This third volume, like each volume of the series, offers genuine business plans used by real people. For your reference, we have also reprinted the business plan template, which provides a comprehensive overview of the essential components of a business plan and two fictional plans used by small business counselors.
Auto Accessories and Detailing
BUSINESS PLAN AUTO ACCESSORIES UNLIMITED 1012 Lafayette Blvd
AUTO ACCESSORIES AND DETAILING BUSINESS PLAN
BUSINESS DESCRIPTION
Sales-Auto Glass Sales-Cellular Sales-Security Sales-Accessories Sales-Detailing Sales-Classic Parts Sales-Audio Net Income % Cost of Sales Cost-Auto Glass Cost-Cellular Cost-Security Cost-Accessories Cost-Detailing. Sales-Auto Glass Sales-Cellular Sales-Security Sales-Accessories Sales-Detailing Sales-Classic Parts Sales-Audio Net Income.
MARKET ANALYSIS
Trucks and sports cars have the highest theft rate of all stolen vehicles, thus a need for auto security (insurance) increases. Retail (Primary Target Market) . Retail sales are generated in three ways: 1) walk-in traffic; 2) advertising traffic; 3) phone inquiries and orders.
AUTO ACCESSORIES AND DETAILING
PRODUCTS AND SERVICES
MARKETING STRATEGY
The purpose of this business plan is to secure funding for opening an automobile accessories franchise. The franchise will offer a wide range of products and services for the care and protection of automobiles and for the convenience of their owners.
EXECUTIVE SUMMARY
INITIAL COSTS
THE PRINCIPALS
He will attend the 15-day training class held by Auto Extras before the opening of the store. One full-time employee will be hired prior to the opening of the store so that said employee may also attend the training class.
MANAGEMENT PLAN
Jeff Masters will be an owner-operator also, but will only work at the store on a part-time basis. The location of the store and its visibility to the general public is a very important consideration in planning a marketing strategy.
MARKETING PLAN
Many also send out direct mailings that include self-promotional materials to households in the community. Auto Extras is a franchise system designed to put entrepreneurs in business with a moderate amount of up-front capital.
HISTORY
Both Ely's and Jeff's work ethic and past experience in the managing of personnel, scheduling, and budgeting will prove beneficial to this endeavor. Auto Extras started in 1974 with 6 stores; currently, there are 33 franchises in Michigan and 2 franchises in Ohio.
FINANCIALS Personal Financials
SUPPORTING INFORMATION
Cellular Product Knowledge Service Current Promo Service Aps Instant Credit Programming Handset Chip Book Quiz. Sales Your Choice Class picks product to discuss and get more product knowledge/features and benefits Financial/Computer Your Choice Class picks area in financial/computer study to practice or learn more about.
Carpet Cleaning Service
BUSINESS PLAN CARPET CHEM CORPORATION 585 Linberg
CARPET CLEANING SERVICE BUSINESS PLAN
COMPANY INFORMATION
Our main competitors are other supply houses that are specific to the carpet cleaning industry. We are currently targeting carpet cleaning companies and janitorial cleaning companies because they have the most experience with cleaning carpets.
MARKET STRATEGY
IMPLEMENTATION Marketing Strategy
MANAGEMENT SUMMARY
FINANCIAL PLAN AND
INFORMATION Important
Net profit margin Return on Assets Return on Equity Activity Ratios AR Turnover Collection days Inventory Turnover Accts payable turnover Total asset turnover Debt Ratios Debt to Net Worth Short-term Debt to Liab. Long Term Interest Rate Collection Days Payment Days Inventory Tumovi Tax Rate Percent Expenses in Cash.
Computer Matchmaking Service
BUSINESS PLAN MATCHMATE, INC
COMPUTER MATCHMAKING SERVICE BUSINESS PLAN
LEGAL STATUS
MISSION STATEMENT/
PURPOSE
STAGE OF DEVELOPMENT
DESCRIPTION OF COMPANY
This included a photo gallery and biographical data about singles who posted in a special section called American Ads (listed by state). As more international sites are sold, personals pages will be added as a service to singles who do not wish to undergo matchmaking.
PRODUCT/
That section grew in the second month to include Canadian and Asian photo personals and will be further expanded to include Russian and Brazilian personals. While this portion of the service does not match-make, it accommodates those singles who wish only to view photos and contact other singles.
