ent 300 project plan

84

Feel Good, Look Great!!!

1.0

INTRODUCTION

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1.1 INTRODUCTION TO THE INDUSTRY

We have decided to establish a company that consists of seven (7) shareholders.

Each one of them is appointed based on their experience and skill such as General Manager,

Operation Manager, Marketing Manager, Administration Manager, Financial Manager and

two trainers. The purpose of choosing the business is to provide a comfortable environment

our client where they can release their stress and refresh themselves from their busy and

heavy routine by exercising and working out at our gym.

Our proposal is to help any entrepreneur making our proposal as a guideline to the

organization in order to execute any business’s activity. Besides that, it is used to convince

certain party, for instant the bank in order to give a business’s loan. As a measure in

determining either the business is profitable or otherwise.

We hope our proposal can give more return and advantages, especially putting it to a

good use. As a company that is based on services, marketing plan is vital in order to improve

the efficiency and the company’s sale as well. We are concentrating in Wangsa Maju, Kuala

Lumpur area, and it’s surrounding within the radius of 20km from our location, as our target

market.

Our prices are reasonable and quite cheap in order to attract customers. The

reasonable price’s strategy that we implement will set the sales’ figures to increase, and this

will lead to a long term profit.

Finally, we are expecting to start our business operation on the middle of 2013

because we can ensure that everything is carefully planned. Hopefully, by that time we can

attract the attention of urban area and students from Universiti Teknologi Malaysia (UTM) and

others college as much as we possibly could.

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1.2 OBJECTIVE AND PURPOSE OF BUSINESS PLAN

1.2.1 Business Objectives

i- To provide 100% customers’ satisfaction through our facilities in 2 years’ time.

ii- To achieve 99.99% efficiency of our business facilities and activities in 3 years’ time.

iii- To obtain 80% of Malaysia’s target market through our branches in 5 years’ time.

1.2.2 Business Plan Purpose

i- As a roadmap towards building a successful business.

ii- As a guideline for our business operations.

iii- To distribute business resources more effectively.

iv- To attract bankers, lenders and investors in order to raise capital and obtain support

for the venture.

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1.3 BACKGROUND OF THE BUSINESS

Name of the Business/Company : GYM R US

Business Address : NO 2 & 4, JALAN 1/27F, KUALA LUMPUR

SUB-URBAN CENTRE, WANGSA MAJU,

53300 KUALA LUMPUR

Contact Number : 03-49607087 (fixed line), 03-49607088(fax)

E-mail : [email protected]

Form of Business : Partnership

Main Activities and Services : Provide fitness services

Date of Registration : 28th February 2013

Date of Commencement : May 2013

Business Registration Number : 5A0102693-M

Bank : Maybank

Account Bank Number : 162021474246

Total Capital Contributed from partners : RM 168, 000

Total Loan : RM 15,000

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1.4 COMPANY NAME’S DESCRIPTION, LOGO AND MOTTO

Company Name’s Description

GYM : Place for working out body & maintain fitness

R US : This gym is open to everyone. Children, teenagers and adults are welcome.

Company Logo

Logo Description

Red : Red is the colour of blood, and as such has strong symbolism as life and

vitality. It brings focus to the essence of life and living with emphasis on

survival.

Black : Shows the colour of strength and dedication of our trainees in completing

their trainings.

G : Stands for our goal & target.

Weightlifter : Showing the achievement that the trainees achieved.

M : Stands motivation.

R US : This gym is open to everyone. Children, teenagers or adults are welcome.

Company Motto

FEEL GOOD, LOOK GREAT!!!

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1.5 SHAREHOLDER BACKGROUND

1.5.1 GENERAL MANAGER

NAME OF THE PARTNER : NAIMUL AKMAL BIN CHE NAZIR

IDENTITY CARD NUMBER : 801016-10-5313

PERMANENT ADDRESS : NO 38, LORONG ENGGANG 7 KERAMAT, 43220

KUALA LUMPUR

CORRESPONDENCE ADDRESS : NO 38, LORONG ENGGANG 7 KERAMAT, 43220

KUALA LUMPUR

EMAIL ADDRESS : [email protected]

TELEPHONE NUMBER : 019-9374121

DATE OF BIRTH : 16 0CTOBER 1980

AGE : 33 YEARS OLD

MARITAL STATUS : MARRIED

ACADEMIC QUALIFICATION : 1. FOUNDATION IN SCIENCE, UM

2. BACHELOR IN SPORTS SCIENCE, UITM

3. MASTER IN BUSINESS MANAGEMENT,

UITM

COURSE ATTENDED : 1. MARKETING POWER, DR. AZIZAN

2. SEMINAR PERNIAGAAN ECPI

SKILS : ABILITY IN MANAGING AN ORGANIZATION

EXPERIENCE : 3 YEARS EXPERIENCE IN CONDUCTING SPORT

SEMINAR

CURRENT OCCUPATION : A LECTURER IN BUSSINESS MANAGEMENT, UM

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PREVIOUS BUSINESS

EXPERIENCE :

A DEALER OF GYM EQUIPMENTS DIRECTLY

FROM SUPPLIER

1.5.2 ADMINISTRATION MANAGER

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NAME OF THE PARTNER : NURHAZIRAH BINTI RUSLAN


PERMANENT ADDRESS : NO 3 JALAN PANDAN INDAH 3/8 , PANDAN INDAH ,

55100 KUALA LUMPUR

CORRESPONDENCE ADDRESS : NO 3 JALAN PANDAN INDAH 3/8 , PANDAN INDAH ,

55100 KUALA LUMPUR


TELEPHONE NUMBER : 0136574487

DATE OF BIRTH : 11 SEPTEMBER 1987

AGE : 26 YEARS OLD

MARITAL STATUS : SINGLE

ACADEMIC QUALIFICATION : MASTER IN BUSINESS ADMINISTRATION, UITM

COURSE ATTENDED : 1. SEMINAR IN BUSSINESS

2. SEMINAR ADMINISTRATING

SKILSS : ABILITY IN ADMINISTRATION

EXPERIENCE : 3 YEARS EXPERIENCE AT MAYBANK

CURRENT OCCUPATION : LECTURER AT UITM SHAH ALAM

PREVIOUS BUSINESS

EXPERIENCE :

NONE

1.5.3 MARKETING MANAGER

mailto:[email protected]

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NAME OF THE PARTNER : FARAH HIDA QISTINA BINTI MOHD SAROFIL


PERMANENT ADDRESS : LOT 4259, JALAN WANGSA MAJU, SETIWANGSA,

53200 KUALA LUMPUR.

CORRESPONDENCE ADDRESS : LOT 4259, JALAN WANGSA MAJU, SETIWANGSA,

53200 KUALA LUMPUR.



DATE OF BIRTH : 7 JANUARY 1986

AGE : 25 YEARS OLD


ACADEMIC QUALIFICATION : MASTER IN BUSINESS ADMINISTRATION,

UNIVERSITY OF SHAFFIELD U.K,

COURSE ATTENDED : SEMINAR MARKETING BY DR. AZIZAN

SKILSS : HIGH KNOWLEDGE ABOUT MARKETING

EXPERIENCE : EXPERIENCES AS ADMINISTRATION EXECUTIVE

AT KARANGCRAFT SDN BHD (2YEARS)

CURRENT OCCUPATION : LECTURER AT UTM

PREVIOUS BUSINESS

EXPERIENCE :

NONE

1.5.4 OPERATING MANAGER


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NAME OF THE PARTNER : MUHAMMAD ARIFF HUSAINY BIN MOHD JASRI


PERMANENT ADDRESS : NO 26, TAMAN KANCIL 2, LORONG SETAPAK,

43320 KUALA LUMPUR

CORRESPONDENCE ADDRESS : NO 26, TAMAN KANCIL 2 LORONG SETAPAK,

43320 KUALA LUMPUR



DATE OF BIRTH : 01 MAY 1984

AGE : 30 YEARS OLD


ACADEMIC QUALIFICATION : 1. FOUNDATION OF SCIENCE, UiTM

2. BACHELOR IN PROJECT MANAGEMENT,

UiTM

3. MASTER IN SPORTS EQUIPMENT, UPM

COURSE ATTENDED : MARKETING POWER, DR. AZIZAN

SKILS : EXPERTISE IN MACHINERIES

EXPERIENCE : WORK AS A MAINTAINING OFFICER AT INSTITUSI

SUKAN NEGARA (ISN) FOR 2 YEARS

CURRENT OCCUPATION : OFFICER IN JUNGLE GYM, ISN

PREVIOUS BUSINESS

EXPERIENCE :

