Hi, I would appreciate if if you could help me with the following by Tuesday, July 9.
Question:
Hi, I would appreciate if if you could help me with the following by Tuesday, July 9.
Thanks.
Pick a business plan (could be any business plan that interest you) and do only 'accounting portion' . Just brief description of the business plan.
And then describe:
Why you picked this business
Some basic info about the business's market, location, and competition
Why his business would be profitable
How your financial decisions will affect the business
Then, the portion of the financial planning part
1. Startup Cost Analysis, include a detailed list of how much it will cost to start the business.
and most, if not all, of the following: cost of property, buildings, machinery, equipment, planning, legal fees, consulting fees, and one year of operational costs.
2. Cost/Benefit Analysis section, perform an analysis of the advantages and disadvantages of the business. Determine if your business is a sound investment decision (justification/feasibility) by conducting a SWOT analysis, and compare the total expected cost (disadvantages) of each against the total expected benefits (advantages) to see whether the benefits outweigh the costs and by how much.
3. Breakeven Analysis In this section, you will perform a basic breakeven analysis. Estimate basic variable and fixed costs that will accrue in operations, and then compare this to how much revenue (units that need to be sold) is needed to cover these costs. This should include your basic operational costs (e.g. salaries, rent, utilities, product costs, etc.). Be sure to include calculations and a graph showing your breakeven analysis.
4. Cost-Volume-Profit (CVP) Analysis In this section, you will perform a CVP analysis and investigate the outside factors that may influence your breakeven point. Identify 2-4 qualitative factors that can vary between your base case (the breakeven analysis) and changes to this base case.
You also need to weigh the pros/cons of each of the outside factors. These outside factors can include changes of location, changes in competition, or changes in outside market factors (e.g. stock market, oil prices, commodities, or anything that can affect revenue for your business). Be sure to include calculations and graphs for CVP analysis.
5. Pro-Forma Financial Statements In this section, you will create pro-forma financial statements in which you will estimate the financial operations of your business. This will include a pro-forma income statement, pro-forma statement of cash flows, and a pro-forma balance sheet. For each of these, project out for three years (all three years can be listed on one statement). Although these values are estimations, they can help predict how successful the business will be.
6. discuss whether the business will be as profitable as you first expected. Why (or why not) and what can be done to improve the possible outcome.