Assignment: Business Fundamentals – Business Models & Finance
Objective
This assignment helps startup founders refine their business model and understand key financial principles. You will define your revenue model, business structure, and financial projections using practical tools like the Business Model Canvas and financial forecasting techniques.
Instructions
- Answer each section in bullet points or short paragraphs (2–5 sentences each).
- Keep responses concise and focused on your startup.
- Apply real business and finance concepts to structure your venture’s success.
Assignment Questions
1. Defining Your Business Model
(a) What problem does your startup solve?
👉 Describe the market gap and how your solution addresses it.
(b) Who are your target customers and/or beneficiaries?
👉 List your primary customer segments and any secondary beneficiaries if applicable (e.g., customers who pay vs. recipients of social impact).
(c) What is your startup’s value proposition?
👉 Summarise the unique benefit your product/service provides.
2. Revenue & Monetisation Strategy
(a) What is your primary revenue model? (Select one or more)
👉 Example:
Product Sales – Direct sale of physical or digital goods.
Service Fees – Charging for services rendered.
Subscription Model – Monthly or yearly fees for continued access.
Freemium – Free basic services with paid premium features.
Advertising – Generating revenue through ads.
Sponsorships & Partnerships – Securing financial support from external organisations.
Donations & Grants – Funding through philanthropic contributions.
(b) Why did you choose this revenue model?
👉 Explain how it fits your business goals and market conditions.
(c) Do you foresee adding or changing revenue streams in the future? Why?
👉 Example: Expanding from direct sales to partnerships for broader distribution.
3. Business Model Canvas Application
(a) What are the key partnerships your startup needs to succeed?
👉 Example: Suppliers, distributors, investors, government agencies.
(b) What are your startup’s most important activities?
👉 Example: Product development, marketing, sales, customer support.
(c) What resources (financial, human, intellectual, etc.) are critical for your success?
👉 List essential resources such as capital, expertise, data, technology.
(d) What are your main customer acquisition channels?
👉 Example: Social media, SEO, referrals, in-person events, partnerships.
4. Financial Planning & Projections
(a) What are your startup’s key costs?
👉 Example: Product development, salaries, marketing, logistics.
(b) What is your estimated break-even point?
👉 Example: “We need 1,000 paying customers at $10/month to cover expenses.”
(c) What financial tools or projections have you used (or plan to use)?
👉 Example: Cash flow forecasts, profit & loss statements, investor pitch financials.
5. Risk Management & Business Growth
(a) What are 2–3 major risks your startup faces?
👉 Example: Market competition, funding shortages, regulatory challenges.
(b) How will you mitigate these risks?
👉 Example: Diversifying revenue streams, securing strategic partnerships, running lean operations.
(c) What are your next steps for scaling your business?
👉 Example: Expanding into new markets, launching a marketing campaign, improving product features.
6. Reflection & Next Steps
(a) What is one aspect of your business model that is working well?
👉 Example: Strong customer engagement, high product demand, clear revenue model.
(b) What is one area you need to refine or improve?
👉 Example: Reducing customer acquisition costs, improving financial forecasting, optimising pricing.
(c) What will you do in the next 30 days to strengthen your business model?
👉 Example: Conducting customer interviews, revising financial projections, testing new revenue models.
- Call to Action (Funding/Partnerships Needed)
Submission: Not required
Keep answer short and to the point
Due Date: None
