Business Plan Hardware Store
Content
[COMPANY NAME] Business Plan
[NAME] [ADDRESS] [CITY, STATE ZIP] Phone: XXX-XXX-XXXX [EMAI]
Confidentiality Agreement The undersigned undersigned reader acknowledges acknowledges that the information information provided provided by [COMPAN [COMPAN NAM!" in this business plan is confidential# therefore$ reader agrees not to disclose it without the e%press written permission of [COMPAN NAM!"& 't is acknowledged by reader that information to be furnished in this business plan is in all respects confidential in nature$ other than information which is in the public domain through other means and that any disclosure or use of same by reader may cause serious harm or damage to [COMPAN NAM!"& (pon re)uest$ this document is to be immediately returned to [COMPAN [C OMPAN NAM!"& ******************* +ignature
******************* Name ,typed or printed-
******************* .ate
This is a business plan. It does not imply an offering of securities.
Ta Table ble of Contents
/&0 !%e !%ecutiv cutive e +um +ummary mary&&&&&&&&& &&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& / Chart1 Char t1 2ighli 2ighlights&&& ghts&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& 3 /&/ Ob4ectives&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&3 /&3 Missio Mission&&&&&& n&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&3 &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&3 /&5 6eys to +uccess&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&5 3&0 Company +ummary&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&7 3&/ Company Ownership&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&7 3&3 +tar +tart8up t8up +umm +ummary& ary&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& 7 Table1 +tart8up&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&9 Chart1 +tart8up&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&9 5&0 Produ Products&&&& cts&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&: : 7&0 Market Analysis +ummary&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&; 7&/ Market +egmentation&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&; Table1 Market Analysis&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&; Chart1 Market Analysis ,Pie-&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&< 7&3 Target Market +egment +trategy&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&< 7&5 'ndust 'ndustry ry Analy Analysis&&&&&& sis&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&= &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&= 7&5&/ Competition Competition and >uyin >uying g Pa Pattern tterns&&&&&&&&&&& s&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&= = 9&0 ?eb Plan +ummary&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/0 9&/ ?ebsite Marketing +trategy&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/0 9&3 .evelopment @e)uirements&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/0 :&0 +trategy and 'mplementation +ummary&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&// :&/ +?OT Analysis&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&// :&/&/ +trengths&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&// :&/&3 ?eaknesses&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/3 :&/&5 Oppor Opportunit tunities&&&&&& ies&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/3 /3 :&/&7 Threats&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/3 :&3 Compe Competitiv titive e !dge&&& !dge&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/3 /3 :&5 Marketing +trategy&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/3 :&7 +ales +tra +trategy& tegy&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/5 /5 :&7&/ +ales orecast&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/5 Table1 +ales orecast&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/5 Chart11 +ale Chart +ales s Month Monthly&&&&& ly&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/7 /7 Chart1 +ales by ear&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/7 :&9 