NONE

1.5.5 TRAINER


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NAME OF THE PARTNER : MOHAMMAD ZHAFRAN BIN MAZLAN


PERMANENT ADDRESS : BlOK 9-4-1, JALAN PENDEKAR, KOMPLEKS

PERUMAHAN TUNKGU OSMAN JEWA, KEM

KEMENTAH, 54200 JALAN SEMARAK, KUALA

LUMPUR

CORRESPONDENCE ADDRESS : BlOK 9-4-1, JALAN PENDEKAR, KOMPLEKS

PERUMAHAN TUNKGU OSMAN JEWA, KEM

KEMENTAH, 54200 JALAN SEMARAK, KUALA

LUMPUR



DATE OF BIRTH : 2 September 1983

AGE : 30


ACADEMIC QUALIFICATION : 1. DIPLOMA IN MARKETING, LIMKOKWING

2. BACHELOR IN SPORT SCIENCE, SEGI

COLLEGE

3. MASTER IN PHYSIOTERAPHY, UM

COURSE ATTENDED : SEMINAR MARKETING

SKILSS : HIGH KNOWLEDGE ABOUT SPORTS

EXPERIENCE : HAD BEEN AN ASSISSTANT COACH

CURRENT OCCUPATION : LECTURER IN HEALTH SCIENCE IN SEGI COLLEGE


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1.5.6 TRAINER

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NAME OF THE PARTNER : ANIS ATHIRAH BINTI CHE AZUHARI


PERMANENT ADDRESS : NO 49, TAMAN WAWASAN 3/5 PUSAT BANDAR

PUCHONG, SELANGOR

CORRESPONDENCE ADDRESS : NO 49, TAMAN WAWASAN 3/5 PUSAT BANDAR

PUCHONG, SELANGOR



DATE OF BIRTH : 25 DECEMBER 1987

AGE : 26 YEARS OLD


ACADEMIC QUALIFICATION : i- FOUNDATION IN SPORT SCIENCE, UM

ii- BACHELOR IN SPORT SCIENCE

iii- MASTER IN BUSINESS

ADMINISTRATION, UITM

COURSE ATTENDED : i- SEMINAR IN BUSSINESS

ii- SEMINAR IN SPORT

SKILSS : HIGH KNOWLEDGE ABOUT SPORTS AND HEALTH

EXPERIENCE : i- 2 YEARS OF EXPERIENCE IN NAMZA

HOLDING

ii- 1 YEAR OF EXPERIENCE AS BUSINESS

LECTURER IN UiTM

CURRENT OCCUPATION : HEALTH ADVISOR

1.5.7 FINANCIAL MANAGER


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NAME OF THE PARTNER : ARTHIRAH BINTI MOHD ALI


PERMANENT ADDRESS : NO 13, JALAN CONGKAK 11/1D 40100 SHAH

ALAM SELANGOR DARUL EHSAN

CORRESPONDENCE ADDRESS : NO 13, JALAN CONGKAK 11/1D 40100 SHAH

ALAM SELANGOR DARUL EHSAN



DATE OF BIRTH : 8 AUGUST 1986

AGE : 27 YEARS OLD


ACADEMIC QUALIFICATION : i- CERTIFIED ACCOUNTING

TECHNICIAN(CAT)

ii- ASSOCIATION OF ACCOUNTING

TECHNICIAN (ACCA)

COURSE ATTENDED : NONE

EXPERIENCE : i- 2 YEARS OF EXPERIENCE AS JUNIOR

AUDITOR AT TERNST & YOUNG

ii- 2 YEARS EXPERIENCES WORKING

AT SHELL COMPANIES AS

FINANCIAL CONTROLLER

CURRENT OCCUPATION : LECTURER

1.6 PARTNERSHIP AGREEMENT


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This agreement was made between the following personnel:

NAME : NAIMUL AKMAL BIN CHE NAZIR

IC NUMBER : 801016-10-5313

POSITION : GENERAL MANAGER

CAPITAL : RM 24, 000 each

NAME : NURHAZIRAH BINTI RUSLAN

IC NUMBER : 870911-14-5202

POSITION : ADMINISTRATION MANAGER

CAPITAL : (RM 24, 000 each)

NAME : FARAH HIDA QISTINA BINTI MOHD SAROFIL

IC NUMBER : 860107-01-5888

POSITION : MARKETING MANAGER


NAME : MUHAMMAD ARIFF HUSAINY BIN MOHD JASRI

IC NUMBER : 830501-02-5101

POSITION : OPERATION MANAGER


NAME : ARTHIRAH BINTI MOHD ALI

IC NUMBER : 860808-01-6090

POSITION : FINANCIAL MANAGER

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NAME : MOHAMMAD ZHAFRAN BIN MAZLAN

IC NUMBER : 830902-10-6009

POSITION : TRAINER


NAME : ANIS ATHIRAH BINTI CHE AZUHARI

IC NUMBER : 871125-03-5086

POSITION : TRAINER


Due to this agreement of partnership, it can be stated that:

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i- This business is given GYM R US as the name, which provides services for the

consumers & the locals to exercise and work out.

ii- Each company shareholder is entitled to receive company salary and incentive as

rewards for their involvement in the company

iii- Resignation notice must be made within 30 days period before the resignation.

iv- Any decision is only accepted with the authorization from the General Manager.

v- If any shareholder want to resign or retire from the company with concrete reason,

therefore the company will return back their shares, unless, that person wants to

sell his or her shares.

For the witness of this agreement, therefore the company shareholders need to design the

agreement in front of the witness on the date when this proposal is declared.

Yours faithfully,

……………………………………

NAIMUL AKMAL BIN CHE NAZIR

831610-10-5313

GENERAL MANAGER

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2.0

ADMINISTRATION

PLAN

2.1 INTRODUCTION

2.1.1 VISION

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GYM R US is to be strong and prominent gym and fitness facilities all over Malaysia as a

quality and excellence gym and fitness services in order to fulfill and increase of market

demand to this preferred gym and fitness services by the year 2015.

2.1.2 MISSION

The mission is to be one of the companies that will be recognized by the whole world. We

also attend to serve best services with affordable price and at the same time maintain the

quality and performance, increase the technology which mainly to enhance our service

level.

2.1.3 BUSINESS GOAL

i- To extend our gym all over the main cities in Malaysia by 2015.

ii- To be the number 1 choice of gym and fitness provider for Malaysians.

iii- To educate the Malaysian about the importance of fitness in daily life.

2.1.4 OBJECTIVE

Justly to compensate the employers and owners of GYM R US.

i- Contribute to the development and growth of the country’s economy and to increase

the percentage of Bumiputera involves in business.

ii- To create productivity among employees

iii- To provide the best quality of gym & fitness services every time in order to attract

more customers.

2.2 TYPE OF BUILDING AND INFRASTRUCTURE

Among the facilities that are provided at our project site are :

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1) Office

2) Musalla

3) Toilet

We have chosen a project site which has all the necessary facilities and infrastructure

as a catalyst for the growth and development of our business, GYM R US. Our business is

situated only 15 minutes from The Curve.

