Questions asked about business plan

Is transportation available and convenient?

10 critical questions for a business plan growthink

Conduct research through trade associations, your local chamber of commerce, libraries or even ask for the help of a SCORE counselor. What is the size of the market in terms of units?

Is your building suitable to your kind of business—will it need any major renovations?

Business plan questions and answers pdf

Will we generate the profits we need? How much are you going to sell for? But be advised that the Internet has also raised expectations about what great service should be. The financial section of your business plan also must address how much it will cost you to run your business, month by month, and how much you need to earn to meet your expenses and make a profit. Identify the differentiating factor that will allow you to stand out, and emphasize it. Unmotivated employees—Personnel are not encouraged to please the customer because there is no merit in it for them. Most people have a vague sense of what they do well and what they could do better. Every business faces challenges, especially in competitive markets or with technological change. Who else is an owner? Digital communications have greatly improved customer service for many businesses. Your business plan should acknowledge all the ways you plan to measure your success. It will point out specific months during the year when the business may experience operating cash shortfalls and, therefore, either require additional capital or excess cash reserves for payment of expenses. You may find that every time you go to your bank you speak to a different loan officer, so you should know them all.

Remember, there is no right or wrong answer, but addressing these questions will help you build a roadmap for your business. What percentage of the market do you have?

Questions asked about business plan

Is it the lush green attractive lawn, or the prestige of having the best looking lawn on the street, or a durable play area for the dogs and kids? Who needs your product or service? Think about factors like age, sex, education, geographic location, working status, marital status, and perform some preliminary market research to determine the best path forward. Price—How much can you charge? You can reach your customers these days in more ways than ever before, ranging from billboards, shop signs, newspaper ads, websites, e-newsletters, tweets, mass mailings, Facebook posts, and more. Now, with the advent of cloud storage, it also provides a place for people to store their books and music. The primary purpose of the business plan is to guide the owner or manager in successfully operating the business. Are those sites better or worse than yours? This is where you have to sell yourself.

Otherwise, people will never know who you are. How large is the potential target market in units or dollars?

Multiple choice questions on business plan

Your business plan should describe in detail the particular challenges you face and how you plan to overcome them. If I am not planning to apply for a bank loan, why do I need a business plan? How will you measure success? These questions should give you an idea exactly how much capital and what resources you need initially. How do I determine whether I am capable of starting a business? Every business faces challenges, especially in competitive markets or with technological change. Even small companies often have to give some thought to defining what their business is. Introduce and describe the business itself. What is your assumptions on the bad debt and collection period for outstanding receivables? Do you need any advanced equipment? Newtek is a brand of Newtek Business Services Corp. Willingness to sacrifice—If you enjoy working the nine to five, do not go into business for yourself. Then it morphed into a vast online discount retailer, selling everything from food to clothing. A lot of clever websites found themselves scrambling for a way to pay the bills.

Is the competition highly concentrated or highly fragmented?

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A BUSINESS PLAN CHECKLIST: KEY QUESTIONS TO ANSWER