For several months, three friends had been thinking about starting their own business. Casper Hills, Linda Brown and Joe Summers had talked about running their own business for a long time, but nothing had gone much further than a talk during lunchbreaks now and then. Finally, in May 2021, Linda Brown rang her two friends and decided to take action. I have an idea for a business, she told them. Well call it A+ Business Consulting Pty Ltd. Since I have a lot of business experience, I will run it and I will be the starting point for the venture. If you are prepared to put in some money and a little bit of time serving as directors, I think we can eventually grow this into something bigger. Casper and Joe were intrigued. What do we have to do?, they asked. Not much at present, Linda said. Let me do a draft proposal and then we can meet to discuss it. Two weeks later, they met to discuss the results so far. Linda had exhausted herself preparing an initial business plan for the other two to read, and was quite proud of what she had done in such a short time. Casper said, I have a few problems with your business plan. Joe nodded in agreement. Linda was quite hurt. She had put a lot of work into the idea. What should she do now? Questions Review the sample business plan prepared by Linda.

1. What are the strengths and weaknesses of the plan as it currently stands?

2. Should the directors proceed with the project as outlined in the business plan? Why or why not?

3. Why do you think Casper and Joe have reservations about the plan? What alternative strategies could Linda adopt for going into business?

This is Linda's Business Name and Plan given below. Please write up 6 to 7 references for the answers you gave in the questions 1, 2 and 3 about the Case Study.

BUSINESS NAME: A+ Business Consulting Pty Ltd

Business plan for the period July 2021 to June 2022

A+ Business Consulting Pty Ltd

Australian Business Number (ABN) 99 999 999 999

45 Executive Drive

Melbourne Vic 3000, Australia

Telephone: +61 3 9829 3456

Facsimile: +61 3 9829 3457

Email: linda@a+businessconsulting.com.au

Internet: www.a+businessconsulting.com.au

Prepared June 2021

TABLE OF CONTENT

Section 1. Executive summary

1.1 Business idea and goals

1.2 Marketing

1.3 Operations

1.4 Finance

Section 2. Background

2.1 Mission statement

2.2 Company history

2.3 Business goals

Section 3. Marketing

3.1 Market research

3.2 Market analysis

3.3 Marketing plan

3.3.1 Products/services and target market

3.3.2 Placement

3.3.3 Promotions and advertising

3.3.4 ICT marketing strategy

3.3.5 Pricing policy

3.4 Evaluation of marketing

Section 4. Operations

4.1 Legal and licensing requirements

4.2 Management details

4.3 Organisational structure and staffing

4.4 Professional advisers

4.5 Insurance and security issues

4.6 Business premises

4.7 Equipment required

4.8 Production processes

4.9 Information and communication technologies

4.10 Critical risks/contingency plans Section

Section 5. Financial projections

5.1 Basic assumptions and information

5.2 Analysis of financial forecasts

5.2.1 Sales mix forecast

5.2.2 Cash flow forecast

5.2.3 Projected profit and loss statement

5.2.4 Owners personal expenses

5.2.5 Owners personal assets and liabilities

Section 6. Implementation timetable 202122

Section 7. Appendix Research reference sources