business plan template stage 2 - the business start-up ......business plan template stage 2 new...

1 New Business Plan Template 2014

Business Plan Template

Stage 2

New Business Track This template is for schools who are starting a business for the first time

IMPORTANT: HOW TO COMPLETE AND SUBMIT YOUR BUSINESS PLAN

This template should be completed by students with the support of teachers.

Please use the format provided as this is aligned to our marking scheme.

There are 2 Parts to the Business Plan template.

- Part 1: Business Plan. Please answer ALL questions.

- Part 2: Financial Plan. Please answer ALL questions in Sections A-F. Section G and H are

optional.

You can use extra pages. However, please try and keep your submission to 10 pages maximum.

The numbers in brackets e.g. (10) indicates the highest number of points that can be awarded

for that question.

Follow our top tips to score high points and increase your chances of winning a prize!

You can also earn bonus points by including supporting documents in the Appendix!

When you are ready to submit your completed business plan to us, please follow these

instructions:-

- Log in to your account at: www.schoolenterprisechallenge.org/login

- Go to the ‘Progress Report’ on the right hand side.

- Click on 2) ‘Submit Your Business Plan!’

- Choose your file and upload your completed Template. Click SUBMIT!

Contact the School Enterprise Challenge team at:-

E-mail: [email protected] Blog: http://schoolenterprisechallenge.wordpress.com/ Website: www.schoolenterprisechallenge.org

? Any Questions

http://www.schoolenterprisechallenge.org/login

mailto:[email protected]

http://schoolenterprisechallenge.wordpress.com/

http://www.schoolenterprisechallenge.org/


PART ONE Section A: Your Details

School name Met Rishikul Vidyalaya

Country India

Section B: Your Business Details

Business Name MRV Green World

Business Activity Creating a sustainable environment for a cleaner and

greener world

Main product / service BIO Compost and Herbs and Vegetable Saplings

No. of students in business team 13

Total Start Up Budget in US $ (Estimated) 161.07

Total Sales Income in US $ (Estimated) 161.07

Net Profit in US $ (Estimated) 97.47

Section C: Market Research and Target Market

1. What Market Research did you do? Please include how you did your market research and how many people you spoke to. (5) We did a survey for our market research. We found this method suitable for our requirements

and skills as our students had the experience of conducting surveys in the past. A market survey

questionnaire was designed by students which involved 14 questions. The questionnaire was

distributed to Grades 5 & 6 students and they were asked to do a survey for the same. The

students interviewed individuals, housing societies, schools, institutions and nurseries who use

compost and buy saplings. We collected around 70 survey samples. The survey data was then

analyzed by the marketing team which provided us with some useful insight about our product

market. It also helped us to decide upon many aspects of our business plan for E.g. type of

customers whom we can approach, pricing strategy, packaging size and type of saplings. We also

created a Google Form to conduct our survey online. The link for the same is

Some of the sample questionnaires have been scanned and put in the Appendix Section.

2. What were the results of your Market research? Please include who is going to buy your product or service and why they will buy it. (10) The analysis of the market research has provided us with results that will help us answer the three basic economic questions- what to produce? How to produce? And for whom to produce? The results indicated that we can cater to a wide range of customers varying from individuals to nurseries to housing societies and institutions like hospitals and schools. Some of our findings are given below: 1. We found that 84% of the people whom we interviewed showed interest in buying our

products. 2. It was also revealed from the survey that 74% of our customers will be individuals who

regularly use compost and grow saplings and not the housing societies or institutions. 3. We also found out that 42% of the customers buy Bio-degradable compost and 26% buy

vermi-compost thus we got to know that we will cater to the market demand because our compost is made from biodegradable waste which is in demand in the market.

https://docs.google.com/forms/d/1HZdPkJZuhEhrxcjFbAZsbA7GlMPahRGTpB5eW

WkYfcI/viewform?usp=send_form

https://docs.google.com/forms/d/1HZdPkJZuhEhrxcjFbAZsbA7GlMPahRGTpB5eWWkYfcI/viewform?usp=send_form

https://docs.google.com/forms/d/1HZdPkJZuhEhrxcjFbAZsbA7GlMPahRGTpB5eWWkYfcI/viewform?usp=send_form


4. We also found out that 71% of our customers’ favoured eco-friendly products, 42%-quality, 16%-certification and 21% low prices.

