MA40SF
JC
Name: _________________________
Start Your Own Business Project
You are a group of entrepreneurs (1-3 students) who need to evaluate the local
business area and start a business of your choice. You will decide on staffing,
location, marketing, product/services and compile a business plan that details
your business from start to finish.
Business Ideas:
Snow removal, house cleaning, lawn Mowing, landscaping, computer services,
hot dog stand, window washing, car washing, pressure washing houses or decks,
music lessons, photographer, video-grapher for weddings, pet grooming or
kennel service, paintball service, moving company, t-shirt shop, music store,
bakery, grocery shopping service, car cleaning, E-business (Ebay), shoe store or
any others that you and your group would be qualified to do.
Google Doc or Word
- Use either Google Docs or Microsoft Word to complete your project
- Share your finished file with Ms.Chartier by emailing to jchartier@sjsd.net
BUSINESS PLAN DUE: Friday, January 16th (4-5 classes to work in library)
The Business Plan
Introduction/Cover Page (5 marks)
 Names of the owner or owners (the group members)
 Name of the Business
 Company logo (draw or create on computer)
 Motto or Slogan
Part 1: The Executive Summary (5 marks)
The summary gives the reader a clear understanding of the business and it’s
potential. It should be clear and short in order to entice others to further explore
the details of the business plan. Should be 1-2 paragraphs.
• What business are you in?
• Where will you locate and why?
• What is your product/service?
• Why is your business needed?
• What are the trends that support your idea?
• What is the future of your product/service in the area?
Part 2: Company Description/Goals (5 marks)
1. Mission Statement (2): Explain your reason for being in business. 30 words or
less that sets the tone, defines the path, and provides direction for the
company. It is the guiding principle for the entire business. The statement
should represent what the company stands for and their focus for the future.
• Narrow enough to give direction and guidance to everyone in the business
• Broad enough to allow the business to grow and realize its potential
• Must be realistic, achievable, and brief
• Captures the essence of an organization without being so vague that it
could apply to every other organization too.
2. Company Goals and Objectives (3): List three goals for the business. Must be
specific, measurable, achievable, realistic and time-based goals that can be
monitored and measured, that the company wishes to achieve. What do you
hope for in annual sales? What do you hope to provide to the community?
EXAMPLES:
• “Achieve annual sales of $1 million by 2025.”
• “Open second location within 5 years of starting business.”
• “Expand product family by adding 10 different kinds of flowers and flower
arrangements in 2 years.”
/85
Part 3: Industry Analysis (10 Marks)
Provides an analysis of the larger industry (all the businesses that are similar) to
which the business will belong. Analyzes key trends and players in the industry.
Demonstrates an understanding of the business’ relative strengths and
weaknesses.
1. Create a list of the business‘s top competitors (1) (Use online resources to
find out)
2. Strengths (2):
• Describe why your business will succeed. What skills and
background do you have to make your business successful?
• What do you think you have to help you be successful?
Examples include: Unique product/service, technology, reputation,
relationships, advertising, experience, employees, innovative, etc.
3. Niche (1): In a short paragraph define your niche in the market.
4. Weaknesses/Barriers (2):
• What barriers to entry do you face in entering this market?
• What strategies do you have for overcoming barriers to entry?
Examples of typical barriers: High production costs, high marketing
costs, consumer acceptance, brand recognition, training and skills
to do job, unique technology, shipping costs, good workforce,
marketing, managers, lack of knowledge, etc.
5. Opportunities/Demand (2):
• What is the current demand and opportunity in your market?
• What is the total size of your market?
• How does your company take advantage of the changing market
and stay competitive in this market?
Examples include: Diversity, new, can expand, expert in. market
growth, changes in legislation, changes in current consumer
market, good economic outlook, cultural shifts, changes in tech,
6. Threats (2):
• Describe what your competitors are doing or selling.
• Make a list of your competitor’s strengths.
• What do they do well, whom do they target?
Part 4: Target Market (10 Marks)
Provides a brief overview of the nature and accessibility of the target market.
1.
Geographic (1): Where does your ideal customer live?
2.
Market (5):
• How large is the potential market?
• Who will be buying your product?
• Are customers’ needs changing and why?
• Are sales seasonal? Local? Regional? National? International?