Among the many infrastructures that can be seen at our project site are:

i- A good road linkages system where it can facilitate the customers to visit frequently to

our gym, purchase and engage with our services. It will also make it more convenient

for the suppliers to come and supply the equipments needed by our company.

ii- Electricity power supply has already been provided by Tenaga Nasional Berhad at

Damansara, Selangor

iii- Telephone line has already been made available by the Telekom Malaysia Berhad

and also water supply from the Syarikat Bekalan Air Selangor Sdn Bhd (SYABAS) at

Damansara, Selangor

2.2.1 OFFICE LAYOUT

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2.2.2 LIST OF ADMINITRATION PERSONNELS

POSITION NUMBER OF PERSONNEL

General Manager 1

Administration Manager 1

Operation Manager 1

Marketing Manager 1

Financial Manager 1

Trainer 2

Total 7

2.3 ORGANIZATION CHART

GENERAL MANAGER

Meeting Room

Financial Manager

General Manager

Operating Manager

Administration Manager

Marketing Manager

Trainer

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ADMINISTRATION MARKETING FINANCING OPERATINGMANAGER MANAGER MANAGER MANAGER

2.4 SCHEDULE OF TASKS AND RESPONSIBILITIES

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POSITION RESPONSIBILITIES

GENERAL MANAGER

(NAIMUL AKMAL CHE NAZIR)

To implement the strategies goals and

objectives of the organization.

With the chair, enable the Board to fulfill its

governance function.

To give direction and leadership toward the

achievement of the organization’s philosophy,

mission, strategy, and its annual goals

objectives

ADMINISTRATIVE MANAGER

(NURHAZIRAH RUSLAN)

Develop the organization’s funding base to

secure present and future service delivery.

Liaise and negotiate, as appropriate with the

funding authority and other funding sources on

future service delivery initiatives and

developments in conjunction with the

operations Manager.

Maintain appropriate relations with funders and

make reports as necessary, ensuring

compliance with any contracts.

Identify opportunities for funded development of

the service and to submit bids and applications

accordingly.

OPERATING MANAGER

(MUHAMMAD ARIFF HUSAINY BIN MOHD JASRI)

Practicing good customer serve

Using the state of art equipment and facilities

Buy equipment and facilities from a direct

dealer to get a cheaper cost

Continually monitor and improve the overall

performance of their operation

Determine the physical form, shape and

composition of products, services and

processes

MARKETING MANAGER

(FARAH HIDA QISTINA MOHD

SAROFIL)

Create marketing strategy around target fitness

segments.

Work creatively to brainstorm new ideas in the

gym market to move the brand or products

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forward while maintaining its look and feel and

overall message & identity.

Use sales forecasting and strategies planning

to ensure the sale and profitability of products,

lines, or services, analyzing business

developments and monitoring market trends.

Oversee the creation and development of

sponsorships and events/promotions initiatives

aligned to the brand, consumer, business

strategies that generate awareness for our

products

FINANCING MANAGER

(ARTHIRAH MOHD ALI)

Prepare, maintain and analyze financial and

management reports (including cash flow,

financial forecast, business plans and budgets)

in compliance with statutory and relevant

regulatory requirements.

Making sure that expenditure is less than actual

budget

Financing manager monitor cash outflow and

surplus

Responsible in deciding ratio between debt and

equity

Profit planning on proper usage of the profit

generated by the firm

TRAINER

1. MOHAMMAD ZHAFRAN

BIN MAZLAN

To instruct and coach both groups and

individuals in various exercises and activities.

Able to help their clients assess their physical

fitness level and encourage and help them set

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2. ANIS ATHIRAH BINTI CHE

AZUHARI

and reach their fitness goals.

Trainers also need to be able to apply and

teach clients specific nutritional practices.

Able to provide clients with information and

resources in regards to nutrition, weight control

and other lifestyle issues.

2.5 SCHEDULE OF REMUNERATION

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DESIGNATIONNO OF

EMPLOYEES

MONTHLY

BASIC

SALARY

EPF (12%)

(EMPLOYER)

SOCSO

(2.5%)

TOTAL

MONTHLY

(RM)

General

Manager1 800 96 16 912

Administration

Manager1 800 96 16 912

Marketing

Manager1 800 96 16 912

Operating

manager1 800 96 16 912

Finance

Manager1 800 96 16 912

Trainer 2 800 96 16 912

TOTAL 7 5600 672 112 6384

2.6 LIST OF OFFICE EQUIPMENTS AND SUPPLIES

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2.6.1STATIONARY

NO DESCRIPTION QUANTITY RM / UNIT TOTAL (RM)

1 Pen 10 each color 12 36

2 Stapler 2 2 4

3 Pencil 2 dozen 5 10

4 Marker pen 10 each color 7 21

5 Eraser 1 dozen 2 2

6 Highlighter 10 each color 6 18

7 Calculator 4 12 48

8 Gum 2 3 6

9 A4 paper 2 dozen 12 24

10 Liquid paper 1 dozen 12 12

TOTAL 181

2.6.2 OFFICE EQUIPMENT AND FURNITURE

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NO DESCRIPTION QUANTITY RM / UNIT TOTAL (RM)

1 OFFICE EQUIPMENTS

a. Computer

b. Photocopy machine

(scanner and printer)

c. Telephone

d. First aid box

e. Fire extinguisher

f. Dustbin

g. Broom set

h. Air-conditioner

i. Emergency light

j. Exit signboard

k. Fax machine

l. Notice board

3

1

1

2

1

5

1

2

3

1

1

2

1,500

4,500

80

150

250

20

20

1,750

150

300

500

20

4,500

4,500

80

300

250

25

20

3,500

450

300

500

40

TOTAL 14,465

2 FURNITURES

a. Chairs

b. Table

c. Sofa

d. Steel Drawer

e. Round Table

21

7

1 SET

3

1

90

150

1,100

150

400

1890

1050

1,100

450

400

TOTAL 4,890

2.7 ADMINISTRATION BUDGET

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ADMINISTRATIVE EXPENDITURE

Fixed Assets RM

Land & Building

Office Equipment 5,750

Furniture & Fittings 5,650

Working Capital

Salaries 5,600

EPF & SOCSO 784

Rent 1,767

Utilities Expenses 255

Other Expenditure

Other Expenditure

Pre-Operations

Deposit (rent, utilities, etc.)

Business Registration & Licences 60

Insurance & Road Tax for Motor Vehicle

Other Expenditure 4,333

TOTAL 24,199

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PARTICULARSF.ASSETS (RM)

MONTHLY EXP. (RM)

OTHERS (RM)

TOTAL (RM)

Fixed Assets

Land & Building -

-


5,750


5,650

-

-

-

-

Working Capital

Salaries 5,600

5,600

EPF & SOCSO 784

784

Rent 1,767

1,767


255

-

-

-

-

-

-

Pre-Operations & Other Expenditure

Other Expenditure -

Deposit (rent, utilities, etc.) -

-


60


-

-

Other Pre-Operations Expenditure

4,333

4,333

TOTAL 11,400

8,406

4,393

24,199

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3.0

OPERATION PLAN

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3.1 OPERATION MANAGEMENT

Operation management can be defined as the process of marshalling resources to

produce output through the transformation process. The operation process comprises three

main components, for example business input, transportation and output.

Business input refers to all resources required to produce a particular output.

Examples of input are manpower, raw materials, machines and equipment, technology,

information and capital. The transformation system refers to the activities involved in

transforming input into output. Among others, the process system involves planning of raw

materials, designing of operational process, planning of floor layout and distributing of

manpower in the organization. Output refers to the end product created as the result of

transformation process. Business output can be categorized into their products or services.

As input is transformed into output, it acquires added value, whereby the value of the output

is higher than the total input value.

Our purpose focus in operational plan is to ensure that services provided by our gym

is high quality to fulfil our customer needs and wants. With the quality, exact time and place

we planned at the lowest cost but give an optimum profit, which will avoid misspend money. It

also to recognize and list down all the materials needed to effort by making some

arrangement for the quantity and quality of material needed and recognized.

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3.2 OBJECTIVE

In a business, there should be the objectives to ensure in order to establish our own

strategy and acting as a guideline for our business project in order to ensure that all the

expectation forecast can be achieve in successful manner. We are already outlining our

business objectives and they are stated as below:

i- To ensure that the service of the business can run effectively and efficiently.

ii- To optimized the customers satisfaction and to fulfill the expectation toward the

ability to run the business.

iii- To achieve consistency and stability in our services.

iv- Help to optimize the flow of service budget in the business.

v- To ensure that the service of the business can bring the profit to our business.

vi- To make the prediction for the future and to bring success in our business.

