Business Planning Flashcards
What is a business plan?
A business plan sets out a strategy of what you’re going to do and how you’re going to do it.
Sets up how a business intends to meets its targets.
Analyses the opportunities and risks.
Why is business planning important?
Allows you to analyse past performance in order to establish your future strategy.
Also allows you to plan against any risks.
Why do you have to ensure fee forecasting is accurate?
It will enable you to assess the performance of the team / business
Will ensure you can plan your income and expenditure correctly.
Why is it important to surpass your targets?
To ensure that your team / business is financially viable.
That you’re making more than you’re spending
How has COVID 19 affected business planning?
Diversified to include other income streams to reduce risk.
Potentially reduce staffing and discretionary expenditure.
Focus on maintaining income rather than growing it.
How can a business monitor its performance?
- Through setting and assessing goals
- Assessing KPIs
- Through looking at competitors
- Geographical expansion
What solutions were found at your strategy day to improve collaboration, teamwork and fee generation?
- Communication
- Get a varied group of people involved on major projects
- Grow our consultancy business
What was Savills performance last year?
Group Revenue: £1.74BN
Underlying profit: £96.6M
Earnings per share: £56.8p
Net assets: £581.6m
What are Savills short, medium and long term goals?
Short term = meeting annual targets
Medium term = gradually increasing targets, increasing staffing
Long term = “we do not wish to be the biggest, just the best”
Explain a sole-practioner?
A professional person who works alone, for themselves.
Explain a partnership?
Is a formal agreement between two or more parties to manage and operate a business and share its profitability.
Explain LLP?
A limited liability partnership is a partnership in which some or all partners have limited liabilities.
i.e. if partnerships fail, creditors cannot go after a partner’s personal assets or income.
A partner’s liabilities is limited to the amount they put into the business.
Explain PLC?
A public limited company is a public company which offers shares of stock.
Shareholders have limited liability.
Allows a company to raise capital.
However, they are subject to increased scrutiny and regulation?
Explain limited company?
The company is separate to it’s owners, it’s its own entity.
The liability of shareholders is limited to their stake in the company.
They are incorporated at Company House as a separate legal entity - the company operates separately to the owners.
What is corporate social responsibility?
It’s part of a company’s strategyy to improve how they conduct business.
How they can enhance society and the environment.
Focusses on the impact the company is having on society and environment and how they are mitigating it.
