Entrepreneurship in Action

Now that you have had an opportunity to sell your idea and plan out what business you want to be in, the next question is how you will be implementing the idea. Some questions you should try to answer are:

What resources and processes are necessary to get the product or service to market?

What sort of action plan and timeline do you have?

What are the roles of your team members? What will they be assigned to do?

Do you need any manufacturing facilities? Where will they be and how long is the manufacturing process?

How about R&D (Research & Development)? Who will you engage to conduct R&D for you?

When will this be conducted and how long will this be?

How will you be going about your purchasing? Who will be your suppliers and what is the cost of the supplies? Why do you choose these to be your suppliers over others?

Do you intend to employ staff? If yes, how many and what are their roles/ experiences like?

Any equipment you will require for your business?
What are the operation hours of the business? Who will take care of what during the operation hours?

Will you be providing any supporting services? If so, what are they and who will help carry out the supporting services? (eg. delivery, installation, maintenance, value-added services)

Any backup plan if operation fails? How will you be managing crisis?

Once you have answered the above, work out an operation budget. An operating budget is prepared when you are actually ready to open for business. The operating budget will reflect your priorities in terms of how you spend your money, the expenses you will incur and how you will meet those expenses (income).

Your operating budget also should include money to cover the first three to six months of operation. It should allow for the following expense and whatever else is relevant to your business.

Operating Budget

Salaries & wages

Rent

Legal & accounting

Supplies

Subscriptions & fees

Repairs & maintenance

Insurance

Advertising & promotions

Depreciation

Taxes

Transportation

Miscellaneous expenses