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BUSINESS PLAN FOR SPECTRUM SOLUTIONS

Prepared For:

Mr. Faisal Wali (FsW)

Faculty MGT 368: Entrepreneurship
Prepared By:

Sayeed Bin Masud Rafi Ahmed Shuhan M. Shakil Alam H.M. Waker Mahmud

ID: ID: ID: ID:

071521030 062551030 073089030 081022030

Date of Submission: 8th August, 2010 North South University

8th August, 2010 Mr. Faisal Wali Faculty, BBA Program North South University Dhaka Subject: Business Plan Dear Sir, We wholeheartedly thank you for giving such a wonderful opportunity to make a business plan for Mgt368 (Entrepreneurship) course. It has been a wonderful opportunity to learn and it has given us many insights into the business scenario of Bangladesh. Starting a business is a tough job. Along with investment, there is also the need of proper planning and management, training and follow up programs. We believe entrepreneurs who have go into a business taking all aspects of the business into considerations are likely to do better than others. We went through a very tough time discussing among ourselves about what business we can plan so that we dont have to throw it out of the window once we are done with the course. So we have designed a business plan of a Multipurpose Consulting Firm named Spectrum Business Solutions. This, we believe, is something we can truly pursue once we have graduated. We tried really hard to make a comprehensive analysis. We have conducted some research that was possible under the scope of the knowledge that we have gathered collectively so far. We as a group were very fortunate because each of our members have his own area of interest in business, and so could divide the effort accordingly and count on each other. We hope that we have managed to live up to your expectations and come up with a feasible business plan. Sincerely, Sayeed Bin Masud Rafi Ahmed Shuhan M. Shakil Alam H.M. Waker Mahmud XLI XLI X X

Table of Contents
Sl 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Executive Summary Overview: Industry, Marketplace and Macro Environment Overview: Company, Operations, Marketing, Finance, Organization Introduction Company Overview Market and Product Analysis SWOT Analysis Description of Venture Operations Plan Marketing Plan Organizational Plan Financial Plan Project Implementation Schedule Exit Strategy Conclusion Topic Page 3 4 4 7 8 9 19 24 21 26 30 31 43 48 49

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Executive Summary
This business consists of all the necessary planning steps and forecasts that seemed important for a new business to start. Great effort has been put to assess the investment worth of the proposed project through different kinds of analysis and evaluation of management and organization aspect, funding sources, marketing plans and forecasts, marketing analysis, financial forecasts and resource allocation, along with industry and market analysis and operations strategies. All these will be very helpful when the business gets going and will be very helpful in finding answers for our problems related to the functions of the business. Making a business plan is not always easy, but one has to take the effort to try it. And since we plan to have our own business one day, hope the plan will be a potential doorway to a successful business.

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Overview: Industry, Marketplace and Macro Environment There are many opportunities underlying the business attempt. This results from the increase in the demand for consulting in marketing, financial and human resource sector development in an organization. Also an organization requires consultancy in the running and controlling of its various business activities. Many social and economical changes like increase in the disposable income and increased acceptance of female executive development are also important. Furthermore times are changing and things are becoming very competitive for every organization. As a result an organization must be very well equipped to face the environmental constraints for their day to day activities. The customers need to be made aware as many of them do not have any clear idea about the companies and their services such as these. Many have a lack of trust and many want to join. It is high involvement product. Therefore, a core competency of the company will be to provide quality service at a reasonable price and another shall be to provide extra benefits such as flexibility of timing, payment schedules etc.

Overview: Company SPECTRUM SOLUTIONS is a proposed project of Multipurpose Consultant Services that will try to increase the efficiency and effectiveness level of consulting for various activities mainly in the finance, marketing and human resource sector of a business. It hopes to provide such services through professional and timely services in consulting the clients. Overview: Operations The operating procedure has more than twelve steps including the expansion of the company. The capacity in terms of consultancy service provided per year is 50 on an average. The legal status of the company is that it is a Private Ltd. Company. The number and descriptions of inventory and equipment needed has been detailed along with the infrastructure and logistics related things like location, suppliers and floor space.

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The project implementation schedule calls for 26 weeks to get the project started. Overview: Finance A detailed costing for the first year and the next five years has been presented along with the revenue forecast for five years. The projected income statement shows a loss but since the owners are contributing to the whole expense for the year, the revenue generated is the net inflow in that year. It projects a positive NPV, and a benefit cost ratio of more than 1 and an IRR of 68%, which is well above the social discount rate, it means that the project will be profitable. The breakeven analysis shoes that just at the end of the first year, the firm will break even. There is an amount borrowed from the bank and guarantees of a plot and a Fixed Deposit account are held against it. There are certain financial risks associated with the business, though not that prevalent, and the exit strategy is to go public. In this business plan we have tried to delineate the fine aspects of the business and all the details facts that surround them. The creation of the plan, since it is a new business, have already helped us out in developing my skills in future planning and forecasting. Not only in selecting the type of business we are going to open up, but also the pen-and paper implementation has enabled us in identifying the true spirit of entrepreneurship. The real value of doing this business plan is not for having the finished product in hand; rather, the value lies in the process of research and thinking about the business in a systematic way. The act of planning helped think things through thoroughly, study and research when we were not sure of the facts, and look at the ideas critically. It took time now, but helped in avoiding costly, perhaps disastrous, mistakes later. It also has given us a lot of insight as to how one should proceed before he or she takes up a venture.

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Overview: Marketing The target market consists of the organizations both MNCs and the local organization as well as development organizations. The marketing plan shall focus more on educating the uninformed customers and then promote our special qualities. This shall be done by a unique mix of the four Ps and a separate strategy related to sales. Marketing forecast has been done for five years. Overview: Organization There are three owners/shareholders of the company, each holding equal amount of shares of the firm. A good and efficient management team of six members and lawyers, bankers and auditors for the firm are also described in the plan. An Organogram has been provided with five levels. The duties and abilities of the directors include the distribution of work, attending meetings, giving important decisions, evaluate annual performance, take disciplinary actions etc. The types of consultants that are required by the organization are also kept in record.

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INTRODUCTION
Origin
This Business Plan is a requirement for the course on Entrepreneurship, assigned to us by Mr. Faisal Wali, the course instructor. He has always believed that having a practical knowledge of issues pertaining to being an entrepreneur is more valuable than being involved in only text books and so on. He also believes in making discoveries, and emphasizes on learning ourselves. Hence, we tried our best to show-off the knowledge we gained from all the real-life, practical lessons given to us during the classes.

Objective
To come up with the detailed analysis of the aspects relevant to the launching and functioning of a multipurpose consulting firm. To learn about the ways in which forecast and anticipations are made and used in practical situations relating to business. To analyze the issues that would be relevant to the contingencies of the business and to be able to accumulate the things that we have learnt till now, e.g. projected balance sheets, market research, customer analysis, performance appraisal systems etc. in one business context. To gather knowledge on the writing and developing of a proper business plan would be essential if we plan to create any businesses of our own in the future. To enable us to be more effective entrepreneurs.