• Is demand tied to another product or service?
3. Demographics of target customer. (4) Who is your ideal customer?
Complete the list:
• Age range
• Income level
• Gender
• Occupation type
• Education background
• Ethnicity
• Hobbies and interests
Part 5: Pricing, Product or Service Description (10 Marks)
1. Products/Services (4): Create a table that makes a detailed list of services or
products for sale (minimum of 10) and a column that highlights your profit per
sale. Be specific on what you will sell and for how much. (4)
For example: I buy pop for 50 cents sell it for 1 dollar = 50 cents profit per sale
2. Pricing strategy (1): Justify your prices. For most small business having lowest
price is not a good policy because it robs you of profit margin. Customers do
not always care about price as much as you think. Usually you do better to
have average prices and provide superior quality and service.
3. Make a comparison price chart (4): Choose 2 competitors and compare your
price to competitors by making a chart. Are their prices higher, lower, the
same? Why? How much will your customers rely on price to buy your
product?
4. Extended features (1): Do you deliver, warranty, support, follow-up, refund
policy?
Part 6: Location (5 marks)
Find a location to place your business (research online). Must be specific. Your
business would have to buy or lease the building.
1. Building/Land Choice (1): What building or land did you choose? Why? What
is the price?
2. Provide maps and photos of specific location/buildings. (1)
3. Explain the benefits of your location choice and how this choice is best for
your business. Does your business need access a busy street, highway or
anywhere? Does your business need easy walk-in access for customers
(sidewalks), if so, explain how your location provides this? (2)
4. Space Needed Explanation (1): Explain the reasoning behind size (Square
footage of building) or amount of land needed and how your choice fits your
businesses needs.
Part 7: Analysis of Expenses (5 marks)
1. Calculate (4): Use your square footage from the location you found in Part 6.
• Cost to buy/rent
• Property Taxes
• Insurance
• Utilities
• Janitorial Services
Use the chart below to help you:
Minimum Annual Estimates based on square footage
 Property Taxes
$2.25/square foot
 Insurance
$1 .00/square foot
 Utilities
$2.25/square foot
 Janitorial Services $1.00/square foot
2. Startup expenses (1):
• What are the capital equipment costs? For example: furniture, machines,
ovens, computers, registers, remodeling and others, etc.
Part 8: Management and Organization (10 marks)
Describes the key participants in the new business venture. Identifies the human
resources the business can draw upon either as part of the management team,
employee pool, consultants, directors, or advisers and the role each will play in
the business’ development.
1. Hours of Operation (1):
• What hours will your business be open?
• How does that compare to competitors? Weekends?
• Different in summer?
2. Planned operation (2):
• What type of ownership will the business have? Partners?
• Explain how each member of the group will contribute to the business
once it is started.
• Who will manage the day-to-day business operations? What experience
does that person bring to the business?
• Is there a plan if that person is no longer around?
3. Personnel (6):
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Number of employees total
Cost to pay all employees in one day
Type of labor force you need (skilled, unskilled, professional)
Where and how you’ll find the right staff
Training methods and requirements
Job descriptions for employees
Part 9: Marketing Plan and Sales Strategy (5 marks)
Demonstrates how the business’ product or service will be marketed and sold.
Includes both strategic and tactical elements of the marketing approach.
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What is your overall strategy of getting your name out to the public?
How will you market to your target market?
Percentage of money you will spend on ads.
A list of where (types of advertising), frequency (how often), and how
much each advertisement will cost and how long that advertisement will
last.
• Explain your web presence if you plan on having one.
Part 10: Profit/Loss (15 marks)
1. Financial Projections (5):
• Price at which product(s)/service(s) will be sold for profit.
• How many products need to be sold to make money?
• Number of units of each product/service that will be sold each month.
• How long would it take for your business to break-even? Look at your
building, workers, costs, etc… and what will you need to break even on
your business.
2. Complete a budget for your business from all the information collected in your
business plan, using a budget sheet like the one below (10):
INCOME
TOTAL INCOME
FIXED EXPENSES
VARIABLE EXPENSES
TOTAL FIXED EXPENSES
TOTAL VARIABLE
EXPENSES
TOTAL INCOME
TOTAL EXPENSES
SURPLUS or DEFICIT