Business Development Plan Template Stage 2...Business Development Plan Template Stage 2 Business...

1 New Business Development Plan Template 2014

Business Development Plan Template

Stage 2

Business Development Track This template is for schools that are developing an existing school business

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-G. Section H and I are

optional.

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

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

for that question.

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

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

When you are ready to submit your completed business development 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:-

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PART ONE Section A: Your Details

School name THE HERITAGE SCHOOL

Country INDIA

Section B: Your Business Details

Business Name T.H.S.Mushroom

Business Activity (E.g. Beekeeping) Farm activities

Main product / service (E.g.Honey) Edible Mushrooms and Vermicompost

No. of students in business team At present 30

Net Profit in previous year in US $ (Actual) In the previous year we could not earn profit from

mushrooms

Business Development Budget in US $ (Estimated) 1,044 (Vermicomposting)

Additional Capital required in US $ (Estimated) 1,044 (Same as above)

Total Sales Income in US $ (Estimated) 1,295 (Same as above)

Net Profit in US $ (Estimated) 682 (Same as above)

Section C: Market Research and Target Market

1. What Market Research did you do? Please include how you did your market research and how many people you spoke to. (5) We conducted Market Research in the following steps.

(a) Formulating the Research Problem. In our case the research study related to awareness of Vermicompost among the Target Respondents, Benefits of Vermicompost, Market Potential of Vermicompost.

(b) Identifying the Target Respondents. In our case study, Target Respondents were Farmers, Gardeners, Nurseries, Households having garden, Schools & Colleges having gardens, Fertilizer Retailers and General Consumers.

(c) Determining the sources of data. Our sources of data was Primary Data.

(d) Method of data collection – Survey method. In Survey method, we designed Structured-non-disguised Questionnaires specific to the Target Respondents.

(e) Determining the Sample Size, specific to the Target Respondents. Farmers – 200; Gardeners-30; Nurseries-30; Households-100; Schools & Colleges – 50; Fertilizer Retailers – 15; General Consumers-75.

(f) Determining the Sample Design – Simple Random Sampling.

(g) Organizing and conducting the Field Survey.

(h) Analysing the Collected Data.

2. What were the results of your Market research? Please include how your market has changed and how you will adapt. Also who is going to buy your new product or service and why? (10)

FINDINGS OF MARKET SURVEY :

(i) Widespread use of chemical fertilizers.

(ii) Lack of awareness among the farmers regarding the impact of


chemical fertilizers on soil fertility, yield and environment

(iii) Farmers are not aware of branded organic fertilizers.

(iv) Few outlets selling organic fertilizers.

(v) Increasing awareness among the end consumers regarding the nutritional

values of organic vegetables.

(vi) Increase in the number of visits by the consumers to organic vegetables outlet.

(vii) Increase in the number of nurseries and horticultures.

(viii) Demand for vermi-compost by nurseries and horticultures

Farmers would buy our product, as it shall be cost-effective with more benefits

and least negative impact on soil, as compared to chemical fertilizers.

Nurseries and horticultures would buy our product by inducing emotional

factor in their minds that the product is the result of hard work and creativity

by school students.

Households would buy our product as students shall be influencing their

parents, who in turn shall influence other households.

Schools shall be our customers as we often interact with them through our

different cultural events.

Section D: Competitors and Competitive Advantage

TOP TIP!

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

in the ‘Resources’ section of your school profile!

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

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

Competitor Name Who are your main

competitors?

Strengths What are your competitor’s main

strengths?

Weaknesses What are your competitor’s main

weaknesses?

Starfoot Enterprise Large scale production & Capital intensive

Confined within their locality and emphasis is mainly on exports to other states and abroad.

Galaxy Educare Concepts

Same as above Their customers are Ramkrishna missions only.

Samadhan Agrotech Same as above Confined within their territory and emphasis is mainly on exports to other

districts and states.

If you have more detailed information about your competitors, please include it here. E.g. You may describe how your competitors have changed.

4. How are you going to be better than your competitors? E.g. Our competitors have a limited selection of vegetables, so we are going to sell a large range of vegetables. (5)


Our competitors do not have that wide reach to all types of farmers / households / gardeners/ schools & colleges. We shall be inducing an emotional factor in the minds of our customers that our product is based on labour intensive, community involvement and the result of hard work and creativity by school students, which would outweigh our competitors.

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 – What are your strengths?

(i) Least power consumption.

(ii) Easy accessibility to raw-materials and inputs.

(iii) Simplicity of infrastructure and components.

(iv) Highly Energetic, Enthusiastic and Self

Confident Children who ca work hard with

sincerity.