Methodology
In carrying out the activities we have followed certain strategies. We have put down the methodology of carrying out these activities in according to the sections mentioned next.

The Concept
Multipurpose Consulting Firms refers to the provision of various services that an organization might require. According to this concept, a consulting firm tends to provide only selected services. This consulting firm will provide multiple forms of consultancy services and as a result the organizations will not have to hire many firms for their managerial functions. This will help in their efficiency as well effectiveness in earning XLI XLI X X

profit and increased revenue. In our country, the essence of this service has not started and no institutions had been operating this program without such effort as today. We then decided to create a business venture with the four of us as the members and owners.

Data Sources
Both primary and secondary data have been used to come up with the business plan report. Some of the sources of the primary data are: Personal Interviews Consultation of the secondary data sources Surveys In depth interviews, mainly of the potential customers. Guidelines provided by our faculty during lectures. Websites and internet pages. Books and journals on Executive Education Centers. Periodicals regarding the demographic characteristics of Bangladesh and deciding on which market the service should be introduced. Tricks of the trade we picked up from other courses.

Company Overview
Background
This is a proposed project of Multipurpose Consulting Services and the main idea to come up with such a centre is to give multiple consulting services for the benefit of the organization and its operations. It will hope to provide services which will enable them to perform better and as a result help in achieving their goals. We decided to develop this consulting service because in our society there is high demand of better business organization, planning and operation a very low supply of it. To remove this gap lots of consulting agencies are needed in our country. The

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promoters of this project want to establish such a service by which that gap will be filled and people will be able to find a new way in the case of better business operation. Hopefully this business plan will not only help us, but also the people who would want to open up such a business that provides multipurpose consulting service along with profitable and efficient service and guideline for the operation of the organization.

Vision
SPECTRUM SOLUTIONS shall become the leading consulting service center in Bangladesh within the year 2012, in terms of the highest capacity to provide consultancy to organizations and also in terms of technological sophistication in providing such services executives. We shall have at least one branch in each of the divisions of Chittagong, Khulna, Sylhet and within 2015.

Mission Statement
SPECTRUM SOLUTIONS shall be one of the leading centers in consulting arena in Bangladesh and the main purpose of this center would be to provide quality consultancy and guidance of organization at a reasonable price . The quality would come from the technological sophistication, national and international consultants and service providers, experts and relationship oriented approach with the organizations.

Market and Products

ABELLS Framework:
Who is Customer? The target customers are mainly the organizations who are already operating in our country and also the executives who are running the organization. We think they need the service because they are the ones who will run the organization and make the decisions that are necessary for their management in either running or operating the business organization. These organizations will be mainly from the local and MNC operating in the country. Also development organizations will be aided in their operations.

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What is the need? There is a rising need for better managed and better planned organizations and well equipped executives in todays world. This is true not only for Bangladesh, but also the global context. The managerial functions of finance, marketing, operation and so on are a parallel way to get an organization to the way of development along its life. The need that our company will address belongs not only to the stated needs of getting consulting service, but also the unstated needs which deal with the development of the organization as a whole.

How to fulfill that need? SPECTRUM SOLUTIONS has the following product and service strategy to hold the market in different ways: i. By providing quality consulting service and development support both theoretical and practical. ii. By enhancing good reputation with the help of experienced and educated consultants. iii. Seminar in various organizations by focusing on its future and the quality of the service. iv. By providing the service at a good price. v. By providing quality service and client satisfaction. vi. Provide on the job consulting services and providing the clients with relevant stimuli that it would have to face in the running of the business. vii. Put up a customer advisory and information service department. viii. Effectiveness enhancing activities like role-plays, workshops and debates. ix. Carry out effective simulation and take the relevant individuals for simulation to provide development and consulting in various scenarios.

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INDUSTRY ANALYSIS:
The industry of Multipurpose Consulting is not very well established in our country. In fact, it is not even introduced in Bangladesh in the last few years and the number of institutions providing these kinds of multipurpose consulting firm is very non-existing. Some consulting firms are there who provide business related services such as MRC Mode, Somra, Sirius provide services only in the area of marketing research. Yet there are very few industries that provide such form of convenient service such as providing all forms of consulting services in all areas of the business sector. There are some consultants such as SRGB and so on who do provide services but are still not very predominant. Though the number of suppliers is low, the demand for these kinds of consulting firms is on the rise. This is mainly because more and more businesses are looking for efficient services and effective managers and people are starting to take it seriously. There is a huge gap in the demand and supply of this service, and it promises a very good potential in future if operated properly. The almost untapped market provides a good example of our effect of globalization as well as changing attitudes towards work and management.

Marketplace Analysis
Who is the market? What are the characteristics? Our Marketplace consists of the people living in the main Dhaka City, and for that reason we have chosen the location in Gulshan. But as far as our knowledge and experience goes, concerned people travel great distances to get to the consulting firms, because it is a high involvement purchase. Since it is a service industry, we are concerned mostly with the consultants, and we have assessed from some research work that consultants from various areas and aspects of service are more applicable for the level of quality we are trying to promise and provide. That is why we have contacted and appointed the consultants with not only qualifications, but also the experience and ability to build and maintain relationships with the trainees and executives. XLI XLI X X

Another thing that we found out is that networking/ affiliation is very important, either with another university or some reputed organization, just like our faculty mentioned in the very first class of the semester. But also, people now look more into the quality itself and not to whom a company is associated with.

How fast is it growing? The potential market is largely untapped, and it offers great prospects to the multipurpose consulting firms that exclusively provide these kinds of quality services. The growth rate of the market could not be well specified, as the market itself is not very well formulated or well defined in terms of characteristics, performance, needs, demand and demographics. However it is growing at a rate more than 50%, as the need and importance of good quality services are on the rise.

The Trends in the Market An increasing trend towards the qualification of the consultants can be observed. This means less emphasis on degree achievements and more on skills like communication and interpersonal skills. More and more people want to get such a service and consulting or training that will enable them to be in line with the toughest competition in the workplace and job scenario. Not only MNCs are eager to obtain such services but local organizations are also interested. The most important trend is perhaps the fact that increased globalization and easy communication had made a way for the betterment of many aspects in the business world, which also includes the multipurpose consulting firm issue. This trend has meant that many firms are willing to access quality service in order to obtain better management skills in running the organizations in the area of marketing, finance and so on. The interesting thing is that most companies prefer to go to one place and obtain services in all areas of business form that place or center. Many forms of consultants are available in the market nowadays. If we look at the industry as a whole there are several key players in different areas of the sector. We have consultants in the industrial sector, for airport maintenance, IT sector and of course the business management. We also have consultants in the various areas of marketing, finance and so on.

