The Teen Entrepreneur. Sections 1-4 Discussion Questions to get you started. Why would you want to start your own business? To work for yourself

The Teen Entrepreneur

Sections 1-4 Discussion Questions to get you started. Why would you want to start your own

business? To work for yourself Do not have to report to a superior or someone Use your talents or gifts or hobbies

What is an entrepreneur? A person who brings together productive

resources to produce a good or service and then assumes the risk of taking that product or service to the marketplace

What is a business plan? A form stating a set of goals for your business,

giving the reasons why they are expected to be achievable and the plans for attaining those goals.

Business Plan Components What are the components of a business plan?

Business Plan Components What are the components of a business plan?

Why is it important for every business to have a business plan? It provides directions for the business and those individuals or

financial institutions who will loan you money. It will provides if the business will survive before investing time and

effort to establish it. What are some advantages to owning your own business?

Your own boss; In control of the assets What are some disadvantages to owning your own business?

Everything falls on “your shoulder” for losses Who is Shaun Decker? (read the passage)

Why does Shaun Decker need a business plan? To convince his parents that his new business has the potential to be

successful, so that they would provide him a startup loan to start it.

Project 1: Choosing Your Teen-based Business: What is a sole proprietorship?

An unincorporated business owned by one person and bears the responsibilities for the debts and the risk of loss if the business fails

What is a partnership? An unincorporated business owned by two or more persons. Each

share the potential for profit and risk of loss. What are the advantages and disadvantages to owning your

own business as a teenager? Advantage – you can start now understanding the ways to develop a

business Disadvantage – doesn’t have much knowledge on starting a business

List and discuss some possible teen-based businesses you could feasibly start. Babysitting, car washing, tutoring and training, music, exercise

training, etc.

Project 1 – continue… What special skills or talents do you possess that might

assist you in starting your own business? Drawing, cooking, good with math, enjoying reading,

understanding the techniques in playing video games, training or helping others

What talents or abilities do you possess that you can turn into a profit-making venture? Persuader, multi-task, doer, accomplish things on time, posses

time management, leadership skills, self motivated, etc (think of the Management skill Pyramid)

What business did Shaun Decker decide to start? Desktop publishing

Why did Shaun Decker choose his business? To provide the community a one-stop source of quality desktop

publishing products and services in producing high quality documents.

Project 2: Creating the Company Description Company name Business Summary Form of Ownership Industry Classification Location Year Established Primary Function Employees Business Advisors

Project 2: Creating the Company Description What is the purpose of the Company Description of a business

plan? To provide detail information on what you are trying to accomplished,

explanation of your products or services; a clear picture; Your objective

Why is it necessary for a business plan to include a Company Description? So that others can understand your overall productivity of your work

or business without questions or insecurity for investments Why is the name of a business so important to its success or

failure? Your business name represents who you are and your vision; A name

that would be an “eye catcher” to others. The name could “make your business successful or cause your business to fail”. It’s all in the name.

What are some business names that “jump out” at you? My business name is “Training Just For You”

Project 2: Creating the Company Description Cont.. Why is it important to not use a business name that

already exists? It could cause many problems with the city; your title

issues; Better Business Bureau, Why is it important to get other people’s opinions

before deciding on a business name? Having more than suggestions can help you decide on a

name that is more attractive to the public What is Shaun Decker’s business name?

Decker’s Digital Desktop Do you think Shaun Decker made the right choice in

choosing his business name? Yes, Digital Desktop is representing many types of

documents or electronic products and services

Project 3: Creating a Logo and Tagline What is a logo? http://www.logobee.com/feature3.htm

A design symbolizing ones organization. Why are logos so important to a business?

This is a design that is used for company’s letterhead, advertising material, and signs as an emblem by which the organization can easily be recognized.

How does a logo help create an identity and image for a business? It It is a graphic representation or symbol of a company name,

trademark, abbreviation, etc. and often uniquely designed Why is it important for a company’s logo to be simple in

design and color? It’s has to be done in a stylish manner yet remaining

conservative so that it’s easier for the eye to catch and the brain to memorize your logo design

Project 3: Creating a Logo and Tagline Why is it important to sketch several logo

designs on paper before creating it on a computer? Logos can be very different with shapes. The best

shapes to use are symmetrical geometrical shapes. These shapes can be placed almost anywhere.

What are some popular logos you can think of? http://picdorsey.com/work/view/various-logos-desi

gns http://www.joseguizar.com/753995/Various-Logos

Do you recognize these logos?

