Analysis of Business Plan of Vusion Inc - Essay Example

it can be established that a business plan is an organization’s blueprint for running its mission and vision. On the other hand, Berry (2009) holds the view that “A business plan is any plan that works for a business to look ahead, allocate resources, focus on key points, and prepare for problems and opportunities.” The task in this assignment is to critically ascertain to find out if existing business plans have lived up to the given definition discussed above. The assignment comes in two portfolios labeled portfolio A and portfolio B by the writer. Whereas portfolio A generally touches on the strengths and limitations of the plan and the degree to which it meets the needs of its target audience, the portfolio B critically evaluates the financial content of the plan, in particular: evaluates the extent to which the financial content meets the needs of potential investors. The writer finds the assignment extremely important because as much as it serves as a guiding tool for the organizations involved, it could also sharpen the writer’s skills and knowledge in building and assessing business plans for future needs.

The company under scrutiny is Vusion Inc. Summary of Vusion Inc’s Business Plan Writing a business plan is an integral part of the administration of businesses, corporate bodies, organizations, and companies (Bawuah, 2004). To a larger extent, getting the rubrics right is like an examination paper to a student. Though not an academic document, so that writers of business plans to achieve the desired aim for generally writing a business plan, certain criteria need to be met.

When summed, a workable business plan should have the capacity to tell a potential investor every good thing about a company and why the company is viable for investment. According to the Centre for Business Planning (2011), “Vusion is developing a chemical analyzer and Sensor Cartridge, based upon the Electronic Tongue TM technology, which can instantly analyze complex chemical solutions”. The central intention of the organization to pursue its current business plan sterns from the fact that the organization has realized that “many liquid processing industries do not have the technology available for real-time measurement of product quality” (Centre for Business Planning, 2011), To this end, the organization wishes to take advantage of the situation by introducing an analyzer and Sensor Cartridge that “will enable economical, real-time analysis of many complex chemical solutions, instantly identifying the presence and quantity of multiple chemicals within a mixture” (Centre for Business Planning, 2011).

The core marketing and distribution strategy held by the organization is to merge with existing companies who are in related trade and who have already established themselves as giants “process control original equipment manufacturers (OEM) that supply instrumentation to fine chemical manufacturers, pharmaceutical companies, and biotechnological companies.” The company’s initial capital for its venture is $1,500,000, which is hoped to be $8m in the following year and $12m in the third year.

With all these investments, “Vision projects $57 million in revenue with $11 million in net income by Year 6” (Centre for Business Planning, 2011). Portfolio A This portfolio is limited to evaluating all aspects of the business plan except the financial aspect. The organization in question for this portfolio is Vusion Inc.