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PESTLE Analysis
Political Environment The political environment, though quite unstable in our country, does not pose any immediate threat to our venture. One important thing, however, is the tax system imposed by the different governments at different time periods. For example, the current government has decreased the tax on computer items, so we can get some good things at a lower cost. Again, they have also increased gas bills, which shall increase our operating costs. Another aspect of the political environment is related to Hartals and Strikes, which hamper the positive growth of any upcoming business venture. In our case, this is severe as the time factor is very critical for the type of services we are going to provide. Again, having influential political people in the Board of Directors are a very good way to keep the business gong successfully, but since ours is a private company , we are not very vulnerable to this kind of issue. Economic Environment The economic environment is quite friendly at this point of time with the percentage of interest in loans for opening new businesses at 14%-15%, depending on where the fund you get from. Still, it is quite high if we compare it to other countries. For example in Britain, the interest rate for such a project loan is around 10%. Another thing of utmost interest is that we can get lease at 13% interest now, the building or machineries or whatever we need at this rate, as banks are giving lease too. But before, when the leasing companies used to give lease, it was at 15%. Our economy is not undergoing any immediate recession as the rest of the world is, and as far as new businesses such as the SPECTRUM SOLUTIONS are concerned, the potential has gone up at a huge amount.

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Social Environment This aspect is really important, especially in the development of the demand characteristics and market conditions of the development centre. The society is increasingly accepting the need to enhance ones skills to develop him/her as a better manager. Also firms are trying their best to cope with the rapid changes in the environment and increase their efficiency as well as effectiveness in running the organization. Increasing desire to gain something better and demand of better consulting services are important determinants of the demand situation. Technological Environment Technological environment is also not very critical in this case, as our institution will basically provide service, rather than any tangible product. But in order to provide the service effectively and efficiently, certain level of sophistication and technology are required. For example, the use of overhead and multimedia projectors, computers, internet, cars etc. The availability of these objects in our country makes it easier for firms like us to operate in the way we want. Legal Environment Even though the legal environment of our country is not very stable, it is quite in favor of starting up businesses like this, in comparison to large corporations or sole proprietorships. Still, there are certain problems, which cannot be overlooked, such as corrupted officials and lag in the receiving if the trade license. For this very reason, there have been some problems to get loan from the bank in the first place, as they ask for many guarantees which, otherwise wouldnt have been necessary. This is one reason we have gone to a multinational bank to get the loan and not any government bank. Ecological Environment The ecological or physical environment is not very relevant or critical in the case of a Multipurpose Consulting Firm. Some of the factors that can be mentioned are the infrastructure of the Dhaka City and ease of communications at present.

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Customer Analysis
We have done a small survey or interviewing of the potential customers of our company. This was more of an exploratory type of a research. What we found out was really extra-ordinary. The findings are summarized below: Many of the potential customers are not aware of such multipurpose consulting firm service offered solely to people like them. They are interested to obtain such services from such organizations that are able to provide multipurpose services to individuals and firms. Many of the potential Customers of the service do not trust the companies at all. The reason is that many such companies opened and then after some time wound up or went bankrupt. This resulted in the financial and time loss of many customers. Many customers were eager to go for such a service but were reluctant to try one out, just without any specific reason. Many customers want to join the program but cannot afford the amount of fees that are requires in the institutions. Some of the potential candidates think that going to this kind of an institute is useless and simply a waste of time and money. Some of the potential customers are very eager to go into such kind of a program and are ready to fill out forms and sign checks if necessary.

We have summarized the number of customers talked to and how many of them supported and wanted to join the program and how many of then did not is given below: Table 3.1: Customer Response
Description Number of People Contacted Number agreed to accept service Number didnt want accept Number unaware of the program Actual No. 50 25 10 15 Percentage of Total Number 100 50% 20% 30%

A good finding of this small scale study is that there is a huge percentage of the potential market that is unaware of the service being provided. We think the marketings first objective should be to increase exposure, so that people are well-informed. Another aim may be to change the negative feeling and beliefs by informing them of concrete evidence and facts, not just good things about the organization.

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Porters 5 forces analysis:

The threat from entry of new competitors: As a new competitor, every product or service related companies go through strategic planning to enter into the markets, we may face the following barriers are as follows: People are not very aware of the program being offered. If they are aware, they have no clear idea of what specific aspects are covered by the program. The mention of multipurpose consulting firms brings together a whole array of concepts and ideas to the potential customers. This very vague idea about the multipurpose consulting firm program might pose a problem in gaining acceptance in the first place. The economic situation is also very unstable and it changes with the government and the policies. Taxes are laid upon and laid off; tariffs and quota rates are changed. Though not at the time of entry, but it will pose a problem once we start the business in reality as a new competitor. Indirect competition is increasing day by day in every sectors of the business which work as a huge threat to the new entrants of any business. Many social and economical changes like increase in the disposable income and increased acceptance of female executive development are also important. Furthermore times are changing and things are becoming very competitive for every organization. As a result a new competitor might not cope up with the changing environments.

Bargain power of suppliers As a service providing company, our suppliers will be the skilled consultants of all the departments of the company. Also as a new company, we cant expect the best out of the employees without proper training programs. Thats why the employees from all the departments will be trained in systematic and logical methods to serve the clients in a proper manner. Being entrepreneurs, we will be going to the reputed consultants to gain the proper knowledge on this particular sector. By this we can learn about the proper structured atmosphere to drive our business on that particular sector in the long run.

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Bargain power of customers: The customers needs our consulting firm can serve are as follows: Many of the potential customers are not aware of such multipurpose consulting firm service offered solely to people like them. They are interested to obtain such services from such organizations that are able to provide multipurpose services to individuals and firms. Many customers want to join the program but cannot afford the amount of fees that are requires in the institutions. Some of the potential customers are very eager to go into such kind of a program and are ready to fill out forms and sign checks if necessary. Through serving the above problems with so many problems regarding the three (finance, marketing and human resource) departments, we must set our program to cover all through advertising campaigns.

Existing market competitors: There are not many competitors in this industry. But since the larger portion of the market is untapped and un-reached, we do not need to engage in any aggressive competitive strategies. Also there are competitors who are providing the components of the service rather than the service package as a whole. However, the need to compete has always been there as a few players in an industry offering similar kinds of products and services to similar kinds of target markets are most likely to steal each others business. Another thing is that the efforts taken by one company to educate people to build their awareness often also helps the other competitors.

Exit barriers Exit barrier is high if any company goes bankrupt which results the financial and time loss of customers and the company. So that exit barrier depends on how efficiently we can manage our clients through services.

