Académique Documents
Professionnel Documents
Culture Documents
SUBMITTED TO:
PROF: SALMAN PIRACHA
SUBMITTED BY:
OWNERS
Executive Summary
We are going to start a new business with the name “happy brother & co”. It’s a
partnership business with five partners named as Muzammil Husain saqib,
Zeeshan, Amir Shehzad, Abdul Waqas and M.Irfan. All partners have equal capital
of RS.100000 and loan of RS.250000 will be borrowed from a financial institutions.
Business objectives
The primary objectives of business plan for Bio Pen are below.
Mission Statement
Our mission is to provide experience to our customer as he get when treated a
doctor.
We will strive to achieve this goal.
By providing complete satisfaction to customer and getting high loyalty for him.
Guiding Principle
Being mindful of our customer and our staff. We will treat both our customer and
staff in manner in which we would want to be treated or better ourselves.
Gratitude
Any attitude of gratitude shown to our customer employees and vendors.
Because without their input, services, labour and time, our business would not be
here without them.
Our Services
Provide the warm and friendly services expected from medical equipment,
manufacturing organization creating and informal, comfortable environment
which will make the customer satisfied and loyal.
Key to success
Hire top management and technician and offer training to keep them on top of
his game, and pay top wages to ensure that they stay without.
Location
Convenience is essential to us. we need to be close to our market because we are
not trying to get people to travel to reach us.
Offering of reasonably priced and quality product to establish credibility but
not so high as to limited the customer.
Repeat Business
Every customer how comes in once should want to return to recommend us and
give feedback about our product.
OWNERS
The organization will be owned by five members Muzammil Husain ,Amir
Shehzad ,Zeeshan ,Abdul Waqas, Muhammad Irfan (Happy Brothers) having
qualification of MBA finance and marketing . In the organization they will be held
at the position of assistant managers and general managers’ .With the high
turnover of help for the organization, we will relay on family to fill in where
required until we are off the ground for making a profit.
LEGAL FORM
The Happy Brothers Association will be organized as partnership owned and
operated by Happy Brothers mentioned above .As medical equipment assembling
organization the organization licensed by Pakistan Engineering Council and certify
by ISO.
Start up summary
The cost of open the HB organization is Rs 750000.the majority of expenses are in
sensor purchasing & equipment purchasing totally is Rs 227300. The location
requirement some build out and renovation totally Rs 70000 & will approximately
30 days to complete the owners will sub-contract themselves. Rs 500000 of start
up costs will be funded by owners. The owners sources of funds is a combination
of liquid assets and loans account payable.
Photos
Sales Brochures
Copies of documents
Competitive Advantages
The competitive advantages of our products is 3 in one, it means our products is
confirmation of 3 products like thermometer, sugar checker and blood pressure
measurer so it is our competitive advantage.
Disadvantages
Our is confirmation is three types of sensors and raw materials so it cost of
production will be high so we have to set prices high using skimming pricing
strategy. so it is disadvantages for us.
Marketing Plan
Population of Sargodha is 594000 and 26.7% live urban area. We can capture
marketing easily because we have potential. We believe in social marketing
because we research about successful businessmen then we can say that. They
believe in social marketing and other view is Islam. In Islam business place a great
rate in economy. Now days almost every person has a problem of blood pressure,
sugar, Temperature. So definitely our target market is very vast and we have
potential for growth our prices strategy is skimming and we focus on elite class. In
Sargodha Pakistan businessmen lawyer, doctors student and almost every person
is health conscious. So that is our major market. The systematic research is
required for successful venture. It ensures that business on track and can face any
difficulty business planning process is used as opportunity to uncover the data
and to question to all market effort.
Primary tool
We have conducted a survey of than 400 people with 10-11 questions regarding
competitor, acceptance of our business proposal, health, importance of time
saving and to learn about customer behaviour and his preference. We visited
different surgical and medical shops which provide this type of product and get
feedback from them.
Secondary tool
In secondary tool we mainly focused on World Wide Web for research purpose to
cover our business plan. We find it very helpful to provide this type of product
with a mindset of 3 in one. It was amazing for us to know that there is no such
type of business operating in Pakistan. By analysis our research material we
conclude that it could be very profitable in such busy life.
