Free Essay

Business Plan

In: Business and Management

Submitted By sabby01
Words 8168
Pages 33
Hati&Hati
Colour Shoppe

BUSINESS PLAN

401 Central Ave. SE

Albuquerque, NM 87102

(505) 489-2222

April 28, 2008

Prepared For: Paul Sandoval

Table of Contents

Executive Summary………………………………………………………………………............................4,5

Management and Organization Plan………………………………………………………………………..6,7 Management team…………………………………………………………………………….…………..6 Compensation and ownership…………………………………………………………………………6 Board of directors/advisory council………………………………………………………………....6 Infrastructure………………………………………………………………………………………………..7 Contacts and franchise agreements…………………………………………….……………………7 Insurance…………………………………………………………………………………………………..…7 Employee stock option plan and other incentives……………………………………………..7 Organization charts………………………………………………………………………………………..7
Product/Service Plan……………………………………………………………………………………………….. Purpose of the product or service……………………………………………………………………8 Unique features…………………………………………………………………………………………….8 Stage of Development……………………………………………………………………………………9 Future research and development…………………………………………………………………..9 Trademarks, patents, copyrights, licenses, royalties…………………………………………..9 Government approvals ………………………………………………………………………………..10 Product/service limitation……………………………………………………………………………..10 Product/service liability…………………………………………………………………………………10 Related services and spin-offs…………………………………………………….......................10 Production………………………………………………………………………………………………….11 Facilities………………………………………………………………………………………………….….11 Suppliers…………………………………………………………………………………………………….11 Environmental factors………………………………………………………………………………….11
Marketing Plan………………………………………………………………………………………………………… Industry Plan……………………………………………………………………………………………..12 Current size…………………………………………………………………………………….12 Growth potential……………………………………………………………………………..12 Geographic locations……………………………………………………………………….12 Industry trends…………………………………………………………….......................12 Seasonality factors……………………………………………………………………………12 Profit characteristics…………………………………………………………………………13 Distribution networks……………………………………………………………………….13 Basis of competition…………………………………………………………………………13 Customer profile…………………………………………………………………………………………13 Competition profile……………………………………………………………………………………..14 Target market profile…………………………………………………………………………………..15 Pricing profile……………………………………………………………………………………………..15 Gross margin on products/services……………………………………………………………….16 Break-even analysis………………………………………………………………..........................16 Market penetration………………………………………………………………………….16,17 & 18 Distribution channels………………………………………………………………………..16 Sales representatives…………………………………………………………………………17 Direct-sales force………………………………………………………………………………17 Direct mail/telemarketing…………………………………………………………………..17 Advertising and promotion………………………………………………………………..17 Packaging and labeling……………………………………………………………………….18 Service and warranties…………………………………………………………………………………..18 Trade shows………………………………………………………………………………………………..18 Future markets…………………………………………………………………………………………….18
Financial Plan……………………………………………………………………....18,19, 20, 21, 22, 23 & 24 Sales projections…………………………………………………………………………………………..18 Income projections………………………………………………………………………………………18 Cash requirements……………………………………………………………………………………….19 Sources of financing……………………………………………………………………………………..19 Monthly Income Statement…………………………………………………………………………..20 Cash flow statement……………………………………………………………………………………..21 Year-end income statement…………………………………………………………………………..22 Year-end balance sheet………………………………………………………………………………...23 Financial analysis ratios………………………………………………………………………………...24
Operating and Control Systems Plan…………………………………………………………….…………..27 Administrative policy, procedures, and controls…………………….…………..……………27 Receiving orders……………………………………………..………………………………..27 Billing customers…………………………………………….………………………………..27 Paying suppliers………………………………………………………………………………..27 Collecting accounts receivable……………………………………………………………27 Reporting to management…………………………………………………………..……..27 Staff development…………………………………………………………………….……..27 Inventory control………………………………………………………………………..…..28 Handling warranties and returns…………………………………………………….…28 Monitoring the company budgets……………………………………………………...28 Security systems………………………………………………….……………………………28 Documents and paper flow……………………………………………………………….28 Planning chart…………………………………………………………………………………………….28 Manufacturing………………………………………………………………………………….28 Financial requirements……………………………………………………………………..28 Marketing flowchart………………………………………………….……………………...29 Market penetration………………………………………………….……………………….29 Management and infrastructure……………………………………………………….…29 Risk analysis………………………………………………………………………………………………..29 Salvaging assets…………………………………………………..…………………………………….…29
Growth Plan……………………………………………………………………………………………………........29 New offerings to market………………………………………………………………….……………29 Capital requirements…………………………………………………………….…………….……….30 Personnel requirements……………………………………………………………………………….30 Exit strategy………………………………………………………………………………………………..30
Appendix………………………………………………………………………………..

Alan Cooper
Bank of Albuquerque
2500 Louisiana Blvd NE # 100
Albuquerque, NM 87110

April 27, 2008

Dear Mr. Cooper,

As we are all aware, our current economy is heading towards a recession and therefore we understand your financial lending is limited. Your risk assessment is crucial to your company. This is one of the reasons we have put together an easy-to-read business plan to explain the benefits of investing in our company. Our goal is take advantage to the multi-billion dollar benefits of the hair and beauty industry. We have committed many hours to research and development, to ensure that our venture will be successful. Lauren Weinberger and Sabrina Philpot have created Hati&Hati to satisfy the need for luxurious hair and beauty services in Albuquerque, NM. Our mission is to open a high-end salon with a modern flare and a focus entirely on quality. To attract only the most specialized stylists we have decided to subcontract our 10 booths to stylists who are willing to pay a flat rate of $1,000 per month. This allows them to bring in large profits, provided they’re self-motivated. It also covers almost 80% of our monthly expenses. The left over expenditures will be covered by product sales, body waxing services and our signature body contouring spray tan. We will be providing the highest levels of service to our clients by using only the finest products. One of our featured hair product lines will be John Masters Organics, found only at Hati&Hati. Also, the solution for the body contouring spray tan is brought in from Sunset Tan of California and will raise the bar for competitors in Albuquerque. This company will be set up as an LLC and will be owned and managed by Lauren Weinberger and Sabrina Philpot. Ms. Weinberger will be the salon manager and will act as the ambassador of Hati&Hati to ensure only quality services to clients. She will also be responsible for hiring and managing the employees/style team as well as bringing in new products to maintain a competitive edge in the market. Ms. Philpot will be a silent partner and will be active only in major financial decisions and future expansions. We have decided to setup our initial location at 401 Central Ave. NE. Albuquerque, along with Rio Rancho, are the fastest growing cities in the state of New Mexico and we feel Hati&Hati would be a major contributing member of the rapidly growing downtown area. We have estimated our startup costs to be $200,701.00. We plan to use $90,000 to invest in the renovation of our location. The atmosphere we hope to provide can best be described as modern and sophisticated with a “big city” flare, essential to both fashion forward men and women. The rest of the investment money will be portioned out to buy salon equipment, initial product inventory as well as pay for our support team including accountant and lawyer fees. Although our loan requirement may seem large, we feel absolutely confident that our monthly income will be sufficient enough to pay back our loan at your required interest rate. After examining our projected income statements for the first three years, we have recorded a net income of $95,800 in our first year of service, $97,790 in our second year, and $103,545 in our third year. These numbers can be found in our financial section and are representative of low estimate calculations. We are passionate about the salon we have created and hope you too can see the potential profit. If there are any questions regarding the business plan or if you have any suggestions please contact Lauren Weinberger or Sabrina Philpot at the numbers located on the cover. We thank you kindly for your time and hope to hear from you soon.

