Financial Service Professionals

For part 1 and 2 it should be 150-200 words for each part.

Part 1(A)

In order to have a realistic estimate of where the firm presently stands and what the future holds, entrepreneurs should establish financial plans and thorough financial ratio analysis. One of the most significant realities of being a business owner, in my opinion, is the ability to create income and make a profit.

For new entrepreneur it may be to his/her advantage to have a financial planner or advisor to help explain the financial risk of the startup company. “The explanation is fairly simple: most start-ups are funded through personal savings, and millennials, saddled with student loan debt, simply lack the funds” (Jurinski, JD, CPA & Down, PhD, 2016).

Multitasking and prioritizing may be a problem for entrepreneurs who are still learning how to operate a firm. It might be difficult to coordinate marketing, SWOT analysis, and mission/vision statement fulfillment. Adding the company’s financial planning to the mix could mean the difference between a corporation surviving and thriving.


Jurinski, JD, CPA, J., & Down, PhD, J. (2016). Helping Older, Encore Entrepreneurs Anticipate Financial Risks. Journal of Financial Service Professionals, 81-90.

Part 1(B)

According to Investopedia, a financial plan is a document containing a person’s current money situation and long-term monetary goals, as well as strategies to achieve those goals. When starting a business investors whether its the bank or people the want to know where their money is going. And they want to know about the return on investment. Nobody will invest in your product without a sound financial plan with clear goals in place. In its simplest form, a financial projection is a forecast of future revenues and expenses (Sullivan, 2020). Every entrepreneur should have a financial projection so they can predict sales and have money set aside for expansion, maintenance. or material cost. Following the projection can prevent some hefty financial surprises from wrecking your budget and causing financial hardship. It’s really just budgeting and spending the company money with an end goal or purpose. Financial ratios are relationships determined from a company’s financial information and used for comparison purposes. Examples include such often referred to measures as return on investment (ROI), return on assets (ROA), and debt-to-equity, to name just three. These ratios are the result of dividing one account balance or financial measurement with another. Usually these measurements or account balances are found on one of the company’s financial statements—balance sheet, income statement, cashflow statement, and/or statement of changes in owner’s equity (Editorial, 2020). Having a financial plan will make or break a business, entrepreneurs need to understand financial projections and financial ratios to not only understand where the money is coming and going but to know if the business is healthy. Owners have to know this to get other to invest in them and to keep the business doors open. Whether that’s by their own hand or by the guidance of a financial planner helping along the way.



Work Cited


Contributor, C. (2021, May 17). Why is it important for entrepreneurs to develop financial plans for their companies? Small Business –

Editorial, I. (2020, February 6). Financial ratios – encyclopedia – business terms.

Kagan, J. (2021, July 28). Understanding financial plans. Investopedia.

Sullivan, M. (2020, September 8). Understand financial projections & forecasting. QuickBooks.

Part 2 (A)

According to our book (Lawrence & Weber, 2017), “intellectual property (IP) are the ideas, concepts, and other representational inventions of the human mind” (pg. 262). I feel that internet information is not free to everyone, and copyrighted music and software should be protected in the creator’s best interest. A web source for IP stated that IP is protected in law, for example, patents, copyright, and trademarks, which allow people to earn recognition or financial benefit from what they invent or create. By reaching the right balance between the interests of innovators and the broader public interest, the IP system strives to promote an environment in which creativity and innovation can flourish (What is intellectual property? n.d., para. 2). A crucial step in securing the protection of IP is to research the idea or invention.

A crucial part of protecting intellectual property is staying informed and researching as much as possible to protect it. According to Capirino (2017), “registering IP with the U.S. Copyright Office, speaking to patent attorneys, through a solid trademark branding and enforcement” (Capirino, 2017, para. 12 & 13). one can start by taking some of these steps in ensuring the future success of their newly developed IP. There are plenty of ways to ensure IP stays protected, and talking to the right people and finding the proper resources will be the way to do it.


