Exam 8: New Business Planning Process: Feasibility Analysis,business Modeling,

________ are long-range,broad statements of what the company plans to accomplish in the distant future,and they guide the overall direction of the company.

What is the synonym for capacity?

A benefit is what the customer gains from the product or service feature.

A business plan should always have a cash flow projection.

In the marketing strategy portion of the business plan,the entrepreneur should explain the promotional strategy,pricing strategy and distribution strategy.

The ________ becomes the document that summarizes the analysis that has been done to justify a new business.

Outline the elements of the feasibility plan with a one to two sentence explanation of each element.

The business plan presentation should be slow,methodical,and detailed to show the depth of understanding and preparation the entrepreneur has gone to.

In the business strategy section of the business plan,the owner needs to explain to investors:

The ________ is the first part of the business plan.It summarizes all the relevant points of the deal,but it should be the last part written.

The "competitor analysis" section of the business plan is optional since few lenders and investors are concerned about a small company's rivals in the marketplace.

A common reason cited by banks which reject small business loan applications is "undercapitalization or too much debt."

To summarize the presentation to each potential financial institution or investor,the entrepreneur should write an executive summary.It should be concise-a maximum of four pages-and should summarize all of the relevant points of the proposed deal.

A business plan:

Proving that a profitable market exists involves:

General requests for funds e.g. ,"working capital" are sufficient for most loan offices.

An explanation of how the product will be distributed is contained within the:

Defining the target market's potential and describing its characteristics is part of the:

The conditions in the business environment have little influence on lenders' decision to invest in a business start-up.

A solid business plan is marked by a number of characteristics including: