rsd business plan draft v01 08032015
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Business plan draft versionTRANSCRIPT
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Business Plan - Real Estate Development ( DRAFT)Author - Ibrahim Mustafa
5 Yr Business Vision - To be One of the Established Property Developer in the city
12 month Vision - Started atleast 1 Development project - Have acquired land on development rights and initiated Building construction with Planning permissions
Business Stages: Level 1 - Establish top core Management ( People locally based in Hyderabad are Key to be part of this group and should be in Partners ( financially) )Level 2 - Establish Business development team - Could be people from Core Management, responsible for finding Land available for developmentLevel 3 - Establish project execution team - Register as Limited Company, contact legal council to take care of Legalities, getting Planning permission, and starting actual ground work
Business Benefit - Real estate is a ever promising sector and does not need introduction, there is huge demand for housing close to areas where business offices are setup or residential areas with good demand. This demand can be tapped to create profitable business
Goals : 1 Establish credibility in the market as reliable developers2 Establish other wings like TURN KEY project executioners in Infra sector, interior designing3 +5 yrs goal - Develop satellite townships for Muslims around Hyderabad in self sustained Model ( having Schools, Parks, Hospitals, Shopping Centres, Masjid and other amenities ) unlike other plot development companies
Capital Needed - Could vary from 5Cr to 10 Cr to start with, this is dependent on the size of 1st project we decide to take up
Limitations/Pitfalls - 1 Not understanding the needs of the consumer - taking in to consideration the needs of local people like Vastu if Hindu customers are targeted2 Project cost not estimated properly which could result in loses3 Property can get stuck in Land ceiling / Road widening 4 Land owner turning hostile and wanting to pull out
Business Cycle Actions - ( One Cycle would be 1 project, based on Maturity can run 1- many cycles at a time )1 Identify Development land ( Use real estate agents, contacts, New paper adverts) based on location potential and work out a rough profit estimate2 Approach Owners with intent to do a deal on 40-60, 50-50 model3 Validations and check on the property ( Legal and Corporation clearances possible? )4 Signup a deal contract with the Owner5 Engage Architect and Structural Engineer6 Project planning - estimating, costing, Controlling, Change Management7 Establish Project team8 Establish Marketing team9 Start Project10 Handle Unit sales 11 Deliver Units and Project closure12 Financial reporting on the Project to the Stake holders13 Lessons Learned Workshops14 Repeat from Step 1
Qualifications - We have got some people with Real estate background who can guide the Company/Team