Thus, based on those objectives, we do hope that the establishment of this business

can make the profit with the full cooperation and commitment of partners. At the same time,

we hope that our business can give the benefits to the entire society.

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3.3 OPERATION STRATEGIES

i- Using the state of the art equipment and facilities.

ii- Using customer oriented staffs.

iii- Good quality of equipment.

iv- Practicing good customer service.

v- Using multiple way of communication such as through the Internet or website.

vi- Buy equipment and facilities from a direct dealer to get a cheaper cost.

These strategies are created for many purposes, which are:

i- To ensure our service flow will be smooth and in proper condition.

ii- To fulfill the customers’ satisfaction.

iii- To provide the best quality of services to our customers.

iv- To ensure our service is in high quality and utilized efficiently.

v- Send the customer’s order on time.

vi- To have a good interaction and communication with our customers.

vii- To provide our services at the minimum cost.

viii- To achieve customer satisfaction by providing them quality services at a competitive

cost, affordable price and within a reasonable time schedule.

Thus, we hope that we can give a better and good quality of services to our

customers.

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3.4 FLOW CHART OF OPERATION ACTIVITIES

The staffs of the gym begin their routines by check all the gym equipments in the gym

↓

The process of waiting for the customers begins

↓

Staffs greet the customers when they first come to the gym

↓

Staffs will then get detail information regarding the customer,

such as the name, address, occupations, etc

↓

Staffs check the either the customer is already presented as the member of the gym

↓

Customers will then make the payment to the staffs, at the given quoted price

↓

Later on, staffs will show around the area of the gym to customers

↓

Staffs will demonstrate each step and shows them how to use

the equipment properly, step by step, from A to Z.

↓

Customers will proceed and start using the gym equipments and facilities

↓

Feedbacks are obtained from the customers, and are given to the gym staffs

↓

Customers will then leave the gym after they are done with everything

↓

The staff check on customer’s satisfaction on the services provided

↓

Staffs of the gym will store up all the gym and fitness equipments in the stores

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3.5 PROCESS FLOW CHART

Staffs check the equipments

Staffs greet the customers

Detail information is obtained

Inspect either the customer is member or not

Customers make payment

Staffs bring customer to gym area

Staff will demonstrate on using equipments

Customers start using gym equipments

Feedbacks obtained from customers

Customers leave the gym

Gym equipments are stored by staffs

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3.6 CAPACITY PLANNING

In requiring the full efficiency in production planning, it is best for first to pre-determine

the average production that can be produced for a day. GYM R US is still new in market that

has not been namely established to customer especially in Malaysia. With this, the average

marketing sale can be expected with dependence of the units produce.

60 persons x 132 minutes = 7920 minutes / 60 persons

7920 minutes240 minutes

= 33 unit equipments

Therefore, during peak hour between 8 p.m. until 12 p.m., the 33 unit of equipments can afford 60 persons of customer who exercise in our fitness centre.

3.6.1 MANPOWER PLANNING

Unit of equipment / day = 33 unit

Worker standard time / unit = 15 minute / unit

Worker productive time / day = 18 hours

Solution :

33 units

18 hours × 60 minutes\

3.7 BUSINESS AND OPERATION HOURS

× 15 minutes = 0.458 ≈ 1 worker

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Our business operations have three different session of business time. The first one

starts from 5.00a.m-12.00p.m, second 4.00p.m-6.00p.m, third 9.00p.m-12.00a.m. We picked

this time as it is the appropriate time for any company or business to start and close their

business daily. Our customers can work out freely by doing treadmill, cycling, weightlifting

and so on. They have no limitation on the duration of their work out session. Excluding the

time for general worker to take lunch and pray.

3.7.1 Business Hours

DAY TIME REST TIME REST TIME

Monday Rest day

Tuesday5.00a.m -

12.00p.m

12.00p.m –

4.00p.m

4.00p.m –

6.00p.m

6.00p.m –

9.00p.m

9.00p.m –

12.00a.m

Wednesday5.00a.m -

12.00p.m

12.00p.m –

4.00p.m

4.00p.m –

6.00p.m

6.00p.m –

9.00p.m

9.00p.m –

12.00a.m

Thursday5.00a.m -

12.00p.m

12.00p.m –

4.00p.m

4.00p.m –

6.00p.m

6.00p.m –

8.00p.m

9.00p.m –

12.00a.m

Friday5.00a.m -

12.00p.mHalf Day

Saturday5.00a.m -

12.00p.m

12.00p.m –

4.00p.m

4.00p.m –

6.00p.m

6.00p.m –

9.00p.m

9.00p.m –

12.00a.m

Sunday5.00a.m -

12.00p.m

12.00p.m –

4.00p.m

4.00p.m –

6.00p.m

4.00p.m –

9.00p.m

9.00p.m –

12.00am

3.7.2 Operation Hours

Tuesday – Saturday except Friday : 5.00a.m - 12.00a.m

Friday : 5.00a.m – 12.00p.m

3.8 LIST OF SUPPLIERS

61


TYPE SUPPLIERS

HOME GYM

3, Jalan TP3

Taman Perindustrian UEP

47600 Subang Jaya

Contact No : 03-6186525

BENCH

No.1, Persiaran Batu Nilam 1 /KS6

Bandar Bukit Tinggi 2

41200 Klang, Selangor

Contact No: 03-33458181

DUMBELL

No.1, Tingkat 2, Wisma Semantan,

Jln. Ahmad Shah, 28000 Temerloh, Pahang

Darul Makmur

Contact No: 017-9879947

THREAD MILL

No. 123, Jalan Bersatu 123,

Taman Bersatu 48000 Rawang Selangor

Contact No: 03-96133225

STATIONARY CYCLE

No 8, Jalan P/9A,

Kawasan Perusahaan Sek13,

43650 Bandar Baru Bangi Selangor

Contact No: 019-4562935

3.9 MATERIAL REQUIREMENT

61


No TypePrice per unit

(RM)Quantity Total (RM)

1 Towels 2.00 1 dozen 24.00

2 Mirror 29.90 2 59.80

3 Freshener room 12.00 2 24.00

4 Floor matt 25.00 1 25.00

5 Mineral water 19.00 5 95.00

6 Scope 6.00 1 6.00

7 Mop 12.00 1 12.00

8 Flowers 50.00 2 set 100.00

9 Pest control 65.00 1 65.00

10 Slippers 5.00 5 25.00

11 Broom 20.00 1 20.00

13 Plastic 5.00 1 5.00

14 Garbage plastic 6.00 1 6.00

15 Dutch Lady Milk 32.00 5 carton 160.00

16 Vitamin 35.00 3 dozen 420.00

17 Protein 100.00 8 800.00

TOTAL 1,846.80

3.10 SCHEDULE OF REMUNERATION

61


POSITION NO. JOB STATUS

REMUNERATION PER MONTH

EPF (12%) SOCSO (2%)

TOTAL

Cashier 2 Temporary RM 900 x 2= RM 1,800

RM 108 x 2

= RM 216

RM 18 x 2= RM 36

RM 2,052

Gym Instructor

3 Temporary RM 900 x 3= RM 2,700

RM 108 x 3

= RM 324

RM 18 x 3= RM 54

RM 3,078

Supplement Promoter 1

Temporary RM 900 RM 108 RM 18 RM 1,026

Personal Trainer

1 Temporary RM 900 RM 108 RM 18 RM 1,026

TOTAL 7 RM 6,300 RM 756 RM 126 RM 7,182

3.11 SUPPLEMENT REQUIREMENT

61


PRODUCTS PRICE NO. REQUIRED

TOTAL COST

SUPPLIER

MELTDOWN(120

CAPSULES)

RM110 15 RM 1650 MUSCLE MANIA

LIPO-6(120 APSULES)

RM 80 10 RM 800 MUSCLE MANIA

ANIMAL CUTS(42 PACKS)


HEMODRENE(60 TABLETS)


