etr irise laundry

FACULTY OF ACCOUNTANCY MARA UNIVERSITY OF TECHNOLOGY

(UiTM SHAH ALAM)

BUSINESS PLAN

PN. BEDAH AHMAD EN. MOHD ALIBAHARI PN. NORILMAH AZIS

SUBMISSION DATE : 04 SEPTEMBER 2002

WARDATUL RAIHAN BINTI AHMAD 2000576516 KAMARIAH BINTI BAHARIN 2000575758 HASRAUMMI BINTI HARON 2000575701 WAN NURUL HAFIZA BINTI W. MAHMOOD 2000576475 SHAHIDA HANNANI BINTI ABDUR RAFAR 2000576283

1. EXECUTIVE SUMMARY

2. BUSINESS PLAN PURPOSES

3. COMPANY BACKGROUND a.Background of company b.Partnership agreement c.Business logo

4. PARTNERS BACKGROUND

5. ADMINISTRATION PLAN • Job description • Schedule of remuneration • List of office equipment • Office layout • List of administration budget

6. MARKETING PLAN • Service description • Target market • Market size • Main competitors • Market share • Sales forecast • Marketing strategy • Marketing personnel • Schedule of remuneration • Marketing budget

7. OPERATION PLAN • Operation process • Process flow chart • Capacity planning • Material requirement • List of personnel • Schedule of task and responsibilities • Schedule of remuneration • Machine and equipment • Operation space layout • Location • Operation budget

8. FINANCIAL PLAN • Project implementation cost • Source of financial schedule • Loan amortization schedule • Hire purchase repayment schedule • Cash flow statement • Profit and loss account • Balance sheet

9. APPENDIX

1. EXECUTIVE SUMMARY

Irise Laundry is a business of laundry and the business will be started on Is January 2003.

Services that will be provided are normal washing, express dry cleaning, ironing, comforters and

curtains. This business location is situated at No.8, Jalan Pinang E18/ E Section 18,40 000 Shah

Alam, Selangor Darul Ehsan. This location is situated in resident areas. Therefore, it will have a

great potential market for this business. Besides that, this area is near Akasia and Cemara

College. Moreover, it has less competitors as compared to other business and services.

This year economic situation is more stable, therefore we expect that in 2003 Malaysia's

economic will continue to growth. As the country prospers, more people are employed, making

standard living of people in Malaysia getting better each year. Furthermore our ways of thinking

has changed people no longer assume that laundry is only necessary for wealthy society.

We believe that our business have potential in this millennium especially in urban area

because people are busy with studies and works. As the consequences they have limited time to

do house chores like washing clothes. Therefore they prefer to send their clothes to the nearest

laundry shop. Related to this situation, we focus to students and residents of Section 18, Shah

Alam.

Another factors that influencing us to choose this laundry services is because lack of

competitors in Section 18, Shah Alam making it easier for us as a new entrepreneur to engage in

the business because this service do not require large capital and professional workers.

1.1 Internal Goals

• Able to train and develop skills of the workers especially their communication skill such

as relation between staffs in a business.

1

• Maintain good working environment where close interaction flow from top-

level management to the lower level with good communication standard.

1.2 External Goals

• To cover all the expenses in two years

• To be an established company by another two years

• To be able to offer varieties of services to all customers relate to their needs and wants.

1.3 Business Objectives

Below are some of the objectives of Irise Laundry services:

• An introduction of services to compete with other operators as well as to establish a

strong foothold in the laundry market services.

• To create a new perception towards services especially about it benefit and the quality

• Provide high quality and well establish services to attract people especially those

workaholics.

• Less the community burden and give a little bit welfare contribution.

1.4 Goals

Setting a goal can be a crucial decision for company, as the management would have to

determine the direction of the company towards reaching. It should reachable and within the

capacity and reach of the company. We are dividing the goals into 2 areas, namely:

• Internal goal that could be achieved through the internal planning training and prudent

strategy.

• External goals that could be attained through smart partnership, strategic marketing and

promotion.

2

2. BUSINESS PLAN PURPOSES

Purpose of business plan:-

• This business plan is prepared by Irise Laundry to obtain a loan for the amount of

RM 20735.06 from BankRakyat.

• Profit selling forecast have to be expected objectively and critically so that the

plan can be practical.

• Besides, the project have to evaluate project viability and growth potential that

can be solve any problems later in business and decrease the business's risk.

