Entrepreneurial and Ostrich strategies in designing your business model

Finance is FunJack Foley Really?

20 minutes (<)

1. Entrepreneurial or ostrich business-design strategy?

2. The financial skills you need are easy to build3. The online financial skills course4. But what about the FUN!

This is not about accounting or bookkeeping!

Finance

Financial Model

Business Model

Business Idea

(1) Entrepreneurial

Your plans for:• Buying & Selling• Overheads• Funding• Fixed Assets

Projected:• Profit & Loss

Account• Balance Sheet• Ratios

But will it make money?

Financial Model

Business Model

Business Idea

(1 cont’d) Ostrich

I leave finance to accountants

I’ll pick it up once we are up and running

8 out of 10 start-ups fail

within 18 months

Why?

18 Months

82

Idea or Events

“18 months” suggests you have to get it right before you start!

The avoidable errors:• Profit margins too low (Pricing)• Overheads too high • Cash crisis

• Equipment • Working Capital policies• Not enough start up capital or

too much borrowing

Business ModelThat’s life!That’s sad!

(2) And it is so simple

We use a trading model because…

.

Now is the time to learn

Lean?

(3) The online course

• Complete the simple quiz and email it back • We send your login details• Log in to www.fabeducation.com• Complete the foundation course in Step 1• Email for support it you need it – we will

follow through and contact you anyway

30 days!

Learn by “doing”Systematic Learning”

Tutors

Go LiveAdvanced

and

Optional

• Learn it• Speak it• Do it

Lean financial skills

Buying & selling

Overheads

FundingAnd

Fixed Assets

How to generate

profit

How not to run outof cash

Ratioanalysis

❷ ➌ ➍ ➎ ➏❶

1 Video2 Quick Practice Guide3 Practical Financial Quiz4 Key learning points and workbook references

5 Multiple choice questions

(4) But where’s the FUN bit?

• The FUN is:– Using FaBLinker to explore and perfect the

business model – Having a business that you can enjoy and does not

fail on a TKO.

It is just as important to

design a sustainable &

profitable business

model as an appealing

product/service

The big question

How many of you will complete the finance

course?