(v) Availability of expertise who can train

children and is readily available.

(vi) People in the vicinity of our enterprise are

aware of T.H.S.Mushroom and so we can

encash on public relation.

(vii) The Heritage Institution has built up nurseries

over huge area.

(viii) Competitive advantage over producers of

chemical fertilizers.

Weaknesses – What are your weaknesses?

(i) No experience in producing and marketing

of vermicomposting.

(ii) Students cannot devote full time to these

business development activities as they

have to comply with academic curriculum

structure within the time frame.

Opportunities – What opportunities do you have?

(i) Widespread use of chemical fertilizers.

(ii) Lack of awareness among farmers regarding

impact of chemical fertilizers on soil fertility,

yield and environment.

(iii) Few outlets selling organic fertilizers.

(iv) Increase in the number of nurseries and

horticultures.

(v) Demand for vermicompost by nurseries and

horticultures.

(vi) Executing corporate social responsibilities.

Threats – Does your business face any threats?

(i) Well established industry of chemical

fertilizers.

(ii) Established producers of vermicompost,

using capital intensive technology.


Section F: Operational Plan

6. What steps will you take to develop your business? Think about the one-off tasks you need to do to start growing your business. E.g. First, we are going to source new suppliers. (5)

Our business operational plan shall be undergoing through following steps : (i) Identifying the Goal to be achieved. (ii) Segregating the goal into Departmental objectives (iii) Identifying the activities to be executed in order to achieve departmental

objectives. (iv) Delegating the tasks to the departmental managers and staff with respective

authority and responsibility. (v) Implementing updated Management Information System and Data Base System. (vi) Establishing proper coordination between different departments. (vii) Implementing proper reporting system and control mechanism (viii) Holding fortnight meetings at the departmental level and monthly meeting

conducted by the Managing Director. (ix) Ensuring proper logistics. Production planning shall cover the following : (i) Identifying the inputs and raw materials required. (ii) Identifying the suppliers, taking price quotations from suppliers. (iii) Ascertaining the quantity of inputs and raw-materials required and

procurement of the same. (iv) Assembling the respective material resources. (v) Arranging for the training session by the expertise. (vi) Executing production process. (vii) Making arrangements for proper storage and packaging. (viii) Delivery of the product directly to the target customers and to few potential

retail outlets. In addition to the above Operational Planning, we have planned Production Process Flow, which is mentioned in item no 7 as mentioned below.


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

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

or monthly basis to make your business

run?

How long? How long will these

tasks take?

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

Weekly?

Who? Who will be responsible

for these tasks? E.g. communications team

Collection of vegetable wastes, cow-dung, water-hyacinth and storage.

One and a half month. Four days in a week Production team

Pre-digestion of organic waste by heaping the material along with cattle dung slurry.

Twenty days Daily Production team.

Preparation of earthworm bed

10 days Daily Production team

Collection of earthworm after vermicompost collection


Storing vermicompost in proper place.


Proper packaging, weighing and labelling

7 days Daily Marketing

Taking orders As and when demand arises

Same in the previous column

Sales

Order processing, delivery and cash recepts

Same as above Same as above Sales

After Sales Follow-up As and when required As and when requires Sales

Customer feedback Same as above Same as above Same as above

Maintaining different sets of books

Regular basis Regular basis Finance Team

8. How is your business team structured and what changes have you made to it? You may like to include your Organogram here. (5)


Section G: Marketing and Sales Plan

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

a) Product – What is your product? Are you changing your product? b) Price – What price will you sell it at? Have you changed your pricing strategy? c) Place – Where will you sell your product? Will you change where you sell your product? (i) Promotion – How will you promote your product? How will your reach your market more

effectively? PRODUCT- Vermicompost . PRICE - 10.00 INR PER Kg. PLACE - Farmers, Nurseries, Horticultures, Gardeners, Households, Schools & Colleges. PROMOTION –(i) Awareness campaign among people in the nearby locality and rural area, on impact of chemical fertilizers, benefits of sustainable farm practices, benefits of vermicomposting.

(ii) Developing good public relation with local people, community, village panchayat head.