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Some Barriers to Entry There might be some constraints in the entering of the market. Though these are not very well defined, we can get an idea after doing the industry analysis, marketplace analysis and customer and competitor analysis. People are not very aware of the program being offered. If they are aware, they have no clear idea of what specific aspects are covered by the program. The mention of multipurpose consulting firms brings together a whole array of concepts and ideas to the potential customers. This very vague idea about the multipurpose consulting firm program might pose a problem in gaining acceptance in the first place. The economic situation is also very unstable and it changes with the government and the policies. Taxes are laid upon and laid off; tariffs and quota rates are changed. Though might not in the time of entry, but it will pose a problem once we start the business. Indirect competition is increasing and it makes sense to believe that they are the ones that are going to win in the long run if specific measures are not taken by us soon.

How to Overcome the Barriers We are taking many preventive steps so that no later or beginning problem takes us down. We are starting our marketing activities focusing mainly on the awareness building and information generating phase. We shall try to make people know and understand the concepts related to us and what to expect. Facts and concrete evidence will be provided so that they do not continue to maintain any negative feelings or idea about us. We shall make ourselves trustworthy and reliable as far as the degree and the reputation of the organization is concerned. The focus will be on quality at a reasonable price and product differentiation and deliver the service in such a way that the competition would lag behind in many aspects. More and more improvement shall be implemented and the degree of care and relationship building would increase with it.

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The students or trainees shall be given special care and individually they shall be observed. We shall also try to place them in various prestigious organizations in accordance with their need and ability. Finally, we plan to appoint our faculty as a consultant as he is well in line with our business philosophy. As for the rest of the staff, not only should they be well qualified and adept at whatever job they are given, but must also be good at building and maintaining relationships.

SWOT Analysis
Strengths The company shall provide a better quality of consulting service compared to the contemporary development centers. A reasonable amount of fees will be charged compared to the contemporary consulting firms. A good number of technological features will be present, e.g. multimedia projectors, overhead projectors, internet, software etc. Location and altitude in enhancing the accessibility and prestige condition of the consultants and clients. Offer a wide range of services and flexibility in timing. Number of clients to be served is quite high. Many services will be offered by international consultants. Payment schedule will be flexible in accordance with necessity. Good financial standing of the owners which enable the firm to engage in good quality expensive ventures. Relationship is held superior to selling. Many simulation and management games to be employed in order to facilitate the development of the firm.

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Weaknesses Lack of experience of the owners in the field of a new business venture. Comparatively low experience in the field of operating a multipurpose consulting firm of this type. Lack of data regarding many of the important characteristics, including the market share and market size.

Opportunities Increasing desire of development in terms of business communication and interpersonal skills in todays firms. Increased importance of the mentioned skills in the workplace. Global communications and influences. More positive economical situation of the potential firms.

services,

Increased importance in the relationships and Goodwill of the service companies in our country. Latest technologies are at a lower cost. Increase in the demand for better quality consulting services.

Threats Lack of knowledge among the potential candidates about Multipurpose Consulting Firms and the type of services they offer. Increased pressure on choosing a substitute, so greater competition with institutions offering other services such as computer training as well. Lack of trust on such institutions. Lack of stability in the economic and legal environment of our country. Increased marketing pressures due to more expenditure for promotional campaigns among the existing companies.

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Most Important Company Strength and Core Competency The most important company strength will definitely be the personnel or human resource management sector which would include the HR department consisting of the employees, faculty and the other staff. The core competency of the company would be the distinction in the method of providing the service at a reasonable price. The low cost will be our main competitive weapon as well as the new and more efficient methods of providing the consulting service using sophisticated equipment, computer software etc. The marketing aspect will focus more on this competency, and this, I believe will lead to the creation of the Unique Selling Proposition of our multipurpose consulting firm.

Description of Venture
Product Identification SPECTRUM SOLUTIONS is a service oriented institution where both local as well as multinationals along with development organizations will get all forms of consulting support in the activities of management and as a result will help in the increase in sales and profits for the organizations in question. It will be located in Gulshan. SPECTRUM SOLUTIONS will provide high-class consulting and advising service to organizations and firms. By giving better consulting service, the company intends to increases its share in the market in providing such form of service. Besides this, the institution shall have a better organizational structure. All the promoters are wellestablished people and possess in depth business knowledge and administrative experience. The institution will mainly be engaged in providing excellent consulting service. Types and kinds of Services There shall be a vast array of services provided in the SPECTRUM SOLUTIONS. We shall provide consulting services for a variety of management activities and mainly in the fields of finance, marketing, HRM, Operations and management. We believe that there is always space for improvement, and we will try to provide that benefit to our XLI XLI X X

customers. The various Kinds of Services, or to say the PRODUCTS of our development centre are the following services: 1. Business Management Services a) H.R.M. b) Personal Management c) Financial Management d) Marketing Management 2. Business Operation Management a) Operations Management b) Production management 3. Other Services a) Computer Consultancy b) Engineering Consultancy

Product advantages and Benefits There are various features and benefits that we offer which our competitors do not match. For example, we use various technologies and software which our competitors dont. Another thing is that we always keep our consultants and executives updated with the relevant happenings and phenomena, and we believe that it will help them make better judgments and decisions. Some of the distinct features that we offer are described below: Better Capacity and Product Mix The capacity of our consulting centre is much higher than the contemporary institutes and development centers. SPECTRUM SOLUTIONS has an average capacity to provide up to 50 services annually in several sectors. Location Location is also very important in identifying the importance of the benefits that are being provided to the customers. This is especially true for a consulting firm. The SPECTRUM SOLUTIONS is located in Gulshan Avenue which makes it easily accessible to the people residing in all over the core Dhaka city. It is located just beside the main road. XLI XLI X X

Future Development of Services There shall be scope for further improvement in our overall service throughout periodical intervals. This improvement shall be in terms of updating our goals and expanding the scope of our service, implementations of newer methods of training, change in the staff and consultants if necessary, usage of newer and more advanced technology and implementation of global effective standards for the carrying out of the overall operation of the consulting firm. The Venture Sound management is a very important aspect for a venture to be successful once it gets going. This is more important for the institutions providing services. The functions of management are planning, controlling, organizing, leading, Motivating etc. Therefore, Management is a functional process of planning, controlling, directing, and motivating to achieve the objective of the organization with the use of human resource and other resource. The important thing here is that the success of an organization is fully dependent on the quality of a management system.

Operations Plan
Operations Conditions and Strategies
Capacity and Product Mix The capacity of our consulting firm is much higher than the contemporary institutes and consulting firms. SPECTRUM SOLUTION has an average capacity to provide consulting services of around 10 a month on an average. A total of 150 or more services can be provided in the first year, which can be increased to 50 in every five years. This is quite high; almost double the amount of the current consulting firms, who provide an average of 30-50 a year.

