Valuing a small business

Valuing a small business

LOG OF LEARNING ASSESSABLE WORKSHEETS 1-8

 

 

 

WORKSHEET 1

(Week 2)

Learning outcome

a. Evaluating the pros and cons of self-employment and employment

b. Understanding the three main types of industries- retail goods, wholesale goods and services

c. Understanding the four main ways of participating in business- buy an existing business, buy shares in an existing business, and establish a new business

d. Understanding the three main channels to market- physical, on-line and omni channel

Activity Critically analyse and discuss the choice of business participation of Nxt2U business owners and the choice of channels to market
Reference Nxt2U Case Study

 

  1. Do this before attending the workshop
Task– Carefully and critically read the Nxt2U Case Study and identify the operational issues of self-employment and employment facing the owners at the start, during and at the end of the business life-cycle.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

  1. Do this during the workshop 
Issue–  Based on the challenges experienced by the owners of Nxt2U, do you think you are more suited to employment or self-employment?
Express your reflection below.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

 

 

 

WORKSHEET 2

(Week 3)

Learning outcome

a. Compare and contrast the five main business models- Independent business, franchising (business format), licensing, co-operative, and distributorship

b. Compare and contrast the four main types of legal structure- sole trader, partnership, company, and trust

Activity Identify and discuss the business model and legal structure of Nxt2U business
Reference Nxt2U Case Study

 

  1. Do this before attending the workshop
Task– Carefully and critically read the Nxt2U Case Study and identify the business model and the legal structure of Nxt2U. Justify your observations.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

  1. Do this during the workshop 
Issue–  What regulatory and operational issues might nxt2U encounter as the business grows given its current legal structure?
Express your reflection below.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

 

WORKSHEET 3

(Week 4)

Learning outcome

Understanding the operational and legal requirements of starting a business- contracts and agreements, tax registrations, insurance, human resource, corporate image, IP protection, marketing, digital presence/SEO, licenses, and banking arrangements
Activity Review and discuss the main intellectual property assets that require protection
Reference Nxt2u Case Study

 

  1. Do this before attending the workshop
Task– Carefully and critically consider what type of intellectual property assets are present in the Nxt2U business and what could be developed in the future.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

  1. Do this during the workshop 
Issue–  Do you think every business has identifiable items of intellectual property, if so, state why?
Express your reflection below.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

 

WORKSHEET 4

(Week 5)

Learning outcome

 

Understanding the main disclosure requirements of the Code and the key provisions of a franchise agreement

Activity Review and discuss the main clauses of a franchise agreement and the Code
Reference Sample Franchise Agreement and the Franchising Code of Conduct

 

  1. Do this before attending the workshop
Task– Carefully and critically read the Sample Franchise Agreement Framework and identify three important clauses that prospective franchisees need to carefully consider before entering a franchise arrangement. Explain why you think they are important.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

  1. Do this during the workshop 
Issue–  Do you think the franchise agreement well-balanced or do you think it serves to protect more the interest of the franchisor and why?
Express your reflection below.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

WORKSHEET 5

(Week 6)

Learning outcome

Understanding the main ways to finance a small business, budgeting and preparing a business canvas
Activity As a potential buyer of the Nxt2U business prepare a short financing plan (dot points) to finance the acquisition
Reference Nxt2U Case Study

 

  1. Do this before attending the workshop
Task– Carefully and critically read the Nxt2U Case Study and identify the strategies adopted by the owner to finance the acquisition of the business and its working capital requirements.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

  1. Do this during the workshop 
Issue–  What other strategies could Nxt2U have considered to finance the acquisition and working capital requirements? Would you recommend these strategies to Nxt2U and why?
Express your reflection below.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

 

WORKSHEET 6

(Week 7)

Learning outcome

Resource planning, staff training & incentives, stock management, customer relationship management (CRM) and key performance indicators (KPI)
Activity Case study- devise a staff incentive plan and 5 key performance indicators for the Nxt2U business
Reference Nxt2U Case Study

 

  1. Do this before attending the workshop
Task– Carefully and critically read the Nxt2U Case Study and develop 5 KPIs to measure and track performance in key areas of business.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

  1. Do this during the workshop
Issue–  Consider how what other KPIs would benefit the owners in their management effort. How would you ensure that they are regularly and reliably calculated
Express your reflection below.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

 

WORKSHEET 7

(Week 8)

Learning outcome

Preparing a local area marketing plan, advertising and promotion and resourcing
Activity Prepare a dot-point local area marketing plan and in-store promotion for the Nxt2U business
Reference Nxt2U Case Study

 

  1. Do this before attending the session
Task– Carefully and critically read the Nxt2U Case Study and identify the local area marketing strategies and tactics deployed to achieve their short-term goals? Do you agree with the management’s reasoning?
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

  1. Do this during the session
Issue–  What constraints are small businesses likely to face when implementing marketing and promotional campaigns? How would you overcome them and at what cost?
Express your reflection below.
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

 

WORKSHEET 8

(Week 9)

Learning outcome

a. Succession planning strategies

b. Preparing for a sale

c. Valuing a small business

Activity Prepare a short succession plan and business valuation checklist
Reference Nxt2U Case Study

 

  1. Do this before attending the workshop
Task– Carefully and critically read the Nxt2U Case Study and prepare a short succession plan and a business valuation checklist for Nxt2U
 

(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)

 

 

 

 

 

  1. Do this during the workshop 
Issue–  Do you believe every business should have a succession plan regardless of size and age?
Express your reflection below.
(You are required to keep your answers for each part to a maximum of 100 words.) Your answer + Justifications + Example(s)