Template:BPB6D

                                  Risk

    [] This table shows an example of how risk may be evaluated, where it
    stems from, and which areas are most dangerous.  It allows you to
    compare your exposure, given various assumptions.

    []The example shows a relatively new company in a growing, yet new
    industry with an excellent management team, although they haven't
    enjoyed a lot of success [in this industry?] The most important
    variables, however, are the industry and position within that industry.
    The assumptions play the next important role - this is saying that a
    lot is riding on their assumptions.

Elements Degree of Risk of Risk

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                  Low     Medium      High     Weight    Total

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Industry 5 .25 1.25

Maturity 5 .05 0.25

Competitive Position 1 .25 0.25

Strategy 1 .05 0.05

Assumptions 10 .20 2.00

Management 1 .10 0.10

Past Performance 5 .10 0.50

                           Overall Risk       1.00       4.40

Rationale

    [] Fill in appropriate information.

Industry: Company must stay competitive as business matures.

Maturity: In the mature stages there are likely to be competing models/companies.

Competitive Position: The market is wide open. Few competitors.

Strategy: Product/service, price distribution, promotion strategies are straight forward.

Assumptions: Sales forecasts for new products/services are difficult to predict. Product/service acceptance is good -- sales estimates are considered conservative.

Management: Careful planning and clear objectives should not present much risk.

Past Performance: NA �