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Services offered by SPECTRUM SOLUTIONS

Sl. 1 Courses Business Management Services a) H.R.M. b) Personal Management c) Financial Management d) Marketing Management Business Operation Management a) Operations Management b) Production management Other Services a) Computer Consultancy b) Engineering Consultancy Duration 15-20 man Hours

20-25 Man Hours

10-12 Man Hours

The Process SPECTRUM SOLUTIONS shall deliver their training facilities in following process: "SPECTRUM SOLUTIONS" Consulting On Various areas of the organization

Communication and publicity to executives by OSIRIS

Well organized and disciplined executives

Identify the lacking and necessity of the Organizations

Mental satisfaction and confidence

Expansion of the institution

Good will of the institution XLI XLI X X

Inventory & Technology Building The project will be accommodated in the ninth floor (3000 Sft.) of a eleven storied building. It has been taken on rental bases. The annual rent of this first floor is Tk. 350,000. Utilities The following utilities are used by SPECTRUM SOLUTIONS: Power (electricity) Gas Water Internet Telephone Security maintenance Vehicles maintenance Office Stationers

Scope of Operations The relationship with our suppliers and associates shall be more like friends and to be more specific, dependable friends. We shall rely and depend on then in times when we need supplies or help and shall in return promise to pay them and give them their paybacks on time. The kind of people we will need to hire is very important. For the consultants we will focus more on experience than degree. But that does not mean that degree or educational level is not important. They should be a minimum of masters degree holder or any equivalent degree holder and must have an experience of working in his or her field for at least 4 years. The other staff should also be well qualified for their jobs. Te one thing that we shall prefer in the staff is the ability to build and maintain relationships with the customers and understanding their needs.

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Marketing Plan
Marketing Objectives Creating more awareness, by hinting and tapping on the interest and desire aspect of the human necessity. Informing about the firm and the benefits it offers to the customer regarding the personal and professional life. Focus more on educating the customers, rather than persuading them to try out our firm. Finally, to create enough stimuli in them so that they have the desired positioning in their mind about the firm and contact us as soon as a need of services emerges. Since it is a complex buying, more emphasis should be on the quality and price and all the seven marketing Ps should be in line with the message.

Target Market Strategy We have mentioned before that the target customers are mainly the professionals who are already working in various organizations and also the organizations in need of consulting services on various areas. We think they need the services more because they are either in their development or are becoming a growing industry in the service sector. They will be mainly from the local as well as MNC sector. Market Characteristics By measuring the local market we found that there is a big opportunity for this sort of training. The market demand increasing for the following reasons: i. ii. iii. iv. Day by day the number of organizations are increasing As time goes on the competition to survive in the market is also increasing. Lots of fresh graduates and Masters are coming out every year. Besides the percentage of the growth of these organizations are very positive.

Market Size As per a statistical Yearbook of 2000, the emerging number of organizations is on the thousands and many more are emerging. The average a year is close to 100 and the existing consulting firms are unable to provide and meet the needs of these XLI XLI X X

organizations. For the executives the corresponding numbers are 10,000 and 5,000. So we can see that the untapped market or the market gap or market size is around 33,000. This is quite huge in number and offers great potential. Growth Potential There is tremendous growth potential in this sector of multipurpose consulting firms. This is mainly due to the fact that more and more people want to get some good quality groom-up education and training that will help them in their careers and organizations on the other hand want to have proper and efficient running of the firm in respect to the various business activities Product/ Service Strategy SPECTRUM SOLUTIONS has the following product and service strategy to hold the market in different ways: By providing quality consulting service and development support both theoretical and practical. By enhancing good reputation with the help of experienced and educated consultants. Seminar in various organizations by focusing on its future and the quality of the service. By providing the service at a good price and reasonable rate as well. By providing quality service and client satisfaction. Provide on the job consulting services and providing the clients with relevant stimuli that it would have to face in the running of the business. Put up a customer advisory and information service department. Effectiveness enhancing activities like role-plays, workshops and debates. Carry out effective business games and take the relevant individuals for simulation games to provide development and consulting in various scenarios.

Pricing Strategy We are not focusing our business on the basis of Price Leadership, but the best quality product at a reasonable price. We are giving more quality and service to our customers, and in the meanwhile the price we are asking for is slightly less than what our close competitors ask for.

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We have a list of the fees that we are charging on the first and second year. But however, we shall increase the price once the business gets going and people starts realizing its benefits. We hope to increase the price by 1000 Taka each service or man hour required by the consultants every year and then stop when we think it should not get higher. The target price for each of the service is also given in another chart below the first one in the appendix. Distribution Strategy Distribution mainly is in regard to two aspects. One is the distribution of the consulting services to the organizations and the other is the distribution of promotional materials to the market. However, the first type of distribution calls for the following strategies: i. ii. iii. iv. v. Services by Online network Services by using Multimedia Projector and Overhead Projector. Services will be given by experienced consultants Share information with other large information centers such as websites and club houses etc. Provide access to international consultants.

Distribution of promotional materials calls for the following strategies: i. Have access to an information bank which will also store the centers data. This bank must be accessible to the potential and current customers. ii. Distribute leaflets to the people in a fair, seminar etc. iii. Distribute brochures in the offices and firms that shall provide potential candidates.

Advertising and Promotional Strategy i. ii. iii. iv. v. vi. vii. Advertisement through billboards and posters in appropriate places, like the entrance to an office block. Publicity and public relations. Personal Communication to employees and executives, as well as potential customers. Seminar and Workshops, often in collaboration with other institutions. Publish posters, leaflets, banners, stickers, prospectus etc. Web sites and web pages. Can also practice online selling and marketing. Participate in trade fairs and other fairs which would increase the exposure.

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viii. ix. x.

Direct selling through catalogues. Have faculty and other influential people talk about the firm to potential customers. Put up a customer advisory and information service department.

Sales Strategy Some guidelines to the selling arena are: Firm of Influence refers to calling on the influential person of a company for example, the chief HR manager and asking him to denote the names of the influential people in the organization who make the decision of choosing the company for the consulting services. He does the selling to them. Cold Canvas Method is where prospecting is done on a random basis. For example, we can get the names of all the organizations that are to have their business restructured soon, and then call on randomly selected prospects and talk to them about the services we offer. Endless chain method can also be used very effectively in our organization. We can get the numbers or addresses of potential candidates from the contacted prospects and then call them up or make a sales call on them.

Marketing Forecast We have come up with some figures on how much our marketing expenses would amount to in the first five years. The data have been included in the appendix.

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Organizational Plan
The Company Organization & the Organogram The Organization will be headed by the Managing Director. Under the Managing director there are two more directors who will serve for the Institution. The Institution also has one course coordinator and a head of the department who will supervise the teachers of the institution. Besides this the Institution have qualified teachers who are available when this institution feel need for them. On the other hand in case of new teachers this institution have a better relation with the another Executive Development University which means that there is a teacher transfer facility between them. There is a fixed span of supervision. All types of decision making process are completed regarding the span of super vision. This span of supervision can be drawn by a diagram in the next page which identified the whole situation of the organization from the top to the lower level. At the head of the organogram there will be the managing Director and then two directors who will control the overall activities of the institution.

