Post on 14-Dec-2015
transcript
Submitted To
Md. Rofiqul Amin Lecturer, Department of Management
Bangladesh University of Business & Technology (BUBT)
10/9/2011
My Topic is
10/9/2011
BUSINESS PLAN ON BRAVE WELFARE SOCIETY (BWS)
2011
AKRAMUL HOQDIROCTOR OF COMPANY
TOPIC IS:
IntroductionIndustry analysisDepreciation of ventureMarketing PlanOrganizational planFinancial plan
10/9/2011
Introduction
Name and Address of Business:
Name: BRAVE WELFARE SOCIETY (BWS).
Boshundara city , level 2 , BWS office , Dhaka
Name and address of principal:
Akramul Hoq
P-6-6, BISF colony, mirpur-1, Dhaka-1216.
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Source of Business Plan
People / customer:
At first, my source of new ideas to collection in formation from some prospective people and customers, because they know the best and what they want and the habits, mentality thinking, income sources , saving rate etc, which are going to be popular in the near future.
So, the corporate society on “Brave Welfare Society” idea may come from existing customer / people, they are reaction to the present corporate society & from expected my corporate idea. Contacts with prospective final customer can also reveal the features that should be built into a “Brave Welfare Society”. 10/9/2011
COTINUE…….
Existing corporate society:
Competing corporate society of existing corporate and evaluate a successful source of new ideas. So, I following the existing corporate society to helps the provides information and potential to investment. Such as …..•Reliance Bahumukhi Somobay Somity Ltd.•Vision group.•ARMS Somobay Somity Ltd.•Nofel friends Bahumukhi Somobay Somity Ltd.
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Method of generating new ideas
Focus group:
I think that focus group are good source for corporate ideas, focus group method to analysis of a moderator leads a group of people through an open in-depth discussion rather then simple asking questions to soiled participant response, for a new corporate areas at Lakshmipur in Raipur . So the moderator focuses the discussion of the graph in either a directive a nondirective manner.
For example: suppose I mention this method use as two intellectual groups or a moderate to discuss the corporate society of new ideas. Tow group on comments positive or negative of new Business on “Brave Welfare Society” then the moderate initially screening ideas and concepts too.
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Nature of business:
This is a corporation Business. This is mainly real state business and also other social welfare activity, and service provides etc.
Statement of financing needed:
First we need about tk. 130,50,000 to start the business.
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Industry analysis
Future overlooks and trends:
The demand for BWS product is increasing day by day. By analyzing past 4 years I realize that the demand for BWS is increased by (35 to 47%) over a year. Here I mainly focus on my customer is relative in our country & people international customer. Such as….Dubai, Saudi Arad, UK, Singapore, Italy, grease, etc, customer increase quickly.
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Analysis of competitors
Threat of new entrant:
This threat of BWS is existing competitor & potential competitors then to easy to operate strategic formulation.
For example ….Reliance Bahumukhi Somobay Somity Ltd.Vision group.ARMS Somobay Somity Ltd.
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CONTINUE…….
Barging power of supplier:
This is one kind of competitor because when any society or BWS industry to collect raw material go to market then supplier are not available but buyer are available then price very high to bier the buyer or company.
For example …. Suppose BWS Real State company need raw materials. So the BWS buyer go to market to face the suppliers. But this market suppliers very low, so raw materials price very high. Because market demand high but supplies very low. This effect on the raw material price. Bangladesh rod industry supplies low but demand high so price of rod increasing day by day.
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COTINUE……
Rivalry existing competition:
When market demand is low then competition very high and market demand is high then existing company competitions are low.
For example… Suppose 30% customers they are buying flat. So its low demand in real state market in Bangladesh. So all the real state company they are competition in rivalry.
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CONTINUE…..
Barging power of buyer:
The BWS buyer to collect the raw material go to market but this market have to buyer is low but supply is high then price buying low rate.
For example….. Suppose raw material market buyers low but suppliers high then to get the barging power of buyer. Such as industry sectors.
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CONTINUE…….
Substitute product:
That means resave product tea is substitute product is coffee. So it’s one kind of competitors to face any company and will be face problem BWS.
Market segmentation:
The BWS is popular mainly to the all age people or customers but to influence foreigner customers, and mid or high salary people in my country. There are mainly come from middle or upper level family to use my company products. So I think establish a BWS is most reasonable suitable investment sectors in my country and international.
