Small Scale Business Management Free Essays

TABLE OF CONTENTS Â  EXECUTE SUMMARY This is a business expansion. The business name is Mcraj Arts Designs – catering and decoration busi. t started on 04 December 2010. We will write a custom essay sample on Small Scale Business Management or any similar topic only for you Order Now It was funded by Department of Youth on the 29th June 2010. When I started this project my aims was to make something that is unique in my place, I wanted to combine catering and decoration as I have registered at registration of companies, the project that I wanted to run was to hire tents with catering combined with a garden decorated for photos and video shooting. Unfortunately the finance that I got from the Department of Youth wasn’t enough for the project. In catering t be done during wedding, parties and funerals ceremonies because some customer they usually ask why is it not possible for me to cater for them with food also. And I will be catering for rallies, exhibitions, workshops and meetings because in my area when there are activities like workshops, rallies and exhibition they ask for catering of youth first. And in Kgalagadi north there is none existing business of youth for catering. I have also realise that in my area there is no resting place and where people can take photos and video shooting. Then I came up with an idea for a plot for photos and video shooting and sometimes. And sometimes people need to celebrate their weddings outside their place that’s is why I came with an idea of making a plot decorated for photo and video shooting, this will be not only for photos and video shooting and it will be for the customer who want celebrate their weddings and parties outside their place. In may market research, their some customer who need a place for resting with their friends and families. As for now I have been operating tent hire only. Since I have started this project I have realised that during festive season there is shortage of tents in areas because this festive I have more than four to five customers booking tent on the same date but I have only one tent. I have realise that I have to increase numbers of tents so as to cater for more events on the same date. According to income statement of my business from December 2010 up to December 2011 I have realize that the loss that I have is only for buying materials and transport as can see from attached documents. When I started the business the project was having full equipped materials especially dress lining for draping and decorations. My plans was to start saving for the project after I had full equipped material in the tent and also to buy small gazebos and jumping castles as my customer usually need then they hire the tent. The business was operating by the following organization and management structures. MANAGING DIRECTR {NONOFO SETLHOGILE} CLEANERS TENT PITCHERS TENT DECOTATORS NALEDI SETLHOGILE KEORAPETSE RAMOSESANE RAPELANG TSIENYANE KEOSIILE KARABOOTENG SEGOLE LETSHOLATHEBE MOHEME KEOBAKILE SEGOLE MOLEFI TSHIDI OBJECTIVE * To promote rural development and stimulate the provision of other services in remote areas of the country and also to reduce rural urban migration. * To lead other youth by example and encourage them to venture in to sustainable and viable income generating projects. * Generate employment mainly in rural areas and improve our standard of living. ORGANIZATION AND MANAGEMENT STRUCTURE As the business will be expanding the structure will be as follows MANAGING DIRECTOR 1 SECRETARY ACCOUNTANT 1 1 CLEANERS TENT PITCHERS TENT DECOTATORS DRIVER 2 64 1 STOCK SUPPLY GROUNDS MAN COOKERS 1 24 OPERATIONAL PLAN The business will be providing tents for hire with catering and a garden decorated for photos and video shooting and the business will be operated by 23 employees as you can see from the organization plan. The managing director will be a decision maker, supervising the whole project to see if all work is done properly. The accountant will be doing records and booking keeping and also the employees payments. Secretary will be typing the projects minutes and hand – to – hand with the accountant. Cleaners will be cleaning storerooms, doing the laundry when there is a tender for tents hire, clean plates, glasses, cutlery, chafing dishes and bowls Tents pitchers will be washing tents before the events, also pitch tents during the events Tents decorators will be preparing decorations, lining for draping according to the colours of events and decorate during events. Driver will be transporting equipment wherever the events are, acting as messenger e. g checking mails at the post office and also transporting employees for caterings. Grounds men will watering, cleaning, cultivating, cutting trees