• It also will be a guideline for workers in order to know their jobs, functions and

their responsibilities thus a good relationship between workers can be created.

• This business plan also will enable other external investors like shareholders,

banks and supplier to invest in our business.

• It also enable us to carry out a survey to indicated whether the plan can achieve

success or not. This plan will be studied thoroughly from every aspect so that it

can be perform practically.

3

3. COMPANY BACKGROUD

Business Name

Business Address

Correspondence Address

Phone number

Form of the business

Email Main activities

No.of registration

Date of commencement

Initial own capital

Irise Laundry Services

No.8,JalanPinangE/!8;

Section 18, 40000 Shah Alam,

Selangor Darul Ehsan.

No. 8,JalanPinangE/18,

Section 18,40000 Shah Alam,

Selangor Darul Ehsan.

03-21240336/37

Partnership business

Irise @ chek.com

Normal washing, dry cleaning, ironing, comforters

And curtains.

Work in progress

1 January 2003

Partners Contribution :- RM 100,000

1. Wardatul Raihan Bt Ahmad RM 20,000

2. Kamariah Bt Baharin RM 20,000

3. Wan Nurul Hafiza W. Mahmood RM 20,000

4. HasraummiBtHaron RM 20,000

5. ShahidaHannaniBtAbdurRafar RM20,000

Name of bank Bank Rakyat

4

http://chek.com

3.1 PARTNERSHIP AGREEMENT

1) Parties to the agreement

i. Wardatul Raihan Bt Ahmad 831018-03-5330

ii. KamariahBaharin 830207-01-5684

iii. Wan Nurul Hafiza W. Mahmood 831001-03-5828

iv. Hasraummi Haron 830406-10-5420

v. ShahidaHannaniAbdurRafar 830915-06-5276

2) Nature and place of business

• Partners had agreed to carry on the business of laundry services activities.

• The business will be operating at No.8, Jalan Pinang C 18/ C Section 18, 40

000 Shah Alam, Selangor Darul Ehsan.

3) Firm Name

• The firm name that has been agreed between partners and registered under the

Registration of Business is Irise Laundry.

4) Duration of Partnership

• The partnership business will be commencing on 1 January 2003

5) Provision of Capital

• All partners agreed to contribute the capital to the partnership business as follows:

Wardatul Raihan Bt Ahmad RM 20,000

Kamariah Baharin RM 20,000

Wan Nurul Hafiza W. Mahmood RM 20,000

Hasraummi Haron RM 20,000

Shahida Hannani Abdur Rafar RM 20,000

5

6) Division of Company and Profits

• It is being agreed between partners to the division of capital, profits and losses in the

proportion as follows:-

Wardatul Raihan Ahmad 1 IS

Kamariah Baharin 1/5

Wan Nurul Hafiza Wan Mahmood 1/5

Hasraummi Haron 1/5

Shahida Hannani Abdur Rafar 1 IS

7) Partnership Property

• All property and rights and interest in property originally brought into the partnership

stock or acquired whether by purchase / otherwise on accounts of the firm or for the

purposes and in the course of the partnership business are called partnership property

and must be held and applied by the partners exclusively for the purposes of the

partnership and in accordance with the partnership agreement.

• Property bought with money belonging to the firm is deemed to have been bought on

account of the firm.

8) Movement of Business

Wardatul Raihan Bt Ahmad

Kamariah Baharin

Wan Nurul Hafiza W. Mahmood

Hasraummi Haron

Shahida Hannani Abdur Rafar

-General Manager

-Administration Manager

-Operational Manager

-Marketing Manager

-Financing Manager

9) Methods of Dissolving a Partnership

• Due to the death or bankruptcy of any partners will cause a partnership to be

dissolved.

• However the partners are advised to continue the firm activities in the event of death

or bankruptcy

10) Change in the Firm

• All partnership is able to introduce a new member and it is necessary to make

provisions for a retiring partner or agent of deceased partners to appoint another as a

new partner.

PARTNERSHIP AGREEMENT CERTIFICATION

This agreement dated on 1 October 2002 between

Name i/c no

1.

2.

3.

4.

5.

