Business Plan on

Green Coconut Juice

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Business Plan on Green Coconut Juice

Prepared for Mr. Fakhrul Islam Hemel Lecturer

Prepared by Group SPARKLE Batch 43, Section F, BBA Program

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Department of Business Administration STAMFORD UNIVERSITY BANGLADESH

Date: 24.07.2013 Group Members

IDno BBA04313 625 BBA04313 674 BBA04313 650 BBA04313 624 BBA04313
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Name Shah Alam Hera Zarin Rafa Raisul Islam Methun Kumar Sharkar Jamshed Ahmed

Sex Male Female Male Male Male

663 BBA04313 661

Rubayeat Ferdous

Male

Acknowledgement

First of all, we would like to thanks to Almighty Allah for his kindness and blessings that we have finished our project report in a short period of time. This report has been prepared as a part of the requirement of our Ice Breaking Programmed under the BBA Course being implemented by individual students of Stamford University Bangladesh, Dhaka. Though we are quite novice in preparing this kind of report, in spite of this we individually have tried to build our business sense by overcoming our shines. The group objective of the report is to know about the individual business plan as an entrepreneur. We are enthusiastic to you for giving us the opportunity to undergo such an experience. Here is the Business Plan of Green Coconut Juice, which plans to produce fresh coconut juice in container with various design and shape. While preparing this Business Plan, we have tried to pursue the instructions that you had assigned in the class. We have tried our level best to gather the possible information regarding the focus. This assignment is based on the class lecture and market survey of jute product
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sector in Dhaka, Bangladesh. For preparing this assignment; we used the ideas from customer demand and opportunity of making profit by producing different kinds of jute products with various shape and design.

This is an enormous opportunity for our future accomplishment and achievements of my goals by preparing an assignment on this attractive focus. We have tried to follow the guidelines of preparing a formal Business Plan, which will be beneficial for me in future. We want to express my acknowledgement and appreciation to Mr.Fakhrul Islam sir for his friendly cooperation. He shared his valuable time and information with us and also helps us to achieve our destination.

Table of Contents
Chapters Contents Executive Summary Introduction Objective Methodology Limitation Page Number 1

Chapter 1

Description

of

Business Industry Background Business History Business Mission Business Vision Business scope
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Chapter 2

Legal Business

Form

of

Business plan Organizational Structure of Business Management teams background Management key personal Management team

Chapter 3

summary Technical segment Location analysis Product of Business Service of Business Production Flowchart Manufacturing Cost

Data Marketing Strategy Market Segmentation Current Scenario in Business Our SWOT Analysis Competitor Analysis Target Market Pricing Strategy Consumer Behavior Product Future out Look Office Equipment

Chapter 4

and Personal Employs compunction

and

Benefit Packages Financial Segment Income Statement

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Chapter 5 Chapter 6

Capital Requirement Owners Contribution Fund Resource Building Cost Land Side development Perpetrating Expansion Financial Plan and

Lone Requirement Utility Cost Contingency Plan Conclusion Bibliography

Executive Summary
The upcoming report is about the comprehensive topic upon the effect of the business plan of a new business named Green Coconut Juice owned and managed by a group of seven entrepreneurs known as SPARKEL. The name of our product is NOCONUT.

For this purpose, it was the first step to collect the necessary information from the market. Most of data is collected from secondary sources but we also discussed about our plan with some other entrepreneurs and shop managers.

In the next step, we have determined the macroeconomics variables of Bangladesh that affects our factorys operation. An industrial analysis in this regard has also been conducted. Besides the macroeconomic and industry analysis we also made micro and macro screening to identity 7| Page

the best projects. Finally we concluded that the location of the factory, availability of raw materials and procurement of machineries would be our prime sector of investment.

To implement our business we need a practical business plan including the Purchase plan, organizational plan, managerial plan and other important things. But the most prominent plan is marketing and financial plan of our project. In marketing plan we identified the SWOT analysis, product demand, promotional activities, consumers behavior analysis etc. In the part of financial plan our report reveals first three years pro-forma statement, BEP analysis, cash budget, ratio analysis, policies regarding to the business. The business will be run as a joint proprietorship business and 70% of the total equity amount will be given by 9 entrepreneurs and the rest will be arranged from bank loan.

In the next step we build alternative plans and contingency plans which would help us to confront situations in unexpected bad situations. At last we summarize the major findings of the business plan and add a conclusion of our report.