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Industry & market forecasts:
. The demand of BWS is increasing day by day. By analyzing 4 years, I found the following information-
10/9/2011
2011 2012 2013 20140
5000
10000
15000
20000
25000
CUSTOMERS
So from the following information I can say that the BWS industry is growing industry. So the investment such type of business will be more profitable.
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201135%
201240%2013
38%
201447%
Increase Percentage of customers
Description of venture
Start-up summary:
The start-up expenses total may be tk.51,80,000 for two years land lease purpose it will cost tk. 28,40,000. In addition ther are some expenses which are show in the following table. In the same way, for technology the amount will be tk. 20,00,000 and office equipment the amount will be tk. 17,00,000 and its total start-up assets amounted in tk. 78,70,000. Start-up requirements are stated in the table:
10/9/2011
CONTINUE……
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Start-up (requirements) Amount(tk.)
Start-up expenses:
Legal 2,15,000
Land lease (20 years) 28,40,000
Administration cost 12,00,000
Web site development 5,00,000
Identity logos stationary 1,10,000
Others 3,15,000
Total start-up expenses 51,80,000
CONTINUE……
10/9/2011
Start-up assets:
Cash required 50,00,000
Start-up inventory 11,30,000
Other current assets 0
Long-term assets 12,40,000
Office equipment 17,00,000
Total start-up assets 78,70,000
Total requirement 130,50,000
Size of business:
BWS will be placed throughout in my country and abroad the `country. So the size of BWS mainly big business.
Products:
There are many have to product in my new business. Such as…..•Easy credit business.•Real state business.•Shopping centre business.•Hatchery business etc.
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Background of entrepreneurs:
This is Aramul Hoq. I am new entrepreneur in my business. Now I am student of BBA in BUBT. I have some other experience. Includes in the below-•Doing SHARE business.•Doing real state business.etc
Production plan:
It’s refers to the availability of inputs, required for production of new venture. To assess the production plan of a business idea need to find out the answer the following question.
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Manufacturing process:
It’s most important for BWS in new ideas. So manufacturing forecast following in the below-
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Manufacturing Monthly produce
Amount
Easy credit 1000(customers) 12,00,000
Land development
2 1,20,00,000
House development 5 208,86,000
Names of suppliers of raw materials:
For the purpose of easy credit: the names of the suppliers of BWS. Such as –•Local agency.•NGO’S.•Employee•Directors of BWS etc.
For the purpose of real state: The names of suppliers of BWS are –•Foreign country agency•Local organization •Local agency•Directors Etc.
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Operational plan:
BWS will be most effective operational activities. Because its operation centralized but department individuals, but boss have to one person. So it’s most effective operation such as-Production department.Financial departmentMarketing department.HRM department etc.
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Flow of orders for goods and/or services:
For the purpose of good:
Company
Wholesalers
Retailers
Customers
For the purpose of services:
Company agency
Customers.10/9/2011
Marketing plan
Pricing:
BWS pricing measure depend on the types of sectors. Those are real state sectors pricing table show in the below-
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flat-1 flat-2 flat-3 flat-4 flat-50
10
20
30
40
50 46.5140.22 38.22
35
25.5
46.28 45.842 40
35.6
2011 2012
Distribution:
BWS product or services distribution are very easy operation. BWS use to many different way such as- transportation, railway, media, air plan etc. on the other hand this company mainly used to distribution is company to customer relation.
Promotion:
BWS promotion most quickly and rapidly increase. To use the many different way, such as-Media TV.Newspaper.Visiting card.Leafleted.Facebook etc.
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Production forecasts:
BWS product forecasts show the table in the below-after 5 years.
For the purpose of Real State:
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201115%
201226%
201333%
201445%
201556%
PRODUCTION
Organizational plan
Form of ownership:
BWS is a corporate society under the company act 1988 and is owned by 21 directors. They are own equal share of business but involves effective person operational management.
Roles and responsibilities of members of organization:
The roles and responsibilities of members includes of BWS show in the below-Mr. Abdul Qaium Chairman of BWS. Mr. Akramul Hoq Managing Director of BWS.Mr. joglul Hasan Accouters of BWS.
Its mainly show that the BWS responsibility or operators persons.
