Planning for a New Venture

Bivin Jose

Department of Psychiatric Nursing

MB CN, Kothamangalam

Introduction

• Venture: Risky start-up or enterprise

company.

• Venture Planning is a personal

assessment of feelings & the

feasibility of a venture.

• The Venture Feasibility process

examines the key factors in any

venture.

Meaning

• Venture refers to a risky start-up or enterprise

company

• New ventures are business plans that gives an

opportunity or chance to set up a company/

business on the basis of innovative ideas

• It is build upon customer driven ideas or

technology

Key factors in venture concept planning

1. Which venture concept produces the most sales, the best margins, the highest net profit and the lowest breakeven?

2. Which model requires the least investment by entrepreneurs and others?

3. Which concept requires equity as opposed to debt financing?

4. Which produces the highest "Return on Investment" and the best liquidity?

5. Which model requires the entrepreneur to give up the least equity?

Factors in Venture Planning

o Entrepreneurial mindset & skills

o Possible risks & dangers

o Speculations on investment yields

o Reputation status of the firm

o Possible refutation

Process of VP

Idea Concept

Development Venture

Development

Monitoring Progress

Initiating New Changes

Venture Feasibility Analysis

Business or Operational Plan

Budget vs. Actual/New Plans.

Process of VP

Define the project

Do feasibility study

Consider fiscal sponsorships

Legal aids when necessary

Plan for physical facilities

Identifying the venture impasses

Develop simple budget & business

plan

High growth business development

Start up

Initial growth

Rapid growth

Continues growth

Keys to good venture planning

• Focus on one venture at a time in one business area at a time.

– Discover the opportunity first, and then evaluate how to exploit it.

– Develop three cases good, bad & likely for each scenario of a venture concept.

– Identify what type of venture you want. Each type has an entirely different model, implementation and end result. Each demands a different entrepreneurial approach and each requires different management and style.

Keys to a Good First Venture

Founder's alignment with

the mission

Guaranteed or qualified customers

Lifestyle of High Profit

smaller business

Routine concept

Available product

Advantageous Cash Flow

Supportive local

environment

Neutral State and Federal Environment

Equity Control

Relevant Experience

Low Overhead

Venture proposal checklist

• Proposals functions as an important tool in avoiding any future problems in any ventures

• They help to prevent – Acting on impulses

– Proceeding with half-baked idea

– Disastrous outcomes

– Exposing the fear that certain facts could spoil what may seem to be great idea

• There are 2 versions – Short version

– Long version

Items in the Venture proposal checklist

• Framework of the plan

• Appendices, attachment etc

• Main issues under the key section

• Work program assignments based on the framework & lists

• Key sections in a logical order

• Critiques from the advisor

• Summary & conclusion

• Evaluation strategies

Areas for VP in Nursing service

Institution based care

Process oriented

Procedure driven

Based on mechanical & manual intervention

Provider driven

Treatment based

Reflective of late stage intervention

Based on vertical clinical relationships

Areas for VP in Nursing service

o Mobility based on multiple settings

o Outcome driven

o Best- practice oriented

o Emphasized by technology and minimally invasive intervention

o User driven

o Health based

o Geared for early intervention

o Based on horizontal clinical relationships

-Porter-O‘ Grady (2003)

Risks in new ventures

• Market risks

– Market strength to support the venture

– Trends in the market

– Structure and distribution of the market competition

• Operational risk

– Problems related to delivering the quality products on customer-satisfaction

• Financial risk

– Changes in the financial projections/predictions

Resolution of risk

Analysis &

Revise

Market

Operationmodel

Financial model

References

1. Jogindra Vati (2013). Principles & practice of nursing management and administration, I ed., New Delhi, Jaypee Brothers Medical publishes (P) Ltd.

2. Deepak K, Chandran S & Kumar M (2013), A comprehensive textbook on nursing management, I ed., Bangalore, Emmess Medical Publishers. 75-112

3. Booyens WS(2007), Dimensions of nursing management, II ed., Cape Town, Zebra Publishers. 137-139