Title: Business Plans
Course: Demo 1

Q: A business plan is like a map of how you will run your business successfully. It will include:
- where you will be located
- what you will sell and to whom
- how you will run your business
A: where you will be located; what you will sell and to whom; how you will run your business

Q: To make your business plan stand out you must:
- learn to strategize
- be clear about what you have to offer
- be broad and unspecific about what you have to offer
A: learn to strategize; be clear about what you have to offer

Q: After you have analyzed the market and set clear objectives, you should include the following information in the “Financial Projections” section of your business plan.
- historical financial data
- prospective financial data
- service or product line data
A: historical financial data; prospective financial data

Q: Often considered the most important part of a business plan, this section is the first opportunity to grab a potential investor’s interest.
- service or product line
- marketing and sales
- executive summary
A: executive summary

Q: The executive summary should ________.
- be the last section you write
- highlight the strength of your overall plan
- be kept to three pages or less
A: be the last section you write; highlight the strength of your overall plan

Q: XYZ is an established business and has written a business plan in order to request additional funding from a local bank. Unlike a plan for a new business, their business plan will include which information?
- Marketing strategy
- Mission Statement
- Growth highlights
A: Growth highlights

Q: What is the first section of your business plan that you should write?
- executive summary
- funding request
- company description
A: company description

Q: The goal of writing your company description is to ________?
- help readers and potential investors quickly understand your business’s unique proposition
- help readers and potential investors quickly understand the goal of your business
- help readers and potential investors quickly understand the amount of investment sought
A: help readers and potential investors quickly understand your business’s unique proposition; help readers and potential investors quickly understand the goal of your business

Q: The business plan market analysis section should indicate that the business owner has knowledge of the market, has conducted research into the market and has ________?
- estimated future funding requirements
- mapped out the company’s organizational structure
- narrowed the target market to a reasonable size
A: narrowed the target market to a reasonable size

Q: A market analysis section includes an industry description and outlook, information about your target market, distinguishing characteristics, pricing and gross margin targets, competitive analysis, regulatory restrictions and ________.
- size of the primary target market
- how much market share your company can gain
- research and development activities
A: size of the primary target market; how much market share your company can gain

Q: XYZ Inc. identified their main competitors products, services and market segments. This is an example of a ________ ?
- gross margin target
- target market
- competitive analysis
A: competitive analysis

Q: What questions should you ask yourself when composing the organization and management section of your business plan?
- What is their background and why are you bringing them on as board members or employees?
- What are they responsible for?
- Who does what in your business?
A: What is their background and why are you bringing them on as board members or employees?; What are they responsible for?; Who does what in your business?

Q: The simplest and most effective way to lay out your business structure is to include a(n)________ in your business plan.
- list of all executives in your organization
- flow chart of previous management changes in your company
- organizational chart with narrative description
A: organizational chart with narrative description

Q: Including a section on the ownership of the business in your business plan identifies ________.
- business legal structure
- subsequent ownership information related to the legal structure
- financial projections
A: business legal structure; subsequent ownership information related to the legal structure

Q: The service or product line section goal is to ________.
- emphasize the benefits to potential and current customers
- focus on why your particular product will fill a need for your target customers
- describe competitors’ products and services
A: emphasize the benefits to potential and current customers; focus on why your particular product will fill a need for your target customers

Q: The purpose of the service or product line section of your business plan is to
- emphasize the benefits to potential and current customers
- focus on why your particular product will fill a need for your target customers
- describe competitors’ products and services
A: emphasize the benefits to potential and current customers; focus on why your particular product will fill a need for your target customers

Q: The marketing and sales plan section will ________.
- outline your company sales strategies
- describe how your will create customers and sustain customer loyalty
- describe company product patents or copyrights
A: outline your company sales strategies; describe how your will create customers and sustain customer loyalty

Q: If you are seeking funding for your business, the funding section will include ________.
- how the company intends to use available funds
- any strategic financial plans for the future
- no disclosure of your company’s current funding requirement
A: how the company intends to use available funds; any strategic financial plans for the future

Q: The funding section of your business plan should include:
- how the company intends to use available funds
- any strategic financial plans for the future
- no disclosure of your company’s current funding requirement
A: how the company intends to use available funds; any strategic financial plans for the future

Q: In the Financial Projections section, creditors will want to see ________.
- any collateral you may have that could secure the loan
- your expected financial performance during the next five years
- consistency between your projections and your funding request
A: any collateral you may have that could secure the loan; your expected financial performance during the next five years; consistency between your projections and your funding request

Q: What should not be included in the main body of your business plan and should be provided to readers on an as-needed basis?
- prospective financial data
- marketing and sales plan
- the appendix
A: the appendix