5. 32% of the people whom we surveyed were interested in buying small amount of compost on a monthly basis which will be approximately 1kg.

6. The survey also indicated that 61% of the customers buy their products at anytime of the year, thus we were assured of a continuous market demand.

7. The price at which customers are ready to buy compost ranges from 20 to 100 Indian Rupees (INR) per kg and saplings from 30 to 60 INR. This data from the survey helped us in determining the prices of our products.

We have looked at every aspect of our market research and we will modify our products according to the results obtained from the survey. Thus ensuring customers the desired product which will encourage them to buy from us. A detailed market research analysis data and graphical charts have been put in the annexure. Survey Analysis Graphs sheet is also attached.

Section D: Competitors and Competitive Advantage


TOP TIP!

To help you score high marks in Section D, read our Competitor Analysis guidance in Weekly Guide 5 and

in the ‘Resources’ section of your school profile!

3. Who are your main competitors and what are their strengths and weaknesses? Please fill in the

table below. You may add extra rows if you need to. (5)

Competitor Name Who are your main

competitors?

Strengths What are your competitor’s main

strengths?

Weaknesses What are your competitor’s main

weaknesses?

1. DIRT

1. Creativity and willingness to better the environment

2. Its well known in the area of establishment

3. Continuous and regular supply of biodegradable waste from a housing

society. 4. Good quality compost.

5. Ease in maintaining continuity in business.

1. Small scale set up for making compost and growing

saplings. 2. Lack of variety of saplings.

3. Financial crunch. 4. Lack of advertisements

through different mediums.

2. Green Growers 1. Its well known and has a good reputation

2. Skilled staff to look after different departments.

3. Variety in products 4. A number of services provided E.g.

gardener service 5. A lot of advertisements to market

the products. 6. Ease in maintaining continuity in

business.

1. Seasonal fluctuations in the sales revenue and profits

especially monsoons. 2. Cost of saplings is high 3. Compost production is

outsourced 4. Compost is not made from

recycling bio degradable waste to help solve the waste

issue.

3.Sampoorna Earth

1. Operational timings are 24/7. 2. Managerial skills are good.

3. price of their products is very competitive

4. In house large scale manufacturing of compost

1. They are not well known. 2. Lack of advertisements

3. Newer organization 4. Situated in the suburbs

5. They do not sell saplings and sell only compost

If you have more detailed information about your competitors, please include it here: Our competitor Green Grower has been in this field for the past 17 years and hence has a big market and caters to around 80- 100 people a day. Website: www.greengrowerindia.com DIRT is trying to approach schools and create awareness among students by conducting workshops and organizing visits to their workplace.

Website :http://www.thealternative.in/lifestyle/lets-recycle-natasha-dcosta-a-plastic-bottle-mountain-

and-lots-of-dirt/ 1. Sampurna Earth: www.sampurnearth.com

http://www.thealternative.in/lifestyle/lets-recycle-natasha-dcosta-a-plastic-bottle-mountain-and-lots-of-dirt/

http://www.thealternative.in/lifestyle/lets-recycle-natasha-dcosta-a-plastic-bottle-mountain-and-lots-of-dirt/


4. How are you going to be better than your competitors? E.g. Our competitors have a limited selection of vegetables, so we are going to sell a large range of vegetables. (5) There are various things which we need to do in order to be better than our competitors as listed below: 1. Marketing: Two of our competitors are not well known in the central part of city, so we are

going to undertake large scale marketing of our products through social media , performing street plays to spread our message, creating a jingle about our products so that we become well known and be able to reach out to many people.

2. Scaling our business: our competitors are also lacking a large scale set up which will bring them enough profits, so we are going to scale our set up which will help us to meet market demands.

3. Variety: since our competitors also lack variety in saplings, we are going to include vegetables and herbs in our list.

TOP TIP! To help you score high marks in Section E, refer to the SWOT Analysis guidance in Weekly Guide 5.

Remember! Your Strengths and Weaknesses are internal to your business and in the present. Your Opportunities and Threats are external to your business and in the future.

