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Project of Entrepreneurship

Submitted to:
Mam Qurat-ul-Ain

Submitted by:
Syed Arslan Haider

07010920-059

Shahzad Rasheed

07010920-066

Sara Ayyaz

07010920-027

Amna Naeem

07010920-038

Faisal Akbar

07010920-062

Shafqat Manzoor

07011220-011

Adnan Tariq

07010920-048

ExperienceYoga Centre

Business Plan

OWNER: Deepak Pandey

Business Name: Experience Yoga Centre


Address:

Xyz

City: Mumbai
Zip code: 50700
Telephone: +919769001955
E-Mail: pandeyjideepak@gmail.com

You can visit my face book pagehttps://www.facebook.com/pages/Experience-YOGA/607362589342816

Nature of the Business: Service and products


Preparation date of plan: 20-01-2014

Table of Contents
Table of Contents..........................................................................................................................................4
Executive Summary......................................................................................................................................5
General Company Description......................................................................................................................6
Products and Services.................................................................................................................................10
Marketing Plan............................................................................................................................................12
Financial Plan ............................................................................................................................................19
Appendices.................................................................................................................................................24

Executive Summary
About myself:
Personable and passionate Yoga Teacher, dedicated to sharing the Yoga tradition and lifestyle
with a variety of students. Im recognized for ability to conduct warm and inviting classes that
foster an invigorating, centering, and calming environment. Ability to empathize and develop
relationships with people of different abilities and from varying backgrounds. Possess technical
knowledge including active Asthanga Yoga, and restorative, gentle yoga. Core Competencies
include- Anatomy of Yoga Yoga Therapeutics Yoga Philosophy Pranayama Meditation
Mantra & Sanskrit
My teachings emphasize the importance of will, meditation, awareness, love, celebration,
courage, creativity, and humor.

About Ashtanga Yoga:


The term Ashtanga is Sanskrit for Eight limbed. It is named after the eight limbs of yoga
mentioned in the Yoga Sutras of Patanjali. This method of yoga involves synchronizing the
breath with a progressive series of posturesa process producing intense internal heat and a
profuse, purifying sweat that detoxifies muscles and organs. The result is improved circulation, a
light and strong body, and a calm mind.
Eight Limbs of Ashtanga - The first four limbsyama-moral codes, niyama-self-purification and
study, asana-posture and pranayama-breath controlare considered external cleansing practices.
The next four are considered internal cleansing practicespratyahara-withdrawing of the mind
from the senses, dharana-concentration, dhyana-deep meditation and Samadhi-Union with the
object of meditation.

General Company Description


Mission Statement:

The mission of Ashiyana Yoga Center is to give the opportunity to practice Anusara. It is
our intention to keep the teaching of Anusara as close to the way we have been taught as
possible. It is incumbent for the teacher to always act responsibly and with the student's
interest in mind. No matter what we learn or from whom we learn the real and only
teacher is within.
The focused activity of Anusara is said to:

Lubricate the joints, muscles, tendons and ligaments


Improve circulation and the activity of the nervous system

Increase flexibility

Release tension

Company Goals and Objectives:


The objectives of Ashiyana Yoga Center are the following:

To increase welfare of society


To improve the life style of society
Acquire 1500 customers by the end of the first year of operation.
Achieve sales in excess of Rs.60, 000 from the boutique.
Increase customer base by 25% by the end of the second year of operation.
Increase sales by 15% by the end of the second year of operation.

Business Philosophy:
The most important thing in our business is to improve the welfare of society.

Company Summary:
The Ashiyana Yoga Center offers Anusara-style Hatha Yoga plus workshops in related yoga
topics. The Yoga Center features well-trained, professional instructors, progressive teaching
methods, a non-competitive and encouraging atmosphere, and a beautiful light-filled facility.
The Ashiyana Yoga Center will be located in the commercial downtown section of Gujrat.
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Besides the training, the Ashiyana Yoga Center also has a boutique that will sell workshop
clothing and yoga training aides.
The Ashiyana Yoga Center will operate as partnership.

Our target market:


The Ashiyana Way Yoga Center will focus on two customer groups:
a. Middle Income Urban Professionals
b. Upper Income

Start-up summary:
The start-up expenses for the Ashiyana Yoga Center are focused primarily on workshop setup and
equipment, and inventory for the boutique. We will invest 6, 00,000. In addition, we will secure
an 8, 00,000 long-term loan.

