1. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-1 chapter Your Great Adventure: Exploring Your Options 1 1 Prepared by Ron Knowles Algonquin College

2. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-2 Business Plan Building Block Chances are, you will  own your own business, or  work for a smaller firm. Chapter 1 will  Get you started on the rationale and introduce you to the basic building blocks of a business plan.  Help you discover your entrepreneurial bent.  Help you explore your career options. chapter 1 1

3. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-3 Learning Opportunities Identify the role, skills, and characteristics of successful Canadian entrepreneurs. Discover why you might want to become an entrepreneur. Identify your entrepreneurial quotient. Understand what it takes to be an entrepreneur and intrapreneur. Understand the meaning of the terms mico and small business.

4. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-4 Learning Opportunities Use mind maps to help you decide on the life you want. Discover what success means to you. Understand the rationale for a business plan and list the main components. Improve your research and information-gathering skills.

5. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-5 Small Business Entrepreneurs Are... The fuel of our private enterprise system. Visionary self-starters who love the adventure of a new enterprise. Agents of change with POP. They are Passionate, Opportunistic and Persistent Doers, who see a market need and satisfy that need by translating it into a successful business.

6. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-6 Successful Entrepreneurs Are… Passionate Opportunistic Persistent Visionaries Goal-oriented Independent thinkers Idea generators People-oriented Sharing Doers Moderate risk-takers

7. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-7 Rev Up We encourage you to: Organize your personal and business ideas in a 24/7 Adventure Notebook (Action Step 1) Find out why you want to be an entrepreneur (Action Step 2) Assess your interests and abilities (Action Step 3 & Action Step 4)

8. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-8 Down the road…  You may find yourself working for a large company; or better still owning your own large company. Enter the Intrapreneur

9. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-9  You are still going to have to foster entrepreneurship  Making change in a large company is called intrapreneurship.  As an intrapreneur you will have to stimulate, empower, and reward your employees to be entrepreneurial, and:  Find opportunities  Take risks  Brainstorm for new ideas  Set goals  Take ownership Enter the Intrapreneur

10. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-10 Idea Generator Mind Mapping mind mapA mind map is an idea-generating sketch that features circled words connected by lines to form units Mind mapping is a form of doodling— to generate ideas.

11. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-11 Inc. Yourself What does success means to you?What does success means to you? Think of yourself as a product you want to create.Think of yourself as a product you want to create. Create your own mind map—one that depicts the life you want.Create your own mind map—one that depicts the life you want. Discover what success means to you. (Action Step 5)Discover what success means to you. (Action Step 5)

12. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-12 Idea Generator Mind Mapping Mind mapping works like this: 1. Write down your vision and goals in the centre of a page and draw a circle around the key words. 2. Every time you get an idea related to this vision or theme, write it down, circle it, and draw a line connecting it to the theme. 3. Keep adding new ideas to your mind map. Before you know it, you have a gigantic spider web or idea-tree full of opportunities (see Figure 1.5).

13. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-13 What is Small Business? ▪ A firm that is independently owned and operated and is not dominant in its field of endeavour. ▪ Any venture with spirit, any business you want to start, or any idea you want to bring into the marketplace. ▪ A small business would normally employ anywhere from 1 to 20 employees—about 85 percent of all businesses in Canada today.

14. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-14 What is a Business Plan? ·A written summary of: Your business goals.Your business goals. The resources you will need.The resources you will need. How you intend to organize your resources to meet personal and business objectives.How you intend to organize your resources to meet personal and business objectives. ·A blueprint or road map for operating your business start-up and measuring progress.

15. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-15 A Business Plan – Why Bother? A business plan is important because it:A business plan is important because it: Lays out goals.Lays out goals. Provides an organizing tool.Provides an organizing tool. Acts as a financial guide.Acts as a financial guide. Helps obtain advice.Helps obtain advice. Helps secure investment.Helps secure investment.

16. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-16 Broad Components of the Business Plan Cover Sheet  Table of Contents  Executive Summary or Statement of Purpose  Description of the Business: The product or service The market and the target customer The competition Marketing strategy Location Management and form of ownership Personnel  Financial Section:  Projected cash flow (monthly, first year)  Projected income statement  Projected balance sheet

17. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-17 Conducting Research Market Research Collection and analysis of data pertinent to an existing or potential market Three Main Research Approaches 1. Primary Research 2. New-Eyes Research 3. Secondary Research

18. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-18 Three Main Research Approaches 1.Primary Research Involves interacting with the world through interviews, observation, etc. (Action Step 6) 2. “New-Eyes” Research Involves the use of intuition and observation to learn things about the marketplace. (Action Step 7) 3.“Secondary Research Involves referring to someone else’s primary research. (Action Step 8)

19. Copyright © 2007 by Nelson, a division of Thomson Canada Limited. Chapter 11-19 Checklist and Actions to Develop Your Business Plan  Are you organized? Do you have a central deposit for all you ideas?  Do you have what it takes to be an entrepreneur?  Have you assessed your interests, abilities, and weaknesses as they relate to owning a business?  Have you assessed your past accomplishments and shortcomings?  Do you have a list and a plan of new skills you will have to work on?  Is your family or those you live with “on board”?  Are you prepared to take the time and do the research to write a business plan?  Have you interviewed entrepreneurs to see what it is really like to be in business for yourself?  Do you have any business ideas which you are passionate about?