SERVICES
In the spring of 1995, MatchMate sold its interest in Western Massachusetts as an existing base and moved its headquarters to Boston, Massachusetts. Media experts project that it will be another year or two before the average computer will come fully equipped with the necessary tools for reception.
TARGET MARKETS/
MARKETING/
ADVERTISING/
SALES
STRATEGIES
The marketing pieces go directly to the occupant and can be passed along to family and friends. The MatchMate business plan includes second and third mailers to prospects who did not join the service after requesting information.
COMPETITORS' MARKET
DISTRIBUTION
COMPETITORS' ADVANTAGES/
DISADVANTAGES
She also provides Enhanced Services to members who desire the personalized, one-to-one matchmaking service. We fully expect to hold and continue our growth as the world's largest matchmaking service.
MANAGEMENT
She is the president of MatchMate, Inc., and functions as the Marketing and Sales Director for services and licensees. He is the vice president of MatchMate, Inc., and functions as Technical Support Director and Chief Financial Officer.
LONG-TERM GOALS
She is the author of feature articles in numerous national magazines, a frequent radio and TV talk show guest, and is recognized as a leading expert of computer matchmaking by industry associations. As the availability of zones in the USA and Canada diminishes, the corporate goals will focus on the sale of international zones and the addition of personals for individual countries.
MILESTONES
Computer/Equipment Depr/Computer/Equipment Total Fixed Assets Other Assets Organization Expense Amortization/Organization Security Deposit.
FINANCIAL STATEMENTS
Advertising Adv/Billboard Adv/DirectMail Adv/Electronic Adv/Pr Adv/Printing Adv/Chery I/Printing Ending Balances=. Post/Federal Exp Post/Equip Lease Post/Mail Box Rent Post/Postmaster Post/Supplies Ending Balances = Rent.
Dance & Skate Outfitter
DANCE AND SKATE OUTFITTER BUSINESS PLAN
STATEMENT OF PURPOSE &
GOALS
Arabesque Dance & Skate Shop will offer for purchase dance, skate and exercise wear, including ballet, jazz and tap shoes, tights, leotards, and warmup wear. Arabesque Dance & Skate Shop will meet the needs of students by offering a complete line of high-quality, reasonably priced dance and skate apparel and shoes.
BRIEF BUSINESS DESCRIPTION
Products to be offered include name-brand dance, skate and exercise wear; a small selection of costume props, and miscellaneous dance-related keepsake or statement products. The target audience of Arabesque Dance & Skate Shop includes dancers, skaters, and exercise enthusiasts within a 20 mile radius of the city of Plymouth.
A survey of dance studios in the Plymouth area was met with enthusiasm by several studios. The store is in the back of a swimwear store and looks like everything was shoved into a storage room.
CUSTOMER DEMOGRAPHICS
We carry a variety of dance and skate apparel, shoes and accessories; and we want to pay special attention to your needs and preferences. Ballet: Brand (Danzier, Emmet, etc.) Size (length/width) Style (split sole, canvas, whole sole, etc.)_.
TEACHER AND
Do you prefer that your beginning pointe students wear a specific brand or style of pointe shoe. We carry a variety of dance and skate apparel, shoes and accessories; and we want to pay special attention to your preferences and needs.
STUDENT SURVEYS Teacher Survey
CHECKLIST OF RESOURCES
Blackville & Assoc.-- Southfield Alpine Fixtures — Plymouth Store Fixtures-Used Alpine Fixtures - Plymouth Retail Again — Warren.
BUILDING/FIXTURE SOURCES
FINANCIAL PROJECTIONS
Dial-It Service
DIAL-IT SERVICE BUSINESS PLAN
COMPANY PRINCIPALS
PROGRAMS Dream Sense
The production of radio and television advertising, including an infomercial, will certainly help propel this new information source to the top of the pay-per-call field. The rapid growth of technology in the computer industry, coupled with the on-line services of the Internet, has made a new pay-per-call program possible.
PROJECTIONS
Accounting services are augmented by a staff of seven programmers, who have automated most of the back office functions of the company. Live One on One $3.99min $1.25min Caller engages in a two-way conversation with a live operator/telephone actress.