Start-up
Requirements
Start-up Expenses
Legal
Stationery etc.
Brochures
Insurance
Rent
Expensed Equipment
Total Start-up Expenses

1,0000
1000
8,0000
1,0000
3,0000
20,0000
33,1000

Start-up Assets
Cash Required
Start-up Inventory
Other Current Assets
Long-term Assets
Total Assets

66,9000
10,0000
0
30,0000
106,9000

Total Requirements

140,0000
7

Start-up Funding
Start-up Expenses to Fund
Start-up Assets to Fund
Total Funding Required

33,1000
106,9000
140,0000

Assets
Non-cash Assets from Start-up
Cash Requirements from Start-up
Additional Cash Raised
Cash Balance on Starting Date
Total Assets

40,0000
66,9000
0
66,9000
106,9000

Liabilities and Capital


Liabilities
Current Borrowing
Long-term Liabilities
Accounts Payable (Outstanding Bills)
Other Current Liabilities (interest-free)
Total Liabilities

0
80,0000
0
0
80,0000

Capital
Planned Investment
Jill Gordon
Other
Additional Investment Requirement
Total Planned Investment

60,0000
0
0
60,0000

Loss at Start-up (Start-up Expenses)


Total Capital

(33,1000)
26,9000

Total Capital and Liabilities

106,9000

Total Funding

140,0000

Company locations and summary:


The Ashiyana Yoga Center is located in downtown Gujrat. The facility is quickly accessible to
the urban professionals that Ashiyana Yoga Center considers potential members.
With five workshop rooms, men and women's dressing rooms, and a boutique, it offers plenty of
floor space for multiple classes being conducted simultaneously. In addition, parking is not a
problem.

Products and Services


The Ashiyana Yoga Center's services and products are as follows:

Yoga 1/Beginner is an introductory class for students who are new to Yoga. This class
focuses on poses to stretch and strengthen the legs, back, and shoulders. Emphasis is
given to the basic alignment of the standing poses.

Fundamentals of Vinyasa Yoga will prepare students for a vigorous flow style of yoga
(Vinyasa) that synchronizes breath with movement. It will offer a balance of strength,
flexibility, and endurance to challenge the fitness enthusiast. The course will begin with
instruction on the alignment of the poses and move toward linking all the poses together
in a continuous flow by the end of the session.

Gentle Yoga is designed for those who prefer a class less vigorous than Yoga 1. It
includes gentle stretches and breathing as well as simple movements designed to
systematically increase the range of motion of every major joint and increase energy. This
class is ideal for students with chronic symptoms such as muscle/joint pain, stiffness,
weakness, or fatigue.

Yoga 1-2/Continuing Beginner is a continuation class for Yoga 1. The emphasis of this
course is on refining and building endurance in Yoga 1 and Yoga 2 standing poses. It does
not include the shoulder stand. The basic Anusara Yoga principles of alignment are
presented. This class is suitable for students who have practiced other styles of yoga, but it
is not suitable for those who have never studied yoga before.

Yoga 2/Intermediate focuses on refining the standing poses and learning basic sitting
postures, simple back bending poses, and the shoulder stand using the Anusara Yoga
principles of alignment. It is recommended that students complete both Yoga 1 and Yoga
1-2 before taking Yoga 2.

Yoga 3/Advanced continues with refinements to poses studied in Yoga 2 and introduces
full arm balance (handstand), headstand, and forearm balance. Additional back bend poses
are also included. Regular yoga practice outside of class is strongly encouraged.
Permission of the instructor is required.
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Products

Workshop Clothing: Shirts, shorts, athletic bras and pants.

Workshop Equipment: Balancing balls, belts, weights, and mats.

Yoga training aides: Video tapes, instructional manuals, inspirational books.

11

Marketing Plan
Market Analysis Summary:
Shadman has emerged as it position as the heart of the city. We believe that a yoga center can be
very attractive to our customers if we create a program that fits the time constraints of their jobs
home free time or exercise timing. Our location is within easy walking distance from most office
buildings downtown. We plan to offer our members a program that will allow them to use their
suitable morning/lunch hours/at evening, to attend workshop.
Timing: 06:00 to 07:30 am
10:00 to 11:30am
05:00 to 6:30pm

Ashiyana will be a positive draw for those who have some experience with yoga instruction. The
key to the success of Ashiyana yoga center will be attracting new people to yoga by creating
awareness of people of their health.

