Worksheet+6E

[|[i]] WORKSHEET 6E Financial Conclusions

Instructions
q Pull out your Worksheet 6C: Financial Projections and Summary and Worksheet 6D: Risks. q Prepare written summaries as requested in this worksheet. _ 1. What are your sales and profit projections for the first three years operating this venture idea? (Retrieve from Worksheet 6C.)  Note: this is only based on sales projection for one year due to the nature of the venture. After the first year respond, we would be able to make a sound prediction for the future years. This is because there are limits to how many schools are out there in the province for us to sell the service and idea to.

2008 :

Sales = $1,000,000 Profit = $191,320

2. What are the most important underlying factors driving these numbers?

- This idea has a specific market that the majority of the people in the business have not tapped into yet - we would hold high market share. - There are enough schools to attract since this is a first time venture. - There are limits as to how many schools would invest their cash flow on this service. - The respond from the society might not be that good.

3. How confident are you that these results can be achieved? What’s the margin of uncertainty?

For the first year, this number would very probable be attainable. The margin of uncertainty is 5% because there are circumstances that are beyond our control.

4. What are the most significant risks and uncertainties facing this venture idea? Why do you believe these uncertainties either will not occur or can be overcome?

- Parent's respond towards this idea because they might need to contribute to the cost. - People might not take it seriously because they might feel that this is all a short term attraction - won't bring long term result.

This uncertainty can be overcome because we could provide good support for this venture and use all marketing tools we have to promote the venture.

5. Based on all of your feasibility analysis (Steps 5 and 6), does the evidence support a conclusion that this venture appears sufficiently feasible to justify a decision to write a business plan to commence operations?  So, far the venture seems feasible. but more research is deem necessary.

[|[i]] //Copyright 2002 Amherst H. Wilder Foundation Published by the Amherst H. Wilder Foundation, 919 Lafond Ave., St. Paul, MN 55104// May not be copied or altered except for use by organization or individual who purchased this book. May not be resold.