Sincerely,

Lauren Weinberger Sabrina Philpot

Management and Organizational Plan

Management team
Our company is set up to have few employees. Lauren Weinberger and Sabrina Philpot are the active entrepreneurs in this venture. Sabrina will be acting as a silent partner. She will be included in large company decisions and future growth options. Lauren will be working on site as the manager/owner. Her responsibilities include day-to-day duties, along with hiring and managing the employees and independent contractors and bringing in new products. These two women occupy the positions of key personnel. Both have extensive backgrounds in business and are currently working towards Bachelors in Business Administration at Anderson School of Business. Each has a concentration in Entrepreneurial Studies, making this venture truly solid.

Compensation and Ownership
Hati&Hati Colour Shoppe (a Trademarked name) will be a LLC salon, owned by Lauren Weinberger and will not be offering any stock options since it is not a publicly treaded corporation. Sabrina Philpot will be compensated trough an owners drawl. This amount was included is included in monthly expenses under employee payments. No other individuals hold a title under management.

Name | Salary | Benefits | Bonuses | | Lauren Weinberger | $45,000 | HealthDental | N/A | | Employees | Salary | Benefits | Bonuses | | Spray Tan Specialist | 20,000 | HealthDental (only full time status) | Negotiable after each six months | | Waxing Technician | 20,000 | HealthDental (only full time status) | Negotiable after each six months | |

Board of Directors/Advisory Council Name | Title | Address | Phone number | Role | Lauren Weinberger | Owner | 6512 Ladrillo NE 87113 | (505)-489-1128 | Owner | Sabrina Philpot | Partner | 4908 La BajadaNW 87105 | (505)-401-7440 | Silent Partner |

Board Of Directors/ Advisory Council
Since Hati&Hati Colour Shoppe is an LLC salon, New Mexico allows for they’re to be a single owner. Lauren Weinberger acts as the CEO and her silent partner Sabrina Philpot is the CFO. Sabrina Philpot is one of the private investors whom will contribute to start up costs. The owners/ chair holders’ salary will be $45,000 a year.

Infrastructure
Since our business will fairly small, we will be keeping our own books, but have an accountant to look over our books once a month. Lawyers will also be used as needed for any legal problems that may arise. Sabrina Philpot will handle Marketing and Advertising. No specialists are needed in regards to the Infrastructure other than what is listed above.

Contracts and Franchise Agreements
Contracts will be used and enforced, including a non-compete agreement, with all employees. Contracts will only be used for the stylist since; they are contracted work that is renting a space in our salon. The contract includes the non-compete clause along with the amount of time they will rent the space for. The non-compete agreement is a most crucial part because the we don’t want our technician such as your tanning technician to go to our competition and show them our methods since spray tanning it is not yet available in Albuquerque.

Insurance
Liability is our most important coverage to protect ourselves from any damages or lawsuits due to human error. We have included a $2 to $3 million-dollar liability coverage plan into our business cost because it is such a When working in the service industry there are numerous liabilities to be accounted for. Anything is possible when working in such a hands on environment. We are considered liable for the services we perform and the satisfaction of our customer, the products we carry and the precautions they hold as well. Not only with our style team, but also our waxing and spray tanning services. We will strive to avoid any questionable situations, but at best we plan to carry the proper insurance priority for our business. We also plan to carry Malpractice Insurance to protect against any "bad perm" so to speak, along with Casualty Insurance to offset Mother Nature's mishaps, and of course Workers' Compensation to reconcile any work related injuries. Employee Stock Option Plan and Other Incentives
No stock options will be available since it is not a publicly traded corporation. We don’t necessarily offer incentives but the way we will operate our business is very flexible. Our stylists are their own boss and have the freedom to schedule clients when they want and have a receptionist to aid in scheduling from day-to-day. They keep all of the money they earn but only have to pay for their monthly space they rent from us. The waxing and tanning technicians who are contracted employees have the chance to earn bonus and be considered for raises on a scheduled regular basis. Benefits are for employees that are only full time.

Organization Charts

Purpose of the Product or Service
Our service and atmosphere is going to be cutting edge and top of the line. We hope to find some of the most talented stylists in Albuquerque and focus entirely on quality. Not just the quality of the cut or color for the client, but also the experience. We want our clients to feel royally chic and sophisticated while enjoying our refined and contemporary atmosphere. Our salon welcomes the fashion forward man and, yet, is luxurious enough for a classy businesswoman. Each client will receive a complementary glass of champagne or beer to enjoy during his or her services. We will also offer specialty coffee for those who maintain more traditional expectations. With such high standards, our clients will never have to worry about getting a bad haircut or having a negative experience. Our business hours will extend into the late afternoon for appointments after work to accommodate all schedules. Our services are both necessary and luxurious, guaranteed never fade with the trends. Essentially, our ultimate goal is to raise the bar in Albuquerque for service and style. It is important to note that we are not limited to hair services, we will also be offering exclusive body contouring mystic tanning and facial and body waxing. In fact these “extras,” which also include hair products, will be our primary means for profit as you will see further into our Business Plan when we discuss our internal operations.

Unique Features

Quality is our number one priority at Hati&Hati. It is the most important contributing factor separating our salon from the rest. Our atmosphere will create a mindset for relaxation and solitude and can be described best as clean, uplifting, and contemporary with big city sophistication. Our customers will also have the option of consuming a glass of champagne or beer complimentary during his or her service, which is typically not offered in other local salons. We want to provide our clients, both men and women, with the best products on the market. Several of our product lines include Pureology, Goldwell Professional, Phyto, John Masters Organics and Keihls. The combined products we have selected provide exceptional variety for our customers to choose from. We are aware that Pureology and Goldwell are used in other local salons, however, we would be incomplete without them. We will be featuring John Masters Organics out of New York City as one of our flagship products, available only Hati&Hati. We have also decided to include Keihls because they not only offer hair care, but also aftershave and body lotion with a masculine flair that may be appealing to our males customers. In addition to our style services and hair care products, our body contouring spray tan is only offered at one other location within city limits and the solution we will be using has superior qualities that include longevity and production of natural color tones. It produces a natural sun-kissed appearance as opposed to the orange-like tint produced by other solutions. Altogether, the products we have selection for Hati&Hati were chosen because we are confident that they are the best, but they are not the determining factor for separate us from the rest. The team of talent will be respected most at Hati&Hati.