COMPANY ORGANIZATION
Live Two on One $4.99 min $1.40 min Caller engages in a two-way conversation with 2 live operators/telephone actresses. Engages in a group conversation with up to 8 callers, monitored by a live operator who directs the conversation.
COMPANY OVERVIEW
Once the sale has closed, it is serviced by the Florida staff, which performs all service and back office functions. Within the near-term, it will be re-domiciled within the State of California and converted from an S-Corporation to C-Corpora- tion.
PRODUCT LIST AND PAYOUT
The Florida staff is also responsible for interfacing with clients and providing clients with technical assistance.
Dry Cleaner
BUSINESS PLAN
Z. VENTURES, INC
DBA EXPERT CLEANING 1000 Major Blvd
DRY CLEANER BUSINESS PLAN
Ventures is entitled to one-half of the monthly royalty paid by franchisees to the Expert Cleaning Franchise Company. Ventures has been actively seeking locations which exceed the demographic requirements of the Expert Cleaning Franchise Company.
COMPANY HISTORY
Ventures shares both one-half of the $25,000 franchise fee and one- half of the commission on equipment (exact amount varies) with the Expert Cleaning Franchise Company. Equipment used in an Expert Cleaning production plant is strictly automated and state-of-the art.
OPERATIONS
Store location, service alternatives, advertising, and pricing are designed to attract and meet the needs of the Expert Cleaning target market. Within the next three years of expansion, competitive encounters with all of the aforementioned may occur.
MANAGEMENT TEAM
In order to remain cost effective, the organizational structure of the company will remain streamlined and lean. Similar to the satellite locations, revenue projections for plant locations are based upon a combination of past sales performance of the company and national averages.
FINANCIAL PLAN
The stream of sales revenues in the Projected Statement of Profit and Loss is considered by management to be very conservative. Advertising 2% of sales revenue direct mail, classified advertisements Entertainment 1% of sales revenue meetings with developers, brokers, fran.
1997 Consolidated Statement of Projected Profit and Loss
RISK ANALYSIS
SUMMARY
Ventures has no immediate plans to open Felgen's Shop 'n Save satellite stores in 1995 due to the upcoming renovations of several of the potential Felgen's stores. The company possesses several strengths which will play an instrumental role in its upcoming ventures.
Fast Food
BUSINESS PLAN PASTA EXPRESS
PASTA EXPRESS BUSINESS PLAN
PROJECT DESCRIPTION
Revenue Royalties Old Stores New Stores Operations Truck Revenue New Stores New Territories Total Revenue Expenses Advertising Labor Rent Phone Insurance Supplies Utilities. Pasta Express will buy out the 25% stock position at 2.5 times the initial investment, or the investor may choose to remain a stockholder in anticipation of a public stock offering.
DESCRIPTION Mission Statement
INDUSTRY ANALYSIS
Hamburger stands began to evolve into a new restaurant concept known as "fast food." In the '70s and '80s hamburger and pizza operations created a whole new market for menus alternatives such as chicken, fish, and tacos. Now the new restaurant trend is affordable fast food that has the home-cooked taste.
COMPETITIVE ANALYSIS
Pasta Express is one of the best alternatives in the market to meet the demands of this new market segment. Given their success in the pizza and franchising business, Little Caesar's Enterprises has an enormous resource pool which could be dedicated to becoming a major player in the fast food pasta industry.
CURRENT STATUS
MANAGEMENT PROFILE
Also owns his own franchise consulting firm which has been profiled in The Detroit News and The Detroit Free Press, Crain's Detroit Business, and Franchise Buyer. Has been interviewed on national TV and radio and is a major source in the franchise industry for all media outlets, including The Wall Street Journal.
BUSINESS PLAN PASTA NOW!
DESCRIPTION OF BUSINESS
FAST FOOD BUSINESS PLAN
Roland Miller has gained management and budget experience through his work as a Captain with the Las Vegas Fire Department. There are many competing, well-established fast food outlets in the area; however, none of them are currently providing a similar product.
ANALYSIS Geography/
The national restaurant industry includes approximately 125,000 restaurants plus 235,000 fast food restaurants, according to the National Restaurant Owners Association (NROA). None of the local restaurants specializes in quality pasta at affordable prices in a fast food setting.