Introduction

Green Coconut Juice Factory is a newly formed business for our country Bangladesh. The idea behind the business is to provide healthy and nutritious Green Coconut Water via different types of containers for exporting as well as to make it available in the local market. Green coconut water always has a great demand in Bangladesh as well as in foreign countries. In addition to produce Green Coconut juice, the business also plans to familiarize the people to use our product as an alternative to different kinds of
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beverage. As it is cool in nature, so people will prefers this juice especially in summer. But usually peoples bye coconut and drink that in an open air which is not so hygienic and healthy also. Considering all these situations we will provide healthy and nutritious coconut water in a packing container which name is NOCONUT and it will be prepared by GREEN COCONUT JUICE. The product of our can be easily carried from one place to another and people can drink whenever they become thirsty. So if we can produce such kind of nutritious juice for a developing country like Bangladesh, the economy sector will have a great benefit through this product. The management, marketing, financial and technical part are given in details in the following pages. We also furnish herewith a clear view of our business.

Objectives
Our business object is about to preserve the people a fresh and hygienic coconut water. By packing coconut water it into different containers. The business over look object is given below To produce and provide people a delicious and nutritious juice. To earn a huge profit by investing a few money. To acquaint ourselves with entrepreneurship development. To improve Bangladeshs export sector. To ensure heats conscious among people in Bangladesh.

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Methodology
We use theoretical approach to prepare this report and for this purpose we have been collected both primary and secondary data from the following sources:

Primary source

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We took interviews of some entrepreneurs. Visiting some well-known juice company. Face to face conversation with existing company likes: Coco cola, Mango, Mojo, Fruitlike Etc.

Secondary source
We have collected some information through internet and also searched the local and foreign websites. We took help from some previous reports and got some idea about the aspect of reports.
We also went through English and Bengali newspapers. Published reports Books Journals Website, Etc

Limitations
In preparing our first business report we had faced different kinds of limitations. Some of these are as follows:As we know Green Coconut Juice is a new business in Bangladesh. It was quite different to collect recent data about local producers. Moreover the time was not enough. Some issues were new for us and of Corse the load shedding problem and some other is as following Belo

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In our country juice farming are developing but it not too much develop as we need. So it will be very tuff to establish a juice farm which will be able to fulfill the demand of Coconut juice.

We have a very little knowledge about Coconut juice. So its really hard to prepare a business plan with such a little knowledge.

We got very little time to prepare a business plan. So its difficult to make a business plan in a little time.

Most juice productive farms are not interested to share their confidential information.

Description of Business

We are living in the world of business. Business is the Root of the economy activity of the economy activity and everything is encompassing it. Thinking about a business is like leading an adventure. However, we are going to take an adventure with Coconut juice factory. Every year we have to import huge amount of coconut juice in which more than 45 %.
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The Business which we want to start is a factory of green coconut juice. Green coconut ware had its humble beginnings in our country. It is abundantly found only in the coastal areas of our country. Through our business we want to make Green coconut water available all over the country. Thus we have invented a new product which contains fresh and nutritious coconut drink which name is NOCONUT. To start this business we need a huge green coconut tree which we already have in our country. So coconut supplier is able vale hear. Considering all that we are hardly want to start this business in our country.

Industry Background
The green coconut juice factory in an newly found business by us in our country thus why we wont have any king of industry background.

Business History
Green coconut ware had its humble beginnings in our country. It is abundantly found only in the coastal areas of our country. Through our business we want to make Green coconut water available all over the country. Thus we have invented a new product which contains fresh and nutritious coconut drink which name is NOCONUT. In foreign coconut Juice's operations have expanded dramatically over the past three years. Currently, the company has a staff of ten in production, delivery, and sales. Initially, the fruit drinks were sold at Richmond's weekend craft fair. They proved to be so popular that the partnership pooled their resources and began coconut Juice.
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Over the next three years, Coconut Juice's drinks, shakes, and smoothies have become one of the city's most visible signs of a healthy life style. The following table and chart will show us the rapid sales success of coconut Juice in foreign country.

Business Mission
Noconut Juice's mission is as follows:

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Quality: Our Noconut juices are the finest quality, most nutritious food products are mixed with many pungent tests but they are not good for our health and body. Thats why we will take only finest quality of coconut water accept nothing less.

Innovative: We aspect that our products will always be in the forefront of the health and nutrition wave. Innovative products, state of the art manufacturing, quality assurance and industry expertise are the bases for our present and future successes.