5. Complete the SWOT Analysis below. (5)

Strengths – What are your strengths?

E.g. We have a good reputation.

1. We have the necessary skills for

undertaking our tasks.

2. We have enough space in and around our

school for running our business

3. We have easy access to raw material

especially bio-degradable waste from our

pantry and college canteen.

4. We already have a small scale compost

system. So, we are aware about the

process and its part of our school

programme.

5. We have an access to a well established

captive market which consists of parents

and staff members of our institute.

6. Its 100% good quality compost.

7. As our raw material input is free as its bio

degradable waste, we can have higher

profit margins

Weaknesses – What are your weaknesses?

E.g. High transport costs to market

1. Scaling up the business can become our

weakness with respect to time and efforts

required in coordination with the school

curriculum.

2. Creating a huge market will also be a

difficult task and will take time.

3. Maintaining continuity in business can also

become problematic on account of school

holidays and vacations because

composting requires specific tasks to be

undertaken on an everyday basis.

4. Our high prices may not be attractive to

customers because of our comparatively

small scale set up.

Opportunities – What opportunities do you have?

E.g. Arrival of new farming technology.

1. We are easily accessible to customers

Threats – Does your business face any threats?

E.g. More competitors enter the market.


because of our location. We are centrally

located in the heart of the city of Mumbai.

2. There are many cultural fairs which are

conducted regularly in our area providing

us with an opportunity to showcase our

products in such events and cater to an

increasing market.

3. The craze for social media which has

engulfed the world will help us to spread

awareness about our endeavour to the

world community.

4. There is a growing environmental

consciousness amongst the people of our

city which will make our products

attractive and acceptable to a growing

market of people passionate about

environment.

5. We have a large student and teacher base

who can help market our products to the

communities where they live

1. Some of our competitors are available for

24 hrs, which will be difficult for us

considering the school timings limitations.

2. Weather also acts as a hindrance at times

especially monsoon season when the

humidity levels in the air is very high which

slows down the process of composting.

3. If the composting does not happen in an

orderly manner that it can lead to odour

and bugs in and around the space.

Section F: Operational Plan

6. What steps will you take to start your business? Think about the one-off tasks you need to do to actually get your business started. E.g. First, we will identify suppliers in our area. (5) The steps we will take to get our business started are as following:

1. The finance system will be set up that will allow us to procure all the factors of production required for running our business through our fund raising activities.

2. Ensuring consistent supply of raw material that is segregated bio-degradable waste from our School and College Canteen.

3. We will form our business team. Each member will be allotted a job to do on a regular basis.

4. We worked upon our mission statement which will enable us to remember our goal and keep us guiding towards our mission. Our mission statement is “In MRV’s Green World we shoulder the responsibilities of our planet by being humane with nature at every step that we take to ensure the preservation of nature’s bounty.

5. The equipments required for the production would be bought after the finance system is set up. For example: compost system, tools required for gardening, etc.

6. The storage facility has to be decided which is available in our school. 7. We will develop a value added product like saplings of herbs and vegetables from

our main product which is compost. 8. Designing eco- packaging material for our product. 9. We will let the people know that we have opened our business through

advertisement and social media. 10. We will have a Launch Event for our product in our school Annual Green Fair.


7. How will you produce or deliver your product or service? Use the table below. You can add rows if you need to. (5)

Task What tasks need to be done on a daily, weekly

or monthly basis to make your business

run?

How long? How long will these

tasks take?

How often? How often do these tasks need to take place? E.g. Daily?

Weekly?

Who? Who will be responsible

for these tasks? E.g. communications team

Formation of our

Business Team.

1 week Once Board of Directors

Mission Statement &

Designing of our logo

1 Week Once Marketing &

Designing Team

Collection of waste

from our Pantry and

MET College Canteen

15 Minutes Daily Production Team

Setting up Finance

System.

15 days Once Finance Team

Arrangement of new

equipments.

2 weeks Once Board of Directors

Marketing (

Advertisements and

Social Media)

2-3 Weeks Daily MarketingTeam

Planning of our launch

event

1 Week Once Board of directors,

sales and marketing

team.

