web viewbusiness plan template. stage 2. new business track. this template is for schools . who are...

Business Plan TemplateStage 2

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

1 New Business Plan Template 2015

IMPORTANT: HOW TO COMPLETE AND SUBMIT YOUR BUSINESS PLAN

This template should be completed by students with the support of teachers. Please use the format provided as this is aligned to our marking scheme. There are 2 Parts to the Business Plan template.

- Part 1: Business Plan. Please answer ALL questions. - Part 2: Financial Plan. Please answer ALL questions in Sections A-F. Section G and H are

optional. You can use add extra pages to this document. However, please try and keep your submission

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

for that question. Follow our top tips to score high points and increase your chances of winning a prize! You can also earn bonus points by including supporting documents in the Appendix! When you are ready to submit your completed business plan to us, please follow these

instructions:-- Log in to your account at: www.schoolenterprisechallenge.org/login - Go to the ‘Progress Report’ on the right hand side. - Click on 2) ‘Submit Your Business Plan!’ - Choose your file and upload your completed Template. Click SUBMIT!

Contact the School Enterprise Challenge team at:-

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

?Any Questions

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PART ONESection A: Your Details


School name HANSRAJ PUBLIC SCHOOL SECTOR 6 PANCHKULA

Country INDIA

Lead teacher MS. KHAMOSHI KAKKAR

Section B: Your Business DetailsBusiness Name SRIJAN

Business Activity CRAFT/ HANDICRAFT

Main product / service Folders, Money envelopes, Decorative/gift items Greeting cards

No. of students in business team 16

No. of students in school 1600

Total Start Up Budget in US $ (Estimated) 35.48$

Total Sales Income in US $ (Estimated) 55,38$

Net Profit in US $ (Estimated) 18.408$

Section C: Market Research and Target Market


1. What Market Research did you do?

We conducted a market sample survey on our potential customers. As we thought it will help us two ways, one it would help us study the market response and secondly would indirectly advertise our upcoming enterprise. The questionnaire was prepared by students and contained 10 questions. We included 40 household/individuals in one sample. Data collection was done by 6 students. Each student did 10 samples. 10 questionnaires were responded by students from classes 6 to 10 at random, another 10 questionnaires were done from parents. Similarly 10 teachers were selected at random to respond to the questionnaire while another 10 were conducted by 3 students in their neighbourhood. The collected data was analysed by marketing team. The analysis provided us crucial insight into the likely response and expectations of our targeted customer group from our enterprise. The survey helped us to decide the handcrafted items which were most likely to be purchased by our potential customers. The survey also revealed to us that people don’t ascertain a fixed amount to be spent on craft items. That propelled us to make our products pocket friendly and to some extent slash our proposed investment to make it a profitable venture. Also a scanned specimen of questionnaire is put in appendix.


2. What were the results of your Market research?

The survey mainly helped us decide what core craft items we should produce. Though the survey results at the same time reveals that we will have to be flexible/innovative in designing our product, because in India expenses are heavily guided/driven by festivals, events and occasions. Major findings are:1. Almost 50% of the interviewed people revealed that they regularly buy craft items, while a similar % of people purchased only occasionally . 2. It was a relief to know that only 7.5 % prepared their own craft items.

3. The survey revealed that majority of the respondents were ready to purchase more than one type of craft items. Almost 50% of them gave decorative items/gift items as their preferred purchase along with folders and money envelopes. While approximately 38% showed keenness to buy folders, envelopes and greeting cards. While, 17.5 % preferred study table items.

4.The survey also revealed that we are going to face tough competition from two established brands Archies and Fabindia which have been listed as favourite brands to buy gift items and other craft items by at least 37 % and 35 % respondents respectively. 5. 70% of the interviewed people revealed that too they looked for multiple factors while buying a craft item. For example, price, aesthetic appeal, accessibility, eco-friendly etc6. At least 72% revealed that they buy craft items at exhibitions mainly.7. 50% of the survey people look foe good service from seller.8. 100% of them evinced interest in buying eco friendly crafted items prepared by us.9. The survey revealed that people keep a very small budget ranging rupees 100 to 1000 to be spent on such items.

Section D: Competitors and Competitive Advantage


TOP TIP!

To help you score high marks in Section D, read our Competitor Analysis guidance in Weekly Guide 5 and in the ‘Resources’ section of your school profile!

3. Who are your main competitors and what are their strengths and weaknesses? Please fill in the table below. You may add extra rows if you need to. (5)

Competitor NameWho are your main

competitors?

