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Student Entrepreneurship
Competitions: Business Plan
SU Student Entrepreneurship Competitions
2021 Important Dates
Open to All SU Students and SU Student Teamswww.salisbury.edu/perdue/EntrepreneurshipCompetitions
Registration Open:Tuesday, December 1, 2020 11:59 p.m.
Registration Close:Monday, March 29, 2021 11:59 p.m.
Hard Deadline. No late files accepted
Competition Day: Thursday, April 29, 2021 All Day
Registration Requirements
March 29th – Required Files No late files accepted
• Step 1 - Profile Completed
• Step 2 - Business Plan Completed
• Step 3 - Poster PDF Completed Note: File size and format limits when uploading files and we recommend you condense photos and graphics
• Step 4 - Pre-Recorded 1 Minute Pitch weblinkMore on the video pitches in later slides
Optional Registration ItemsMarch 29th - Optional Information Uploaded to Site
Recommended but not required
• Step 3 – File Uploads: Financials, Exhibits, and Formal Copy of Business Plan
• Step 3 - File Uploads: Exhibits: Marketing Materials such as brochures, signs, business cards, information packets, photos of samples/prototypes, and links to video demos should be added to 1 marketing document and uploaded to Exhibits
• PowerPoint for Round 3 – Upload under Step 3 – File Uploads: Exhibits: Have PowerPoint ready on day of competition
Note: File size and format limits when uploading files. We recommend you condense photos and graphics. See “Competition Forms and Resources” for more information and instructions.
Round 1 Pre-Recorded 1 Minute Pitch Video
Round 1 Invest in my Idea Poster Pitch and Business Sector Awards• ALL ENTRIES MUST MAKE A PRE-RECORDED 1 MINUTE PITCH
• Pitch must be 1 minute or less.
• You will need to make your own video
• Can use or reference poster in pitch but don’t let it distract from pitch
• Judges will be allowed to watch the pitch more than once
• Video needs to be uploaded to YouTube or other shareable format via a shareable weblink. See competitions website for instructions.
• Weblink MUST be easily accessed without login requirements
• Weblink MUST be shared in Section 4 on the registration before April 20
• Your pre-recorded 1 minute pitch will be used in Round 1 – Poster Round ONLY
• Teams that move on to Round 2 and 3 will give live Zoom pitches
• Graphics allowed Round 1 not round 2.
Rounds 2 & 3 Live Zoom Pitch Guidelines
Round 2 Gull Cage Live Zoom Video Pitch Guidelines• 1 Minute Live Zoom Video Pitch & 4 Minute Live Zoom Q&A• NO graphics, posters, etc. in video• Just you/your team and the pitch• Can wear marketing items such as logo wear, shirts, hats, pins, etc.• During Q&A, you can reference your poster and uploaded
registration documents. Just don’t let it be distracting• Practice your pitch with Zoom without props
Round 3 Bernstein Live Zoom Video Pitch Guidelines• 10 Minute Live Zoom Video PowerPoint Pitch & 10 Minute Live Zoom
Q&A• Video graphics, posters, etc. allowed in your PowerPoint
Presentation. Just don’t let it be distracting• Can wear marketing items such as logo wear, shirts, hats, pins, etc.• Practice with your pitch with Zoom and your PowerPoint
Format2021 Student Entrepreneurship Competitions Round 1 The Poster Pitch - Invest in my Idea & Business Sector• Prerecorded 1 Minute Pitch, Poster and other files shared in registration• No Live Zoom for competitors Round 1• Round 1 Awards - Open to Public - Live Announcements
Round 2 The Pitch - Gull Cage • 1 Minute Live Pitch and 4 Minute Live Q&A• Via Zoom with Judges and Competitors – 15 Pitches• Round 2 Awards - Open to Public - Live Announcements
Round 3 The Plan - Bernstein Achievement Award for Excellence Open to Public• 10 Minute Live PowerPoint Presentation and 10 Minute Live Q&A• Via Zoom with Judges and Competitors – 4 pitches • Round 3 Awards - Open to Public - Live Announcements
Assistance Getting Ready
• Attend Workshops and Trainings: Calendar and Workshops
• Subscribe to: This Week in Entrepreneurship Newsletter
For Questions or Mentor Appointments Contact: Bill Burke [email protected] Hickman [email protected]
Heather Brooks [email protected] Drewer [email protected]
12-24 Hours Notice
SU Student Entrepreneurship Competitions
Invest in My Idea “A Poster Competition”
15 winners move forward
The Gull Cage “A Shark Tank Competition”
4 winners move forward
The Richard Bernstein Achievement Award for Excellence
“A Business Plan Competition”
1 Winner www.salisbury.edu/perdue/EntrepreneurshipCompetitions
https://www.salisbury.edu/academic-offices/business/entrepreneurship-competitions/calendar-and-workshops.aspx
Final Submission Guidelines and Requirements
Executive Summary (1-2 Pages)
Company Description (1 Page)
Products and Services (2 Pages)
Marketing and Promotion (2 Pages)
Operational Plan (1 Page)
Management and Organization (1 Page)
Implementation and Financials (3 – 5 years), Burn Rate, Break Even. Investment (1 Page)
Preparing a Business Plan
John Hickman, Director
Maryland SBDC
Franklin P. Perdue School of Business
Salisbury University
East Campus 215 & Perdue Hall 131
410-548-4419
Start-Ups Require
• Research
• Planning
• Soul searching
• Comprehensive, Well Thought Out Plan Of Action
Alice in Wonderland
• “Would you tell me, please which way I ought to go from here?”
