Hello i need help with question 3 a and 3b could you help me answer boh thanks for your time and help

Karyn is not sure about the crucial role that a business plan and a cash flow forecast could play towards the success of her business.

3.A Evaluate the benefits to Karyn of preparing a detailed business plan as well as accurate cash-flow forecasts and budgets prior to approaching the bank for a loan.

.3. B Clearly indicate some of the information you would expect to see in both documents. (5 marks)

Karyn Mooney wants to open her own restaurant called Karyn's Kanteen (Eat As Much As You Can), which will offer a range of local, continental and oriental dishes for its customers. She wants to open the new restaurant in Guildford and has cited the fact that she is passionate about cooking and providing quality food for customers as the main reasons for deciding it would be easy for her to operate a restaurant. Karyn has never run her own business before Karyn is going to arrange a meeting with the bank to try and organise a loan to help fund her new business. Karyn has put together the following basic financial information regarding the estimated costs of the new restaurant. i. Cost to purchase a new building in Guildford 300,000 with extra cost to make the building suitable for restaurant use being 25,000 ii. Cost to rent a building (suitable for a restaurant) in Guildford 3,250 per month iii. Purchase of new furniture and equipment including ovens will cost 60,000 iv. Fixed costs are estimated to be 2,500 per month v. New staff will be paid 24,000 per annum each - she thinks 3 members of staff will be needed and she will cook the meals and manage the restaurant by herself Karyn hopes to generate around 10,000 per month income from the restaurant in the first quarter ( 3 months) and she expects that this will rise to around 16,000 per month as the restaurant starts to attract more customers from the second quarter onwards. Karyn Mooney wants to open her own restaurant called Karyn's Kanteen (Eat As Much As You Can), which will offer a range of local, continental and oriental dishes for its customers. She wants to open the new restaurant in Guildford and has cited the fact that she is passionate about cooking and providing quality food for customers as the main reasons for deciding it would be easy for her to operate a restaurant. Karyn has never run her own business before Karyn is going to arrange a meeting with the bank to try and organise a loan to help fund her new business. Karyn has put together the following basic financial information regarding the estimated costs of the new restaurant. i. Cost to purchase a new building in Guildford 300,000 with extra cost to make the building suitable for restaurant use being 25,000 ii. Cost to rent a building (suitable for a restaurant) in Guildford 3,250 per month iii. Purchase of new furniture and equipment including ovens will cost 60,000 iv. Fixed costs are estimated to be 2,500 per month v. New staff will be paid 24,000 per annum each - she thinks 3 members of staff will be needed and she will cook the meals and manage the restaurant by herself Karyn hopes to generate around 10,000 per month income from the restaurant in the first quarter ( 3 months) and she expects that this will rise to around 16,000 per month as the restaurant starts to attract more customers from the second quarter onwards