SY 2021-2022

First Semester

Entrepreneurship Grade 12
DAVE

I. TITLE: Business Plan: Part 1-4

II. GOALS/OBJECTIVES:
At the end of the lesson, the students should be able to manifest understanding of starting
business planning.

III. OVERVIEW
In this module, you will be able to organize your thoughts on a possible business venture into a
business plan, you begin the process of creating a successful enterprise. The business plan covers what
you intend to do with your business and how it will be done. The process of writing down what is
involved in bringing your idea to reality requires dealing with the why, what, who, how, where, when,
and how much of your venture. Writing a business plan forces you to take a deep look at your idea and
how you will turn it into a business.
IV. RESOURCES/BIBLIOGRAPHY
How to Write the Best Business Plan — 2021 Complete Guide (bplans.com)
A SAMPLE BUSINESS PLAN FOR (uvm.edu)

V. ENTRY BEHAVIOR (optional)

A business plan is more than a document. It’s a guide that helps you outline and achieve your goals.
It’s also a management tool that allows you to analyze results, make strategic decisions, and showcase how
your business will operate, and grow. In short, if you’re thinking of starting a business or plan to pitch your
business to investors, writing a business plan can improve your chances of success.  
Writing a business plan doesn’t have to be complicated. In this comprehensive guide, I’ll show you
how to quickly and easily write a business plan that will get the results you want. Don’t worry, you don’t
have to have a business or accounting degree to put together a great business plan. This guide will show
you how to get your plan done step-by-step without any of the complexity or frustration. 

VI. PRE-TEST
1. What is business plan? The primary purpose of a business plan is to establish your plans for the future.
2. Why should I write a business plan? to determine your future financial needs
3. Who should write the plan? The person or persons responsible for implementing the plan
should be heavily involved in its development
4. How long should a business plan be? Most business experts and counselors say it should be 30
to 50 pages, as a minimum, while others may say even less or more than this depending on
their own personal perspective.
VII. METHODS
 The content of the plan will depend upon the purpose. Usually, they contain the
following:
Parts of a Business Plan
1. Title Page and Contents
2. Executive Summary
3. Description of the business
4. Description of the Product or Services
5. Market Strategies
6. Analysis of the Competition
7. Operation and Management
8. Financial Data
9. Supporting Documents
Click the link for further understanding of the lesson : A SAMPLE BUSINESS PLAN FOR (uvm.edu)

Do the following activities.

A. Title Page and Contents
Activity 1: Make a Title Page
B. Executive Summary
Activity 2: Make Executive Summary
C. Description of the business
Activity 3: Make Description of the business
D. Description of the Product or Services
Activity 4: Make Description of the Product or Services

VIII. KEY UNDERSTANDING/KEY CONCEPTS

Title Page and Contents

The Business plan must be easily identified through the cover page with a listing of the
following:
1. Name of the business
2. Name/s of the proponents
3. Address
4. Telephone numbers
5. Email and website address
6. Date
7. Name of the person who write the plan
 Executive Summary
The executive summary is a portion of the business plan that summarizes the plan and
state the objectives of the business.
The executive summary is prepared after the business plan is written.
Below is the sample that serve as your guide in doing your own business plan.

Description of the business

This particular portion of a business plan is very useful. It divided into two parts: 1. A
short explanation of the industry; and 2. A description of the business.
Describing the industry, it is important to present the current situation and outlook for the
future. Information must be provided regarding the various markets within the industry as well
as the products or development that could affect the business. The sources of the information
must be indicated.
Statement of the following will be useful in describing the business:
1. The industry sector where the business falls into (retail, manufacturing, education,
entertainment and others)
2. Whether the business is new or established
3. The ownership status of the business (sole proprietorship, partnership or corporation)
4. Information on who the customers are
5. Information on the size of the market
 6. Information on how the product or services is distributed

Description of the Product or Services

The product and services must be described clearly in the plan. To achieve this, the
following must be presented:
1. The important features of the product or services such as maintenance-free features of
the product, or the home delivery services for product ordered through the phone or
online.
2. A detailed description on how the product is used.
3. What makes the product different from other available in the market. Example the
availability of the product or services 24 hours a day and more.
Some of the positive factors that are worth describing are:
1. Superior organization of the business
2. Latest equipment that has currently used in the business
3. Superior location of the company
4. Fair price of the product or services
5. Superior customer services offered by the company.