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Financial Plan
Financial Forecasts Financial Forecasting is the main section of an effective business plan. It involves the projections of fixed, variable and operating costs in some particular future time period. In my business plan, I have put forth projections for the next one year. The revenue, the expenditures and the profits have been accounted for in it. Total Projected Start-up Capital
Sl 1 2 3 4 5 6. 7 Particulars Cost of building rent Cost of furniture and fixtures Cost of Equipment and machinery Cost of project vehicle Utility Expenses Other Expenses Cost of Salary Grand Total: Total Cost (Tk) 5,40,000 9,25,000 13,37,500 12,20,000 3,64,200 7,32,000 34,56,000 10,74,700

Break Even Analysis

Year 1 2 3 4 5

Total Cost(Tk) 82,74,700 46,00,000 49,00,000 50,00,000 52,00,000

Total Revenue(Tk) 53,50,000 59,92,000 68,40,000 77,44,000 89,60,000

Fixed Cost(Tk) 34,82,500 34,82,500 34,82,500 34,82,500 34,82,500

So we shall break even on the ending of the first year, which is a very good sign. We have already seen the income statement that reveals a positive net income of 5,495, which denotes that recently the break-even point had been reached.

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Source of Funding As has been mentioned before we are using both equity financing and debt financing. Our Debt Equity ratio is .38. This shows that we want to be on the safe side, not taking too much debt. The figures and calculations are included in the appendix. Start-up Capital & Projections of Costs and Expenses Land and Building Cost The project will be accommodated in the ninth floor which is 3000 sft. of an five storied building. It has been taken on rental basis. The annual rent of which is Tk 540,000/ = (Five lac forty thousand Taka). This annual rent could be changed in course of time. Furniture and Fixtures Cost
Sl. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. Item Secretariat Table Official table Conference table Lecture Table Computer Table Revolving chair Official chair Normal chair(for teachers) Visitors chairs Armed Chair Sofa set File cabinet Steel Almirah Library table Library chair Book shelves (for library) Formica Board Notice Board Carpeting Interior Decoration Grand Total: Quantity 3 tables 5 tables 1 table 4 tables 2 tables 3 chairs 6 chairs 16 chairs 8 chairs 150 Chairs 2 sets 10 cabinets 6 pcs. 5 tables 30 chairs 6 shelves 4 pc 1 pc -----------Per unit price (Tk) 6,000 4,000 12,000 4,000 3,000 5,000 2,500 1,500 1,500 3,000 15,000 4,000 7,000 4,000 1,500 6,000 3,000 2,000 ------------Total Cost (Tk) 18,000 20,000 12,000 16,000 6,000 15,000 15,000 24,000 12,000 4,50,000 30,000 40,000 42,000 20,000 45,000 36,000 12,000 2,000 25,000 1,00,000 9,25,000

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Equipment and Machineries Cost

Sl. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18 19 20 Item Personal Computer U.P.S. Printer Scanner Telephone line (T&T) Telephone set Mobile (Grameen) Fax machine Fax Modem Multimedia Projector Air Condition Generator Photocopier Calling Bell Fan Tube light with holder Gas burner ( 2 burner) IPS Laptop Server Grand Total: Quantity 10 units 6 units 5 units 4 unit 2 line 8 sets 5 sets 1 machine 5 modems 2 machine 7 units 1 unit 1 unit 5 units 20 units 30 units 1 units 1 unit 5 units 1 Unit Per unit Cost (Tk) 40,000 7,000 10,000 5,000 25,000 3,000 12,000 45,000 2,500 80,000 30,000 3,00,000 1,30,000 1,00 1,200 3,00 5,00 40,000 60,000 1,40,000 Total Cost (Tk) 4,00,000 42,000 50,000 20,000 50,000 24,000 60,000 45,000 12,500 160,000 2,10,000 3,00,000 1,30,000 5,00 24,000 9,000 5,00 40,000 300,000 1,40,000 18,17,500

Project Vehicle Cost The project will require one micro bus and one private car: a) Microbus --------Tk 7, 00,000 /= b) Private Car --------Tk 5, 00,000 /= * Maintenance Cost --------Tk 20,000 / = Grand Total Tk 12, 20,000

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Utilities Expenses
Sl 1 2 3 4 5 6 Particulars Gas bill (2 burner) Electricity bill Water bill Internet bill Telephone bill (5000 x 8 ) Mobile bill (1000 x 5) Grand Total: Cost (Tk) (Per Month) 3,50 8,000 5,00 3,000 40,000 5,000 Cost (Tk) (Per Year) 4,200 96,000 60,000 36,000 4,80,000 60,000 7,36,200

Other Expenses
Sl 1 2 3 4 5 Particulars Advertisement Insurance Expenses Permits and Licenses Miscellaneous Interest Expenses Grand Total: Cost (Tk) (Per Month) 25,000 2,083 (n/a) 4,167 (n/a) Cost (Tk) (Per Year) 3,00,000 25,000 10,000 50,000 3,41,000 7,32,000

Salary Expenses
Sl 01. 02. 03. 04. 05. 06. 07. 08. 09. 10. 11. 12. Position Managing Director Director (Finance and Admin) Director ( Marketing and Research) Director (Operations) Head of the Departments Admin Officers Financial Officer Asstt. Admin Officer Librarian Service coordinator Hardware and Software Consultants a. Consulting b. Admin Information officer Number 01 01 01 01 01 01 01 01 01 01 06 04 01 Per month Salary (Tk) 30,000 20,000 20,000 20,000 18,000 10,000 10,000 8,000 8,000 8,000 10,000 10,000 8,000 Per Year Salary (Tk) 3,60,000 2,40,000 2,40,000 2,40,000 2,16,000 1,20,000 1,20,000 96,000 96,000 96,000 7,20,000 4,80,000 96,000

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13. 14. 15. 16. 17. 18.

Receptionist Peon Clerk (Library) Cleaner Security Guard Driver Other Bonuses and Remunerations Grand Total:

01 02 02 01 02 02

5,000 2,500 2,500 2,000 2,000 3,500

60,000 60,000 60,000 24,000 48,000 84,000 2,40,000 34,56,000

Projected Income Statement (For the year 2010) Total Revenue Less :Expenses: Rent Expenses Furniture and Fixture Expenses Equipment and Machinery Expenses Vehicle Expenses Utility Expenses Salaries,Bonuses &Professional Fees Expenses Advertising Expenses Miscellaneous Expenses Insurance expenses Permits and Licenses Total Expenses Net Operating Income Less: Interest Expense Net Profit (Loss) 5,350,000

2,40,000 9,25,000 13,37,500 12,20,000 3,64,200 34,56,000 3,00,000 50,000 25,000 10,000 (79,27,700) (25,77,700) (3,41,205) (29,18,905)

However, the cost shall be subsidized by the paid in capital and bank loan (totaling 82, 74,700), which means a net actual income of 5, 35,000 shall remain.

