Английский язык (стр. 2 )

What do you think you’ll need if you make up your mind to set up your own business? List the things you need to set up a corporation Think of the way to get outside capital and explain how you will attract investors.

IV. Fill in the gaps with the following words:

Corporation (2), venture capital, unincorporated firm, limited liability

An Italian …………has received the commission to build the new rail road station. I hadn’t enough capital, but I was able to persuade a …………firm to invest money in my company. The principals in an…………are liable jointly and unlimitedly, personal property included, for their debts. A single shareholder, called the sole owner, is enough to establish a one-person…………company. In a…….., the shareholders liability is limited to their investment.

V. Match up these words with the definitions below:

Barriers to entry, cartel, dominant-firm oligopoly, economies of scale, monopolistic competition, monopoly, monopsony, natural monopoly, oligopoly, perfect competition

1………..exists when products are homogeneous, and there are a great many firms too small to have any influence on the market price, and firms can easily enter and exist the industry.

2. A………is a market in a particular product in which a single producer can fix an artificial price.

3.……….is the situation in which there is only one buyer.

4.A…….is an industry in which the efficient existence of more than one producer is impossible; examples include public utilities such as water, gas and electricity, where it would be inefficient to have several competing companies laying their own networks of pipes or cables.

5.………exists when many producers of slightly differentiated products are able to sell them at well above their marginal cost.

6.An……….is a concentrated market dominated by a few large suppliers. This is very frequent in manufacturing because of economies of scale and the cost barriers of entering an industry.

7………….are factors which cause the average cost of producing something to fall as output increases.

8. ………..are economic or technical factors that make it difficult or impossible for firms to enter a market or compete with existing suppliers.

9. A…………..is one in which a market leader can indicate its preferred price to smaller competitors.

10. A…………is a group of producers or sellers who fix prices and quantities in order to avoid competition and increase profits. This is illegal in many countries, most notably the USA.

VI. We generally describe the economy as consisting of three sectors:

-  the primary sector: agriculture, and the extraction of raw materials from the earth;

-  the secondary sector: manufacturing industry, in which raw materials are turned into finished products (although of course many of the people working for manufacturing companies do not actually make anything, but provide a service – administration, law, finance, marketing, selling, computing, personnel, and so on);

-  the tertiary sector: the commercial services that help industry produce and distribute goods to the final consumers, as well as activities such as education, health care, leisure, tourism, and so on.

Classify the 18 activities from the passage according to which sector they belong to:

1. advertising products	2. assembling
3. building	4. cutting metal
5. calculating prices	6. digging iron ore
7. distributing added value	8. laying cables
9. maintenance	10. marketing products
11. mining coal	12. milling metal
13. packaging products	14. pressing metal
15. pumping oil	16. smelting iron
17. transportation	18. welding metal

primary	secondary	tertiary

VII. Translate into English:

1.  Чтобы основать свое дело, необходимо привлечь инвесторов, для чего нужно составить бизнес-план, в котором указать финансовую отчетность и прогнозы, возможные доходы и необходимый оборотный капитал. Это нужно для того, чтобы получить согласие предпринимателя инвестировать в вашу фирму.

2.  Не забудьте также о возможных проблемах, таких как снижение спроса, что может привести к убыткам в бизнесе.

3.  При учреждении новой фирмы необходимо решить, будет ли это товарищество, единоличная корпорация или компания с ограниченной ответственностью.

4.  Так же необходимо определить, в каком экономическом секторе (первичном, вторичном или третичном) будет действовать ваше предприятие.

5.  Владелец бизнеса должен учитывать пожелание акционеров получить как можно большую прибыль.

6.  В случае недолжного управления компанией менеджмент может быть заменен на ежегодном собрании акционеров.

7.  Правительственные постановления запрещают различные монополистические объединения предпринимателей. Такие как картели и олигополии, монополии и монопсонии, однако существуют естественные монополии, деятельность которых регулируется государством.

Text B

Business plan

Vocabulary

Annual percentage rate	Годовая процентная ставка
Asset	Имущество
Balance sheet	Балансовый отчет
Bank loan	Банковская ссуда
Benefit (v) the customer	Приносить пользу потребителю
Break-even analysis	Анализ точки самоокупаемости
Break-even point	Точка самоокупаемости
Cash flow statement	Отчет о потоке наличности
Develop (v) a marketing strategy	Разрабатывать маркетинговую стратегию
Direct debit	Прямой дебет
Equipment	Оборудование
Financial management	Финансовый менеджмент
Fixed assets	Неликвидные активы
Income statement	Отчет о доходах
Interest-only payment	Выплата только процентов
Lease (rent) agreement	Договор об аренде
Legal regulations	Правовое регулирование
Market	Рынок
Operating costs	Эксплутационные расходы
Operating expenses	Операционные расходы
Pay (v) its own way	Окупаться
Plan (v) a budget	Составлять бюджет
Product	Продукт
Profitability	Доходность, рентабельность
Real value	Реальная стоимость
Road haulage	Грузовые перевозки
Security	Обеспечение
Service	Услуга
Solvent	Платежеспособный
Start-up costs	Издержки на открытые предприятия
Venture	Коммерческое предприятие
Year of operation	Год финансовой операции

I.  Read and translate this text:

Introduction

Any worthwhile endeavour requires planning. Thinking through and writing up a business plan will help you to chart a steady course for your new business.