Milestones&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/9 Table1 Milest Milestones& ones&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& /9 ;&0 Management +ummary&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/: ;&/ Pe Personn rsonnel el Plan& Plan&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/: /: Table1 Pe Personn rsonnel&&&&&&& el&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& /: <&0 ina inancial ncial Plan& Plan&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/; &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/; <&/ +tart8up unding&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/; Table1 +tar +tart8up t8up undi unding&&&&&&& ng&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/; /; <&3 'mportant Assumptions&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/< <&5 >reak8even Analysis&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/< Table1 >reak8even Analysis&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/< Page 1
Ta Table ble of Contents
Chart1 >reak8even Analysis&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/= <&7 Pro4 Pro4ected ected Prof Profit it and Boss&& Boss&&&&&&&&&&& &&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&30 30 Table1 Profit and Boss&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&30 Chart1 Char t1 Profi Profitt Month Monthly&&&&& ly&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&3/ &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&3/ Chart1 Profit early&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&3/ Chart1 ross Margin Monthly&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&33 Chart1 rossCash Margin early&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&33 <&9 Pro4ected low&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&35 Table1 Cash low&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&35 Chart1 Cash&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&37 <&: Pro4ected >alance +heet&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&39 Table1 >alance +heet&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&39 <&; >usiness @atios&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&3: Table1 @at @atios&&& ios&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&& &&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&3: 3: Table1 +ales orecast&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&/ Table1 Personnel&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&3 Table1 Profit and Boss&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&5 Table1 Cash low&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&7 Table1 >alance +heet&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&9
Page 2
[COMPANY NAME] BUSINESS PLAN 2010
/&0 !%ecutive +ummary [COMPAN NAM!" [NAM!" [A..@!++" [C'T$ +TAT! D'P" Phone1 EEE8EEE8EEEE EEE8EEE8EEEE [!MA'B" [COMPAN NAM!" will be a sole proprietorship owned by [NAM!"& The Company is a start8up as [NAM!" will purchase the rights to the e%isting location for F;9$000& (pon purchase of the rights$ the Company will demolish the e%isting structure and build a new +tate of the Art hardware store& [COMPAN NAM!" will be a standard general hardware store that offers the parts$ material$ and advice to tackle any home repair$ as well as lawn care& The primary focus will be to satisfy the seasonal needs of the areaGs customers& The Company will will service the hardware and repair needs of the [CO(NT"$ [CO(NT"$ [CO(NT" and [CO( [CO(NT NT"" Cou County nty househ household olds& s& The Compan Company y would would lik like e to increas increase e sale sales s in all marke markett segments above with a concentration of growth in sales to homeowners who do their own repairs& The focus of this business plan is to put forth ob4ectives to launch operations$ work efficiently and effectively$ and e%pand internal operations giving the Company the opportunity to grow with sales growth in the surrounding County areas& [COMPAN NAM!" is ready to elevate to the ne%t step& The Company is seeking grant funding in the amount of F:00$000& The grant funding will be used to launch operations including purchasing the e%isting land H business$ construction of a new >uilding >uild ing and purchasing e)uipment e)uipment and displays for the store& Additi Additionall onally$ y$ the Company will purchase the opening inventory$ develop develop a website and launch an advertising campaign&
