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The Entrepreneur’s Do-It-Yourself Business Plan System
Developing Financial Projections

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Business Plan Development Guide

Maximizing the Price When Selling a Company

Avoiding Business Plan Mistakes


The Kitchen Sink: Miscellaneous Operational/Engineering Concerns

This white paper introduces management teams to best practices for conducting site audit, supplier management and bid substantiation, third party reviews, credit and other A/R & A/P assessment, IP documentation/valuation, security interests (UCC et al). It also delves into location issues which are often not addresses until it’s too late to implement the best decisions. (about national/state/ international issues which must be reviewed, compliance potholes for multi area operations; hole patching).




Taking a company public is a major undertaking which requires thorough preparation and planning. However, before starting on the legal requirements of taking your company public, it may be prudent to stop and evaluate your business, its processes, procedures, relationships both internal (with employees and management) and external (suppliers and competitors), and the environment in which you trade. The earlier the management of a prospective public company performs this self-analysis and implements necessary improvements and enhancements, the more likely the company is to succeed long-term once becoming publicly traded.

There are two widely recognised models for organizational analysis. Porter’s Five Forces Model, and SWOT (an acronym for S – Strengths, W – Weaknesses, O – Opportunities and T – Threats).

Porter’s Five Forces model is an industry analysis or an external force analysis tool. He perceived industry being influenced by five forces, namely:

Breakdown available in full version


This model is useful for enabling management to see a clearer picture of the industry in which the firm operates.

In the late 90’s Larry Downes, critiqued Porter’s Five Forces Model in the article “Beyond Porter,” saying that the assumptions were no longer valid. Downes set out three forces, which had come to the forefront in the decade since Porter first articulated his theory. Downes argued that they required a different framework and tools to address them.

Briefly, these three forces are:
  1. Digitalization: The growth of information technology has impacted the market by allowing even the smaller companies in a given market access to more information.
  2. Globalization: As communication networks and distribution logistics have grown and improved, the opportunity to buy, sell and cooperate globally is within reach of nearly all businesses.
  3. Deregulation: The past decade has seen an increasing deregulation of certain industries, encouraging them to restructure and look for new opportunities.
While the effect of these three forces is undeniable, the idea underlying Porter’s Five Forces Model is still valid; businesses operate in a market where there are suppliers, buyers, competitors, new entrants and substitutes. Businesses will have no choice but to adapt and adjust to the new dynamics.

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 CAPITAL MARKETS
   Pink Sheets
   OTCBB

 BASIC BUSINESS SAVVY
   Advanced Financial Topics

 GOING PUBLIC
   Steps in the Process
   Requirements of Public Companies
   Tools & Templates
   Specialists

 REPORTING & COMPLIANCE
   Staying in SEC Compliance
   New Sarbanes-Oxley Regulations
   Structuring Your Company
   Tools & Templates

 GETTING FUNDING
   Preparing Your Business
   Finding Investors
   Pitching Investors

 FOREIGN COMPANIES
   Taking a Foreign Company Public

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