Designing of our

packaging material

1 week Once Packaging &

Distribution team

Making compost 3 Months Daily Production Team

Growing saplings 1 month Daily Production team

8. How is your business team structured? You may like to include your Organogram here. (5)


Section G: Marketing and Sales Plan

9. Tell us about your 4 P’s (Product, Price, Place, Promotion). (10)

a) Product – What is your product? Our products are eco friendly bio compost recycled from bio degradable waste and herb and vegetable saplings for gardening. Our product being made from waste, help reduce landfillload thereby making it have a socio-environmental impact. Our products cut down carbon footprint. We will package our product in attractive reusable bags. Thus making our product attractive. We have decided to name our core product-Compost as the “GREENGOLD”and MRV GREENIES for saplings.

b) Price – What price will you sell it at? Our prices are neither too high nor too low. It will fit into the price range prevalent in the market and offered by other competitors.We believe that customers will pay a premium for our product as we will ensure higher quality and provide accredited certified product. To meet our profitability requirement awe have worked out our price which will cover the costs

c) Place – Where will you sell your product? We would be selling from our school by setting up a store to customers :Individuals , housing societies , schools , teachers , parents and nearby institutes and hospitals.Our school is centrally located making it easily accessible for customers. We will sell directly to our customersand not through a wholesaler. We will be selling our products 5 days in a week ( Monday to Friday) between 8.a.m. to 4.p.m.

d) Promotion – How will you promote your product?

We would be promoting our products through pamphlets, brouchers, social media , participating in cultural fairs, children’s magazines and school magazine, awareness workshops on green living, creative communications tools like jingles and street play which students will perform.these are the most cost-eeffective methods.


Section H: People, Profit, Planet

10. How does your business meet the People, Profit and Planet criteria? Please give an example for each criteria. Refer back to Question 7 in your Business Idea Template to help you. (6)

People 1. Our eco friendly, organic products are durable, available, affordable and attractive for people. 2. Our students will gain practical knowledge and sensitizing them to become eco-conscious

citizens. 3. Our initiative will make parent community more sensitive towards environment. 4. As we are segregating waste at source we are helping rag picker community to work in

healthier conditions. 5. Our saplings will enable people to grow their own organic veggies providing them healthier

diets and lifestyles.

Profit: 1. The raw material is free leading to a low cost of production. The resources are easily available in

and around school. 2. There is continuous demand for green products which will lead to a high profitability in our

business venture. 3. Our office space and production space are part of school so we do not have rent and electricity

costs making it more profitable.

Planet: 1. Our idea of making compost will reduce biodegradable waste being dumped and help cut carbon emissions. 2. Saplings will act like a drop in the ocean in our endeavour for making our city green and clean. 3. Our cloth bags will help us to deal with the piles of plastic bags clogging our city. 4. The recycling of waste will help reduce green house gases and help mitigate global warming of our planet.

Section I: Financing Strategy

11. How much start-up capital do you need to start your business and how will you raise this money? Refer back to Question 8 in your Business Idea Template to help you. (10)

10,000 Indian Rupees is the start-up capital we need to start our business. We decided to conduct the following fund-raising activities.

1. Newspaper collection drive – As our school holds many young minds, we sent an email to our enthusiastic parents asking them to send old,unwanted newspapers to the school in order to give a boosting start to our business enterprise. We would then be selling these old newspapers to a junk dealer for the money needed. We are also proud to admit that we have got a wonderful response to this request as we instantly began getting kilos of waste newspapers.we collected around 340 kilos of newspaper and sold it to the scrap dealer at 10 rupees per kilo thereby raising a capital of about 3400 Indian rupees.

2. Clothes collection drive – In addition to this we also asked for old cloth items such as old

tablecloths,bedsheets,clothes etc. These would then be used for making cloth bags to be sold as


beautifully decorated , eco friendly packaging bags sold by our enterprise.

3. MRV Canteen Day – We also came up with the creative idea of celebrating a canteen day in our school. Most importantly, the biodegradable waste generated by this event could be used for composting, which would then be sold by our enterprise as fertile soil. In addition to this the Canteen Day would also generate the revenue needed to buy our tools, large compost bins and make payments to our tailor whom we will hire for stitching our cloth bags. We raised around 13,000 Indian rupees from the canteen Day.


