Learning Aim A: What to do

Planning a Micro-Enterprise Activity

One way of exploring how enterprise works is to plan your own micro-enterprise activity. You have seen a competition advertised that involves planning and pitching a micro-enterprise activity and have decided to take part.

The first stage of the competition requires you to develop a plan for a realistic micro-enterprise activity. You will later pitch your idea to potential investors and carry out a review on its success.

Planning a micro-enterprise activity

You have obtained a copy of the competition rules, and it informs you that you need to prepare a comprehensive and realistic plan for a micro-enterprise activity, supported by clear individual research and valid reasons for your choices.

Task 1 - Introduction to the plan

Describe three micro business ideas including individual research into the three possible ideas for micro-enterprise activities to allow you to choose one final idea. Make sure you keep all your research as it will go into the appendix.

Task 2

Write a detailed explanation of why you have chosen your final idea, supported by your individual research findings

Task 3 - Main body of the plan

For your chosen realistic micro enterprise idea your plan should be detailed and include:

1. The aims of your micro-enterprise activity to include:

o financial aims

o non-financial aims.

2. The product or service to be sold to include:

o its features, benefits and unique selling points (product help)

o its cost (costs help), and how much you will sell it for (pricing help)

o the current competition in the market. (Competitors help)

3. An identification of the target market including:

o the segment your product or service is aimed at

o how and why the product or service will appeal to this target market

o how the product or service will reach customers

o how you will establish and sustain sales to the target market.

4. How you will communicate with the customer to include:

o the methods of communication and reasons why they are appropriate for the target market

o the cost effectiveness of the methods chosen

o examples of promotional materials that you plan to use.

5. An estimation of the resources you will require to include:

o physical, financial and human resources

o how each of these resources are to be obtained/funded.

6. An appropriate timescale for the activity, from initial plan through to completion of trading, including when each of the

following will take place:

o marketing

o selling/trading

o any other operations.

7. A risk assessment and contingency plan to ensure the quality of the product or service that includes:

o the risks involved

o how you plan to overcome these risks and issues should they arise.

The final part of your plan is the appendix. This should include:

  • initial financial forecasts to include start-up costs, running costs and production costs/cost of sales.

  • evidence of your individual research.