Final Business Plan
Submit the final draft of your Business Plan.
•Be sure to include all of the comments provided to you in Week 7 by your professor.
•Include a title page.
•Write in 3rd person.
How Will You Use Your Business Plan?
For a business to be successful, I need a feasible business plan that enables the business to survive in a competitive environment. There must be a working and realistic business plan that is put in place for the business to have a good start. Using a business plan, I am able to describe my business strategies, its objectives, the market as well as the financial forecasts of the business operations. Also, a good business plan will help in convincing potential investors to lend money for startup of the business as well as help me in measuring the success of the business within a given period of time. Personally, I am going to use my business plan to secure funds for the business and measure the success of the business. The initial capital of the business should be able to provide a sense of perpetual life to the business in the case of any uncertainties in the future.
My business plan is majorly purposed for convincing potential investors to work with me in conducting the business or lend me money to run the business. I will ensure that each section of the business plan is implemented during business operations through creating a team of employees. I will assign them responsibilities of ensuring that every part of the business plan is met during the start and running of the business. I will ensure that milestones towards achieving the set of objectives for the business are attained as indicated in the business plan. Every employee should work towards delivering their deliverables within the allocated time as well as within budget. It will help avoid budget deficit as well as avoid delays in the achievement of the set objectives. Also, my business plan will help in ensuring that the business ideas I come up with are feasible. It is to mean that the business plan will help in providing a counterbalance of my emotions since most of the time people get passionate about their ideas to the extent that they lose sight of the reality.
The major uses of my business plan are for securing funds and measuring the business feasibility and success. My business plan will indicate the ability of the business to pay back debts as well as will show the availability of securities or other collateral to secure finance from potential investors and lenders such as banks as well as other micro-finance institutions. It is because lenders usually concentrate on specific issues that should be addressed in the business plan such as the projection of the profit and loss accounts for the business in the first five years. Also, lenders concentrate on the projected balance sheet for every financial year for the next five years of operation. It will give them the confidence that the business will be able to pay back their money under any circumstance or uncertainties that may befall the business. Therefore, through a strong business plan that clearly explains the financial projections of the business within the next first five years, I will ensure that the potential financiers are fully convinced to fund the business irrespective of the amount of the initial capital needed to start the business. To further convince potential funders, I will ensure that the business plan outlines the partners of the business as well as their skills to indicate that the business is going to be managed by individuals who have expertise in sustaining smooth running of business operations. Accumulating adequate capital will help the business deal with uncertainties that the business encounters as a result of both internal and external factors such as low-skilled employees and stiff competition from close substitutes.
Measuring the business involves measuring the success of the business. It helps in focusing business efforts towards developing the business. A good business plan will help in monitoring performance of the business and help employees stay on track. The achievements of the business should be aligned with the set objectives where any milestone achieved in the business reflects the success of the business as well as the business plan itself. Therefore, to better measure the success of the business using my business plan, I will provide a short description of the anticipated business opportunity as well as the sales and marketing strategies that I am going to implement in the business to guarantee achievement of the set objectives. Effective measuring of the business success also involves transforming everything that is in the business plan into numbers. It involves creating financial projections of the business that will help me to determine if the business is a success or a failure. It is done by comparing the current financial performance of the business with the initial financial forecasts in the business plan where a close or exact correlation indicates success in the business. Also, the success of the business is determined by how the business plan aids in blending in a market that is full of close competitors. Thus, my business plan will significantly assist me in measuring the success of the business at any given period.
First Draft Business Plan
Executive summary of the Paradise Limited Company
The following report refers to a summarized business plan relating to the Paradise Limited Company. The business plan comprises of the executive summary, company description, organizations as well as a funding request. The Paradise Limited Company is a partnership form of business organization and consists of the following staffs, the secretary general, legal officer, coordinator, public relation team as we as a quality assurance officer. The choice to form a partnership is based on the need to enhance financial administration efficiency.
The coordinator is charged with the responsibility of ensuring a smooth flow of
operations while the public relation team is charged with responding to consumers complaints.
Owing to the fact that the Paradise Limited Company deals with foods, there is the need to
maintain quality and healthy brands. In a move to enhance quality and healthy dishes, the
company has a quality assurance officer. The secretary general is charged with the role of
overseeing financial administration and operation of the enterprise.
The Paradise Limited Company is a service provider for the hotel industry. The company aims at being a leading service provider in major towns. Secondly, the Paradise team targets at striving to feed their clients with healthy and quality dishes forever. The hotel mainly deals with fast foods with its joints being located at bus terminals and busy streets. The choice of the hotel location is based on the need to attract the travelers and individuals with tight schedules. Thirdly, the Paradise Company operates in other towns through franchising.
The primary aim of franchising is to help reduce the operation costs. The following is a list of our contacts:
1. Physical address
2. Food Safety Inspection +1562654965
3. Hotel insurance body+172959683
Organization and management
The Paradise Limited has a board of directors; the board comprises of the general secretary, the coordinator, a representative of the human resource department, financial analyst, and a legal expert. Generally, the board members are picked from all Paradise Limited branches; this is to ensure that all sensitive matters such as clients complain are addressed by the board as soon as they occur. To enhance quality service delivery, we have a recall team. The primary role of the recall group is to re-access already sold products. The recalling mandate is only implemented in a situation where it is evident that substandard products were sold to consumers (Pride and Ferrell, 1989).
