Team 1 Project Discussion Forum
You
are creating a business plan to add an outpatient lab located on Local
Hospital campus. This plan is being submitted to senior leadership of
Local Hospital for consideration.
- Click the following links to access the following files: Team 1 Business Plan Expectations, and the Team 1 Financial Analysis Worksheet.
- Once you open the Financial Analysis Worksheet, the only areas that need to be filled in are highlighted in red.
These
two documents will provide you with the information that you need to
complete this project. Use the assumptions given as the basis, and BE
CREATIVE to complete the rest.
Expectations –
Team 1 Final Finance Project
Business Plan Format
For this assignment, you will need to construct your paper using the following outline:
- Title page to include the title of your paper, team number, class, and team members.
- Table of contents listing all of the major sections that I am listing.
- Executive Summary
– This is a one page summary of your entire project.You are submitting a
plan to an executive team, so include the facts of the project.What do
you want money for, how much, how much will you make, why, etc.Keep in
mind, in the real world, this may be the only thing that they read.If it
is not specific, the project is rejected! - Organizational Plan
– This will talk about how you will structure as far as FTE’s,
Leadership, and how your proposed service ties into the mission of the
hospital. - Marketing Segment – You can use some
creative freedom here.What is the environment like, what is the
competition for your service? How will you advertise? reach new clients?
Who will you serve? - Financial Segment – Being a finance class, I expect this to be a focus.You need to discuss the assumptions
listed below that would relate to this section.You should discuss the
financial situation, but then you will need to submit a 5 year cash flow
document, along with any others that reflect the operation of the
business.You should also include NVP and IRR calculations as a way to
justify the project. - Conclusion – Like the Executive Summary,
this is important to a proposal. It should be less than one page, and
contain the facts of your proposal, and why it should be approved.You
should include the information that you concluded about the 5 year
financial performance.
General Assumptions
Types
of assumptions required for the financial portion of a business plan
typically include answers to the following questions (Example of Typical
Income Statement Assumption Information Requirements):
Identify how many of the assumption items listed in the example above can be found incorporated into your business plan.
Specific Assumptions
Use
the following information to fill in the Excel Sheet loaded in your
discussion forum.It will calculate a lot of the information that is
being asked.You just need to enter this in the sheet, and can use part
of it for your final submission.
Capital Expenses:
- Medical Equipment – $350,000
- Construction – $100,000
- Furniture – $30,000
- IT System – $50,000
- Contingency – 10,000
Year One Volume:
- 57,500 Specimens
- $18 net revenue per specimen
Organizational Structure:
- 1 Manager – $60 per hour
- 3 Lab Technologists – $30 per hour
- 2 Receptionists – $15 per hour
- The manager reports to the existing Director of Operations, who reports to the CEO (already existing, so no cost)
Expenses:
- Medical Supplies – per unit – $4
- Other Supplies – per unit – $1
- Purchased Services (repair contracts for equipment) – $25,000 yr
- Marketing – $45,000 yr
- Licenses – $10,000 yr
- Rent – $75,000 yr
- Utilities – $3,500 yr
