Sources of New Business Ideas In-depth understanding of the industry or profession - 37% Market niche spotted – 36% Brainstorming – 7% Copying someone else – 4% Hobby – 4% Other – 11% 12
Writing a Business Plan Clear, compelling vision Realistic financial projections Profile target market Profile the industry and competition Provide an effective management team Well written and formatted Keep it short Highlight critical risks Spell out the sources of funding Capture attention with a great summary 13
Why do Start-Ups Fail? Management inefficiencies Inadequate accounting practices No online presence Operational mediocracy Fear of firing employees 14
Choosing a Legal Structure Sole proprietorship – unincorporated business owned by an individual for profit Partnership – an unincorporated business owned by two or more people Corporation – an artificial entity created by the state and existing apart from its owners 15
16 Relative Percentages of Sole Proprietorships, Partnerships, and Corporations in the United States Total Sales Receipts of Sole Proprietorships, Partnerships, and Corporations in the Unites States Types of Legal Structures in Comparison Source: “Statistics of Income,” The Internal Revenue Service website at (accessed January 5, 2014).
You've reached the end of your free preview.
Want to read all 21 pages?
- Spring '13