Project 3: Creating a Logo and Tagline What is a tagline?

http://www.powerhomebiz.com/vol112/tagline.htm The one or two line descriptor that often comes after a

product logo or company name. Another name is called slogans.

Why are taglines so important to a business? They efficiently manipulate the mind and enhance your

desires to believe that this product is the best the world has to offer

What are some popular taglines you can think of? Nike – “Just do It”; Taco Bell – “Think outside the bun” Subway – “ Eat Fresh” http://www.buzzle.com/articles/ad-slogans.html

Project 3: Creating a Logo and Tagline What do you think about Shaun Decker’s logo and tagline?

“The Image for Your Future”

What are some possible elements you can include in your company logo? Catchy slogans are short, crisp, unique, relevant, and personalized

from the consumer's point of view are the ones that manage to win the heart and influence the mind.

It is connected to the brand – must make sense, consistent with your company’s vision, culture and values.

It’s is “ownable” – tie into the core of your company It is dead simple – No one has time for complexity -if it needs to be explain

it is obviously no good. It is clear It is consumer-focused – why should buy from you.

http://ethnicomm.com/blog/marketing/5-elements-of-a-great-tagline/

Project 4: Creating the Description of Products and Services What is the Description of Products and Services section

of a business plan? http://www.business-plans-guide.com/products-and-services-description.html

A brief definition of your industry – describe what your business is about

Products and service you will provide Nature of work or what is your responsibility in getting the job

completed-what will the consumer see or receive or obtain http://retail.about.com/od/businessplans/p/products.htm What is the purpose of the Description of Products and

Services section of a business plan? To provide to consumer detail information about how your

business works; what they can expect To describe what products and services are offered, any plans

for future goods or product lines.

Project 4: Creating the Description of Products and Services What is usually included in the Description of Products and

Services section of a business plan? The uniqueness of the product or service The method in which the items are sold – how it is sold Benefits to the customer Why customers will purchase it from your business Vendor details, noting any exclusive dealerships How does your products differ from the competitiono The products and services section is not intended to list each and every

product, but to give an overview of the product lines and the associated research. (list enough so that consumers can become well knowledgeable of what your business

o What kinds of products and/or services are offered in the type of business that you selected? Shaun Decker business offered: flyers, newsletters, business cards, etc

What must be done to produce the products and/or services in the type of business that you selected? Research the type of business you have and identify the type of products

or services they have produced.

Project 5: Creating the Market Analysis: What is the Market Analysis section of a business plan?

http://www.netmba.com/marketing/market/analysis/ I. Analysis of the Target Market   II. Analysis of the Competition  III. The Outlook of the Industry  IV. Owner’s Personal Strengths

What is the purpose of the Market Analysis section of a business plan? http://www.entrepreneur.com/startingabusiness/businessplans/businessplancoachtimberry/article78002.html

To determine the attractiveness of a market and to understand its evolving opportunities and threats as they relate to the strengths and weaknesses of the firm

What is a target market? (Analysis of the Target Market) Specifically categorized group of consumers that a business "targets" when

developing products/services and marketing strategies for its company. To build the success of the company; to make yourself known Basic information about the target consumers, such as age, gender,

income/occupation, and marital status; Lifestyle - areas of living (urban or rural); hobbies, interests, and extracurricular activities

Important to try and determine how frequently the product or service will be used

Must discover what the target market needs and desires so that it can appeal to those things through advertising and develop fresh ideas that address those specific needs

Why is it important to understand who your competitors are and what they do? (Analysis of Competition)

To see what you can do better or different from their business structure

Saying “Keep your enemy closer than your friend”; you need to have detailed information about the planning strategy, new product launch and various promotional mediums undertaken by your competitor.

to study your competitor closely and gain knowledge about the products, services offered by him, pricing and distribution strategies adopted by him and the goodwill the rival firm carries in the market.

competitor's strength and weakness will help you to evaluate the areas where you can successfully attack your competitor. For example, if your competitor has a strong product offering but has a weak distribution network, you could strengthen your logistics by which your product can easily reach the customer within no time.

Look in the Local Chamber of Commerce Look in www.switchboard.com

Project 5: Creating the Market Analysis:

Project 5: Creating the Market Analysis What resource can be used to research the future outlook of the

industry category your business falls in? (The Outlook of the Industry) Use the Occupational Outlook Handbook and look under the section

“Outlook” ; Type your industry in the Search box: Example: Childcare industry

http://www.bls.gov/oco/ Why is it important to research the future outlook of the industry

category your business falls in? To be able to plan your prospective position as where you would like to

direct your company products and services compared to your competitors. Who is Shaun Decker’s target market?