Market Segmentation:
The Ashiyana Yoga Center will focus on two customer groups:

Middle Income Urban Professionals: This group is the core segment of potential students
of Ashiyana Yoga center. Their demographic characteristics are the following:

Ages: 26-40.

Sex: 30% male, 70% female.

Family Income: 30,000-50,000.

Health/Lifestyle Issues: Active individuals that is focused on healthy food and dieting.
Over 70% of this group is members of gyms.
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Social Pattern: Will more likely attend as part of group.

Center's selling point: Close to work. The session lowers stress. Can be attended with
workmates as group activity.

Upper Income: The upper income customer is a secondary target group. Their demographic
characteristics are the following:

Ages: 40-60.

Sex: 30% male, 70% female.

Family Income: 60,000+.

Health/Lifestyle Issues: Active individuals those are focused on healthy food and dieting.
Over 90% of these groups are members of gyms.

Social Pattern: Will more likely attend alone.

Center's selling point: Close to work. The session lowers stress.

Target Market Segment Strategy:


Everything ASHIYANA YOGA CENTER does must be adapted to work within the time
constraints of the target customer. Yoga classes can be no longer than 90 minutes and must
be scheduled to fit the free timing, break and rolling lunch schedules that exist in the
downtown businesses. The focus of the instruction will also have to be adapted to a client that
will be seeking maximum relief from the pressure of work and then returning to the
workplace or home. If ASHIYANA YOGA CENTER can create a noticeable difference in
the customers' sense of well-being, then the customer will come to depend on instruction as a
escape during the day. These kinds of experiences will create a tremendous word of mouth
and bring in more first time students.

Service Business Analysis:


Typically, yoga centers are located away from the city's commercial/business
center. ASHIYANA YOGA CENTER are less focus on serving a large number of beginners
and is more focused on obtaining long term students. Students are attracted to a specific type
of yoga and the reputation and skills of ASHIYANA YOGA Centers leader.
13

Competition and Buying Patterns:


Yoga is a growing trend. It was popular in the seventies and has come back full force into
vogue in the 21st century. Movie stars such as Shilpa Shethi, Madonna, Meg Ryan, Julia
Roberts and Sting are advocates of the discipline.
As there is no real competitor of Ashiyana yoga center but gyms are some extend. It will be a
price leader of the market as there is monopoly of yoga in Gujrat.
The key to competition within the yoga business is the quality of the instructor. There are a
number of instructors around Pakistan who are well respected, and Ashiyana Yoga center will
strive to attract these teachers to its facility. The location, quality and absence of competitor
of the facility are the real advantage for Ashiyana Yoga center. Because it has the best most
attractive facility in country teachers will want to teach here. Ashiyana Yoga Center will
focus of presenting ASHIYANA YOGA CENTER as the perfect place to learn yoga skills
that will improve the student physically and reduce the daily stress of the work world.
This will provide the comfort environment for relaxation and help out them to get rid from
stress.

Marketing Strategy and Implementation Summary:


This Yoga Center will market through the numerous downtown fitness clubs, beauty salons
and boutiques by displaying posters. The Ashyana Yoga Center will offer the free entry for
beginners. In addition, we will give add on fm 105,106.6, Jazba newspaper. Also we will use
billboards for advertisement.

Competitive Edge:
The competitive advantage of Ashiyana Yoga Center is popularity of yoga, location and the
quality.

Sales Forecast:
The sales forecast outlines sales of instruction time as well as sales of products through the
boutique located in the facility. Instructions are sold in the following three ways:
1. Private lessons;
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2. Eight week courses;


3. Drop-in sessions.
The boutique will sell clothing, books, posters, books, DVDs and videos, mats, and other
props for yoga. In addition it will sell healthy pre-bottled drinks and healthy energy food in
future. If this facility becomes more of a destination, we will perform research for adding a
cafe.
Our Yoga Center anticipates that sales will be slow for the first and second month of
operation. After that point, sales will increase as membership grows.
The following is the sales forecast for three years.
Sales Forecast
Year 1

Year 2

Year 3

Sales
Yoga Instruction
Boutique Sales
Other
Total Sales

152,0000
64,0000
0
216,0000

190,0000
85,0000
0
275,0000

240,0000
106,0000
0
346,0000

Direct Cost of Sales


Yoga Instruction
Boutique Sales
Other
Subtotal Direct Cost of Sales

Year 1
0
20,1500
0
20,1500

Year 2
0
26,0000
0
26,0000

Year 3
0
32,0000
0
32,0000

Our business plan includes complete provisions for plan-vs.-actual analysis, and we will be
holding follow-up meetings every month to discuss the variance and course corrections.