Section J: Sustainability and Business Development

12. How will you keep your business running after this school year? E.g. We will mentor new students and pass the business onto them. (5)

1. We will involve new students in the endeavour and pass on the business to them.

2. We will build up a tradition of ploughing back the profits generated every year to maintain continuity in the business.

3. We will integrate the enterprise challenge with our School’s environmental programme to maintain continuity and keep the business running.

4. We will provide incentives like medals, certificates to students, teachers involved in the business to keep them motivated.

13. Where do you see the business in 5 years? E.g. We will grow our product range to include other vegetables and we will expand our market by selling our products in 3 new districts. (5)

We would really like to see our business grows in the next 5 years because of the social benefits which are attached to our endeavour. our plans for the same:

1. Introduction and expansion of the project in our sister concern institute at Nasik, India. 2. To undertake contract manufacturing with other schools which will help us to scale our business

and sensitize an increasing number of people towards composting. 3. We will try and approach other schools in and around our area and try to expand our firm into a

partnership venture which will help all of us to grow.

Appendix (OPTIONAL Bonus Points)

Our mission statement which defines our logo: “In MRV’s Green World we shoulder the responsibilities of our planet by being humane with nature at every step that we take to ensure the preservation of nature’s bounty.

Our Enterprise Logo


Some samples of Market Survey conducted


WILL BUY 84%

WON'T BUY 16%

ECO- FRIENDLY,

71

CERTIFICATION, 16

QUALITY, 42

LOW COST, 21

Our survey revealed that 84%

people will buy from us.

These factors are

considered by customers

while buying the

products


Market Analysis :

Who is TG? Individual, small & big garden, gardener, self and family

Price per kg? 1 kg @ Rs. 25-30

Mktg strategy?

Bio & vermi, packsize for monthly & quarterly buyers differentiate on Ecofriendly and Quality, for all types of plants

Business plan

Market research conclusion

Individual 74

Others 26 (nurseries school )

Small 68

Big 29

Gardener 24

Self 42

Other individuals 34

bio 42

Vermi 26

Other 18

do not buy 13

annually 11

half yearly 13

quarterly 21

monthly 32

fortnightly 8

anytime 61

seasonal 26

0

5

10

15

20

25

30

35

annually half yearly quarterly monthly fortnightly

The frequency of buying compost


1 kg 39

5 kg 16

10+ 26

eco 71

certific 16

quality 42

low 21

0-10 21

11-25 18

26-100 21

101+ 11

nursery 26

market 26

others 47

will buy 84

Our visits to our competitors

GREEN

GROWER


DIRT


Our student-Dhruv interviewing

Sampoorna Earth’s proprietor


Competitor Analysis Template My Business

(In this column

answer the

questions about

your business– this

will help you to

compare your

business with your

competitors!

MRV Green

World

Competitor A

Green Grower

Competitor B

Dirt

Competitor C

Sampoorna

Earth

Where is the

competitor

located? Think about

how close they are to

your business and why

they have chosen that

location (i.e. They can

attract more

customers).

Bandra

Reclamation,

Bandra West,

Mumbai.

Mahatma Gandhi Sewa

Mandir, opposite

Bandra Talao ,

S.V,Road

Bandra(w),Mumbai-50.

Rebello road,

Bandra

Reclamation.

The

competitor is

located inside

the campus of

TISS. He has

chosen this

place as he is

an alumni of

the collage and

offer services

o offices and

companies

What

product/service

do they sell? Is their product /

service the same as

yours? If so, what can

you do to be different?

Compost and

Saplings

Plants, organic manure,

pots (plastic and

ceramic).

Saplings,

compost.

Waste

management

systems, bio

gas plants and

compost pits.

What are the

competitor’s

prices? How can you go

cheaper and still make

a profit?

Compost : 35

Rupees per kg.

Saplings : 60

Rupees per

sapling

Rs 10 – 1000per

sapling, 1kg Compost

for Rs20, Bonsai plant

Rs 30000-40000.

1kg compost for

Rs 40.

Rs 25-50 for

saplings.

