For this activity:

You will need to use The Internet and to write down your answers in your Mahara e-portfolio.

In this theme you have learnt that some costs must be paid before the business even starts trading and these are called start-up costs These costs are usually of a ‘one off’ (only happen once) nature, although some items such as uniforms may need replacing after a period.

A group of new students in your entrepreneurship class were discussing start-up costs and suggesting that they could be incorporated into monthly operating costs and fixed costs. What advice would you give to them about this? Are they correct? 

In order to give good advice to the students and to show that your advice is grounded in fact, you should do some research. With a partner or another member of the group, use the internet to discover as many different start-up costs that you can find. It can be for an industry you are interested in, or general research. 

Once you are sure you have reputable sources, compile a list of start-up cost and sort those costs into ‘one off’ costs and repeating costs that would be included as a repeating cost. It might be useful to include a short explanation for each cost in case you are asked to explain your reasons. 

Once you have your two lists and are happy with them, think about each side of the argument or debate, and consider your advice. 

With your partner or group write a short paragraph and explain the advice you would provide to the students. Be sure to justify the advice you give with evidence from your research. 


Last modified: Wednesday, 30 September 2020, 11:03 AM