(iii) Campaigning through Posters, hoardings, bill-boards, distributing literatures

GENERAL-

MANAGER

ADMIN 1 CHILD

GENERAL

MANAGER

PRODUCN

1 CHILD

GENERAL

MANAGER MARKETING

1 CHILD

MARKETING 1 CHILD

GENERAL

MANAGER

FINANCE

1 CHILD

COMPANY

SECRETARY

2

ADMIN

MANAGER 2 CHILDREN

PRODUCN

MANAGER

2 CHILDREN

MARKETING

MANAGER

2 CHILDREN

FINANCE

MANAGER

2 CHILDREN

ADMIN

STAFF

6 CHILDREN

PRODUCN

STAFF

12 CHILDREN

MARKETING

STAFF

12 CHILDREN

FINANCE

STAFF

8 CHILDREN

MANAGING DIRECTORS

TEACHERS MENTORS


on vermicomposting in regional language. (iv) Advertising in print media and social net-working sites. (v) Sample distribution to Nurseries and Horticultures, and receiving feed-back. (vi)Exhibiting and campaigning our product during fests organized in our school, where we can get an opportunity to promote our product to parents, which can create snow-ball effect and help create customer base and market penetration. (vii) Participating in agricultural products exhibition. (viii) Distributing pamphlets and literatures to schools and colleges.


Section H: People, Profit, Planet

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

People – How will your business further help your community?

One of the objectives of T.H.S.Mushroom has been Community involvement. This year

too, through diversification in VERMICOMPOSTING, people in the nearby areas as well

as our school shall be benefitted from this project.

(i) Since our school is a day-boarding school, lot of vegetable-wastes and kitchen

waste are generated. These pose a problem for disposal and creates

environmental pollution. Through our project, these wastes can be converted

into valuable resources, containing plant nutrients and organic matter, which

helps in improving soil productivity.

(ii) Additional domestic wastes, vegetable wastes, Cow-dung, Plant-leaves, etc shall

be purchased from people of near-by rural areas, which would generate

alternative source of income for them in addition to farm income.

(iii) Hiring landless labours from near-by rural areas in our vermicompost project,

thereby generating employment and consequently source of income.

(iv) Meetings with the farmers, creating awareness among them regarding the

importance of Vermicomposting and its effect on the environment.

(v) Training marginal and landless farmers on concept, procedures and importance of

vermicomposting, helping them to set up micro-enterprises, which would not

only generate income but also help in increasing their crop-yield, improving

soil fertility, keeping environment free from pollution.

Profit – How are you going to increase your profits?

From second year onwards, there shall be three cycles instead of two cycles. As a result

Business Development Equipment Cost and other fixed cost shall be spread over increased

turnover in three cycles, leading to internal economies of scale, which shall have impact

on increased profit.

With the passage of time, there shall be External Economies as well.

Increasing sales through expanding customer base and exploring new markets.

Identifying new usages and new market segments.

Planet – How will your business benefit the planet and be more environmentally friendly?

Chemical fertilizers, though played a significant role in Indian agriculture facilitating

green revolution and making the country self reliant in crop production, continuous use of


such easily soluble chemical fertilizers in high doses, however, contribute to soil

degradation, through a combined effect of acidification, micro nutrient depletion, ground

and surface water pollution, and reduced soil microbial activity etc. The excessive use of ‘

nitrogenous fertilizer’ (urea) has also led to increase in the level of ‘inorganic nitrogen’

content in groundwater (through leaching effects) and in the human food with grave

consequences for the human health. Chemically grown foods have adversely affected human

health.

In the direction of restoring a clean environment and protecting environment from the

adverse effect of developmental approach, the Agenda 21 of the United Nations Conference

on Environment and Development (UNCED) held at Rio de Jeniro during 1992 emphasised

ecological security and social equity for the sustainable future.

In the context of the above, our enterprise, T.H.S.Mushroom, with an endeavor to

fulfill Corporate Social Responsibility, has planned to produce VERMICOMPOST,

to ensure Sustainable Farming Practices and Environmental Protection.

(i) Vermicompost are produced from waste materials from society, which are

converted into a ‘valuable resource’.

(ii) It is of Biological nature, i.e., a Renewable Resource and shall be readily

available to mankind in future; whereas Chemical Fertilizers are made

from Petroleum Products, which are non-renewable and depleting resource.

(iii) In the process of production and usage of VERMICOMPOST, the

Environment is benefitted at all stages from Production Salvaging

waste & diverting them from landfills and reducing green house gases

to application in Farms Adding beneficial microbes to soil and

improving Biochemical properties.

(iv) In the process of Vermicomposting, there is recycling of available Bio-Waste

of different sources and can thereby reduce Environmental Pollution.

(v) Vermicompost is an Eco-friendly natural fertilizer prepared from

Bio-degradable organic waste and is free from chemical inputs.

(vi) It does not have any adverse effect on Soil, Plant and Environment.

(vii) It improves nutrient status of soil, both micro & macro nutrients.