and lawns and the garden plot. Cookers will be cooking food for events and acting as cashiers e. g weddings, parties, funerals, workshops, rallies, exhibitions, individuals e. t. c Stock supply will be supplying employees with equipment needed e,g books at the office, pins, cable ties, draping materials, decoration equipments for tents and count equipments like tables, chairs, cutlery, plates, chafing dishes, and glasses before and after the events to see if they are which is missing and also buy all materials that will be needed in the business. MARKET PLAN TARGET MARKET The business will be targeting wedding events, parties, funerals, meetings, workshop, rallies, exhibitions and individuals as the business will be offering combined services making wedding planning simpler and cheaper. Prices will be affordable with high quality services and good customer care. MARKET SIZE SALES FORECAST GOODS/SERVICES| YEAR SALES| UNIT PRICE(BWP)| TOTAL AMOUNT(BWP)| TENTS| 10 X 24m| 13| 19Â  500. 00| 253 500. 00| 9 X 18m| 15| 6Â  000. 00| 90 Â  000. 00| 7 x 15m| 17| 5Â  800. 00| 98 Â  600. 00| 9 x 9m| 30| 1Â  200. 00| 32Â  000. 00| CATERING| Breakfast| 550| 20. 00| 11Â  000. 00| Booking breakfast{placed orders}| 550| 25. 00| 13Â  750. 00| Tea break| 530| 20. 00| 10Â  600. 00| Booking tea break{placed orders}| 550| 25. 00| 13Â  750. 00| Lunch| 810| 25. 00| 20Â  250. 00| Booking lunch{placed orders}| 1400| 35. 00| 49Â  000. 00| Super| 540| 25. 00| 13Â  500. 00| Booking supper{placed orders}| 1300| 35. 00| 45Â  500. 00| GARDEN| Full day| 17| 3 500| 59Â  500. 00| Half day| 32| 2 500| 80Â  000. 00| TOTAL SALES REVENUE| 790Â  950. 00| COMPETITORS My competitors are: Tents * Itshome tent hire * Lokgwabe home base care tent hire * Mantle tents hire * Thati’s tents hire Catering * Itabeni guest house * welcome restaurant. Garden * I have none existing competitors for garden plot which be operated for resting, photos and video shooting MARKET SHARE: The price that I have for tent hire 9 x 18 m with chairs, rectangle tables, cutlery, plates, glasses, draping, carpets(green and red), stand and decorations catering for 200 people is BWP 6Â  000. 00 per event. Prices of my competitors are as follows: TENTS * ITSHOME TENT HIRE: fully equipped (tent 9 x 24m, chairs, rectangle tables, cutlery, plates, glasses, draping, stand and decorations) catering for 250 people – BWP 12Â  000. 00 * MANTLE TENT HIRE fully equipped (tent 9 x 21m, chairs, rectangle tables, cutlery, plates, glasses, draping, stand and decorations) catering for 200 people – BWP 10Â  000. 0 * LOKGWABE HOME BASE CARE: only tent of 5x10m with chairs, rectangle tables, plates, glasses and cutlery : catering for 50 people – BWP 2Â  500. 00 * THATI’S TENT HIRE: only tent of 7 x 15m with Lokgwabe chairs, rectangle tables, plates, glasses, cutlery, draping and decorations; catering for 100 people – BWP 5Â  200. 00 CATERING * ITABENI GUEST HOUSE: Breakfast – P 25. 00 Tea break – P 25. 00 Lunch – P 28. 00 Supper – P28. 00 Bookings for events{placed orders}: Breakfast – P 30. 00 Tea break – P30. 00 Lunch – P40. 00 Supper – P40. 00 * WELCOME RESTURANT: Breakfast – P 27. 00 Tea break – P 25. 00 Lunch – P 30. 00 Supper – P30. 00 Bookings for events{placed orders}: Breakfast – P 35. 00 Tea break – P30. 00 Lunch – P45. 00 Supper – P45. 00 MARKET STRATEGIES I intended to beat other suppliers in the area of my market by providing products / services with affordable prices. I will be maintaining high quality services to retain customers and build a reputation in the market e. g my tents will be having caterings, jumping castles, and gazebos. And also I have designs an arcs that will be decorated in front of tents and also others that will be partitioning inside the tents e,g inside the tent there will be portion for bride and groom maids, for groom ‘s parents, bride’s parents and others. DISTRIBUTIONS I will be delivering the my products/services to my customer where they want it to be e. g if I have catering orders for workshops, rallies, exhibitions, weddings, parties, funerals and meetings. And also tents equipments will be delivered to my customer for events. SUPPLY CHANNELS All tents, catering equipments and landscaping companies will be found in Gaborone and Lobatse. Materials for draping and decoration will be bought in Hukuntsi.. And also grocery for catering will be bought in Hukuntsi. In Hukuntsi there a only two wholesalers and one textile and clothing shop: (Sefalana and Trans and hilda’ clothing and curting for material of decoration and draping). There are two shops of tents in Gaborone: (Funhire and T and T ) and one in Lobatse: (Lobatse canvas). There also two landscaping companies that I found in Gaborone:(Soft rolls and BCD) All my suppliers are reliable. PRICING Tent hiring: * 9 x 37m tent that will be catering for 400 up to 500 people and I it will be BWP 19Â  500. 