Evaluate a business plan.

Evaluation should include

• identifying the components of a business plan
• analyzing the realistic expectations of the plan
• investigating the advantages and disadvantages of sole proprietorships, partnerships, and corporations
• developing and analyzing a market survey
• investigating sources of capital
• analyzing an organizational plan
• researching laws and regulations
• researching methods for advertising
• creating financial records, to include a balance sheet, cash flow statement, profit and loss statement, and inventory report
• identifying the break-even point and determining the profit margin
• demonstrating appropriate forms of business communication, to include business letters, phone calls, and emails
• estimating profits and growth over a duration of time
• creating a contingency plan.

Process/Skill Questions:

• What are ways to raise funding for the proposed budget in the business plan?
• What other concerns, beyond the business plan, should new small-business owners consider?
• How is return on investment calculated?
• How is the profit margin determined?
• What types of insurance should be considered for this business?