Caprino, K. (2017, February 27). How to protect your intellectual property the right way. Retrieved August 06, 2021, from…

Lawrence, A. T., & Weber, J. (2017). Business and Society: Stakeholders, Ethics, Public Policy (15th ed.) New York: McGraw-Hill/Create Custom

What is intellectual property (IP)? (n.d.). Retrieved August 06, 2021, from

Part 2 (B)

Free isn’t free. The information available on the internet is free per se; there isn’t a cost to Google and look for something. However, to use the internet, one must pay for the service to access the internet through the local provider. So free isn’t free, sure we can google anything and have ‘free’ information instantly. Information is easily accessible in many forms of music, audiobooks, documents, articles, and so many more. It’s no secret that technology is continuously advancing, making it more challenging to keep information protected. “Governments also have protected individuals and companies’ ideas-their intellectual property. With advances in technology, protecting the ownership of intellectual property has become more challenging than ever.” (Lawrence & Weber, 2017, 262) However, steps can be taken to protect the property while including these on your site or online content is not necessary. It does help to inform those visiting the site that what is available on your site is not meant to be replicated.

Steps that can be taken to protect the property are: Establishing a privacy approach, patent innovations, get all crafts copyrighted.

Businesses usually have a manual, and in this manual, the business should include a privacy approach section. This section is to inform the government of the guidelines and purpose of the business and how they will be implemented. This section doesn’t need to be lengthy, short and to the point will be just fine. Patents can get tricky, so it is best to invest in a lawyer specialising in patents. Copyrights are a great way to protect one’s property because even after the owner’s death, the copyright continues for years after the death. The copyright can continue for a minimum of 70 years after the author’s death and up to 120 years from its creation. It all depends on certain factors. “The term of copyright for a particular work depends on several factors, including whether it has been published, and, if so, the date of first publication.” (, n.d.)

References: (n.d., n.d. n.d.). How Long Does Copyright Protection Last? Retrieved 08 05, 2021, from…

Lawrence, A. T., & Weber, J. (2017). Business and Society: Stakeholders, Ethics, Public Policy. Retrieved from


Part 3

It has been a little more than two years since Angela Crawford and Martin Rodriquez purchased the Bluffton Pharmacy from Frank White, the previous owner and founder, who had stated the pharmacy in 1969. Although Crawford and Rodriquez have prepared budgets for Bluffton Pharmacy and have analyzed their financial statements using ratio analysis, they have not created a cash flow forecast. During a recent meeting, their banker explained the importance of reliable cash flow forecasts, telling them that banks traditionally are “cash flow lenders.” Bankers appreciate strong balance sheets and income statements, but they are most interested in a company’s cash flow because they know that positive cash flow is required to repay a loan.

Crawford and Rodriquez expect sales to increase 4.5 percent next year, to $2,504,368. Credit sales account for 79 percent of total sales, and the company’s collection pattern for credit sales is 11 percent in the same month in which the sale is generated, 63.5 percent in the first month after the sale is generated, and 22 percent in the second month after the sale is generated. The pharmacy’s cost of goods sold is 77.4 percent, and vendors grant “net 30” credit terms, which means the pharmacy pays for the goods it purchases every month in the following month. Crawford and Rodriquez have been working with their account to develop estimates for their expenses for the upcoming year (see the accompanying table on page 783).

Actual sales for the last two months, November and December, were $272,357 and $315,458. The company’s cash balance as of January 1 is $74,473. The interest rate on Bluffton Pharmacy’s current line of credit is 8.25%, and whatever the pharmacy borrows must be repaid the following month (with interest), even if it must borrow again in that month. The entrepreneurs have established a minimum cash balance of $15,000.


  1. Develop a monthly cash budget for Bluffton Pharmacy for the upcoming year.
  2. What recommendations can you offer Angela Crawford and Martin Rodriquez to improve their pharmacy’s cash flow?

Using APA formatting guidelines, in 2-3 pages, respond to questions 1 and 2 making sure to integrate the core value of integrity.


Explanation & Answer length: 2 pages