Marketing Mix
Combination of product, price, place and promotion and other activities needed to meet
market objectives.
Product:
Best quality services with best quality yoga related products.
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Brand name: Ashiyana


Prices:
Comparatively will be high than other fitness gyms.
Discounts: Ashiyana yoga center will initiate a program that will give 25% session discount to
members who successfully recruit new members to Ashiyana yoga center.
Place:
The heart of city Shadman. Near to the professionals and everyone easily access the yoga
center.
Promotion:
We mainly concentrate on advertisement and other promotional activities for creating the
health awareness, as it is the basic tool of our business growth.
Mass Media: fm 105, fm106.6, Jazba newspaper, cable.
Displays: Billboards, posters.
Words of Mouth: We will offer the free entry for beginners also there are refreshing bottles
for visitors.

SWOT Analysis

Strengths: There is no real competitor, our teachers are highly qualified, we work for
welfare of society.

Weakness: new venture, risk involved, low awareness of people.

Opportunities: we have high growth chances because there are no real competitors of
our business.

Threats: In our society the people are narrow minded, so first we have to create
awareness between the people,we have a threat about the new entrant in the yoga
market.
16

Personnel Plan
Shahzad, Amna, Sara, Arslan (doing BBA hons.) the founders of The Ashiyana Yoga Center,
are those who wanted to work for welfare of society. They want to conduct workshops and
teacher trainings nationally and internationally.
In addition they get the productive set of instructions from honorable teachers like Mam
Qurat-Ul-Ain.
ASHIYANA YOGA CENTER started with 6 employee and 20 students. Within three years,
ASHIYANA YOGA CENTER had a staff of 25 and over 1,000 students.
The Ashiyana Yoga Center's personnel will be the following:

Arslan, director;

Amna, Receptionist

Shahzad, Marketing Manager

Teachers (2);

Sara, Boutique Manager

Personnel Plan
director
Teachers (2)
Boutique manager
Marketing Manager
Receptionist
Total Payroll

Year 1
15,000
54,000
13,000
14,000
13,000
109,200

Year 2
16,000
65,000
13,500
15,000
13,500
123,000

Year 3
17,000
75,000
15,500
16,000
15,500
139,000

17

18

Financial Plan
Break-even Analysis:
Break-even Analysis

Monthly Revenue Break-even

14,4920

Assumptions:
Average Percent Variable Cost
Estimated Monthly Fixed Cost

9%
13,1400

Projected Profit and Loss:


Pro Forma Profit and Loss
Sales
Direct Cost of Sales
Other Production Expenses
Total Cost of Sales

Year 1
Year 2
Year 3
216,0000
275,0000
346,0000
20,1500
26,0000
32,0000
0
0
0
20,1500
26,0000
32,0000

Gross Margin
Gross Margin %

195,8500
90.67%

249,0000
90.55%

314,0000
90.75%

109,2000

123,0000

139,0000

24,0000

26,0000

28,0000

2,4000
3,3000
2,4000
16,3800
0

2,4000
3,3000
2,4000
18,4500
0

2,4000
3,3000
2,4000
20,8500
0

157,6800

175,5500

195,9500

Expenses
Payroll
Sales and Marketing and Other
Expenses
Depreciation
Utilities
Insurance
Payroll Taxes
Other
Total Operating Expenses

19

Profit Before Interest and Taxes


EBITDA
Interest Expense
Taxes Incurred

38,1700
40,5700
7,7210
9,1350

73,4500
75,8500
7,2260
19,8670

118,0500
120,4500
6,7100
33,4020

Net Profit
Net Profit/Sales

21,3150
9.87%

46,3570
16.86%

77,9380
22.53%

Projected Cash Flow:


