Exam 12: Developing an Effective Business Plan

An investment prospectus is the same as a business plan.

The second section of a business plan is

It is important that an entrepreneur

Which of the following is something an entrepreneur should not do when preparing for the oral presentation of a business plan?

An entrepreneur is much better off preparing his or her own business plan rather than hiring someone else, even if more experienced, to prepare it.

Entrepreneurs can best orient their plans toward the future by

A critical point to be included in the business description is

It is important for the entrepreneur to have a harvest strategy segment in a business plan in order to

A financial source that reads a business plan derives which of the following beneficial information?

The day before the presentation, the entrepreneur should

The pro forma balance sheet is used in the critical risk segment of the business plan.

A business plan should illustrate

After delivering a pitch, it is not acceptable to question venture capitalists who turn down a funding opportunity.

Which of the following is not an important aspect of an entrepreneurial venture that must be described in a business plan?

What is the basic structure of a business plan?

A lack of demonstrated experience, no clear market niche, a failure to anticipate roadblocks, no realistic goals set, and a lack of commitment are all potential pitfalls or common points of failure that can occur before an entrepreneur even gets a plan reviewed.

Which of the following is part of the marketing segment?

A market niche is a homogeneous group with common characteristics (i.e., all the people who have a need for a newly proposed product or service).

Which of the following is an advantage of the business plan for financial sources?

The entrepreneur should expect to encounter a friendly and supportive audience when presenting the business plan to potential financial sources.