WARDATUL RAIHAN BINTI AHMAD

KAMAMAH BINTI BAHARIN

HASRAUMMI BINTI HARON

WAN NURUL HAFIZA BINTI W.MAHMOOD

SHAHIDA HANNANI BINTI ABDUR RAFAR

831018-03-5330

830207-01-5684

830406-10-5420

831001-03-5828

830915-06-5276

Addressed at No.8,Jalan Pinang E 18/E,Seksyen 18,40000 Shah Alam, Selangor.We are

agreed to fulfill all requirement that is stated in the agreement.

AND as partners, we are liable and responsible on any profit or loss made by the

company.

HERE, it is agreed and certify about the folio wings :-

1) This business is named as Irise laundry which carries business on laundry

service

2) Total equity is RM300735.06 including loan amounted to RM20735.06

3) Each partner has shares amounted to RM20000

4) Partners are entitled to receive monthly salary from this business's activities

5) Liabilities on assets, profit and others which related to business is shared equally.

6) Retirement notice must be issued within 30 days from the retirement date.

7) If there is any misunderstanding between partners, decision is based on majority

of partners.

8

Partners:

(WARDATUL RAIHAN BINTI AHMAD) (KAMARIAH BINTI BAHARIN)

IP €| Mn (HASRAUMMI BINTI HARON) (WAN NURUL HAFIZA BINTI W. MAHMOOD)

(SHAHIDA HANNANI BINTI ABDUR RAFAR)

Witnessed by:-

fflMU

(SH^MEEN BINTI IDRIS)

$#u (SITIFATIMAH BINTI JOOLKEPRI)

9

COMPANY'S LOGO

We agree to pick jersey as our logo main body. The clipper symbolized the mutual trust and

confidence that exist among of all the partners. Bright is chosen to represent our hope for bright

future. Reasons why those color are chosen are explain below:

RED - Represent our willingness to bear the risk by involving in this type of

business

YELLOW - This royal color shows that we offer first class services to the customer

BLUE - Represent inter-group unity that exist between us

WHITE - It is our priority to maintain the cleanliness of our customer's garment

10

4. PARTNERS BACKGROUND

4.1 GENERAL MANAGER

Name

Identity card no

Permanent Address

Correspondence address

Telephone

Date of Birth

Age

Marital Status

Academic qualification

Course Attended

Skills

Experiences

Present Occupation

Wardatul Raihan bt Ahmad

831018-03-5330

Simpang Tiga, Kg.Alor Pasir,

16250 Wakaf Bharu,

Kelantan.

No 31 Man Limau Madu 11/2G

40100 Shah Alam

Selangor

012-9289682

18 October 1983

26 years old

single

Degree In Accountancy

(University Technology of MARA)

Seminar On Management

Computer and IT conference

Expert in international currency

analysis and business administration

Administration manager for 2 years at EON Bhd and

auditor at audit firm for one year.

Accountant

11

4.2 ADMINISTRATION MANAGER

Name

Identity card no

Permanent Address


Telephone

Date of Birth

Age

Marital Status


Course Attended

Skills

Experiences

Present Occupation

Kamariah Binti Baharin

830207-01-5684

83,(F)PalongTimor2,

85100 BatuAnam,

Segamat, Selangor

No 1, JalanResberi

47500 PetalingJaya

Selangor Darul Ehsan

017-7893584

07 February 1983

26 years old

single

Degree In Accountancy


Seminar On Administration

Management

Program Usahawan Muda

Computer Literate and Able to speak Mandarin

Auditor at Iskandar Sdn. Bhd

Lecturer at UiTM Shah Alam

12

43 OPERATION MANAGER

Name

Identity card no

Permanent Address


Telephone

Date of Birth

Age

Marital Status


Course Attended

Skills

Experiences

Present Occupation

Wan Nurul Hafiza Bt W.Mahmood

831001-03-5828

Lot 181,TamanSeri,

Pengkalan Chepa,

16100 KotaBharu

Kelantan

No 32 Jalan Limau Nipis 11/4G

40100 Shah Alam

Selangor Daml Ehsan

019-2451669

01 October 1983

26 years old

single

Degree In Accountancy (University

Technology of MARA)

Seminar On Managemant

Seminar In Business Management by

Kementerian Keusahawanan

Able to speak English and Mandarin

Part time worker in laundry services


Assistant Financial Manager in F&N Coke (M) Sdn

Bhd.