1kg compost

for Rs10

What are their

operating hours? Would you benefit

from being open at a

different time?

School timings:

8.a.m. to 3 p.m.

9:30 to 19:30. 11am-1pm They function

24/7.Anyone

can approach

them anytime

Who are their

customers? Are you aiming for the

same customers or is

there something about

your product that

attracts different

customers?

Parents, staff

members,

associated Met

college staff and

students, nearby

schools,

hospitals and

nurseries and

anyone who uses

Schools (Eg-Dhirubai

Ambani International

school), State bank of

India, Hospitals (Eg-

Hinduja).

Schools and

locality people.

Corporate,

hospitals and

anyone who

generates

waste.


compost.

What methods of

marketing do

they use?

Do your competitors

have adverts, events or

run promotions?

Through

pamphlets,

brouchers, social

media ,

participating in

cultural fairs,

children’s

magazines and

school magazine

Advertisements,

brochures, website, just

dial services, post card.

Social media. They have a

few online

advertisements

; they conduct

events at

places and

provide

products for

promotions.

How are they

trying to develop

or expand? This information is

helpful to know how to

remain different from

you competitor.

1.Involving other

schools in our

business

2. Expanding our

initiative in our

sister campus at

Nasik district in

Maharashtra.

By expanding and

taking up new

initiatives like

Landscaping, good

irrigation service,

vermi compost, etc.

Interacting with

more schools.

They are

looking for

people to

spread the

word about the

company and

expand their

business.

Do they have a

good reputation

locally? Why or why not? What

could you learn from

their business?

We have a good

reputation

amongst the

parents, staff and

many schools in

Mumbai for our

environment

initiatives.

Yes, famous in

Mumbai, since 17

years, serves 80-100

people a day.

Yes, people in

the area know

the place and the

activities

undertaken.

Yes quite

known for

their work

amongst their

clients.

Do they offer any

extra services? Are these things you

should consider for

your business?

Gardener service, free

services for school.

Workshops for

school going

children.

They do waste

segregation

and waste

collection.

What are their

strengths? Can you learn from

these without copying

them too closely?

Skills, space and

captive market.

Conducting workshops

in schools, educated

and skilled staff for

undertaking different

activities E.g.

horticulture staff.

Creativity, less

production of

garbage,

compost doesn’t

stink.

Their

managing

skills and

ideas.

What are their

weaknesses? Your competitors’

weaknesses can

become your

strengths!

Maintaining

continuity in

business and

competitive

prices.

Bargaining with

customers and less

profit in monsoon.

They work on a

small scale.

They are not

so well known

and have only

one branch.

What is their

Unique Selling

Point? What is

unique about their

business?

Our business

products are part

of our school

programme.

Gardening tools and

organic fertilizers.

Best out of

waste.

Their prices

are very

competitive.

How can we beat

this competitor?

Quality of our

product.


We conducted two fund-raising activities for generating our seed capital

Newspapers collected were sold to the scrap dealer

Is there something that

you can do differently,

to make you stand out

from your

competitors?

1. Newspaper Collection Drive


2. MRV Fun Food Fiesta

Students enjoyed the

delicacies prepared by all

of them


Biodegradable waste

generated in the

Canteen Day going

into the COMPOST

BINS

Care for our environment


PART TWO Financial Plan

This section will be awarded a total of 20 Points. These 20 Points will be allocated as follows:- Section A (5), Section B+C+D (5), Section E+F (5), Section G+H (5).

TOP TIP!

You may complete your Financial Plan using your local currency. Please tell us what this is, E.g. Indian

Rupees. In the template we will ask you to convert your TOTALS into US $. You can use this website to do

this: http://www.xe.co m. Remember to write down the exchange rate you are using in the box below!

Please add any extra rows to the tables where necessary.

Local Currency used (E.g. Indian Rupees)

Indian Rupees

Exchange rate to US Dollars (E.g. 1 Indian Rupee = 0.017 US $)

1 Indian Rupee = 0.01652 US $

Period of time budgeted for (E.g. 3 months)

5 months

Section A: Start-Up Budget (Estimated)

TOP TIP

Your Start-Up Budget is the costs of the Equipment and Supplies that you will need to start your business.