Integrity: Our customers can depend on the quality of our juice products rather than any kind of beverage. Our commitment to the highest standard is the foundation of our customer's trust in Noconut Juice. Delivering freshly made juice to consumers depends on extensive cooperation and mutual reliance between supplier and retailer. We stand behind our product, our service and our word.

Business Vision
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The vision of Green Coconut Juice Factorys to become the number one exporter of Green Coconut Water of Bangladesh. We also want to be the pioneer in the local market. We also have a vision to set up a Green Coconut Water firm like the Green Coconut Water firms in USA.

Business Scope
Noconut juice has very good possibility to do a good business in our country. As it is a pure Green coconut water people will like to accept our product easily and also because of its new outlook .If it does a good business in our country we will look forward to sell our product in various countries.

Legal Form of Business

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Green Coconut Juice Factory is formed under the partnership Act of 1932 and is consists of nine partners. We have some company policy and also have some rules and regulation of the partnership business which are as follow:1. 2. 3. 4. 5. 6. Name of the Business Plan: Green Coconut Juice Factory. Name of our product: NOCONUT Address: Work place of the project: Capital: 70% provided by nine partners and other 30% provided through Bank loan. Withdrawing money: Partners cannot withdraw more than 5% of the total money which invested for the Business plan. This rule is applicable for every partner individually. 7. 8. 9. Interest over withdraw: Every partner has to give 10% interest yearly on withdrawing money. Distribution of profit: Rational distribution method, according to every ones invested capital. Name of bank:

10. Name of the bank account manager: 11. Accounting year: From January to December the total project will run individually accounting year. 12. Publishing of Final account: On the 31 of December, or maximum 30 days before than 31st of December every year. The final account will be published. 13. Solving problems: Any kind of problem related to the partnership business could be solved by the deed of partners. 14. Changing of rules: In future if any at the rules may need to be changed then all partnership act 1932, will change the rule. 15. Dissolution of partners: If there is any mandatory reason for dissolution, then the business will be dissolute by the partnership act 1932.

Business plan
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Green coconut ware had its humble beginnings in our country. It is abundantly found only in the coastal areas of our country. Through our business we want to make Green coconut water available all over the country. Thus we have invented a new product which contains fresh and nutritious coconut drink which name is NOCONUT. The green coconut water has become very popular in foreign and its profit is outstanding. Here are is our business plan in graft:

Figer1: Business plan

Organizational Structure of Business

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The company will consist of the nine partners as owners and board of directors. Out of the five, one will be the managing director and the others will be in charge of the different departments. This will change over a period of one year. The two designers will be working under and reporting to the managing director. Any problem will be reported to the managing director first and then to the partner holding the position of the managing director.

Figer2: Organizational Structure There will be four major departments for five most important functions of our company. These are as follows: 1. Finance & Accounting department 2. Human Resource department 3. Marketing department 4. Sales department

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Management Teams Background

Name: Zarin Rafa Age: 32 Address: 132,133 Ahammedbagh,Dhaka 1214, Profession: Woman Entrepreneur Nationality: Bangladesh Education Qualification: BBA, MBA, Stamford University Bangladesh

Name: Shah Alam Hera Age: 28 Address: sotht rahamatpur,jatrabari,Dhaka-1204 Profession: Entrepreneur Nationality: Bangladesh Education Qualification: BBA, MBA, Stamford University Bangladesh Name: Raisul Islam Age: 28 Address: Sydabad, Dhaka Profession: Entrepreneur Nationality: Bangladesh Education Qualification: BBA, MBA, Stamford University Bangladesh Name: Methun Kumar Sharkar Age: 29 Address: Zinia, 29A/4, Raza Bazar, Farmgate-1215 Profession: Entrepreneur
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Nationality: Bangladesh Education Qualification: BBA, MBA, Stamford University Bangladesh Name: Jamshed Ahmed Age: 29 Address: , Basabo, khilgong, Dhaka Profession: Entrepreneur Nationality: Bangladesh Education Qualification: BBA, MBA, Stamford University Bangladesh

Name: Rubat Ferdous Age: 28 Address: 623, Baro Moghbazar, Melody Homes Apartment, Dhaka-1217 Profession: Entrepreneur Nationality: Bangladesh Education Qualification: BBA, MBA, Stamford University Bangladesh

Management Team Key Personnel

Our management team is contains 7 members of our board of director. They are working different position is our organization through planning and decision making. Our managing director manages the whole management sectors definition is given below.