Economies
Size of Market:
Current Demand:
We expect more demand by elite class because we are going to provide them a
product which saves their time and selection; we are providing this product to
both private and Govt employees in required colures.
Barriers:
We may face following barriers.
Changes in Technology.
Solution to problems:
We will promote our business using all tools of promotion I.e. local cable, radio
(FM 96, 93,104) and local newspaper (daily express Sargodha and daily “NAI
BAAT” Sargodha.
The risk of local government rules, we will reduced it through proper licensing and
registration.
Bio pen which includes thermometer, sugar test chip, BP measure and blood
group tester.
Home delivering
Usable friendly
3 in one package
ISO certified
Tested by doctors
Time saving
Reliable
Customers
Our target market is elite class. They are health conscious and have high level of
income so they can afford our product.
Niche
We deduced that our niche market is elite class of Sargodha city. These
people possess the purchasing power and try not to directly purchase from
market.
Marketing strategy
(1)Promotional strategy
We will have a system that maintain contact list of loyal customers to increase our
sale and to have edge over competitors.
Promotional budget:
Place
We will have both retail and direct (mail order, web and catalogue) sale of
product.
OPERATIONAL PLAN
Free home delivery as per order will be as above Rs100.
Our operation firstly starts from taking the orders from customer. We take
material from warehouse and assemble the product and then packing starts. After
completion of packaging our delivery operation start. We organize our data
according to areas for smooth operation. We take orders through mobile phone
and e-mail service.
Delivery Information
Happybrothers-uos.blogspot.com delivery systems are uniquely designed to
provide you the ability to select a convenient time to receive your purchases
either during the day or night. You can pre-book your delivery slot during check-
out and be assured that the goods will be delivered as per your booked slot. To
maintain the quality of service and product we will take extra steps.
Delivery slot:
Happybrothers-uos.blogspot.com provides a unique service and promise of
delivering the goods in 2-3 hour window based on the delivery slot selected by
you. This ensures certainty and aids in planned purchase of your household needs
and eliminates long waits staying at home without knowing the exact time of
delivery or even missing your delivery.
You can check the availability and book your delivery slot at the time of checking
out. For your convenience we make deliveries on all 6 days in a week and 312
days a year with Sunday holidays!
. Payment style:
Payment style in cash our representative will come to home then
cash payment is only acceptable.
Initially we shall hire two bikes for delivery and Sargodha will be divided into
blocks for smooth operation. These bikes will be hired on commission base.
Employees:
Production manager: This person handles all purchasing and production of
product must have MBA degree.
General Manager: he will be head of firm and administer all operations.
Assistant manager: he will assist the general manager to admin the
operations
Drivers: Two drivers are required for delivering of product. They must have
driving license and know about roads.
Sales manager: one sales manager which has market knowledge and his
qualification is MBA.
Technicians: Two technicians are required for assembling the product and
packing.
Guards: four guards who secure the firm day and night.
Book keeper and call representative: Two persons will manage call and
documentation and receive orders from customers. Their qualification must
be B.com and have knowledge about computer software. Training are
required for enhance their capabilities but limited training will be best.
Personnel
No of employees
Description Names
Owner/general Abdul
Manger Waqas
Assistant Zeeshan
Manager
Production Amir Shehzad
Manager
Sales/marketing M.Nasir Arshad
manager
Electricians/Technician Ghulam Ali M.Irfan Awais ali Waseem Ali
Bookkeepers Ch.Naseer M.Amir
Security Usama Zaid Zain Aman
Guard
Type of labour
For Electrician
It is electrician that he has complete experience or skills to assemble sensor
with device. He must have two year experience in this regard and at least should
be diploma holder of Electrical.
For Management
Every employee must be MBA holder &has at least 2 year experience.
Suppliers:
Our suppliers of parts of our product will belong to Pakistan.
We concern with other cities of medical equipment markets. The
list of suppliers are given below:
Our concern basically with societal marketing and there we also adopt
decentralized system for convenience. Every week we shall conduct meeting for
improvements and how can we utilize our resources to capture our market.
We will get Rs 250000 loan from financial institution, because we have need for
loan to start business.
