Everfi: Venture Study Guide

What is the main purpose of developing a business pitch?

To briefly share the most important information about your business to people in an engaging way

Your friend is developing a marketing plan for her new business. What should she put in this plan?

Where she wants to sell her product, the price of her product, and a description of the people in her target market

Which of the following is probably NOT an important point to include in a business pitch?

A detailed description of the meaning behind the company's name

Groceries are considered

A variable expense

Salaries for her employees, truck insurance, and advertising are

ALL fixed expenses for Maria's sandwich food truck

A warm winter coat is an example of a

Need

When creating a personal budget, it is important to consider things you ____, ______ things you ____.

Need, before, want

Federal taxes

Payments you make to the US federal government

Which of the following is an advantage of starting your own business?

You have control over where and when you work

Fixed expense

An expense that typically does not change month to month

What is NOT a creative thinking exercise entrepreneurs use to generate ideas?

Judge each idea as realistic or not

A start-up expense for Maria's food truck is

Kitchen appliances and other equipment needed to conduct her business

Taxes

Mandatory payments you make to state and local governments

An example of a tax is

Medicare

Income is

Money you earn, usually from working a job

Determination is

NOT considered a skill

Start promoting one's store to people in the neighborhood is

NOT part of the market research process

_____ can be learned and developed while _______ _______________ are inherent qualities within.

Skills, personal characteristics

An example of a tax you must pay is

Social security

In a balanced budget, the amount you _____ is _____ __ the amount you earn.

Spend, equal to

Which of the following statements is TRUE about startup capital?

Startup capital is the money you invest in the form of supplies, marketing, legal services, and other investments to get your business up and running.

What are the four parts of a SWOT Analysis?

Strengths, Weaknesses, Opportunities, Threats

The following items are typically included in a balanced budget

The amount you earn in income; The amount you pay in taxes; The amount to put away in savings

Which of the following is NOT a true statement about business plans?

They should never be revised

Movie tickets are an example of a

Want

When is a budget considered to be balanced?

When the amount you spend is equal or less than the amount you earn

Polygraphics

is NOT part of a consumer profile

Immediately finding a storefront property for her business, putting down a deposit, and signing a lease

would NOT be a good early step in opening a business

What kind of research should one do to effectively evaluate their potential business opportunity?

Conduct market research to determine whether her business idea is a business opportunity that meets a consumer need or want

An ___________ is someone who creates, owns and potentially runs a business

Entrepreneur

Variable expense

Expense that is different from month to month

Medicare

Federal health insurance for people over age 65

Rental payments are considered

Fixed expenses

Regina is creating her competitive analysis. She understands why it's important to know her direct competitors, but she's not sure why indirect competitors matter. She asks you if indirect competitors are important to know about. What should you say?

Yes. Indirect competition is important to understand, since the different product fulfills the same customer need

What happens if you spend money in things you want before things you need?

You limit your ability to save for high-priced items, like higher education

Why is it important to conduct market research on your target audience before building your marketing plan?

You need to consider who your potential customers are before deciding on marketing strategies

The features and benefits that make the product or business unique

is the BEST description of a Value Proposition

Pete's disappointed with the projections of how much his cupcake cart will make in the first month. What could he do to try to improve his net profit?

Increase the prices, Increase the number of cupcakes he sells, and Decrease his fixed expenses

The amount left over from your monthly paycheck after deductions is

Take home pay

Selecting an organizational structure for your company

is NOT one of the four steps to preparing a sales forecast.