MASS FUSION (16 LBS / 7.3KG)

RM134 15 RM 2010 MUSCLE MANIA

TOTAL COST RM 8060

3.12 LIST OF MACHINE AND EQUIPMENT

61


ITEM PRICE PER UNIT NO. REQUIRED TOTAL

FIXTURES & FITTINGSAir Conditioner RM 1,200 1 RM 1,200

Wood Bench RM 250 3 RM 750

Counter Table RM 500 1 RM 500

Counter Chair RM 60 2 RM 120

Computer RM 2,000 1 RM 2,000

Wood Pigeon Hold RM 450 2 Set RM 900

RO Water Dispenser RM 200 2 RM 400

Cashier Machine RM 338 1 RM 338

Gym Mirror RM 15/sqm 12 sqm RM 180

PA System RM 2,590 1 RM 2,590

Show Room Racks RM 200 3 RM 600

TOTAL RM 9,578

GYM EQUIPMENTCable Crossover RM 10,300 1 RM 10,300

61


Dumbbell RM 3,890 2 RM 7,780

Dumbbell RM 2,890 1 RM 2,890

Smith Machine RM 8,888 1 RM 8,888

Cycle M (Exercise Bicycle)

RM 1,690 4 RM 6,760

Cross M (Crosstrainers)

RM 2,390 2 RM 4,780

Runner (Treadmills) RM 4,690 3 RM 14,070

Fitmaster (Power Exercising)

RM 2,390 1 RM 2,390

Training Bench RM 999 4 RM 3,996

Weight Bar & Disk Stand

RM 1,490 4 RM 5,950

Revised RM 998 1 RM 998

Weight Rest RM 1,290 2 RM 2,580

Gym Ball RM 26.90 2 RM 53.80

Yoga Mat RM 30.00 2 RM 60.00

TOTAL RM 71,495.80

3.13 LIST OF OPERATION PERSONNELS

61


POSITION NUMBER OF PERSONNEL

Cashier 2

Trainer & Instructor 4

Supplement Promoter 1

TOTAL 7

3.14 OPERATION LAYOUT

3.15 OPERATION OVERHEAD

61


NO

OVERHEADS AMOUNT(RM)

1 Water 100

2 Electricity 400

3 Internet + telephone bills 125

4 Depreciation 8,107.38

TOTAL 8,732.38

3.16 OPERATIONS BUDGET

OPERATIONS EXPENDITURE

Fixed Assets RM

Fixtures & Fittings 9,578

Gym Equipment 71,496

Working Capital

Raw Materials 8,060

Carriage Inward & Duty

Salaries, EPF & SOCSO 7,182

Other Expenditure

Other Expenditure

Pre-Operations





TOTAL 138,820

PARTICULARS F.ASSETS MONTHL OTHERS TOTAL

61


(RM)Y EXP. (RM) (RM) (RM)

Fixed Assets

Fixtures & Fittings 9,578 9,578

Gym Equipment 71,496 71,496

Working Capital

Raw Materials 8,060

8,060

Carriage Inward & Duty -

-


7,182


Other Expenditure -


-


130


-

-

Other Pre-Operations Expenditure 42,374

42,374

Total 81,074

15,242

42,504

138,820

61


4.0

MARKETING PLAN

61


4.1 INTRODUCTION

Marketing plan can be defined as the activities that are carried out systematically to

encourage and increase sales of products or services as long as the activities are in line with

religious and ethical practice. Marketing activities and strategies result in making products

available that satisfy customers while making profits for the companies that offer those

services.

4.1.1 MARKETING GOALS

As TECA TALORING is involved in malay traditional costume, the company is

competing with other competitors who are in similar business line. Moreover, to ensure that

our business operations are running smoothly, our company comes out with effective plans

and strategies in selling, promoting, and marketing of our product. These plans will make us

possible to get maximum profit as well as to satisfy our customers’ needs. We try to provide

and deliver quality services to the customers because we believe that the customers would

respect us if we satisfied them with an excellent quality of services and fulfil their needs and

wants.

Marketing plan is a part of a venture overall strategic effort. To be effective, these

plans must be based on the venture’s specific goals:

i. To increase our sales and get 90% profit in a year.

ii. To enter the market with the greatest performance and achievement.

iii. To promote our services as well-known, reputable and recognized to our customers.

iv. To provide a high quality services of fitness and gym at a reasonable price and

making it available to all types of customers.

v. To fulfill customers satisfaction when they engaged in our gym and fitness services.

vi. To widen our product across the nation of Malaysia, including East Malaysia (Sabah

and Sarawak).

61


4.2 TARGET MARKET

In determining target market, a business needs to first identify the product or services

to be offered. Next, the business should focus its marketing efforts by identifying the market

area and business location, collecting information and data of customer that can be used to

identify personal details of the population in the area, their lifestyle and buying habits. By

compiling these details, the business can now be divided the market into smaller groups or

segments. Below, it shows the market segments of our target market;

4.3 LOCATION OF BUSINESS

61


4.3.1 Geographic

i. We are focusing people that are staying at the rural area especially in Wangsa Maju

and Setiawangsa, because it is located within the radius of our gym. Besides that, our

gym is also accessible to anyone in Wangsa Maju and Setiawangsa region, because

Wangsa Maju, Section 5 is located at the heart of our location. Thus, making it easier

for our potential customer to come and purchase our services.

ii. Besides that, it is easier for our gym to get supplies from our supplier because

Wangsa Maju /section 5 is close to the exit of Lebuhraya Duta – Ulu Kelang exit.

4.3.2 Demographic

i. This segmentation is based on age, race, religion, gender, education, family size,

and occupation.

ii. We are focusing our target market to young people, especially students who like to

exercise and do sports because they are more likely to purchase our services.

iii. For example: Students of UTM Kuala Lumpur cannot find a place where they can

work out & exercise their body for a reasonable and affordable price. So, by opening

our gym in the heart of Wangsa Maju, it will give them the opportunity to purchase our

gym and fitness services.

4.3.3 Psychographic

i. The psychographic segmentation here in Wangsa Maju has different social class,

lifestyle, and personality that affect our market.

ii. In social class, there are high, middle, and lower class. The middle and high class are

more likely to purchase our services because of their financial position and stability.

Besides that, in lifestyle, people who love to exercise and keep their body and health

in shape, are expected to purchase our services.

61


4.4 TARGET MARKET POPULATION

Wangsa Maju

college student

famlies

employers

high school student

61


4.5 MARKET SIZE

Population in Wangsa Maju is 767,794 people. In determining the market size, a

company focused on the people who situated around 20km from GYM A US and it is

estimated to be about 80,380people. The company narrowed its focus only on student and

social class from middle and high group income which is estimate 4,019 people 5% from

80,380 people. The price per enter to be offered is RM5 per day.

Market Size = 1 day: 4,019 × RM 5 = RM 20,095

= 1 month: RM 20,095 × 30 days = RM 602,850

= 1 year: RM 602,850 × 12 = RM 7,234,200

The market size = RM 7,234,200

A survey of purchase that has been made for these four groups has been showed below:

TARGET MARKET NUMBER OF

TARGET

MARKET

MARKET PRICE

(RM)

SALES/MONTH

(RM)

SALES/YEAR

(RM)

College Student

Families

Employer

High School Student

1500

300

1700

519

5

5

5

5

225,000

45,000

255,000

77,850

2,700,000

540,000

3,060,000

934,200

TOTAL 602,850.00 7,234,200.00

Based on this survey, GYM R US estimated the market size to be RM 602,850.00 month,

that is RM225,000.00 a month from college student, RM 45,000 from families, RM255,000.00

from employers , and RM 77,850.00 from high school student. The business then proceed to

estimate the potential sales for the years as RM 7,234,200.00

61


4.6 COMPETITOR

COMPETITOR STRENGTH WEAKNESSES

Celebrity Fitness

Early existence in Wangsa Maju.

Well known among the locals and customers.

Price of services are expensive.

Gym too crowded with people.

Xtreme -Hardcore Gym

Well-known for its friendly services

Cheap price compared to celebrity fitness.