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Projected Balance Sheet (for the year ended December 31, 2010) Assets: Cash Accounts Receivable Inventory Prepaid Expenses Total Current Assets Vehicles Furniture and Fixtures Equipment Less,Accumulated Depreciation Total Fixed Assets Total Assets 52,10,000 1,20,000 20,000 50,350 54,00,350 12,20,000 9,25,000 13,37,500 (12,000) 34,70,500 88,70,850 Liabilities: Accounts Payable Wages payable Other Liabilities Long Term Bank Loans Payable Total Liabilities Owners Equity: Paid in Capital Retained Earnings 60,00,000 n/a Total Liabilities & Owners Equity 88,70,850 25,000 2,88,000 2,83,150 22,74,700 28,70,850

First Year (2010) Advertising expense= Tk 350,000 This includes printing leaflets, posters, advertising on news papers and billboards. Publicity expense= Tk 25,000 This includes arranging seminars and programs on behalf of the consulting firm. Direct Selling Expense= Tk 25,000 This Includes the telephone bills, travel of the salespeople, brochures, catalogues etc. Miscellaneous =Tk 10,000 Totalling to a 4,10,000 Tk projection for the first year.

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Second Year (2011) Advertising expense= Tk 2, 25,000 Publicity expense= Tk 50,000 Direct Selling Expense= Tk 15,000 Miscellaneous =Tk 10,000 Totalling to a 3,00,000 Tk projection for the first year.

Third Year (2012) Advertising expense= Tk 2, 00,000 Publicity expense= Tk 50,000 Direct Selling Expense= Tk 15,000 Miscellaneous =Tk 10,000 Totaling to a 2, 75,000 Tk projection for the first year.

Fourth Year (2013) Advertising expense= Tk 2, 00,000 Publicity expense= Tk 50,000 Direct Selling Expense= Tk 15,000 Miscellaneous =Tk 10,000 Totaling to a 2, 75,000 Tk projection for the first year.

Fifth Year (2014) Advertising expense= Tk 2, 25,000 Publicity expense= Tk 1,00,000 Direct Selling Expense= Tk 15,000 Miscellaneous = Tk 10,000 Totaling to a 3,50,000Tk projection for the first year.

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Project Cost for Five Years

Year 1st 2nd 3rd 4th 5th

Fixed Cost 34,82,500 -----

Other Cost 48,12,200 46,00,000 49,00,000 50,00,000 52,00,000

Total Cost (Tk) 10,74,700 46,00,000 49,00,000 50,00,000 52,00,000

Revenue Forecast for Five Years (2010-2014) First year Revenue (2010)
Sl. Courses Shift Day Eve 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 Clients Man Hour Fee (Tk) 14,000 14,000 14,000 14,000 9,000 9,000 6,000 6,000 Total amount 750,000 750,000 750,000 750,000 850,000 900,000 6,00,000 600,000

1 Business Management Services a) H.R.M. b) Personal Management c) Financial Management 2 d) Marketing Management Business Operation Management 3 a) Operations Management b) Production management Other Services a) Computer Consultancy b) Engineering Consultancy Total:

50 50 50 50 50 x2=100 50x2=100 50x3=150 50x3=150

5,950,000

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Second Year Revenue (2011)

Sl. Courses Shift Day Eve 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 Clients Man Hour Fee (Tk) 14,000 14,000 14,000 14,000 9,000 9,000 6,000 6,000 Total amount 850,000 850,000 850,000 850,000 850,000 900,000 7,00,000 700,000

1 Business Management Services a) H.R.M. b) Personal Management c) Financial Management 2 d) Marketing Management Business Operation Management 3 a) Operations Management b) Production management Other Services a) Computer Consultancy b) Engineering Consultancy Total:

50 50 50 50 50 x2=100 50x2=100 50x3=150 50x3=150

7,950,000

Third Year Revenue (2012)

Sl. Courses Shift Day Eve 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 Clients Man Hour Fee (Tk) 14,000 14,000 14,000 14,000 9,000 9,000 6,000 6,000 Total amount 750,000 750,000 750,000 750,000 850,000 900,000 6,00,000 600,000

1 Business Management Services a) H.R.M. b) Personal Management c) Financial Management 2 d) Marketing Management Business Operation Management 3 a) Operations Management b) Production management Other Services a) Computer Consultancy b) Engineering Consultancy Total:

50 50 50 50 50 x2=100 50x2=100 50x3=150 50x3=150

5950,000

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Fourth Year Revenue (2013)

Sl. Courses Shift Day Eve 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 Clients Man Hour Fee (Tk) 14,000 14,000 14,000 14,000 9,000 9,000 6,000 6,000 Total amount 750,000 750,000 750,000 750,000 850,000 900,000 6,00,000 600,000

1 Business Management Services a) H.R.M. b) Personal Management c) Financial Management 2 d) Marketing Management Business Operation Management 3 a) Operations Management b) Production management Other Services a) Computer Consultancy b) Engineering Consultancy Total:

50 50 50 50 50 x2=100 50x2=100 50x3=150 50x3=150

5,950,000

Fifth Year Revenue (2014)

Sl. Courses Shift Day Eve 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 Clients Man Hour Fee (Tk) 14,000 14,000 14,000 14,000 9,000 9,000 6,000 6,000 Total amount 750,000 750,000 750,000 750,000 850,000 900,000 6,00,000 600,000

1 Business Management Services a) H.R.M. b) Personal Management c) Financial Management 2 d) Marketing Management Business Operation Management 3 a) Operations Management b) Production management Other Services a) Computer Consultancy b) Engineering Consultancy Total:

50 50 50 50 50 x2=100 50x2=100 50x3=150 50x3=150

5950,000

Total Five Years Revenue

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Sl
1 2 3 4 5

Year
2010 2011 2012 2013 2014 Grand Total

Total Cost (Tk)

59,50,000 59,92,000 68,40,000 77,44,000 89,60,000 3, 51,86,000

Owners Contribution
Sl 1 2 3 4 Promoters Sayeed Bin Masud H.M. Waker Mahmud M. Shakil Alam Rafi Ahmed Shuhan Promoters Total contribution Cost of the Project Total loan from bank (at 15% interest annually) Contribution (Tk) 32,00,000.00 16,00,000.00 16,00,000.00 16,00,000.00 8,000,000 10,274,700 (2,274,700)