13

4.4 MARKETING MANAGER

Name : Hasraummi binti Haron

Identity card no : 830406-10-5420

Permanent Address Jalan Iskandar,Kg Bkt Kapar

42200 Kapar

Selangor

Correspondence address No 32 Jalan Limau Barli 11/6G

40100 Shah Alam


Telephone 013-6024149

Date of Birth 06 April 1983

Age 26 years old

Marital Status single

Academic qualification : Degree In Accountancy


Course Attended Seminar On Managemant


Skills Able to speak in Japanese and Computer Literate

Experiences Sales Promoter at Jaya Jusco for one year

Marketing Executive at Fujitsu for 2 years.

Present Occupation : Marketing officer

14

4.5 FINANCIAL MANAGER

Name Shahida Hannani Binti

Abdur Rafar

Identity card no 830915-03-5586

Permanent Address : G 179,Batu Satu,

28000 Temerloh.

Correspondence address : No 31 Jalan Strawberi 11/2G

47500 Subang Jaya


Telephone : 012-9559209

Date of Birth 15 September 1983

Age : 26 years old

Marital Status : single

Academic qualification : Degree In Accountancy(University

Technology of MARA)

Course Attended Seminar On Managemant

Seminars In Business And Financial Mgt

Skills CPR, Computer Skill, Able to speak English

And Malay fluently.

Experiences Auditor at Megat Sdn. Bhd for 2 years

Present Occupation Accountant

15

W WARDATUL RAIHAN AHMAD

(GENERAL MANAGER) 0129289682

No.8, Jalan Pinang C, 18/C, Seksyen 18, 40000 Shah Alam, Selangor Darul Ehsan.

Tel:0321240336/37 Email: [email protected]

4

KAMA RXAH BAHARIN (ADMINISTRATION MANAGER)

0177893584



-rffi HASRAUMMI HARON

(MARKETING MANAGER) 0136024149

No.8, Jalan Pinang C, 18/ C, Seksyen 18, 40000 Shah Alam, Selangor Darul Ehsan.


WAN NURUL HAFIZA W. MAHMOOD (OPERATION MANAGER)

0192451669



SHAHIDA HANNANZ ABD RAFAR (FINANCIAL MANAGER)

0129559209



16

mailto:[email protected]





ADMINISTRATION PLAN

5. ADMINISTRATION PLAN

5.1 ORGANIZATION CHART

GENERAL MANAGER

Wardatul Raihan Ahmad

1 '

ADMINISTRATION MGR ir

OPERATION MGR T

MARKETING MGR v

FINANCIAL MGR

Kamariah Baharin Wan Nurul Hafiza W: Mahmood

Hasraummi Haron Shahida Hannani Abdur Rafar

STAFF 1

SUPERVISOR

TECHNICIAN

ACCOUNT CLERK

STAFF 2

5.2 JOB RESPONSIBILITY

Position: General Manager - Administration Plan

Administration Manager - Administration Plan

Marketing Manager - Marketing Plan

Operation Manager - Operation Plan

Main Responsibilities: > Conduct all parts in the business

organization that is Administration, Financial, Marketing and Operation,

> To make sure business rum smoothly. > To create strategy and future planning

in meeting at the company management. > To make decision in any problem that

company occurs while running the business.

> Receive report from Administration, Financial, Marketing and Operation.

> Alert of any planning for the business as detail as possible.

> Manage the company asset expenses, monthly expenses and other expenses.

> Responsible to everything happen in the company while operating business.

> Responsible to workers salaries, medical leave and emergency leave.

> To employ workers according to they is education qualifying.

> Research on customers, needs, desire and satisfaction to increase the company's profit.

> Try to fulfill the desires and needs of the target market.

> Prepare the marketing strategy and sale forecast.

> To make sure that the production department run smoothly.

> Arranged the production schedule regarding the to the order and production.

> Ensure all production activities goes follows the schedule as arranged.

> Have to ensure all machines and tools for production department runs very well and always provide good maintenance service.

Financial Manager - Administration Plan

Production Supervisor - Operation Plan

Staffs - Operation Plan

Technician - Operating Plan

> Manage all the business financial activities.

> Check, control and kept account from time to time.

> Ensures that the accounting system in the financial division of company provides reports and statements needed

> for planning, controlling, and decisionmaking.

> Make a financial analysis based from Financial Accounting and Management Accounting.

> To make sure the production process follows the required standard and specific methods

> Cooperate with marketing department to gain information about latest marketing strategy and customer desire.

> To make sure that all of the services follows the standard requirement and quality before give back to customers.