Name Zarin Rafa

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Age 32

Qualification BBA, MBA,

Experience Four Year

Position in management Company M.D

Stamford university Bangladesh Shah Alam Hera 28 BBA, MBA, Stamford university Bangladesh Three Year Finance& Account Manager

Raisul Islam

28

BBA, MBA, Two Year Stamford university Bangladesh BBA, MBA, Two Year Stamford university Bangladesh BBA, MBA, One Year Stamford university Bangladesh BBA, MBA, One Year Stamford university Bangladesh

Marketing Manager

Jamshed Ahmed

29

Human resource Manager

Rubayet Ferdous

28

Sales Manager

Methun Kumar Sharkar

29

Frontline Manager

Management Summary
Green coconut juice factory will be organized and managed in a creative and innovative way to generate very high quality product for customer satisfaction, we need to create a working climate conductive to a high degree of personal development and economic satisfaction for employees.
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Our management team consists of people that have mastered their technical skills and have a desire to share that knowledge with new talent entering the industry. Career experience expands over five years is the prerequisite for all employees. Portfolio of the employees is also available for viewing. Training session will be there to help the employees to improve their product knowledge and skills on a regular basis. As the business moves into growing stage, the company will start to offer an employee benefit package including health, residence and vacation facilities for everyone.

Technical Segment
We have to locate our technical sights for our business. Its a very core site for the business.

Location Analysis
For any kind of business location analysis is very important. Before choosing our business location we have to analysis that areas demand, capability, scopes, raw
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materials able vale Etc. Very wisely. So considering all that we think Khulna will be a suitable place for us.

Address: Fultala, Khulna.

Product of Business
The product that we are going to produce is Green Coconut Water. This is a very new Business for the Bangladeshi market. Green Coconut Water is a potential of Bangladesh and its commercial production is possible in temperate and sub-tropical areas of the country. Green Coconut Water cultivation has been gaining popularity in the northwestern districts since the last couple of years as the Product has tremendous economic prospect for the coconut seller. The product which is imported in Bangladesh with packaging those all are packed in different containers. So we will sell our product in open market. But we are packing our product in different containers, Such as:

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120ml 220ml So that the general public can buy our product as they need. As well as bottles also protecting coconut water from being polluted with air .So people will become eager to consume our product.

Service of Business
We will provide different kind services to our clients. As we are going to export our product, we will assist our foreign buyers to get easily our product. For the local business buyers we will provide transport service for them. It will be our responsibility to reach Green Coconut Water in their factories. For the consumer we always have sample for tasting. They can test our product before buying it. In special occasions like Eid, chrisms, we will give special as sale offer for our customers. We believe that a business can only be successful if its buyers are satisfied

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Production Flowchart
The production program of our product is given below in flowchart:

Production area

Transport

Whole seller market

Whole seller market

Customer Market

Figer3: Production Flowchart.

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Particulars Green coconut Water storing buckets(5500*600) Filter Purifying and processing machine Total

COST(TAKA) 3300000 300000 1000000 4600000

Manufacturing Cost Data

Our product needs some manufacture such as coconut water storing bucket, purified and processing machine. The cost of our machinery is follow: Particulars Office room Machine Room Motor pump room Care taker room Garden Store room Extra room Total Amount(taka) 500000 1200000 50000 50000 100000 400000 200000 2500000

Sources of Raw Materials

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 We can easily get sources of raw materials easily in Khulna at square pharmaceuticals. It is cheaper than other sources. We can get coconut also at a reasonable price in Khulna.

Labor Supply Our production labor will distribute the product in our retail store.

We will operate our machineries by skillful workers. Distributor will supply honey in rural and urban area.

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Size of Business
Our business is basically a small business. A small business may be defined as a business with a small number of employees. The legal definition of "small" often varies by country and industry, but is generally under 100 employees. These businesses are normally privately owned corporations, partnerships, or sole proprietorships.

Marketing Strategy

Market Segmentation

For selling our product we are dividing our target market into 3 groups. These are

The foreign Buyers;

these is huge demand of Green Coconut

Water all over the world. Our main target buyer is the foreign countries like Canada, UK, USA, and also middle-east. We will directly export the big portion of our production in the countries.

