PLEASE READ ABOUT MY BUSINESS IDEA BEFORE ANSWERING THE QUESTIONS (ATTACHED)
QUESTION A – Describe briefly the main operational aspects that are involved in ensuring that your strategy is successfully implemented. In particular, you should consider:
- Who will conduct the selling for your business, and have they been professionally trained to sell?
- What selling methods will they employ?
- Will you use point-of-sale material – leaflets, brochures or videos, for example?
- Who will manage, monitor and control your sales effort and how will they do so?
- Describe the selling process, leading from an unaware prospect to a converted client, covering identification of decision makers, overcoming objections, gaining agreement, etc.
- What procedures do you have for handling customer complaints?
- What incentives are there for people to meet sales targets and how will you motivate them to do so?
- Who will direct, monitor and control your sales effort and what experience/skills do they have?
- How long is the process from becoming aware of your product or service to making the buying decision, receiving the product or service and finally paying for it? This will have an important bearing on your cash flow and initial sales forecast.
- What sales volume and activity targets, such as calls per day, etc, have you set for each salesperson or selling method?
- What processes will you use to ensure you are paid on time?
QUESTION B
- How much of your product or service do you plan to produce in-house?
- If you are making a product, describe the production process; also explain how your principal competitors go about manufacturing.
- What plant and equipment will you need, what can it do, how much will it cost and where will you get it from?
- What bought-in materials and/or services will you need, where will you buy them from and how much will they cost?
- How will you equip your office?
QUESTION C
- Does your venture require a licence to operate?
- Will you be holding data on customers, suppliers and employees, and if so what are the implications of the Data Protection Act on your plans?
- Does your proposed advertising, both print and website, comply with the various advertising regulations?
- How will you handle refunds?
- Will you have to register for VAT, or could it be to your advantage to do so?
- If you have to register for VAT, which is the best scheme for you?
- How much tax do you expect to have to pay?
- Will you have to collect and pay tax for any employees?
- How much NI will you be responsible for paying?
- Have you incorporated the cost implications of these operating regulations in your financial forecasts?