G.M
Assistant
Manager
100,000
250,000
100,000
100,000 100,000
100,000
Aluminium 4 15000
shelf
Furniture 30000
Lights 5 125 625
Fan 3 2200 6600
Generator 1 30000 30000
Computer 2 7000 14000
Printer 1 8000 8000
Total 104225
START-UP EXPENSES
The estimated start-up capital and expenses as under:
8.532
8.1875 Advance payment to farmers
Furniture and fixture
Advertisement
40.13
Advance rent 2 months
13.95
Machinery and equipments
Registration expenses
Unforeseen (Contingency)
18.18
Utility requirement:
Utility Charges(monthly) Charges(annually)
Electricity 10000 120000
Telephone with 5000 60000
internet
Gas charges 2000 24000
Total 17000 204000
Financial plan
Sales forecast:
Descriptions’ Amount
Rs
Sale 28800000
Less Cost of goods sold 23400000
Gross profit 5400000
Less Selling & admin expenses
Salaries 3672000
Telephone and gas charges 84000
Electricity 120000
Stationary expense 4000
Rent 420000
Advertising expense 80000
Other expenses 30000
Depreciation expense for Equipment & 9780
Machinery
Depreciation expense for furniture & fixture 15634
Loan and interest paid 287500
Net Profit 677086
Projected Income statement for the year 2015,2016,2017,2018
Year 2015 2016 2017 2018
Descriptions’ Amount Amount Amount Amount
Sale 2950000 30300000 31000000 3150000
0 0
Less Cost of goods sold 2380000 24300000 24700000 2530000
0 0
Gross profit 5700000 6000000 6300000 6400000
Less Selling & admin expenses
Salaries 3745440 3820349 3896756 3974691
Telephone & gas charges 89000 95000 102500 103500
Electricity 122000 125000 129000 130000
Stationary expense 4500 4900 5200 5400
Rent 428400 436968 445707 454621
Advertising expense 84000 88200 92610 97240
Other expenses 33000 35000 35500 34400
Depreciation expense for Eq& 7824 7060 5647 4518
Machinery
Depreciation expense for furniture & 13289 11295 9601 8160
fixture
Net Profit 1172547 1376228 1577479 1587570
HB & co
The break even analysis has carried out showing the level of sales at which the
state of no profit and no loss occurs. This is the minimum sale level below which
the business cannot operate to avoid the losses. At this point business will recover
its operating expenditures only. The minimum monthly and yearly revenue
generated HB association at which business gains zero profit will be under:
We have already mentioned sales per unit price. We have no units but assume 1
bio pen is our unit then our sales per unit will be 8000.
Now we conclude our variable and fixed cost.
Fixed Cost
Descriptions Amount annually
Rent 35000 420000
Salaries 306000 3672000
Electricity 10000 120000
Telephone with internet & gas 7000 84000
Stationary 333.333 4000
Advertising 5000 60000
Total 363334 4360000
Variable Cost
Break even sale= Fixed cost/sale price per unit –variable cost per unit
Company image:
The image of company will be projected by its unique quality products and
services. After a short period of time it will be most reputed in public especially in
elite class .It will save both time and life of people in most economic manner. To
bring ease and comfort in life of people is first priority .The people will buy our
branded product.
Pricing:
Our price strategy is “skimming” price strategy .We are charging little bit
more price because of our services such as home delivery.
This price is profitable, competitive, and is accordance with our company
image.
Inventory:
The inventory purchased by us is best in quality and prices are consistent
with our brand image.
We are purchasing sensors and other material directly from credible
suppliers those has competitive image in market.
Customer service policy:
Customer loyalty is the backbone for our business.
Loyal customer is our main asset in both short and long-run.
Customer’s satisfaction is our primary priority and profit maximization is
secondary.
To achieve customer’s loyalty we are maintaining data-base of customers.
Loyal customer is given free package like free home delivery.
The customers will be retained through high quality product and services.
We are trying our best for customer retention that is most important
function in current competitive environment.
Location:
Promotion:
All this will promote our brand image. More and more people will come
to know about our products and services. This will bring more revenue
for our venture.
Credit
Yet we are not going to provide credit facility our customers. This is
justified because we are currently targeting elite class who are in
position to make on spot payment.
Primary and secondary packing: