The following is the outline (headings should be used to identify sections) the paper should follow:
– Revenue forecast executive summary (1 page.)
– What will be your definition of “success?” (Be sure to clearly identify your specific non-financial and financial goals –1 page)
– A a) industry overview and b) summary of mission/purpose of the venture (1 page each.) The industry overview should identify the industry boundaries and trends and its key economic characteristics (e.g., size, growth rate, profitability, etc). The mission/purpose of the venture should describe the venture’s characteristics, its value proposition, making sure you articulate how you plan on capitalizing on the opportunity you’ve identified.
– Revenue model description. (1 page )
– Outline of scenario-based assumptions, including compelling discussion/explanation of the supporting logic and evidence for each (6 page max.). Present the narrative for the best case scenario and the worst case scenario separate from the most likely scenario.
– Appendix: three fully developed, month-by-month revenue forecasts (i.e., spreadsheet: most likely, best, and worst) focusing on units sold, selling price per unit, and A/R collections for three years.
– Writing quality / professional presentation
Students are expected to collect both primary and secondary data to develop and support the scenario assumptions and discussion for this paper. Specifically, primary data will include interviews with prospective customers and existing ventures competing in the industry (minimum 5 each – contact phone for each primary contact must be included in works cited). Students will also collect secondary sources (minimum = 5), which should be drawn from a mix (i.e., minimum of 3 different types) of resources (e.g., industry reference books, periodicals, newspapers or news magazines, trade publications). Be sure to cite sources used throughout the paper and include a reference page, both following APA style. This paper should be no more than 10 pages in length (excluding title page, reference page, and appendices).
Special note on how to present the Appendix:
The appendix includes the forecasts (excel spreadsheets generated by Dr. Cornwall’s templates).
You will develop forecasts with 3 different scenarios (most likely, best, and worst). Each complete forecast represents three years of operations for the venture. There Appendix consists of a total of 12 pages. Include a header that clearly identifies each sheet. You should present the spreadsheets following this configuration. (Refer to the sample on Blackboard)