Houston 4-H CEO

1. Houston 4-H CEO Presented by Sheryl Nolen, CEA 4-H WebEx Houston4HCEO4 October 22, 2015 Financial Plan : “Bottom Line”

2. Career & Entrepreneur Options (CEO) • Learn about running a business • Tapping into your talents • Work hard and make money • Grow your creative genius • Presentation and communication skills • Trade Show exhibit and contest • A chance to dream BIG Houston 4-H CEO

3. Mission Statement for your Business • Ideas - “next big idea” constantly thinking • Dreams - thoughts, images, hopes • Vision – idea and dream in great detail • Concepts-summary of the idea, how it will work Ideas, Dreams. Visions and Concepts

4. Your business is defined by your thing! What are your dreams? What things do you like to do? What are you good at? What things do other people think you are good at? What would you like to be good at? Do you know why you want to be good at it? What do other people think you should do when you start working? Can you make money at your thing? What’s Your Thing? http://www.teachingkidsbusiness.com/resource-center-whats-your-thing.htm

5. Have you what it takes to start a business? • Houston 4-H Career & Entrepreneur Options (CEO) • Top 10 Traits of Entrepreneurs • Confidence • Persistence • Integrity • Creativity • Enthusiasm • Determination • Risk-taking • Hard-working • Adaptable • Independence Are you ready to be the Boss What is an Entrepreneur? Reference: You’re The Boss Lifeskills & Entrepreneurship Program/2000 YoungBiz Media by Bonnie Drew - ISBN 1-56688-565-5 Lesson 3 . Pp.15-18

6. Week 1- 9/29 “All About the Business Plan” Week 2-10/3 4-H CEO Orientation Workshop Week 3-10/7 Marketing 101 Introduced Incentives “Bonus Buck Plan” Week 4- 10/12 Products & Services “Price It Right” Week 5- 10/22 Finance Plan “Bottom Line” Week 6- 11/7 4-H CEO “Boot Strap” Workshop Week 7-11/9 Get ready for Trade Show Week 8 -11/16 4-H CEO Business Plan Review Trade Show Applications Due November 20th Dec. 5th 9:00 am- Noon Houston 4-H CEO Trade Show and Minnow Tank at Extension Office Schedule up date

7. Complete a Marketing Plan •   Describe the product •   Identify Customer needs •   Calculate  Cost and Profit per unit •   Describe marketing strategies (distribution and promotion) •  Philanthropy efforts •   Calculate  marketing cost •  Develop a Business Card and flyer Review Assignments

8. Marketing Plan • New logo • Sign • Business cards • Facebook marketing • Sending Christmas Cards • Philanthropy C&D Bath Products

10. Packaging Supplies • Business Cards • Supplies to produce product • Cards & postage • Philanthropy 5% annual sales • Promotional samples? Calculating Costs

11. Learning to adjust and adapt to the market • Conducting a customer survey • learning from experience Be willing to change Money Moves http://bizkids.com/clip/profile-vashon-farmers-market

12. Managing money the revenue • Accounting “keeping the books” in balance • Statement of debit and credits • Balance Sheet =assets, liabilities and equity • Success of business is measured by profit • Financing getting the money needed to start or expand the business • Start up capital or seed money . What is Finance? Bottom Line http://www.teachingkidsbusiness.com/business-basics-finance.htm

13. Start Up Costs _______ Total List out all the items needed to produce the product or perform the service including suppliesand marketing items • Fixed Costs per month ________ Total Utilities, advertising, salaries, insurance, rent, miscellaneous Cost of doing business

14. Monthly Income Statements • Revenue generated • Variable costs • Gross profit • Fixed Costs • Profit before taxes • Taxes 20% • Net Profit Calculate Return on investment =Net Profit Divided by Start up Costs X 100 = % The business has a return on investment of ____% Established business

15. Number units can you sell in an hour? ___ Units per hour • Number units can you sell each day? ___ Units per day • Number days do you plan to sell each week? ___ days a week • Number weeks you will work each month? ___ weeks a month Sales Forecast

16. Calculate Sales per Day by multiplying units per hour by # hours you work each day Calculate Sales per Week by multiplying sales per day by # of days you work each week Calculate Sales per Month by multiplying sales per week by the number of weeks you work each month Calculate Revenue per month by multiplying sales per month by the selling price per unit Formula

17. The business needs to sell ______ (#) units each month to reach the break even point. Monthly Fixed Costs Divided by Gross Profit per Unit Break-Even Analysis

18. Total Start-Up Capital required __________ • Personal savings • Profit generated from established business • Family & Friends • Debt Financing • Equity Financing • Business grant Total Financing I am requesting $ ______________ to be used s start-up capital in the formation of my business Venture Capital Request

19. Financial Records • Ledger • Quick Books • Checking or Banking • Receipts • Deposits • Expenses & Bills Recordkeeping

20. Business Portfolio • Includes date • Describe the item • Debit money received • Credit money paid out • Balance General Ledger www.aplos.com/Guide-To-Accounting-For-Kids-AndTeens.jsp#sthash.1Am88OmL.dpuf

21. Estimate expenses for the business variable costs and fixed costs • Estimated revenue from sales • Pro forma Profit & Loss = projected in future • Subtract expenses from revenue to get profit Profit and Loss

22. Complete a Financial Plan • Forecast Sales • Complete Venture Capital Request • Set up Recordkeeping system • Complete Break Even Analysis • Build the business portfolio Assignment http://www.dwmbeancounter.com/BCTutorSite/BCInsights/CheatSheet/DrCrTChart.pdf