Customize-It-Yourself Pte Ltd Business Feasibility Plan

Date Completed: 17-09-2013

By Francis, Kenneth, Cheston, Justyn

Contents

Page 2 - Executive Summary        

Page 3 - Business Description        

Page 3 - Market Analysis        

Page 4 - Internal and External Influences of your Business        

Page 5 - Marketing Strategies        

Page 6 - Financial Analysis        

Page 7 - Breakeven Analysis        

Page 8 - References        

Page 9 - Appendix I        


Executive Summary

Mission Statement:

Our company’s aim is to provide quality customizable items such as shirts, shoes,

stationeries, Macbook skins and others to our customers. We would provide excellent

services to our customer and we would be selling it at a competitive price.

Business Description:

Having almost any design of the shirt, shoes, stationery and MacBook skins and you can

even customize it. It has computers along the side of the shop so that you can customizes the

picture of the shirt or the design there. There is also basic design templates and staff to guide

you along. You can also design at home and just send us the design to print the shirt. The

design the customer created can be emailed to the customer as a receipt or the can even

customize even more.

Growth Highlights

Products & Services

Financial Information

Summary of Future Plans

 


Business Description

Business Name:

CIY

Customise-it-yourself

Mission Statement:

Our company’s aim is to provide quality customizable items such as shirts, shoes,

stationeries, Macbook skins and others to our customers. We would provide excellent

services to our customer and we would be selling it at a competitive price.

Vision Statement:

In a few years time, our company would want to aim to be at the top of our market that we are

targeting in. Our company would want to be selling the finest and greatest customizable items

such as shirts, shoes, stationeries, Macbook skins and others in our online stores and in our

stores that are in the shopping malls.

Objectives:

To be drafted and completed after Financial plan in Term 3

Business Description:

Having almost any design of the shirt, shoes, stationery and MacBook skins and you can

even customize it. It has computers along the side of the shop so that you can customizes the

picture of the shirt or the design there. There is also basic design templates and staff to guide

you along. You can also design at home and just send us the design to print the shirt. The

design the customer created can be emailed to the customer as a receipt or the can even

customize even more.

Business Structure:

I think I would got for a partnership because the work would be easier to complete and faster

to do and more people means the workload is lesser.

Business Type:

Customizing items such as shirts,shoes and stationeries, Macbook skins and others

Location:

Shopping Malls

Markets:

We would target a local market & the internet market first but if the company gets more

successful we might consider an international market.

Market Analysis

Your Market research results and your findings after evaluation of the results. You may include the following..

Target Market: Singapore Audience before becoming more successful; International Audience.

Competitors: Zazzle.com

Pricing strategy: $9.99+

Potential Demands: People would demand better quality stuff than our competition.


Internal and External Influences of your Business

3 Internal Influences

  1. Product – Our product would be of high quality.
  2. Finance/ Capital - Our company might be affected by a financial crisis and business would be low during a financial crisis.
  3. Staff/ Management -  Business may be affected if the owner is going overseas, or fell sick or other urgent matters to attend to, and the owner has to also get a part-time job to sustain a living because it is a one-man operation start-up initially.

3 External Influences

  1. Technological - Our products can be bought from our online shops and people would usually want their products to be delivered on their doorstep instead of going to our stores in the shopping malls so we would have better and faster applications to design the products they would want from our stores.

  1. Competitive situations - Our competitors might have a better product than us and this would then compete with our products and sales might go down because people would usually want the better product.

  1. Geographical - Singapore has a very small market compared to the other countries thus making it a limited target market.


Marketing Strategies

Anatomy of Product: Benefit it offers to different buyers

The Core Product: General purpose of product

The Tangible Product: Physical feature especially the unique feature

The Augmented Product: Value-adding services

The Future Product: Relevance of the product in the long term

Our core products are customizable items such macbook skins, stationary, shoes and shirts. The augmented product would be that we would provide warranty to our customers and they are also able to return the product if they do not like in the period of 30 days.  

The tangible Product is that the products are highly customizable and it can be easily be changed if the customer does not like the look.

The Augmented Product is that it also have a helpline that the customers can call when they are confused with the system. Also they could ask the friendly staff members at the store when they ran into problems.

The future Product is that the item will keep on evolving to suit the market’s needs as it can be customized.

Product: Customizable items like macbook skins, stationary, shoes and shirts.

Price: $9.99++

Promotion: Placing ads for our website on social networking sites such as facebook or twitter or any other well-known website.

Place: Online shop

The Customer - The customer would want to pay a reasonable amount for customization products. For example, the customer would want to pay $9.90 for a good quality Macbook skin that will last for a long time.

The Competition - Zazzel.com

The Cost - The cost of the cost price of our product.

Corporate and Marketing Objectives - Corporate: We want everyone to enjoy our product of high quality standards without negative remarks.

Marketing: We want our customers to buy as much as we can produce.


Financial Analysis

Capital requirement and finance:

Projected Sales:

Profits:

 

ABC Projected Profit and Loss Statement for financial year ended on:

 

31 Aug 2010

31 Aug 2011

31 Aug 2012

Establishment Costs

 

 

Business name registration

$64.99

 

Computer

$1,499.99

 

Web design

$499.99

 

Advertising

$499.99

 

Stationaries

$199.99

 

 

Total Establishment costs

$2,764.95

 

 

 

Sales

$64,153

$183,036

$522,222

 

Less: COGS

$42,769

$122,024

$348,148

 

 

Gross profit

$21,384

$61,012

$174,074

 

 

 

Expenses

 

Establishment costs

$2,765

$0

$0

 

Utilities

$600

$600

$600

 

Car instalment

$3,600

$3,600

$3,600

 

Petrol

$1,200

$1,200

$1,200

 

Advertising

$600

$600

$600

 

Internet, phone and mobile plan

$1,188

$1,188

$1,188

 

Depreciation of computer

$492

$492

$492

 

 

Total expenses

$10,445

$7,680

$7,680

 

 

Net profit before tax

$8,174

$53,332

$166,394

 

 

Tax at 20%

$8,174

$53,332

$43,262

 

 

Net Profit After Tax

                                               

$8,174

$53,332

$133,115

 

                                                                                       

 

 

 

 

 

Notes:

  1. Business Tax rate is at 20% for the first SGD$ 100,000 for the first 3 years.
  2. Depreciation of the computer is 3 years, straight line depreciation

What is Revenue?