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Benefit cost Ratio

Year Total Cost (TK) Total Benefit (TK) 53,50,000 59,92,000 68,40,000 77,44,000 89,60,000 DF at 15% PV of cost at DF 15% (TK) 71,90,714.3 34,77,600.0 28,25,100.0 28,55,000.0 25,84,400.0 18,93,28,14.3 PV of benefit at DF 15% (TK) 46,49,150 45,29,952 44,33,880 44,21,824 44,53,120 2,25,47,926

1 2 3 4 5

82,74,700 46,00,000 49,00,000 50,00,000 52,00,000

.869 .756 .657 .571 .497

BCR =

PV of Benefits PV of Cost
2, 25, 47,926

= 18,93,28,14.3 = 1.19 After the above calculation we found our BCR is 1.19. profitable if its BCR > 1, this project looks quite profitable. As we know a project is

Net Present Value

Year 1 2 3 4 5

Total Cost (Tk) 82,74,700 46,00,000 49,00,000 50,00,000 52,00,000

Total Benefit (Tk) 53,50,000 59,92,000 68,40,000 77,44,000 89,60,000 Total

Net Benefit (Tk) (2924700) 1392000 2540000 2744000 8960000

D.F. 15% .869 .756 .657 .571 .497

NPV at D.F 15% (2541564.3) 1052352 1668780 156682.4 4453120 4789370.1

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In the above calculation we found the NPV is greater than 0, which is, the projects Net present value is positive at D.F 15%. As we know a project is profitable if its NPV is greater then 0, that means the business will be profitable

B reakeven Analysis
10000000 9000000 8000000 7000000 6000000 5000000 4000000 3000000 2000000 1000000 0 1 2 3 Yea rs 4 5

Project Implementation Schedule

Sl. 01. 02. 03. 04. 05. Task Idea Generation and Evaluation Project appraisal Permission from the Ministry of Industry Choosing suitable location Recruitment of managers and Admin officers Activity A B C D E Time (Weekly) 03 02 01 02 02 Preceding --A B C C

t n u o m A

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06. 07. 08. 09. 09. 10. 11.

Assess Of Marketing Aspects Assess of Financial Aspects House And Land Rent Purchasing equipment and furniture Recruitment of CONSULTANTS and other staff Trial operation Final operation

F G H I J K L

03 05 01 05 03 04 05

E E D G H J, I, F K

GANTT CHART

GANTT
L K

S K E W

1st Qtr

J I H G F 0 1 2 3 AC T IVIT IE S 4 5 6 E

Furniture and Fixtures

Sl 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. Description Secretariat Table Official table Conference table Lecture Table Computer Table Revolving chair Official chair Normal chair(for consultants) Visitors chairs Armed Chair Sofa set File cabinet Quantity 3 tables 5 tables 1 table 2 tables 8 tables 4 chairs 6 chairs 16 chairs 8 chairs 50 Chairs 3 sets 15 cabinets

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13. 14. 15. 16. 17. 18. 19. 20.

Steel Almirah Library table Library chair Book shelves (for library) Formica Board Notice Board Carpeting Interior Decoration

8 pcs. 6 tables 36 chairs 6 shelves 4 pc 1 pc -----------

Project Vehicles: The project will require 1 microbus and 1 private car to perform every day activities quickly. The total cost is about TK. 12, 00,000/Equipment and machinery
Sl. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. Items Personal Computer (Pentium 3) U.P.S. Printer Scanner Internet Connection Telephone line (T&T) Telephone set Mobile (Grameen) Fax machine Fax Modem Multimedia Projector Air Condition Generator Photocopier Calling Bell Fan Tube light with holder Gas burner ( 2 burner) IPS Laptop Server Quantity 10 units 6 units 5 units 4 unit 1 line 2 line 8 sets 5 sets 1 machine 5 modems 2 machine 7 units 1 unit 2 units 5 units 20 units 30 units 1 units 1 unit 5 units 1 Unit

The fees for our services are:

Sl. 1 Services Business Management Services a) H.R.M. b) Personal Management c) Financial Management Fee per Man Hour (Tk) 9,000 8,500 10,000

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d) Marketing Management Business Operation Management a) Operations Management b) Production management Other Services a) Computer Consultancy b) Engineering Consultancy

10,500 11,000 12,000 7,000 11,000

The target price is:

Sl. 1 Services Business Management Services a) H.R.M. b) Personal Management c) Financial Management d) Marketing Management Business Operation Management a) Operations Management b) Production management Other Services a) Computer Consultancy b) Engineering Consultancy Fee per Man Hour (Tk) 14,000 14,000 14,000 14,000 9,000 9,000 6,000 6,000

Total Cost Projection:

Sl 1 2 3 4 5 6. 7 Particulars Cost of building rent Cost of furniture and fixtures Cost of Equipment and machinery Cost of project vehicle Utility Expenses Other Expenses Cost of Salary Grand Total: Total Cost (Tk) 5,40,000 9,25,000 13,37,500 12,20,000 3,64,200 7,32,000 34,56,000 82,74,700

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Projection for Five Years Cost

Year 1st 2nd 3rd 4th 5th Fixed Cost 34,82,500 ----Other Cost 48,12,200 46,00,000 49,00,000 50,00,000 52,00,000 Total Cost (Tk) 82,74,700 46,00,000 49,00,000 50,00,000 52,00,000

Projection of Five Years Revenue

Sl 1 2 3 4 5

Year 2010 2011 2012 2013 2014 Grand Total:

Total Cost (Tk) 53,50,000 59,92,000 68,40,000 77,44,000 89,60,000 3, 48,86,000

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EXIT Strategy: We are pursuing several possible exit strategies: IPO: Depending on market conditions and growth of our product lines, an IPO in 2-3 years may be feasible. Be acquired: This is a fragmented market ripe for consolidation in a few years more and more companies will strive to take technologies into their business processes Some of the companies who would be interested in acquiring our business will mostly be marketing consultancy first like E-Gen, HR consultancy firms like HR Kites and other general consultancy firms who serves with 360 degree consultancy solutions. Stay at home: To mitigate market conditions, in case we want to continue to operate as a profitable private company; the distribution of dividends to shareholders will be decided until the options of cashing out are available.

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10.0 Conclusion
The Business plan is almost done. Now is the time to think over the aspects all over again and see if there is anything that we have missed or any problem that might occur. In this business plan I have tried to include most of the things like financial aspects, marketing aspects, operations, management etc. Now, many of the things could go wrong. Our main weapon and core competency is our level of quality in providing consulting service and it is manifested through various aspects like the service, the consultant, the system etc. We have workshops, debates and other such activities to boost up the effectiveness level of the executive and the organizations. We differ from our competitors in the level of technology we use, in terms of capacity, location and altitude and mostly, allowing the customers a very flexible timing. Again, our price is comparatively low, and the payment method is highly flexible and convenient for the customer. We should focus more on building and maintaining long lasting relationships, not only with our customers, but also our suppliers, faculty and staff. This will lead to the successful venture we are seeking.

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