Recent Question/Assignment

Assessment 3 Information
Subject Code: MBA602
Subject Name: Small Business Administration
Assessment Title: Business Plan
Assessment Type: Written Report
Word Count: 2000 Words (+/-10%)
Weighting: 40 %
Total Marks: 40
Submission: Via Turnitin
Due Date: Monday 23:55pm (AEST), Week 12
This Assessment Task will address the following Learning Outcomes:
LO2: Analyse small business management decision making and strategies for success
LO3: Create a three-year financial plan given a business scenario
LO5: Create a proposal for strategies to improve business performanceYour Task
Your Task
Create a business plan using the information provided.
Assessment Description
You are required to read the scenario provided.
After reading the scenario, you will be required to submit a business plan your client can take to her board to justify the expansion including raising $350k. The plan must include the following:
• Identify an Australian city to expand into which will provide a profitable return-oninvestment. This will include conducting market research to determine which city is suitable based on FutureProfit’s current target market.
• Determine the best solution regarding location – e.g., leasing a commercial property, renting a co-working space, or having employees / consultants work from home. Discuss the advantages and disadvantages of in the proposed city including the financial requirements. Keep in mind the change in working conditions due to COVID19.
• Complete a business model canvas for FutureProfit Pty Ltd. A good video to understand and present the business model canvas, watch https://youtu.be/IP0cUBWTgpY (The Business Model Canvas - 9 Steps to Creating a Successful Business Model - Startup Tips).
• Identify the specific training staff neede have in order to be ‘future-ready’.
• Discuss two strategies / solutions you think will improve business performance and sustainability (e.g., how and what to automate). This information will also provide the basis for capital injection (e.g., technological requirements).
• Simple financial projections for the next three years.
Scenario
Jane has asked you to provide her a business / strategy plan for her FutureProfit Pty Ltd in moving forward as the business was impacted by border closures and lockdowns in 2020. Despite the challenges, she is still keen to expand her business into another Australian city and knows she has to automate her business better to be financially sustainable.
She has been operating her business consulting and accountancy practice, FutureProfit Pty Ltd, for five years. She has done quite well for herself being in accounting for over 20 years and being recognised in her field locally, nationally and internationally. Though she has a few clients overseas, the majority of her client base is in Canberra, where her business is currently located and where she has resided all her life.
Despite her success, she is concerned about the sustainability of her practice over the next 5 years due to the changing nature of business in general from COVID-19 and the reality of technological advances that are impacting every industry, including accounting. She has read that artificial intelligence, cloud computing and blockchain will continue to affect the industry. Additionally, she is concerned that her staff do not have the technical, analytical, leadership and consulting skills needed to continue their success in the future. She currently has four full-time employees: two accountants, one bookkeeper, and one office manager. She also has two parttime bookkeepers and a marketing/social media coordinator who all work off-site.
Her target market is SMEs who are in a growth phase and have a minimum turnover of $1 million per annum. Though she doesn’t target a specific industry, she tends to attract those companies that are in either health, education or the STEM (science, technology, engineering, mathematics) fields – just due to the nature of Canberra.
She currently promotes her business mainly via word-of-mouth and networking at local professional associations such at the Canberra Business Chamber, the Australian Institute of Company Directors, and the Canberra Women in Business. Her breadth of networks has expanded due to many organisations having their functions online.
Last year’s sales revenue was $550,000. Her key expenses are her own wage ($150k), the two accountants ($80k each), the two part-time bookkeepers ($40k each), the office manager ($45k), and the part-time a marketing/social media coordinator ($35k). Operationally, she budgets $50k for marketing/advertising and $100k for general operations. She has two directors which she pays a $25k each per year. She currently operates her business out of a detached building on her property and allocated $24,000 towards rent. Through aggressive marketing, Jane believes that the expansion will increase their sales revenue by 50% the first year, 60% the second year, and 70% the third year.
Her company currently uses XERO, a cloud-based accounting software platform for small and medium-sized businesses. Other than that, no other automation has been implemented.
Capital Raise
It is anticipated that the breakdown of the capital raise will be as follows: (a) One full-time technical programmer @$100k; (b) one full-time accountant @$80k; (c) $100k towards interstate expansion (including operational and occupancy costs), and (d) $70k for marketing.
Assessment Instructions
A template business plan is provided on the portal to you to use if you wish. You are not required to use the template business plan.
You are required to have a minimum of 10 references which can include journal articles, market research documents, government publications, industry reports, etc.
Grading Scale
This assessment will be marked using the attached rubric.
Important Study Information
Academic Integrity Policy
KBS values academic integrity. All students must understand the meaning and consequences of cheating, plagiarism and other academic offences under the Academic Integrity and Conduct Policy.
What is academic integrity and misconduct?
What are the penalties for academic misconduct?
What are the late penalties?
How can I appeal my grade?
Click here for answers to these questions:
http://www.kbs.edu.au/current-students/student-policies/.
Word Limits for Written Assessments
Submissions that exceed the word limit by more than 10% will cease to be marked from the point at which that limit is exceeded.
Study Assistance
Students may seek study assistance from their local Academic Learning Advisor or refer to the resources on the MyKBS Academic Success Centre page. Click here for this information