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The Local Bulk buyers: there is also very high demand of Green
Coconut Water in the local manufactures and hotels. So we will also supplies Green Coconut Water to 5 start or 3 start hotel, milk manufacturing companies, juice companies and fast food shops. The local drink shop can buy Green Coconut Water from us. By using them we can supply Green Coconut Water all over the Bangladesh.

The local individual consumer: people of Bangladesh like

to drink Green Coconut Water. But right now they cannot afford to drink it because it not safe to drink it in open air and also not cheap at all. So we will have taken it seriously and try to convert into a containers. They can also buy it from local fruit shop as we are going to sell them to local fruit shops. We have identified six metro locations within the country where we can reach our target customers:

KHULNA CHITTA GONG SHEYLET COMILLA KUSHITA RAJSHAHI

Some local area of Khulna:

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Current Scenario in Bangladesh

Though green coconut water is very much wanted is our country, but it is not easy to establish our business. There are several types of problem that we are felt to be as a threat. So we need to analyses and solved it out very soon.

Figer4: Current Scenario.

SWOT Analysis
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Figer5: SWOT Analysis

Strengths
Using a more scientific approach for producing our product. Most of the juice producing factory follows traditional method of production. We intent to follow that system also in our green coconut juice factory. If we can get 1litter coconut water into par coconut, we can contained them in 5 120ml bottle and we will offer very chafe ret which will be benefited for us to perform in the market. We will offer our product around tk. 10-12(per120ml) bottles. This will give us the benefits of price leadership into the market.

Weaknesses
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Our machinery includes higher initial cost and greater management skill. Involves more risks. Require more knowledge and hard work than the traditional methods.

Opportunities
Green Coconut Water farming will soon gain huge popularity everywhere in the country. According to experts Bangladesh has huge potential to export Green Coconut Water in other countries. They said that the soil, climate and topographic conditions of the country is suitable for our product.

Threats
There is still no established market in Bangladesh. The international Green Coconut Water market is very competitive. So, we have to ensure low price and high quality to capture the market. Green Coconut Water still is cultivated through the more traditional way; there are no implementations of more scientific methods.

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Competitor Analysis
Competitor analysis is a very major part for any kind of business. In this part we have to analysis our Direct and Indirect competitor who will be a threaten sine for our business is need to identify. Direct competitor: All kinds of soft drinks will be our direct competitor. They are such as.. Water, Coco cola, Mojo, Mango juice etc. Indirect competitor: Our indirect competitor will be the foraging juice products which have a huge demand in our country.

Target Market

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In our country we have no coconut juice brand. So its a great opportunity for us to capture the market. We want to be the market leader of this type of business. Our customers will be the all classes of people so that we can sale our product widely. We will sale your product in low price than any other foreign brand.

Pricing Strategy

Green Coconut Juice Factory will follow the price push strategy. We will create awareness of our product and make sure that our buyer will be able to buy our product at an affordable price. Because of that we have to set the price reasonably in the first year we have huge amount of promotional. Our promotional costs will be incurred in the in the following ways: cost of Taste sampling Relative promotional cost

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From the second year the promotional cost will decrease. As a result Green Coconut Juice Factory will decrease it price around tk. 350-450 tk. The pricing strategy from the second year will mostly depend on the reaction of the competitors.

Sales Strategy
We have 3 different kinds of buyer. One is foreign buyer, another is local buyer and last one is the final consumer. Our sales strategy will be varied from customer to customer. though we are providing superior quality of Green Coconut Water , but we are not charging high price. It is because we are new in the market; moreover the foreign buyers do not have any idea about our country. So we want to create brand of our product in the outer world. For the local market we will also follow the same strategy. The wholesale buyer will get different kinds of discounts from us. We offer special price for the final consumer because all of we know about Green Coconut Water but very few have ever tasted it. So we want to make to possible that everyone can taste the real taste of Green Coconut Water for once.

This is why Green Coconut Juice Factory will sell Green Coconut Water directly to the buyers. This will give us an opportunity to create relationship with the buyers. We will also take order through telephone. We will create database about the buyers for future use.

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Promotion Strategy

Our company will enjoy a premium in promotional cost. Because we are marketing such a product that people need. This product is soft deinking product and also picketing in a moderate way which will be a great attraction for the consumers and also People can drink as an alternative beverage. But this doesnt mean that we dont need advertising. As we are starting the business, we need to make people know that our product Noconut is being prepared in our country. There is a matter of patriotic motivation.