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Maintain the legal issues:
I have to consider some legal issues for my business plan. Due to carry of govt. rules and regulations it is easy for me to run my business.At first I collect registration my business.Then I collect trade license.Then I have to collect export and import license.Then I have to get permission from ministry of corporation.And then I have to collect my company lawyer.
Assessment of risk:
There are many risk face any new business. So I have to face a risk of my business. Such as- •Technology change•To competitors of substitutes•To competitors of imports•To face difficult environment •And to face uncrating problems etc.
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Financial plan
Cost of production statement:
The BWS real state ltd, Most important of cost statement, because its depends on the company profits margin. So BWS cost statement show in the below-
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BWS Real State Ltd.
Cost of production statement
For the two years (2011-2012)
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Particular 2011 2012
Direct materials:
Purchase of flat 3*12*35, 00,000 12, 60, 00,000 7*12*35, 00,000
29, 40, 00, 000
Delivered cost of purchase 150, 000 3,50,000Tax & duty 200,000 5,00,000Cost of good sold 12, 63, 50,000 294850000Add: administrative expanse:
Office salaries 600,000 10,00,000Legal expanse 200,000 3,00,000Office expenses 150,000 4,00,000Audit fees 50,000 1,50,000Total of fice & administrative
10, 00,000 18,50,000
CONTINUE……..
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Marketing & selling overhead:
Marketing selling 200,000 5,00,000Sales salaries 150,000 3,50,000Advertising 500,000 3,50,000Market research 150,000 3,00,000sales promotion
200,000 4,00,000
discount allowed 250,000 5,00,000
Total selling & marketing
14, 50,000 24,00,000
Total cost 12, 88 ,00,000 29,91,00,00030 % profit 3, 86 ,40,000 8,97,30,000Total sales 16,74 ,40,000 38,88,30,000
Pro-forma income statement:
BWS Real State Ltd of
Pro-forma income statement
For the two years (2011-2012)
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Particular 2011 2012
Sale 16 ,74 ,40,000 38 ,88 ,30,000
(-) cost of good sold 12 ,63 ,50,000 29 ,48 ,50,000
Gross profit - 4,10 ,90,000 9,39 ,80,000
CONTINUE…….
10/9/2011
Operating expenses:Advertising 500,000 350,000Selling expense 200,000 500,000Salaries & wages 600,000 10 ,00,000Office expenses 150,000 400, 0000Rent 10, 00, 000 15 ,00,000Taxes 200,000 5 ,00,000Interest (17%) 10,20,000 10 ,20,000Depreciation (34%) 850,000 8 ,50,000Miscellaneous 150,000 350,000Total operating expenses -
46,70,000 64 ,70,000
profit before tax – 3 ,64 ,20,000 8,75 ,10,000(-) tax 20% 72 ,84,000 1 ,75 ,02,000Net profit 2,91,36,000 7,00,08,000
Pro-forma balance sheet:BWS Real State Ltd.
Balance SheetFor the two years (2011-2012)
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Particular 2011 2012
Assets
Current assets:Cash 50,00,000 80,00,000Account receivable 15,00,000 10,00,000
Merchandise inventory 500,000 8,00,000
Total current assets 7000000 98,00,000
Fixed assets:
Equipment 25,00,000 20,00,000(-) Depreciation 850,000
16,50,0008,50,00011,50,000
Land & building 1,00,00,000 1,50,00,000Total fixed assets 1 ,16 ,50,000 1,61,50,000Total assets 1 ,86 ,50,000 2,59,50,000
CONTINUE……
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Liabilities & owner equity:
Current liability:
Account payable 25,00,000 50,00,000
Short term debt 2,00,000 10,00,000
Total current
liability27,00,000 60,00,000
Long term liability:
Notes payable 25,00,000 30,00,000
Long term liability
60,00,000 90,50,000
Loan (5 years) 60,00,000 600,00,000
Land lease 14,50,000 19,00,000
Total long term liability
1,59,50,000 1,99,50,000
Total liability 1,86,50,000 2,59,50,000
Sources and applications of funds:
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Particular Amount
Source of fund:
Mortgage loan 60,00,000
Term loan 60,00,000
Personal funds 50,00,000
Total funds provided 1,70,00,000
CONTINUE……
10/9/2011
Applications of funds:
Purchase of equipment 1,20,00,000
Inventory 5,00,000
Loan repayment 15,60,000
Total funds Expended 1,40,60,00
Net increase in working capital
29,40,0001,70,00,000