ST ALOYSIUS COLLEGE

Economics/Business Studies Department 2016Assessment Task NotificationSubject Year 10 Commerce

Task Number 4

Date of Task A series of dates throughout the task. Part A and B due Friday 5th August. Final submission date via Canvas Monday 12th September at 8.35am

Weighting of Task 10%

Syllabus Component(s) Running a Small Business

Nature of task A Business Report/Plan: Develop and present using Keynote/PowerPoint a detailed plan for the establishment of a small business on a currently vacant shop site at 23 Broughton Street, Kirribilli.

Report/Oral presentation: is to be prepared and presented to potential financial backers (whether equity and/or debt). Your presentation should be tailored to your audience address the key question why should they invest / lend money to your business.

Length Suggested minimum lengths are given for each section outlined below.

Outcomes 5.1 applies consumer, financial, business, legal and employment concepts and terminology in a variety of contexts5.2 analyses the rights and responsibilities of individuals in a range of consumer, financial, business, legal and employment contexts5.4 analyses key factors affecting commercial and legal decisions5.5 evaluates options for solving commercial and legal problems and issues5.7 researches and assesses commercial and legal information using a variety of sources5.8 explains commercial and legal information using a variety of forms

Task Guide You and a small number of colleagues (max. four) have up to $100,000 each to invest plan to apply their entrepreneurial skills in the establishment of a small business. You will also need to borrow some funds.You are to develop a detailed business plan in a small group.

Sections of the plan will be checked as per the schedule below. When complete sent electronically to your teacher and presented (minimum 5 minutes) in class.Groups who present comprehensive plans in class will be selected to present to external assessors at a ‘Business Lunch’

Submission Guide:

1. Business

Report/Plan

2. Presentation

Business Report Plan / PowerPoint/Keynote presentation: The task contains suggestions as to the appropriate length of each section.

A business report/plan: This is your formal document identifying the key components of the business which would form the basis for a written submission to a financial backer whether they be an equity investor or lending institution. This business plan will incorporate the assessment components A to E

The presentation should be prepared and presented to potential financial backers (whether equity and/or debt).

Your presentation should be tailored to your audience address the key question why should I invest / lend money to your business.

Your presentation should be focused and be limited to 5-10 slides (assuming you speak 30 seconds to 1 minute on each slide a 10 slide Keynote/PowerPoint will take approx. 5 mins).

Thus your business presentation should distill the key points from your business plan and focus on:

1. The business and business idea2. What capital does the business need and what will that

capital be used for3. Why will the business be successful – key strengths of

business - human resources / marketing – research, product, promotion, competitors.

4. Measures of success – profitability

Section Suggested Inclusions/Minimum Requirements Marks Due Date Assessment GuidePart A: Create a business idea

InvestigationResearch the business environment and business alternatives that your group is considering. Show evidence of this through some or all of:

Investigate business alternatives Use the document ’10 Trends to make Money in Business’ BRW

to help develop a business idea that is likely to be profitable. Investigate the industry of the business. Outline the skills, training and personal characteristics that are

needed to be successful in the chosen business area.Expected Length: 2-4 Keynote slides

6 Friday 5th August

Marks given for the thoroughness of the investigation of various business alternatives. Best examples will demonstrate originality in the investigation and the presentation of ideas

Part B: Selecting the Business

The Nature to the Business.Give an outline of the proposed business and its activities with special focus on marketing. Use Section 15.1 from the text as a guide and also your knowledge of marketing from the Year 9 course. Possible areas for explanation:

Market research. Any evidence of market research you may have conducted. You could include some statistics or anecdotal evidence

Location. You might include a map if relevant. You may need to do research on commercial rental prices.

Demographics. Any research or detail of the population in the area and the characteristics of that population.

Competition. Real data on the competition that the proposed venture will face. More market research may be needed here. A map may be relevant.

Target Market. Details here of the exact nature of the target market for this venture. There may be a primary target market and a secondary target market(s).

Success and Failure of the business. Here you could include the key factors that will determine if the business succeeds or fails.

Expected Length: 4 Keynote slides

6 Friday 5th August

Thoroughness in the planning of the business venture expected. Evidence of research. The plans given need to demonstrate some realism in the expectations of the business venture. (student are often far too optimistic about business prospects)

Part C: The Structure of the Business

The Legal Structure of the Business and Sources of Finance.Decide on the Legal Structure of the business and give reasons for the choice. This could be done by examining advantages and disadvantages of different possible legal structures or through a thorough examination of the reasons for the chosen business structure.Finance: (N.B. You must borrow significant funds)A brief outline of the sources of finance needed for the business. In almost all cases this will involve equity and debt finance. It may be that all the finance will not be required at start-up and a plan for when the finance is needed is presented.Expected Length: 1 Keynote slide

6 12th August Demonstrate a good understanding of an appropriate legal structure of the business.Outline with some realism the financing needs of the venture, including timing and the sources of this finance.

Part D: Situational AnalysisA SWOT analysis would be helpful here.(Whilst a franchise may have been a viable option for this site, for the purposes of this assignment franchise businesses are NOT allowed.)Expected Length: 1 Keynote slide

6 12th August To be shown in class

Part E RegulationsOutline the range of Government regulations that the business must comply with. Be sure to include regulation peculiar to the particular industry of the business.Expected Length: 1 Keynote slide

6 12th August To be shown in class

Part F MarketingApply the 4Ps to the business.Expected Length: 1 Keynote slide

6 19th August To be shown in class

Part G RecordsComplete the following sample statements based on the planned financial position after 1 year of trading:

Revenue Statement Balance Sheet Cash Flow Statement

Estimates will need to be made to complete these. Don’t assume ‘best case scenario’ but rather base these statements on more modest

6 19th August To be shown in class

expectations of your business.Expected Length: 3 Keynote slide

Part H Risk ManagementThe area of risk management is of increasing importance to management. Firstly in identifying possible risks to business, the probability of these events happening and risk prevention strategies.Complete a risk assessment for your business.Expected Length: 1 Keynote slide

6 19th August To be shown in class

Part I Management of the BusinessOutline what you expect to be the key management issues related to running you business.Expected Length: 1 Keynote slide

6 Tuesday 5th September

Entire keynote presentation (Tasks A to I) to be submittedMarks given for thoroughness

Keynote Presentation

As a presentation that will be used to apply for finance your Keynote presentation will be judged on its presentation. Keynotes of acceptable standard will be give 4 marks. You are strongly advised choose a theme and to apply that theme throughout.

4 Tuesday 5th September

Oral Presentation Minimum length of time: 5 minutesAll members of the group must be involved.

Please note you only have 5 minutes to present your business idea so you may need to edit your final keynote submission for the purpose of the oral presentation

6 Monday 12th September

Oral Presentation to Business leaders

Top business ideas from each class presented to a “Dragons Den” of Business leaders - 5 minute presentation

Term 3 Week 10 2016TBA

Suggested Roles for the Group: CEO, Finance Manager, Marketing Manager, Operations Manager

Appendix: Details of Premise Further information: http://www.realcommercial.com.au/property-retail-nsw-kirribilli-501642729