If you don’t know where you are going, you will end up somewhere else.

The business plan is a written document that clearly defines the goals of a business and outlines the methods for achieving them. It serves as your company’s roadmap.

A business plan:

- Acts as the management and financial blueprint for a business start-up and profitable operation of a business venture.

- Explain specifically how a business will function and details how a business will be capitalized, managed and marketed.

Business description

In this section of your business plan, you should provide a detailed description of your business. In describing your business, an excellent question to ask yourself is: “What business am I is?’ Describe your products, services and market. Be sure to include a through description of what makes your business unique.

The description of your business should clearly identify goals and objectives. It should clarify why you are, or what you want to be, in business.

Products and Services

In this section of your plan, describe what you intend to sell, what it does, why buying it will benefit the customer, and what makes it unique or special.

Try to describe the benefits of your goods and services from your customer’s perspectives. Successful business owners endeavour to understand what their customers want or expect from them.

Understanding the customer is most important in winning customer satisfaction and in building profits.

Sales and Marketing

One key to successful selling is to know your customer – their likes, dislikes, needs, and identifying these factors, you can develop a marketing strategy that will allow you to understand and fulfill their needs.

Know your competition. Consider their advertising and pricing strategies. If you understand why your competitors succeed, you can better position yourself to compete with them.

Plan your pricing strategy. Whether you price above or below your competition, first establish a policy. Then you can monitor prices and operating costs and adjust to ensure profitability.

Operating Requirements

In this section of your business plan, explain how the business will be managed on a day-to-day basis. Discuss hiring and personnel policies.

Discuss insurance, lease or rent agreements, legal regulations, and other operating requirements of doing business.

Account for any equipment necessary to produce your products or services. Describe the production process and delivery of those products and services.

Financial Management

Sound financial management is one of the best ways for your business to remain profitable and solvent.

To effectively manage your finance, plan a sound, realistic budget by determining the actual amount of money needed to open your business (start-up costs) and the amount needed to keep it open (operating costs).

In this section of your business plan, you need to prepare a sales forecast, cash flow projections, projected income statements, a break-even analysis, and a balance sheet.

Unless you are thoroughly familiar with financial statements, get help in preparing your flow and income statements and your balance sheet. Your aim is to understand the financial tools well enough to gain their benefits. Your accountant can help you to accomplish this goal.

Management Profile

The most important asset your business has is its people. It is important to identify the skills you need as well as those you possess, for any skills you lack will have to be hired.

This section of your business plan identifies the owners and key employees. It discusses the skills and experience they bring to the business.

II.  Choose the right answer:

1.  Why is a business plan important?

It is required by your bank It provides direction and focus for the business It is required to apply for an SBA Guaranteed Loan It acts as a blueprint for the business All of the above

2.  The Business Description section should answer the question:

Who is my competition? How will my business be managed? What business am I in? What are my operating expenses?

3.  Becoming aware of the benefits of your goods and/ or service from the customer’s perspective helps to build:

Company description Customer loyalty A good product price Sound financial management

4.  Identify your customers and their likes, dislikes, and expectations allows you to:

Match your competition Operate your business more efficiently Anticipate business expenses Understand and fulfill customers’ needs

5.The following should be discussed in the Operating Requirements section:

Insurance, lease or rent agreements and legal regulations A complete description of your products and services Your strategy The owners and key employees and their skills and experience

6 .Financial Statements are very helpful for the new business owner because:

They help to employ accountants Sound financial management is one of the best ways to remain solvent They make it possible to better define your product or services They help to determine employee policies

III.  Read this letter and write an appropriate word below to fill each of the gap:

Amount, charges, confirm, credit, debit, interest, period, repayable, small, sum, terms, turnover

Dear Mr. Hans,

Get application for………..business loan. Following our meeting on 17 October, I am glad to be able to……….the Bank’s offer of a Small Business Loan on the term set out below.

……of loan: $ 15,000

……of loan: five years from 1 November 2012

Rate of ……:16,5%

Special …..: interest-only payments for first six month

Monthly payments: $231.25 until 1May 2011

Thereafter E509.03 until 1 November 2011

The enclosed leaflet gives details of some of the Bank services to new business. No bank…….No be made during the first year of operation, provided…….does not exceed $100,000 and the account remains in……………

If you will kindly check, complete and sign the acceptance form enclosed, we will arrange for the……of money shown above to be transferred to your account on 1November. The loan win be…….monthly over five years by direct ……On behalf of the Bank I should like to wish you every success in your enterprise.

