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YES
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NO
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1. We operate with a complete and up-to-date business plan that includes:
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A) One- and three-year projections
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B) A capital budget
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2. We operate with an annual marketing plan that includes:
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A) Precise sales and profit goals and timetables
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B) Strategies and tactics for the next three years
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C) Budgets, Forecasts, and Benchmarks
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D) A tentative sales plan
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E) The demographics of our target markets
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F) A thoughtful definition of the markets we serve
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G) A definition of the needs/wants our products and services fill
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H) An analysis of the growth potential of our markets
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I) A competitive analysis
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J) A definition of our “Unique Selling Proposition”
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K) Projections for other products or services that could be developed
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L) Timetables for research and development
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3. We use monthly budgets and statements that include:
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Thorough and up-to-date records
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Cash flow budget
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Profit and Loss (Income) Statement
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Balance sheet
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Deviation analysis
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Ratio analysis
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Standard cost comparisons
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Cash reconciliation
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4. We have developed an information base that allows us to:
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Keep track of new developments in the industry
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Obtain and study key trade information
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Understand what “state of the art” means in this business
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Provide customers with the best available information pertaining to our products and services
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Keep all our employees adequately informed
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5. The business is properly capitalized since:
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Capitalization is based on worst-case planning
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We have emergency funds (or access to them)
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We have discussed this with our commercial banker
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6. I understand the value of the business because I’ve made use of:
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Professional appraisers
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Present value methods to evaluate terms
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Professional tax planning counsel
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Accurate, timely financial information
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7. We strive to improve production, quality, and operations by:
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Keeping the plant in top condition
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Maintaining safe conditions
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Establishing high standards
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Standing behind our products and services
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Not tolerating shoddy performance
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Working for consistency
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Using our company’s “look” as a statement to our markets
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8. Personnel decisions are based on humane, carefully considered policies that include:
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Checklists to make sure objectives are clear
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Communication, to make sure objectives are understood
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Written job descriptions
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Regular progress and performance evaluations
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Fair hiring practices
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Fair wage scales
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9. As for my own personal/managerial skills, I work hard to:
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Develop my problem-solving abilities
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Always stay calm
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Be objective
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Avoid investments in my own ego
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Listen to my employees
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Plan changes in our course to minimize negative effects
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Make decisions promptly
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Always get the facts behind problems
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Accept my own limitations
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Delegate tasks that can be done more efficiently by someone else
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Analyze all available options
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Develop my reading/study habits
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Improve my skills
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Consider and evaluate risks
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Be positive with customers, employees, associates
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