Add this section to your company’s Power Point. You must answer this questions in detail. They will help you make your product a success:
- Who will be your customers? How much can they spend? What do they like and dislike? Describe your target customer with as much detail as you know.
- Where will you sell your product or service? On a market stall? Online?
- How will you get the word out about your business? Will you put up signs? Put ads in the newspaper or TV?
- What is the name and logo of your business? What does this name say about your business? Is it unique? Memorable? Easy to pronounce?
- How much will it cost to start your business? What will you need to buy before you can get started? Materials? Equipment? How much will those things cost?
- The amount of money you need to launch your business is called the “startup cost”. Where will you get the money to cover your startup costs? How much of your own money are you investing? Are you getting a loan from from the Teacher’s Bank? How much interest will the loan have? How much money will you pay back (loan+ the interest)?
- COST PER UNIT: What is the cost of making each product or providing each hour of service? (Cost per unit.) List each expense, and divide your total expenses by the number of products you will make or number of hours you will work.
- PRICE: How much will you charge? How does your pricing compare to your competitors? Make sure you set your price above the cost per unit.
- PROFIT: What will be your profit? How much will you make on each sale after you subtract your expenses? (Profit = Income – Expenses)
- What will you do with the money you make? How much will you use for wages/ to reinvest in your business/ to repay your start up loan?
Some of these questions will be better answered after your Market Day, when we will calculate the future financial projection of your business.