1
[COMPANY NAME] BUSINESS PLAN 2010
Chart1 2ighlights
/&/ Ob4ectives [COMPAN NAM!" has the following ob4ectives& /& Obtain rant funding to purchase an e%isting hardware store and rebuild the retail space& 3& Customer Customer + +ervice ervice - ive ive our customers customers the highes highestt )ualit )uality y produc productt and servi service ce at a fair fair competitive price& 5& To create a safe environment for people in the community to come for their hardware store needs& 7& To provide 4obs within the community& 9& To successfully manage a hardware store& /&3 Mission The mission of [COMPAN NAM!" is to offer )uality hardware products in a customer8friendly shopping environment& Our customers will get assistance )uickly and will leave the store prepared to get the 4ob done right the first time& [COMPAN NAM!" will also focus on anticipating the seasonal needs of its customers and providing the best products at competitive prices&
2
[COMPANY NAME] BUSINESS PLAN 2010
/&5 6eys to +uccess The keys to success for [COMPAN NAM!" are1 /& Bocation1 [COMPAN NAM!" will be assuming ownership of an e%isting hardware store& The Company plans to demolish the e%isting building and build a new +tate of the Art hardware store& ?e will have an e%isting base of customers& 3& +easonal Products1 !ach season has it own uni)ue demand on a homeowner& [COMPAN NAM!" will focus on this pattern and bring in local customers by marketing these items at competitive prices& 5& @e @epai pairIPr rIPro4e o4ect ct @es @esour ource ce Area1 Area1 The first first sectio section n custom customers ers wil willl fin find d when when they they enter enter is a repa repairI irIpr pro4 o4ect ect resou resource rce area area th that at th they ey can us use e to pl plan an repa repairs irs or pro4 pro4ect ects& s& Ther There e will will be a repairIpro4ect resource person to answer )uestions and direct them to the section of store where the needed products are& 7& 'n8 'n8+to +tore re !%p !%pert ertise ise11 +tore +tore employ employees ees will will be knowled knowledgea geable ble in home home repairs repairsIpr Ipro4e o4ects& cts& 'n add additio ition$ n$ the the re repa pair irIp Ipro ro4e 4ect ct re res sou ourc rce e area area wi will ll be used used to co cond nduc uctt sh sho ort tra train inin ings gs and demonstrations in home repair and home pro4ects&
3
[COMPANY NAME] BUSINESS PLAN 2010
3&0 Company +ummary [COMPAN NAM!" [NAM!" [A..@!++" [C'T$ +TAT! D'P" Phone1 EEE8EEE8EEEE EEE8EEE8EEEE [!MA'B" [COMPAN NAM!" will be a sole proprietorship owned by [NAM!"& The Company is a start8up as [NAM!" will purchase the rights to the e%isting location for F;9$000& (pon purchase of the rights$ the Company will demolish the e%isting structure and build a new +tate of the Art hardware store& [COMPAN NAM!" offers the parts$ material$ and advice to tackle any home repair$ as well as lawn care& The storeGs owner$ [NAM!"$ has worked in the e%isting hardware store helping the current owner and customers& [NAM!" has built a relationship with the e%isting customer base& The current plan for [COMPAN NAM!" is to obtain grant funding in the amount of F:00$000& 3&/ Company Ownership [COMPAN NAM!" will be a sole proprietorship owned /00J by [NAM!"& [NAM!" has been a resident of Tarlton community for over 5: years& 3&3 +tart8up +ummary [COMPAN NAM!" will purchase the e%isting business for F;9$000& As the e%isting structure is in such disrepair$ the Company will consider the purchase price as cost of the land& The following is a detailed cost estimate for construction and start8up e%penses of the facility1
Des!"i#$ion &' ('
>uilding /0$000 s) ft Band
)' * +' ' ' .' /' &0' &&' &(' &)'