Stage of Development
The hair business is a million dollar industry and it continues to grow every year. The concept for our salon is still in the idea stage of development, however, our goal is to become apart of this industry within the next year. We feel as though our salon should be located in the downtown area because it has such a “big city” feel. Albuquerque’s downtown is currently underdeveloped but continues to grow annually and we hope to contribute to its growth. We would like to open the doors to Hati&Hati salon by April of 2009. This decision to launch next year will give us the time to create a buzz about our business. The location we have selected at 401 Central Ave. will begin reconstruction in December 2008 and should be completed by March 2009. During this time we hope to build the foundation for our reputation of quality and inviting only the best stylists to join our team. Once our doors are open to the public, we expect our salon to advance quickly through the introductory stage and continue into the growth stage from there. We expect a constant increase in growth for our company and eventual maturity. Thankfully our salon should never see the decline phase of the traditional business lifecycle due to the ongoing demand for hair services. Also, our plans to continue growth include continued training for our style team to stay current with the changing trends, in this case we will continue to remain competitive in our market.

Future research and development
We have few plans for future research and development. Because we are providing a service it is important for us to maintain a competitive edge, but it does not require continued innovation of new products to be introduced into the market. Many salons are in this same position and do not dedicate large amounts to product innovation. We have discussed, however, creating our own line of hair care products but this is further into our future and we can discuss capital needed at that point in time.

Trademarks, patents, copyrights, licenses, royalties
The propriety rights of Hati&Hati will include a national trademark, a service mark and possibly distribution rights. We chose to register with a national trademark with the intention of expanding our salon to other states depending on our growth and niche in the market. Our service mark will be protected due to the fact that the company symbol represents our salon and our reputation at all times with or without our name present. Our use and protection of our service mark will allow our clients to recognize our company and associate it with style and perfection. We are in the application process for both our trademark and service mark. At this time we are working through an agreement with John Masters Organics out of New York for distribution rights. Also, depending on new products introduced into the market, Hati&Hati may hold distribution rights to those products and work as a mainstay for them in our area.

Governmental Approvals
Hati&Hati will require only the basic governmental approvals for operation. Because we are renovating the space in our downtown location we must meet specific zoning commissions and standards for city regulation purposes. Other approvals will be issued though OSHA for safety and health standards, the IRS for federal taxes and revenue collection, registration with the Secretary of State for business registration and state taxes and lastly Workers’ Compensation to ensure protection for our style team.

Product/Service limitations
Hati&Hati is almost entirely service oriented, which allows us to function with very few limitations. All of our services function without a shelf life, including our non-perishable hair products. However, some of the identifiable limitations will include technological upkeep, current and continued education for our services and most importantly legal restrictions because service is our primary focus. Because we have such high standards it is important for our stylists to continue and maintain knowledge on the latest hair trends. Unfortunately, their will always maintain that small percentage of clients who will be unhappy with their service and we must be legally prepared to protect our company in those situations.

Product/Service Liability
Being a part of a service industry there is no question as to whether or not we have our liabilities. Liability insurance is our most important coverage to protect ourselves from any damages or lawsuits due to human error. We have included a $2 to $3 million-dollar liability coverage plan with Allstate Insurance Company into our business cost because it is such a priority. Anything is possible when working in such a hands-on environment. We can be considered liable for the services we perform and the satisfaction of our customer, the products we carry and the precautions they hold as well. Not only do we have coverage for our style team, we have also accounted for our body waxing and spray tanning services. We strive to avoid any questionable situations, but at best we plan to carry proper insurance coverage for our business. Our other coverage plans include Malpractice Insurance to protect against any “bad perm” so to speak, as well as Casualty Insurance to offset Mother Nature’s mishaps, and obviously Workers’ Compensation to reconcile any work related injuries.

Related products/services and spin-offs
As we mentioned before, the salon industry is growing rapidly. Hati&Hati is investing itself by maintaining the highest quality of service and products. The products we have selected to sell in our salon were chosen because we feel they are the best products in the current market. As the market changes, we may decide that the wants and needs of our customers are not being met, giving us the possibility to create our own line of hair care products or sunless tanners. Creating these products as a spin-off could be a great opportunity to get the name of Hati&Hati out in the community and could lead to national distribution.

Production
The structure of our salon was set up to be desirable for both the stylist and the owners. We are allowing our ten stylists to be independent contractors. They will each be responsible for a monthly booth rental of $1000 each month. This system attracts only the best stylists who maintain a high volume of clientele. Using this flat rate gives the stylists an opportunity to create profit for themselves as well as cover almost 80% of our monthly fixed expenses. Therefore, our income will come directly from product sales, spray tanning, and body waxing services. Paid employees will provide the internal work. These positions will include the owner/manager, who will be paid salary due to countless hours in the salon during initial startup years. The Hair Removal specialist will be paid hourly, as well as the Tanning Technician. Any other services, such as cleaning and repair, will be subcontracted our to the appropriate companies.

Facilities
The space we have chosen to facilitate our salon is located at 401 Central Ave. NE. Our salon area is approximately 2500 square feet. The floor plan is completely open at this time, however, we have designated certain percentages of the salon to facilitate each service. Approximately 40% of the square footage will be assigned to salon services, giving each stylist close to 140 square feet, 10% will be used for the shampoo area, 20% has been allotted for retail/reception area, 20% for tanning and waxing services, and the final 10% will be used for storage and employee break/lunch room.
We will initially need $125,000 in capital for renovation and salon equipment, $90,000 will be used in design and reconstruction and $35,000 will be invested in salon equipment.

Suppliers
In our pursuit of quality we have built close relationships with many of our product distributors. While inquiring about several of our products, including Keihls, John Masters Organics and Sunset Tan, we have found that these companies only work directly with salons and companies carrying their products to avoid over-saturating their markets. Working directly with supplies companies will be a primary source of keeping inventories. However, we will be using CutnDry Co. as a product distributor for our mainstream products, and there are no purchasing agreements at this time.

Environmental Factors
We would like to consider our salon eco-friendly. There will be no bleach or ammonia used in our salon. Several local salons use bleach and ammonia as a mean to lighten hair, however, it is not only damaging to the hair it also releases damaging chemical fumes into the air. John Masters Organics is an innovator in New York for environmentally safe salons, and because we are carrying their products we have adopted several of their eco concepts. Obviously, we will also make a conscious effort to produce as little waste as possible and to recycle as a part of our daily regiments.

Marketing

Industry Profile: Current size
The multi-million dollar beauty industry has always been prominent, however, within the last couple of years, the market has made a positive shift toward high-end salons and holistic spa treatments. The number of salons has been expanding at an exponential rate nation wide. According to Bizzstats.com in 2002, salons alone brought in revenues of $55.9 billion. Our local market is currently heavily saturated with “mom and pop” salons and franchised businesses such as Supercuts. However, we have found that there are few upscale salons we could actually consider our competitors.