> Manage all the operation flow every day.

> Taking care of electricity problem > Repairs any machine breakdown > As a temporary worker

53 SCHEDULE OF REMUNERATION

NO

1

2

3

4

POSITION

General Manager Administration Manager Financial Manager Account Clerk

NO OF WORKERS 1

1

1

1

MONTHLY SALARY 1200

1200

1200

600

EPF (13%)

156

156

156

78

SOCSO (2%) 24

24

24

12

19

5.4 LIST OF OFFICE EQUIPMENT

NO

1 2 3 4 5 6 7

ITEM

Meeting Table Table Chan-Computer Sofa Fax Machine Telephone Total

QUANTITY

1 2 6 1 1 1 1

PRICE/UNIT

500 200 60 2500 800 500 100

TOTAL PRICE 500 400 360 2500 800 500 100 5160

5.5 LIST OF ADMINISTRATION BUDGET

TYPE

Capital Expenditure/ Fixed Asset Monthly Expenses:

Salary Telephone Stationery EPF SOCSO

Other Expenses: Insurance Deposit:

Rental Water Electricity Telephone

Preliminary Expenses: Business Reg. Legal Fee Stamp Duty

Total

FIXED ASSET COST (RM) 5160

5160

MONTHLY EXPENSES (RM)

4200 150 50 546 84

5030

OTHER EXPENSES (RM)

2000

2000 100 100 120

60 50 50 4480

OFFICE PLAN LAYOUT

RACK

o o TABLE

o o CHAIRS

COMPUTER

FAXM/

8ffl

iCH] [NE/PHONE

LA AJ

I I

ENTRANCE

MARKETING PLAN

M JOT

^dilli 1 1 1

6. MARKETING PLAN

6.1 SERVICE DESCRIPTION

Nowadays, demand for laundry is increasing as more people especially in urban area have

limited time to do house chores like washing clothes. Most of working people and student work

in office or study in college from morning till night .Therefore, they prefer to sent their clothes to

the nearest laundry shop. Other than that, normal washing machine that used in house has no

capacity to wash comforter, curtain and certain type of garment such as Korean silk, velvet and

blazer. These garments can only be clean through dry cleaning.

Therefore, Irise laundry provided four types of services to satisfy the customer's

demand. The services comprise of normal wash, ironing, dry cleaning, and curtain/ comforter

shampooing, all at reasonable price. All of these services are operated under the same premises.

For normal washing, the clothes will be folded or ironed and hanged depending on the

customer's order. For ironing services, customers can bring their own hanger or buy it from the

laundry shop. As for dry cleaning, the clothes will be hanged and covered with plastics and for

curtain and comforter, they will be ironed before folded and put inside plastic bags.

Our main target is to have most customers sending their clothes for normal washing and

ironing during school days and work days. As for dry cleaning service, we targeted to have most

customers during school holidays because many occasion such as wedding and company annual

dinner are held during these days. Lastly, more customers will sent their curtain and comforter a

month before festive season such as Hari Raya Puasa, Chinese New Year, and Deepavali. This

is because, they want to tidy up the house for the special occasion .Besides that, the services is

performed by Muslim workers, so it is suitable for all kind of customers including the non -

Muslim.

22

6.2 TARGET MARKET

Target market is groups of customers that have needs and wants that can be satisfied by

the business through the supply of goods or services. The key factors that affect target market are

geographic, economic and demographic factor.

Geographic factor means that it depends on the location of the business and area

surrounding it. Irise laundry is situated at Section 18, Shah Alam .This area consist of

residential area. Therefore, under this factor, Irise laundry target market is the residents of

Section 18 and also residents of Akasia and Cemara College.

Economic factors relate to the income of the population. The Section 18's resident are

mainly middle -class people .Therefore, our target market range from customers with income

from RM 2000 to RM 5000. As for the students who staying in Akasia and Cemara College,

most of them are sponsored students. To attract them, Irise laundry offered special price for

students. That is our main target market range from students who has pocket money amounted

from RM 300 to RM 500 per month.

Demographic factor is mainly concerned about characteristic of human population or

specific segments of the population. Nowadays, people especially in urban area are busy with

work or study and they have limited time to do their house chores like washing clothes. Most of

the residents of section 18 are working people and student. Thus, laundry is the most favorable

alternative for them.