StrengthsWhat are your competitor’s main

strengths?

WeaknessesWhat are your competitor’s main

weaknesses?E.g. Mary’s vegetables E.g. Good reputation E.g. Limited selection of vegetables

Archies 1) A well established brands in greetings, gift items.2) Huge investment and large scale manufacturing.3) Impressive advertisements 4) Good quality and variety5) A preferred brand by students and youngsters.6) Strong marketing 7) Large market share

1) High prices2) Largely machine made products

Fabindia 1)Strong loyalty amongst the regular buyers for the brand2) Large investment/large scale manufacturing.3) Eco friendly, organic products.4) Contemporary styling.5) Strong advertising.6) A well established brand.7) Highly skilled artisans.

1) Very expensive.2) Limited variety and amount particularly for craft study table items.3) Few options for kids4) Sometimes non availability of desired craft items.5) Mainly a preferred brand for garments.

Earthstore 1) Eco friendly products.2) Arrange of items.

1) Very expensive.2) Limited clientile.3) Limited number of pieces for items.4) Now closed down main outlet in Panchkula sector 9.

If you have more detailed information about your competitors, please include it here: Fabindia- In the business since 1960. Website-www.fabindia.com Archies- established in 1979. Earlier known for song books, posters, leather patches. Diversified into greetings, artificial jewellery, crystal wear, stationery, gift items, perfumes etc Website- www.archiesonline.com Earthstore- www.myearthstore.com


4. How are you going to be better than your competitors?

1) Low prices: One of our competitors (fabindia) is rated as very expensive. Similarly archies though has a wider price spectrum is going to be much more expensive than our products. We will use mainly recycled raw material.2) Customised services: We will customise our product designs and colour combinations as per our customers’ requirement when they order in advance.3) Contemporary styling: Certain items are traditional to Indian customs like money envelops. These are the envelops in which “ Shagun” (gift money) on auspicious occasions like marriage etc.iIs given. Our team is designing these traditional items in contemporary designs. Its going to be same USP for other items as well.

Section E: SWOT Analysis TOP TIP!

To help you score high marks in Section E, refer to the SWOT Analysis guidance in Weekly Guide 5.Remember! Your Strengths and Weaknesses are internal to your business and in the present.

Your Opportunities and Threats are external to your business and in the future.5. Complete the SWOT Analysis below. (5)

Strengths – 1) Exclusive designing/styling of products. Each product will have a unique design and a fresh thought2) Strong team of students with artistic bent3) Good reputation of the school will help us build our market.4)Students parents and staff monitors are going to be our captive market.5)Eco friendly handicraft products.

Weaknesses –1) Limited selling opportunities outside school premises. This will also entail more expenses in terms of transportation cost for which we are not ready yet.2) Time management and balancing between school curriculum/annual school plan and maintaining business operations continuously is going to be difficult.3) Finesse in finished products can be an issue with buyers as our students/artisans are new with no previous experience of producing an article from commercial point of view.

Opportunities –1) Our school offers several opportunities in form of exhibitions, competitions/symposia etc. when we have parents and other visitors including students/staff of other schools who can be our potential buyers.2) Social media can be used effectively to build brand preference for “Srijan” since youngsters are looked to using social media.3) People are increasingly preferring eco-friendly items. So we intend to reduce the use of non- biodegradable items by students, staff/parents. As ww are offering eco-friendly bio degradable products.4) We hope to influence more students joining

Threats – 1) Converting our initial customers into regular buyers is going to be challenging.2) Other emerging handicraft based enterprises. For example:- recent opening of handicraft pitara in Sector 20 panchkula3) Regular exhibitions being held by artisans from across the nation in the neighbouring city of Chandigarh at regular intervals.


are enterprise once it takes off successfully.5) Maybe we can tie up with an NGO promoting the cause of artisans and provide a platform in our enterprise to market their products.

Section F: Operational Plan6. What steps will you take to start your business?

These steps are: 1) Since craft is a very wide category so first thing for us was to decide on the products/items we would produce. For this we did the market survey in first place 2) After this we decided on the team. Each member was assigned his/her duty. 3) Then our team analysed the market surveys and decided on the products that we should produce 4)The team will first work on designing the logo think of a tagline .Alongside mission statement would also be developed.5)The social media team would then work setting up the blog and Facebook page for the enterprise “srijan”6) List of raw materials and other inputs like glue scissors etc. Which would be required for production was prepared. 7) The team then thought of ways to raise fund. The team decided to collect paper scraps. Collected paper scarp was shifted to retain re useable items and rest would be sold to scrap dealer. 8) Team decided to combine features of a cooperative and self help group to carry out its operations and raise start-up capital.9) Getting a workshop/storage room from the school. 10) Prepare for the launch event.


