Start by doing an online search for “business plan templates.” Review at least THREE different templates to see the type of information they ask for. We won’t be creating a fully fleshed out business plan in this course, but it’s important to know what goes into completing one. As you examine the options here, think about what your dream business might be. For this exercise, it doesn’t need to be entirely 100 percent realistic, but it should be grounded enough that you can talk about what would actually go into some of the day-to-day processes involved in running your business. Overall, remember that the closer your proposed business is to something you’d actually like to do, the more useful the exercise will be for you; if you are having trouble answering the questions we’ve provided, you may have veered too far from reality and should bring your idea back down to Earth a little. Now that you have an idea of your proposed business, answer the following questions in a word processing document. Your answers should be brief—no more than one or two short sentences. Include the question with your answer, so that your teacher knows which question you are answering: What are you selling? Who will buy it? How will you make money from this project? How will people learn about your business and become customers? How will you measure success?

Question

GPT-4o mini · Answer

Certainly! Below is a sample format for your exercise based on the questions provided. You can use this template in a word processing document to answer each question based on your proposed business idea.

Business Plan Exercise

What are you selling?
I am selling eco-friendly cleaning products made from natural ingredients.

Who will buy it?
My target customers are environmentally conscious households and businesses looking to use sustainable products.

How will you make money from this project?
I will generate revenue through direct sales on an e-commerce platform and partnerships with local retailers to distribute my products.

How will people learn about your business and become customers?
I will use social media marketing, influencer partnerships, and attend local green fairs to create awareness and drive sales.

How will you measure success?
Success will be measured through sales volume, customer feedback, and growth in social media engagement over time.

Feel free to modify the answers to align with your actual business concept or idea!

Answer

Next, answer the following questions about obstacles your business might face. These address serious elements that we’d want to implement as we developed a real business plan: What kind of information systems planning does your business require? Do you need to factor in cloud computing, data security, team communication and collaboration tools, etc.? Describe at least two information systems planning solutions you’d need for your business, and how it ties into the specific business environment you’d like to run. In other words, saying “we will have Microsoft Office running on all our employee’s computers” wouldn’t be adequate, since it’s a generic answer that doesn’t speak to the specifics of YOUR business. Remember that you can search online for possible tools or software suites to inspire your answers (for example, if your business relies a lot on tracking a bunch of customer information, there are specific tools that help with that!). What kind of business ownership category (sole proprietorship, corporation, or non-profit, etc.) would you want to use for this business, and why? What kind of legal considerations do you need to consider? Will your business raise any licensing and permitting issues? At the federal level, you can just check to see if your business covers one of the items on this list of licenses and permits. If your business is on this list, note the activity you’re engaged in that requires a federal license and which federal agency you would apply to. As for state licensing, knowing exactly which laws apply is complicated, so you can just submit a link to your state or governing territory’s website which covers that information. For example, if you are running a business out of Alabama, you’d link to the Alabama Department of Revenue, Business Licensing. Are there any intellectual property concerns your business will need to handle? For example, will you need to protect the image of a corporate mascot, an invention, a specific logo or branding image, or any other resource that will be vital to the business?

GPT-4o mini · Answer

Here’s a sample response for your second set of questions regarding potential obstacles your business might face. You can structure this in your word processing document as needed.

Business Planning Obstacles

What kind of information systems planning does your business require?
My eco-friendly cleaning products business requires comprehensive information systems planning to manage inventory, customer relationships, and online sales efficiently.

Describe at least two information systems planning solutions you’d need for your business.

Customer Relationship Management (CRM) System: I would implement a CRM solution like HubSpot to manage customer interactions and track sales data. This aligns with my business’s focus on building relationships with environmentally conscious customers and gathering feedback to adjust our offerings.
Inventory Management Software: I would use a cloud-based application like TradeGecko to monitor stock levels and manage orders in real-time. This is crucial in ensuring that I can meet demand for my products while minimizing waste, a core principle of my brand.

What kind of business ownership category would you want to use for this business, and why?
I would choose to establish my business as a corporation (specifically an S-Corp). This structure allows for limited liability protection, which is important in mitigating personal risk, and gives me flexibility in taxation.

What kind of legal considerations do you need to consider?
I need to consider compliance with federal and state regulations regarding product safety for cleaning supplies, and ensuring that my ingredients are properly labeled as non-toxic and eco-friendly.

Will your business raise any licensing and permitting issues?
Yes, my business will require specific licensing related to the sale of cleaning products. I would need to apply for a federal license from the Environmental Protection Agency (EPA) since my products fall under environmental regulations.

State Licensing Link: State of Alabama Business Licensing

Are there any intellectual property concerns your business will need to handle?
I will need to protect my brand identity by registering a trademark for my logo and packaging design, as well as securing a patent for any unique product formulations I develop that are not already on the market.

Feel free to adjust the details to fit your actual vision for your business!