10/9/2011

WELCOME TO OUR PRESENTATION

10/9/2011

Submitted To

Md. Rofiqul Amin Lecturer, Department of Management

Bangladesh University of Business & Technology (BUBT)

10/9/2011

My Topic is

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BUSINESS PLAN ON BRAVE WELFARE SOCIETY (BWS)

2011

AKRAMUL HOQDIROCTOR OF COMPANY

TOPIC IS:

IntroductionIndustry analysisDepreciation of ventureMarketing PlanOrganizational planFinancial plan

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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-

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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:

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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……

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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…….

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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……

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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

10/9/2011

Thanks everyone !!!!

10/9/2011

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