRITERIA IN YOUR STUDENT HANDBOOK FOR GRADING GUIDELINES
BUSINESS PLAN STRUCTURE
Business Name and Address:

____________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________
Proprietor’s Name and Address:

____________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________
Business Form: ___________________________________________________________
Business Activity:

____________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________
Vision and Mission statement:

____________________________________________________________________________________________________________________________________________________________

________________________________________________________________________________________________________________________________________________
PEST analysis:
Government support and rules and regulations:
Rationale for launching the business:
____________________________________________________________________________________________________________________________________________________________

________________________________________________________________________________________________________________________________________________
Market Size and Growth:
____________________________________________________________________________________________________________________________________________________________

________________________________________________________________________________________________________________________________________________
Selection of Location with reasons thereof:
____________________________________________________________________________________________________________________________________________________________

________________________________________________________________________________________________________________________________________________
Proposed Customers:
Competitor Analysis:
Name
Strengths
Weaknesses
Self Analysis:
Strengths
Weaknesses
Competitive Advantages:
________________________________________________________________________________________________________________________
____________________________________________________________________________________________________________________________________________________________

________________________________________________________________________________________________________________________________________________
Advertising and Promotion Strategy:
____________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________________________________________________________________________________

________________________________________________
Pricing Strategy:
____________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________________________________________________________________________________

________________________________________________
Various sources of finance available and the source selected by you with rationale.
____________________________________________________________________________________________________________________________________________________________

________________________________________________________________________________________________________________________________________________
________________________________________________________________________________________________________________________
Key People and Job Functions:
____________________________________________________________________________________________________________________________________________________________

________________________________________________________________________________________________________________________________________________
FINANCIAL PLAN
I. Sources of funds:
Loan –
Self – Cash
Self – Assets
II. Funding requirement/Applications:
Fixed Assets:
Formation expenses:
Working capital:
Stock:
III. Fixed Assets:
a. Machinery and Equipment:
No.
Machinery/Equipment
Price + Taxes
Qty. Required
Total Value
b. Premises:
____________________________________________________________________________________________________________________________________________________________

________________________
________________________________________________________________________________________________________________________
c. Raw Material (Stock)
No.
Item-Type
Qty. (Monthly/Annual)
Total Value
(Monthly/Annual)
d. Formation Expenses:
e. Working Capital for Expenses (and the period for):
IV. Product/Service Information (Sales forecast):
No.
Item
Quantity produced/Month
Projected sale /Month in value
V. Key People and Job Functions and Salary:
____________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________
VI. Key financial assumptions:
____________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________
Financial Highlights
(for the first 12 months)
Year 1
Year 2
Year 3
Year 4
Year 5
Turnover:
Profit:
Break even:
GP %
NP%
ROE%
ROCE%
Projected growth of turnover
Projected growth of NP
Gearing
Interest coverage
Forecast Income Statement
Business ____________________________________ Period : Five years
Year 1
Year 2
Year 3
Year 4
Year 5
Sales:
Less direct (variable) costs
Materials
Direct wages
Other
Total direct costs
Operating profit
Fixed costs (overheads):
Profoit before interest and tax
Interest
Profit before tax
Taxation
Profit after tax
Forecast Cash flow Statement
Business ____________________________________ Period : Five years
Pre-operating period
Year 1
Year 2
Year 3
Year 4
Year 5
Cash Receipts
Cash Sales
Collection form debtors
Capital
Loan
Others
Cash Payments
Cash Purchases
Payment to creditors
Capital expenses:
Revenue expenses:
Net cash flow
Opening cash
Overdraft or short term borrowings
Closing cash
Monthly Cash Flow Forecast
Month
1
2
3
4
5
6
7
8
9
10
11
12
Sales
Volume
Value
Receipts
Sales-cash
Sales-debtors
Capital introduced
Grants, loans etc
Total (X)
Payments
Materials
Wages/salaries
Electricity
Telephone
Advertising
Insurance
Transport/travel
Stationery/postage
Repairs/renewals
Local taxes
Professional fee
Other __________
Capital purchases
Loan repayments
Drawings/dividends
Total (Y)
Cash Balances
Cash Flow (X) – (Y)
Opening Balance
Closing Balance
Forecast Balance sheet
Business ____________________________________ Period : Five years
Sensitivity Analysis: (both positive and negative with detailed explanations like how will you over come negative factors):
1. Based on Sales:
2. Based on Direct cost:
Year 1
Year 2
Year 3
Year 4
Year 5
Non Current Assets
Current Assets
Total Assets
Capital:
Non Current Liabilities:
Current Liabilities:
Total: Capital + Liabilities:
3. Based on Indirect/fixed cost
4. Based on all the above factors:
Long term Strategy:

PLEASE TRY TO USE The essential textbook for this unit AND USE SOME OF the following resources
Essential Reading
The essential textbook for this unit, which you are strongly encouraged to buy, is:
Burns P (2010) ‘Entrepreneurship and Small Business: Start-up, Growth and Maturity’, Basingstoke: Palgrave-Macmillan.
Entrepreneurship and Small Business is written for both undergraduates and postgraduates, including students with no prior business experience or skills. It therefore covers these key skills in some depth. It is

primarily concerned with start-ups and early growth businesses although there is a chapter on family business. It looks at the contribution small firms make as well as the personality of the entrepreneur and how

they must change as the business grows. It does not contain anything about entrepreneurship in larger firms. However, it does contain chapters on the business plan and obtaining finance, which are important

elements of this module. The new recommended edition also contains an important chapter on Social Entrepreneurship as well.
Recommended Reading
You are also strongly encouraged to access and use the following resources:
Recommended further readings:
• Barringer, B. R. and Ireland, R.D. (2011), Entrepreneurship: Successfully Launching New Ventures, Pearson Prentice, London. (4th edition)
• Drucker, P. F. (2006), Innovation and Entrepreneurship: Practice and Principles, Heinemann, London.
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• Kirby D. (2003), Entrepreneurship, Maidenhead: McGraw Hill.
• Scarborough N.M. and Zimmerer T.W. (2011), Effective Small Business Management, Pearson Prentice Hall. (10th edition)
• Stutely, R. (2012), The Definitive Business Plan, FT Prentice, London. (3rd edition)
• Zimmerer T. W. and Scarborough N.M. (2010), Essentials of Entrepreneurship and Small Business Management, Pearson Prentice Hall. (6th edition)
Recommended Journals:
• Entrepreneurship & Regional Development
• Entrepreneurship Theory and Practice
• International Journal of Entrepreneurial Behaviour & Research
• International Journal of Entrepreneurship and Innovation
• International Small Business Journal
• Journal of Business Venturing
• Journal of Small Business and Enterprise Development
• Journal of Small Business Management
• Small Business Economics
• Strategic Management Journal
Internet Resources
The following websites and online resources also contain much that will help you as you study this module:
British Library websites:
https://www.bl.uk/business.html – business area of site
https://blpc.pl.uk – general catalogue
Other websites:
www.economist.com; www.ft.com
www.bestofbiz.com
www.rba.co.uk/sources/sme.htm
https://www.smeinstitute.org/
https://www.bus.brighton.ac.uk/research/smallbus.shtml
www.smallbusinessportal.co.uk
Harvard Business School Library (Baker Library) on-line catalogue
https://voyager.library.hbs.edu/cgi-bin/Pwebrecon.cgi?DB=local&PAGE=First
Foundations of Entrepreneurial Research: Hundreds of articles
https://www.babson.edu/entrep/fer/
Babson College Entrepreneurship and Small Business research
https://www3.babson.edu/eship/
Kauffman Centre
www.entreworld.com
Help and advice on setting up a business in the UK
These are the web links to the sources of help and advice cited in the ‘Checklist of regulations to be met in setting up a business in the UK’ , details of which are given on page 502 of Burns, P (2010)