Misc& Permits$ Plans$ etc 'nterior inish Parking Bot H Bighting +helving and .isplays Office !)uipment H urniture +ignage ?eb +ite Creation Opening 'nventory Other !%penses ?orking Capital .emolition of of e%isting +t +tructure TOTA
A%oun$ F390$000 ;9$000 /0$000 50$000 /9$000 50$000 50$000 5$000 5$000 39$000 5=$000 ;0$000 30$000 100,000
4
[COMPANY NAME] BUSINESS PLAN 2010
+tart8up costs and initial financing are shown on the following tables and chart& Table1 +tart8up Start-up Re2ui"e%en$s S$a"$-u# E3#enses
e4al i!enses 5 Pe"%i$s De%oli$ion o6 E3is$in4 S$"u!$u"e Insu"an!e Si4na4e 7e8si$e O$he" To$al S$a"$-u# E3#enses S$a"$-u# Asse$s Cash Re2ui"e9 S$a"$-u# Inen$o"; O$he" Cu""en$ Asse$s on4-$e"% Asse$s To$al Asse$s To$al Re2ui"e%en$s
1(0,000 1&0,000 1(0,000 1*,000 1),000 1),000 1&+,000 1+,000
10,000 10 10 1*)0,000 1+00,000 1++,000
Chart1 +tart8up
5
[COMPANY NAME] BUSINESS PLAN 2010
5&0 Products [COMPAN NAM!" will be a standard general hardware store that offers the parts$ material$ and advice to tackle any home repair$ as well as lawn care& The primary focus will be to satisfy the seasonal needs of the areaGs customers& allI?inter1 ?eatheriKation pro4ects& +pring1 ardenIlawn pro4ectsIhome improvement pro4ects& +ummer1 Outdoor building pro4ects&
6
[COMPANY NAME] BUSINESS PLAN 2010
7&0 Market Analysis +ummary [COMPAN NAM!" storefront will be located in [CO(NT"$ [+TAT!"& [C'T" is a village in [CO(NT" and [CO(NT" counties in the state of [+TAT!"& As of the census of 3000$ there were 3=< people$ /03 households$ and ;9 families residing in the village& [CO(NT" County 8 As of the census of 3000$ there wer were e /33$;9= people$ 79$739 households$ and 57$/9= families residing in the county& [CO(NT" County 8 As of the census of 3000$ there were 93$;3; people$ /;$9== households$ and /5$3<; families residing in the county& Additionally$ Additionall y$ the Company will advertise advertise to residents residents of neighborin neighboring g [CO(NT" [CO(NT" and [CO(NT" Counties& [CO(NT" County 8 As of the census of 3000$ there were 3<$37/ people$ /0$<75 households$ and ;$<3< families residing in the county& [CO(NT" County 8 As of the census of 3000$ there were ;5$579 people$ 3;$/5: households$ and /=$/<9 families residing in the county& The Company will serve all of [COMPAN" and launch an advertising campaign to draw customers from [CO(NT"$ [CO(NT"$ [CO(NT" and [CO(NT" Counties& The Company believes that a local hardwa har dware re store store can provid provide e a reasona reasonable ble selection selection in the most import important ant produc productt area areas$ s$ be competitive in pricing$ and offer the customer a shopping environment that will assure repeat business& 7&/ Market +egmentation [COMPAN NAM!" will focus on three significant customer groups1 /& 2ousehold 2ouseholdsI2ome sI2ome Own Owners1 ers1 Many home home owners owners perform perform their own own home repairs repairs and home home improv imp roveme ement nt pro4ect pro4ects& s& [COMPAN [COMPAN NAM!" NAM!" will will be uni)u uni)uely ely design designed ed to be respon responsiv sive e to the shopping environment that will attract and retain this important customer group& 3& Customers who need assistance in planning planning a pro4ectIrepai pro4ectIrepair1 r1 [COMPAN [COMPAN NAM!" will be set8up set8up to provide resources and assistance as soon as they walk into the store& 5& Bocal repair and home improvement professionals1 The Company will support a good number of repair and home improvement professionals in the area& Table1 Table1 Ma Market rket Analysis Market Analysis 30/0
Po$en$ial Cus$o%e"s [TO7N] - = o6 >ousehol9s [CO@NTY] Coun$;
30//
30/3
30/5
30/7
CA<R
rowth 3J
/03
/07
/0:
/0<
//0
&'/&?
3J
79$739
7:$557
7;$3:/
7<$30:
7=$/;0
('00?
7
[COMPANY NAME] BUSINESS PLAN 2010
- = o6 >ousehol9s [CO@NTY] Coun$; - = o6 >ousehol9s
3J
/;$9==
/;$=9/
/<$5/0
/<$:;:
/=$090
('00?
8
[COMPANY NAME] BUSINESS PLAN 2010
[CO@NTY] Coun$; - = o6 >ousehol9s [CO@NTY] Coun$; - = o6 >ousehol9s To$al
3J
/0$<75
//$0:0
//$3</
//$90;
//$;5;
('00?
3J
3;$/5:
3;$:;=
3<$355
3<$;=<
3=$5;7
('00?
&0&,&0+
&0),&(.
&0+,&/&
&0,(/+
&0/,**&
('00?
('00?
