HORT 261 Lecture Notes - Lecture 9: Expense Management, Cash Flow, Business Plan
Document Summary
Mangers: depending upon shop size: general: all operations, employees, design: creativity, event and inventory management, retail: product selection, display, inventory management, business: financial. Designers: dependent upon shop size: general: everyday designs, specialty; events, weddings, funerals, etc. Profitability: monitoring and controlling costs, fixed: building and assets, operation: what it takes to do the business at hand, purchase planning: not spur of the moment, anticipate, product pricing: setti(cid:374)g pri(cid:272)es o(cid:374) (cid:862)per(cid:272)ei(cid:448)ed(cid:863) (cid:448)alue of ite(cid:373)s. Inventory control: nothing sits around . all is used. Record keeping: daily information to observe yearly trends. Tax obligations: keep up with mandated obligations. Funds to run day to day: start-up: one time but costly, continuation: what it takes to keep the momentum of the daily business. Income generated: understand how income is taken in and how it needs to be partitioned to meet daily, weekly, monthly, and yearly obligations: budget distribution, daily needs, annual costs, long term.
