Review: Business Planning Test

Why is it important to have a business plan?

• To clearly identify in writing all aspects of your business

• To increase the risk

• To avoid showing to potential investors

• To reduce the clarity of business aspects

What is one of the purposes of a business plan?

• To show to potential investors

• To hide from potential investors

• To increase business risks

• To avoid writing business aspects

Which of the following is NOT generally a component of a Business Plan?

• Executive Summary

• Business Description

• Marketing Plan

• Product Inventory

What component of a Business Plan outlines the company's goals and how they will be achieved?

• Executive Summary

• Goals and Objectives

• Financial Plan

• Organizational Plan

Which component of a Business Plan provides a high-level overview of the business?

• Business Description

• Marketing Plan

• Executive Summary

• Financial Plan

In a Business Plan, which component details the structure and management of the business?

• Organizational Plan

• Financial Plan

• Marketing Plan

• Business Description

What is the purpose of a Mission Statement in an Executive Summary?

• To provide a detailed financial analysis

• To clearly define what the business is about

• To list the company's products

• To describe the company's marketing strategy

How is the summary of each aspect of a business plan usually presented in an Executive Summary?

• In paragraph format

• In a narrative format

• In bulleted format

• In a graphical format

What are the three main components of a business description?

• Products or services, creators of the business, location of the business

• Marketing strategy, financial plan, location of the business

• Creators of the business, financial plan, marketing strategy

What information about the creators of the business is usually provided in a business description?

• Titles and responsibilities, experience

• Marketing strategy, financial plan

• Products or services, location

• Titles and salaries, number of employees