DESIGN &
DEVELOPMENT PLANS
Obtain marketing package from corporate headquarters advertising agency and customize to our local by September 1. The remaining 2% goes to the corporate headquarters to be used to develop radio and print material for our local franchise stores.
OPERATIONS &
MANAGEMENT PLANS
Miller has worked in the broadcasting industry since 1980, having functioned as operations manager for a local radio station. Miller also serves in the information Officer role for the Fire Management team, responding to major emergencies.
FINANCIAL COMPONENTS
Miller has been employed by the Las Vegas Fire Department since 1984, currently holding the rank of Captain. His duties include supervising the operations of one of three city fire stations, commanding equipment and personnel at the scene of various types of emergencies, responding with a regional hazardous material team to mitigate hazardous materials incidents, and providing training and instruction to department members.
Food Processor
BUSINESS PLAN RIO GRANDE 12659 San Ablo Blvd
FOOD PROCESSOR BUSINESS PLAN
SITUATIONAL ANALYSIS
This is something that Rio Grande Foods can concern itself with in the future, it is not. Rio Grande Foods is a very small company in the start up stages of a business venture.
THREATS AND OPPORTUNITIES
STRENGTHS AND
WEAKNESSES Strength
The company's objectives are to earn a position in the marketplace as a manufacturer of high quality Mexican food products in the specialty foods industry. At the same time the company wants to diversify its product mix steadily with products of the same quality standards as Rio Grande Salsa Picante.
ASSUMPTIONS
The beginning of 1994 marked the beginning of the company's intial effort to establish its customer base, at which time it saw an increase of 200%. The company will continue to target the high income educated individuals originally discussed in the "Market Segment Currently Targeted" section.
STRATEGIC PLAN Marketing
Pricing Fit per Segment - The company is trying to position itself as a processor of highly valuable products in the specialty foods industry. On the following page a breakdown of the company's specialty foods pricing practices can be seen on Table 1 in the appendices.
TACTICAL PLAN Product
The company will have to continue pushing the product through the marketing channels on a wholesale basis to the targeted segments. The company will have to begin compiling a list of potential customers that can be screened for accuracy.
CONTROL
The company will also offer occasional business to business promotional allowances to retailers in terms of lower wholesale costs. In order for these sales promotions to be feasible, the company will have to maintain sales growth as mentioned above.
FINANCIAL INFORMATION
On table 2, the cost of goods sold will be dropping steadily if growth of 9% per annum can be sustained after account growth has stabilized at the end of the second quarter in 1995 with revenues of $7,500. These extra funds will help the company become more recognized through the use of print media as it tries to establish itself in the specialty foods industry as a.
BUSINESS PLAN GRAFFITI, USA 8100 Los Ablos Blvd
THE CONCEPT
Graffiti, USA will be in greater touch with the needs and desires of the community. All Graffiti, USA financial statements, budget, payroll, expenses, and other functions will be handled on computer spreadsheets and text programs.
CUSTOMERS
Then the Hanly Soda Blaster was used on a small area of the wall by the local distributor. Needless to say, the property manager was pleased to learn of the effectiveness and speed with which the Hanly safely cleaned the wall.
UTILIZATION OF FUNDS
Initial expenditures and purchases cover the equipment and basic supplies and operating capital necessary to support operations for at least four to six months.
CONCLUSION
APPENDIX Terms and
Ice Cream Shop
The Fran's Ice Shoppe of Davis (franchisee), will construct, develop and operate a licensed franchised ice cream dipping shop of The Fran's Ice Shoppe Company, Inc. Revenue will be primarily from the sale of hand-dipped ice cream and related products consumed within Davis Plaza.
ICE CREAM SHOP BUSINESS PLAN
This single retail dipping shop will sell Fran's ice cream and related products, all manufactured by the franchisor under its name. Except for a small Earl's Ice Cream Shop and a Frozen Treat selling soft serve vanilla only, there is no other competition within Davis Plaza, and no outside competition within 2 miles of The Plaza.
INTRODUCTION
The ice cream ordinarily is not sold for retail dipping except to franchised dipping shops. Franchisees have been granted a license to sell certain ice cream products under the Fran's name since 1977, although the franchisor has been conducting a business of the type operated by the franchisee since 1983.