Advertising: As a new company, our prime target is to aware people about

our products and services. We will initially use the Shot Gun method and use different communication tools to send our message to our target customers. Doing all this media Is our prime source to publishing the product.

It our customers order us with 1st 9 month. We will provide some discount to them. Different types of discount will be provided by us which is given below.
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Sales Promotion:

1st month---------3rd month--------------------------------------------8%

4th month---------6thmonth--------------------------------------------5%

7th month---------9th month--------------------------------------------3%

Promotion through Website:

There will be a website of our

company informing people about our product and services. Website will be a great way to communicate with the customers and it will in future bring online selling also.

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Consumer Behavior
It entails the attitude and the perception of the consumers before and after sells. As a shopkeeper we will have to take into account all the factors that influence their buying behavior i.e. Premium quality at high price or premium quality at an affordable price, unique and artistic arrangement of flower bouquet, posh and plush decoration, etc. To attract new customers we will come up with some unique decoration of the shop with bamboo and acrylic to make it look like a fusion of east and west. We will also make the product categories as cost effective as possible for our consumers.

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Figer6: Customer Behavior

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Product Future Outlook

Green Coconut Water cultivation has been gaining popularity since the last couple of years as the fruit has tremendous economic prospect for the grassroots farmers. With great export potential, the attractive fruit could open a new horizon for the farmers to earn more profits from less land area and their interest is gradually increasing day by

Office Equipment and Personnel

Our Green coconut factory and office are located in two different places. Therefore our office equipment and personnel are divided into two parts.

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Manager:
Khulna office.

we will have a manager in the farm. He will keep all the

expenses that occurred in the farm and also inform all kinds information to the

Worker: we will have 3 maintain ace worker in our farm. They will take
care the farm and also work in the Green Coconut Water factory.

Adviser:

we will hire Mr. A K M Nabil Kodak as an adviser to help in the

production of Green Coconut Water. He has 3 year knowledge of producing juice.

Contract Personnel:

we hire workers in the time of cultivating

and harvesting Green Coconut Water. It depends on the production how many daily labors will be required. We are estimating that this number could vary 10 to 20 people.

They will be utilized initially for the moving and setting up of the vegetable farm, greenhouses, and the building of the manure composting facility.

Office Equipment and Personnel for farm

Office assistant: there will be 2 office assistant in the Khulna office.
They will help the directors in their works.

Sales person: there will be 2 sales persons they will sell the product to
consumer in the Khulna shop.
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Equipments
Computer Desks Tables Chairs & Seating Charts & Bulletin Boards Computers Air conditions Chairs Telephones Mirrors Record Keeping Software Cash Register Product Catalog Internet Connection Fan Lighting

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Compensation and benefit packages

Compensation and benefit are very complicated issue for every business. Fair and attractive compensation packages are important for attracting and retaining employees. We will try to provide good compensation and benefit packages for our employees. Compensation: Our compensation offerings includeSalary: It will be the main component of our compensation package. The employees will be paid a fixed monthly salary. We will pay our employees reasonable salary to retain them in our business. Salary will be tied to a person's skills and experience. Subsequent increases will be based on our employee's performance, value and contribution to our organization. Bonuses: We will be offering bonuses to our employees once a year.

The yearly salaries of employees are given below. (BDT) Assistant Manager and Designer(outlet 1) Assistant Manager and Designer(outlet 2) Accountant 1(outlet 1) Accountant 2(outlet 1) 108,000

108,000

60,000 60,000

Sales personnel 1(outlet 1) Sales personnel 2(outlet 1) Sales personnel 1(outlet 2) Sales personnel 2(outlet 2) Total Employees

36,000 36,000 36,000 36,000 10

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Total Payroll

480,000

Benefits Package: Our benefit packages will includeVacation: We will allow our employees one-week vacation after each year of employment.

Sick and personal days: Due to situations such as personal emergencies or religious holidays, our company will provide extra paid personal and sick days to employees.