7&3 Target Target Market +egment +trategy [COMPAN NAM!" will service the hardware and repair needs of the Pickaway and airfield County households& The Company would like to increase sales in all market segments above with a concentration of growth in sales to homeowners who do their own repairs& The Company will start its advertising campaign in [TO?N" and e%pand their territory to include homeowners within a /98mile radius in the neighboring county areas& >ecause [COMPAN NAM!" main focus is on the households in the surrounding County areas$ the Company Compa ny knows how to meet the specific specific needs of its customers& customers& Therefore$ Therefore$ the Company Company will utiliKe the following to reach its target market1 • • • •
.irect Mailer to households and door hangers ?ebsite social marketing Promotions for the store front grand opening Bocal newspaper advertising and press release
7&5 'ndustry Analysis 'n the (nited +tates all shoppers for hardware and repair products are done on a local basis& The industry is dominated by two large chains1 BoweLs and 2ome .epot& or our local shoppers$ there ar are e no la larg rge e chai chain n ha hard rdwa ware re st stor ores es with within in a /9 /98m 8mil ile e radi radius us of our our locat locatio ion& n& The The Comp Compan any y distinguishes itself from the competition by offering customiKed personal service to its customers& The Company will begin operations with a solid local customer base to build growth in future years as the e%isting hardware store has been in this location for many years& +killful use of advertising and strong communication will bring the business the Company desires& 7&5&/ Competition and >uying Patterns Although other hardware stores offer the same products and services that we do$ they will not be ab able le to comp compet ete e with with ou ourr perso persona nall serv servic ice$ e$ work work et ethi hic c an and d impe impecca ccabl ble e cust custom omer er serv service ice skills ski lls&& [COM [COMPAN PAN NAM!" NAM!" will compet compete e direct directly ly with with these these sto stores res by effect effectiv ively ely mee meetin ting g our customerGs needs& Our goal is to fulfill our customerGs demands because it will aid us in generating future fut ure business& business& 'f our custo customer mer is happy happy$$ they will will recomm recommend end us to oth others ers who need need our pro rodu duct cts s and and se serv rvic ices es&& ?ord of mo mou uth is very im impo port rtan antt for for the the Comp Compan any yGs type type of business and satisfied customers are a key ingredient to the CompanyGs success&
9
[COMPANY NAME] BUSINESS PLAN 2010
?ith no large chain store within a /98mile radius$ [COMPAN NAM!" will advertise and capture the local market&
10
[COMPANY NAME] BUSINESS PLAN 2010
9&0 ?eb Plan +ummary [COMPAN NAM!" website will be an opportunity to offer current information on service offerings$ company background$ announcements and special discounts& The website will be another method to generate steady business in our area&
Curren Currently tly$ Company ny has conversati conv ersation on with several seve person s e )uali )ualified prov provide ide The an attrac att ractiv tive e$ the and Compa e%c e%citi iting ng web been page# page#in howeve how ever r$ the Compan Company y ral hasnGt haspersons nGt made mad a fied fin final al todecisi dec ision& on& Company is only considering web designers that are resid siden entts of the [CO(N O(NT T"" County community& community& The Company feels very strongly in keeping its funds within the community 9&/ ?ebsite Marketing +trategy Our websit website e will will be promot promoted ed on all of our marke marketin ting g materi materials als and during during our adv advert ertisi ising ng campaigns& ?e will advertise our site on our business cards as well as in other industry related publications& As nu nume mero rous us stud studie ies s ha have ve docu docume ment nted ed$$ most most peop people le buy buy ba based sed on th the e conve conversa rsati tion on an and d recommendations of trusted friends$ family and colleagues& inding the people that influence their peersG decisions where to shop and what