The Thousand Rand Challenge Business Plan Template
This document provides a template of headings for presenting any business idea. The objective is to produce a step-by-step tool that illustrates every step of the business creation process. It should be possible, by following the information, to produce a viable business.
All text in italics should be deleted (including these introductory paragraphs) for use as a template on newly created business idea pages. Please ensure that the new page you're creating really is a new idea. Check the front page for a current list of businesses, or perform a search.
This heading area should contain a brief outline of the nature of the business - change the heading at the top to list the type of business - e.g. Fish and Chips Frying
= Description of the business =Fish Shop
Within each sub-heading are a series of questions that require detailed answers. Simply fill in your commentary beneath the headings. Note that these headings and the methodology are here, partly to be pedantic, but mostly to ensure a consistent approach across a number of unrelated businesses. It makes searching for information far easier if you know where to start.
What exactly is it that is going to be sold or done?
Place your research into the business under each of the bold headings and delete the text in italics.
What skills are needed to do this? Where is this taught and how much will it cost?
Communication skills and must know how to fry fish
What tools or equipment are needed? Where can they be bought, and how much will they cost?
- frying pan
plastic bags and papers
Will buy it from Spar or Shoprite
How much space is needed to work from?
- from Home no rent to be paid
Only a place out of the wind
Where will the space be found, and how much will it cost to rent?
I will work from my home in Middelpos
What sort of people will buy the product? Who are they and where do they live?
Everyone in Middelpos who like fish Anyone who likes fish especially the community How much and how often will they buy? Will they come to the shop or will it be necessary to deliver?
Some of them will buy every day and other 3 times a week
Upstream Businesses Edit
A list of businesses and ideas that provide the services and products that this business needs.
Downstream Businesses Edit
A list of businesses and ideas that this business could provide products for.
What major competitors will attract clients' spending away from the business' products?
no competitors in Middelpos
- Fish Palace
What prices and products do these companies have?
- Sell Fish & Chips
What makes them popular / unpopular?
- Good Advertising & Central located
What do they do to attract customers? Specials? Interesting marketing / advertising?
Which of the competitors stand out as being particularly good at what they do?
- Fish Palace
What can be done to stand out against them? What can be done that is more exciting / more interesting?
- Cheap Price & sell Door to door.
Marketing the business to clients Edit
What sort of people will buy the products and how important is product consistency to them (e.g. must every loaf of bread be identical)?
All people who like fish and who can afford it in Middelpos
- Local people in Thembalethu area
How seasonal or fashion-dependent are their buying habits (do they buy only in summer, only over Christmas, etc.)?
- Throughh out the year
Always a demand for the fish, if the fish are available
Do the clients want the products to be the cheapest or the best (low price / low quality or high price / high quality)?
Clients wants high quality product at low prices
How do the clients decide where to buy the products? What sorts of advertising / promotions attract their interest?
They smell the fresh fried fish and decide to come to my place and buy it I will put a sign board in front of my house
Do the clients want the same things sold in the same way, or do they want things to change all the time?
Always the same tipe fish and recipe
What can be done to attract the first clients (the most important and most difficult to get)? How much will it cost?
I will fry fish in front of my house so that people can see and smell the fish
- Personal Sales & Taste Samples
The business inputs and outputs Edit
List all of the inputs (products that are required to produce the products):
- Fish oil
- Paper and plastic bags
List all the suppliers for the inputs and their addresses, telephone numbers, and sales terms (cash, 30 days, etc.):
Sea Harvest saldanha
List all of your outputs (products created by your business):
Pieces of fryed fish
What sort of prices can be charged and how much profit will can be made on each item (a rough estimate)?
Each fish will provide 8 pieces and every piece will cost R3. I can make R11 profit per piece
Do the outputs have a shelf-life? Must they be sold within a specified time limit before they go off / can't be sold? Which ones?
No, I must sell it immediately
Setting up the business Edit
List everything that needs to be done to prepare the business to be ready (list everything needed to have as well, both equipment and stock):
- Flame stove
- frying pan
- plastic bags and papers
- Fish oil
- Paper and plastic bags
How long will it take to get all of these things and how much will they cost to get?
Will take about 2 hours It will cost about R500
List all the fixed costs to be paid every month even if nothing is sold (things like rent, electricity, telephone, staff wages):
- Electricity R50
- Rent R30
- Transport R80
- Telephone R30
Total amount for fixed costs: R__________190_____
How many staff will be needed and how much will each of them be paid (wages must be included in the fixed costs above)?
What training will they need, how long will it take and how much will it cost?
The manufacturing or production process Edit
List every step, from start to finish, to produce the product
- Buy stock from the supplier
- Check stock
- Start Baking
- Sell to clients
Allocate each of the manufacturing steps to a process and a process to a staff member (e.g. all manufacturing steps A to process 1):
owner will do everything herself
What possible problems may happen during each step of the manufacturing process?
- no taxi's to Sea harvest
What solutions can be identified for these problems? How much will they cost and how long will they take to fix?
- Will ask some one working at Sea Harvest to buy fish for me
What is the maintenance program for all the equipment?
stove most be in working condition
What safety requirements are important for production?
stove in save place
How will quality control and client feedback be handled?
Will give clients money back and apologise for quality
Costing and bookkeeping Edit
How many of each of the stock items can reasonably be sold each day (and month)?
Ech fish 8 piece x 5 = 40 per day 155 fishes x 8 pieces per fish = 1240 per month
Will sales volumes be a similar number of each item each month, or is there seasonal variation (cold months, hot, or festivals)?
more or less the same if fish is available
What sort of pricing strategy will be chosen (cheapest or best)?
Best price client can afford
What profit margin will be chosen for the products
Write down the cost prices plus the margin for each stock item you will sell, and the selling price
Fried fish cost price R3 Margin R11 Selling R14
Is this competitive? Will customers pay this much? Do the margins need to be adjusted? By how much?
Now, set a target. How many items for each product need to be sold on a daily (and monthly) basis to be profitable?
40 pieces per day
Set out the products, costs, margins and selling prices:
Total per Month
40 x 20 number of working days in a month
R 3.00 + R 11.00
= 1240 monthly target x R14 selling price
What trends are included in the projections?
Fish will cost always more or less the same
Running the business Edit
What is the process for running the business on a typical day? Who will be responsible for each step? Link this back to the production process.
Will be open from 5 & close at 5 O'clock - Start baking fish & sell
Who will act as backup should the person responsible not be there? What do they need to act as backup?
my sister she have the necessary skills
What weekly processes need to be performed? Who is responsible, who is backup and what tools are required?
What monthly processes need to be performed? Who is responsible, who is backup and what tools are required?
pay all my fixed expenses. My sister will run the shop - Money should be banked - freezer should be checked What is the schedule for training and motivating staff?
- No Staff
What processes are required for maintenance and new product creation? Who is responsible and what tools do they need?
will ask clients if they want something new
Before beginning Edit
List some of the support services available (legal, business and other) that might be needed
WCBDC Red Door South Cape Business Centre
What major laws concern the business, and which government departments should be called to keep up to date (list phone numbers)? None that i'm sure of
Related articles Edit
Insert links to articles on Wikipedia or other Wikis that may be useful (such as recipes, legal discussions, accounting articles, and so on)
List links to outside websites that may be useful for anyone starting this business
Business Trials Edit
List your name if you started a business based on this plan, where you started the business, and how you did Links to case histories - you are welcome to develop these and insert them in your personal page (create this by developing a personal profile)
- Nolusindiso Mahulo Nompumelelo Fishery