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Click on the PDF FIle below to view Lesson 1 with it's corrisponding four assignments.
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Below is the text from Lesson 1 of the FatBrain Curriculum. There are four assignments that accompany Lesson 1.
Lesson 1: Starting a Business
When you have finished Lesson 1 you will have:
1. Set Goals
2. Ordered Coffee
3. Completed a Prospect List
4. Determine Your Sales Price
"Why do people start a business??
Possible answers include:
1. To make money.
?If you had money how would you spend it?"
2. To meet a need.
?What is a need?? A need is a condition or situation in which some thing is required or wanted.?
-To prevent cavities toothbrushes were created.
-Dairy farmers breed and keep cows to give us milk.
-Barbers provide a service of cutting hair.
3. To meet a need better than someone else.
Some people start a business because they can provide a better product or service than what is already available.
?Can you think of any companies that sell same thing??
-McDonald's and Burger King
-Crest and Colgate
-United Postal Service and Federal Express
4. To help others.
-The Red Cross is a business, but it doesn't?t try to make money for itself. It uses its resources to help the needy. (Resource means having something that can be used for supporting or providing help to others.)
-On the other hand, a doctors office works for money, but provides a service of helping people.
When thinking of starting a business you should first find a need and try to meet it with a product or service.
If the need is already met by another business, then you need to be able to provide a better product or experience.
?Why might coffee be a good product to sell??
1. Many people already drink coffee. That means there is a market for coffee.
In this example market means a group of people considered possible buyers of our coffee.
2. Coffee is consumable.
Consumable means to consume or use up. We want our customers to buy more coffee from us every month. That means, if you keep your customers happy, you won?t have to keep finding new customers.
3. It is affordable to purchase and re-sell for a profit.
A good rule in business is to sell something for twice the amount you paid for it.
?If you buy coffee from the roaster for $5.00 a bag, what should be your sales price??
?Who do you think will buy your coffee??
1. People who already drink coffee.
If people already drink coffee they are a good candidate to purchase coffee from you.
2. People that want to see you succeed in your education.
3. Family, neighbors, church friends, parent?s co-workers, local businesses.
Before we start our business we need to set some financial goals.
?What would you like to work towards?" (Examples: Piano, gymnastic or horseback riding lessons; new video games, bike, ripstick, clothes, music, charity, fundraising, college, car or savings.)
Below is the text from the are the associated Assignments for Lesson 1. Once you have completed the four activities, the ground work will be laid to start a business.
Goal Setting Worksheet
"What is a goal"
A goal is something you want to make happen in the future.
If you want to take gymnastic lessons each month or buy a Nintendo Wii, these are goals.
Goals should be: 1) specific 2) realistic 3) timely 4) written
1. Specific: "How much money will it take to reach that goal"
When setting goals it is important to be specific. If your goal is to take gymnastics or to purchase a Nintendo Wii, how much will it cost? You may find you have several goals. Write all of them down and then set some priorities. What is most important?
2. Realistic: "Is your goal realistic"
Setting a goal to make $1000 each month might not be a realistic goal. However, setting a goal of $50-$150 a month is possible.
3. Timely: "Can you earn enough money in a reasonable amount of time to reach your goal"
Will waiting 2-4 months to earn enough money for a Nintendo Wii be acceptable, or do you want to select a goal that you can meet faster?
4. Written: Writing down your goals will help you stick to them.
Temptations will come in the form of "impulse buys." You don't want to spend your income on things other than your goals. Written goals will remind you of what you value as important.
Assignment 1: Write your goals.
On a separate sheet of paper write down a list of 3-5 financial goals and costs associated with them.
Now that you have your goals written. Let's evaluate them.
Assignment 2-Create a Prospect List
Now is the time to start a list of prospective customers. A Prospect List Form has been provided in the Forms Section for you to list names of people you know drink coffee or might want to support your business. Ideas for prospective customers include family, friends, church member, neighbors or businesses. By listing names and phone numbers on one sheet you will be well organized for your first day of sales calls.
Assignment 3: Place your coffee order.
Now that you know your goals and how many potential customer you might sell, it's time to make an educated guess of how many bags of coffee you would like to purchase. You can determine how many bags of coffee to order for your first month of sales. A Purchase Order Form has been provided in the Forms Section. Complete the order form and call, fax or email your order.
Assignment 4: Determine your sales price
FatBrain Coffee is considered a higher quality coffee for the following reasons.
1. Fresh Roasted
FatBrain's coffee roaster provides us with freshly roasted ground coffee. Usually less than a week old. Coffee purchased in stores is typically much older and therefore lacks the quality taste.
2. 100% Colombian
The coffee we provide is 100% Colombian and not a blend of coffee from various regions. This means a more smooth and consistent taste.
3. Arabica
Our coffee is Arabica, which means that the coffee bean has been grown at an elevated climate when give the bean a better distinctive taste.
4. Coffee Kids
Our roaster supports Coffee Kids. Coffee Kids has helped thousands of children, women, and men in coffee-producing regions around the world to improve the quality of their lives and build more sustainable communities. Working with local non-governmental community organizations in Latin America it seeks to create education, health-care, training, and micro-enterprise programs for coffee farmers and their families.
Educating yourself about the coffee will help you determine a sales price. Our family looked at the local market and found that comparable quality coffee typically sold in 12 oz. bags for $8.00-$9.00. Based on these findings, we sell our 16 oz. bag for $11. We have friends that have gone down to $10.00 for calculating ease. It's up to you.
"What do you think your coffee price should be?"
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