Industry Profile: Growth potential
Our potential growth is very substantial in this market. Haircuts are necessities. Whether or not the market is doing well, men and women get their haircut. Since we are targeting the affluent individual, the salon should not notice an impact if the economy is doing poorly. Currently, our economy is experiencing recession, and yet, the salon industry continues to grow. After establishing a clientele basis, we have the option of expanding into more spa-like services such as messages, or a hair care product line as we mentioned previously in our spin-off option. Industry profile: Geographic locations The plans for our salon are currently taking place in Albuquerque, NM. Albuquerque is the largest city in the state of New Mexico and, besides Rio Rancho, has the most growth potential. We are currently seeing development take place in all parts of the city, such as Nob Hill and ABQ Uptown. Companies typically seen only in larger cities, such as Pottery Barn and Anthropologie, are now coming to Albuquerque. Our plans are currently to stay in New Mexico, however, if we do seek to expand in the future we will most likely stay within the Southwestern region of the United States, including Arizona and Colorado. Industry profile: Industry trends
The hair business is constantly changing and our stylist will need to be up-to-date on the latest haircuts, styles and cutting technique. This will ensure to the customers that we can deliver the look they are trying to achieve. Actors and Actresses are highly influential and set several hair trends and looks. The stylist will need to be aware and educated of these trends so they can recreate these looks with ease and confidence. We are fortunate that our business relies on skills and knowledge, as opposed to technological advances.

Industrial profile: Seasonality factors
Unlike most companies, our salon will be affected very little by seasons. Women typically get their hair cut every 8-10 weeks and men every 3-4 weeks depending on the desired length, therefore we should maintain a steady flow of incoming clients. However, industry averages suggest slight increases during transitional months from spring to summer and around winter holidays. These subtle increases are not substantial enough to consider them actual business seasons.

Industry profile: Profit characteristics
The average profit varies for us in the industry due to contracting out our stylist. No revenue is accounted for by means of hair cuts or colors. Waxing, tanning and product sales are contributing to our profits. The Waxing and Tanning industry has an average profit line on 80% after payment of technicians. This is possible since minimal cost go into waxing and tanning, only the purchase of wax and solution for tanning is needed on a constant basis. Product sales are the second area in which profits will be earned. Product sale are a large portion of profit since most products have a 100% mark- up according to industry average. Sources for these percent on sales were found in Entrepreneur Magazine.

Industry profile: Distribution networks At this time there are no distribution networks, our business is to provide a service to our customers. Our future plans may include the development of a product line for Hati&Hati, in which case we will have several distribution channels. Industry profile: Basis of competition We used competitor’s price lists and list of services as a primary basis of competition. Our local competitors include La Bella, Mark Pardo, and Chez’dor. Our research reveals that each of these salons offer similar services and are priced well within each others range, this requires the quality of the service to set each salon apart. Competition profile
The competition in our category is small; this is due to targeting a different type of client in comparison to Supercuts customer profile. We are competing against few high-end salons and offering different services to set ourselves apart from the other salons. Not only do we offer different services, our atmosphere truly sets us apart from the rest. The big city feel with clean lines and a modern flare along with outstanding service provide the customer with a genuine sense of satisfaction. Some of our unique features including contouring spray tan and facial and body waxing and exclusive products offered to only our salon and can only be purchased in our salon. The location is key to our growth. We will be located in the downtown area that is thriving, and has high traffic flow. Since we are a start-up company the entry level of difficulty will be low since few high end salons exist within Albuquerque. Customer profile Our target customers will choose Hati&Hati because they maintain high expectations and we plan to deliver. We expect to provide service to the fashion forward businessman beginning in their mid twenties up to late fifties. Our women will be refined and sophisticated in a similar age bracket. All clients of Hati&Hati would consider style and appearance a major priority. Because of our price list we will automatically be targeting the higher income housing in the downtown area as well as those around Albuquerque. We realize that downtown Albuquerque is very diverse and is not limited to higher income housing. However, we do not expect the majority of our clientele to be brought in based on foot traffic

Target market profile Our target market includes all generations with a concentration in the higher income brackets. Since our environment and services will be high scale it will appeal to a large market size anywhere from older to younger individuals. Baby boomers were a key group because according to market research, baby boomers are prone to be true to quality services and products. It will appeal to Generation X and Y, because of the modern atmosphere and new services, such as: contouring spray tanning that will be offered. This is appealing because we will be one of two locations that offer this service. The downtown area will help target a larger market size, because downtown in the heart of Albuquerque and is a high traffic, thriving area with several potential clients. Pricing Profile Price List Hair Cut (Woman) $50+ depending on stylist Hair Cut (Man) $35 + depending on stylist Childs Cut $25 Deep Conditioning $30 Bang Trim on the House Beard Trim or Shave $15-$20 Colouring $85+ depending on stylist Highlight $85+ depending on stylist Straightening System $370 Celeb Hair Extensions start at $500 Waxing Eyebrow $18 Lip $15 Chin $15 Underarm $25 Half Leg $50 Full Leg $65 Bikini- Basic $45 Brazilian $60 Arms $40 Back $50+ Chest $40+ Body Contour Mystic Tan $60 The prices listed above provide a reference point for new clients. Many of our prices will vary due to the levels of experience on behalf of each stylist. These prices are based primarily on the prices from local competitors. Despite the fluctuations on the hair service menu, the only price increases for the mystic tan and waxing services will caused by annual inflation.

Gross margin on products/services The gross margin is calculated by subtracting our annual costs from annual sales. We have presented you with both sales projections and cost assumptions in our financial section. If our annual costs for the first year are projected at $90,700 and our sales are estimated at $186,500, this gives us a net income of $95800. Our salon is almost entirely service oriented and because we are there are few actual product costs. These products will have a 100% markup, which is the industry average. Break-even analysis

The break-even analysis was based on the leftover expenses we would be required to cover. We will be receiving $10,000 monthly from the rent paid by the style team, and therefore decided to focus on the minimum requirements to operate business. Market Penetration: Distribution Channels
Cut N Dry phone number- Telephone: 561-683-8071
Telephone & Store Hours are:
9 a.m. - 9 p.m.
Monday - Saturday (EST)
11 a.m. - 6 p.m. Sunday (EST)
Pureology-2010 Main St # 650
Irvine, CA 92614
(949) 756-0077 pureology.com‎ John Masters Organics (Exclusive at our store ONLY)
11 am to 6 pm EST Mon-Fri
10 am to 6 pm Sat
Wholesale Enquiries:
Integral Sense Brands
8391 Hudson V6P 4M3
Tel: 212.343.9590 www.johnmasters.com Keihls (Men’s Products)
109 Third Avenue
Between 13th & 14th Streets
New York, NY 10003
(212) 677-3171
Monday - Saturday 10 am - 8 pm
Sunday 12 pm - 6 pm

Cut N Dry Co. will be our main distributor for all of our product needs. The display case will cost $3200. Inventory will cost $4000 per month. However, the retail value will be marked up 100%. For the a twelve month spread of inventory costs will vary from $2500-$4300 depending on quantities sold.

Sales Representatives:
Lauren Weinberger the manager will be acting as the sales representative for all products in Hati&Hati. Promotions of products will all be in store. It will be based on the customer experience with the product, since they will be used during their service experience. Stylist will try to promote the product through out the service, and ask if they product to purchase at the end of the visit. This is one of the many jobs that Lauren will handle. This will also allow her to track inventory and possible shirk that may occur.