(viii) Earthworms, one of the inputs in Vermicomposting, harness the beneficial

soil micro flora, destroy soil pathogen and convert organic waste into

Vitamins, Enzymes and Protein rich products.

(ix) It helps in improving water retention capacity of soil, because of its high

organic content.


Section I: Financing Strategy

11.How much money do you have to re-invest in your business? Do you need to raise additional capital

to develop your business? If so, how will you raise this money? (10) Refer back to Question 8 in your Business Idea Template to help you.

The entire budget cost of INR 64,480.00(1068.00USD) shall be funded by the prize fund,

which we had won in both the years; 2011 & 2012.

(A) Out of INR 64,480.00(1068.00USD), INR 26,600.00(441.00USD) is Capital-

Expenditure, which shall result in the creation of fixed assets.

Thus, USD 441.00 being capital expenditure, spread over number of years to come,

and increase in turnover, thereby resulting in Economies of scale.

(B) Remaining amount of direct cost and indirect cost shall be partially covered through

sale of earth-worms, by-product of vermicomposting and in the later years through

retained earnings, with gradual increase in profit earning capacity.

(C) With a focus on sustainability, in future years, direct costs would be partially

covered through BACKWARD INTEGRATION.

(D) We would avoid talking loan, because Loan as a source of capital shall bear a fixed

burden of repayment.

Section J: Financial Management

12.What is your method of record-keeping and how are you going to improve your financial management

processes? (5) E.g. We use a spreadsheet. We will aim to update our accounts on a weekly basis.

(i) Maintaining respective books of accounts.

(ii) Proper filing system

(iii) Data-base management system

(iv) Management Information System

(v) Internal Audit

(vi) External Audit

(vii)Proper system of coordination, monitoring and control.

(viii) Computerised Accounting using Tally software.


Section K: Sustainability and Business Development

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

Our enterprise, T.H.S.Mushroom is in the business for the fourth year, since 2011.

(i) Inculcating professional approach in our organization, through Team-Work,

Motivation, Research work and Knowledge Enhancement.

(ii) Developing appropriate community involvement and public relation.

(iii) Protecting interest of stakeholders, with social sustainability.

(iv) Executing Innovation with respect to Management, Marketing,

Financing and Technology.

(v) Training new successive batch of new students by previous batch of senior students.

SUSTAINABILITY :

Environmental degradation is a major threat confronting the society. Rampant use of

chemical fertilizers contributes largely to the deterioration of environment through

depletion of fossil fuels, generation of carbon-dioxide and contamination of water

resources. Further imbalanced use of fertilizers leads to loss of soil fertility and

crop productivity.

Nutrients contained in domestic wastes, vegetable wastes and agricultural by-products

are wasted. In rural areas tons and tons of organic wastes is generated which is either

burnt or land-filled, posing a problem for safe disposal.

We at T.H.S.Mushroom, through VERMICOMPOSTING, shall help in converting these

wastes into valuable resources containing nutrients and organic matter, which can be

used as organic manure by farmers, thereby helping in improving soil fertility,

crop productivity, keeping environment clean WITHOUT EXHAUSTING and

EXPLOITING RESOURCES and in addition to it encouraging farmers, landless labours,

marginal farmers, to adopt sustainable farming practices, thereby making our enterprise

SOCIALLY SUSTAINABLE.

14.Where do you see the business in 5 years? E.g. We will grow our product range to include

other vegetables and we will expand our market by selling our products in 3 new districts.(5)

Five years hence, we would like to visualize our enterprise, taking the shape of

Joint stock Company as a Private Limited Company, registered with a share capital,

adding to Product lines, increasing the net-worth of the business, fulfilling

Corporate Social Responsibilities, with T.H.S.Mushroom GOING GREEN.

We would also identify new needs of customers and venture into other diversifications.


Appendix (OPTIONAL Bonus Points)

You can use this space to paste or attach any items which support your business plan, e.g. a completed customer survey, a detailed competitor analysis, reports or photos. (10 Bonus Points)

PART TWO Financial Plan

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

TOP TIP!

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

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

this: http://www.xe.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 Rupees (INR)

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

1 US $ = 61.76 Indian Rupees

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

12 months.

Section A: Business Development Budget (Estimated)

TOP TIP

Your Business Development Budget is the costs of the additional Equipment and Supplies that you will

need to develop your business. Please note: if you do not need to buy extra equipment or supplies to

develop your business, go directly to Question 2.

1. Please list all your Business Development Costs.

Business Development Equipment

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

Cost of construction

of two tanks of size :

10’x5’x3’ : (A)

bricks 2000 8000 per 1000 bricks 16000.00

Sand 50 bags 40.00 per bag 2000.00

Cement 3 bags 500.00 per bag 1500.00

Business Development Supplies/Expenses For one cycle of 120 days.