IX. POST-TEST/ EVALUATION

Performance Task: Layout your own business plan by doing part 1-4.

The Sorcerer's Accountant

Executive Summary
The Sorcerer’s Accountant is a small, successful, one-person accounting and tax preparation
service owned and run by Max Greenwood, CPA in Chicago, Illinois. The firm offers tax
accounting, management accounting, and QuickBooks set-up and training for small business
clients. To move beyond a one person model, the business will expand its services to include
bookkeeping services for small businesses. This will require an investment in marketing and staff
to grow the business to include this complementary line of business. This business plan
organizes the strategy and tactics for the business expansion and set objectives for growth over
the next three years.

The business will offer clients bookkeeping services with the oversight of a CPA at a price they
can afford. To do this involves hiring undergraduate student bookkeepers and a graduate
student manager, keeping fixed costs as low as possible, and continuing to define the expertise
of Sorcerer’s Accountant through its website resources. The effect will be sales more than
doubling over three years as 8 part-time bookkeepers are deployed to client businesses as
needed, and salary and dividends to Greenwood increase substantially.
Need actual charts? We recommend using LivePlan as the easiest way to create graphs for your
own business plan. Create your own business plan
Objectives
The Sorcerer’s Accountant seeks to launch a new line of services – small business bookkeeping –
which will be offered to the same ongoing clients as Sorcerer’s Accountant currently seeks.

Sorcerer’s Accountant has set the following objectives:

To launch the bookkeeping services slowly, beginning with two part-time bookkeepers
To achieve bookkeeping service annual revenues equal or greater to the current total revenues
within three years (effectively doubling revenue)
To achieve net profit of $60,000 in three years
To employ 8 part-time bookkeepers in three years
Mission
The Sorcerer’s Accountant seeks to provide a full suite of tax and management accounting
services for small businesses in Chicago, Illinois, allowing business owners to not only save
money over in-house accounting and ensure their compliance with tax laws, but to make
valuable management decisions from their numbers.

Keys to Success
The keys to success for the accounting business include:

Building trust with clients

Maintaining up-to-date CPA certification and education on accounting practices and laws
Going beyond saving clients money to proposing how they can increase their revenues
Legal and ethical practices when it comes to transparency, reporting, and taxes

.
 Need actual charts?

We recommend using LivePlan as the easiest way to create graphs for your own
business plan.

Past Performance

2007 2008 2009

Sales $100,000 $150,000 $175,000

Gross Margin $75,000 $112,500 $131,250

Gross Margin % 75.00% 75.00% 75.00%

Operating Expenses $55,000 $67,500 $82,750

Collection Period (days) 30 25 28

Current Assets

Cash $15,000 $17,500 $20,000

Accounts Receivable $4,167 $6,250 $7,292

Other Current Assets $5,000 $5,000 $5,000

Total Current Assets $24,167 $28,750 $32,292

Long-term Assets

Long-term Assets $0 $0 $0

Accumulated Depreciation $0 $0 $0

Total Long-term Assets $0 $0 $0

Total Assets $24,167 $28,750 $32,292

Current Liabilities

Accounts Payable $4,583 $5,625 $6,896

Current Borrowing $0 $0 $0

Other Current Liabilities (interest free) $0 $0 $0

Total Current Liabilities $4,583 $5,625 $6,896

Long-term Liabilities $0 $0 $0
Total Liabilities $4,583 $5,625 $6,896

Paid-in Capital $10,000 $10,000 $10,000

Retained Earnings ($10,417) ($51,875) ($83,554)

Earnings $20,000 $65,000 $98,950

Total Capital $19,583 $23,125 $25,396

Total Capital and Liabilities $24,167 $28,750 $32,292

Other Inputs

Payment Days 30 30 30

Sales on Credit $50,000 $75,000 $87,500

Receivables Turnover 12.00 12.00 12.00

 
X. NEED HELP SECTION (OPTIONAL)