Direct-Sale Force:
The method of selling our product line will be the customer’s experience, so they know first hand how remarkable the product is. At the time of check out, we will ask if products are needed. Lauren will also educate any customers on any of our product line if questions arise. We will as show the customer what line on product will work best with their hair and achieve the best result in the New Mexico environment. No sample will be given since all products used during time of service and will be for sale in the store. Direct mail/telemarketing We chose to maintain a professional relationship with our clients and do not want to bog them down with paper mail. It is also preferred to eliminate to these expenses from our balance sheet. During the first few months of business we may send out promo-post cards, but this will be the extent of our direct mail. We understand it is a less expensive mean for advertising but also feel as though it does not attracts the potential clients we expect. Advertising and promotion Majority of our advertising will be done through word of mouth. Our established style team is expected to bring majority of our startup clients, who can then recommend their friends and family to Hati&Hati. We do expect, however, to advertising for our flagship products, waxing and tanning services. These services are expected to bring the most money to the company and therefore we will focus our energy on them. We will promo-cards to be placed for advertisement in other local companies, online at our website, and possibly billboards in the future.

Packaging and labeling At this point in time we do not have a product to be packaged and labeled. The products we plan to use will be sent either directly from the company or through CutnDry Co. The contact information for these companies can be found in the Distribution channels section. Service and Warranties In the service industry, it is unlikely that we make every client happy. That is by all means our company goal, however, we want to be prepared for any situation. No warranties or guarantees will be offered but, if a client is unhappy with their product or service, we will do our best to correct any cut or color or replace any product with another. We are always considering the clients best interest and will ensure their satisfaction as our main priority. In order for the best outcome, we ask our stylist to involve Lauren Weinberger the salon manager to address the client and seek a means of resolving such problems. If problem progress and the customer choses to involve the law, lawyers will be contacted and further handle the issue. Trade shows Our ideas for a trade show include an annual hair/fashion show. We are still in the idea stage and nothing is set in stone at this point in time. However, we feel our salons’ atmosphere will be comparable to those in New York and Los Angeles and it could be a great opportunity to get the word out about our quality and performance. It would attract new stylists to our salon and invite potential clients to come in for the first time. Future Markets There are many opportunities for growth in the future for Hati&Hati. Whether they include expanding into a new location, to a new city or investing in our own product line. We have tremendous growth potential for new markets by exploring our options. Financial Plan

Sales Projections
The income we generate from sales will be limited to tanning, waxing, and product sales. However, our monthly expenses average around $3000, which is not a very high break-even point, and therefore gives us the opportunity for large profit margins. We have priced our services according to industry averages and local competitors. The products carried will be marked up 100%, also an industry average. Between the services and product sales we feel as though our projections are very reasonable. In fact, the numbers on the financial statement is a representation of a low estimation for product or service to remain cautious.

Income Projections
After our team put together the projections for the financial statements, we found that Hati&Hati will be a profitable venture as the years pass. The way our salon is structured we will not receive any profits from our hair services, but our stylists will be paying a monthly rental fee of $1000, which covers approximately 80% of our monthly expenses. Our expected gross income in year one is estimated at $186,500, giving us a net income of $95,800. We expect the income for the second year to increase, however, we want to reinvest in our new business so we will only see a slight increase in our financial statements. The gross income for the second year is estimated at $197,600, with a profit of $97,790. In the third year we expect to be established and maintain a steady flow of income. Our projected gross income for year three is $213,120. After expenses are paid we expect to keep $103,545 as a net income.

Cash Requirements
The cash requirement for this startup company is estimated at $200,701. We will be using $90,000 to renovate our building and the rest will be portioned out to cover other expenses such as salon furniture and beginning inventory. We have included a startup price sheet within the appendix at the end of our business plan.

Sources for financing
We have decided on debt financing for Hati&Hati only because we prefer not to issue stock in our company at this time. Our company is still in the planning stage so we do not have a loan in place with a specific interest rate as of now, but we are actively searching for a feasible loan. We are currently in contact with Mr. Cooper with the Bank of Albuquerque and hope to move forward with the investment. Both Lauren Weinberger and Sabrina Philpot are making effort not to invest personal funds with the intention of keeping ownership equal.

Operating and Control System Plan

Administrative Policy Procedure and Controls
Since Hati & Hati is primarily a serviced based business no extensive procedures are needed for orders. A computer will suffice as means of keeping track of clients and the information such as phone numbers and addresses. The only orders that will be made is for hair products that will be sold in the shop and to the stylist, colure products and normal expenses that will need to purchased according to monthly usage.

Administrative Policy, Procedure, and Controls: Receiving orders
Only orders that will be received is through our online website. Items purchased through the website will be pulled from our in store inventory and then shipped after receipt of payment.

Administrative Policy, Procedure, and Controls: Billing Customers
Billing will be very simple because all payment will be incurred and due after the service has been completed, so no customer billing periods will be needed.

Administrative Policy, procedures, and controls: Paying Suppliers
Suppliers will all be paid the first and fifteenth of every month upon receiving products. This will cover all products that the stylist, tanning, and waxing that will be needed along with the products sold from your store. It’s important that we sell the products that we use tour customers, so that they can try it out for themselves and see the results you can achieve from it. All products will be filled on a by monthly basis and orders can always be place with our distributors if we run out faster then anticipated. Since we will be keeping our own books, and have an accountant look them over once a month, he or she will be paid at the time the service is rendered. The fee for the accountant was a monthly expense that was accounted for in the monthly expenses of running the salon.

Administrative Policy, Procedures, and Controls: Reporting to Management
There will be a once a month meeting discussing what else can be done to improve, or to help our team out. The meetings are important, since all stylist will be contracted employees and are technically like there own boss. It important for us to all function as a whole granted we all run things differently. But, all stylists must still abide by our rules within the salon. It’ especially important to listen to our tanning and waxing technicians since they are our true staff in which is employed by Hati & Hati. Standard reports will be made available to your staff if they need to report someone such as sexual harassment. An third party will be involved in handling reports, so bias opinions will effect the employees position at Hati & Hati.

Administrative policy, procedure, and controls: Staff Development
Training is not a one-time event at Hati & Hati, they’re always classes for all of the employees to take for their specific field. We want our employees and stylist to always know the latest techniques and trends. Our tanning and waxing technicians have the ability to earn raises along with there their base salary and tips. The stylist should be self-motivated, because whatever money they make, they keep.

Administrative policy, procedure, and controls: Inventory Control
The only inventory we have to keep track of is the product in which we sell and the products that are needed for the tanning and waxing. This is very favorable, because we don’t have to track the products the stylists are using, since they have to purchase it themselves. For the tanning spray and wax, a daily log in our computer of the amount used and according to the number of customers served per day. This will help when organizing a product delivery.

Administrative policy, procedure, and controls: Returns
Returns will on be made on defective products that were sold. Service issues can be taken to the salon manger and resolved.

Administrative policy, procedure, and controls: Monitoring Company Budget
We must note that we will have an accountant that over looks at our books on a monthly basis. Lauren and Sabrina are holding each other accountable, so that we are servicing our customers at ethical standards. Our monthly budget included expenses such as phone usage, supplies and other items needed to run our business.