FACT SHEET
The Fran's Ice Shoppe of Montclair (Shoppe), will be a franchised operation of The Fran's Ice Shoppe Company, Inc. The ultimate parent of the company is Drake PLC, a public corporation listed on the London Stock Exchange, via ownership of The Harley Company.
DESCRIPTION OF THE BUSINESS/
The Company manufactures a large and growing volume of Fran's products which it distributes through a variety of channels. Affiliates of the franchisor are actively engaged in various other sectors of the food service industry, including fast service restaurants, theme restaurants, food service supply business, institutional and retail food production, distribution and sales and food commodity transactions.
OBJECTIVES
This amount does not include the $35,000 franchise fee, $3500 Fran's grand opening contribution, or $7870 cost of architect's plans for the store which Gus and Cheryl Dwyer have already invested in this business from their own funds. Based on a preliminary timetable it is anticipated that the shop will be operational for business no later than April, 1, 1996.
THE MARKET
An additional marketing strategy of the Shoppe will be sales generated from freezer carts bearing the Fran's logo and colors off site from Davis Plaza. The principals believe that the two ice cream and yogurt related businesses inside Davis Plaza are the Shoppe's main competition.
PERSONNEL
Six to eight high school and/or college students will be hired to work at the Shoppe on a part- time basis. The combined management experience which the principals have will be an asset to them in training and managing a productive team of Shoppe employees.
DEVELOPMENT TIMETABLE
Those employees will be trained to make prudent decisions in the absence of Gus Dwyer and to carry out the duties of the Manager on an as-needed basis. All Shoppe employees will be trained to perform all customer service, quality control, and cleanliness and sanitation procedures utilized by the Shoppe, and will know exactly what is expected of them as a Fran's Ice Shoppe employee.
PRINCIPALS' PROFILES
Cash Flow Projection - First Year
Business Plans Handbook ICE CREAM SHOP. 1) Principal reduction on the SBA loan (in the amount of approx. Upright Pie & Freezer Display Case Refrigerated Pastry Display Case 27" Fountainette Cabinet Drop-in Ice Cream Bar Freezer Single Door Reach-in Freezer Single Door Reach-in Flash Freezer Single Door Reach-in Refrigerator 6 X 8 ft - 15 degree Walk-in Freezer.
Indoor Playground
I NDOOR PLAYGROUND BUSINESS PLAN
MISSION AND STRATEGY
Kid's World will be able to immediately fill this void in the market by providing extensive recreation, entertainment, and restaurant facilities for children to play in and explore. Kid's World's safe, secure, and clean environment will assure parents while providing opportunities for their children to have fun in a stimulating environment.
MARKET Background
Kid's World will only utilize the softest and most extensively-padded equipment in the industry. Kid's World will carry a $1 million per occurrence liability insurance policy in the event of lawsuit.
PRICING,
PROFITABILITY, AND BREAK
For family celebrations Kid Kingdom will offer three birthday packages for parties of 8 of more, consisting of a two hour limited time of play, birthday cake and ice cream, free game tokens, and, depending on the type of package, pizza or hot dogs and a special gift for the birthday child. Three game tokens per child Invitations/Balloons Half-sheet cake Pop/punch Icecream Pizza or hot dogs.
OPERATIONS Hours of Operation
The majority of leasehold improvements will be completed by the landlord prior to our occupancy. These capital expenditures will be depreciated using the Modified Accelerated Costs Recovery System (MACRS) over various lengths depending on the useful lifes of the assets as mentioned above.
MANAGEMENT AND STAFFING
Based on franchisor estimates, Kid's World will require $50,000 of available cash, line of credit, or other liquid reserves to cover operating expenses for wages, utilities, rent, and similar expenses. Management fees can be reduced or eliminated entirely, as the member-managers do not depend on the business as their main source of income.
CONTINGENCY PLANNING
Certain games and planned playpark additions can be leased, reducing up-front cash expendi- tures by. The Secretary position can be eliminated and its job responsibilities performed by the two Assistant Managers.
PROJECTIONS Projected Revenue
Increase in current liabilities Decrease in current assets Net Cash Provided by Operations Cash Flow from Investments Purchase of equipment. Addition to leasehold improvements Net Cash Used by Investing Activities Cash Flows from Financing Activities Loan Proceeds.
Statement - Year 1
