Main Considerations for Small Business Planning

Managing and
Running a Small
Business

Table of Contents
MAIN BODY...................................................................................................................................4
TASK 1............................................................................................................................................4
P1 Main considerations of small business that requires to address when planning in business. 4
M1 Apply relevant tools and techniques for plan and allocate resources...................................6
M2 Importance of allocating resources and planning.................................................................6
D1 Critically evaluation of application resources for achievement of business goals................6
TASK 2............................................................................................................................................6
P2 Different Processes of Customer relationship management in small businesses..................6
P3 Development of small business to a transnational Business.................................................8
M3 Implementation of customer relationship management towards the achieving business
objectives.....................................................................................................................................9
M4 Model of Internationalisation for small businesses..............................................................9
D2 Overcoming the challenges of Transnational Businesses..................................................10
TASK 3..........................................................................................................................................10
P4 Produce an accurate cash flow forecast and break-even analysis supported by a critical
evaluation of how key financial statements contribute to the successful management of the
business.....................................................................................................................................10
P5 Produce an annual itemised monthly cash flow forecast showing fixed and variable costs
set against income for a specific organisation...........................................................................12
P6 Interpretation of key financial statement.............................................................................14
D3 Forecasting of Break even Analysis...................................................................................16
TASK 4..........................................................................................................................................17
P7. key legislation and regulations that have implications on small businesses or social
enterprises. ...............................................................................................................................17
M6. Evaluate the implications of key legislation and regulations in an organisational context.
...................................................................................................................................................17
D4 key legislation and regulations that affect small businesses or social enterprise
organisations, taking future developments and changes into account. ....................................18
REFERENCES..............................................................................................................................19

Books and Journal:....................................................................................................................19

MAIN BODY
TASK 1
P1 Main considerations of small business that requires to address when planning in business.
In the present scenario of economy, it is analysed by the economist that small business
gives a huge contribution in the economy. It play a significant part in GDP because it is
identified that SME sector gives 47% contribution in GDP of UK. Small enterprises have a
important role that it boost the productivity and growth of the economy. But still they didn't get
the right directions that actually needed in the small scale sector. They need to expand more
business so that they get to work properly and give maximum contribution to the economy.
Small scale business are the private owned corporations that have no inclusion of government of
UK (Alapati, 2016). They are the corporations that have private owners and having limited or
unlimited liability. It only depends on the nature of business adopted by the owners.
Small business helps to shape the UK economy that improves the growth and
productivity. There are many problems that faced by the small business due to the dynamic
nature of business. So it is necessary for the organisations to take measures and per corrective
actions for achieving their targets and goals. It can be done through taking main considerations
that should be include while starting and running the small business. The main considerations
helps to protect and prevent from the upcoming challenge of the company. Main considerations
are mentioned below:
Planning:
Planning is one of the important and primary functions of management of the
organisations. It refers to make the blue print of future activities in a written document that will
be performed. It is the most essential element that should be taken while running a small
business (Anderson, 2020). It applies in all types of business, because it has a pervasive nature.
Successful business needs to be proper planning that helps to achieve the objectives and targets
of the organisation. Proper planning helps to achieve the organisation's targets and goals. It is
mentioned below that how planning help to achieve the targets and goals of the business:
 Effective planning gives the right and accurate information of pre determined activities
that help to management and employees that to know the roles and responsibilities in the
organisation.