The facilities can only be used by students at night time only, identified by their students’ card.

Poor quality of equipment used in their gym facilities

GYM R US

The facilities used are all of high quality equipment with high maintenance.

Reasonable price with the high services provided.

New in the market.

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4.7 MARKET SHARE

Market share refer to the estimated potential sales of the business after taking into

consideration of the market size and competitors influences. After analysing the competitor’s

strength and weakness, GYM R US is confident it can control 15% of the market. This will

mean that the existing competitors will lose some of their market after the entry of GYM R

US.

The table below show the market share before and after GYM R US enter into the

market.

Before GYM R US Enter the Market

COMPETITORS PERCENT (%) TOTAL (RM)

Celebrity Fitness 57.5 4,159,665.00

XtremeHardcore Gym 42.5 3,074,535.00

TOTAL 100 7,234,200

57.5 %

42.5 %

Sales

Celebrity Fitness

Xtreme Hardcode GYM

61


After GYM AR US Enter the Market

COMPETITORS PERCENT (%) TOTAL (RM)

Celebrity fitness 45 3,255,390.00

XtremeHardcore Gym 40 2,893,680.00

GYM R US 15 1,085,130.00

TOTAL 100 7,234,200.00

45 %

40 %

15 %

Sales

Celebrity fitness

Xtreme Hardcore GYM

gym ar us

61


4.8 SALE FORECAST

Month Sales Collection (RM)

January 645,151.83

February 646,596.66

March 650,812.95

April 650,563.00

May 639,797.58

June 652,227.58

July 652,113.60

August 633,443.00

September 635,493.00

October 644,493.00

November 645,948.00

December 646,359.70

TOTAL 7,234,200.00

Remarks :

January

The service enters the market and the customers still do not know about the service. Our

company starts to make promotion by introducing our service to people in the target market

area, and the selling remains within the kilometre radius of the target market.

February

The sales start to increase due to the promotion made by our company. People now are

aware of our services and it has attracted many people, especially students to try our

services.

61


March & April

Sales increase due to number of people using our services and know our service through

flyers and another promotion and customer start to believe in our company to purchase our

services.

May

Sales start to decline because most of our customers which consist of university students are

having their semester break. Thus, resulting in the decline of our sale’s figures.

June & July

Sales start to climb back up because our customers which are consist of university students

are back from their semester break. Moreover, the sales boost so much due to the promotion

through social networking, blog, and direct selling. The sales also increased based on people

demand to purchase our services, and our services had built trust in them.

August

Sales decline because most of our customers are Muslim, and they start fasting because it is

the month of Ramadan. In the blessing of the month of Ramadan, most of our customers did

not come because they are doing the sunnah prayer of solat tarawih at night time.

September

Sales start to climb up a bit because the month of Ramadan already ends. The reason it

climbs up only with a few figures is because most of our customers who are Muslims are

busy with the month of Syawal.

October to December

Most of the customers feel confident with our services, increasing the demand of our

services, thus boosting the figure of our sales.

61


4.9 MARKETING STRATEGIES

4.9.1 Service Strategy

The uniqueness of our gymnasium is that we provide world class fitness facilities,

such as the weightlifter, cycling, and etc. Many of our gymnasium equipment are of high

quality with high maintenance. Moreover, some of the equipment we provide is new design

equipment’s.

Moreover, we have two separate services provided to our customers based on their

age. For adults, we provide them with a professional gym trainer, while for the teenagers; we

are provide them with a beginner/intermediate gym trainer for them, with several gym courses

specially made for them to train with.

Competition based pricing

Social NetworksFlyersBusiness Card

Wangsa Maju Section 5

Service Attributes

Service Strategi

es

Place Strategi

es

Price Strategie

s

Promotion

Strategies

61


4.9.2 Place Strategies

Wangsa maju section 8 can be classified as one of the town that has higher

population and our company is situated within that area. It is a strategic area because it is

near to residential area, universities, school and also surrounded with shopping complex. It

will be our placed for target market and in promoting our service, so the service can be

promoted to the customers easily.

Our place is completely perfect with basic infrastructure needs such as electricity,

telephone lines, and water. Our company focuses on location that has lot of residential area

around it because as starters, we can promote it to the university students and local

residents.

Wangsa Maju has a lot of residential area and it is also surrounded with industrial

places, educational institutions, and hotels which can increase our income whereby the place

we choose is strategic.

61


4.9.3 Price Strategy

Our company fixed the price based on competition based pricing. This is because

most of our competitors have the equivalent price in the market. Our company promotes a

reasonable and affordable price compared to other competitors. This is because our

company is a new company and the customer are attracted to the variety of new design

equipment that we provide which are provided with a reasonable price. It will most certainly

satisfy the customer’s demand. Other than that, our gymnasium is the cheapest among our

customers.

Gymnasiums Price

Celebrity fitness RM 12

Xtreme -Hardcore Gym RM 4.50

GYM R US RM 5

Based on our competitors, celebrity fitness gym has a higher price compared than

others. This is because celebrity fitness is one of the trusted gymnasiums and is already in

the market for a long time. Celebrity fitness provides a better quality which is costly. The

maintenance to provide the service will cause them to set up a higher price for the service.

GYM R US sets the price cheaper than celebrity fitness because this will fulfill

customers demand and people will more attracted to cheaper price. Even though our

company sets up a moderate price, but the quality of services we provided is the same to

other gymnasiums with much more attractive features.

61


4.9.4 Promotion Strategies

Promotion is method of communication by business inform, persuade, and influence

customer to rent or use our services. A promotion strategy is a very important step to

determine our organization goals on this modern period because of the ever-challenging

competitors.

Social Networking

We also promoted our gym and fitness services through Facebook, where it can reduce the

cost because of its free services. Customers can access our webpage through

http://www.facebook.com/pages/Gym-R for more information regarding our business.

In addition, they can also follow us on twitter.

61


Web site / Blog

Our company starts our promotion by make our own company web page by using blog

service. This will display advertisement about our company and also about our services. By

using blog, it does not require any cost and it also can attract teenager because most of the

them are active with blogs. In our blog, we show information about our company details,

complete with our address, price, functions and all details that will make people easier to look

at our product.

Flyers

Our company use flyers to distribute to the notice board, residential area, university, colleges.

61


Business card

Business card is very important while you are opening a business. For each of the

customer who came to our business, they are given a piece of business card that contains all

the information regarding our business, such as the name of company, address, and contact

number. The purpose to make our business card is to attract the attention of our customers to

use more of our services, and to build a long-term relationship with them.

61


4.10 MARKETING BUDGET

MARKETING EXPENDITURE

Fixed Assets RM

Signboard 2,000

Working Capital

Other Expenditure

Other Expenditure

Pre-Operations


Business Registration & Licences



TOTAL 3,345

61


PARTICULARSF.ASSETS

(RM)MONTHLY EXP. (RM)

OTHERS (RM)

TOTAL (RM)

Fixed Assets

Signboard 2,000

2,000

-

-

Working Capital -

-

-

-

-

-


Other Expenditure -


-

Business Registration & Licences -

-


-

-


1,345

TOTAL 2,000

-

1,345

3,345

61


5.0

FINANCIAL PLAN

61


5.1 INTRODUCTION

The most crucial before starting a new business is how to get the capital and how the

capital will be use. Financial system is basic thing or features in a business and it is the main

source to control the journey of a business.

A complete set of account which is related with the organization journey will be

prepared by the chosen Financial Manager; to financial statement every year. It will show the

profit or loss of our company, assets, liabilities, and the stability and growth of our company’s

financial to make it faster. Besides, financial system can give us a clearer picture about our

return of capital that will be gain or capital investment that has been done.

The information of financial plan is to gather on the input from the administrative

budget, marketing budget, and operation budget.