Pro Forma Cash Flow
Year 1

Year 2

Year 3

Cash Received
Cash from Operations
Cash Sales
Subtotal Cash from Operations

216,0000
216,0000

275,0000
275,0000

346,0000
346,0000

Additional Cash Received


Sales Tax, VAT, HST/GST Received
New Current Borrowing
New Other Liabilities (interest-free)
New Long-term Liabilities
Sales of Other Current Assets
Sales of Long-term Assets
New Investment Received
Subtotal Cash Received

0
0
0
0
0
0
0
216,0000

0
0
0
0
0
0
0
275,0000

0
0
0
0
0
0
0
346,0000

Expenditures
Expenditures from Operations
Cash Spending
Bill Payments
Subtotal Spent on Operations

Year 1

109,2000
65,4900
174,6900

Additional Cash Spent


Sales Tax, VAT, HST/GST Paid Out 0
Principal Repayment of Current
0
Borrowing
Other Liabilities Principal Repayment 0

Year 2

Year 3

123,0000
105,8360
228,8360

139,0000
125,5540
264,5540

0
20

Long-term Liabilities Principal


Repayment
Purchase Other Current Assets
Purchase Long-term Assets
Dividends
Subtotal Cash Spent
Net Cash Flow
Cash Balance

5,1600

5,1600

5,1600

0
0
0
179,8500

0
0
0
233,9960

0
0
0
269,7140

36,1500
103,0500

41,0040
144,0540

76,2860
220,3400

Projected Balance Sheet:


Pro Forma Balance Sheet
Year 1

Year 2

Year 3

Assets
Current Assets
Cash
Inventory
Other Current Assets
Total Current Assets

103,0500
2,7500
0
105,8000

144,0540
3,5480
0
147,6030

220,3400
4,3670
0
224,7070

Long-term Assets
Long-term Assets
Accumulated Depreciation
Total Long-term Assets
Total Assets

30,0000
2,4000
27,6000
133,4000

30,0000
4,8000
25,2000
172,8030

30,0000
7,2000
22,8000
247,5070

Liabilities and Capital

Year 1

Year 2

Year 3

Current Liabilities
Accounts Payable
Current Borrowing
Other Current Liabilities
Subtotal Current Liabilities

10,3450
0
0
10,3450

8,5510
0
0
8,5510

10,4780
0
0
10,4780

Long-term Liabilities
Total Liabilities

74,8400
85,1850

69,6800
78,2310

64,5200
74,9980

Paid-in Capital

60,0000

60,0000

60,0000
21

Retained Earnings
Earnings
Total Capital
Total Liabilities and Capital

(33,1000)
21,3150
48,2150
133,4000

(11,7850)
46,3570
94,5710
172,8030

34,5710
77,9380
172,5090
247,5070

Net Worth

48,2150

94,5710

172,5090

Business Ratios:
Business ratios for the years of this plan are shown below. Industry profile ratios based on the
Standard Industrial Classification (SIC) code 7997, Membership Sport and Recreation Club, are
shown for comparison.
Ratio Analysis

Sales Growth

0.00%

27.31%

25.82%

Industry
Profile
15.20%

Percent of Total Assets


Inventory
Other Current Assets
Total Current Assets
Long-term Assets
Total Assets

2.06%
0.00%
79.31%
20.69%
100.00%

2.05%
0.00%
85.42%
14.58%
100.00%

1.76%
0.00%
90.79%
9.21%
100.00%

4.00%
31.80%
40.90%
59.10%
100.00%

Current Liabilities
Long-term Liabilities
Total Liabilities
Net Worth

7.76%
56.10%
63.86%
36.14%

4.95%
40.32%
45.27%
54.73%

4.23%
26.07%
30.30%
69.70%

31.60%
28.00%
59.60%
40.40%

Year 1

Percent of Sales
Sales
Gross Margin
Selling, General &
Administrative Expenses
Advertising Expenses
Profit Before Interest and Taxes
Main Ratios
Current

Year 2

Year 3

100.00% 100.00% 100.00% 100.00%


90.67% 90.55% 90.75% 0.00%
80.80%

73.69%

68.23%

72.30%

2.78%
17.67%

2.91%
26.71%

2.89%
34.12%

2.70%
2.60%

10.23

17.26

21.45

1.23
22

Quick
Total Debt to Total Assets
Pre-tax Return on Net Worth
Pre-tax Return on Assets