Administrative policy, procedure, and controls: Security Systems
Our location is a safe area that has high traffic. For a security system, we will be using the pre-existing alarm that is in the building. Which will only be used and activated outside of business hours. We will be using a computer to hold our customer information. It will be used when scheduling appointments, and news flyers. The customer list will be password protected and in a secure database.

Documents and Paper Flow:
Service invoices are needed for documentation when service is rendered. This is so we can distribute funds correctly to each stylist, since they are contracted workers and not paid employees. Invoices will also be used to document the amounts distributed to contracted stylist, incase of possible issues that may arise.

Product/ Service development:
This is still in the developing stages. It will take about a year to achieve this business venture. Everything included in our start-up cost are activities need to be accomplished. WE expect to open our doors April 2009.

Financial Requirements
Financial aid will be required before the starting any of the start up cost. The money will help secure the location that we desire and help purchase items needed for salon. Will we seek financial aid the banks and alternative avenues such as angels and family member. No dates can be placed on our project yet, due to our current stage of development of the salon.

Marketing Flow Charts
The marketing activities that will be utilized will be mailer pieces advertising special offers with coupons, advertisement on radio stations, our website and advertisements throughout the downtown area. For the first year of our salon we will saturate the market so we can start becoming a more recognize and established salon. All advertisements will be run for a period of a year and will change monthly will different specials.

Market Penetration
Since we are still in the development stages, and no logo or trademark has been established (other then our name); the marketing penetration has not been scheduled. Sabrina Philpot will be in charge of all marketing responsibilities since she has experience in this field, which will reduce cost. The scheduling of marketing will be contingent upon predicted opening of the salon.

Management and Infrastructure
Lauren Weinberger is the salon manager and is responsible for hiring and interviewing stylist for open space in the salon. She will be head of all scheduling, managing and operating the salon. Her position as manager is permanent unless she decides to sell the salon.

Risk Analysis
Their will always be liabilities in any business, however, that is why chose to hold the status of an LLC business.

Salvaging Assets
Most equipment within the salon may become outdated over time, however, we will hopefully update equipment periodically when improvement is needed. Equipment could be sold to beauty school or to the public. We cold make a substantial amount back on the asset if we were to sell them to beauty schools.

Growth plan

New offerings to market
Our primary focus at Hati&Hati is internal growth. As a new business we do not wish to overextend ourselves within the initial years of operation. We are offering very specialized services and products, and because of this we have projected a 15-20% increase in our first three years, giving us profits of $95,800 in year one, $97,790 in year two and $103,545 in the third year. We have included, however, the option to create a product line for Hati&Hati. The costs included for the product line altogether come to $29,000 including research and development. As our business becomes more profitable, we will be able to accrue these costs and expand into potential markets, which include both local and national buyers. In this case, we would most likely expand our business in other large Southwestern cities, such as Denver and Phoenix. Unfortunately, we do not foresee these expansions taking place prior to the first five years of business.

Capital requirements
The first expansion for our company would be a hair care product line for Hati&Hati. Our studies indicate a $29,000 investment into these products, which will include the research and development efforts. We hope to use incoming revenue to pay for these expenses and prefer not to incur a bank loan. In the case we decide to expand outside of our area, bank loans or investors will be necessary because we do not want to leverage our companies against one another. Due to the various cities of interest, the startup capital will vary depending on cost of living and therefore cannot be determined at this time.

Personnel requirements
The management team must be collectively supportive of the company expansion. Lauren Weinberger and Sabrina Philpot are the owners and managers and will be the foundation for company growth. Collaboration and cooperation are absolutely necessary.

Exit strategy
The proposed exit strategy for Hati&Hati is to sell the business after 15 years. At this point the owners will sell the salon for 2.5 times the NET INCOME or more if the market allows for such a sale. At this point, profits will be split fifty-fifty between the two owners. In the case that one owner does not want to sell, the remaining owner must buy his/her partner out for their portion of the business.

Appendix

Similar Documents

Free Essay

Business Plan

...BUSINESS PLAN OF NEW VENTURE 1.What is a Busines Plan? * A written document that serves as a blueprint and guide for a proposed business project that one intends to undertake; 2. What are the purposes of a Business Plan? * To allow the entrepreneurs to view and evaluate the proposed business venture in an objective, critical and practical manner; * To analyse and evaluate the viability of a proposed venture * As a guideline for managing the business * To allocate business resources effectively * To convince relevant parties of the investmet potential of the project 3. Components of a Business Plan What comprises of a Business Plan of a Proposed Business: It consists of the following sections: 1. Introduction 2. Purpose 3. Company background 4. Owner/Partners background 5. Location of the business 6. Administratiove plan 7. Marketing plan 8. Operations plan 9. Financial plan 10. Conclusion 1. INTRODUCTION SECTION includes: a. Name of the company b. Nature of business c. Industry profile d. Location of the business e. Date of business commencement f. Factors in selecting the proposed business g. Future prospects of the business 2. PURPOSE Every Business Plan is prepared with a particular purpose. Or as a guide for the entrepreneur to manage the business. Eg. This business plan is prepared by Riverside Thai Food Restaurant as a guideline for managing the......

Words: 1149 - Pages: 5

Free Essay

Business Plan

...20 Reasons Why You Need a Business Plan Categories: * Business Planning 1. To prove that you’re serious about your business. A formal business plan is necessary to show all interested parties -- employees, investors, partners and yourself -- that you are committed to building the business. 2. To establish business milestones. The business plan should clearly lay out the long-term milestones that are most important to the success of your business. To paraphrase Guy Kawasaki, a milestone is something significant enough to come home and tell your spouse about (without boring him or her to death). Would you tell your spouse that you tweaked the company brochure? Probably not. But you'd certainly share the news that you launched your new website or reached $1M in annual revenues. 3. To better understand your competition. Creating the business plan forces you to analyze the competition. All companies have competition in the form of either direct or indirect competitors, and it is critical to understand your company's competitive advantages. 4. To better understand your customer. Why do they buy when they buy? Why don’t they when they don't? An in-depth customer analysis is essential to an effective business plan and to a successful business. 5. To enunciate previously unstated assumptions. The process of actually writing the business plan helps to bring previously "hidden" assumptions to the foreground. By writing them down and assessing them, you can test them......

Words: 921 - Pages: 4

Premium Essay

Business Plan

...BUSINESS DEVELOPMENT PLAN 2014 Arrivals Check: * All reservations from now until the end of the year checked before the end of February * All cancelled booking entered into new tab in database document * Ongoing arrivals check programme to be implemented from March 2014 in the most time effective manner Current Database: * 800 contact details from guests who stayed Nov 2012 – March 2013 * 200 contact email addresses from website * 800 contact details from guests who stayed Nov 2013 – February 2014 Database Targets: * Continue to put all check out bookings on to the database * Start a separate tab for cancelled bookings * 2000 additional contact details from guests who stayed May – Sept 2013 by end of March 2014 DETAILS | WHO | BY | Build a leisure database of approx. 2000 contacts | All reception team | 31 March 2014 | Build a business database of approx. 1000 contacts | All reception team | 31 March 2014 | Adding to database | All reception team | Ongoing | USING THE DATABASE: * Need to be able to edit contacts lists to avoid sending duplicate emails to contact emails * Need to be able to create lists based on segment (based on booking source) * Need to be able to gather information from database e.g. pre-paid vs. standard bookings, through our own website or OTA, length of stay etc * Market separately to cancelled bookings * Sending out a bi-annual newsletter Marketing Targets Spring...

