MANAGING AND RONNING A SMALL BUSINESS INTRODUCTION

MANAGING AND
RUNNING A SMALL
BUSINESS

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Main considerations a small business or social enterprise needs when planning and
allocating resources................................................................................................................1
TASK 2............................................................................................................................................3
P2. Different processes of customer relationship management for small business organisation3
P3. Way of small business can develop transnationally benefits and drawbacks..................5
TASK 3............................................................................................................................................6
P4. An annual itemised monthly cash flow forecast showing fixed and variable costs.........6
P5. Way of break-even analysis applied in an organisational situations................................8
P6. Interpretation on key financial statements for an organisation for contribution in
successful management..........................................................................................................9
Income Statement............................................................................................................10
TASK 4..........................................................................................................................................13
P7. Key legislation and regulations which have major implications on small business
companies.............................................................................................................................13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
In modern business world, it has been analysed that SMEs have impacted highly on
world's economy. Entrepreneurs and business people have adopted this like opportunity that
supported them in earning profits above than their expectations (Ali and Babiker, 2017). But, in
actuality it has been found that individuals are required to have unique idea of performing or
executing business to deliver products in order to to sustain at marketplace for a longer time.
This report is based on JS Supermarket Ltd. which is UK based company. Apart from this, it will
discuss on main consideration or social enterprise requires during developing a plan, different
processes of CRM for Small and medium size businesses, break-even analysis. Lastly,
assignment will put light on key legislation and regulations which will impact upon small
business organisations.
TASK 1
JS Supermarket Limited, a small retailer performing its operations in London, United
Kingdom. It was found in the year of 2014 by Ramachandran Jalatheepan. In present time, this
organisation is delivering a number of services or products and dealing in food, beverage and
grocery sector. If it is talked about present case, customer base of JS Supermarket Limited is
reducing continuously that is impacting upon performance level in negative manner. Thus, firm
has planned to develop an effective plan to look into social needs or requirements of customers
to regain its position in today's competitive marketplace.
P1. Main considerations a small business or social enterprise needs when planning and allocating
resources
In present time, United Kingdom's business sector has given ample growth opportunities
for individuals who are willing to earn good money. Main reason behind this is “Brexit”
Withdrawal of United Kingdom from EU and it has developed opportunity for individuals to
start a business at small level in open market. It influences individuals to emphasise on most
populated areas and are rapidly opening outlets, business outlets and are delivering various
services to potential consumers so that revenue can be generated in much effective and efficient
manner. But, this could only be done if they may develop right idea considering innovation on
basic priority because people in modern world are carrying a rapid changing nature and this can
be easily be covered with keeping an aim of brining innovation in the business. Forecasting &
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budgeting, planning and allocating, interpreting key financial statements, operational resources
and recruitment & selection of employees etc. are some of main activities that is being done on a
regular basis within a company (Chauma, 2017). On the other hand, it is also much required for
entrepreneurs to take in use of resources, capital utilisation in an optimised manner.
When it comes to grow, it is necessary for entrepreneur of JS Supermarket Ltd. to take in
consideration of a right plan. This could only be done if resources are allocated smoothly.
Whereas, it is being found that there are a number of elements that might be affected which are
related with functions (Cojoacă, 2017). Thus, a small description of these factors have been done
below :-
Financial resources: This could be considered as one of is the primal factor that a firm
needed when it comes to develop right plan as per the needs or requirements. Because without
funds nothing can be done in a business organisation whether it is manufacturing or buying of
raw materials, developing infrastructure and so on. Therefore, finance is required for functions as
well of JS Supermarket Ltd.. Since it is a small firm in nature, company do not consists with a
range of investors and it takes a lot of efforts to accumulate efficient funds for developed plan.
Thus, mainly there is just one option that could help them and that is loan and this could be taken
from banks, friends and from other resources as well. Since, JS Supermarket Ltd. is performing
business at small level, it is essential for this company to keep saving approach so that they may
easily reduce a number of expenses. As organisation has planned for developing a plan so that it
could directly improve its customer base, financial resources are needed so that execution could
directly take place.
Human resource and qualities and their skills: Another factor which could help a
company in executing business plan effective manner. HR manager of JS Supermarket Ltd., is
already having good range of policies that guides them to raise profitability because all
employees are working effectively. staff members are performing well. Failure into this, may
lead JS Supermarket Ltd. to develop issues for themselves that is late completing of plan or
attainment of goals but not on specified time frame. This could raise expenses of JS Supermarket
Ltd. At next, it is advised to company to develop better policies on compensation, training and
etc. so that employees of organisation could easily raise its skills and performance level (Durst
and Lee, 2015). It is also necessary for this business firm to keep on doing assessment on skills
of employees so that benefits their weak and strong points could be evaluated.
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