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PracticeManagementandBusinessFundamentals

e.g.HowDoIStartThisThing?

WhoamI?

•  I’mLindsay

•  Photographerofpeopleandthethingstheymake

•  Owneroftwodustysciencedegrees

•  Inoperationsince2009

Goals

•  Anunderstandingofyourgoals,strengths,andweaknessesasrelatedtoyourbusiness

•  Understandinghowtomaximizeyourstrengthsandminimizeyourweaknesses

•  AcompletedSWOTanalysis•  Knowledgeofthefinancialnecessitiesinstartingandrunningyourbusiness

•  Existinglegally

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HowToAceIt

•  Showup

•  Doanyreadings/watchings

•  Askallofthequestions.Atanytime.

•  Googlethings,makeyourdecisions

CourseOutline

•  SWOTanalysis•  TOWSanalysis•  Budgeting•  Bookkeepingsoftware

•  Financialtrackingsystems

•  Taxes•  Clientmanagement•  Businessplan

PersonalEvaluation

Seehandouts

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SWOTAnalysis

StrengthsWeaknessesOpportunities

Threats

SWOTAnalysis

•  Canberedoneanytime

•  Greatwaytoassessyourchangingbusinessandenvironment,andhelpyourespond

•  Includeeveryoneassociatedwiththebusiness

SWOT

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SWOTINTERNAL

SWOTStrengths(Internal,positivefactors)

•  WhatdoIdowell,learnedandintrinsic?

•  WhatresourcesdoIhave?•  WhatadvantagesdoIhave

overthecompetition?•  Whatpositiveaspectsadd

valuetoyourbusiness?

Weaknesses(Internal,negativefactors)•  Whatfactors,withinyour

control,detractfromyourabilitytoobtain/maintainacomp.advantage?

•  Whatcouldplaceyourbusinessatrisk?

•  Areasthatneedimprovementtoaccomplishyourobjectives?

•  Whatdoesyourbusinesslack?•  Limitedresources

SWOT

EXTERNAL

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SWOTOpportunities

(external,positivefactors)

•  Opportunitiesthatexistinyourmarket/environmentyoucanbenefitfrom

•  Howistheperceptionofyourbusiness?

•  Anychangesinthemarketthatpresentanopportunity?

•  Areopportunitiesongoing,orshortterm?

Threats(external,negativefactors)

•  Existing/potentialcompetitors

•  Whatcouldplaceyourbusinessatrisk?

•  Unfavorabletrendsthatcouldleadtoreducedrevenue

•  Changeinsuppliers,prices•  Shiftsinconsumerbehavior,

economy,government

CaseStudy

•  FatimaandAlicehavebeenworkingatalargebakerytogetherfor4years

•  Inthepastyear,theyopenedastallatalocalfarmer’smarkettoselltheirownpies

•  Theyhavedecidedtoleavethebakeryandopentheiropenpieshop

•  Beforetheywritetheirbusinessplan,theysitdowntodoaSWOTanalysis

LifeOfPie

Strengths•  Combined8yearsexperienceinbaking

andpastries•  Combined8yearsexperienceworking

withclientsandalike-mindedbusiness•  Fatimahasabusinessdegreefor

ConcordiaUniversity•  Capital:Thebusinesshasbeen

approvedforasmallbusinessloanof$50,000

•  Loyalcustomerbasebuiltfromtheircurrentfarmer’smarketclients

•  Aliceisfluentin3languages•  Greatworkingknowledgeofsocial

media•  Havedatabaseoflocalsuppliers

Weaknesses•  Botharefirsttimebusiness

owners•  Currentlyhavenotregistered

name•  Nowebsite•  Havenotyetsecuredalocation

orlease•  Currentlynoteaminplace

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LifeofPie

Opportunities•  Themarketissaturatedwithcupcakes,

croissantsandbreads,butfewdedicatedpiesuppliers

•  Maintainingtheirfarmer’smarketstallwillproviderevenueandadvertisingastheygrow

•  RetailbakedgoodsinCanadaexperiencedanannualgrowthrateof3.3%during2006-2011

•  Underrepresentationofhealthyandglutenfreeoptionsintheindustry

•  Thepieindustrylacksinnovation;opportunitytocapitalizeonyounger,millennial,health-consciousconsumers

•  Consumersmovingawayfromlarge-scalebrands,interestinsmall,artisanaloptions

•  Opportunitiestoprovidegoodsforrestaurants/outlets

Threats•  Pastriesexpectedtoexperience

limitedgrowth(EuromonitorInternational,2012)

•  ManyareasintheGTAaresaturatedwithbakeries

•  Facilitywillnotbe100%glutenfree

•  Risingcostofwheat•  Risingcostofretailspace

Let’s SWOT !

Refertohandouts

TOWSmatrix

•  TakingyourSWOTonestepfurther•  Howdoyourstrengthsandweaknessesinteractwithyourenvironment?

•  Howcanyouuseyourstrengthstoincreaseopportunitiesanddecreasetheimpactofthreats?

•  Howcanyouuseyourenvironmenttoenhanceyourstrengthsandcounteryourweaknesses?

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•  StrengthsandOpportunities(SO)–Howcanyouuseyourstrengthstotakeadvantageoftheseopportunities?

•  StrengthsandThreats(ST)–Howcanyoutakeadvantageofyourstrengthstoavoidrealandpotentialthreats?

•  WeaknessesandOpportunities(WO)–Howcanyouuseyouropportunitiestoovercometheweaknessesyouareexperiencing?

•  WeaknessesandThreats(WT)–Howcanyouminimizeyourweaknessesandavoidthreats?

TOWS Strategic Alternatives Worksheet

© Copyright Mind Tools Ltd, 2006-2015. Please feel free to copy this sheet for your own use and to share with friends, co-workers or team members, just as long as you do not change it in any way.

• For instructions on TOWS Analysis, visit www.mindtools.com/rs/TOWS.

External Opportunities (O)

1.

2.

3.

4.

External Threats (T)

1.

2.

3.

4.

Internal Strengths (S)

1.

2.

3.

4.

SOMaxi-Maxi Strategy

STMaxi-Mini Strategy

Internal Weaknesses (W)

1.

2.

3.

4.

WOMini-Maxi Strategy

WTMini-Mini Strategy

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Assignment#2

•  CompleteyourTOWSMatrixathome

•  Feelfreetoresearchorcreatealternativelayouts

Budgeting

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Budgeting

Budgeting

•  Start-upcostsVSregularcosts

•  Budgetbeforeyoubuild

•  Growingyourbusiness

•  Taxes(yay!)

Costs

•  Start-upcostsVSregularcosts

•  Unforeseencosts

•  Wheredoesthemoneycomefrom….

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LET’SMAKEABUDGET!

Budgeting

•  BudgetingForGrowth

•  PricingYourServices

•  PassiveIncome