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Financial Segment
Financial strategy is a major part for business. In here we have to overlook our whole business cost and analysis them

Income Statement (1 year)

Amount(tk)
Sales revenue(300kg4daysper unit price 350tk12month) Less: cost of production/cogs Raw materials Fixed cost Labor Total cost of production Gross profit Less: administrative expenses Selling expenses Total operating expenses Operating profit(EBIT) Less: financial expenses Depreciation(55,00,000+25,00,000)2 0% Earning before tax(EBT) Less: provision for taxation(20%)
1,43,20,000 60,00,000 6,00,000 66,00,000 2,20,50,000 25,50,000 16,00,000 57,00,000 1,15,00,000 45,50,000 2,17,50,000 2,86,50,000

Amount(tk)
5,04,00,000

1,79,00,000 35,80,000

Earning after tax(EAT)

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Projected Income Statement (5 years)

Particulars Sales revenue(purcha sing unit) Less: cost of production/cogs Raw materials Fixed cost Labor Gross profit Less: administration cost Administration expense Selling expense Operating profit(EBIT) Less :Financial cost Financial expense Depreciation Earning before tax Less: Provision for taxation (20%) Earning After Tax 2,86,50,0 00 60,00,00 0 6,00,000 3,82,00,0 00 80,00,00 0 8,00,000 4,77,50,0 00 1,00,00,0 00 10,00,00 0 5,73,00,0 00 1,20,00,0 00 12,00,00 0 6,68,50,000 57,00,00 0 1,15,00,0 00 45,00,00 0 76,00,00 0 1,53,33,3 33 60,66,66 7 95,00,00 0 1,91,66,6 67 75,83,33 3 1,14,00,0 00 2,30,00,0 00 91,00,00 0 1,33,00,000 2,68,33,333 1,06,16,667 Year -1 1,44,000 Year-2 1,92,000 Year-3 2,40,000 Year-4 2,88,000 Year-5 3,36,000

1,40,00,000

14,00,000

25,50,00 0 16,00,00 0 1,79,00,0 00 35,80,00 0 1,43,20,0 00

29,40,00 0 21,33,33 3 2,38,66,6 67 47,73,33 3 1,90,93,3 33

36,75,00 0 26,66,66 7 2,98,33,3 33 59,66,66 7 2,38,66,6 66

44,10,00 0 32,00,00 0 3,58,00,0 00 71,60,00 0 2,86,30,0 00

51,45,000 37,33,333 4,17,66,667 83,53,333 3,3413333

Capital Requirement
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Capital requirement
land and site development building transport equipment total fixed asset pre-operating expenses working capital raw materials labor administration other total working capital total working requirement

Amount(tk)
20,00,000 25,00,000 30,00,000 40,00,000

Amount(tk)

1,15,00,000 2,00,000

57,00,000 45,50,000 60,00,000 45,50,000 2,08,00,000 3,25,00,000

Owners Contribution
Providers 48 | P a g e Contributed capital

Shah Alam Hera Zarin Rafa Jamshed Ahmed Methun Kumar Sharkar Rubayeat Ferdous Raisul Islam

2242000 1057000 973000 973000 973000 973000

Fund Resource
Particulars Risk Fund Poor Fund (5%) Bonus (7%) Extra fund Amount 500000 200000 318500 300000

Building Cost
Particulars Office room Machine Room Motor pump room Care taker room Garden Store room Extra room Total Amount(taka) 500000 1200000 50000 50000 100000 400000 200000 2500000

LOAN REPAYMENT SCHEDULE

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Pv

=X

Or,22750000 =X

Or,

Or,

LOAN REPAYMENT SCHEDULECALCULATE OF IN STALLMENT

Year

Principal Amount Outstanding 2,27,50,000 1,93,09,494 1,53,87,317 1,09,16,035 58,18,774

Installme nt

Interest @14%

Principal Repayme nt

Remaining Balance

1 2 3 4 5

66,25,506 31,85,000 66,25,506 27,03,329 66,25,506 21,54,224 66,25,506 15,28,245 66,25,506

34,40,506 1,93,09,494 39,22,177 1,53,87,317 44,71,282 1,09,16,035 50,97,261 58,18,774 896

8,14,628 58,17,878

The loan exists due to considering fraction consideration.

LAND SIDE DEVELOPMENT

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PARTICULARS Cost of land Cost of internal road Cost of gate Cost of clean Total

COST (TK) 1600000 70000 70000 50000 179000

PREOPERATING EXPENSES We have some pre operating expenses also such as Trade License, insurance charges, export license and miscellaneous expenses. Particulars Trade license fee and Gov. fees Insurance Miscellaneous Total Cost (taka) 100000 50000 50000 200000

Financial plan and loan requirement Noconut plans to contribute taka 3, 25, 00,000 covering the cost of the land and building and pre-operating expenses. A loan will be required for the rest of the project cost.

