Experienced interior designers Jason and Amelia

Experienced interior designers Jason and Amelia Case Study:

Experienced interior designers Jason and Amelia
Experienced interior designers Jason and Amelia

Experienced interior designers Jason and Amelia decide to go into business together. Although neither of the two friends has ever worked in a business before, they decide the time is right for them to start a business.

They enter into a partnership, with each of them investing £2,500 into the business. Based in London, their “product” is a home-makeover service, modeled on the popular daytime television programmes where ordinary households are transformed through small building work and decoration.

Experienced interior designers Jason and Amelia Revenues:

Jason and Amelia expect to get two projects per month for the first 6 months of trading; each project will generate £5,000 of sales. Customers will be expected to pay 25% of the price as a deposit with the balance on completion. Each project is expected to last one month.

The main costs associated with the start-up are:


£4,000 (month 1) and £2,500 (in month 4), a total investment of £6,500


£400 per month

Legal and accounting costs

£1,550 (month 1 only)

Project materials

£2,000 per project. It is assumed that suppliers will allow Jason and Amelia 30 days to pay for these costs

Sub-contracted labor (other tradesmen)

£4,300 per month. These will be paid in the month incurred.

Sophie & Jack will pay themselves a salary of £900 each per month whilst the business is established.

Other sundry costs

£500 per month have been assumed.

You are required to complete an analysis of the above case study using the following questions as SUBHEADINGS:

  1. Prepare a 6 month cash-flow forecast for the business ñ you may estimate if any numbers are missing, but you must highlight/show your estimates.
  2. Considering the cash-flow forecast you have created, would you offer Jason and Amelia any advice? Give your reasons.
  3. Consider what other types of information Jack and Amelia might need to run their business. Suggest the types of information they need and why they need it.
  4. Jason and Amelia have set aside £400 per month for marketing. Using your knowledge of the marketing mix (4Ps) give them advice on marketing their business.
  5. Jason has met a local businessman who knows some laborers who are prepared to work for below minimum wage and without paying any tax. Using the laborers would reduce his project costs by 50%.
  6. Do you think Jason should take this offer? Explain your answer.
  7. Discuss other ethical issues that might affect the business.
  8. Considering the case study overall give your opinions on whether you think that their business will be a success. Explain your reasoning. Do you have any other advice for them about their approach to starting a new business?

Reading list:

Clarke, P.  et al., 2009. Business and Management, Oxford: Oxford University Press

Hall, D. et al., 2010. Business Studies, 4th ed. Essex: Pearson Education

Learning outcomes assessed

  1. a) Demonstrate an understanding of the multi-disciplinary nature of business, displaying knowledge of entrepreneurial and commercial approaches and frameworks
  2. b) Explain business organisation and structures
  3. c) Demonstrate knowledge and understanding of operational and strategic problems facing business enterprise and apply creative and innovative skills to understanding business concepts
  4. d) Analyse and evaluate the ethical issues relevant to the business world
  5. e) Understand the application of marketing in business
  6. f) Demonstrate understanding of graphical and tabular information
  7. g) Analyse and synthesize key concepts to demonstrate effective academic writing skills, demonstrating ability to persuade and influence in your interactions

Experienced interior designers Jason and Amelia Deadline:

Submission Dates and Times

You must submit your work on Turnitin.

Hand in your Assessment Submission Form to the ISC post box situated outside the office.

Penalties will be applied to any work submitted late. No submissions may be made after 24 hours ñ work will not be accepted or marked.

Attention Please note:

You must do all of the following:

Ï Download and print Assessment Submission Form which must be submitted as a print copy to the ISC post box. This form is available on Moodle and at the back of the Business Module handbook.

Ï On the front sheet of your Case Study write BUSINESS STUDIES SUMMATIVE ASSESSMENT 1: CASE STUDY. Also on this front sheet, include your candidate number and the word count (the word count should not exceed 10% above the required number of words for this assignment).

Ï Write your candidate number on the top right corner of each page of your report.

Ï You must submit your essay to Turnitin through Moodle. On successful submission to Turnitin, you will receive a receipt number which must be entered on the Assessment Submission Form which you will submit to the ISC post box. You must submit your assessment to Turnitin through Moodle. On successful submission to Turnitin, you will receive a receipt number which must be entered on the Assessment Submission Form which you will submit to the ISC post box. Failure to submit a submission form in time for the deadline will result in your work receiving a late penalty regardless of whether the assignment itself was submitted on time.

Ï Make sure all quotes, summaries and paraphrases are correctly referenced as explained in the RHI Harvard Referencing Guide. In addition, make sure a full alphabetical bibliography is included at the end of your report, detailing all texts cited in the body of the report. The Bibliography must follow the format laid out in the RHI Harvard Referencing Guide.

Ï Avoid using Wikipedia and some other commercial websites as sources as they may not be acceptable as evidence in your writing. If you have any doubts about what sources are viewed as non-academic, please check with your tutor.

Ï Word process your work in Arial or Times Roman in size 12 font and use double-spacing.

Ï Make it clear where paragraphs begin and end by leaving an extra space between paragraphs.

Ï Ensure that your word processor uses UK spelling and adheres


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