Discussions Question 1

Sequence of Information

Your friend is getting ready to write a business plan for a new business. Your friend told you the plans are to prepare the financial statements first to get that job out of the way before the rest of the plan is developed. Explain the flaw in this approach. What value does it provide the entrepreneur to write the financial section as the last part of the business plan?

Discussions Question 2

Financial Projections

Respond to your friend's question: "How in the world do you project income and expenses for a business that doesn't exist?"