I need to create a business plan for Johnson & Johnson, it does have to fit...

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Finance

I need to create a business plan for Johnson & Johnson, itdoes have to fit to their specific financial situations. Maybe justsome examples? please help?

A. Financial Projections

How will you fund the business?

What is your desired debt and equityposition?

Who will provide capital debt funds?

What role will leasing play in your financialstrategy?

Will you use outside investors for equitycapital?

How will you manage the financial risks your businessfaces?

What operating procedures, such as developing cash flowbudgets or spending limits, will you have to ensure adequate moneyfor debt repayment?

What are the important assumptions that underlie yourprojections? These assumptions may be associated with both externalor internal factors.

What financial aspects of your business (equity, assetgrowth, ROA, ROE, etc.) will you monitor?

What procedures will be used for monitoring overallbusiness performance?

What level of performance will your business shoot for?These should be targets for next year and in five years. Theyshould be financial performance standards used to monitor theoverall business.

What yield and output levels could you attain? Whatefficiency levels will you reach?

Answer & Explanation Solved by verified expert
3.7 Ratings (337 Votes)
Firstly I would like to know the nature of business plan for which financial projection is required Assuming the project has midlevel financial projections following would be my answers to your posed questions i A business can be funded either by debt or equity If JJ has unused debt capacity go for debt On the other hand if its shareholders are willing to issue shares you can rely on equity issue or retained earnings by having a quick glance at firms balance sheet ii Desired    See Answer
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