23

63MARKET SIZE

Market size refers to total potential purchase of target market including competitors's

services or products within the same market. Competitors are other businesses who offer similar

services or products to the same target market.

We manage to do some assumption concerning market size after collecting relevant

information from 3 competitors, residents of section 18, Shah Alam and students of Akasia and

Cemara College. Below is the total of potential sales for all the laundry shop in Section 18, Shah

Alam.

6.3.1 .Normal washing, comforter and curtain services

Student 60%

Non student 40%

Average customer per day = 40 person

Average unit of sales (kg) per month

Target

Market

Student

Non - student

No. of customer

per day

24

16

No. of customer per

month (30 days)

720

480

Unit (kg) per

visit

6

12

TOTAL

Total (kg) per

month

4320

5760

10,080

Normal washing 50% Comforter 40% Curtain 10%

24

Average sales (RM) per month

Services

Normal washing Comforter Curtain

Average sales (kg) per month

10,080 10,080 10,080

Percentage ofservice ( % )

50 40 10

Average sales (kg) per service

5,040 4,032 1,008

Price (RM) perl kg

1.71 4.00 3.50

TOTAL

Total (RM)

8,618.40 16,128 3,528

28,274.40

6.3.2 Ironing and dry cleaning services

Student 20% Non student 80% Average customer per day = 30 person

Average unit of sa Target Market

Student Non - student

es (piece) per mont No. of customer per day

6 24

l

No. of customer per month (30 days)

180 720

Unit (piece) per visit

6 12

TOTAL

Total

1,080 8,640 9,720

Ironing 30% Dry cleaning 70%

Average sales (RM) per month

Services

Ironing Dry cleaning

Average sales per month

9,720 9,720

% of services share

30 70

Average sales per service

2,916 6,804

Price (RM) per piece

1.20 5.00

TOTAL

Total (RM)

3,499.20 34,020

37,519.20

Total Market size = 28,274.40 + 37,519.20 = RM 65,793.60

25

6.4 MAIN COMPETITORS

EXCEL COOL LAUNDRY

STRENGTH • provide good services • Have regular customer • Large premise

SUTERA SUCILAUNDRY

STRENGTH • Reasonable price •Have regular customer • Strategic location

HAZKLEEN LAUNDRY

STRENGTH • Strategic location • offered carpet shampooing services •Reasonable price

IRISE LAUNDRY

STRENGTH • Owned dry cleaning machine (make dry cleaning services more efficient) • clean and friendly environment with good services • Reasonable price • Large premise : beautiful decoration

WEAKNESSES • Prices are slightly high • Premise layout is not suitable

WEAKNESSES • Limited space • Dirty environment • No dry cleaning service

WEAKNESSES • Limited space: packed with furniture • Not enough worker • Services are quiet slow

WEAKNESSES • Newly opened and not yet established in

the area • Located quiet far from the main road

• Lack of experience

26

6.5 MARKET SHARE

Below are the operations of market share for irise Laundry before and after the business entered into the market in percentage.

" Percentage of market share before the entering of irise Laundry

No.

1 2 3

Competitors

Excel cool Laundry Hazkleen Laundry Sutera Suci Laundry

TOTAL

Monthly Sales expectation

26,317.44 21,711.89 17,764.27 65,793.60

Market share (%)

40 33 27

100

Percentage of market share after the entering of irise Laundry

No.

1 2 3 4

Competitors

Excel cool Laundry Hazkleen Laundry Sutera Suci Laundry Irise Laundry

TOTAL

Monthly sales expectation

21,053.86 17,106.24 14,474.50

13,159 65,793.60

Market share (%)

32 26 22 20

100

Percentage of market share losses

No.

1 2 3 4

Competitors

Excel cool Laundry Hazkleen Laundry Sutera Suci Laundry Irise Laundry

TOTAL

Loss of market share (%)

8 7 5 -

17

New Market share (%)

32 26 22 20

100

27

6.6 SALES FORECAST

Months 1 2 3 4 5 6 7 8 9 10 11 12 Year 1 (2003) Year 2 (2004) Year 3 (2005) TOTAL

Total Sales(kg) 1407 2612 1769 1809 1848 2008 1407 2250 2371 1407 2612 2612

24112 31344 40746 96202

Total Sales(piece) 2047 3802 2574 2632 2691 2925 2047 3276 3451 2047 3802 3802

35096 45633 59324

140053

Total Sales(RM) 9,211

17,107 11,580 11,843 12,106 13,159 9,211

14,738 15,528 9,211

17,107 17,107

157,908 205,280.40 266,864.52 630,052.92

6.6.1 SALES FORECAST DESCRIPTION

Figure of total sales are determined base on the experience of our competitor and

assumption made by the marketing manager base on information collected from

competitor.