The Paradise Limited is mainly centered on the provision of fast foods as well as outside catering services. In enhancing quality service provision, the Company has franchised joints in the main urban centers (Grantham, 2000). Nevertheless, the company also sells raw foods as well as beverages. Other than the catering services, the company also helps organize corporate dinners and team building activities in its facilities. However, in the near future, the Paradise Limited Company aims at offering catering lessons to interested individuals. Such a move will not only market our products but will equally increase or qualified staff pool (Jeannet, et-al, 2004).
Marketing and sales plan
To enhance a broad geographical coverage and low administration cost, the Paradise Limited Company, aims at increasing its franchised joints. Other projects include website adverts, social media adverts, and price marketing. Nevertheless, our primary strategy is to offer quality services. In providing quality services, the company will be able to create a significant referent client base. The benefit of having a wide referent base is that in most cases satisfied customers would refer other clients to the Company’s’ products (Kotler and Roberto, 2003).
Our financial request segment is based on the need to balance our commercial liabilities with the Paradise Limited Company’s assets. Our funding includes intellectual properties; the Company’s intellectual properties are based on our quality brands. Under the intellectual right, our legal representative will fully oversee the copyright protection of the Company’s brands. Owing to the fact the Paradise Limited falls under the partnership form of business, our funding will equally come from our partners.
Financial projections and Appendix
Below is a diagram illustrating the financial projections of the Paradise Limited Company, it is important to note that the projections cover the first quarter of the financial year. The figures comprise the sales and expenses of all the Paradise Limited joints. However, we have the revenues from the franchised joints. The contracted party incurs costs incurred under the franchised joints
The paradise Company projection
Net Sales 25000.00 27000.00 28000.00 25000.00 23000.00 31000.00 27000.00 28000.00 30000.00 26000.00 30000.00 32000.00
Costs of goods 8000.00 7000.00 6000.00 6000.00 7000.00 5700.00 8000.00 7000.00 7600.00 6000.00 5800.00 8000.00
Gross Margin $17,000.00 $20,000.00 $22,000.00 $19,000.00 $16,000.00 $25,300.00 $19,000.00 $21,000.00 $22,400.00 $20,000.00 $24,200.00 $24,000.00
Rent 900.00 900.00 900.00 900.00 900.00 900.00 900.00 900.00 900.00 900.00 900.00 900.00
Utilities 400.00 400.00 400.00 400.00 550.00 550.00 550.00 430.00 430.00 500.00 500.00 500.00
Insurance 150.00 150.00 150.00 150.00 150.00 150.00 150.00 150.00 150.00 150.00 150.00 150.00
Interest 150.00 150.00 150.00 150.00 150.00 150.00 150.00 150.00 150.00 150.00 150.00 150.00
Bank Service 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
Advertising 2,000.00 1,400.00 3,000.00 2,000.00 1,000.00 1,300.00 1,700.00 2,000.00 1,900.00 1,700.00 1,600.00 2,000.00
Legal and Accounting 350.00 350.00 350.00 350.00 350.00 350.00 350.00 350.00 350.00 350.00 350.00 350.00
Payroll tax 300.00 300.00 300.00 300.00 300.00 300.00 300.00 300.00 300.00 300.00 300.00 300.00
Office expenses 270.00 270.00 270.00 270.00 270.00 270.00 270.00 270.00 270.00 270.00 270.00 270.00
Postage expenses 60.00 60.00 60.00 60.00 60.00 60.00 60.00 60.00 60.00 60.00 60.00 60.00
Salaries 6,000.00 6,000.00 6,000.00 6,000.00 6,000.00 6,000.00 6,000.00 6,000.00 6,000.00 6,000.00 6,000.00 6,000.00
Supplies 290.00 290.00 290.00 290.00 290.00 290.00 290.00 290.00 290.00 290.00 290.00 290.00
Depreciation 100.00 120.00 140.00 160.00 180.00 200.00 220.00 240.00 260.00 280.00 300.00 320.00
Telephone 175.00 175.00 175.00 200.00 200.00 200.00 200.00 180.00 180.00 180.00 210.00 210.00
Total Operating Expense $11,245.00 $10,665.00 $12,285.00 $11,330.00 $10,500.00 $10,820.00 $11,240.00 $11,420.00 $11,340.00 $11,230.00 $11,180.00 $11,600.00
Net Profit Before Tax $5,755.00 $9,335.00 $9,715.00 $7,670.00 $5,500.00 $14,480.00 $7,760.00 $9,580.00 $11,060.00 $8,770.00 $13,020.00 $12,400.00
Grantham, C. E. (2000). The future of work: The promise of the new digital work society. New York, N.Y: McGraw-Hill
Jeannet, J., Hennessey, H., & Jeannet, J. (2004).Cases in global marketing strategies.
Kotler, P., & Roberto, N. (2003).Social marketing. New York: Free Press.
Pride, W., & Ferrell, O. (1989). Marketing. Boston: Houghton Mifflin Co.al-Bakri, D. Marketing Strategies.
Van der Westhuyzen, B., & Horan, L. (1998).Marketing strategies. Observatory: Future Managers.