Small businesses who does have the need for a full-time desktop publisher for which they can purchase brochures, business cards, etc..

Who are Shaun Decker’s competitors? The Printed Page Paper Stocks Noffri’s Publishing Electronic Publishers, Inc. ***

Who are some of your competitors? What are his future outlook of the industry?

Shaun discovered that “firms are finding it more profitable to print their own newsletters and other reports than to send” so his focus will be on small business who can not afford to hire a full-time publisher. Therefore, it will be strong and growing.

What are some his your personal strengths as the owner of the business? (Owner’s Personal Strength) Being able to operate out of his parent’s home Minimal cost for overhead expenses (rent, utilities,

miscellaneous, What is saved from overhead can built a more competitive

market

Project 5: Creating the Market Analysis:

Project 6: Creating a Business Card What is the purpose of a business card?

For these reasons: students on the look out for jobs, people who want to change their professions, those having a side-business / planning to start one and individuals who are passionate about something and want to network with similar or like-minded people and to help advertise your business as well as provide customers your information

What is usually included on a business card? Company’s Name, Logo, contact number, website,

tagline, explanation of about your business Why is it important to have a business card?

They are used by several professions, businesses and individuals to pass information to potential customers and other professionals for networking.Read more: What Is the Purpose of a Business Card? | eHow.com http://www.ehow.com/facts_4894286_what-purpose-business-card.html#ixzz1ntD5bZuZ

As a business owner, when do you think you will use your business card? Business cards are an easy marketing tool used by

professionals to advertise their services. They are used when a person's contact information is requested, at professional conferences or meetings, and to refer another person to a business or person with whom you've worked. Anytime you are traveling or socializing

Read more: What Is the Purpose of a Business Card? | eHow.com http://www.ehow.com/facts_4894286_what-purpose-business-card.html#ixzz1ntDY9zS2

Why is it important to sketch several business card designs on paper before creating it on a computer? To have multiple opportunities to choose the best layout

for your business as well as for your clients for an interpretation of your business;

Why is it important to include your company logo on your business card? It’s identifies you or your business or interest

Project 7: Creating Company Letterhead: What is company letterhead?

A letter that is used from your business to display the company name, address, contact numbers, website, logo, and sometimes VP, CEO, important individuals.

Why is it important for businesses to use letterhead when corresponding with customers? Customers would know who you are representing

Why is it important to sketch several letterhead designs on paper before creating it on a computer? To have a variety of choices and what is best for your

business Why is it important to include your company logo on

your letterhead? To display your business so that others would know how to

recognize your business

Project 8: Creating the Marketing Plan What are the 4 P’s of marketing?

http://www.witiger.com/marketing/4Ps.htm Product: the physical aspects of the product – Making

something people want to buy with the right attractive features Place: distribution channels – getting it to the customer,

middlemen and wholesalers, shipping costs; decisions about where to sell the product

Promotion: Telling customers about the product, personal selling, mass selling, advertising, publicity, sales promotion Mass selling – Advertising – you pay for; Publicity – is free Sales Promotion – stuff you do in the store to get the customer to try

the product such as contests, coupons, free samples Personal Selling – direct contact person2person with a potential

customer like a high quality consumer products such selling a car Price: pricing objectives, skimming, profit oriented, discounts,

competition’s price

Project 8: Creating the Marketing Plan Cont. http://sbinfocanada.about.com/cs/businessplans/a/

bizplanmarkplan.htm What is the Marketing Plan section of a business plan?

Section that explains how you are going to get your customers to buy your products and/or services

What is the purpose of the Marketing Plan section of a business plan? To detail your plan regarding Products and/or Services and your

Unique selling proposition; pricing strategy; sales/distribution plan, and advertising and promotions plan

Why is it important to research the prices your competitor’s charge for the products and/or services you will be selling? So that you will know how to set your prices in a more

competitive market; not too high and no to low but somewhere in between.

Project 8: Creating the Marketing Plan Cont. What are some ways that you can promote your

business? Newspaper ads Social Networks such as LinkedIn, Facebook, Twitter Use your vehicle for posting or window or door sticker Add comments at the bottom of web postings Advertise on Craiglist Place poster in windows (get permission) Free directory websites (Yellow pages http://www.businesshelper.co.uk/top-ways-advertise-business-for-free-5.htm

Where will you operate your business? Check out your demographics such as traffic, neighborhood,

retailers like industrial or office parks, schools, colleges, hospital

http://www.entrepreneur.com/startingabusiness/startupbasics/location/article73784.html

Project 8: Creating the Marketing Plan Cont. Where will Shaun Decker operate his desktop

publishing business? Conducted at the owner’s resident and within

Pleasant Landing city limits for delivery What products and/or services will Shaun

Decker offer through his business? Business Cards, Letterhead, brochures, etc..