January

Base on competitors' experience, our sales for January is approximately RM 3000

because the laundry shop is just opened. People are not fully aware of the shop existence;

therefore we are planning to do aggressive promotion during this month.

February

Sales increase by 30% because Chinese New Year takes place in this month. This is

simply because demand for laundry rise during festive season as people busy to clean up

the house (specifically carpet and comforter) and also garments that can only be cleaned

through dry cleaning such as velvet, animal fur, and silk.

March until October

During these months, as the shop becomes the attention of the target customer, sales will

increase by approximately 15% every month respectively. However , sales for the month

of July and October will approximately fall by 30% because during these month, student

in Akasia and Cemara College is on semester holiday.

November

During the month, Malaysia celebrates Deepavali and therefore helps increase sales by

approximately 30%

December

Sales will also increase by 30% as Hari Raya Puasa fall in this month.

29

We assume that our sales for the second year and third year of operation will likely rise

by 30%' every year. We believe that our target market will start to change their

preference to our laundry throughout the year. With reasonable price and efficient

services, target market will preferably choose and trust irise laundry better that the

competitor.

30

Market Share Before Irise Enter The Market

2 7 % 4 0 % • Excelcool

• Hazkleen • Sutera Suci

3 3 %

Market Share After Irise Enter The Market

20%

22%

32%

26%

rj Excelcool • Hazkleen • Sutera Suci • Irise

-IQfif IOUUU

16000 -

14000

12000 -

10000

8000

6000

4000

2000

u

Sales forecast on first year

i ]

, n n

1 1 1 i i i i

— „ — , — -

i a ! I I I I I I I I I I I

1 2 3 4 5 6 7 8 9 10 11 12

Months • Month • I Total sales(kg)

D Total sales(piece) • Total Sales(RM)

Sales Forecast (2003-2005) 300000

250000

200000

150000

100000

50000

0

, — _

—

. _

J £

~ —

Y Year

• Total sales(kg) D Total sales(piece)

D Total Sales(RM)

33

6.7 MARKETING STRATEGY

The main objective of developing marketing strategies is to generate sales. As

irise laundry is newly operating business, we need aggressive marketing strategies to

introduce the laundry shop to the public.

There are several strategies that will be implemented for above stated reason. It

comprises of Service strategies, Price strategies, Promotion strategies, and Place and

distribution strategies.

• Services strategies

Our business offered services which are normal washing, ironing, dry cleaning,

and curtain/ comforter cleaning. Our way of work is coordinated and very systematic so

there is less risk of customer loosing clothes or mistakenly got other people clothes.

Moreover, we are the only laundry shop in section 18 who owned dry cleaning machine.

This has become major advantage for irise laundry because our dry cleaning service is

cheaper and faster than other laundry shop.

Other strategy is to provide a very friendly environment and very good services.

To guarantee satisfactory, we use high quality washing soap powder and special

decorative plastics to covered hanged clothes. Irise laundry also recruited only Muslim

staff for operating department. This matter is emphasized because Muslim customer is

very concerned about how their clothes being treated. Some customer could be very

choosy as they want their clothes to be washed only by Muslim.

• Price strategies

Generally, irise laundry uses the available market price but for students, we

provide new set of price that is only valid for normal washing and comforter. This is to

entice students to send more clothes to our laundry. Unlike other laundry shops who use

standard price for all type of comforter, irise laundry charged customer based on the weight

of their comforter. This strategy is extremely attractive and it has been forecasted to

attract many customers in future.

34

• Promotion strategies

An attractive signboard will be put in front the laundry shop complete with

colorful neon lamp to highlight the signboard at night. To promote the laundry shop to

the students, a banner will be hanged on the college fence. Furthermore, we will

distribute cute mini book marks that content our business name and location to the

students. As for the residents of Section 18, Shah Alam, we will also hanged banner on

the side of main road and distribute simple flyers to the target market area .We also

provide business card for customers so that it will be easier for them to introduce our

business to family and friends. (Sample are shown in the appendices) .

