Applying The Accounting Portion Of A Business Plan

Better Essays

Prior to effectively creating the accounting portion of a business plan using a selection of accounting principles, tools, and calculations, it is important to first address some fundamental information about my business venture. As someone who has spent years baking and providing friends and family with flavorful, affordable cupcakes for birthday parties and other events, it makes sense to look into the possibility of opening up my own business that specializes in gourmet cupcakes, a former niche that has become a booming business over the last decade. Wanting to provide people with unique desserts that are not only delicious, but also affordable, has always been a dream of mine. My bakery would specialize in strictly cupcakes, as too …show more content…

Although rent may be high in a city like Atlanta, the location would be within walking distance to many facilities. The high foot traffic in the classy city would bring in customers, especially with the tourists who visit Atlanta. Per the Atlanta Convention and Visitors Bureau (CVB), “the city saw 42.3 million visitors from across the country” in 2012, “setting a single-year visitation record” (1). The amount of tourism in the downtown area of Atlanta will undoubtedly result in profits for my business. Additionally, with so many schools nearby, fundraising and bake sale opportunities abound, making it easy for parents or guardians to stop by my cupcake bakery to pick up cupcakes for their child’s school. Further, the corporate offices nearby will bring in revenue for my business, as corporate events and luncheons almost always require dessert. The location I have selected for my cupcake bakery has minimal competition. There is no other cupcake bakery within a 15-mile vicinity, so the only competition which exists is from grocery stores in the area. Because my livelihood will be tied to turning a profit, it is essential that my decisions are based on my business income and outflows. My financial decisions will indeed impact my business. Financial decisions which may impact my business include bringing in additional employees, expanding my storefront, purchasing new equipment, and

Get Access