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2.Raising money is connected with a great risk.

3.Starting up a business requires a careful preparation and detailed financial business planning.

Ex. 16. Pretend that you have decided to set up your own business. Discuss all points given below and prepare a written business plan for the bank you are going to introduce it.

Business Plan Checklist

1.Details of the business

-Name of the business

-Type of the business (legal and structural framework)

-The company’s location and contacts

-Name of the company’s head

2.Personal details

-Relevant work experience

3.Personnel

-Number of people involved

-Positions

-Job function

-CVs

4.Product / service

-Description

-Ways of distribution

-New ideas, innovation methods and technologies of the project

5.Market

-Describe your market situation

-Your potential customers or target groups

-Is your market growing, static or in decline?

-Your main competitors

-What are the advantages of your product / service over the competition?

6.Marketing

-What sort of marketing research and advertising do you intend to do?

7.Premises / equipment / vehicles

-Where are you going to locate your business?

-Why do you intend to place it there?

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-What sort and size of premises will you need?

-What equipment or vehicles will you require?

-What office automation equipment or furniture will you need?

8.Objectives

-What objectives do you have for the business?

9.Draft budget

-Salaries and fees (monthly or daily rate, if consultants)

-Social benefits and taxes

-Facility rent / utilities

-Office equipment / machinery

-Supplies and office accessories

-Copying, printing, publishing / purchasing publications and documents or advertising information

-Communication / telephone and fax, mail, Internet

-Conferencing and training / meeting room rent, handout development, conference equipment rent, speakers and facilitators fee

-Expenses for advertising

-Travel expenses / transportation, lodging, per Diem

-Other costs (bank fees)

-Total project costs.

Ex. 17. Read these extracts and decide, which sections of the checklist given above they correspond to. Speak about the project described in the plan.

Words to know:

Purchases – покупки

To intend – намереваться, иметь намерение что-либо сделать

Mansion – особняк

Dead-end – тупик

Cradle – колыбель

Parlormaid – горничная

Tutor – воспитатель, репетитор, наставник

Laborer – рабочий

Comfortable income – приличный доход

Dedicated to family – приверженный семье

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Business Plan

a.The project draft budget includes nine items of expenses and the detailed list of all required purchases and payments. The total project cost is 400,000 euros.

b.The Family Hotel. Initially the business will be registered as a limited liability company with two co-founders at the address 136, Daily Street, Office 44, Nikolsk, Russia. Tel / fax 8 (1234) 55-66-78. Director General is Nikita P. Belov.

c.We intend to locate the business in a quiet old mansion at the dead-end, which is in the historical part of the downtown. There is a driveway, a garage with parking of ten cars, a backyard with trees, flowers, benches and small fountains, which make a calm and friendly atmosphere. There are four levels, a basement and an attic in the house. It will be renovated inside and restored outside. There will be all modern conveniences in the hotel. The mansion is close to shops, city places of interest and entertainment. The surface is 500 square meters at a rent of 1,500 euros per month. We will need a van, a car, personal computers and telephones to each room, two photocopiers, two fax machines, kitchen furniture, stoves and microwave ovens, fridges and other household appliances (see the draft budget).

d.Families with children and their pets are expected to stay with us. There will be rooms for two and more persons furnished with joyful and bright armchairs, beds, sofas, cradles, etc. Everything from toys to special food will be offered to our guests. We could propose baby sitting, walking the dogs, excursions and museums visiting, room services and educational programs. There is no a hotel of this kind in our city.

e.We plan to advertise on radio and in the press. We will use on-line and TV promotion as well as distribution through letters of information to travel agencies and big corporations, which finance family rest for their workers. There will be three billboards placed next to the city airport, railway station and our hotel.

f.Mr. Belov had successfully headed the Central Hotel for fifteen years. He has made many contacts in hotel business both in the country and abroad. Other staffers are also experienced and skilled employees. They were involved in both marketing and customer service at junior or executive management level.

g.Four full-time staffers for the reservations, receptionists departments and one personal assistant to do secretarial work at the office administration with

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Director General as a head. Six part-time workers to be a cook, parlormaids, tutors and laborers. CVs are added.

h.It is an exclusive offering on our market as nobody provides such services like receiving families with children and their pets though the market is growing. But there is no competition in the area as the concept for this type of hotel is new. We are aimed to work for customers with comfortable income who are dedicated to families.

i.At first, we will be focused on getting the business into profit and making our hotel popular. We will try to attract permanent customers. If our operations are successful we will open a second hotel directed to another target group with quite different lifestyle. There will be only one thing we plan not to change. That will be a small size of the hotel.

Ex. 18. Pretend you are executives of the bank. Working in small groups, consider your friends’ business plans, make solutions and explain your decisions in conversations.

Use the following phrases:

I see their points. – Я понимаю их доводы. Will that work? – Это сработает?

We have some recommendations. – У нас есть несколько рекомендаций.

Perhaps, they will need to give this some additional thought and come back. –

Возможно, им нужно еще немного подумать и прийти снова.

I suggest they change the draft budget. – Я предлагаю изменить проект сметы. We reached a compromise. – Мы достигли компромисса.

Let’s make a deal! – Давайте заключать сделку!

I am (not) going to reject this project. – Я (не) намерен отклонить этот проект.

On what terms can we grant credits? – На каких условиях мы можем предоставить кредит?

How will the credit be repaid? – Каков порядок погашения кредита?

The credit will be repaid within ten years by semi-annual installments – Кредит должен быть выплачен в течение десяти лет полугодовыми взносами.

What services will be financed out of the proceeds of the credit? – Какие виды услуг будут покрываться за счет кредита?

The interest rate is … – Размер процентной ставки…

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Ex. 19. Translate the sentences from Russian into English using what you have learnt about the Conditionals.

1.Если я стану индивидуальным предпринимателем, я получу финансовую помощь по программе поддержки молодых бизнесменов.

2.Наша компания создала бы больше рабочих мест, если бы этот проект привлек инвесторов.

3.Мы бы получили больше прибыли, если бы год назад банк предоставил нам ссуду на расширение бизнеса.

4.Если они обсудят смету сегодня, они примут решение по вашему проекту.

5.Эта компания инвестировала бы до двух миллиардов долларов в строительство газопровода, если бы на вчерашнем заседании мы достигли соглашения.

6.Жаль, что он взял в долг слишком большую сумму денег, чтобы начать свое дело.

7.Я бы хотел, чтобы мы сейчас конкурировали с меньшим числом фирм.

8.Хотелось бы нам, чтобы завтра банк перечислил деньги на счёт компании.

9.Если бы ты занял деньги у ростовщика, ты бы платил высокий процент.

10.Если бы в сентябре вы зарегистрировали компанию, она бы принесла больше прибыли.

11.Банк предоставит нам приемлемые условия, если мы напишем подробный бизнес-план.

12.Жаль, что мы не посоветовались с бухгалтером по этому вопросу.

Ex. 20. Fill in the gaps using the correct non-finite form of the verb given in the brackets. Say if it is Infinitive, Gerund, Participle I, or Participle II. Translate the sentences from English into Russian.

1.I want my company _____ (to produce; producing) more profits.

2.Our banker would like _____ (to suggest; suggesting) that they give us a twenty percent discount.

3.Mr. Makovsky, here is a set of documents for you _____ (to consider; considering).

4._____ (To lend; lending) money means to give money usually at interest.

5._____ (To lease; leasing) equipment is a way out _____ (to select; selecting).