Lim Sei cK

 Trade of goods  Trade of services  MAIN objective: Making profit

 RIGHT BUSINESS IDEA!  Simple idea, a solution to a problem or a dream in someone’s head

 What do they have?  PASSION  EG: Software (Bill Gates), Real Estate (Donald Trump), Entertainment (Walt Disney)  What else?

 Skills! Good cook  open café Good mechanic  open garage Good teacher  open tuition school

 What type of business?  Nature of business?  Name?  Location?  Resources?  Cost of product / service?  Price?

Which type suits your business idea? Sole proprietorship? Partnership? OR others?

 MAX 8 per group.  Group leader? CEO? Boss?

 Planning is a process leading to the formulation of a plan  A plan is the outcome of the planning process  The planning process (thinking, researching, consulting, discussing) is at least as important as the final written plan

 A report showing the plans of the business, often used to attract finance from investors and creditors  A document that is designed to provide information about a new business or venture to persuade financial backer to invest in a business  The business plan describes out the market opportunities the business intends to exploit, how it will do so and what resources are required

A business plan is essential to:  Persuade people to invest in an enterprise  Convince creditors about the credit worthiness of the enterprise

 Demonstrate the lender/investor has a good chance of being repaid or getting a good return on their investment  Build confidence about the firm and owners’ capabilities  Demonstrate that there is a good market for the product or service

 Clarify objectives  Provide a sense of direction, purpose and urgency  Plan all aspects and ensure that nothing is overlooked  Provide a checklist to help run and control the business  Monitor progress and success

 Improve performance  Improve motivation and communication  Allocate responsibility  Better control and co-ordination and greater consistency  Failing to plan makes an organization reactive, vulnerable to threats and closed to opportunities

 Failing to plan in the first place  Shrugging off values and vision - these are there to remind the entrepreneur where he/she wants to go  Underestimating the competition  Ignoring the firms own strengths and weaknesses  Mistaking a budget for a plan  Shying away from reasonable risk  Forgetting to motivate and reward

 Select One viable idea  Select One idea for contingency  Identify and embed a social responsibility of a business  Write a short business proposal  Make oral presentation