Up Your Cash Flow / Goldstein 103-119

119 BUSINESS PLAN: QUESTIONS TO ASK

 

These are a must for a business plan.

 

What kind of business am I in?

How much cash will you need in the future?

When will you run out of cash?

Where will you get the cash? Bankers? Partners? Public? Profits? Or use your own?

 

PRODUCING THE PRODUCT

1. Do I know precisely what my product costs?
2. Will I need a cost accounting system?
3. What are the advantages of producing my own product?
4. What are the disadvantages?
5. What are the advantages of having others produce my product?
6. What are the disadvantages of having others produce my product?
7. Should I manufacture my product or go outside and have other manufacture my product?
8. Should I manufacture it domestically or abroad?
9. What processes do I eventually want automated?
10. Is my plant layout adequate?
11. If my plant layout is not adequate, how will I improve it?
12. Is my equipment obsolete?
13. If my equipment is absolute, what new equipment do I expect to buy in the future?
14. Is the labor costs reasonable?
15. In what direction do I anticipate my future material cost going?
16. Is there an abundant supply of material available?
17. How can I control future costs?
18. Am I buying properly?
19. What can I do to take advantage of discounts?
20. How can I increase my gross margin?
21. Is the demand for my product strong?
22. How can I improve the production of my product or service in the future?

 

MARKETING

1. Where will I get future business from?
2. Will I stay local, regional, or become national?
3. Will I advertise?
4. Should I use an ad agency?
5. Should I hire a public relations firm?
6. Should I do media advertising-television, newspaper, radio?
7. How much money should I spend on marketing int he future?
8. Will I need a sales manager?
9. Are my distributors adequate?
10. Should I change distributors or hire additional distributors?
11. Will I need brochures, advertising products, samples?
12. When is the best time for me to do my advertising?
13. What results do I expect from my advertising?
14. Is my showroom adequate?
15. Are my displays adequate?
16. Are my window trimmings adequate? 
17. Am I using proper methods for submitting bids?
18. Who is the best in my organization to be meeting with prospective customers?
19. Are my sales personnel trained adequately in the process of selling?
20. Are there trade associations I should join?

 

PERSONNEL

1. Are my personnel adequate for my future needs?
2. Am I training personnel properly?
3. Am I giving personnel adequate responsibility
4. What training programs or training facilities will I utilize in the future to assist in the training of personnel?
5. Will I need to expand the number of personnel in various departments throughout the organization?
6. What criteria will I use for determining who, when, and how to hire or fire?
7. Do I have appropriate fringe benefits?
8. Are my salaries competitive?
9. Do I have proper recruiting techniques?
10. Am I following all the laws with regard to personnel?
11. Will I need a personnel director?
12. Will I need a greater level of expertise within our personnel?
13. How will I acquire this?
14. Are my personnel growing as the company is growing?
15. Am I capable of motivating personnel?
16. Do I display appropriate respect for personnel in my dealings with them?
17. Do I have adequate personnel manuals?
18. Is there an adequate review procedure to keep personnel informed of their progress within the organization?
19. Are the top levels of management able to function when I'm not around?
20. Do I encourage my employees to be creative and innovative?
21. As the leader of the company, am I assessable?

 

FACILITIES AND ADMINISTRATION

1. Are my facilities adequate for my future needs?
2. If they are not, will I buy or lease?
3. Where will I relocate?
4. When should I be planning for any future changes in location of facilities?
5. Will I need a purchasing agent?
6. Will I need a cost accountant?
7. Will I need a controller?
8. Is my accounting firm adequate?
9. Are my lawyers capable?
10. Is my rent reasonable?
11. How can I reduce my communication costs?
12. How can I reduce my administrative costs?
13. Do I need an office manager?
14. Are my plant and facilities will organized?
15. Am I using appropriate modern equipment?
16. Am I well insured?
17. Should I incorporate or unincorporate?

 

MONEY

1. How much money will I need in the future? This question leads to the need for doing a cash budget and/or forecast>
2. When will I run our of money?  All small and medium-sized businesses will run short of cash.
3. Where will I get money to cover my future needs?
4. What will I need to prepare for a financial presentation to a prospective financier?