Entrepreneur Chapter 3 Study Guide.

Long-term sales projections are

for five years in the future

The marketing section of your plan explains

how you plan to enter the market, who your prospective customers are, and how you plan to deal with competition

Trade Association

organizations made up of professionals in a specific industry

A business plan explains how your product or service

will be produced, will be sold, and is either new or better than existing products or services

Never reveal your competitors' strengths in your business plan—focus only on what they have done wrong.

False

Before they will consider financing a business, lenders require

A business plan

Small Business Administration (SBA)

An independent agency of the federal government that was created to provide support to entrepreneurs and small businesses

Main Body of a business plan

Introduction Marketing Financial Management Operations Concluding Statement

Information about necessary equipment for your business is included in a business plan's

Operations section

Trade associations provide all except

Small loans

Regardless of the business, all business plans serve the same basic purposes.

True

To convince readers that you have come up with a practical business idea, you must include information and data from objective sources.

True

Whatg is not an element of the financial management section of your plan?

Distribution of profits and losses

A business plan's title page does not include

a brief description of the business

Statement of Purpose

a brief explanation of why the writer of a business plan is asking for a loan and an explanation of what he or she plans to do with the money

Exit Strategy

a harvest strategy, or the way an entrepreneur intends to extract, or harvest, his or her money from a business after it is operating successfully

Cover Letter

a letter that introduces and explains an accompanying document or set of documents

Score

a nonprofit association made up of working and retired business professionals who volunteer their time to provide small businesses and entrepreneurs with free, real-world advice and know-how

Business Plan

a written document that describes all the steps necessary for opening and operating a successful business

Small Business Development Centers (SBDCs)

centers that provide technical assistance to small businesses and aspiring entrepreneurs