1. Customizable Items Orders

What is COGS?

1. Website Payment (To keep the website online)

2. Ordering of stationery, macbook covers, shirt and shoes.


Breakeven Analysis

As mentioned earlier, the business has low overheads, low fixed expenditure and almost non-inventory requirement; thus, the business would have break even by the second month.  There is a high level of expenses in the first month due to the establishment cost. However, most of the cost would have stabilized and the business assumes that it remains somehow fixed for the rest of the three years. It is also assumed that delivery process will be made more efficient as the business progress over the next 3 years. Therefore, although there is a monthly sales increase over the next three years, the petrol expenses do not increase as number of delivery trips remains – while the quantity of goods delivered increases.


References

The I&E blog and the slides from it.


Appendix I

C-Y-I Projected Profit and Loss Statement for  financial year ended on 31 August 2011

 

 

 

 

 

 

 

 

 

 

Month

1

2

3

4

5

6

7

8

9

10

11

12

Total

 

 

Sales

$8,559

$9,415

$10,357

$11,392

$12,532

$13,785

$15,163

$16,680

$18,348

$20,182

$22,201

$24,421

$183,036

Less: COGS

$5,706

$6,277

$6,905

$7,595

$8,354

$9,190

$10,109

$11,120

$12,232

$13,455

$14,800

$16,281

$122,024

 

 

Gross profit before tax

$2,853

$3,138

$3,452

$3,797

$4,177

$4,595

$5,054

$5,560

$6,116

$6,727

$7,400

$8,140

$61,012

 

 

 

 

Expenses

 

Utilities

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$600

Car instalment

$300

$3000

$3000

$3000

$3000

$3000

$3000

$3000

$3000

$3000

$3000

$3000

$3,600

Petrol

$100

$100

$100

$100

$100

$100

$100

$100

$100

$100

$100

$100

$1,200

Advertising

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$600

Internet, phone and mobile plan

$99

$99

$99

$99

$99

$99

$99

$99

$99

$99

$99

$99

$1,188

Depreciation of computer

$41

$41

$41

$41

$41

$41

$41

$41

$41

$41

$41

$41

$492

 

 

Total expenses

$640

$640

$640

$640

$640

$640

$640

$640

$640

$640

$640

$640

$7,680

 

 

Profit before tax

$7,919

$8,775

$9,717

$10,752

$11,892

$13,145

$14,523

$16,040

$17,708

$19,542

$21,561

$23,781

$175,356

 

 

Profit after tax (20%)

$7,919

$8,775

$9,717

$10,752

$11,892

$13,145

$14,523

$16,040

$17,708

$19,542

$21,561

$23,781

$175,356

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

C-Y-I Projected Profit and Loss Statement for  financial year ended on 31 August 2012

 

 

 

 

 

 

 

 

 

 

Month

1

2

3

4

5

6

7

8

9

10

11

12

Total

 

 

Sales

$24,421

$26,863

$29,549

$32,504

$35,755

$39,330

$43,263

$47,589

$52,348

$57,583

$63,341

$69,675

$522,222

Less: COGS

$16,281

$17,909

$19,699

$21,669

$23,836

$26,220

$28,842

$31,726

$34,899

$38,389

$42,228

$46,450

$348,148

 

 

Gross profit before tax

$8,140

$8,954

$9,850

$10,835

$11,918

$13,110

$14,421

$15,863

$17,449

$19,194

$21,114

$23,225

$174,074

 

 

 

 

Expenses

 

Utilities

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$600

Car instalment

$300

$300

$300

$300

$300

$300

$300

$300

$300

$300

$300

$300

$3,600

Petrol

$100

$100

$100

$100

$100

$100

$100

$100

$100

$100

$100

$100

$1,200

Advertising

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$50

$600

Internet, phone and mobile plan

$99

$99

$99

$99

$99

$99

$99

$99

$99

$99

$99

$99

$1,188

Depreciation of computer

$41

$41

$41

$41

$41

$41

$41

$41

$41

$41

$41

$41

$492

 

 

Total expenses

$640

$640

$640

$640

$640

$640

$640

$640

$640

$640

$640

$640

$7,680

 

 

Profit before tax

$7,500

$8,314

$9,210

$10,195

$11,278

$12,470

$13,781

$15,223

$16,809

$18,554

$20,474

$22,585

$166,394

 

 

Profit after tax (20%)

$6,000

$6,651

$7,368

$8,156

$9,023

$9,976

$11,025

$12,178

$13,448

$14,843

$16,379

$18,068

$133,115

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Source:

http://sst2013-s202ine.blogspot.sg/search?updated-max=2013-02-21T19:29:00-08:00&max-results=7&start=7&by-date=false

http://sst2013-s202ine.blogspot.sg

https://docs.google.com/spreadsheet/ccc?key=0AjmWsmQdSVn-dHhjS2FrN19LS2NNTFdwRlRmdThYN0E#gid=1

http://sst2013-s202ine.blogspot.sg/2013/02/business-plan_1624.html