7. How will you produce or deliver your product or service?

Task How long? How often Who?

1)Formation of team 5-7 days Once Board of directors

2) Designing of logo and mission statement.

1 week once Social media and creative heads

3)Assigning roles to team members

1 week once Team leader/board of directors.

4) Market survey analysis. 1 week once Marketing team

5) Deciding the products to be produced.

2-3 days Once (might be reviewed after a month to incorporate festival demands or customer responses).

Board of directors/production team

6) Framing financial plan. 20 days once Board of director and finance team.

7) Old paper collection driver.

2 days once Production team

8) Raising funds. 7-10 days once Finance team

9) Purchasing raw material and other input.

2 hours Once in a month Respective production unit managers

10 )Social media and advertising.

3 months Once or Twice in a week Social media team and creative heads

11)Producing products 3 months 3 days a week for 1 hour each day

Production team

12)Stock checking 3 months Once in 10 days Production team

8. How is your business team structured?


Section G: Marketing and Sales Plan 9. Tell us about your 4 P’s (Product, Price, Place, Promotion). (10)

Product:- Our craft items will include folders, money envelopes, invites/greeting cards and decorative items to be produced from eco-frinedly material. There would be extensive use of discarded paper material and other bio-drgradable products in making our products.Price:- Our prices are going to be low in comparison to our competitors. However while pricing our product we are going to keep a normal profit margin over and above the estimated costs.Place:- Our products will mainly be sold from school premises to our students, staff and parents during school hours. We will also have sale stalls during school events including exhibitions, parent teacher meets, seminars etc . We will have a sale outlet at “suvidha”-honesty shop of our school. In addition students may get the customised orders from their immediate neighbourhood which would be delivered through them only.Promotion:- We will be promoting our product at school during exhibitions,workshops,parent teacher meetings and through social media like blog and facebook .a mention in school circulars and school press releases.We will offer some minimum discount for multiple purchases.


Section H: People, Profit, Planet

10. How does your business meet the People, Profit and Planet criteria? Please give an example for each criteria.

People:- 1) Our product will be produced from eco-friendly, bio-degradable products.2) Our initiative aims at promoting the concept of micro level enterprises for people with marginal investment capacities.3) Instilling one future generation (enterprise students) to be a job provider rather than being a job seeker.4) Highlighting importance of acquiring skills.

Profit:-1) Raw material is partly going to be purchased and partly using discarded paper items easily available in school so input costs are going to be low.2) Production place and marketing space is going to be provided by school rent free.3) We are going to adopt neighbourhood marketing where students can get order for our products from their immediate neighbourhood to be delivered by from only. Hence no transportation costs.

Planet:-1) Using waste material as raw material to a great extent will help reduce clutter to some extent.2) Producing and promoting products made from cotton cloth residues and thus helping people shun the use of plastic folders.

Section I: Financing Strategy

11. How much start-up capital do you need to start your business and how will you raise this money? We will need about 3000 Indian Rupees is the start up capital.1) We decided to organise one enterprise on the basis of ‘cooperatives’ and ‘self help groups’. Interested students were invited to be part of the enterprise and pool their savings and initially contributed about 2500 rupees.2) Newspaper and old paper collection drive was conducted for three classes. After shifting the material collected non-usable items were sold off which generated about 500 rupees.

Section J: Sustainability and Business Development

12. How will you keep your business running after this school year? 1) We have many members who would stay in school for minimum 2 years.

2) We plan to involve new members and pass on the business to them.3) Ploughing back the profits into the business.4) Assigning brownie points to students taking up enterprise.


13. Where do you see the business in 5 years?1) May be we tie up with some NGO dealing with artisans’ upliftment to get their craft products for sale. As we can’t make the students labour. This will help incarese the scale of production.It will also help students appreciate thedictum of’ corporate social responsibility’.

2) Buying our own paper recycling machine if it doesn’t materialise this year. 3) May be invite other DAV schools for a joint venture.