Words: 534 - Pages: 3

Free Essay

Business Plan

...Trend Setters Hair Studio Hair and Beauty Salon Business Plan PAGE Start your own business plan » (/create_your_business_plan.php?link=create_top-b) BLACK FRIDAY SALE: Save 62% on the #1 Business Planning Software Sign Up Now (http://www.liveplan.com/?pm=LIVEPLAN12MONTH_62AB) 1 (executive_summary_fc.php) « PREVIOUS PAGE () NEXT PAGE » (COMPANY_SUMMARY_FC.PHP) 2 (company_summary_fc.php) 3 (products_and_services_fc.php) 4 (strategy_and_implementation_summary_fc.php) 5 (management_summary_fc.php) 6 (financial_plan_fc.php) 7 (appendix_fc.php) Executive Summary Trend Setters is a full-service beauty salon dedicated to consistently providing high customer satisfaction by rendering excellent service, quality products, and furnishing an enjoyable atmosphere at an acceptable price/value relationship. We will also maintain a friendly, fair, and creative work environment, which respects diversity, ideas, and hard work. Our Mission: To supply services and products that enhance our clients' physical appearance and mental relaxation. Our Motto: "The Trend Begins Here!" The timing is right for starting this new venture. Patiently searching for six months for the perfect location, one was finally found. The demand from the owner's clients, as well as the ambitions of the owner to one day start her own salon, and the procurement of highly professional and qualified beauticians to support the salon, has made this business one of great potential. Curley Comb, co-owner with Roller Comb, Jr...

Words: 878 - Pages: 4

Premium Essay

Business Plan

...N. Williams Business Plan Case Study MGT/300 Marilyn Pike December 12, 2011 In business having a written plan is the key to the success of the business. When an individual is able to provide a proposal for the business it shows investor that they are serious about the business. The business plan will speak for the individual far better than they would be able to verbally. Kurt and John are individuals that want to launch a magazine in Eastern Europe. The business idea is a sound idea however Kurt and John are unsure if the current business plan that they have will spark the interest of any investors. Kurt and John are looking for some assistance with the business plan how they can improve the one that they currently have. Business Plan Outline When creating a business plan there a number of things that need to be included in the business plan to insure the success of business. The first thing that needs to be included is the executive summary. The summary will be an overview of the intents of the business. The executive summary basically is a short version of the business proposal. The executive summary should be informative; generally when investors look at a business plan the first thing that is read is the executive summary. Investor normally can tell from the summary if they are interested in the business. In the Kurt and John Bauer case they would need to include how they want to launch a business in Eastern Europe and the different strategies plans for an......

Words: 1058 - Pages: 5

Free Essay

Business Plan

...20 Reasons Why You Need a Business Plan Written by Pete Kennedy Categories: * Business Planning 1. To prove that you’re serious about your business. A formal business plan is necessary to show all interested parties -- employees, investors, partners and yourself -- that you are committed to building the business. 2. To establish business milestones. The business plan should clearly lay out the long-term milestones that are most important to the success of your business. To paraphrase Guy Kawasaki, a milestone is something significant enough to come home and tell your spouse about (without boring him or her to death). Would you tell your spouse that you tweaked the company brochure? Probably not. But you'd certainly share the news that you launched your new website or reached $1M in annual revenues. 3. To better understand your competition. Creating the business plan forces you to analyze the competition. All companies have competition in the form of either direct or indirect competitors, and it is critical to understand your company's competitive advantages. 4. To better understand your customer. Why do they buy when they buy? Why don’t they when they don't? An in-depth customer analysis is essential to an effective business plan and to a successful business. 5. To enunciate previously unstated assumptions. The process of actually writing the business plan helps to bring previously "hidden" assumptions to the foreground. By writing them down and......

Words: 925 - Pages: 4

Premium Essay

Business Plan

...A good business plan business planning is well expressed as a general evaluation of an investor’s financial state is it current or an analysis to the future. These decisions can be based on individual or group that is looking for an expansion or establishing of a business that is already existing. Since funds play a greater role in the expansion, good steps on the way to handle the available funds are essential. Shan company will engage in a stiff competition if it plans to go overseas, the slope of this competition will generally depend on the available financial aid and the overall expenditure to keep the firm’s survival in the long run, these decisions play a greater role in the clinching of the ever available market in the states. The use of cash flows, current variables that are already known and asset values can be well applied in the process of building a strong financial decision. In the process of determining future certainty, many businesses tend to rely on the extrapolated asset values; this will tend to determine if the business has funds to sustain it in the long run. Through a comprehensive status many businesses can end up evading financial obligations, this will help in the generation of profits and maintain a positive pillar in its solvent status. There are various ways that a company can increase its overall revenue.  The most common way for a public performing company is through shares or in the form of stock and bonds.  Bonds allow a company to take......

Words: 2163 - Pages: 9

Premium Essay

Business Plan

...Business Plan Carlos Islas Jesica Islas Partners Islas 314 Inc 73 Jackson St Suite 3N Yonkers, NY 10701 347-645-9001 914-751-8342 Islas314inc@hotmail.com I. Table of Contents I. Table of Contents 2 II. Executive Summary 3 III. General Company Description 4 IV. Products and Services 6 V. Marketing Plan 7 VI. Management and Organization 10 VII.Personal Financial Statement 11 VIII.Startup Expenses and Capitalization 13 IX. Appendices 15 II. Executive Summary Islas 314 Inc is a construction company. Our product or service will be remodeling houses or business, fixing small damages in apartments or elsewhere, and constructing houses or apartments from scratch. Our customers will basically be all homeowners, or business owners or even landlords. In a near future we are planning to apply to get into the city system, so we could be one of their construction contacts, and have periodical jobs with the public business. This will help us to maintain a good reputation among other private clients. The owners are Mr. Carlos Islas and his daughter Ms. Jesica Islas, the both share the same amount of responsibilities in different aspects of the business. Due to the seniority the one that has more power in the company is Mr. Carlos Islas, but he is not able to take financial decisions without having Ms. Islas approval. Every year the numbers of small construction companies are declining...

Words: 2460 - Pages: 10

Premium Essay

Business Plan

...Business Plan Projects The Royal Project Foundation is aimed to promote agricultural production on the highlands in order to reduce opium production and help developing overall welfare of the highland communities. As parts of the Royal Project Foundation’s work, new processed food products are continuously developed from raw materials and ingredients produced by farmers and hill tribes to help distribute excess supplies to and increase demands of agricultural products in the market. With assistant from professors and experts from various universities and private sectors, by-products / processed products are researched and produced with high-quality standard as well as safety concern for consumers, and according to safety and standards of the Thai FDA regulations. With the brand of the Royal Project, it already has competitive advantage over competitors. However, these products have still not yet formulated any business plan and the stories have not been communicated widely enough to end-consumers. Also, it is essential to guarantee to the farmers the production volume in order for them to plan the agricultural production in advance (usually a year ahead). With the business plan, it would give a clear direction for any future decision making on these products. The required business plan should involve the areas from Product Design, Feasibility Studies, Costing & Financial Projection, Launch Plan and Implementations. The followings are the products for BBA students to......