Yours sincerely,

Richard Price

IV.  Substitute Russian words by English equivalents:

When you buy equipment for your company, it is called………. (инвестиции) All company’s property, money and investments are called……(актив) The total amount of sales of a company in a year is called……(товарооборот) Every company is interested in getting a…………….. (прибыль) …………(пассив) is the name of everything that a company owes. A company, which wants to receive investments from general public, issues……(акции) People, investing money in a company hope to get…….(дивиденды) When you are borrowing money you are often charged…….(проценты) The situation when a company has no more money or property to pay its debts, is called…..(банкротство)

Y. Match each word with the correct definition:

1. profit and loss account	2. balance sheet
3. cash budget	4. share certificate
5. tender	6. business plan
7. insurance certificate	8. letter of credit
9. contract

a)  A plan of cash income and cash spending for a specific period of time

b)  A document which represents a part of the total stock value of a company and which shows who owns it.

c)  A formal agreement to provide goods or services

d)  A formal description of income and costs for a time period that has finished

e)  A formal description of a company’s financial position at a specified moment

f)  A document which states that a named person has paid for protection against accidental loss or damage of goods or property

g)  A description of the ways a new business hopes to make money, showing possible income and expenditure.

h)  A formal letter with an offer to supply goods or services, containing a description of the project, materials, personnel, time plans, etc.

i)  An official notification from a bank that it will lend money to a customer.

YI. Translate into English:

1.  Составляя бизнес-план необходимо сделать его как можно более привлекательным для потенциальных инвесторов.

2.  При оформлении бизнес-плана нужно привести данные о рынке, на котором собирается конкурировать компания.

3.  В бизнес-плане указываются возможные издержки – на сырье, рабочую силу, продвижение и развитие, создание прототипа.

4.  Также при представлении инвесторам бизнес-плана необходимо включить в него различные финансовые документы, такие как балансовый отчет, отчет о потоке наличности, отчет о доходах.

5.  При создании малого предприятия необходимо получить ссуду в банке. При этом необходимо обговорить условия и сроки выплат и обеспечение.

6.  Одним из важных моментов является определение точки самоокупаемости и сроков, когда бизнес окупится.

7.  В бизнес-плане нужно описать, какую пользу принесет потребителю деятельность вашего коммерческого предприятия.

8.  Прежде чем начинать свое дело, следует разработать маркетинговую стратегию ваших продуктов или услуг.

9.  В бизнес-плане указываются все эксплутационные расходы, описывается арендный договор, оборудования.

10.  При создании предприятия необходимо ознакомиться с правовым регулированием различных видов бизнеса.

11.  Финансовый менеджмент компании должен обеспечивать платежеспособность предприятия.

Text C

Getting a credit

I.  Read and translate this text in a written form:

Bank Loans

A bank loan is an advance of a specified sum of money to an individual or a business (the borrower) by a commercial bank, saving bank, finance house or another financial institution (the lender). A bank loan is a form of credit which is of extended for a specified period of time, usually on fixed-rate term related to the base interest rate. The principle is usually repaid either on a regular installment basis or in full on the appoint redemption date. Alternatively, a bank loan may take the form of overdraft facilities under which the customers or borrowers can borrow as much money as they require up to a pre-arranged limit and are charged interest on outstanding balances.

In the case of business borrowers, bank loans are used to finance working capital requirements and are often renegotiated shortly before expiring, to provide the borrower with a revolving line of credit.

Depending upon the nature of the loan and of the degree of risk involved, bank loans may be unsecured or secured, the latter requiring the borrower to deposit with the bank collateral security (e. g. title deeds to a house) to cover against default on the loan. The lender may retain this security in the event of the default.

When a bank makes a loan, it is uncertain about whether the loan will be repaid. Low-risk borrowers default on their debts only for reasons beyond their control. High-risk borrowers take excessive risks with the money they borrow and frequently default on their loans. But banks have no sure way of knowing whether they are lending to a low-risk or high-risk borrower. Banks use various signals to distinguish between low-risk and high-risk borrowers and very often they ration or limit loans to amounts below those demanded.

In the case of individual borrowers banks use such signals as length of time in a job, ownership of a home, marital status, age.

If a firm is demanding a loan, the bank will use such signals as reliability of the firm, its credit worthiness, the purpose of the loan, the real value of the project, its recuperation period and many other factors, before it makes a decision if the loan should be provided.

Contents of Loan Agreements

Normally a loan agreement starts with a preamble, then very detailed articles of the agreement come, and finally a few annexes are given as a rule.

Among the articles of a standard loan agreement the following should be mentioned:

-  amount of the loan

-  use of proceeds of the loan

-  disbursement

-  repayment of principle

-  interest, commitment charge and method of payment there of

-  fees, expenses

-  taxes, duties and other levies or charges

-  payee and currency

-  remedies

-  cancellation

-  particular covenants

-  overdue payment

-  waiver

-  disclaimer

-  arbitration

-  evidence of authority