• Place and distribution strategies

Irise Laundry is located near college and residential area. So, it is convenience

for the students who majority does not have own transport to send their clothes. Our shop

is also located near to the Giant Hypermarket which is the centre attraction of Section 18,

Shah Alam. Therefore, our customers have no difficulties to find car park.

35

6.8 MARKETING PERSONNEL

As irise laundry is only a small business, we do not need many marketing

personnel. So, only one of the partners will be in charged on marketing and will be

helped by the other partners.

6.9 SCHEDULE OF TASK AND RESPONSIBILITY

No.

1

2

3

4

5

Position

Marketing manager

Marketing manager

Marketing manager

Teamwork

Teamwork

Task and responsibilities

Look out for ideas and promotions that can

generate sales without having to consume so much

cost.

Ensuring the price of services is affordable and

marketable.

Design and create attractive flyers , banners and

signboard

Distribute flyers to residents of Section 18, Shah

Alam and students of Akasia and Cemara College

Seeking opportunities to expand the business in

future

6.10 SCHEDULE OF REMUNERATION

Position

Marketing

manager

No.

1

Monthly salary

1200

EPF (13%)

156

SOCSO

(2%)

24

Total (RM)

1380

36

6.11 MARKETING BUDGET

Type

Signboard

Banner

Business card

Flyers

Mini book mark

Mktg. manager

remuneration

TOTAL

Fixed Asset

Cost ( RM )

500

500

Monthly

Expenses (RM)

1380

1380

Other Expenses

(RM)

50

50

50

60

210

37

OPERATION PLAN

i

7. OPERATIONAL PLANNING

7.1 OPERATION PROSESS

In general, Irise Laundry services provides four types of services which are

normal wash, iron, dry cleaning, and curtain/comforter wash. All this services will be

operate under the same roof with administration, marketing and financial department.

Normal working hour of operation department is six and half hour. Since this department

is the most important department in our company, we have maximum working hour.

The first services that is provided in our company and most favourable among the

customer is normal wash. Once order is received from customer, the clothes will be

separated according to the owner of the clothes and then put into a washer. A washer can

operate with the capacity of 1 to 3 kg with 20 minutes operation hour. Since our company

does not operate as traditional laundry service, then the clothes which already wash and

spin will put into the dryer for 20 minutes. After that the clothes will go into 2 stages,

according to the needs of customer whether the clothes will be iron or just delivered to

them in bulk.

A second service provided in our laundry company is ironing. The reason why we

are providing this type of service is based on our survey that we did. The survey gives us

result that people nowadays busy routine life make them does not have enough time to

manage their own attire. The best solution to get out from their problem is just give their

clothes to the person who can do the job and pay them at reasonable price. When order is

received the clothes will put at the ironing section. The job will be done by our worker,

then hang and ready to deliver.

A third service which is available at our laundry company is dry cleaning. This

services will treat certain type of cloths that need special treatment and maintenance such

as Korean Silk, velvet and blazer. As usual, when order is received, cloths will separate

and put together will other dry cleaning cloth. Then, the cloths are put into special

machine for dry cleaning. This does not use normal powder to wash but use chemical

substances. The cleaning will take about half an hour. Dislike normal wash, dry cleaning

cloth will not put into dryer machine since the clothes are totally finished. After that the

cloths will be bought to the iron section and finally delivered.

59

Last services provided in our company is curtain, comforter, blanket and bed

sheet cleaning. This service becomes popular among customer because they does not

have proper machine in their house to wash these cloths. The operation flow for this type

of service basically is same as normal wash. After all the stage of cleaning is completed,

then it is delivered to customer.

As the beginning, all the services mentioned above will be provided. In future we

are planning to provide many more services in order to meet market demand such as door

to door service and office services. Since that services need a large amount of capital, we

need to focus on business growth first before planning to expand the business.

<t0

CUSTOMER

NORMAL WASH C JIRON

WASHER

DRYER

I JPACK

DELIVERED

IRON

HANG PACK INSPECTION

DELIVERED DELIVERED

*

DRY CLEANING

COMFORTER

WASHER f J WASHER

-4

§ w

r %

s

IRON DRYER

INSPECTION INSPECTION

DELIVERED DELIVERED

etr irise laundry

Documents

business of laundry

business location

business plan purposes

business logo

laundry services

company background

hasraummi binti haron

kamariah binti baharin