Words: 325 - Pages: 2

Premium Essay

Business Plan

...Business Plan Background Jane and John had a good idea, a good sense of their market, and a good location. They were great salespeople, and yet they were not making a profit. The reason was that they did not plan their business all the way through. When you are serious about your business or when a lot of money of your own or someone else's is at stake, creating a business plan is perhaps the most critical activity you can undertake. The plan is important, but what is even more important is the understanding you get from the planning process. The following pages will help you understand the thinking behind business plans and how to make and present your own. A business plan is a document designed to detail the major characteristics of a firm--its product or service, its industry, its market, its manner of operating (production, marketing, management), and its financial outcomes with an emphasis on the firm's present and future. There are two circumstances under which creating a business plan is absolutely necessary. One is when outsiders expect it. This is called external legitimacy. Creating a business plan is the acknowledged best way to build external legitimacy for your firm. When you are seeking outside support--whether financial or expert--you do a business plan to signal your professionalism and how serious you are about the business. Investors, whether they are venture capitalists, informal investors (called angels), bankers, or your two great aunts, are going to......

Words: 10997 - Pages: 44

Free Essay

Business Plan

...Business Plan Of https://www.facebook.com/help4rhire Section 1 Aditya R DM16102 Ferzaad DM16117 Rashmica R DM16134 Sindhoora S DM16146 Sruthi V DM16150 Acknowledgment Our sincere gratitude goes to Dr. K. Pelly Periasamy and Mr. N. Anerudh for guiding us with valuable information and comments, and helping us make a sound business development plan. We would also like to thank everyone who has directly or indirectly supported us in completing our business development plan. 2 EXECUTIVE SUMMARY Help4Hire is an internet--enabled startup services provider which aims to service the housekeeping needs of the IT crowd in Chennai. This venture will be a partnership amongst Aditya.R, Ferzaad.M, Rashmica.R, Sindhoora.S & Sruthi V.Ramanan. The domain name help4hire.in will also be registered online to facilitate our business. The total capital investment would be 20, 00,000 with 25% equity and 75% debt. The main moto of our service would to provide professional, top-notch quality services at a reasonable price and gain customers’ trust. We aim to reach a client-base of 100 at the end of our first year of operation. Our Major focus will be on the affluent, upper-middle-class, dualincome, and IT employee households. The company will be based in Chennai. We will be providing a range of services with a tariff for each basic package. In case the requirement is different, we will provide a flexi-tariff to suit the needs of the......

Words: 3508 - Pages: 15

Free Essay

Business Plan

...Business Plan for a Physical Therapy Clinic Benita Hodgson HCA 311: Health Care Financing & Information Systems Instructor: Garlyn Lewis March 17, 2012 Table of Contents 1) Executive Summary 3 2) Services and Equipment 4 3) Organizational Structure 6 4) Marketing Plan 7 5) Financial Analysis 8 6) Summary 11 Business Plan for a Physical Therapy Clinic Executive Summary Living Well Physical Therapy clinic is a privately owned business with one owner. The owner has a four year degree in healthcare specializing in physical therapy rehabilitation services. The clinic has been in operation for approximately 3 years in a small building located downtown in Fayetteville North Carolina. The business has outgrown the current space and is in need of an upgrade to a bigger building, new equipment, and more......

Words: 1774 - Pages: 8

Premium Essay

Business Growth Plan

...4.0 BUSINESS GROWTH STRATEGY 4.1 How and Why Vida Beauty Adopt This Growth Strategy First of all, growth strategy refers to an organization substantially broadens the scope of one or more of its business in terms of their respective customer group, customer functions and alternative technologies to improve its overall performance. Then, in developing growth strategies for growth firm there are two strategies which is internal growth strategy and external growth strategy. Internal strategy involves efforts taken within the firm itself. Then, for perform internal strategy they need to create new product development, other product related strategy and international expansion with the purpose of increasing sales revenue and profitability. External strategy is relying on establishing relationships with third parties such as mergers, acquisitions, strategic alliances, joint ventures, licensing and franchising. In our opinion, Vida Beauty use internal strategy to make sure that the companies become a growth firm and expansion. In internal growth strategies the distinctive attributes of internally generated growth is that a business relies on its competencies, expertise and the employee also. In addition, internally also called as “organic growth” because it does not rely on outside intervention. Organic growth is growth that comes from a company’s existing business as opposed to growth that comes from buying new business. Besides that, it also the process of business expansion......

Words: 2618 - Pages: 11

Free Essay

Business Plan Document

...TO DO: 1. Begin drafting formal business plan document 2. Primary research through a user survey on google forms 1. explain who we polled, why we did it, and what we found 1. Who is our customer (in and out) 1. age, salary, hobbies, skills, activities, schedule, location, goals, etc 1. What are our customer acquisition costs? 1. time 2. $1000 for like Bruin Plaza, flyers, trainers (for the Bruin plaza day), free snacks, apparel 1. App mock-up 2. Who are partners vs. customers (do we have both?) Updates to presentation: * More photos - high quality (get a shutterstock subscription?) * Facebook, linkedIn, googleplus accounts * Make numbers stand out * Get a logo * Beginning of presentation * Start with photo and no logo and begin to tell story * Then show a number slide that explains a problem that our market faces * Show SpotMe slide - the solution to the above problem and explain what it is * Add citations like 30001 * 1 what does the number 3000 mean, what is the source * put actual website source in appendix * Remove numbers about how much money was invested in health apps * Instead quantify the benefits of using an app like SpotMe i.e. the health benefits and compare that to how much it costs $5 * divvy up bullet points/numbers to different slides * currently there is too much text on the slides * MAKE THE BULLET POINTS MEAN SOMETHING......

Words: 420 - Pages: 2

Premium Essay

Business Plan Guide Template

...Assignment 2 – Business Plan (35%) Purpose The purpose of this assignment is to apply franchising and small business knowledge to develop a business plan for a new franchise outlet for a franchise business. In either case, the business is to be started from scratch. Topic / Task You are required to produce a business plan for a start-up outlet of a franchise chain you would like to operate. Students CANNOT base their business plan on a pre-existing franchise (i.e., one which has been or is currently in operation). Students must understand that the business plan is for a franchise outlet as opposed to an independent new business. Several sample business plans from which you may draw ideas have been provided in the “assessment tab”. These Business Plans are considered exemplar plans. Please view as they may assist you in terms of structure and expectations. Please DO NOT copy any of the plans as they are recorded through the SafeAssign submission point and as such any plagiarism based on these plans or those available on the Internet will be detected. In addition, there are a number of resources available and identified (including useful websites and video clips) for students in Topic 2 (Activity 3). You should also draw upon the business planning resources available online at www.business.gov.au plus those available from other government agencies, associations and major banks. Referencing and Collaboration Referencing is expected. Assignments will be......

Words: 1046 - Pages: 5