Overall Schedule
Fresh Cut Floral’s schedule is a little confusing to understand however it seems to incorporate the necessary information for launching their company. I think the team underestimated the amount of time that it will take them to achieve all their goals for the first year. They only give themselves 4 months to secure a $400,000 investment and this process can take much longer.
Critical Risks
The team successfully identifies three key risks. These risk include:
(1) Design and development risks
(2) Manufacturing technological risks
(3) Long lead times
The team failed to incorporate other risks which include (1) the inability to secure a $400,000 investment. (2) That the market does not want their new product. (3) That FCF is unable to get into the desired stores.
Financial Plan
The team needs to revisit their financial plan. The first problem is that the team estimates that it will have a cash positive business in its first year and will grow by approximately $500,000 the next two years. This is a very hopeful estimate to have a positive cash flow in their first 3 years. Second, the team says that its total liabilities will decrease to zero in 2009. Their justification for this is that their notes payable will paid off. Fresh Cut Florals fails to recognize that as their company grows so will their accounts payables. …show more content…
Overall, I think the team has a very strong business idea and plan. The team addressed all sections and almost all the subsections in the Nuts and Bolts of a Business Plan. The paper is consistent; however, I think the team should revisit a couple of the sections before meeting with potential investors: executive summary, marketing plan, and financials. The paper is not repetitive and introduces new information in each of the sections. Other additions to improve the overall business plan
Fresh Cut Floral’s schedule is a little confusing to understand however it seems to incorporate the necessary information for launching their company. I think the team underestimated the amount of time that it will take them to achieve all their goals for the first year. They only give themselves 4 months to secure a $400,000 investment and this process can take much longer.
Critical Risks
The team successfully identifies three key risks. These risk include:
(1) Design and development risks
(2) Manufacturing technological risks
(3) Long lead times
The team failed to incorporate other risks which include (1) the inability to secure a $400,000 investment. (2) That the market does not want their new product. (3) That FCF is unable to get into the desired stores.
Financial Plan
The team needs to revisit their financial plan. The first problem is that the team estimates that it will have a cash positive business in its first year and will grow by approximately $500,000 the next two years. This is a very hopeful estimate to have a positive cash flow in their first 3 years. Second, the team says that its total liabilities will decrease to zero in 2009. Their justification for this is that their notes payable will paid off. Fresh Cut Florals fails to recognize that as their company grows so will their accounts payables. …show more content…
Overall, I think the team has a very strong business idea and plan. The team addressed all sections and almost all the subsections in the Nuts and Bolts of a Business Plan. The paper is consistent; however, I think the team should revisit a couple of the sections before meeting with potential investors: executive summary, marketing plan, and financials. The paper is not repetitive and introduces new information in each of the sections. Other additions to improve the overall business plan