0 per event * 7 x 15m tent catering for 100 up to 150 people it will be BWP 5Â  800. 00 * 9 x 9m gazebo catering for small events like parties it will be BWP 1Â  500. 00 Catering * Breakfast – P 20. 00 * Tea break – P 20. 00 * Lunch – P 25. 00 * Supper – P25. 00 * Bookings for events{placed orders}: * Breakfast – P 25. 00 * Tea break – P25. 00 * Lunch – P35. 00 * Supper – P35. 00 Garden plot for Photos and video shooting only: Full day: BWP 3Â  500. 00 Half day: BWP 2Â  500. 00 PROMOTION I vigorously market my project by advertising through local channel media i. magazine, newspaper, facebook and also fliers, posters, sign boards, business cards e. tc. When I have a wedding I usually offer them free usher tags, and wedding programmes and I put my contact on the back of the usher tags. I also ask my customer to put me in the programme to advertise my products / services during the event. I maintain a database of customer and their requirements. Excellent services and attention to detail will attract repeat orders. FINANCIAL STRUCTURE FIXED ASSETS DESCRIPTIONS| QUANTITY | COST PER UNIT| TOTAL| Vehicle| 1| | | 7 x 15m tent| 1| | | 9 x 37m tent| 1| | | 9 x 9 m gazebos| 3| | | x 15m green carpet| 1| | | 9 x 37m green carpet| 1| | | 9 x 9m green carpet| 3| | | Red carpet 1. 2m x 40| 1| | | Chairs| 400| | | Round tables| 40| | | Rectangle tables| 20| | | Chair covers| 400| | | Round table covers| 40| | | Rectangle table covers| 20| | | Plates| 400| | | Glasses| 400| | | Knifes| 400| | | Forks| 400| | | Chafing dishes| 20| | | Vases| 40| | | Jugs| 40| | | Serving bowl| 10| | | Industrial stove| 1| | | Deep freezer| 1| | | Fridge| 1| | | Electric heating bucket| 2| | | Steel trays| 10| | | Cooking pots| 10| | | Food containers| 10| | | Fence 100m x 100m plot| | | | landscaping| | | | | | | | | | | | | | | | | | | | | | | | | | | OVERHEADS DESCRIPTIONS| QUANTITY | COST PER UNIT| TOTAL| Petrol: Gaborone to Lokgwabe| 562 km | P | | Rent| Year| P 750. 00| P9Â  000. 00| Salaries / wages| 6 months| P 22Â  600. 00| P 135Â  600. 00| landscaping| | | | Electricity| | | | Water| | | | Total | | | | APPLICANTS CONTRIBUTIONS TO THE PROJECT DESCRIPTIONS| QUANTITY | COST PER UNIT| TOTAL| Youth Loan repayment| 5 years| P | P| Water connection| | | | Electricity equipments| -| P 2 696. 33| P 2Â  696. 33| Grocery for catering| -| P 5Â  000. 00| P 5Â  000. 00| TOTAL| P 11Â  700. 00| INTERNAL ANALYSIS STRENG Employ staff who have required skills sets and train them to provide excellent customer services * Capability and capacity to provide in time * Networking base * Knowledge of local market * Self driven, motivated young woman able to adapt very quickly to new situations, conforming to and often surpassing expected standards WEAKNESS * Little bit of market skill * Lack of capital for the production purchases, as it will limit effectively complete the job * * I have staff who have required skills sets and I have trained them to provide excellent customer services EXTERNAL ANALYSIS OPPORTUNITIES * Make a difference and diversify economy Increase in the development budget will mean more project to implement * Creation of employment for the community area * The business must leverage its inherit strengths to capitalize on all potential sales opportunities * Em ploy staff who have required skills sets and train them to provide excellent customer services * Build up a strong reputation of reliability exemplary services and high quality services. * Capability and capacity to provide in time THREATS * New competitors emerging in the vicinity * Customers having financial problems * * * IMPLEMENTATION PLAN DATE| ACTIVITY| RESPONSIBLE PERSON| st and 2nd weekMarch 2012| * Buying all equipment of the project| * Managing director| 3rd and 4th weekMarch2012| * Building fence for garden plot * Prepare sketch plan for kitchen and storeroom * Arrange building material for kitchen and storeroom * Landscaping inspections| * Managing Director * Managing director * Managing director and building construction| 1st and 2nd week April 2012| * Landscaping, paving, planting trees and lawns * Start building storeroom and kitchen| * * Building construction| 3rd and 4th weekApril 2012| * Cleaning up the garden, storeroom and kitchen for inspections * Inspections| * Grounds men and cleaners * | 1st week May 2012| * Arranging equipment in the kitchen and storeroom * Decision making, Pricing,Prepares materials for bookkeeping records,Prepared recipe and schedules for catering | * Stock supply and cookers * Managing director, secretary and accountant| 2nd weekMay 2012| * Business start operating| * All employees| How to cite Small Scale Business Management, Essay examples