Business Planning

What is a business plan?

• Written document that only outlines the business practices of the new business.

• Written document that describes the financial aspects of the business.

• Written document that only describes the ownership of the business.

• Written document that describes all the steps necessary for opening and operating a successful business.

Why do you need a business plan?

• To explain your idea

• the ability to get financing.

• it's a road map that sets objectives and goals for the business.

• To help reduce the risk of business failure.

• All of the above.

In which of the following situations is a business plan considered to be unessessary

• Establishing a business

• Planning for the next 5 years

• Organising business expansion

• Managing the cash flow for a business

Which of the following statements is true?

• A strategic plan is a short term plan of action for a business

• A tactical plan is a long term plan of how the strategic plan is to be achieved

• An operational plan is to do with the day-to-day running of the business

• None of the above

What does the acronym SWOT stands for?

• Strengths, Weaknesses, Obligations, Threats

• Strengths, Weaknesses, Opportunities, Threats

• Strengths, Weak points, Opportunities, Threats

• Strengths, Weaknesses, Opportunities, Time

How many components are there in a business plan?

• 10

• 14

• 11

• 12

What is meant by the term "mission statement"?

• A broad statement of a business purpose and goals/objectives

• A plan of action for future years

• A plan of missions in overseas markets/countries

• Statement read by a business's CEO during a press conference

Looks at likely risks to the business

• Insurance and risk management

• Business Profile

• Marketing Plan

• Financial Section

Operating history is most likely to be found in

• Executive Summary

• Operations Plan

• Marketing Plan

• Business Profile

_________________ enables a quick appraisal of the proposal by the interested parties who are reading the document.