to buy has long been viewed as the 2oly rail of mar marke ketin ting& g& 'ncreas 'nc ingly ly$$ online onl ine to social soctie8into ial networ networks ks media are being bei ng seen see n as ve venue nues s for loc locati ating the se influencers& Thereasing Company plans social sites to e%pand our presence onng thethese web to our targeted customers& 9&3 .evelopment @e)uirements [C [COM OMPA PAN N NAM NAM!" !" will will in incre creas ase e it its s prese presenc nce e on th the e web by prom promot otin ing g th the e site site duri during ng th the e Advertising Campaigns& The Company plans to tie8into social media sites to e%pand our presence on the web to our targeted customer base&
11
[COMPANY NAME] BUSINESS PLAN 2010
:&0 +trategy and 'mplementation +ummary [COMPAN NAM!" has clearly defined the target market and has differentiated itself by offering a solid solution to fulfilling its customersG needs& @easonable sales targets have been established with an implementation plan designed to ensure the goals set forth below are achieved&
:&/ +?OT Analysis The +?OT +?OT analys analysis is aids aids in displa displayin ying g the intern internal al strengt strengths hs and weakne weaknesses sses that that [COM [COMPAN PAN NAM!" must address& 't allows us to e%amine the opportunities presented to the Company as well as potential threats& The companyGs S$"en4$hs will help it to succeed& These strengths are1
Cus$o%e" se"i!e 8 we will give personal service to every customer$ catering our services to our customer needs uali$; 8 the Company Company will carry the highest )uality )uality product and a range range of produ products cts that caters to the local market P"i!in4 8 Our Customers will find the highest )uality products at a fair price S$a66 8 riendl riendly y and courteou courteous s knowle knowledge dgeabl able e staff staff to hel help p custom customers ers with all of their their home home repairs +trengths +treng ths are va valua luable ble$$ but it is also importan importantt to realiKe realiKe the eanesses the Company must ad addr dres ess& s& [CO [COMP MPAN AN NAM! NAM!"G "Gs s main main weak weakne ness ss is la lack ckin ing g th the e fu fund nds s to la laun unch ch an and d grow grow th the e busine bus iness& ss& The Compan Companies ies stre strengt ngths hs will will help help it capital capitaliKe iKe on emergi emerging ng opport opportuni unitie ties& s& These These opportunities include$ but are not limited to1 rowing market with a significant percentage of our target tar get market still not knowing we e%ist +trategic alliances +trategic alliances with other businesses businesses in the communit community y and our vendor vendor partners# partners# offering offering sources for referrals and 4oint marketing activities to e%tend our reach !%panding territory in airfield and Pickaway counties c ounties Threats that the company should be aware of include$ a lack of funding to open our storefront to launch our 2ardware store and the economy& economy& :&/&/ +trengths [COMPAN NAM!"Gs strengths are1 Customer service 8 we will give personal service to every customer$ catering our services to our customer needs uality 8 the Company will carry the highest )uality product and a range of products that caters to the local market Pricing 8 Our Customers will find the highest )uality products at a fair price +taff 8 riendly and courteous knowledgeable staff to help customers with all of their home repair needs
12
[COMPANY NAME] BUSINESS PLAN 2010
:&/&3 ?eaknesses [COMPAN NAM!"Gs weaknesses come from the lack of funding to launch and grow the business& rant funds will be used to purchase the e%isting building and land$ and then build a new +tate of the Art 2ardware store in its place& :&/&5 Opportunities Opportunities for [COMPAN NAM!" include1 /& rowing market with a significant percentage of our target market still not knowing we e%ist 3& +trategic alliances with other businesses in the community and our vendor partners$ offering sources for referrals and 4oint marketing activities to e%tend our reach& 5& !