INEUSSBS

ASLML
Correct Answer:
Small Business
NTIOSPTAORRTAN

Correct Answer:
Transportation
RTEMASIAL

Correct Answer:
Materials
Procedures
in Putting
up a Small
Business
1. Decide whether or not
to go into business. Thus
probably is one of the
most important and
crucial decisions you will
make as an aspiring
entrepreneur.
2. Analyze strengths and
weakness. After deciding
to become an entrepreneur,
another important step
to accomplish is knowing
your strengths and
weaknesses.
3. Select your product.
After deciding to go into
business and knowing
your strengths and
weaknesses, the next step
to consider is deciding on
the kind of business you
want to go into, the line
of product, services that
you want to produce or
offer and in what
quantity or form.
4. Conduct a market
research. Producing the
product is much easier
than selling it to the
consumers. It is not
because you build or sell
it does not
necessarily mean that
consumers will buy it.
Therefore, it is necessary
to conduct an extensive
market survey before going
into production. Start by
asking these questions:
•Who needs what you
are offering?
•Is there still a space
for your product or is
the market already
saturated?
•Is the market
national or local
• Who are your ideal
customers?
• How much will you
sell the product?
• How will you
distribute the
product to your
consumers?
5. Decide on your
form of business
ownership,
whether business
is intended for
bigtime or small
time operation,
it must follow a
certain kind of
organizational
plan.
6. Decide on the
place where the
business is to be
located. Consider
the location of the
business. Will you
rent or buy a place?
The size of the area
and the exact location
will have to be decided
upon too. You will also
have to consider other
factors such as:
 Market- Consider
proximity, size,
buying power, and
growth potential.
 Materials-
Consider viability
and quality of
materials and
supplier needed
for production.
Transportation-
Consider proximity,
availability,
frequency and cost
of transportation
facilities.
 Power –
Consider
availability,
quantity, quality
and rates of fuel
and water.
Site- Consider zoning
and local ordinances on
air, water pollution,
construction cost, lease
terms, police and fire
protection, and area for
expansion.
7. Choose the kind of
technology needed in
the efficient operation
of the business.
Knowing the processes
involved in the
manufacture of the
product will be
most useful in
determining the
machinery and
equipment to be
installed.
8. Decide on
machinery and
equipment needed.
After choosing the
technology to be
applied, the next
step is to decide on
the kind of machines
and equipment
needed in the
manufacture of the
product, the supplies
of materials needed
and the amount of
money that will be
spent for production.
If machinery is to be
improved, you should
do some advance
planning.
9. Make a business
feasibility study. The
project feasibility
study is an
investigation to find
out the viability of the
project.
10. Determine possible
sources of capital. A
number of government
agencies provide loans
to aspiring
entrepreneur. In
availing these loans,
there are certain steps
and specified
procedures to follow.
Other sources of
capital are:
A. Personal Funds and
Property
B. Loans a investment
in cash or in kind from
family members.
C. Suppliers credit and
leasing arrangements
D. Short- term/ long-
term financing from
banks and other
financial institutions.