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Math 5: Creating a Plan Book 6 Views
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Description:
So you want to start a pet chicken business... We can't say we understand, but we can help you get it off the ground. The perfect plan is just one cluck, er, click away.
Transcript
- 00:14
we have learned a lot about running a business in this unit so much
- 00:17
that it feels like a bit too much after all with all those facts piled up in [mans brain filled with lots of facts]
- 00:21
your brain you might be thinking what if my head explode or is that just us no
- 00:26
one else worries about that okay well that's cool neither do we that would be
- 00:31
weird but just in case let's summarize some of this knowledge in an easy to use [a business plan book placed on an office table]
Full Transcript
- 00:36
an non exploding plan book this plan book will help take us step-by-step from the
- 00:41
humble beginnings of a business as a mere idea to the planning it would take [a woman sitting at a bus stop thinking about chickens]
- 00:45
to make it a money-making machine at least five years in the future if you're
- 00:49
not that into planning you can stick with a simpler plan ignore your business [a man driving a Ford car]
- 00:53
idea and go get some pizza a delicious plan you betcha but you probably won't
- 00:58
be making too much dough from it though you will be consuming a lot of dough [a man looking very full from eating pizza]
- 01:02
anyway if you want to make money then let's get started on our plan book step
- 01:06
1 figure out the purpose of your business this is the cornerstone of your
- 01:10
plan because once you know what your business is supposed to do it becomes a
- 01:14
lot easier to make decisions about how to move forward for example if you want
- 01:17
[chickens roaming around together] to start a business that raises pet chicken maybe you shouldn't buy a few
- 01:21
hundred foxes to roam the halls just a thought at this stage you'll also want
- 01:25
to choose a name for your business hopefully something recognizable and
- 01:28
catchy why because fowl friends is a lot more likely to get your customers than [people standing outside the fowl friends store]
- 01:32
unnamed corporation number 527 next it's time to figure out the expected
- 01:37
expenses sales and profit in your businesses first year by nailing down
- 01:41
how much it costs to run your business it'll be easier to tell how much you
- 01:45
will need to charge and sell in that crucial first year and since profit is [book detailing step three of planning a business]
- 01:49
sales minus expenses you should have a good idea of how much money will come
- 01:53
rolling in so if those chicks cost you three bucks each maybe don't sell them
- 01:58
for two dollars a head unless you really like losing money for some weird reason [a yellow sales minus expenses note with chickens roaming]
- 02:02
after that it's time to think about the semi distant future by figuring out the
- 02:07
projected profits for your first five years depending on your business this
- 02:11
might include various increases decreases of profits year to year so [graph of projected profits in future years]
- 02:15
you'll probably need to dust off an old mathematical tool fractions just make
- 02:19
sure you sneeze away from the fractions politeness and hygiene are both very [a man sneezing in front of himself]
- 02:24
important Plus once you know the expected profit from years 1 through 5
- 02:28
you can add them all up to find your total profits for the first 5 years
- 02:31
hopefully it's pretty high no one wants to spend five you're surrounded by [a woman sitting near chickens with a huge pile of cash behind her]
- 02:34
squawking birds for nothing
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