• “That depends a good deal on where you want to get to,” said the Cat.
• “I don’t much care where,” said Alice.
• “Then it doesn’t matter which way you go,” said the Cat.
What is a Business Plan?
• Action Plan
• Written Document
– Discipline
– Organization
– Clear Thinking
• Selling Document
– Describes the Company
– Explains the Growth Potential
– Sells the Company
NOT A GUIDE TO BRAIN SURGERY
• THE PEOPLE
• THE OPPORTUNITY
• THE CONTEXT
• RISK AND REWARD
The Business Plan Process
• Gather the Right Data
• Outline the Plan
• Designate Responsibilities
The Business Outline
• Executive Summary (1-2 Pages)
• Company Description (1 Page)
• Products and Services (2 Pages)
• Marketing and Promotion (2 Pages)
• Operational Plan (1 Page)
• Management and Organization (1 Page)
• Financials (1 Page)
Executive Summary
The most important
single section of a Business Plan
Objective
To entice and convince investors (or anyone else) to study your plan further.
Includes
• A synopsis of the company’s strategy for succeeding
• A brief description of the market (along with the ingredients for success that make your company unique in that market)
• A brief description of the product or service• A brief description of the management team’s
qualifications• A capsule summary of the key historical and
forecasted financial data• An estimate of the amount of capital or loan
funds you need and how you will use it
Executive Summary (1-2 Pages)
Business Concept Industry overall
Growth potential and trend
General Company Description What makes your business unique?
Marketing Plan Target market, competition, how to market your product/service?
Operations and Management Location, facilities, equipment, employees, suppliers
Financials Funding requirements, financial statements, financial analysis
Company Description (1 Page)
Business Goals and Objectives
What the business will do What products and services will be offered
History of the company Ideas for the business
Experience in the industry
Ownership and Legal Structure
Nature of the industry and what role your business will play in it
Products and Services (2 Pages)
“Sell your product” Physical description. What need are you filling?
Benefits to the user?
Stage of the development Still discovery or ready to market?
What is the competitive advantage of your product?
Marketing and Promotion (2 Pages)
Industry Analysis
Trends, participants
How does your business fit?
Market Analysis
Who is going to buy your product?
What are the market needs, trends?
Marketing Plan
How are you going to communicate the value of your product or service to your customer?
Sales process
Competition
Who is your competition?
What do they do better?
Operational Plan (1 Page)
How are you going to get to the finished product? Manufacturing?
Where is the location of your business? What kind of space is required?
Who are your suppliers? What is required to secure a supplier?
How are you going to distribute your product?
Management and Organization (1 Page)
Who are the people in key positions? What are their qualifications?
Will advisors be necessary?
Organization structure Show that you understand what type and how many
employees will be required.
Organizational chart
Financials (1 Page)
Cash Flow Statement (3-5 years) Break down one year monthly
Income Statement (3-5 years)
Sources and Uses: Need for business loan, possible investors
Balance Sheet
Sales/ Income Projections
Break-Even Analysis
What are the key cost drivers?
Financials Attachments
Cash Flow Statement (3-5 years) Break down one year monthly
Income Statement can be an adjustment form CF
Sources and Uses: Need for business loan, possible investors
Balance Sheet for pre-venture
Sales/ Income Projections Basis for Cash Flow
Break-Even Analysis
Understanding “Dough”
It’s impossible to run a successful
business without cash flow projections!
• 3 Steps to create cash flow• Step 1 – The near future almost always looks a
lot like the recent past
• Step 2 – Project your business activity for the next 24 months
• Step 3 - Use the “Smell Test”.
Sales
Calculate your sales based on your
customer projections
What is the Average Purchase?
• # of customers purchasing per Day (week, month)
• Sales = Average Purchase x # customers / Day ( week, month)
• # of Days (weeks) open per month
• Sales / Month = Sales x # days (weeks) open/month
Sample Income Statement
Sources and Uses (S&U)
Financial Section Recap
• General Points
– Be Consistent
– Provide for Slippage
– Show the Capital Structure
– Describe Additional Financing Plans
– Monitor Debt
– Describe Future Needs
Putting it All Together
• Rewrite Extensively
• Get an Outsiders Perspective
• Tend to Details
• Tailor the Plan
• Consider More Than One Version
• Prepare an Oral Presentation
Important Points
• Tell a Good , Exciting Story
• Be Consistent
• Focus on a Very Few Priorities
• Be Realistic in Financial Projections
• Address the Downsides
• Clear, Concise and Convincing
HAVE FUN WITH IT!
• Finding out how much money you can make is a fun thing!
• Knowing when you are going to make all this money is even better…
Break Even
• M
• B
• V
• B/M =V
M- Margin
• How much you make after paying for the item?
• AKA – Gross Profit
• Price minus Cost
• T-shirt sales price =$20
• Cost =$10
• Margin =$10 or $10/$20 =50%
B-Burn
• How much you have to spend, regardless of sales
• AKA – Fixed Costs
• Insurance =$5,000
• Utilities =$1,500
• Rent =$1,500
• Wages =$2,000
• Total = $10,000
V - Volume
• How many units you have to sell to pay for Burn
• AKA - Break Even Point
• B/M = V
• 10,000/10 = 1000 Units
• Or 10000/ 50 % = 20,000
