FINAL BUYME Presentation 1

8/8/2019 FINAL BUYME Presentation 1

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Business Plan

Presented by:Essa Iqbal

Sooraj Khetpal


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INTRODUCTION

Executice SummaryIndustry AnalysisDescription of VentureMarketing Plan

Operational PlanOrganizational Plan

Assessment of RiskFinancial PlanDebt financing:Appendix


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Name: Buy me Super MarketTAG lINE: meets your daily needs

Address: Main sea view, Opposite Mcdonalds

Principals:

Essa Iqbal (GENERAL)

Suraj Khetpal (GENERAL)

Nature of Business:

The business is basically service oriented in the form of a retail store that aims toprovide a wide range of consumer goods.

Mission: To deliver the best product and shopping experience to our customers and

to strive to build long term relationships.

Vision: To be the biggest super market retailer in Pakistan by 2020


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The start up capital for Buy Me Super market is estimated to be Rs. 10,000,000. Theamount of capital will be provided through personal funds. Other sources of finance will

be private investors aka business angels.

Statement of Confidentiality:

This report is confidential and is the property of co-owners listed above. It is intendedto be used by only those people whom this plan is presented and sold to. Any illegal use

by any person or organization other than licensed by or given permission by the ownersof the company would be liable for legal action resulting in financial penalty and/or

imprisonment.


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Futu

re outlook an

dtren

ds

The political instability of the country serves to be a major hindrance as far aseconomic growth is concerned. However, the future outlook of the retail market

particularly supermarkets such as Buy Me supermarket looks promising.

B.A

nalysis of Competitor

s

The Core Competitors of our super market would include:Naheed Super Market

Imtiaz StoreChase

AghasOtherCompetitors would include:

EBCO Super MarketTime Medico


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C.MarketSegmentation

When devising a marketing strategy for a venture such as a retail store, it is importantto keep in mind the target market that one plans to cater to. The decisive factors

would include :Demographics

Socio-economic

D. Industry and MarketForecastsThe retail industry is one that would be least affected by changes in political stability

or changing economic patterns. This is primarily because a lot of items that would besold in the store would be inelastic goods and therefore, regardless of the changes in

price, the demand would not change significantly.


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Our products will constitute of the following:

FMCGFood and Beverages

GroceriesFresh Vegetables and Fruits

Whereas our services would include

In-store servicesHome Delivery

SIZE OFTHE BUSINESS

Initially the size of the business would be kept small since it is a partnership and due tolack of resources, mainly funds, we plan to start it at a very low cost. Anotheradvantage for keeping it small initially would be the convenience factor. Both thepartners will have a close watch on the operations inorder to run the business

smoothly.Independence of owning a small business would help us make our own decisions, take

our own risks and reap reward for our efforts.


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We plan to hire 10 employees and divde them in two teams under 2 managers. Team 1would be the sales team which would focus on the customers and team 2 would be the

operations team which would look after the stock.There will be 2 cash counters to serve the customers, a warehouse, a separate area for

fresh produce and 2 entry and exit points


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PricingSince the venture would be new, in order to attract consumers, the pricing strategywould have to be competitive. BuyMe Supermarket would have to offer prices thatare a little less than those of its core competitors in order to develop some form ofconsumer loyalty for itself.

Distribution

The distribution network should be such so as to ensure that a wide variety ofproducts is available to the consumer to choose from. Also, the product should beavailable when it is most required. The store would also provide free home delivery

services for those customers who prefer to shop from the convenience of their

homes.


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Promotion

In order to introduce the store to the market, billboards can be put up at a few majorspoints in the city where the flow of customer traffic would be at a maximum.Within

the store, products can be promoted using Kiosks, Standies and mobiles. Flyers couldbe put advertising low prices or discounts. Moreover, a store catalogue could also be

made to list all the products available in the store, together with their prices andavailability and any possible promotional offers.

Product/ServiceForecast

It is important to have a fair idea of which product will sell more according to seasonal

variation. Products cycles should be studied in great depth to help with analyzing andpredicting the markets conditions. If a certain products sales are expected toincrease at a certain point in time, then it must be ensured that its supplies areavailable well in time so that there are no shortages and customer satisfaction is

guaranteed.


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A. Description of companys operations.

Front end operations (In- store)Back end operations (Warehouse)

FIFO principle.

Operational plan also include suppliers.

FRONT END

BACK END


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B. Flow of orders of Goods andServices strict control on the supply and demand Buffer stock Expired stock will be returned to suppliers Services would include timely delivery of products Clear correspondence and communication between

management and the staff

C. Technology Utilization state of the art technology Scanners CCTV cameras


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A. Form of Ownership Partnership form (Genral Partners)B. Identification of Partners Essa Iqbal General Partner

Suraj Khetpal Genral PartnerC. Management Team Background Two teams; sales and operationsD.Roles andResponsibilities of the Management Supervise both teams

managers would report to partners Managers also have to deal with the suppliers and their exclusive

customers. The members of the teams would be at the lowest level of the chain of

command


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Bottom

Middle Level

Top Level Partners

SalesManager

Staff Staff

OperationsManager

Foreman


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A. EvaluateWeakness of Business lack of resources include (lack of funds and lack of manpower) taxation hurdles and no credit to customers a lack of authority

Employer turnover might be high Competition risk

B.New Technologies New technologies would serve to be a risk to the company Thus competitive edge over BUY ME


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Investment by Proprietor

Sooraj Kumar & Essa Iqbal

2000,000.00+2,000,000.00= 4,000,000.00

Bank Borrowing 1000,000.00

Business Angels 5,000,000.00

Total Investment (Rs) 10,000,000.00


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BUY ME retail store will attain its finances through 10% debt and

90% equity finance. The partners will contribute up to Rs. 4 million

Bank borrowings will be of Rs. 1 million Rest of capital would be covered from business angels (venture

capitalists) i.e. Rs. 5 million

Total of investment would be Rs. 10 million

Due to initial high set up cost, we expect the company to make aloss of Rs. 566,000 in first year

We expect the company to have Net Asset Value(NAV) of3,434,000


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We estimate the business to pay off after first year at a

growth of 15% for next five years as per growth estimated byeconomic survey of Pakistan.

We expect the balance sheet size to grow by 7% after firstyear.


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PRIMARYRESEARCH

Survey: Sample Size 50

Target: Households

Mothers and others

Outcome: Positive Convenient

Delighted to know that buyme would offer home deliverySECONDARYRESEARCH

Trends and Data of Supermarkets in Pakistan Market Research Magazines: Articles and Analysis

FINAL BUYME Presentation 1

Documents

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