you are an entrepreneur

ACC 557 – Assig nments and Rubrics

As signment 2: Y ou Ar e a n Ent repr eneur !
Due W e ek 6 a nd wor t h 2 80 p oi nts

Stu d e nt li f e d o es n ot g e ner a ll y a f f ord a gre at d ea l of f ree t im e to pur s ue yo ur p er s o na l i nt erests; howe ver,
at o n e p o in t, you m a y h ave cons ider ed t urnin g a p erson al in t eres t or h o bb y in t o a n off ic ial e nt erpris e .
T o da y, you h a ve f in al l y d ec ide d to turn t h at h obby in to a busi n es s b ut h a ve r e ali ze d th a t yo u n ee d star t –
up cap ita l f rom a le nd er or i n vest or.

T o obt ain f u nding, yo u n ee d to c o nvince a le nd er / i nvestor th at yo ur b usin es s is m ore th an a h o bb y. Yo u
n eed to d em ons trate tha t you h ave a f irm gras p of yo u r b us in ess, t he accou nt ing prac tic es th a t im p ac t
yo ur b usi n ess, the contr o ls n ee d ed t o safe gu ar d asse ts , a nd whic h acc o un t in g s ys tem wil l prod uce
acc urate an d r e le va nt f in ancial in f or m at ion.

W rite a s ix to e ig ht ( 6- 8) pa ge b usin es s p lan i n wh ic h yo u:

1.   Des c r ibe t he t yp e of b usi n ess you h ave creat ed inclu ding:
a.   T he prod uc t or ser vic e, a nd g en eral staf f ing p la n. Prov ide a r a tio n a le f or yo ur p lan .
b.   T he f o rm of yo ur bus in es s a nd t he b en e fits it off ers yo ur part icular bus in ess ,
c.   A chart of acc o unts spec if ic to yo ur b usin ess , incl ud ing a ratio na le as to t he se lect i on of
e ac h accou nt. ( Note: T he chart of acc ounts is a b lu epr i nt of yo ur bus i nes s f or the
le n d er/ i nvestor. It s h o u ld re p ort th e ex p ec t ed res o ur c es that you wi ll c o nsu m e in yo ur
b us in ess (as s ets), the sour c es of those re s ourc es ( li ab il iti es a nd e q u it y), t he sourc es of
re ve n u e, an d ex p e nd itures th at yo u ex p ec t t o incur to e arn th ose re ve n u es . You m ay
b ui ld a de taile d chart t h at inclu des b usin ess u ni ts, div is io ns , product li n es , e tc.)
2.   Based on t he f orm of yo ur b us in ess , a n al yz e wh et her or not yo u wil l be re qu ired t o us e Ge n era ll y
Acce pted Acco u nting Pr inc ip les ( GAAP) or In t ernat ion al Fi n anc ia l Re p ort ing Stand ards ( IFR S)
acc o unting m et ho ds a nd how th e IFR S / GAAP con ve rg ence w il l im p ac t yo ur bus in ess. S u gg est
h o w you wi ll incor p orate an y c h a n ges into yo ur b o ok s a nd re c ords . ( Note: Yo u ne ed to
d em o ns trate to t he le n d er/in vest or that yo u have re cog ni ze d possi ble chan g es to GAA P th at m a y
im p ac t the acco un tin g a nd re porti ng of yo ur accou ntin g e ve nts.)
3.   Pre pare a pr o f o rm a balanc e sheet an d inco m e state m e nt pr ovid ing the ass u m pt io ns m a de and
s u pp ort t he va lu a tio ns assi g ne d .
4.   Consid erin g th e value of ass ets (as s ig ned p er yo ur bal a nc e she et) used wit hin yo ur bus in ess ,
reco mme nd two (2) spec if ic in t ernal c o ntr o ls tha t yo u w il l im p le m e nt to pr o tect yo ur com p an y’s
ass ets a nd re sour c es , j ustif yin g how e ach w il l pr o vi de ass urance s to m a na ge m ent . (NO T E:
Sa f e gu ar d in g as s ets a nd protecting p er s o na l d ata are p ara m ount to e ns ur ing t he vi a bi li t y of a
b us in ess . Dem o ns trate to t he l e nd er/i nvestor th a t yo ur ass ets w il l b e saf e guar d ed a nd cus t o m er
in f or m at ion ( if a pp li c ab le) wil l be prot ec ted.)
5.   Based on t he in t erna l contr ol reco m m e nd atio ns tha t you m a de, s u gg est ho w yo u w il l im p le m e nt
e ac h w ith in yo ur b usi n es s e nv iro nm e nt , i n d ic ating ho w ch al len g es or re s is ta nc e s w il l be
o ver c o m e.
6.   Ev a lu ate the im p ac t of the r e gu lat or y e nviro nm e nt, inc ludi ng t he Sarba n es – Ox le y Ac t an d ot h er
re gulat or y re q u ire m e nts, on yo ur bus ines s venture , g ivi ng consi d er ing t o how you i nt en d to
c om ply w ith the r equ ire m ents a nd t he gen eral im p ac t to d ec is ion m a k ing w ith in yo ur bus in ess .
7.   U s e at le as t f o ur (4) q u a li t y aca de m ic reso ur c es in th is ass ig nm e nt. Note: W ik iped ia a nd ot her
W ebsites do n o t qu al it y as aca de m ic reso urc es.