Particulars
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Owners Equity

Loan

Total

Fixed capital Loan Building Transport Equipment Pre-operating expense Working capital Total Percent

20,00,000 25,00,000 12,00,000 2,00,000 38,50,000 97,50,000 30,00% 30,00,000 20,00,000 1,77,50,000 2,27,50,000 70,00%

20,00,000 25,00,000 30,00,000 32,00,000 2,00,000 2,16,00,000 3,25,00,000 100,00%

Balance Sheet We start our calendar year with 25, 00,000 BDT in cash in 1 st year. During the year we expect to run the business adjusting payments from revenue. However the projection shows that we have a loss in year 1st year so we adjust that money from our cash in hand. So at the beginning of year 2nd year we have 2, 10,000 BDT of cash in hand and inventory of 90,000 BDT. We proceed through next two years applying the right strategy and as shown in the balance sheet, we expect a healthy growth in net worth, from approximately 310,000BDT in year two to 365,000BDT by the end of year five.

Year -1 Assets Current Assets Cash Inventory Other Current Assets Total Current 25,00,000 1,25,000 0

Year -2

Year -3

Year -4

Year -5

25,00,000 1,35,000 0

25,00,000 2,50,500 0

25,00,000 3,21,201 0

25,00,000 2,75,000 0

26,25,000

26,35,000

27,50,500

28,21,201

27,75,000

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Assets

Long Term Assets Long Term Assets Accumulated Depreciation Total LongTerm Assets Total Assets 3,20,000 27,000 2,70,552 3,12, 213 35,652 2,50,620 4,23, 650 26,532 1,95,230 3,12,542 25,320 3,25,620 1,25,432 24,201 2,65,251

6,07,552

6,01,620

6,18,230

6,57,620

4,24,201

Liability and Capital Current Liabilities Accounts Payable 0 0 0 0 0 0 0 0 0 0

Current Borrowing Other Current Liabilities Subtotal Current Liabilities

0 0

0 0

0 0

0 0

0 0

Long Term Liabilities Total Liabilities Paid-in Capital Retained Earning 1,33,53,620 0 0 1,35,25,026 0 0 1,12,15,350 0 0 1,08,20,604 0 0 1,02,20,604 0 0

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Earnings

1,43,20,000

1,90,93,333

2,38,66,666

2,86,30,000

3,3413333

Total Capital

2,16,00,000

2,16,00,000

2,16,00,000

2,16,00,000

2,16,00,000

Total Liabilities and Capital

3,59,53,620

3,00,78,646

3,30,10,934

3,24,20,604

3,18,20,604

Net Worth

3,59,53,620

3,00,78,646

3,30,10,934

3,24,20,604

3,18,20,604

UTILITIES COST We use electricity, gas, telephone, and internet for the producing process well as export process. The cost is:
Utility Electricity Gas Telephone Internet Total Cost(Tk) 90,000 16,500 12,000 4,000 1,22,500

BUILDING AND CIVIL WORKERS PARTICULARS Building Equipment Transport Total Amount 25,00,000 32,00,000 30,00,000 75,00,000

Contingency Plan

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If our project fails to generate the income we are expecting and if it becomes really tough on our part to pay back the bank loan we would have to go for an exit strategy. Deciding on this contingency approach is one of the toughest decision and we would have to take care of it very seriously. And before taking any drastic action we would go over the whole situation more carefully to see where it is possible to deal with the problem or not. If nothing works out, we would sell all the fixed assets and first of all pay back the money borrowed from the bank. If we have any money left, we would disperse that amount equally amongst all the partners.

Conclusion
Bangladesh is an agricultural country. So we will try to make a good advantage of it. As we know that coconut water has a long history in our country. It has also a role in religion and symbolism. Flavors of our product are varying based on the natural source and chemical ferry. The study of pollens and spores in row materials can determine floral sources of coconut. Coconut produced by other labors and employs has distinctly different properties. It gets it sweetness from monosaccharide fructose and glucose and has approximately the same relative. As we select Khulna as our location, we will get well facilities there. In present, the contribution of our juice production in our country is 24%.The total cost of our green coconut water production is 3, 25, 00,000. We use 30% equity amount and 70% debt amount. In this way, we can play vital role in our economic side. However, we have some weakness and threats. We will try our best to remove them so that we can go ahead easily. In the end we can tell our consumers that we will be one of the top factories in our country within 5 years.

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Bibliography
A Business Plan on different Juice factory Some Business Plan reports from BBA seminar. Some by business module classes.

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