If you already have the products that you need to start up your business please list them here and put 0

as the Unit cost.

1. Please list all your Start-Up Costs.

Start Up Equipment Quantity Unit Cost Total Costs of your Equipment (Quantity x Unit Cost)

Compost system 1 7000 7000

Sieve 1 500 500

Computer` 2 0 0

Printer 1 0 0

Start Up Supplies/Expenses

Quantity Unit Costs Total Costs of your Supplies/ Expenses (Quantity x Unit Costs)

Seeds 25 packets 50 1250

Biodegradable waste 7 kg per day 0 0

Ready compost for saplings

1kg 0 0

Old plastic cups and bottles

150 0 0

Old fabric / cloth 500 metres 0 0

Tailoring charges 100 bags 10 1000

Total Start up Budget (Add your Total Costs Together)

Local Currency 9750

In US Dollars $

161.07

Section B: Income (Estimated)

2. Please list all the products or services that your business will sell. Please tell us the amount you


think you will sell and the price at which you will sell them.

Name of Product or service

Quantity Sales Price Sales Income (Quantity x Sales Price)

Compost 50 kg 35 1750

Saplings 100 60 6000

Eco-packaging 100 20 2000

Total Income (Add all the ‘Sales Income’ together)

Local Currency

9750

In US Dollars $

161.07

Section C: Direct Costs (Estimated)

TOP TIP

Direct Costs refer to materials, labour and expenses related to the production of a specific product or service. Don’t forget that the direct costs from your Start-Up Supplies/Expenses in Section A should be

included here too.

3. Please list all of the items you will need to buy in order to make or provide each product or service.

Name of Item Quantity Unit Cost Total Costs (Quantity x Unit Cost)

Product/Service 1 Please tell us what this product or service is here:

Compost (biodegradable)

50kg 15 750


Saplings 100 12 1200

Product / Service 3 Please tell us what this product or service is here:

Eco-packaging material

100 10 1000



Total Direct Costs (Add up all the Total Costs)

Local Currency

2950

In US Dollars $ 48.73

Section D: Gross Profit (Estimated)

4. Please calculate your Gross Profit in your Local Currency and then convert it to US Dollars $.

Calculation

Local Currency US Dollars $

Total Sales Income 9750 161.07

Total Direct Costs 2950 48.73

Gross Profit (Total Sales Income – Total Direct Costs)

6800 112.34

Section E: Indirect Costs (Estimated)

Top Tip

Indirect costs are items that you need to spend money on to run your business. However, they are not

related to the making of your product or service. E.g. Marketing or transportation costs involved in

getting your product to market.

5. Please list all of your Indirect Costs. Name of item Quantity Unit Cost Total Costs (Quantity x Unit

Cost)

Brochure 20 20 400

Pamphlet 50 5 250

Distribution 30 5 150

Bio – accelerator 1 100 100

Total Indirect Costs (Add up all the Total Costs)

Local Currency

900

In US Dollars $

14.87

Section F: Net Profit (Estimated)

6. Please calculate your Net Profit in your local currency and convert this to US Dollars.

Calculation Local Currency US Dollars $

Gross profit

6800 112.34

Total Indirect Costs

900 14.87

Net Profit (Gross Profit – Total Indirect Costs)

5900 97.47

Section G: Return on Investment (OPTIONAL)

7. Please calculate your Return on Investment (Optional)


Net Profit 5900

Total Start Up Budget 9750

Net Profit / Start Up Budget x 100 = Return on Investment (%)

60.51%

Section H: Pay Back Period (OPTIONAL)

8. Please calculate the Pay Back Period for your Start-Up Costs (Optional)

a. Budget Period E.g. 4 months 5 months

b. How many months until you make your first sales?

3 months

c. Net Profit 5900

d. Average Net Profit per month once sales have started: c / (a – b)

2950

e. Start Up Budget 9750

f. Pay Back Period: b + ( e / d) 6.30 months

Additional Comments: If you have any additional comments about your Financial Plan please put them in here:

CONGRATULATIONS on writing your Business Plan! You have completed Stage 2! Submit NOW!

business plan template stage 2 - the business start-up ......business plan template stage 2 new...

Documents