Question

5. Do a SWOT analysis for the business idea you chose in question 2 above. Describe at least 2 strengths, 2 weaknesses, 2 opportunities, and 2 threats for that company idea. (1-8 sentences. 4.0 points)
6. Make a list of at least 3 people you would want to give copies of your business plan to, and explain why you chose each of those people. (1-5 sentences. 3.0 points)

Answer 1

PART I

Answer:

The business idea is that of a Bakery that specializes in pastry that is mixed with fruits.

Explanation:

SWOT

Strengths

• Unique Value Proposition which is healthier bread and cake recipes
• 20 years experience in baking which translates to strong industry  knowledge

Weaknesses

• Insufficient Equipment to go with
• Weak or zero visibility for new business

Opportunities

• Little or no competition as the recipes are unique to me
• Huge demand for healthier pastry especially in my current location

Threats

• The industry is heavily regulated and may be shut down if there are compliance issues
• One competition that knows what they are doing and combines pastry with healthy drinks such as smoothies. We don't do smoothies.

Part II

Answer:

The persons I would give the business plan to are:

• My family

• An angel investor who I met on LinkedIn who supports small businesses and start-ups
• My banker of over 20 years

1. I would give the business plan to my family members because they are the easiest people to raise funds from and also because family, can decide to contribute in cash or in-kind with no interest required.
2. I would give the business plan to an angel investor because their funds are cheaper than those of the banks though a little more difficult to come by
3. Banks always have the funds but the funds come at a higher cost than the first two.

Cheers