Business_Plan_for_Enterpreneurship

EXECUTIVE SUMMARY VISION AIMS AND OBJECTIVES To establish a strong corporate identity and add value to businesses. To provide solutions to meet business needs. To help companies broaden their business opportunities. To achieve a client mix of small businesses, entrepreneurs and individuals. To improve our competitive position in the market place. To work with at least four separate organizations quarterly and obtain repeat work from them whenever it is available. FINANCIAL OBJECTIVES To achieve an income over £200,000 yearly. To achieve profit over £30,000 yearly. To break even in less than two years KEYS TO SUCCESS Good client relationships which can be developed on a personal basis as a result of being small. Unique, flexible and personalized services tailored to suit clients’ needs and provide 100% customer satisfaction. Easy access to our services. Developing visibility to generate new business leads. Excellence by being completely confidential, reliable, trustworthy. COMPANY SUMMARY PURPOSE OF BUSINESS Our purpose is to provide services in the following areas: Business training: Our business training courses are designed to educate and encourage business analysts to break down the organizational walls that lead to failure or non-delivery of business benefits. Our courses will be highly practical as we believe that this is the best way to learn and build confidence. Recruitment services: Outstanding people make a real difference in businesses and our approach to finding them will be innovative, comprehensive and unique. We intend to allocate time to help our clients recruit and select the best candidates for available positions in organizations. Whether you are looking for a permanent or contract staff at any level, we will help take the uncertainty out of the selection process by offering our services according to the needs of individual clients. We will provide the support you need to ensure that the right person is found for the role. MARKET SUMMARY Market Trend When dealing with the small or entrepreneurial business market, cost or price will be one of the greatest obstacles we will face. It will be up to us to assist clients in the discovery of how much it may cost them not to pursue professional development and establish Solutions Consulting as the most effective solution to their business challenges. With time, reputation and referrals will allow for a steady stream of new clients as well as regular price increases. Market Needs Solutions consulting limited will focus on small business owners, managers, and entrepreneurs who are concerned that their businesses have not grown at the rate they want them to. There is a serious need and significant demand for business consultancy services as some businesses lack the broad range of knowledge and expertise required to start up or continue a business successfully. MARKET GROWTH To achieve growth, we have four options: SWOT Analysis A basic tool for strategic analysis is the SWOT analysis. This is a method of examining businesses’ strengths and weaknesses in the market environment they operate. It also examines the opportunities a business has and the threats it faces. It has to do with the business idea and how it fits with the market. The SWOT seeks to achieve an overlap between the business environment and the firms’ resources (Burns 2007). Strengths Professionals with required expert knowledge and skills. Trustworthy and reliable consultants. Medium cost business to run. Adequate contacts with small businesses, entrepreneurs and individuals. Small size which means flexibility and responsiveness to customer needs. Negotiable fees. Loyal workforce. Good location. Weaknesses No brand image or reputation. No position with target customers and possible perceived lack of credibility. Not large in size and could get overstretched. Opportunities The presence of many businesses and individuals who need to make informed decisions regarding their businesses. Businesses seeking to improve the skills of their employees. Threats Economic recession. Intense competition from other consulting businesses. MARKETING MIX Product: Our product here is a quality business analyst training, recruitment and consulting service. All aspects of this service will be tailored towards enhancing business value. Four C’s Customer Solution: Our consulting service will solve business problems and challenges. Customer Cost: Our service cost is £450 monthly but also negotiable. Convenience: We can be reached online, by telephone and at our head office in Canary Wharf. Communication: We will communicate the existence of our service through TV commercials, radio broadcasts, Newspaper publications and posters. COMPETITORS ANALYSIS Our competitors consist of local consulting firms near London like Angsana business consulting, Grant Pearson Brown consultancy limited, City consulting, and Reckon LLP. We will also face intense competition from international brand names like KPMG, Price Waterhouse Coopers, Ernst and young LLP and Andersen consulting. Competitors’ Strengths: Our competitors have established brand names with a large customer base. They have more skills and expertise with adequate resources. They also have the required experience in the field. Competitors’ Weaknesses: Despite the strengths our competitors have, they may not be able to deliver services on a personal level as they usually take on major restructuring projects and have large companies as their customers. MARKETING PLANS We may not be able to handle larger organizations at the moment but will derive greatest benefits from small and medium sized businesses majority of whom may lack the in-house staff with adequate training and development, and who need expertise in administration and finance. Positioning A company’s offering and image needs to be designed to occupy a distinctive place in the minds of the target customers. Our goal is to position our service brand in the minds of our potential clients to maximize the potential benefits to them. A good service brand positioning will help guide our marketing strategy by clarifying the brand’s essence, what goals it will help our clients achieve and the unique way it will be done. We understand our service brand positioning and use it as a context for making decisions (Kotler and Keller 2009). This will result in a customer-focused value proposition. Our value proposition therefore is to provide efficient information-based consulting designed to increase clients operations and effectiveness and deliver overall, a higher value to clients. Sales and Promotion MANAGEMENT PLAN Human Resources: Solutions consulting limited will be managed by the owners – Onyegbadue Kelechi and Adigwe Ozodi who hold masters in business administration. The two partners will be responsible for main decisions and consulting responsibilities. We will employ three consultants in addition who have master’s qualification and one administrative staff who is a degree holder. They have the relevant experience in the required areas. Our consultants will take care of the training and recruitment services and the administrative staff will take care of the secretarial aspects and other supporting activities. Personnel Plan Owner/Consultants 2 £3,000 £3,000 Other consultants 3 £3,600 £3,600 Administrative Staff 1 £ 800 £ 800 EXIT STRATEGY Harvest: Our exit strategy will be to harvest the investments that have been made in the business. We intend to maintain good control systems and a good financial track record so that our business can be of value to someone else. Our most attractive harvest option will be to find a trade buyer or another company in the industry that understands the business and will likely place a high value on it. The company could see ways of adding value through purchase or by synergy (Burns 2007). FINANCIAL PLAN Our financial estimates are based on conservative estimates and assumptions. We have drawn up a profit and loss forecast for the next two years and a balance sheet for the next two years. A break even analysis and a two year cash flow forecast have also been included. Assumptions Yearly loan cost is £120. Bank balance is £124,012 for the first year and £114,212 for the second year. 2010 £ £ Gross profit b/d 204,600 Less Expenses: Professional Fees 300 Stationery 300 Marketing 1,200 Salaries 88,800 Vehicle Maintenance 600 Petrol 960 Rent and Rates 2,400 Insurance 120 Loan cost 120 Electricity and Gas 240 Net profit 150,480 * BALANCE SHEET FORECAST* AS AT 30TH DECEMBER 2010 Non-current Assets Equipment 3,000 8,000 Current Assets Cash 232,368 CAPITAL AND LIABILITIES Capital 150,000 Add: Net Profit 105,480 255,480 Non-current Liabilities 2011 £ £ Gross profit b/d 268,400 Less Expenses: Marketing 1,200 Salaries 88,800 Vehicle Maintenance 600 Petrol 960 Rent and Rates 2,400 Insurance 120 Loan cost 120 Electricity and Gas 240 ASSETS £ £ Non-current Assets Motor Vehicle 5,000 Equipment 3,000 8,000 Current Assets Cash 305,968 CAPITAL AND LIABILITIES Capital 150,000 Add: Net Profit 169,280 Non-current Liabilities CONCLUSION This business idea is a good commercial opportunity to meet with the market needs and demand and provide our services to business men and organizations seeking to improve their operations. Harnessing our strengths with the required funding will enable us succeed in adding the desired value to our customers.