CS38010 2012/13 Assignment

Imagine that you are setting up a smallish business to do one of the following things:

• Provide mobile sales systems on iOS and Android platforms. The software will be able to provide functionality of systems such as ACT!, GoldMine or Maximizer. You will sell complete systems with a central database. You will provide the hardware to the client as well as the software.
• Your own business idea (of a similar scale) but you must seek approval from me first.

In each case, you can assume that your company will start with a basic product, but will eventually offer extra services to its customers. You can also assume you have developed the first version of the product. Prepare an outline business plan suitable to show me, a potential investor, your venture. You will have to describe the business and its products, using your imagination to describe what it is like, but you must keep this description short. You will have to describe how the products/services will be marketed and sold and think about the numbers and levels of staff needed. Please state funding required and include a brief SWOT analysis.
A major part of your report should be financial projections, monthly for two years. The report should include:

• a projection of what the profit and loss account might look like, month by month for the first two years
• a simple picture of monthly cash flow over the two years
• a projection of what the balance sheet might look like at the end of each of the first two years

You will have to make lots of assumptions about costs, notably of staff; use your best judgement to do this, and explain your assumptions clearly in your report. You will probably need to use a spreadsheet such as Excel, which is available on the public PCs.

Timescales, credit, etc.

This assignment carries 50% of the marks for this module. The text part of your report should not exceed 1500 words. Your work should be posted in the usual postbox in the department and it must be bound with one of the ‘Declaration of Originality’ cover sheets duly signed.

Hand in date is Friday 22 March 2013.

Assessment Criteria

The assessment criteria can be found at: http://www.aber.ac.uk/~dcswww/Dept/Teaching/Handbook/appendices2.htm#_Toc141163076

The marking scheme is:

• Business Description, Competitor Analysis, SWOT, Personnel and Marketing – 60%
• Financial Forecasts – 40%

Rules

1. You must not use pre-built business planning software.
2. You must employ at least four people including yourself in the first year.
3. You must ignore Income Tax or Corporation Tax in your plan.
4. You must include VAT in your calculations.
5. You will bill your clients via invoices, net 30 days.
6. You will need at least £25,000 in start up funds.
7. Spreadsheets must be printed single sided.

If you have any questions or if you need my approval for your own business idea, contact me on rrp@aber.ac.uk

Rhys Parry, 22 February 2013