The objectives of financial plan are:

i- To determine the amount of money to be invested that is the project cost.

ii- To identified and propose the relevant source fund

iii- To ensure that the initial capital is sufficient

iv- As a guideline for implementation

v- To know whether the business is competitive or not

vi- To determine the potential of the business to generate profit

vii- Cash outflows and cash inflows in the business project

viii-Hire purchase installment payment

ix- Loan installment payment

Depreciation on the fixed assets

The company’s capital structure

The total cost that we need to start the business

Cost or paid up capital involves for starting the business

61


5.2 PROJECTED EXPENDITURES

ADMINISTRATIVE EXPENDITURE

Fixed Assets RMLand & BuildingOffice Equipment 5,750Furniture & Fittings 5,650

Working Capital

Salaries 5,600EPF & SOCSO 784Rent 1,767Utilities Expenses 255

Other ExpenditureOther Expenditure

Pre-OperationsDeposit (rent, utilities, etc.)Business Registration & Licences 60Insurance & Road Tax for Motor VehicleOther Expenditure 4,333TOTAL 24,199

MARKETING EXPENDITURE

Fixed Assets RM

Signboard 2,000

Working Capital

Other ExpenditureOther Expenditure

Pre-OperationsDeposit (rent, utilities, etc.)Business Registration & LicencesInsurance & Road Tax for Motor VehicleOther Expenditure 1,345TOTAL 3,345

61


OPERATIONS EXPENDITURE

Fixed Assets RM



Working Capital

Raw Materials 8,060



Other Expenditure

Other Expenditure

Pre-Operations





TOTAL 138,820

5.3 SALES PROJECTION AND PURCHASE PROJECTION

61


SALES PROJECTIONMonth 1 11,475Month 2 16,050Month 3 18,300Month 4 19,800Month 5 24,780Month 6 30,375Month 7 33,450Month 8 37,200Month 9 40,275Month 10 47,100Month 11 50,175

Month 12 53,250

Total Year 1 382,230

ToTal Year 2 420,453


PURCHASE PROJECTION

Month 1 8,060

Month 2 9,266

Month 3 9,266

Month 4 9,266

Month 5 9,266

Month 6 11,256

Month 7 14,774

Month 8 15,276

Month 9 16,281

Month 10 18,291

Month 11 21,306

Month 12 26,331


ToTal Year 2 185,503


5.4 PROJECT IMPLEMENTATION COST

61


Project Implementation Cost

Requirements Cost

Fixed Assets

Land & Building



Signboard 2,000



Working Capital 1 months

Administrative 8,406

Marketing

Operations 15,242

Pre-Operations & Other Expenditure 48,242

Contingencies 10% 16,636

TOTAL 183,000

5.5 SOURCES OF FINANCING

Sources of Finance

61


Requirements Cost Loan Own Contribution

Fixed Assets CashExisting F.

Assets

Land & Building

Office Equipment 5,750 5,750

Furniture & Fittings 5,650 5,650

Signboard 2,000 2,000

Fixtures & Fittings 9,578 9,578

Gym Equipment 71,49615,00

0 56,496

Working Capital 1 months

Administrative 8,406 8,406

Marketing

Operations 15,242 15,242

Pre-Operations & Other Expenditure 48,242 48,242

Contingencies 10% 16,636 0 16,636

TOTAL183,00

015,00

0168,00

0

5.6 BUDGET

ADMINISTRATIVE BUDGET

Particulars F.Assets Monthly Others Total

61


Exp.

Fixed Assets

Land & Building - -

Office Equipment 5,750 5,750

Furniture & Fittings 5,650 5,650

- -

Working Capital

Salaries 5,600 5,600

EPF & SOCSO 784

784

Rent 1,767 1,767


255

- -


Other Expenditure -

Deposit (rent, utilities, etc.) - -


60

Insurance & Road Tax for Motor Vehicle - -

Other Pre-Operations Expenditure 4,333 4,333

Total 11,400 8,406

4,393 24,199

61


MARKETING BUDGET

Particulars F.AssetsMonthly

Exp. Others Total

Fixed Assets

Signboard 2,000

2,000

-

-

Working Capital

-

-


Other Expenditure -


-

Business Registration & Licences -

-


-

-


1,345

Total 2,000

-

1,345

3,345

61


OPERATIONS BUDGET

Particulars F.AssetsMonthly

Exp. Others Total

Fixed Assets

Fixtures & Fittings 9578 9,578

Gym Equipment 71496 71,496

-

Working Capital

Raw Materials 8,060

8,060

Carriage Inward & Duty - -


7,182

- -Pre-Operations & Other Expenditure

Other Expenditure -

Deposit (rent, utilities, etc.) - -


130


- -


42,374

Total 81,074 15,242

42,504

138,820

61


5.7 TABLE ON LOAN AMORTIZATION

LOAN REPAYMENT SCHEDULE

Amount 15,000

Interest Rate 4%

Duration (yrs) 5

Method Kadar tetap

Year Principal Interest Total Payment Principal Balance

- - 15,00

0

1 3,000 600 3,600

12,000

2 3,000 600 3,600

9,000

3 3,000 600 3,600

6,000

4 3,00

0 600 3,600 3,00

0

5 3,00

0 600 3,600 -

6 0 0 - -

7 0 0 - -

8 0 0 - -

9 0 0 - -

10 0 0 -

61


5.8 TABLE ON DEPRECIATION OF FIXED ASSET

Fixed Asset Office Equipment

Cost (RM) 5,750

Method Straight Line

Economic Life (yrs) 10

Annual Accumulated

Year Depreciation Depreciation Book Value

- - 5,750

1 575

575

5,175

2 57

5 1,15

0 4,60

0

3 57

5 1,72

5 4,02

5

4 57

5 2,30

0 3,45

0

5 57

5 2,87

5 2,87

5

6 57

5 3,45

0 2,30

0

7 57

5 4,02

5 1,72

5

8 57

5 4,60

0 1,15

0

9 57

5 5,17

5 57

5

61


10 57

5 5,75

0 -

Fixed Asset Furniture & Fittings

Cost (RM) 5,650



Annual AccumulatedYear Depreciation Depreciation Book Value

- - 5,650

1 565

565 5,085

2 56

5 1,130 4,520

3 56

5 1,695 3,955

4 56

5 2,260 3,390

5 56

5 2,825 2,825

6 56

5 3,390 2,260

7 56

5 3,955 1,695

8 56

5 4,520 1,130

9 56

5 5,085 565

10 56

5 5,650 -

Fixed Asset Signboard

61


Cost (RM) 2,000




- - 2,000

1 200 200 1,800

2 200 400 1,600

3 200 600 1,400

4 200 800 1,200

5 200 1,000 1,000

6 200 1,200 800

7 200 1,400 600

8 200 1,600 400

9 200 1,800 200

10 200 2,000 -

Fixed Asset Fixtures & Fittings

Cost (RM) 9,578



Annual Accumulated

Year Depreciation Depreciation Book Value

- - 9,578

1 958 958 8,620

2 958 1,916 7,662

3 958 2,873 6,705

4 958 3,831 5,747

5 958 4,789 4,789

6 958 5,747 3,831

7 958 6,705 2,873

8 958 7,662 1,916

61


9 958 8,620 958

10 0 0 958

Fixed Asset Gym Equipment

Cost (RM) 71,496




- - 71,496

1 7,150 7,150 64,346

2 7,150 14,299 57,197

3 7,150 21,449 50,047

4 7,150 28,598 42,898

5 7,150 35,748 35,748

6 7,150 42,898 28,598

7 7,150 50,047 21,449

8 7,150 57,197 14,299

9 7,150 64,346 7,150

10 7,150 71,496 0

61


84


5.9 CASH FLOW PROJECTION

GYM R USPRO FORMA CASH FLOW STATEMENT

MONTHPre-

Operations1 2 3 4 5 6 7 8 9 10 11 12

TOTAL YR 1

YEAR 2

YEAR 3

CASH INFLOW

Capital (Cash) 168,000 168,000

Loan 15,000 15,000

Cash Sales11,47

516,05

018,30

019,80

024,78

030,37

533,45

037,20

040,27

547,10

050,17

553,25

0 382,230420,45

3439,56

5

Collection of Accounts Receivable

TOTAL CASH INFLOW 183,00011,47

516,05

018,30

019,80

024,78

030,37

533,45

037,20

040,27

547,10

050,17

553,25

0565,230

420,453

439,565

CASH OUTFLOW

Administrative Expenditure

Salaries 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 5,600 67,200 67,200 67,200

