MCE Exam 2

Organizations need these

- Capital - Good ideas - Planning - Information management - Budgets (e.g., financial management) - Accounting - Marketing - Good employee relations - Overall managerial know-how

Planning your business

- Mission, Vision, and Values - Strategic and financial objectives

Managing a Small Business

1. Planning your business 2. Financing your business 3. Knowing your customers (marketing) 4. Managing your employees (human resources) 5. Deciding on logistics (operations) 6. Keeping records (accounting)

Individual investors

Angels Crowdfunding Venture Capitalists

Potential sources of capital

Personal, family, or business associates Banks and finance institutions (lenders) Small Business Administration (SBA) Individual Investors

Why Small Business?

Starting point to understanding management in general

Small Business Administration (SBA)

US government agency that advises and assists small businesses by providing management, financial advice, and loans

Questions for Planning

What products or services do you provide? Which population(s) do you serve? What do you care about? What makes you unique? What are your short and long term goals?

Crowdfunding

donation based or debt-investment (peer-to-peer lending)

Venture Capitalists

individuals or companies that invest in new business in exchange for partial ownership of those businesses

Consumer market

people with unsatisfied wants and needs who have both the resources and willingness to buy

Angels

private individuals who invest their own money in potentially hot new companies before they go public