9.96
63.86%
63.15%
22.83%

16.85
45.27%
70.03%
38.32%

21.03
30.30%
64.54%
44.98%

Additional Ratios
Net Profit Margin
Return on Equity

Year 1
Year 2
Year 3
9.87%
16.86% 22.53%
44.21% 49.02% 45.18%

n.a
n.a

Activity Ratios
Inventory Turnover
Accounts Payable Turnover
Payment Days
Total Asset Turnover

3.95
7.33
27
1.62

8.26
12.17
33
1.59

8.09
12.17
27
1.40

n.a
n.a
n.a
n.a

Debt Ratios
Debt to Net Worth
Current Liab. to Liab.

1.77
0.12

0.83
0.11

0.43
0.14

n.a
n.a

Liquidity Ratios
Net Working Capital
Interest Coverage

95,4550
4.94

139,0510 214,2290
10.16
17.59

n.a
n.a

Additional Ratios
Assets to Sales
Current Debt/Total Assets
Acid Test
Sales/Net Worth
Dividend Payout

0.62
8%
9.96
4.48
0.00

0.63
5%
16.85
2.91
0.00

n.a
n.a
n.a
n.a
n.a

0.72
4%
21.03
2.01
0.00

0.83
59.60%
2.80%
6.90%

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Appendices
Map of Ashiyana yoga centre
Market research questionnaire
Pamphlets
Products and their prices

24

Maps

25

3d Map

Market research questionnaire


Ashiyana Yoga Centre

Male

Female
26

Rural

Urban

Middle income

Higher income

Age___________________________
Family income___________________
Profession ______________________
1. Do you feel a need for a yoga centre in Gujrat?
a) Yes

b) No

2. Do you prefer yoga centre on gym for exercise?


a) Yes

b) No

3. Are you health conscious?


a) Yes

b) No

4. What do you prefer after exercise?


a) Water

b) fresh juice

5. Do you feel that for mental relaxation yoga is a most suitable exercise?
a) Agree

b) Neutral

c) Disagree

6. Do you think 1500 fee is reasonable fee for per month classes?
a) Yes

b) No

7. What is the time period of yoga class?


a) Half hour

b) 45 min

c)

1 hour

27

8. What timings are suitable according to your opinion?


a) 6am7am

b) 7am8am

c) 10am11am

d)1pm2pm

e)4pm5pm

f)6pm7pm

9. What should be the time period of yoga session?


a) 3 months

b) 6 month

c)

continue throughout the year

10. What location is most suitable for opening a yoga centre?


a)

Shadman

b) Margazar

c)

Shadola

d) GT road

11. Is the yoga is good exercise for a pregnant women?


a) Yes

b) No

12. Do you think yoga can help in curing muscle pain and fatigue?
a) Yes

b) No

Pamphlets
Ashiyana Yoga Centre

28

A yoga centre is now opening in your own city Gujrat in Shadman Colony.
This yoga centre consists of 2 well lightened and well ventilated halls for yoga
classes. The environment is soothing and refreshing. In Ashiyana yoga centre we
practice the HATHA yoga in Anusara style. Which provide body fitness and mental
relaxation and in addition it is also a cure for muscle pain.
This yoga centre also provides products which help in practicing yoga and fresh
juices are also available there.
The fee is reasonable 1500 rupees/ Per month.
Admissions are open. First 100 admissions are without admission fees. So
join us immediately. For more details please contact us on number
+923328388127.

Products and prices


Yoga DVD videos

Yoga straps

Yoga bricks

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Price Rs: 1000

Price Rs: 500

Yoga Books

Exercise bench

Price Rs: 1000

Price Rs: 2000

Bella bags

High performance mat

Price Rs: 2000

Price Rs: 2000

Premium Mats

Premium Blankets

Price Rs: 500

Water bottle

Price Rs: 200

Urban mat

Price Rs: 1500

Foot wears

30

Price Rs: 1000/each

Price Rs: 600/each

Price Rs: 300/pair

Balancing balls

Yoga music & Audio

Yoga blasters & cushions

Price Rs: 300

Price Rs: 800

Price Rs: 1000

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