Accounting For Decision Making

General Submission Points:

1. For this assignment, you are required to remain in the same group formed for your class presentation

2. Requests to complete the assignment on an individual basis will only be considered (arid not penalized) if there are exceptional extenuating circumstances. Your lecturer must be contacted as soon as possible and special permission must be given by the Unit Coordinator. Not being able to find a group member is riot an acceptable excuse. If you choose not to submit this assignment you will score a ZERO mark.

3. This assignment requires the completion and submission of

A formal written business plan: 3,000- 4,000 words.

The word limit excludes reference list and appendices.

4. The Objective and the Requirements for the Written Business Plan are detailed on pages 5 - 8 of this document.

5. THE BUSINESS PLAN REPORT MUST BE:

- typed

- single sided

- properly referenced and  include a REFERENCE LIST (minimum of 6 references should be used) in alphabetical order outlining the textbook(s) and any electronic sources etc. used.

The Harvard style should be used for referencing and citations. Marks will be deducted if your work is not properly referenced or a reference list not attached.

Read and adhere to the Assignment Submission and Plagiarism Notice dri your unit outline carefully

Submission Instructions

1. This assignment is to be submitted in Electronic and Hardcopy format.

2. The Group Assignment Declaration Form attached on page 12 of this document must be completed and submitted with both your hardcopy and electronic copy.

Nominate one person in the group to upload the electronic file and submit a hardcopy of the business plan on the groups behalf_ Failure to complete and attach the Group Assignment Declaration Form will incur a penalty of 5 marks.

3. Hardcopy;

- Submit only ONE HARDCOPY at your business plan report, including excel spreadsheets (containing budgets and other appropriate calculations} PER GROUP to your lecturer You MUST include an ASSIGNMENT COVERSHEET only for your hard copy version of your business plan report with all names and student ill numbers included.

If an assignment cover sheet is not attached NO MARKS will be given.

ONE copy of the Assignment Rubric on pages 9 - 11 of this document must also be submitted with your HARDCOPY. The marking rubric outlines how marks are allocated for each section of the assignment.

Do NOT submit report in a plastic folder or plastic pocket.

Written Business Plan

Objective/ Overview

Drawing on the research and findings you compiled for Assignment (that is, in your class presentation), the objective of this major assignment is to devise, formulate and write up a comprehensive business plan for a 12 month period, to start and operate a new small local retail or service business - a partnership or private company set up in MelbourneNictoria not interstate or overseas in the near future. Public. companies or ivlanufacturing businesses should not be considered. Do NOT base your business plan on an already existing business. The main focus should be the 'financial projections' for your business. It is expected that students analyse and evaluate the information content of the business plan so that their informed financial decisions are supported. Analysis and evaluation discussion of the key business plan sections, reflects the level of intellectual independence.

Note: you are expected to reflect on the feedback received for the class presentation, and if relevant, you may make changes to some of the plans you discussed in your presentation.

Requirements:

Write up your business plan

In your written business plan you should communicate how the business will be viable and successful. You could target the report to a potential lender, potential supplier, potential distributor, or potential investor for your business.

The following plan/report template should be used to formulate your business plan however you may include additional information relevant to your business and success strategy. Also included is a guide to the number of words appropriate for each section of the business plan.

Note: The following template largely draws on Schaper, M., Volery, T., Weber, P. and Gibson, B. (2014) 'Entrepreneurship and Small Business', Chapter 8. pp. 177-218. This chapter can be accessed on the MOODLE website under Week 1.

Also note: Not all businesses are identical and likewise, not all reports will be the same. The word count provided for each section is a rough guide only, however you must stay within the 3,000 - 4.000 max word count. A word count of ± 10% of max word count range is acceptable.

Template for your formal Business Plan Report:

1. Title page Oat included in word count)

2. Table of Contents (not included in word count)

3. Executive summary (150 words) (Brief Outline. This is NOT are Introduction)
a) An overview of the business idea and goals
b) Brief summary of Marketing
c Brief summary of Operations
d) Brief summary of Finances

Note: this section (especially parts b to d) is best done after all other sections of the Business Plan have been completed.

4. Background (250 words)
a) Detailed description of business
b) Business strategy
c) Ownership and legal structure (including justification for ownership structure chosen)

5. Marketing (200 words)
a) Products or services to be offered
b) Target market / customer demographics/ competitors
c) Industry Characteristics
d) Promotion and Advertising

6. Operations 11300 words)
a) Organisational structure and staffing
b) Regulation considerations
c) Professional advisers
d) Business premises
e) Plant and equipment required
f) Service/Retail processes g Key sustainability considerations

7. Financial Projections-I (2,000 - 3,000 words)
a) Financial forecastsiBudgets2
b) Funding needs

Notes on Financial Projections:

This section should be the main focus of your business plan You must analyse, evaluate and discuss the budgets and funding needs within the financial projections section of your written business plan. The financial forecasts should be provided for each month and for the 12 month year.

You are required to use Excel spreadsheets to prepare a comprehensive series of budgets/information; from the list below.

The Excel spreadsheets can be attached as an apperdix of the written business plan. You may also wish to use excerpts of the spreadsheets within sections of your business plan. If you choose to omit any of the following budgets you must provide sound reasoning for doing so.

- Start-up costs summary

- Sales/Service revenue Budget
- For pricing poiicy for your goods or services:
- Your business plan must use Cost Volume Profit (CVP) analysis to demonstrate how the Pricing Policy has been determined.
- Purchases Budget
- Cost of Sales OR Cost of Services Budget
- Selling and Administrative expenses budget
- Schedule of 'expected co[lections from customers' budget
- Schedule of 'expected payments for purchases' budget
- Cash budget
- Income Statement budget

Statement of Financial Position budget (not mandatory).

Note: Excel spreadsheet is not included in the word count.

FEN the 'Funding Needs' sectiork please discuss:
- The amount and timing of funding requirements
- Why funding is required.

 The funding source you should assume you will require 501110 form of debt financing for your business) 10 Where debt financing (e.g. loans) is concerned also include details of:

Proposed lenders (for example, ANZ, Westpar, credit union, etc.)

- Terms of the loan.

Interest rates, borrowing amount, and monthly repayments amounts.

8. Implementation timetable (150 words)

Provide a datailed schedule of when the activities of the business are expected to be carried cut. This should include the tasks required to successfully start up the business and details of any activities/tasks/events to ensure business activities and financial projections are met 12 months into operations.

9. Concluding statements (200 words).

- Provide a summary of why you believe the business plan provides information that substantiates the viability of your proposed business.

10. References (al references used and quoted in your research) {not included in word county.

You must use the Harvard Referencing style. Please make sure that you also use appropriate referencing for the in-lext citations, For information about Harvard referencing please see the referencing files and link provided on the MOODLE website under Week 1.

11. Appendices (not included in word count).

Excel spreadshekel printouts lo support discussion of budgets in Part 7 'Financial Projections' of the Business Plan.