Entrepreneurship and Small Business, Basingstoke: Palgrave.
.
Business Link
www.businesslink.gov.uk
Companies House
www.companieshouse.gov.uk
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Cooperatives
www.icof.co.uk
www.co-opunion.coop
Franchises
www.british-franchise.org
VAT & tax
www.hmrc.gov.uk
Health and Safety
www.hse.gov.uk
Fire certificate
www.fire.org.uk
Environment
www.defra.gov.uk
www.environment-agency.gov.uk
Employee rights
www.dti.gov.uk
Premises
www.startinbusiness.co.uk
Licences
www.environment-agency.gov.uk
www.vosa.gov.uk
www.culture.gov.uk/alcohol_and_entertainment
www.oft.gov.uk/Business/licence
www.ico.gov.uk
Selected web-sites
These are the links to the selected web sites, details of which are given on page 527 of Burns, P (2010) Entrepreneurship and Small Business, Basingstoke: Palgrave.
The Small Business Research Portal
www.smallbusinessportal.co.uk
Academic sites:
Global Entrepreneurship Monitor
www.gemconsortium.org
Babson College Centre for Entrepreneurship
www3.babson.edu/eship/
Information Centre for Entrepreneurship
www.bibl.hj.se/ice/
Centre for Entrepreneurial Leadership Clearinghouse on Entrepreneurship Education
www.celcee.edu
Practical information, help and advice:
UK Business Link
www.businesslink.gov.uk
UK Small Business Service
www.sbs.go.uk
The United States Small Business Association
www.sba.gov
The British Library Business & IP Centre
www.bl.uk/bipc
Business Help
www.bizhelp24.com
Enterweb
www.enterweb.org
Livewire Young Entrepreneurs
www.shell-livewire.org
Prince’s Trust
www.princes-trust.org.uk
Start-up Magazine
www.startups.co.uk
Start-up Journal
www.startupjournal.com
Business Plans:
Teneric
www.teneric.co.uk
Bplans
www.bplans.com
Businessplans
www.businessplans.org
Business-plans
www.business-plans.co.uk
Finance
Finding finance
www.money-off.co.uk
Fairinvestment
www.fairinvestment.co.uk
British Venture Capital Association
www.bvca.co.uk
European Venture Capital Association
www.evca.com
UK venture capital funds
www.growthbusiness.co.uk
Business Angels
www.bbaa.org
Business Angels
www.venturesite.co.uk
Firsts Tuesday
www.firsttuesday.com
Creativity
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Creax
www.creax.com
Family Business
The Family Business Network
www.fbn-i.org
International trade
The International Monetary Fund
www.imf.org
The World Trade Organisation
www.wto.org
The World Bank
www.worldbank.org
The United Nations Conference on Trade and Development
www.unctad.org
The International Chamber of Commerce
www.iccwbo.org
The Institute of International Economics
www.iie.org
The International Forum on Globalisation
www.ifg.org
Social entrepreneurship
Ashoka Changemakers
www.changemakers.net
Centre for Social Innovation
www.gsb.stanford.edu/csi/
Demos
www.demos.co.uk
DTI Social Enterprise Unit
www.dti.gov.uk/socialenterprise
Joshua Venture
www.jochuaventure.org/resources/soc-ent-resources.html
Social Entrepreneurship Monitor
(select ‘Documents’ then ‘UK’)
www.gemconsortium.org/default.asp
The Institute for Social Entrepreneurs
www.socialent.org
The National Centre for Social Entrepreneurs (USA)
www.socialentrepreneurs.org/
The School for Social Entrepreneurs (UK)
www.sse.org.uk
The Small Business Service Social Enterprise Unit
(select ‘Social Enterprise’)
www.sbs.gov.uk