do a economic project

Info for project 2

Here are the references for the graduate-undergraduate project that I keep mentioning:

1) To simplify matters, let’s assume that a start-up business plan is made up of two main parts, (a) the business model, and (b) the business mode.

2) The graduate section is developing the business model, i.e. the purpose in form of a value proposition, and the requisite strategies for the design of the context that will allow the proposition to translate into a wealth creative result, become financially, socially, environmentally robust and sustainable.

3) The undergraduate section will develop the financial side of the business mode (which normally also includes the operations part, i.e. inbound and outbound logistics, as well as a marketing (as in traversing the complex space between production and consumption or utilization of the product or service); but for the purpose of this course we will limit it to the financial portion.

4) This financial plan component itself has two parts, the launch budget, and the projections for the first three years of operations (assuming that by then the project should reach “steady state”).

5) For the undergraduate section:

a. Familiarize yourselves first with the notion of the BUSINESS MODEL CANVAS that has become the currently dominant practice in entrepreneurship programs to integrate the 10 principal components of a business model:

http://www.forbes.com/sites/tedgreenwald/2012/01/31/business-model-canvas-a-simple-tool-for-designing-innovative-business-models/

http://www.businessmodelgeneration.com/canvas/bmc

This will help you ask the appropriate questions to your graduate section project owners to understand the proposed intervention/service/product design.

6) For the graduate section: The BMC is your “bible” since the first semester; essentially, all your research in the current course is to produce the evidence necessary to be able to answer the questions associated with each of the BMC components

7) For the projections-related financial plan portion, here are the links:

a. From the website of Aswath Damodaran:

http://people.stern.nyu.edu/adamodar/

pick the following spreadsheets (that, by the way, have already all the necessary formulas built in)

b. for Capital Budgeting background and review:

http://www2.fiu.edu/~keysj/CFIN_09.pdf

c. also useful is this document:

http://people.hss.caltech.edu/~jlr/courses/BEM103/Readings/JWCh05.pdf

8) Finally, here is a reference for a full financial plan including the launch portion of the budget (from the website at Wiley, supporting the acclaimed Portable MBA in Entrepreneurship book by William Bygrave :

http://www.wiley.com/WileyCDA/WileyTitle/productCd-0470481315.html

go to Downloads, See More and pick the three downloads for Chapter 6:

Pro-Forma Financial Statements (link is actually: http://leeds-faculty.colorado.edu/moyes/html/resources.htm)

Various Methods for Creating a Financial Construction Checklist

Build a Sales Worksheet by Listing Major Sources of Revenue

P.S. You are all highly encouraged to check out the other free downloads (hint-hint, lol)

P.P.S. The MOST IMPORTANT website in all this is ultimately:

http://leeds-faculty.colorado.edu/moyes/html/resources.htm

The first 11 downloads and links on that website are essentially the entire body of knowledge of entrepreneurship in condensed form

Start up budget, how much need to begin

How much earn first year

All the cost!

Income statement (1, 2, 3 year see business plan subjected )

In the next three year (proforma )