What products and/or services will you offer through your business?

Do you think you will charge more or less for your products and/or services than your competitors? Why?

Project 9: Creating the Operating Plan: http://www.youtube.com/watch?v=0Jd34WCm

BMM What is the Operating Plan section of a

business plan? “describes the physical necessities of your

business' operation, such as your business' physical location, facilities and equipment.”

“it may also include information about inventory requirements and suppliers, and a description of the manufacturing process.”

What is the purpose of the Operating Plan section of a business plan? To explain the ways you will serve customers http://sbinfocanada.about.com/cs/businessplans/a/bizplanoperplan.htm

Project 9: Creating the Operating Plan What are the five categories usually included

in the Operating Plan section of a business plan? Purchasing - What supplies or materials will you

need? What is the name of the company or companies that will deliver your materials? How often will they delivery or when is delivery turnaround? (Example: truck deliveries or Fed-X or UPS orders)

Production – relating to the length of time it will take to accomplish your job or the complete your product or services (getting the job done) (Example – daycare – hours of operation)

Sales & Marketing - how much time will spend marketing your products…relates to your Market plan

Project 9: Creating the Operating Plan

Accounting – how will you keep your records regarding how much is spend (expenses) and how much is earn (revenue). You will do this by keeping an accounting system known as a General Journal which is balance each month. Accounting records are keep each time a purchases is made or lost which is balance weekly.

Distribution – how will you deliver your product/services and the length of time will take to deliver to your customers.

Why is it important for a business to have an operating plan? So that you will have a clear understanding on

how your business will be conducted day to day.

Project 10: Creating a Schedule of Startup Funds Required What is a Schedule of Startup Funds Required?

To determine how much capital or funds is needed to start your business which will identify cost of equipment, materials/supplies, and advertisement

Why is it important for a business owner to know how much money will be required to start the business? Knowing how much capital or funds is needed will make it much easier in

getting organized in starting your business by purchasing your necessarities. What is usually included in a Schedule of Startup Funds Required?

Equipment needed, materials/supplies, and advertisement What equipment did Shaun Decker need to start Decker’s Digital

Desktop? Computers, cameras, printers, toners, etc.

What materials and supplies did Shaun Decker need to start Decker’s Digital Desktop? Reams of paper, brochures papers, business cards paper, miscellaneous

What equipment and materials will you need to start your business?

http://www.ehow.com/how_2314968_fund-small-business-startup.html

Project 11: Creating a Customer Prospect Database What is a Customer Prospect Database?

the analysis of databases keeping information about present or potential customers

What does a Customer Prospect Database consist of? consist of basic personal details of customers

along with details of their past transactions Why is it important for a business to keep a

database of prospective new customers? it can then be broken down into specific groups

and analyzed to produce valuable financial customer database marketing information.

http://pritecho.com/2010/09/prospective-database-program-lucratively-target-potential-customer/

Project 11: Creating a Customer Prospect Database What are some sources you can use to gather

information about prospective customers for your business? Local or regional Phone book, Chamber of Commerce,

Social Network Ex. Daycare – neighbor schools; Lawn care – churches,

schools, etc What sources did Shaun Decker use to gather

information for his Customer Prospect Database? He used business owners

How is Shaun Decker going to use his Customer Prospect Database to attract new customers for Decker’s Digital Desktop? To have ongoing business services

Project 12: Creating an Introductory Promotional Letter: What is an Introductory Promotional Letter?

To introduce or explain to your prospect customers what you can offer and what your business is about

How can a promotional letter help a new business? Provide 'necessary information‘ that you've have to

mention briefly about your firms potential Example of Promotional Letter:

http://www.buzzle.com/articles/business-introduction-letter-template.html

What is a “premium offer?” An offer you would like to present to your customer

such “Free Estimate” Free cookie with a purchase five” to help build your business by allowing them to try your products.

Project 12: Creating an Introductory Promotional Letter: What premium offer did Shaun Decker include

in his Introductory Promotional Letter? Offer 100 free Business Cards with a purchase of

500 What are some possible premium offers you

can include in your Introductory Promotional Letter?