Appendix (OPTIONAL Bonus Points)

Srijan Logo

Mission StatementThe enterprise aims at encouraging first generation entrepreneurs with marginal means of investment to set up micro level enterprises. This is to instill the confidence to be a job provider rather than being a job seeker.Besides this, by accepting this challenge, we intend to raise entrepreneurs who would empathise and facilitate marginal artisans convert their skills into a profitable venture. This enterprise also aims at promoting eco-friendly products, using waste paper items as raw material and shunning the use of plastics.

Students doing market survey and preparing for the launch event respectively


Circular to the Parents

Our school has taken up ‘School Enterprise Challenge’ floated by the educational charity, ‘Teach a Man to Fish’.The objective of this challenge is to raise socially responsible entrepreneurs. To attain this objective, we are

setting up an enterprise named ‘Srijan’, to be run and managed by young budding student entrepreneurs of our School. This enterprise is an in-house production venture of craft items, to be handcrafted by our students.

To make it eco-friendly and raise funds for this challenge, we request you to donate old newspapers, magazines, wedding invitations, greeting cards, handmade sheets or any other paper items by Thursday, 23rd July, at Hansraj Public School, Sector-6, Panchkula. We look forward to your support in our endeavor to make this hands-on learning a great experience for our

students.Note: 1. Parents are requested to drop all material at gate no. 1 with the school guard.2. Students bringing the material themselves may submit it to their respective block peons

COMPETITOR ANALYSIS TEMPLATEMy Business Competitor A

ArchiesCompetitor BFabindia

Competitor CEarthstore

Where is the competitor located?

Hansraj Public School Sector 6 Panchkula

Main market Sector 7 Panchkula

S.C.F. 349 Sector 9 Panchkula

Sector 9 Panchkula

What product or service do they sell?

Folders, money envelopes ,greeting cards ,decorative / gift items

Cards ,folders, printed mugs, gift items

Garments ,gift /decorative items, bags, organic food

Gift /decorative items ,bags, organic food items


Scanned copy of Market Survey

items etc. etc.

What are the competitor’s prices?(per unit)

Folders Rupees 50Money envelopes rupees 10-15Greeting cards ruppes 15Decorative/ gift items or knick knacks 20 average

Folders rupees 325 onwardsGreeting cards Rupees 50 onwardsDecorative/ gift items or knick knacks rupees 75 onwards

Money envelopes 5 for rupees 160Photo frames rupees 330- 990Decorative/ gift items or knick knacks rupees 225 onwards

FoldersMoney envelopesGreeting cardsDecorative/ gift items or knick knacks NA Showroom permanently closed down when visitedAvailable online

What are their operating hours?

8 am to 2 pm on regular daysLonger hours during school exhibition ,fete & other special events

10 am to 8 pm 11 am to 8 pm 11 am to 8 pm

Who are their customers?

School students ,staff, parents and visitors on school events

Teenagers and youngsters

Upper middle & High income adults

Mixed income

What methods of marketing do they use?

Through social media ,Promotional stalls during school events, word of mouth (students, parents, staff), finding a mention in school press releases circulars/communication& Market surveys

Advertisements, websites, regular messages to existing customers

Advertisements, websites, weekly messages to existing customers on new arrivals, promotional workshops

Advertisements Website

How are they trying to develop or expand?

Recording observations and incorporating feedback/ suggestions from customers Adding variety in decorative/ gift items range

Adding new products range from time to timeArray of items for every occasion/festival

Adding variety,Contemporary stylingExclusivity in every productOrganic products

Building preference for organic products

Do they have good reputation locally?

Yes school has a very good reputation amongst parents, staff, students & cal residents

Yes Yes Yes

Do they offer extra services?

Customized products No Prompt services, weekly messages to existing customers on new arrivals, free workshops on block printing, cooking snacks etc.

No information

What are their strengths?

Handmade eco friendly and reasonably priced products

Variety Quality ,Styling& organic products

Organic items

What is their Unique Selling Point?

Customised productsEco friendly productsNon repetitive designing

Variety and range Production form natural materials Creations by skilled artisans & contemporary styling

Eco friendly Organic products

How can we beat this competition?

Customised productsExclusive designsContemporary appealReasonable prices


Students with their sample exhibits during school exhibition

PART TWOFinancial Plan

This section will be awarded a total of 15 Points. These 15 Points will be allocated as follows:-Section A (5), Section B+C+D (5), Section E+F (5), Section G+H

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

Rupees. In the template we will ask you to convert your TOTALS into US $. You can use this website to do this: http://www.xe.com. Remember to write down the exchange rate you are using in the box below!