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

Cow dung 4,000 Kg 0.25 per Kg 1,000.00

Agro wastes 3,000 Kg 350.00

Labour Charges 3,500.00

Cost of earthworms 360.00

Transport Charges 1,000.00

http://www.xe.com/


Sacks 50 units 25.00 per unit 1,250.00

Office expenses 5,000.00

Sales & Distribution expenses

2,000.00

Mis. expenses 2,000.00

Total Business Development Budget (Add your Total Costs Together)

Local Currency 7,460.00 x 3 cycles +26,600.00 +15,500.00 = 64,480.00

In US Dollars $

1,044

Section B: Income (Estimated)

2. Please list all the products or services that your business will sell during the budget period. 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)

Vermicompost(from 3 cycles)

8,000.00 Kg 10.00 per Kg 80,000.00

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

Local Currency

80,000.00

In US Dollars $

1,295


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 Business Development Supplies/Expenses in Section A

should be included here too.

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

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

Product/Service 1 Please tell us what this product or service is here: VERMICOMPOST For one cycle of 120 days.

Cow dung 4,000.00 Kg 0.25 per Kg 1,000.00

Agro wastes 3,000.00 Kg 350.00

Labour Charges 3,500.00

Cost of earthworms 360.00

Transport charges 1,000.00

Sacks 50 units 25.00 per unit 1,250.00

Total Direct Costs (Add up all the Total Costs)

Local Currency

7,460.00 x 3 cycles = 22,380.00

In US Dollars $ 362

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 80,000.00 1,295

Total Direct Costs 22,380.00 3,62

Gross Profit (Total Sales Income – Total Direct Costs)

57,620.00 9,33


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)

Office expenses 5,000.00

Sales & Distribution expenses

8,500.00

Misc. expenses 2000.00

Total Indirect Costs (Add up all the Total Costs)

Local Currency

15,500.00

In US Dollars $

251.00

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

57,620.00 933.00

Total Indirect Costs

15,500.00 251.00

Net Profit (Gross Profit – Total Indirect Costs)

42,120.00 682.00

Section G: Additional Capital Required

7. Please calculate how much, if any, additional capital you need to raise to develop your business. Please note: you may not need additional capital if your Business Development Budget is less than the profit you have available to fund your business development.

Calculation

Local Currency US Dollars $

a. Net Profit last year (There was no profit last year)

0.00

b. Profit from last year used for other purposes e.g. donation to charity

0.00

c. Profit from last year available to fund business development (a-b)

0.00

d. Business Development Budget 64,480.00

e. Additional Capital Required ( d-c ) 64,480.00


Section H: Pay Back Period (OPTIONAL)

8. Please calculate the Pay Back Period for your Business Development Budget

a. Budget Period – 1 YEAR ONE YEAR

b. Net Profit 42,120.00

c. Average Net Profit per month ( b / a ) 3510.00

d. Business Development Budget 64,480.00

e. Pay Back Period ( d / c ) 18

Section I: Product Profitability (OPTIONAL)

9. Please complete the following Product Profitability Worksheet for each Product or Service you are selling. We have provided you with two worksheets, however please add additional sheets if necessary. For this section ‘Product’ refers to the Product or Service that you are selling.

Product / Service 1

Name of product

Sales price of product

Predicted Amount of Sales

Total Sales Income of product (Sales Price x Amount)

Direct Costs Quantity Unit Cost Total Cost

Total Direct Costs for Product 1

Profitability Gross Profit of Product (Total Sales Income for Product – Total Direct Costs for Product)

Direct Cost per Product Item (Total Direct Cost for Product ÷ Amount produced of Product)

Percentage Profitability (Sales price for Product – Direct Cost per Product Item) x 100 ÷ Sales Price


Product / Service 2 Name of product

Sales price of product

Predicted Amount of Sales

Total Sales Income of product (Sales Price x Amount)

Direct Costs Quantity Unit Cost Total Cost

Total Direct Costs for Product 2

Profitability Gross Profit of Product (Total Sales Income for Product – Total Direct Costs for Product)

Direct Cost per Product Item (Total Direct Cost for Product ÷ Amount produced of Product)

Percentage Profitability (Sales price for Product – Direct Cost per Product Item) x 100 ÷ Sales Price

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

(1) We shall be specifying information on Button & Milky mushroom in the FINAL REPORT, as we have been doing business on these products for the last three years.

(2) VERMICOMPOST is a diversification to our business.

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

Submit NOW!

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