Post on 25-Dec-2015
HOP ON THE BUS! HIGH SCHOOL
BUSINESS PLAN COMPETITION:
Using competition to build youth financial and entrepreneurial skills
What is Entrepreneurship?
Entrepreneurship is the ability to create and build something from practically nothing. It is
initiating, doing, achieving, and building an enterprise or organization, rather than just watching, analyzing, or describing one….
Entrepreneurship Drives the Economy
• 69% of high school students want to start their own businessSource: Gallup poll
• 86% of high school students rate their business knowledge very poorSource: Gallup poll
Why Entrepreneurship Education?
• Entrepreneurship is an “equal opportunity” career path
• Entrepreneurship education provides opportunities for participants to master competencies such as:
• Creativity• Financial knowledge• Critical thinking• Decision making• Teamwork• Leadership• Persuasive writing
Hop on the BUS! Brings Entrepreneurship into the Classroom
• Students can develop their business plan based on the business idea of their choosing
• Website provides tools for teachers to use in the classroom or to help individual students
• The business plan can be the start of a graduation project, club competition, or an actual business the student runs
Hop on the BUS! Background
• Created in 2006 as part of the statewide Entrepreneurial Development System funded by the W. K. Kellogg Foundation
• Expanded in 2010 to twice a year through a grant from the Citi Foundation
• Now in 7th year• Open to all High School Students in North Carolina• Sponsored by North Carolina Department of Public
Instruction, NC REAL, NCCEE (NC Council of Economic Education) and N.C. Rural Center
Hop on the BUS! Successes
• Michael Savage, a winner from the first year, started his business and ran the business throughout college.
• RamWear, a school-based jewelry business from Starmount High School placed in Hop on the BUS! and raised money for a student’s medical expenses.
• Travis Miller, a student from Ashe County High School, plans to start his furniture design business to earn money for school.
Using Hop on the BUS!
• Competition open to all High School-aged students including home schools, charter schools, and private schools
• The competition reinforces skills taught in core and elective courses including communication, persuasive writing and financial literacy
Using Hop on the BUS!
• Can be used as a culminating activity for many classes
• Can be used in conjunction with other student organizations and clubs
• Can be used in community organizations such as 4-H, Boy and Girl Scouts, Entrepreneurship Clubs and Religious Youth Groups
Hop on the BUS! Rounds
• Round 1- Create teams, brainstorm on business ideas, select business idea, identify target market, create mission statement
• Round 2- Identify competition, determine size of market, determine price, develop marketing strategy
• Round 3- Determine organizational structure, identify risks and how to overcome them, develop cash flow for business
• Round 4- Top ten business plans will be chosen and teams will create a 5 minute business presentation
Tips for Success-Business Selection
Encourage students to:• Pick a business that they are familiar with or know
someone in the business.• Pick a business that is feasible for the student either
today or once they complete their education• Remember that simplicity is best • Don’t forget about service businesses– they are often the
most likely to become real businesses for the studentsExamples include: car detailing, dance teacher, child care, computer support, etc.
Pitfalls-Business Selection
• Too big of a business– very few people can start an airline or a major game company from day 1
• Imaginary business– the business needs to follow the laws of physics. It is hard to figure a break-even on fairy dust!
Tips for Success- Marketing
Encourage students to:• Carefully describe their target market– remember the
80/20 rule (20% of your customers provide 80% of your business)
• Explain how the marketing strategies will reach the target market.
• Carry out the market analysis—once they have a clear target market it becomes easier to figure out the rest
Pitfalls-Marketing
• Too broad a market- never say “everyone is my market”
• Unrealistic advertising– can you really afford to advertise on the Super bowl?
• Listing word of mouth as your major strategy– while positive word of mouth is important it is passive and hard to control.
Tips for Success-Financials
Encourage students to:• Make sure that cash flow is consistent with the rest
of the business plan• It is more important to use realistic numbers than to
show a large profit• Carry out the breakeven to help with pricing
Pitfalls-Financials
• Leaving out salaries– payroll is usually one of the biggest expenses
• Using a template, but not changing the numbers for your specific business
• Showing giant profits from the very beginning
Tips for Success-Video Presentation
Encourage students to:• Treat it like they are selling the business idea to an
investor• Look at the camera and smile• Have fun! A commercial is a great way to personalize the
business.
Pitfalls-Video Presentation
• Poor sound quality– if the judges can’t hear them, they can’t score them
• Going into detail with the financials– just hit the high points
• Just doing a commercial without the business plan presentation
Hop on the BUS! Process and Timeline for Fall 2012
August-September: Students form teams and register for the competition
September 21st : Teams submit first round which includes business idea
October 5th : Teams submit 2nd round which includes marketing plan
October 26th : Teams submit 3rd round which includes financials
November 7th 2012: Top 10 teams notified and asked to complete video presentation
November 30th 2012: Video Presentations Due
December 14th 2012: Winners announced and invited to awards ceremony hosted by NCCEE
Hop on the BUS! Process and Timeline for Fall 2012
Supporting Materials- Website
• Each round includes activities for teachers or advisors to use to cover the topics
• Website includes links to online resources for teachers and students
• Website provides financial templates for personal budgeting, breakeven analysis, and cash flow
• www.hoponthebus.org
Hop on the BUS!Contact Information
Website:www.hoponthebus.org
Coordinators:Delores Ali, NC DPI
Delores.ali@dpi.nc.gov, 919-807-3875
Malinda Todd, NC REALmalinda@ncreal.org, 919-781-6833 ext. 126