EPF & SOCSO 784 784 784 784 784 784 784 784 784 784 784 784 9,408 9,408 9,408

Rent 1,767 1,767 1,767 1,767 1,767 1,767 1,767 1,767 1,767 1,767 1,767 1,767 21,204 21,204 21,204

Utilities Expenses 255 255 255 255 255 255 255 255 255 255 255 255 3,060 3,060 3,060

Marketing Expenditure

Operations Expenditure

Cash Purchase

Payment of Account Payable 8,060 9,266 9,266 9,266 9,26611,25

614,77

415,27

616,28

118,29

121,30

6 142,308168,63

9185,50

3


Salaries, EPF & SOCSO 7,182 7,182 7,182 7,182 7,182 7,182 7,182 7,182 7,182 7,182 7,182 7,182 86,184 86,184 86,184

61


Other Expenditure

Pre-Operations


Business Registration & Licences 190 190Insurance & Road Tax for Motor Vehicle

Other Pre-Operations Expenditure 48,052 48,052

Fixed AssetsPurchase of Fixed Assets - Land & Building

Purchase of Fixed Assets - Others 94,474 94,474

Hire-Purchase Down Payment

Hire-Purchase Repayment:

Principal

Interest

Loan Repayment:

Principal 250 250 250 250 250 250 250 250 250 250 250 250 3,000 3,000 3,000

Interest 50 50 50 50 50 50 50 50 50 50 50 50 600 600 600

Tax Payable 0 0 0 0

TOTAL CASH OUTFLOW 142,71615,88

823,94

825,15

425,15

425,15

425,15

427,14

430,66

231,16

432,16

934,17

937,19

4 475,680359,29

5376,15

9

CASH SURPLUS (DEFICIT) 40,284(4,41

3)(7,89

8)(6,85

4)(5,35

4) (374) 5,221 6,306 6,538 9,11114,93

115,99

616,05

6 89,550 61,158 63,406

BEGINNING CASH BALANCE40,28

435,87

127,97

321,11

915,76

515,39

120,61

226,91

833,45

642,56

757,49

873,49

4 89,550150,70

8

ENDING CASH BALANCE 40,28435,87

127,97

321,11

915,76

515,39

120,61

226,91

833,45

642,56

757,49

873,49

489,55

0 89,550150,70

8214,11

4

84


5.10 PROFORMA INCOME STATEMENT

Year 1 Year 2 Year 3

Sales 382,230 420,453 439,565

Less: Cost of Sales

Opening stock 16,864 18,550

Purchases 168,639 185,503 193,935

Less: Ending Stock 16,864 18,550 19,394


151,775 183,817 193,091

Gross Profit 230,455 236,636 246,474

Less: Enpenditure

Administrative Expenditure 100,872 100,872 100,872

Marketing Expenditure

Other Expenditure




Interest on Hire-Purchase

Interest on Loan 600 600 600

Depreciation of Fixed Assets 9,447 9,447 9,447

Operations Expenditure 86,184 86,184 86,184

Total Expenditure 245,345 197,103 197,103

Net Profit Before Tax (14,890) 39,533 49,371

Tax 0 0 0

Net Profit After Tax (14,890) 39,533 49,371

Accumulated Net Profit (14,890) 24,642 74,013

61


5.11 PROFORMA BALANCE SHEET


ASSETS

Non-Current Assets (Book Value)Land & Building

Office Equipment 5,175 4,600 4,025

Furniture & Fittings 5,085 4,520 3,955

Signboard 1,800 1,600 1,400

Fixtures & Fittings 8,620 7,662 6,705

Gym Equipment 64,346 57,197 50,047

Other Assets

Deposit

85,027 75,579 66,132

Current AssetsStock of Raw Materials 0 0 0Stock of Finished Goods 16,864 18,550 19,394

Accounts Receivable

Cash Balance 89,550 150,708 214,114

106,414 169,258 233,508

TOTAL ASSETS 191,441 244,837 299,640

Owners' Equity

Capital 168,000 168,000 168,000Accumulated Profit (14,890) 24,642 74,013

153,110 192,642 242,013

Long-Term LiabilitiesLoan Balance 12,000 9,000 6,000

Hire-Purchase Balance

12,000 9,000 6,000

Current LiabilitiesAccounts Payable 26,331 43,195 51,627

TOTAL EQUITY & LIABILITIES 191,441 244,837 299,640

61


5.12 FINANCIAL ANALYSIS


LIQUIDITY

Current Ratio 4 4 5

Quick Ratio (Acid Test) 3 3 4

EFFICIENCY

Inventory Turnover 9 10 10

PROFITABILITY

Gross Profit Margin 60.29% 56.28% 56.07%

Net Profit Margin -3.90% 9.40% 11.23%

Return on Assets -7.78% 16.15% 16.48%

Return on Equity -9.73% 20.52% 20.40%

SOLVENCY

Debt to Equity 25.04% 27.09% 23.81%

Debt to Assets 20.02% 21.32% 19.23%

Time Interest Earned (26) 65 81

1 2 3

3

4

5

Current Ratios

Year

Ra

tio

61


The graph above shows the return on sales. First year is 38%. As for the 2nd year, it increases to 39%. While for the 3rd year, it increases to 40%. For each year, there is an increase of 1%.

The graph above shows the return on equity. First year is 89%. As for the 2nd year, it decreases to 49%. While for the 3rd year, it decreases to 34%. For each year, there is a decrease, but there is still return for equity.

1 2 3

-6.00%

-4.00%

-2.00%

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

Net Profit Margin

Year

Perc

ent

1 2 3

8

9

10

11

Inventory Turnover

Year

Tim

es

1 2 3

3

4

5

Current Ratios

Year

Ra

tio

61


The graph above shows the return on investment. First year figure is 1.0. As for the 2nd year, it decreases to 0.5. While for the 3rd year, it decreases to 0.3. The graph shows a decrease in debt to equity, but it is still positive.

The graph above shows the return on sales. First year is 38%. As for the 2nd year, it increases to 39%. While for the 3rd year, it increases to 40%. For each year, there is an increase of 1%.

1 2 3

53.00%

54.00%

55.00%

56.00%

57.00%

58.00%

59.00%

60.00%

61.00%

Gross Profit Margin

Year

Perc

ent

1 2 3

0

1

2

3

4

5

Quick Ratios

Year

Ra

tio

1 2 3

-6.00%

-4.00%

-2.00%

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

Net Profit Margin

Year

Perc

ent

61


Appendices

1 2 3

53.00%

54.00%

55.00%

56.00%

57.00%

58.00%

59.00%

60.00%

61.00%

Gross Profit Margin

Year

Perc

ent

1 2 3

-10.00%

-5.00%

0.00%

5.00%

10.00%

15.00%

20.00%

Return on Assets

Year

Perc

ent

1 2 3

-15.00%

-10.00%

-5.00%

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

Return on Equity

Year

Perc

ent

61

Feel Good, Look Great!!!1 2 3

-15.00%

-10.00%

-5.00%

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

Return on Equity

Year

Perc

ent

1 2 3

18%

19%

20%

21%

22%

Debts to Assets

Year

Perc

ent

1 2 3

-40

-20

0

20

40

60

80

100

Times Interest Earned

Year

Tim

es

61


APPENDIX

1 2 3

-40

-20

0

20

40

60

80

100

Times Interest Earned

Year

Tim

es

1 2 3

22%

23%

24%

25%

26%

27%

28%

Debts to Equity

Se-ries1

Year

Perc

ent

61


Picture above is the surrounding of the gym. Picture shows about the arrangement of

dumbbell.

This picture shows about the dumbbell.

61


This picture a gym trainer is show us how to use this equipment.

This is one of the equipment use.

7.0 CONCLUSION

ent 300 project plan

Documents

business facilities

business objectivesi

successful business

business operations

business resources

business registration

purpose of business

business plan purposei