%panding territory in airfield and Pickaway counties :&/&7 Threats The only threats [COMPAN NAM!" have are a lack of funding to open our store front to launch our 2ardware store and the economy& :&3 Competitive !dge [COMPAN NAM!"Gs competitive edge is1 Bocation1 No other large chain within /9 miles of our location& Current hardware store has been in this location for many years& +easonal Products1 !ach season has it own uni)ue demand on a homeowner& [COMPAN NAM!" will focus on this pattern and bring in local customers by marketing these items at competitive prices& @epairIPro4ect @esource Area1 The first section customers will find when they enter the store is a repa repairI irIpr pro4 o4ect ect reso resour urce ce area area th that at th they ey can us use e to pl plan an repa repairs irs or pro4 pro4ect ects& s& Ther There e wil willl be a repairIpro4ect resource person there to answer their )uestions and direct them to the section of store where the needed products are& 'n8+tore !%pertise1 +tore employees will be knowledgeable in home repairsIpro4ects& :&5 Marketing +trategy [C [COM OMPA PAN N NAM! NAM!"" mark market etin ing g st stra rate tegy gy will will be to in intr trod oduc uce e our our ha hard rdwa ware re store store th thro roug ugho hout ut the airfieldIPickaway County area& ?e will launch an aggressive advertising campaign utiliKing the following1 • • • •
.irect Mailer to households and door hangers ?ebsite social marketing Promotions for the store grand reopening Bocal newspaper advertising and press releases
13
[COMPANY NAME] BUSINESS PLAN 2010
:&7 +ales +trategy The sales strategy of [COMPAN NAM!" is simple&
i"s$$ create a shopping environment that will create confidence in the customer that he or she will get the needed material$ part$ or instructions to get the 4ob done right the first time& Se!on9$ make the store easy to navigate$ so customer can get in and out as )uickly as possible& Thi"9$ know your customerGs seasonal hardware needs and offer it at competitive prices& The Company will utiliKe the following advertising to reach its target tar get market1 • • • •
.irect Mailer to households and door hangers ?ebsite social marketing Promotions for the store front grand opening Bocal newspaper advertising and press releases
:&7&/ +ales orecast The sales for 30/0$ 30// and 30/3 are F:0$000 ,Oct$ Nov$ and .ec only-$ F370$000 and F3:7$000$ respectively& The Company is anticipating receiving rant unding in uly 30/0$ and having the new store grand opening in October 30/0& ross Profit will be appro%imately 93J for 30/0$ 30// and 30/3& Table1 Table1 +ales orecast Sales Forecast 30/0
Sales P"o9u!$ Sales To$al Sales Di"e!$ Cos$ o6 Sales Cos$ o6 Sales Su8$o$al Di"e!$ Cos$ o6 Sales
30//
(0&(
F:0$000 F0 F:0$000
F370$000 F0 F370$000
1(*,000 10 1(*,000
30/0 F3<$<00 1(.,.00
30// F//9$300 1&&+,(00
(0&( 1&(,(0 1&(,(0
14
[COMPANY NAME] BUSINESS PLAN 2010
Chart1 +ales Monthly
Chart1 +ales by ear
15
[COMPANY NAME] BUSINESS PLAN 2010
:&9 Milestones [COMPAN NAM!" will purchase the e%isting business for F;9$000& As the e%isting structure is in such disrepair$ the Company will consider the purchase price as cost of the land& The following is a detailed cost estimate for construction and start8up e%penses of the facility1
Des!"i#$ion &' (' )' * +' ' ' .' /' &0' &&' &(' &)'
A%oun$
>uilding /0$000 s) ft Band Misc& Permits$ Plans$ etc 'nterior inish Parking Bot H Bighting +helving and .isplays Office !)uipment H urniture +ignage ?eb +ite Creation Opening 'nventory Other !%penses ?orking Capital .emolition of of e%isting +t +tructure TOTA
F390$000 ;9$000 /0$000 50$000 /9$000 50$000 50$000 5$000 5$000 39$000 5=$000 ;0$000 30$000 100,000
Table1 Table1 Milestones Milestones
Miles$one Pu"!hase an9 5 e3is$in4 Buil9in4 De%oli$ion o6 ol9 Buil9in4 Cons$"u!$ion o6 ne Buil9in4 Pu"!hase e2ui#%en$ 5 9is#la;s Ins$all e3$e"io" 5 in$e"io" si4na4e 7e8si$e 9eelo#%en$ Pu"!hase o#enin4 inen$o"; <"an9 O#enin4 To$als
+tart .ate ;I9I30/0
!nd .ate ;I9I30/0
>udget F;9$000
Manager [NAM!"
De#a"$%en$ O#e"a$ions
;I9I30/0
;I=I30/0
F30$000
[NAM!"
O#e"a$ions
;I/3I30/0
=I50I30/0
F3=9$000
[NAM!"
O#e"a$ions
=I/5I30/0
=I50I30/0
F:0$000
[[N NAM!"
O#e"a$ions
=I3;I30/0
=I50I30/0
F5$000
[NAM!"
O#e"a$ions
<I3I30/0 =I30I30/0
<I5/I30/0 =I50I30/0
F5$000 F39$000
[NAM!" [[N NAM!"
Ma"e$in4 O#e"a$ions
/0I/I30/0
/0I7I30/0
F7$000 1*.+,000
[NAM!"
Ma"e$in4
16