Please add any extra rows to the tables where necessary. Local Currency used (E.g. Indian Rupees) Indian Rupee INR

Exchange rate to US Dollars (E.g. 1 US $ = 59.7 Indian Rupees)

1 US $ =63.9972 Rupees

Period of time budgeted for (E.g. 3 months) 4 Months

Section A: Start-Up Budget (Estimated)

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

you already have the products that you need to start up your business please list them here and put 0 as the Unit cost.

1. Please list all your Start-Up Costs.Start Up Equipment Quantity Unit Cost Total Costs of your

Equipment (Quantity x Unit Cost)


http://www.xe.com/

Scissors/cutters 8 0 0Computers 1 0 0Printer 1 0 0New painting brushes 4 28.25 113Start Up Supplies/Expenses Quantity Unit Costs Total Costs of your

Supplies/ Expenses (Quantity x Unit Costs)

Handmade sheets thick 27 35 945Glue 4 150(500 gram each) 600Paints/posters colours 1 pack of 12 200 200Glitters 2 95 190Mirrors 100 0.5 50Handmade sheet (thin) 3 15 45Velcro 1 metre 30 30Miscellaneous 100Total Start up Budget (Add your Total Costs Together)

Local Currency2273

In US Dollars $ 35.458

……………………………………………………………………………………………………………………………………………………….

Section B: Income (Estimated)2. Please list all the products or services that your business will sell. Please tell us the amount you

think you will sell and the price at which you will sell them.Name of Product or service Quantity Sales Price Sales Income (Quantity

x Sales Price) 1) Folders 25 50 12502) Money envelopes(a) 50 10 5003)Money envelopes(b) 20 15 3004)Decorative/ gift items4)a) Photo frames(regular size) 5 90 4504) b) Study table combo pen hold set.

2 100 200

4)c) Paper Mache flower vase 3 100 3004)d) Gift tags/cards 10 15 1504)e)Knick knacks 20 20 (Average Price) 400Total Income (Add all the ‘Sales Income’ together)

Local Currency 3550


Section C: Direct Costs (Estimated)


TOP TIP

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

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

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

Product/Service 1 Folders

Handmade sheets 17 35 595Glue 750 gm 150 for 500gm 225Velcro 1 metre 30 30Poster colours 2 16.66 33 (33.3)Product/Service 2 Money Envelopes ( a& b)

Handmade sheets 10 35 350Glue 200 gm 150 for 500gm 60Poster colours 1 16.66 17 (16.66 )Glitters 0.5 95 47.50

Product/Service 3 Decorative/Gift items

Poster colours 9 16.66 150Glue 1050 gm 150 for 500 gm 315Mirrors 100 0.5 50Glitters 1.5 95 142.5Handmade sheets(thin) 3 15 45Miscellaneous 100Total Direct Costs (Add up all the Total Costs)

Local Currency 2160


Section D: Gross Profit (Estimated)4. Please calculate your Gross Profit in your Local Currency and then convert it to US Dollars $.

Calculation Local Currency US Dollars $

Total Sales Income 3550 55.38Total Direct Costs 2160 33.696Gross Profit (Total Sales Income – Total Direct Costs)

1390 21.684

Section E: Indirect Costs (Estimated)


Top Tip

Indirect costs are items that you need to spend money on to run your business. However, they are not related to the making of your product or service. E.g. Marketing or transportation costs involved in getting

your product to market.

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

Unit Cost)Market survey forms(Printed free by school)

40 0 0

Circular for donation of paper waste(Printed free by school)

200 0 0

Transportation cost( to purchase raw material)

3 70 210

Total Indirect Costs (Add up all the Total Costs)

Local Currency 210


Section F: Net Profit (Estimated)6. Please calculate your Net Profit in your local currency and convert this to US Dollars.

Calculation Local Currency US Dollars $

Gross profit 1390 21.684

Total Indirect Costs 210 3.276

Net Profit (Gross Profit – Total Indirect Costs) 1180 18.408

Section G: Return on Investment (OPTIONAL) 7. Please calculate your Return on Investment (Optional)

Net Profit 1180Total Start Up Budget 2273Net Profit / Start Up Budget x 100 = Return on Investment (%)

51.91

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

a. Budget Period E.g. 4 months 4 monthsb. How many months until you make your first sales?

1.5 months

c. Net Profit 1180


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

472

e. Start Up Budget 2273f. Pay Back Period: b + ( e / d) 1.5+(2273/472)=6.31months

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

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


web viewbusiness plan template. stage 2. new business track. this template is for schools . who are...

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