Your assignment is to prepare and submit a paper on magical healthy goodies. This means, Magical Healthy Goodies wants to have a global outreach. The business of low calorie intake baked cookies, cakes, and pastries should attain international standards.
Employees hired: Ms Alyaa Mohamed has been hired as personal assistant. Further, three chefs and three delivery boys are to be hired. The delivery boys would handle the local orders. A manager is to be hired to arrange for international delivery and shipping. An accountant is also to be hired. Ms Fatmah appoints herself as the CEO of the company.
Business activities and products offered: Business activities include manufacture, customization, delivery, and shipping of the products. Products include low calorie intake baked cookies, cakes, and pastries.
1. The owner: “Effective executives do not make great many decisions. They concentrate on what is important. They try to make the few important decisions on the highest level of conceptual understanding.” (Drucker et al, 2001). Ms Fatmah has to function herself at the level of management accountancy. She must personally see the journal, ledger, and trial balance entries. Since this is the age of globalization and the company can aspire to develop international outreach with the laps of time, all financial records should be maintained in terms of US dollars.
2. The lender: Money should be borrowed from a bank that has international operations. The owner should check the previous annual reports of the bank. The stock value of the bank is also an important consideration. The lender, i.e., the bank must check Ms Fatmah’s ability to furnish collateral security. A reliable guarantor should be there. The capital reserves of the new company and the amount of cash in hand are important considerations of for the bank.
3. Competitors: In a competitive market, publicizing the financial records is generally avoidable. Ms Fatmah must keep an eye on her competitors, especially those who have launched public issue.