W7 Human Business Plan Assignment

.docx
Marshall Walker BUSS100 - Business Principles 1. Two essential components of a business plan are the Executive Summary and the Market Analysis. The Executive Summary is a brief overview of the entire business plan. It provides a concise summary of the key points of the plan, including the company's goals, strategies, and financial projections. The Executive Summary is necessary in a business plan because of the following: It gives potential investors or lenders a quick overview of your business. The executive summary should be a concise and well-written document that highlights the key points of your business plan. This will help potential investors or lenders quickly understand your business and whether or not it is a good investment or loan. It helps potential investors or lenders decide whether or not to read your entire business plan. If the executive summary is well-written and persuasive, potential investors or lenders will be more likely to read your entire business plan. The Market Analysis section provides an in-depth analysis of the market in which the company operates. It includes information on the target market, competitors, industry trends, and customer needs. The market analysis is important for the following reasons: It helps you understand your target market. This will help you create products or services that your target market wants and needs. It helps you identify your competition. This will help you understand what your competitors are doing well and where you can differentiate yourself. These two components are necessary for a business plan because they provide a clear and concise overview of the company's goals and strategies, as well as a detailed analysis of the market in which it operates.
2. Two financial components that must be included in a business plan are the cash-flow statement and the income statement . The cash-flow statement shows how cash flows in and out of the company over a period of time. It provides information on the company's operating activities, investing activities, and financing activities. Here are the reasons why the cash-flow statement must be included in a business plan: It provides a detailed overview of your business's cash flow. The cash-flow statement shows how much money your business is bringing in and how much money it is spending. This information is important for understanding your business's financial health and making sound financial decisions. It helps you identify potential cash flow problems. The cash-flow statement can help you identify potential cash flow problems early on, so you can take steps to address them. For example, if you see that your business is spending more money than it is bringing in, you may need to cut costs or increase sales. The income statement shows the company's revenues, expenses, and net income over a period of time. It provides information on how much money the company is making or losing. Here are the reasons why the income statement must be included in a business plan: It provides a snapshot of your business's financial performance. The income statement shows how much revenue your business generates and how much expenses you have. This information can help you track your business's progress over time and identify any areas where you need to make improvements. It helps you identify potential problems. The income statement can help you identify potential problems early on, so you can take steps to address them. For example, if you see that your business's profits are declining, you may need to make changes to your pricing or marketing strategy.
Uploaded by modestdartey on coursehero.com