JOY Foundation For Autistic Kids
Submitted by: Sharafat Halim
091 0615 030
Nabil Muntaqim Khan
093 0057 030
Tasrif Khaled
093 0284 030
Rifat Ishtiaq khan
093 0410 030
Submitted to: Mr. Faisal Wali
SECTION-5 Date of Submission – 28th March, 2012.
March 28, 2012 Mr. Faisal Wali Lecturer School of Business North South University
Subject: Submission of the project report on Joy Foundation
Dear Sir, It is a great pleasure for us to submit this project report on Joy Foundation. We are pleased to inform you that we have thoroughly enjoyed working through this term paper and all of our representatives have contributed efficiently and moreover effectively to finish this significant report. This has enabled us to gain valuable knowledge and experience that is essential in our career development. Therefore, we would like to take this opportunity to convey our deep regard for your valuable guidance and sincere inspiration. We hope you will enjoy reading this paper.
Yours sincerely,
Sharafat Halim
091 0615 030
Nabil Muntakim Khan
093 0057 030
Tasrif Khaled
093 0284 030
Rifat Ishtiaq khan
093 0410 030
1
Table of Content
Content
Page no.
Introductory page
3
Executive summary
4
Industry Analysis
6
Production plan
17
Operational Plan
21
Marketing plan
25
Organizational Plan
34
Assessment of risk
37
Financial plan
54
2
Introductory Page Name of the business – The name of our business is “Joy Foundation”.
Name of the Principals –
Sharafat Halim
Nabil Muntakim Khan
Tasrif Khaled
Rifat Ishtiaq khan
Nature of Business – Joy foundation will produce products that are specially designed for people with autism.
Mission – The mission of Joy foundation is to provide supports and services to promote autism awareness, special education, and supportive environment. We hope to enhance the quality of life of the autistic people with their family members and also protect the ones who are vulnerable.
Financing – This venture will require a total investment of BDT. 3,00,000. This will be provided by the four partners equally. This financing will cover land, machineries, factory setup, office space, office equipments, facilities, advertising & selling costs.
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Executive Summary This is a project on “Joy Foundation”. We produce specially designed products that will help the autistic children. For this business we choose Bangladesh because currently there are no other companies in Bangladesh that produce products for autistics kids.
To support our aim, we have done a lot of researches and planning so that later during production we do not face any issues. Firstly there is the industry analysis done for this project. There we have shown the various researches and facts on the competition we have in Bangladesh. We have also done some analysis on the economy of Bangladesh on which our project depends a lot.
Then we have a detailed description on our venture which is listed as to be what our product, starting from its name, size, and so on. Then what services will we be taking care of, the size of our business which states how vast or small we are going to start off and then we have also stated about the official equipment’s that we will be dealing with and the detailed background about the owners of “Joy Foundation”.
Later in this project we have also talked about our Production plan which includes in details about the whole production process, the machineries involved, the techniques used We have also stated the Operational Plan of our business that basically covers the internal issues This has also been shown using a detailed flow chart and we have also mentioned our technological utilization in this process.
Then later we have stated a marketing plan which has the 7Ps of marketing listed as well as few of the promotional activities we will be undergoing, such as, the initial impression with aerial marketing, continuing it with promotional strategies. 4
Then again we have spoken about the Organizational Plan for Joy Foundation. We recognized the form of ownership in this business, the identity of the partners, how we have managed to gather the capital, the principal authorities, how the group manages to stay together and work in a combined way as well as the individual roles and responsibilities of each members in details.
Later in this project, there is the risk assessment stated which is associated to this business. We have stated in depth what are the weakness for this business, its chances of failure and other problems that may arise due to various other issues
Finally, we have put in our entire financial plan. As that is the most important issue in this project. We have clearly stated our financial statements including the Pro-forma Income Statement, the cash flow, pro forma balance sheet and well as all the sources and usage of the fund in this business.
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INDUSTRY ANALYSIS Selected Industry
The Joy foundation operates in two ways. Primarily, we are a non-profit making school for autistic kids in our country. We also sell products that are specially designed for people with autism. This is our other means of operation which is performed with profit motive. The mission of Joy foundation is to provide supports and services to promote autism awareness, special education, and supportive environment. We hope to enhance the quality of life of the autistic people with their family members and also protect the ones who are vulnerable. We dream that one day they will become active, contributing and fulfilled members of our community.We also want autistic people to be independent. This they can be with the help our products which are specially designed for them. Overview of the Industry
Only a few numbers of schools with limited facilities have been established for kids with autism in Bangladesh. This was clearly inadequate in this country where a huge number of children affected by autism. Reportedly, learning and training methods were not sophisticated and advanced in those schools. Furthermore, trainers were not skilled adequately with latest IT facilities. Name of some of these schools are Autistic Children’s Welfare Foundation, Society for the Welfare of Autistic Children and Autism Welfare Foundation. But we believe that every child has a right to education. We realized that the general education system in Bangladesh does not meet the needs of disabled children, especially the ones with autism. We also realized that not many firms sell specialized products for autistic people. So, with the motive of social welfare and sighting an unsaturated market for autism products, we launched the operations of Joy foundation.
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PESTLE Analysis
Political, Legal and Environmental Factors District Disability Welfare Committees have been established in most districts and District Action Plans were developed by the orders of the Bangladesh Government. The ministry of Social Welfare holds the responsibility for disability and moreover The National Forum of Organizations working with the autistic students is an umbrella for a school like ours. International organizations and donors have been inclined to support disability activities and hence time to time we have been receiving generous funds from them as a part of their CSR activity. As a “not for profit” organization Antitrust regulations are not applicable for us. Apart from the private universities tax is not charged on the earnings of any educational institutes as per Bangladesh Tax laws. Economic Factors Indicator Name
2006
2007
2008
2009
2010
2011 (est.)
GDP (in %real change P.A)
6
6.4
6.2
5.7
6
6.7
Source: The official website of Asian Development Bank, www.adb.org
GDP (in %real change P.A) 7
GDP (in %real change P.A)
6.5 6 5.5 5 2006
2007
2008
2009
2010
2011 (est.)
Bangladesh economy performed well in the fiscal year of 2011, after exports recovered and domestic consumption increased through a surge in credit. Agriculture, industry, and the services sectors each played an important role in contributing to GDP growth. Agriculture recorded high growth for the second 7
successive year, as all major crops performed better than expected with the government’s continued policy support and favorable weather conditions. Poultry and livestock subsectors also contributed to agriculture growth. Manufacturing grew robustly, with stronger exports and domestic demand, and the government’s efforts to improve power supply. Construction and housing activities also did well. The services sector growth was supported by the higher growth in agriculture and industry.
Source: http://www.tradingeconomics.com/bangladesh/inflation-cpi
The inflationary situation in Bangladesh is on the rising trend, especially since August 2009, primarily owing to the soaring increase in food prices. The current rate of rise in inflationary pressure suggests that the rate of general inflation might reach to 10.71 percent by the end of this fiscal year. But the chart shows that it has already crossed 10.71 and now touching almost at 11.29. It is found that from August 2009 to June 2010, the food inflation has risen by 5.7 percent whereas GDP growth rate has fallen by 0.1 percent, indicating that the purchasing power of the people shrunk drastically.
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Despite this increase in the real GDP and supposedly increase in standard of living the number of autistic people has grown. According to the Ministry of welfare the number of autistic population in Bangladesh is as high as 1.4 million and that 1 out of every 500 children has autism. Social Factors Autism and poverty cause and reinforce each other. Poor nutrition, dangerous working and living conditions, inadequate access to health care facilities, poor hygiene, and bad sanitation, limited information about the causes of impairment and natural disasters have created disabilities in Bangladesh. Among these 50% are preventable. Disability, particularly of the head of household, exacerbates poverty of the whole family due to increased expenses, lack of income from the lack of opportunities due to social exclusion. According to the official website of World Bank 15-20% of the poor in Bangladesh is disabled. According to IMPACT Foundation Bangladesh, 61% of people with disabilities lived in households of 0.5-2.99 acres and 19% in households with more than 3 acres in land. We believed that this growing number of autistic population needs to be supported and promoted in course of living their lives. Hence we set up our school for autistic students and provided them with updated tools to make their lives easy. Technological Factors This government have not stayed away to spend behind autistic population. Numbers of community clinics were set up to help train and screen out the healthcare providers. Such clinics also train parents and the caregivers which is so very vital. The IT infrastructure has developed significantly as both web-based training and physical training in remote villages. Another milestone was reached when the Global Autism Public Health (GAPH) initiative was launched. It is a research based global organization which is an initiative by the Autism Speaks to form global partnerships and learn from one another.
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The Porter’s Five Forces Analysis (on the basis of selling autism products)
Bargaining power of Suppliers As we are the new entrant in the market with the autism products we will have the beginner’s advantage. Because we will have no competition we will have a bargaining power over our suppliers. Suppliers will have no one but us to supply their products. On the other hand we will be new in business, the industry will be new. As a result, suppliers will also be few. So, bargaining power for the both sides will be moderate.
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Bargaining power of Customers In the current situation we will be only one with these kinds of product in market. Customers will have no option but us. In Bangladesh, we have many people who suffer from autism. The only option they have is some medicines, which is not helpful in most of the cases. So, our products will be their best option. So, here we have a high bargaining power over the customers.
Threat of New Entrants The types of product we are going to provide with are new in Bangladesh. In Bangladesh, we have many people who suffer from autism. So, the market is going to be huge. But it has a greater chance to meet competition within a year for the following reasons – Huge market share at stake. So, new competition will arise very soon. We do not hold any exclusive license to do this business, so anyone can start this business as a competitor. The threat of new entrants in the near future is also be high.
Threat of Substitutes As we have mentioned earlier, there are no real substitute of our products. Some medicines are available in the market, but they are not effective all the time. People cannot find any suitable solution for this product. So we may not see too much threat for substitutes. We shall gain attention of people as there are no such options regarding products related with autism. So, the threat of substitutes will be low. Competitive rivalry between existing players We are entering into a market where not many companies are there to provide such services and solutions regarding drinking autism. So as a result, there is absolutely not much of competition. It gives us a great chance to create an impact in the market and gain the whole market share. So, the Competitive rivalry between existing players is low. 11
ABELL’s Framework
Abells framework proposes that business can be defined by using three dimensions. Three
dimensions
are
customer
groups,
customer
needs
and
distinctive
competencies.
Customer groups (Who we're going to serve),
Customer needs (What customer need we're attempting to meet), and
Technology or Distinctive competencies (How we're going to meet that need).
This approach strongly stresses understanding customers and not on an industry and its products or services. Based on these three dimensions, Abell's framework proposed that a business could be defined by its competitive and by the extent of competitive differentiation of its product/service offerings. Abell's framework limits the business definition framework as a widely used and general approach to describing organizations' competitive strategies.
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Our product is produced primarily to serve the autisticsegment of people in our country. But we are planning to export our product in the near future to foreign countries as well.
Customer groups Customers groups mean whom we are going to serve. We are basically concerned with the people in our country .The autistic children from all over this country are our customers. We are planning to target all market segments in the whole everywhere in Bangladesh. Autism products are not that much available in our country, most of them are brought from other countries. So therefore taking such an initiative and then producing products in our country will be a great help for the people.
Customers need Customers need means problems that customer intend to solve with purchase of a good or service. Knowing and understanding customer needs is at the center of every successful business, whether it sells directly to individuals or other businesses. There are six needs of customers .They are friendliness, understanding and empathy, fairness, control, opinion leadership and information. The main reason of producing autism products is that products can be available in the local market. The actual need that we are trying to meet is that we are producing product and selling them at lower price. The products are available at the local market in a very reasonable for which the customers are benefited and can buy easily. People can buy our products at a very affordable price.
Distinctive Competencies Distinctive competencies means how are customer needs are satisfied. We have to ensure that our products are quality products and safe products. Customers can easily buy them at very affordable price. We will also ensure that our products are
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available at all local markets. We have a fixed budget for our products and also if our budget does not expectation then we will take loan from renowned banks.
How can we fulfill the needs of the customers? To fulfill the needs of the customers we will take some steps .These steps will fulfill the customer needs. They are given below:
We will provide the customers with best quality products
The products will be available at a very low cost.
The products will be available at all local markets so that the customer can find it easily.
We will also try to export our products in other countries in order get brand recognition.
As a new company we will make sure that our products are best in terms of quality.
The products will be ISO certified so that we can proof that our products are safe to use.
How our organization can fulfill the needs of customers?
As an organization we need to fulfill the needs of the customers. In order to do that we have taken some steps which will help us to meet the customer needs as an organization. They are given below:Ensuring the best quality products. Ensuring the product is safe to use, in order to do that the products will be ISO certified. Targeting all market segments the products will be available. Exporting the products in order to have brand recognition. Lot of promotional activity will be performed so that it will be increase brand value.
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CSR (Corporate Social Responsibilities) activities will also be performed. Example- Seminars, T-shirts, campaign etc. SWOT ANALYSIS: Strengths: Less number of institutes to provide education to the autistic children. No professional companies are manufacturing products that will help the autistic kids in Bangladesh. International certificates from World Autistic Forum. Collaboration with various autistic schools from abroad. Excellent product manufacturing plant. The freedom we have to vary this program to meet autistic child’s needs, moods and interests. In public school, they would attempt to adapt curriculum to meet his needs are at least give it lip service. At autistic school if something isn't working we can change it right away. Highly qualified and well trained instructors. A variety of styles colors and sizes to choose from.
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Weaknesses: Lack of flexibility because of vast range of services. People mostly rely on products which are not up to the quality but cheap. Parents are not enough aware about the education of the autistic child. Lack of experience.
Opportunities:
The opportunity to work one-on-one or one-on-two. The opportunity to integrate what we cover in all of life. The privilege of exposing him to God's Word and works on a daily basis. No companies are producing quality equipment. People prefer more on quality product. Easy to finance Availability of trainer
Threats: No barrier to entry A lot of companies are trying to get involved in this industry. Presence of a lot of companies who are not producing quality products but cheap.
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Production Plan The products produced by Joy are segmented into two categories. The two broad categories are 1. Autistic toys: Roll in Cars, Sponge Toys, etc. 2. Autistic tools: Special types of Chairs, tables etc. Each of these has separate manufacturing process, physical plants, machineries and equipment to be used for production. While some of the items are imported from abroad and then sold. Below we discuss one of the items that we manufacture in our production plant. The manufacturing process of making Joy scoot and scoop car is described in details.
Joy Autistic Toys Name: Joy Scoot and Scoop
Product Details Product Length: 1.0 inches Product Width:
1.0 inches
Product Height: 1.0 inches Product Weight: 1.0 pounds Package Length: 20.0 inches Package Width: 16.0 inches Package Height: 9.0 inches
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Features
3-in-1 dump truck helps autistic toddlers in transition from crawling to walking to riding
Scoops blocks into truck bed
Plastic pieces rearrange for separate play modes
Includes detachable wheel, 2 screws, 3 plastic blocks, and instructions
Recommended for children 9 months to 3 years old
Description The Joy Scoot and Scoop toy car on is a dump truck that helps autistic transition from crawling to walking, then converts to a ride-on toy for added fun! Little boys will love the scooping action that picks up the shape-blocks and other small toys (not included), and then tosses them into the dump bed! When your child is ready, the seat easily converts to a walker handle and the gravel guard becomes a ride-on handle. The wide rear axle provides extra stability. It is a long lasting toy that is designed for children from 9 months to 3 years!
Manufacturing Organization Direct Operation Decals= 1 workers
Wheels= 2 workers Injection Molding= 3 workers Packing and Packaging= 2 workers Total Direct worker per shift= 8 workers
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Indirect Operation Material Handling= 2 workers Warehouse= 2 workers Receiving= 2 workers Maintenance= 3 workers Total Indirect worker per shift= 9 workers Total manufacturing workers per shift for toy car= 17 workers
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Physical Plant Layout of Joy scoot and scoop car Receiving Decal Printing
Decal Assembling Metal Cutting
Receiving Warehouse
Final Assem.
Tire Sub Assm.
Tire Molding
Wheel Stamping
Plastic Trim Assm.
Injection Module
Shipping Warehouse
Packaging Wrapping
Packaging Parts
Shipping
Admin Building
Manager’s office
Conference Room
Senior Executives
Security Control Room Junior Executives
Dhaka Chittagong Road
Cafeteria
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OPERATIONAL PLAN: Description of company’s operation: We will deliver our product of JOY Foundation directly to the distributor. Therefore we would have straight deals with several distributors. Our production is directly depended on the orders we receive. While completing our operations the core things to be considered are:
Do we have enough financial backup to support the orders?
Are their sufficient raw materials available or not?
Whether the suppliers are ready to provide adequate materials or not?
How much time is needed to finish production & deliver the order?
The costs and pricings negotiation are two big factors.
Negotiation with the retailers might also play a vital role.
These factors would directly affect our production process and order completion course. We have to allocate each resource much efficiently to each sector. Efficiency and effectiveness are two key points we must consider and grant proper attention to. A healthy relation with our distributers and the retailers would be the key to success.
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Operational Flow chart:
Start
Receive orders from the retailers
Check the inventory whether enough item is available or not?
YES
NO
Check how much time is needed to complete the process & whether the retailer still wants the deal or not?
NO Drop the order
YES Complete production
Quality check
Packaging
Load for Shipping
Handover to Retailer
End
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Technology Utilization
The mission of Joy foundation is to provide supports and services to promote autism awareness, special education, and supportive environment. We hope to enhance the quality of life of the autistic people with their family members and also protect the ones who are vulnerable. The Joy foundation operates in two ways. Primarily, we are a non-profit making school for autistic kids in our country. We also sell products that are specially designed for people with autism. This is our other means of operation which is performed with profit motive. Our main motive will be providing our students with quality education, hence we will try and give our level best and not keep any loop hole. We will try to provide our students with advanced techniques used today in teaching students with special needs. Mind of an autistic kid does not function like a normal kid. They need extra care and extra equipments to learn things. Things we are going to use to help them in learning are -
PECS Picture Exchange Communication System (PECS) is a commonly used system that allows autistic children with communication difficulties to "talk." PECS involves a board (Velcro) and either pictures or words (or both) that the child can place on the board to create sentences.
Weighted Equipment Because of sensory issues, many children with autism need extra pressure on their limbs or bodies. Weighted blankets and deep pressure vests can help to provide that needed push to help them focus.
Toys While they may not sound like adaptive equipment for autistic children, any number of toys can be used to help an autistic child stop "stimming." Many times stress balls, Velcro and other small hand-held manipulative are used to help a child keep focused by allowing him to play with things that provide sensory feedback.
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Play Equipment Due to the need to seek sensory input, some autistic children feel the need for movement and motion. Swings and other indoor play equipment, such as tunnels and ball pits, can help keep the autistic child grounded and focused. Many therapy centers and special needs classrooms have these items for the children to use on a daily basis.
Pads Potty training is especially difficult for some autistic children due to sensory processing issues. Because of this, incontinence pads allow children to wear underwear even if they are having accidents.
Feeding Equipment Children with autism may need help feeding themselves and eating. Weighted forks, spoons and knives, silverware with large handles, and hard plastic straws, can help autistic children eat by themselves.
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Marketing Plan
Marketing plan is setting objectives for the organization. To extend marketing plan outlines the specific actions you intend to carry out to interest potential customers and clients in your product and/or service and persuade consumers to buy the product and service. Product specific, market specific or company-wide plan that describes activities involved in achieving specific marketing objectives within a set timeframe. A market plan begins with the identification (through market research) of specific customer needs and how the firm intends to fulfill them while generating an acceptable level of return.
Objectives:Marketing plan is the outline of the organizations goals which are important to operate the business. All marketing plan begins with comprehensive understanding of the goals of the company. This helps to achieve success in the future. Marketing efforts should fully support these objectives and every marketing strategy. As a organization “Joy Foundation” also has its own objectives.
First year objective: - Since our products and services are totally new in the market, we are expecting a loss. So for the first year we are assuming that there will be a loss.
Second year objective: - Since our organization started and completed one yeah so at the end of the second year we will try to reach the breakeven point. In order to avoid loss we hope that we will reach the breakeven point in the end of second year.
Third year objectives:-Our organization has completed its two years in the market so from the third year we are expecting 20% - 30% profits from our sales, campaigns and other marketing activates. Fourth year objective:-In the fourth year we hope that there will be a stable market. Our products and services will have popularity and demand resulting in maximum profit.
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Fifth year objective:-Expecting we will have a stable market in the fifth year also. Hope to continue with a stable market and extend our business if necessary.
These objectives are very important in order to have brand recognition and to achieve a good position in the competitive market. We will invest heavily in order to have a distinctive image of “Joy foundation”. We will also measure awareness and response so that we can change our marketing efforts if necessary. To run the business properly and perfectly these objectives and goals are important.
Target Markets:Our products and services are mainly designed for the autistic people. Our primary target consumer is middle to upper income classes. We are also targeting the mass people. Because autism is a disease that can happen to anyone. So our secondary target market is the mass people. In order to make our products available to the mass people we will set our product prices in a affordable amount.
Positioning:We are positioning our “Joy foundation” organization as the most unique business in the country because there is not any other autism products business in the country. Our organization mainly focuses on selling the products in different locations and ensuring the best product quality in the market.
Marketing Mix:There are 7ps of marketing mix. The marketing mix is the combination of marketing activities that an organization engages in so as to best meet the needs of its targeted market. Traditionally the marketing mix consisted of just 4Ps.Extending version now consists of 7ps. It is essential to balance the 4Ps or the 7Ps of the marketing mix. Marketing professionals and specialist use many tactics to attract and retain their customers. The 7ps of Marketing mix are:-
Product
Price 26
Promotion
Place
People
Process
Physical evidence
Product:A product is a material that satisfies customer needs and wants. It must provide value to a customer but does not have to be tangible at the same time. Our organization “Joy foundation” will provide products which are only for the autistic people. The products are will be available at the main center and also at other stores as well. The autism products are:-
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Autism medical Id bracelet – This medical Id bracelet are for the autistic people who lives in a medical center
Teaching temperature thermometer- This is our most popular weather thermometer, and is appropriate for teaching temperature to the children’s.
Window safety guard – Window safety guards are used to protect the children’s not to open the windows in absence of their parents.
Child locator – Child locator is an instrument that will help to locate the children’s whenever they are lost in a store or in the house.
Refrigerator lock – A refrigerator lock is used so that a child cannot open the refrigerator in absence of their parents.
There are many products we will provide in different medical centers in different locations. We will also import products so that we can provide products what customer wants. We will also promote our products for autism awareness. 28
Price:Since we are new in business we will be following the skimming policy for the pricing of our products. Because in order to reach the breakeven point within 2 years we need to set a high price of the products in the beginning .After reaching the breakeven point we will change our product price, making the product price low and cheap. As we said before our products will be also available for the mass people as well since autism may occur to anyone to everyone. Later we will charge lower prices for our products.
Place:Place refers to the place where the customers can buy the product and how the product reaches out to that place. Place is also known as distribution. Distribution also means getting the products to the customers. One of the most important issues of an business is to locate its perfect location in order to reach its customers easily. Joy foundation will also give its full priority to establish its office and branches , keeping in mind of the customers need and demands. The issues we are concentrating for selecting our office are given below.-
The place should be convenient .One of the most important issue regarding selecting the place.
Safe location .Safety is one of the most well concerned issue of an organizations employees and customers.
Need to check whether the location is permitted by the government for business purposes.
Facility requirements are also important. Example- power supply, water supply etc.
After 2 or 3 years extending the business. Example – Opening branches in different location of the country.
These above issues are important for selecting the ideal place for business organizations office and its branches.
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Promotion:Promotion includes the various ways of communicating to the customers of what the company has to offer. It is about communicating about the benefits of using a particular product or service rather than just talking about its features. Promotion represents the various aspects of marketing communication, that is, the communication of information about the product with the goal of generating a positive customer response. Joy foundation is also performing some major promotional activities in order to reach the customers mind .The activities are:-
Advertisement:- We will go for advertisement through electronic media and print media. In TV advertisement we will launch TVC ad in the television channel, we will also go for print media advertisement such as publishing ad in newspaper, magazines.
Billboards:- We will promote our products through billboards. In different locations we will put billboards for advertising so that customers can see our advertisement whenever they are travelling in roads.
Social networking websites:- Now days there are lots of social networking websites where a person or business can create a fan page and promote their products. We would like to use social networking websites as one of our promotion of the organization.
Posters and outdoor promotion:- We will make posters and put it on the walls of different streets. Also for outdoor promotion we will go for buses and taxies for promotion.
Volunteers:-Joy foundation like to select some volunteers who will promote our organization by distributing leaflets and articles to people .They will be given payment for their work.
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Corporate Social Responsibility (CSR):- Our organization will perform some CSR activities in order to achieve custom awareness about the organization. Such as blood campaign, organizing seminars, t-shirts, cloth and food donation etc.We will also go for awareness campaigns which will help us to attract the people’s attention.
These above promotional activities are important for our business to make profit and also extend the business in the future.
People:People refer to the customers, employees, management and everybody else involved in it. It is essential for everyone to realize that the reputation of the brand that you are involved with is in the people's hands. Recruiting the right staff and training them appropriately in the delivery of their service is essential if the organization wants to obtain a form of competitive advantage. Consumers make judgments and deliver perceptions of the service based on the employees they interact with. Staff should have the appropriate interpersonal skills, attitude, and service knowledge to provide the service that consumers are paying for.
Joy Foundation is very much aware of the people who are concerned with this organization. Starting from employees, managers, customers, students and patients. Since the organization deals with autism related issues therefore the organization is very much aware of their students, stuffs. We also have few qualified stand by doctors who are highly paid. They are hired because of handle the autistic kids in critical situation.
Process:Process refers to the methods and process of providing a service and is hence essential to have a thorough knowledge on whether the services are helpful to the customers. The process of giving a service and the behaviors of those who deliver the service are crucial to customer satisfaction. Joy foundation will have a systemic way of running the organization to deliver better service to the customers. Since the customers expect better performance and quality service. To achieve consumer satisfaction its a very important issue.
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Our organization will have very skilled employees who will work in our production work and for the better management we will provide managers or sub-ordinates that will have distinct supervision of the work process. We will ensure all the employees are working efficiently in order to get better performance in the production making process. In our organization we will have skilled doctors who are specialized for the treatment of autistic patients. In our product making process we mainly import raw materials from outside. Our organization will provide 24 hours service for the consumers.
Physical (Evidence):Physical (evidence) is the experience of using a product or service. When a service goes out to the customer, it is essential that the customers are getting good quality product and service. In other words we can say getting feedback from the people. Joy foundation will like to seek some feedback from the customers in order to get the idea what actually they need. For example –
Online survey through questionnaire.
Word of mouth
Feedback from peoples
Seeking knowledge about what people wants and needs.
How are products and services helping the autistic people to improve their condition?
Control:- Ensuring better service is our main goal . To maintain better service and providing customers with better service we need to give more emphasis in all the sectors as much as possible. To make a better future for the autistic and handicapped people we are very much concern. For the well being of them we will try our best to extend our service.
Every autistic child will have proper care in our organization with proper supervision of the doctors and teachers We will provide 24 hours stand by doctors for emergency purpose. We will make sure the autistic kids treated as normal people in the society,
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In order to improve their condition we will provide those better education, training and quality autism products.
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Organizational Plan
Form of Ownership: We have a shareholder procedure of ownership. All the four members of us have 25% share for each. The business will be owned by five of us and the agreement will be done as partnership because we are very few people and we can’t establish our company as a plc. All of us will invest equal amount of money in the business and the names of the owners and the percentage of share they are holding are
Sharafat Halim- 25%
Rifat Khan- 25%
Nabil Mustakim Khan- 25%
Tasrif Khaled- 25%
As shareholders we all share our EAT at equal percentage of money and we have a contract among us that we have to be liable to all the procedures of the business and we all have agreed and signed that we will respect the terms and conditions.
Management team Background: Fresh BBA graduates will be running this company .This will be very effective since even though, new graduates have very little or at times no experience at all, they are still known to be very passionate and highly motivated to work, and make this world a better place to live in hence, contributing greatly into doing this kind of business. Moreover technology, society, and occupation are all changing at prompt speeds, but businesses are not keeping pace. When these emerging trends work together, they call for a new kind of business, one that is distributed, collaborative, agile and better positioned to succeed.
34
Roles and Responsibilities of members of organization: All the members of different sectors of the organization will be responsible for their respective sector. For example the HR manager will be responsible for hiring new personnel for the organization. Whereas, the marketing manager will be responsible for promoting and advertising the product and the production manger will be responsible for the production procedure. All the managers will be liable to the chief executive officer (CEO) of the organization
Management team: In order to run our organization we will be requiring the following personnel:-
Position
Number of people
Chief Executives
1
Managers
5
Administration
5
Security guard
3
Peon
3
Driver
3
35
Organogram
CEO
MGR (operation)
Supervisor
Supervisor
MGR (Marketing)
Supervisor
Supervisor
MGR (Finance)
Supervisor
Supervisor
MGR ( HR)
Supervisor
Supervisor
36
Assessment of Risk
Weaknesses of Organization:Each and every business organization has some weaknesses. It may be due to lack of resources and other competitor issues. In order to assess the feasibility of the business we have take into consideration about all the possible risks that are involved in the business. Assuming the risk is one of the major concerns of a business. Since our business is a totally new concept in the market so therefore we have to assess the feasibility of the business for all the possible risks that are involved. For earning profits and benefits in future we need to sort out the weaknesses and take necessary steps to cope up with those weaknesses. Weaknesses of “Joy Foundation” are given below:
Totally new business: - As a starter our organization is totally new in the business. There are no other autism product business in our country .Since our business is totally new therefore we are assuming there might risk of having loss.
Lack of experience:-Our business is totally new so therefore we don’t have much experience about it and doing business like autism products in our country it will take time to get into people’s mind.
Limited target market: - As we are dealing with autism products so therefore our target market is very limited. We are targeting those people who have relatives or children suffering from autism.
Insufficient instrument – Since our organization is totally new so we don’t have sufficient autism based products. We are importing it from outside, in near future we hope to launch our own made products for autistic people.
Lack of Dedication – Since this business is new and dealing with autistic people is not that easy. Taking care of autistic children and running a autistic foundation really needs people who have patience and dedication. Since the business we are struggling to find dedicated and committed persons who will work under our organization.
37
New technologies:-
Technological risks will present themselves with the arrival and adoption of new technology in the world. In each country technology plays a big role in their economy. Specially in the organizations technology is very much important. The world has thrived on industrialization and technology has been embraced by the leading firms and it promotes greater efficiency and productivity. In this era of industrialization Bangladesh is still far behind when it comes to implementing technology. On technological issues our country is still behind other developed countries.
Keeping this in mind “Joy Foundation” is very much aware of the changing technological environment. To keep rhythm with current situation the organization is doing its best to improve and cope up with the current changing technological environment. Although our organization is not fully technological concerned but still we are giving it full priority. Specially to look after autistic kids we have surveillance cameras in the organization so that we can keep safety and security efficiently. We use bar code scanners for our keeping records of our products which are distributed or which are imported.
38
Contingency plan:-
Contingency plan means a plan designed to take a possible future event or circumstance into account. A contingency plan is a plan devised for an exceptional risk that, though unlikely, would have catastrophic consequences. In other words we can say “Plan B’. Contingency planning is a systematic approach to identifying what can go wrong in a situation. Contingencies are relevant events anticipated by a planner, including low-probability events that would have major impacts.
“Joy Foundation” also has its own contingency plan for future. The organization is taking insurance because as we all know the future is uncertain; to cope up with any future damages or loss insurance is must. An insurance policy should be made for the organization so that any type loss or damage will be prevented. We are also planning for extending our business .Opening different branches in different locations in the capital. If possible we will extend our business to outside Dhaka. We are also some international seminars, CSR etc for encouraging our countries people to support us in our business as well wishers.
39
Financial Assumptions 1. It was assumed that the monthly salaries, wages, utilities and all other expenses are constant. These costs are assumed to remain constant for the rest of the year.
2. Tax rate was considered to be a flat 20% on the profit made by the business.
3. The market price prevailing in the economy of all the capital equipment and tools were considered while valuating them and were also assumed to remain constant for the rest of the year.
4. The business is considered to have a separate entity rather than having an entity collaborated with the owners of the business.
5. The share of capital is assumed to be constant at a total of Tk. 3 million which would be equally provided by the 4 owners.
6. Investments are made equally over the 5 consecutive years.
7. The business is assumed to continue for indefinite period of time.
40
Calculations
Income statement, For the year 2012 by 12 Months Details
Jan.
Feb.
Mar.
Sales less: COGS Gross Profit Operating Expenses: Wages Rent Utilities Advertisement Sales expenses Salaries of the employees Salaries of the employers Insurance Payroll taxes Depreciation Expenses of factory building Expenses of office Total operating expenses Loss before taxes less; Taxes Net Profit/Loss
80000.00 56000.00 24000.00
59000.00 88000.00 78954.00 82000.00 120000.00 130000.00 110000.00 120000.00 52000.00 52440.00 55000.00 72000.00 60000.00 56000.00 67000.00 40000.00 7000.00 35560.00 23954.00 10000.00 60000.00 74000.00 43000.00 80000.00
135000.00 65000.00 70000.00
145000.00 160000.00 1307954.00 85000.00 100000.00 760440.00 60000.00 60000.00 547514.00
2000.00 30000.00 15000.00 10000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 25000.00 15000.00 135000.00 -111000.00 0.00 -111000.00
2000.00 30000.00 15000.00 10000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 30000.00 18000.00 143000.00 -136000.00 0.00 -136000.00
2000.00 30000.00 15000.00 4000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 30000.00 17000.00 136000.00 -66000.00 0.00 -66000.00
2000.00 30000.00 15000.00 3000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 35000.00 16000.00 139000.00 -79000.00 0.00 -79000.00
2000.00 30000.00 15000.00 10000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 32000.00 16000.00 143000.00 -107440.00 0.00 -107440.00
Apr.
2000.00 30000.00 15000.00 7000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 33000.00 17000.00 142000.00 -118046.00 0.00 -118046.00
May.
2000.00 30000.00 15000.00 6000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 28000.00 16000.00 135000.00 -125000.00 0.00 -125000.00
June
2000.00 30000.00 15000.00 6000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 27000.00 15000.00 133000.00 -73000.00 0.00 -73000.00
July
2000.00 30000.00 15000.00 7500.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 30000.00 14000.00 136500.00 -62500.00 0.00 -62500.00
Aug.
2000.00 30000.00 15000.00 6000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 35000.00 16000.00 142000.00 -99000.00 0.00 -99000.00
Sept.
2000.00 30000.00 15000.00 5000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 35000.00 17000.00 142000.00 -62000.00 0.00 -62000.00
Oct.
Nov.
Dec.
2000.00 30000.00 15000.00 3000.00 5000.00 5000.00 12000.00 7000.00 3000.00 6000.00 35000.00 15000.00 138000.00 -78000.00 0.00 -78000.00
41
Total
24000.00 360000.00 180000.00 77500.00 60000.00 60000.00 144000.00 84000.00 36000.00 72000.00 375000.00 192000.00 1664500.00 -1116986.00 0.00 -1116986.00
Income Statement for the year 2013 by 12 Months Details Sales less: COGS Gross Profit Operating Expenses: Wages Rent Utilities Advertisement Sales expenses Salaries of the employees Salaries of the employers Insurance Payroll taxes Depreciation Expenses of factory building Expenses of office Total operating expenses Profit/ Loss before taxes Less: Taxes Net Profit/Loss
Jan.
Feb.
Mar.
Apr.
May.
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
Total
120000.00 100000.00 90800.00 160000.00 180000.00 150000.00 160000.00 145000.00 152000.00 56000.00 78000.00 92000.00 96000.00 94000.00 52000.00 82000.00 62000.00 68000.00 64000.00 22000.00 -1200.00 64000.00 86000.00 98000.00 78000.00 83000.00 84000.00
190000.00 62000.00 128000.00
154000.00 153000.00 1754800.00 92000.00 90000.00 924000.00 62000.00 63000.00 830800.00
2500.00 35000.00 15000.00 6000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 30000.00 15000.00 143800.00 -79800.00 0.00 -79800.00
2500.00 35000.00 15000.00 3000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 30000.00 17000.00 142800.00 -14800.00 0.00 -14800.00
2500.00 35000.00 15000.00 3000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 16000.00 146800.00 -84800.00 0.00 -84800.00
2500.00 35000.00 15000.00 6000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 18000.00 151800.00 -129800.00 0.00 -129800.00
2500.00 35000.00 15000.00 5000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 30000.00 16000.00 143800.00 -145000.00 0.00 -145000.00
2500.00 35000.00 15000.00 5000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 25000.00 17000.00 139800.00 -75800.00 0.00 -75800.00
2500.00 35000.00 15000.00 5000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 38000.00 16000.00 151800.00 -65800.00 0.00 -65800.00
2500.00 35000.00 15000.00 6000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 30000.00 15000.00 143800.00 -45800.00 0.00 -45800.00
2500.00 35000.00 15000.00 7500.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 30000.00 14000.00 144300.00 -66300.00 0.00 -66300.00
2500.00 35000.00 15000.00 6000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 16000.00 149800.00 -66800.00 0.00 -66800.00
2500.00 35000.00 15000.00 3000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 17000.00 147800.00 -63800.00 0.00 -63800.00
2500.00 35000.00 15000.00 3000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 15000.00 145800.00 -82800.00 0.00 -82800.00
42
30000.00 420000.00 180000.00 58500.00 63600.00 60000.00 168000.00 84000.00 36000.00 72000.00 388000.00 192000.00 1752100.00 -921300.00 0.00 -921300.00
Income Statement for the year 2014 by 12 Months Details Sales less: COGS Gross Profit Operating Expenses: Wages Rent Utilities Advertisement Sales expenses Salaries of the employees Salaries of the employers Insurance Payroll taxes Depreciation Expenses of factory building Expenses of office Total operating expenses Profit/ Loss before taxes Less: Taxes Net Profit/Loss
Jan.
Feb.
Mar.
Apr.
May.
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
Total
200000.00 190000.00 180000.00 250000.00 240000.00 280000.00 300000.00 450000.00 420000.00 120000.00 100000.00 89000.00 125000.00 120000.00 186000.00 210000.00 350000.00 300000.00 80000.00 90000.00 91000.00 125000.00 120000.00 94000.00 90000.00 100000.00 120000.00
550000.00 490000.00 60000.00
500500.00 606000.00 4166500.00 390800.00 499800.00 2980600.00 109700.00 106200.00 1185900.00
3500.00 40000.00 10000.00 3000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 15000.00 146800.00 -66800.00 0.00 -66800.00
3500.00 40000.00 10000.00 2000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 45000.00 17000.00 157800.00 -97800.00 0.00 -97800.00
3500.00 40000.00 10000.00 1000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 16000.00 145800.00 -36100.00 0.00 -36100.00
3500.00 40000.00 10000.00 4000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 18000.00 150800.00 -60800.00 0.00 -60800.00
3500.00 40000.00 10000.00 4000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 38000.00 16000.00 151800.00 -60800.00 0.00 -60800.00
3500.00 40000.00 10000.00 3000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 25500.00 17000.00 139300.00 -14300.00 0.00 -14300.00
3500.00 40000.00 10000.00 3200.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 38000.00 16000.00 151000.00 -31000.00 0.00 -31000.00
3500.00 40000.00 10000.00 2000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 30000.00 15000.00 140800.00 -46800.00 0.00 -46800.00
3500.00 40000.00 10000.00 2000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 30000.00 14000.00 139800.00 -49800.00 0.00 -49800.00
3500.00 40000.00 10000.00 0.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 16000.00 144800.00 -44800.00 0.00 -44800.00
3500.00 40000.00 10000.00 1000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 17000.00 146800.00 -26800.00 0.00 -26800.00
3500.00 40000.00 10000.00 1000.00 5300.00 5000.00 14000.00 7000.00 3000.00 6000.00 35000.00 15000.00 144800.00 -38600.00 0.00 -38600.00
43
42000.00 480000.00 120000.00 26200.00 63600.00 60000.00 168000.00 84000.00 36000.00 72000.00 416500.00 192000.00 1760300.00 -574400.00 0.00 -574400.00
Income Statement For the year 2015 By 12 Months Details Sales less: COGS Gross Profit Operating Expenses: Wages Rent Utilities Advertisement Sales expenses Salaries of the employees Salaries of the employers Insurance Payroll taxes Depreciation Expenses of factory building Expenses of office Total operating expenses Profit/ Loss before taxes Less: Taxes Net Profit/Loss
Jan.
Feb.
Mar.
Apr.
May.
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
Total
380000.00 610000.00 721000.00 650000.00 620000.00 900000.00 832000.00 500000.00 635000.00 280000.00 490000.00 570000.00 550000.00 570000.00 790000.00 699000.00 350000.00 480000.00 100000.00 120000.00 151000.00 100000.00 50000.00 110000.00 133000.00 150000.00 155000.00
750000.00 400000.00 350000.00
800000.00 850000.00 8248000.00 500000.00 550000.00 6229000.00 300000.00 300000.00 2019000.00
4000.00 4000.00 4000.00 4000.00 40000.00 40000.00 40000.00 40000.00 11000.00 11000.00 11000.00 11000.00 3000.00 2000.00 2000.00 2000.00 5300.00 5300.00 5300.00 5300.00 6000.00 6000.00 6000.00 6000.00 15000.00 15000.00 15000.00 15000.00 7000.00 7000.00 7000.00 7000.00 3000.00 3000.00 3000.00 3000.00 6000.00 6000.00 6000.00 6000.00 45000.00 40000.00 45000.00 48000.00 20000.00 20000.00 25000.00 21000.00 165300.00 159300.00 169300.00 168300.00 -65300.00 -39300.00 -18300.00 -68300.00 0.00 0.00 0.00 0.00 -65300.00 -39300.00 -18300.00 -68300.00
4000.00 40000.00 11000.00 1000.00 5300.00 6000.00 15000.00 7000.00 3000.00 6000.00 45000.00 22000.00 165300.00 184700.00 36940.00 147760.00
4000.00 40000.00 11000.00 1000.00 5300.00 6000.00 15000.00 7000.00 3000.00 6000.00 35000.00 23000.00 156300.00 143700.00 28740.00 114960.00
4000.00 40000.00 11000.00 2000.00 5300.00 6000.00 15000.00 7000.00 3000.00 6000.00 45000.00 23000.00 167300.00 -117300.00 0.00 -117300.00
4000.00 40000.00 11000.00 2000.00 5300.00 6000.00 15000.00 7000.00 3000.00 6000.00 40000.00 24000.00 163300.00 -53300.00 0.00 -53300.00
4000.00 4000.00 4000.00 40000.00 40000.00 40000.00 11000.00 11000.00 11000.00 1000.00 1000.00 1000.00 5300.00 5300.00 5300.00 6000.00 6000.00 6000.00 15000.00 15000.00 15000.00 7000.00 7000.00 7000.00 3000.00 3000.00 3000.00 6000.00 6000.00 6000.00 45000.00 38000.00 38000.00 23000.00 21000.00 21000.00 166300.00 157300.00 157300.00 -33300.00 -7300.00 -2300.00 0.00 0.00 0.00 -33300.00 -7300.00 -2300.00
4000.00 40000.00 110000.00 1000.00 5300.00 6000.00 15000.00 7000.00 3000.00 6000.00 35000.00 24000.00 256300.00 43700.00 8740.00 34960.00
44
48000.00 300000.00 231000.00 19000.00 63600.00 72000.00 180000.00 84000.00 36000.00 72000.00 499000.00 267000.00 2051600.00 -32600.00 74420.00 -107020.00
Income Statement for the Year 2016 by 12 Months Details Sales less: COGS Gross Profit Operating Expenses: Wages Rent Utilities Advertisement Sales expenses Salaries of the employees Salaries of the employers Insurance Payroll taxes Depreciation Expenses of factory building Expenses of office Total operating expenses Profit/ Loss before taxes Less: Taxes Net Profit/Loss
Jan.
Feb.
Mar.
Apr.
May.
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
Total
652000.00 599000.00 700000.00 942000.00 932000.00 928000.00 752000.00 862000.00 870000.00 250000.00 300000.00 450000.00 250000.00 350000.00 400000.00 400000.00 500000.00 550000.00 402000.00 299000.00 250000.00 692000.00 582000.00 528000.00 352000.00 362000.00 320000.00
752000.00 400000.00 352000.00
920000.00 990000.00 9899000.00 500000.00 550000.00 4900000.00 420000.00 440000.00 4999000.00
4500.00 4500.00 4500.00 4500.00 4500.00 50000.00 50000.00 50000.00 50000.00 50000.00 15000.00 15000.00 15000.00 15000.00 15000.00 3000.00 1000.00 1000.00 1500.00 0.00 5500.00 5500.00 5500.00 5500.00 5500.00 6000.00 6000.00 6000.00 6000.00 6000.00 16000.00 16000.00 16000.00 16000.00 16000.00 7000.00 7000.00 7000.00 7000.00 7000.00 3000.00 3000.00 3000.00 3000.00 3000.00 6000.00 6000.00 6000.00 6000.00 6000.00 50000.00 50000.00 50000.00 50000.00 50000.00 30000.00 31000.00 32000.00 30000.00 30000.00 196000.00 195000.00 196000.00 194500.00 193000.00 206000.00 104000.00 54000.00 497500.00 389000.00 41200.00 20800.00 10800.00 99500.00 77800.00 164800.00 83200.00 43200.00 398000.00 311200.00
4500.00 50000.00 15000.00 1000.00 5500.00 6000.00 16000.00 7000.00 3000.00 6000.00 50000.00 35000.00 199000.00 153000.00 30600.00 122400.00
4500.00 50000.00 15000.00 1000.00 5500.00 6000.00 16000.00 7000.00 3000.00 6000.00 55000.00 32000.00 201000.00 219000.00 43800.00 175200.00
4500.00 50000.00 15000.00 0.00 5500.00 6000.00 16000.00 7000.00 3000.00 6000.00 50000.00 30000.00 193000.00 335000.00 67000.00 268000.00
4500.00 4500.00 4500.00 50000.00 50000.00 50000.00 15000.00 15000.00 15000.00 0.00 0.00 0.00 5500.00 5500.00 5500.00 6000.00 6000.00 6000.00 16000.00 16000.00 16000.00 7000.00 7000.00 7000.00 3000.00 3000.00 3000.00 6000.00 6000.00 6000.00 50000.00 50000.00 50000.00 32000.00 32000.00 32000.00 195000.00 195000.00 195000.00 157000.00 167000.00 125000.00 31400.00 33400.00 25000.00 125600.00 133600.00 100000.00
4500.00 50000.00 15000.00 3000.00 5500.00 6000.00 16000.00 7000.00 3000.00 6000.00 55000.00 33000.00 204000.00 236000.00 47200.00 188800.00
45
54000.00 300000.00 180000.00 11500.00 66000.00 72000.00 192000.00 84000.00 36000.00 72000.00 610000.00 379000.00 2356500.00 2642500.00 528500.00 2114000.00
Income Statement for 5 Years At a Glance Details Sales less: COGS Gross Profit Operating Expenses: Wages Rent Utilities Advertisement Sales expenses Salaries of the employees Salaries of the employers Insurance Payroll taxes Depreciation Expenses of factory building Expenses of office Total operating expenses Profit/ Loss before taxes Less: Taxes Net Profit/Loss
2012 1307954.00 760440.00 547514.00
2013 2014 2015 2016 1754800.00 1754800.00 8248000.00 9899000.00 924000.00 924000.00 6229000.00 4900000.00 830800.00 830800.00 2019000.00 4999000.00
24000.00 360000.00 180000.00 77500.00 60000.00 60000.00 144000.00 84000.00 36000.00 72000.00 375000.00 192000.00 1664500.00 1116986.00 0.00 1116986.00
30000.00 30000.00 48000.00 54000.00 420000.00 420000.00 300000.00 300000.00 180000.00 180000.00 231000.00 180000.00 58500.00 58500.00 19000.00 11500.00 63600.00 63600.00 63600.00 66000.00 60000.00 60000.00 72000.00 72000.00 168000.00 168000.00 180000.00 192000.00 84000.00 84000.00 84000.00 84000.00 36000.00 36000.00 36000.00 36000.00 72000.00 72000.00 72000.00 72000.00 388000.00 388000.00 499000.00 610000.00 192000.00 192000.00 267000.00 379000.00 1752100.00 1752100.00 2051600.00 2356500.00 -921300.00 0.00
-921300.00 0.00
-32600.00 74420.00
2642500.00 528500.00
-921300.00
-921300.00
-107020.00
2114000.00
46
CASHFLOW STATEMENT FOR THE YEAR 2012 January Cash receipt Sales Others Total cash receipt Cash disbursement: Salaries of the employers Salaries of the employees COSG Rent Wages Advertisement Utilities Sales expenses Depreciation Insurance Payroll taxes Expenses of office Expenses of factory building Debt service Total cash disbursement Net cash flow
February March
April
May
June
July
August
September October
November December
TOTAL
40000.00 55000.00 88000.00 70000.00 90000.00 115000.00 95000.00 100000.00 120000.00 135000.00 145000.00 160000.00 5000.00 5000.00 8000.00 7000.00 8500.00 10000.00 8500.00 5000.00 5000.00 6000.00 10000.00 11000.00 45000.00 60000.00 96000.00 77000.00 98500.00 125000.00 103500.00 105000.00 125000.00 141000.00 155000.00 171000.00
1213000.00 89000.00 1302000.00
10000.00 3000.00 65000.00 25000.00 1000.00 10000.00 15000.00 5000.00 6000.00 7000.00 3000.00 15000.00 25000.00
10000.00 3000.00 100000.00 25000.00 1500.00 3000.00 15000.00 5000.00 6000.00 7000.00 3000.00 15000.00 35000.00
120000.00 36000.00 165000.00 300000.00 16500.00 77500.00 180000.00 60000.00 72000.00 84000.00 36000.00 192000.00 375000.00
177000.00 160000.00 185000.00 164500.00 189500.00 160500.00 180000.00 184500.00 159500.00 178500.00 201500.00 215500.00 132000.00 100000.00 89000.00 87500.00 91000.00 35500.00 76500.00 79500.00 34500.00 37500.00 46500.00 44500.00
1558000.00 2860000.00
10000.00 3000.00 40000.00 25000.00 1000.00 10000.00 15000.00 5000.00 6000.00 7000.00 3000.00 18000.00 30000.00
10000.00 3000.00 65000.00 25000.00 1000.00 10000.00 15000.00 5000.00 6000.00 7000.00 3000.00 16000.00 32000.00
10000.00 3000.00 45000.00 25000.00 1500.00 7000.00 15000.00 5000.00 6000.00 7000.00 3000.00 17000.00 33000.00
10000.00 3000.00 77000.00 25000.00 1500.00 6000.00 15000.00 5000.00 6000.00 7000.00 3000.00 16000.00 28000.00
10000.00 3000.00 50000.00 25000.00 1500.00 6000.00 15000.00 5000.00 6000.00 7000.00 3000.00 15000.00 27000.00
10000.00 3000.00 66000.00 25000.00 1500.00 7500.00 15000.00 5000.00 6000.00 7000.00 3000.00 14000.00 30000.00
10000.00 3000.00 65000.00 25000.00 1500.00 6000.00 15000.00 5000.00 6000.00 7000.00 3000.00 16000.00 35000.00
10000.00 3000.00 40000.00 25000.00 1500.00 5000.00 15000.00 5000.00 6000.00 7000.00 3000.00 17000.00 35000.00
10000.00 3000.00 65000.00 25000.00 1500.00 4000.00 15000.00 5000.00 6000.00 7000.00 3000.00 17000.00 30000.00
10000.00 3000.00 85000.00 25000.00 1500.00 3000.00 15000.00 5000.00 6000.00 7000.00 3000.00 16000.00 35000.00
47
CASHFLOW STATEMENT FOR THE YEAR 2013 January Cash receipt Sales Others Total cash receipt Cash disbursement: Salaries of the employers Salaries of the employees COSG Rent Wages Advertisement Utilities Sales expenses Depreciation Insurance Payroll taxes Expenses of office Expenses of factory building Total cash disbursement Net cash flow
February March
April
May
June
July
August
September October
November December
TOTAL
700000.00 500000.00 700000.00 950000.00 85000.00 850000.00 105000.00 115000.00 125000.00 1400000.00 1300000.00 145000.00 50000.00 10000.00 20000.00 50000.00 3000.00 20000.00 30000.00 2500.00 30000.00 15000.00 20000.00 10000.00 750000.00 510000.00 720000.00 1000000.00 88000.00 870000.00 135000.00 117500.00 155000.00 1415000.00 1320000.00 155000.00 10000.00 3000.00 600000.00 20000.00 1000.00 6000.00 14000.00 3900.00 7000.00 8000.00 50000.00 13000.00 200000.00 922900.00 172900.00
10000.00 3000.00 45000.00 20000.00 1000.00 6000.00 14000.00 3900.00 7000.00 8000.00 50000.00 17000.00 20000.00 191900.00 -318100.00
10000.00 3000.00 500000.00 20000.00 1000.00 6000.00 14000.00 3900.00 7000.00 8000.00 50000.00 14000.00 20000.00 643900.00 -76100.00
10000.00 3000.00 250000.00 20000.00 1000.00 5000.00 14000.00 3900.00 7000.00 8000.00 50000.00 15000.00 25000.00 398900.00 -601100.00
10000.00 3000.00 48000.00 20000.00 1000.00 5000.00 14000.00 3900.00 7000.00 8000.00 50000.00 16000.00 18000.00 190900.00 102900.00
10000.00 3000.00 680000.00 20000.00 1000.00 5000.00 14000.00 3900.00 7000.00 8000.00 50000.00 15000.00 20000.00 823900.00 -46100.00
10000.00 3000.00 57000.00 20000.00 1000.00 6500.00 14000.00 3900.00 7000.00 8000.00 50000.00 12000.00 20000.00 199400.00 64400.00
10000.00 3000.00 65000.00 20000.00 1000.00 6500.00 14000.00 3900.00 7000.00 8000.00 50000.00 14000.00 15000.00 204400.00 86900.00
10000.00 3000.00 80000.00 20000.00 1000.00 40000.00 14000.00 3900.00 7000.00 8000.00 50000.00 14000.00 25000.00 262900.00 107900.00
10000.00 3000.00 700000.00 20000.00 1000.00 55000.00 14000.00 3900.00 70000.00 8000.00 50000.00 15000.00 20000.00 956900.00 -458100.00
10000.00 3000.00 70000.00 20000.00 1000.00 10000.00 14000.00 3900.00 70000.00 8000.00 50000.00 14000.00 20000.00 280900.00 -1039100.00
10000.00 3000.00 80000.00 20000.00 1000.00 3500.00 14000.00 3900.00 70000.00 8000.00 50000.00 13000.00 20000.00 283400.00 128400.00
48
6975000.00 260500.00 7235500.00 0.00 120000.00 36000.00 3175000.00 240000.00 12000.00 154500.00 168000.00 46800.00 273000.00 96000.00 600000.00 172000.00 423000.00 5360300.00 1672900.00
CASHFLOW STATEMENT FOR THE YEAR2014 January Cash receipt: Sales Others Total cash receipt Cash disbursement : Salaries of the employers Salaries of the employees COSG Rent Wages Advertisement Utilities Sales expenses Depreciation Insurance Payroll taxes Expenses of office Expenses of factory building Total cash disbursement Net cash flow
February March
April
May
June
July
August
September October
November December
TOTAL
350000.00 250000.00 250000.00 350000.00 300000.00 300000.00 330000.00 400000.00 300000.00 450000.00 400000.00 500000.00 2500.00 1500.00 1000.00 1000.00 1500.00 2000.00 1000.00 1500.00 2500.00 2000.00 2000.00 2000.00 352500.00 251500.00 251000.00 351000.00 301500.00 302000.00 331000.00 401500.00 302500.00 452000.00 402000.00 502000.00 11000.00 3500.00 80000.00 3000.00 1500.00 4000.00 12000.00 5000.00 6000.00 6000.00 3000.00 15000.00 30000.00 165500.00 187000.00
11000.00 3500.00 65000.00 3000.00 1500.00 4500.00 12000.00 5000.00 6000.00 6000.00 3000.00 16000.00 30000.00 152000.00 99500.00
11000.00 3500.00 80000.00 3000.00 1500.00 4500.00 12000.00 5000.00 6000.00 6000.00 3000.00 15000.00 32000.00 336000.00 -85000.00
11000.00 3500.00 90000.00 3000.00 1500.00 3000.00 12000.00 5000.00 6000.00 6000.00 3000.00 16000.00 23500.00 169000.00 182000.00
11000.00 3500.00 900000.00 3000.00 1500.00 2200.00 12000.00 5000.00 6000.00 6000.00 3000.00 15000.00 32000.00 985700.00 -684200.00
11000.00 3500.00 200000.00 3000.00 1500.00 2200.00 12000.00 5000.00 6000.00 6000.00 3000.00 15000.00 20000.00 273700.00 28300.00
11000.00 3500.00 250000.00 3000.00 1500.00 2000.00 12000.00 5000.00 6000.00 6000.00 3000.00 13000.00 30000.00 331500.00 -500.00
11000.00 3500.00 250000.00 3000.00 1500.00 1000.00 12000.00 5000.00 6000.00 6000.00 3000.00 16000.00 30000.00 333500.00 68000.00
11000.00 3500.00 250000.00 3000.00 1500.00 1000.00 12000.00 5000.00 6000.00 6000.00 3000.00 12000.00 30000.00 329500.00 -27000.00
11000.00 3500.00 300000.00 3000.00 1500.00 2000.00 12000.00 5000.00 6000.00 6000.00 3000.00 15000.00 35000.00 388500.00 63500.00
11000.00 3500.00 250000.00 3000.00 1500.00 2000.00 12000.00 5000.00 6000.00 6000.00 3000.00 14000.00 25000.00 327500.00 74500.00
11000.00 3500.00 400000.00 3000.00 1500.00 1500.00 12000.00 5000.00 6000.00 6000.00 3000.00 15000.00 25000.00 478000.00 24000.00
49
4180000.00 20500.00 4200500.00 0.00 132000.00 42000.00 3115000.00 36000.00 18000.00 29900.00 144000.00 60000.00 72000.00 72000.00 36000.00 177000.00 342500.00 4102400.00 8302900.00
CASHFLOW STATEMENT FOR THE YEAR 2015 January Cash receipt: Sales Others Total cash receipt Cash disbursement : Salaries of the employers Salaries of the employees COSG Rent Wages Advertisement Utilities Sales expenses Depreciation Insurance Payroll taxes Expenses of office Expenses of factory building Total cash disbursement Net cash flow
February March
April
May
June
July
August
September October
November December
TOTAL
350000.00 350000.00 300000.00 250000.00 500000.00 550000.00 450000.00 400000.00 600000.00 700000.00 700000.00 650000.00 3500.00 2000.00 2000.00 1500.00 2000.00 1500.00 2000.00 2000.00 1500.00 1500.00 2000.00 2000.00 353500.00 352000.00 302000.00 251500.00 502000.00 551500.00 452000.00 402000.00 601500.00 701500.00 702000.00 652000.00
5800000.00 23500.00 5823500.00
12000.00 4000.00 80000.00 25000.00 1800.00 3000.00 11000.00 4800.00 5000.00 50000.00 4000.00 20000.00 45000.00 249600.00 103900.00
144000.00 49200.00 2980000.00 300000.00 25800.00 23000.00 231000.00 57600.00 60000.00 600000.00 48000.00 271000.00 482000.00 5078400.00 745100.00
12000.00 4000.00 100000.00 25000.00 1800.00 2000.00 11000.00 4800.00 5000.00 50000.00 4000.00 20000.00 45000.00 268600.00 83400.00
12000.00 4000.00 150000.00 25000.00 1800.00 2000.00 11000.00 4800.00 5000.00 50000.00 4000.00 25000.00 45000.00 323600.00 21600.00
12000.00 4000.00 200000.00 25000.00 1800.00 1000.00 11000.00 4800.00 5000.00 50000.00 4000.00 25000.00 48000.00 375600.00 124100.00
12000.00 4000.00 200000.00 25000.00 1800.00 2000.00 11000.00 4800.00 5000.00 50000.00 4000.00 23000.00 45000.00 371600.00 130400.00
12000.00 4000.00 400000.00 25000.00 1800.00 2000.00 11000.00 4800.00 5000.00 50000.00 4000.00 24000.00 38000.00 565600.00 14100.00
12000.00 4200.00 150000.00 25000.00 2500.00 3000.00 11000.00 4800.00 5000.00 50000.00 4000.00 23000.00 45000.00 323300.00 128700.00
12000.00 4200.00 250000.00 25000.00 2500.00 1000.00 11000.00 4800.00 5000.00 50000.00 4000.00 21000.00 38000.00 412300.00 412191.00
12000.00 4200.00 300000.00 25000.00 2500.00 2000.00 11000.00 4800.00 5000.00 50000.00 4000.00 20000.00 38000.00 462300.00 139200.00
12000.00 4200.00 300000.00 25000.00 2500.00 3000.00 11000.00 4800.00 5000.00 50000.00 4000.00 22000.00 35000.00 462300.00 239200.00
12000.00 4200.00 400000.00 25000.00 2500.00 1000.00 11000.00 4800.00 5000.00 50000.00 4000.00 24000.00 35000.00 562300.00 139700.00
12000.00 4200.00 450000.00 25000.00 2500.00 1000.00 110000.00 4800.00 5000.00 50000.00 4000.00 24000.00 25000.00 701300.00 49300.00
50
PRO FORMA CASHFLOW STATEMENT 2016 January Cash receipt: Sales Others Total cash receipt Cash disbursement : Salaries of the employers Salaries of the employees COSG Rent Wages Advertisement Utilities Sales expenses Depreciation Insurance Payroll taxes Expenses of office Expenses of factory building Total cash disbursement Net cash flow
February March
April
May
June
July
August
September October
November December
TOTAL
350000.00 500000.00 600000.00 500000.00 400000.00 500000.00 650000.00 700000.00 850000.00 650000.00 700000.00 800000.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 350000.00 500000.00 600000.00 500000.00 400000.00 500000.00 650000.00 700000.00 850000.00 650000.00 700000.00 800000.00
7200000.00 0.00 7200000.00
15000.00 4500.00 200000.00 20000.00 1600.00 2000.00 15000.00 6500.00 5500.00 7000.00 3000.00 30000.00 50000.00 340600.00 -9400.00
180000.00 50100.00 3900000.00 445000.00 21000.00 27700.00 180000.00 73100.00 66000.00 84000.00 36000.00 368000.00 600000.00 5800800.00 13000800.00
15000.00 4500.00 250000.00 20000.00 1600.00 1500.00 15000.00 6500.00 5500.00 7000.00 3000.00 32000.00 50000.00 392100.00 107900.00
15000.00 4500.00 400000.00 20000.00 1600.00 1500.00 15000.00 6500.00 5500.00 7000.00 3000.00 32000.00 50000.00 542100.00 57900.00
15000.00 4500.00 200000.00 20000.00 1600.00 15000.00 15000.00 6500.00 5500.00 7000.00 3000.00 30000.00 50000.00 353600.00 146400.00
15000.00 4500.00 250000.00 25000.00 1600.00 1500.00 15000.00 6500.00 5500.00 7000.00 3000.00 30000.00 50000.00 395100.00 -4900.00
15000.00 4500.00 300000.00 25000.00 1600.00 1200.00 15000.00 5800.00 5500.00 7000.00 3000.00 30000.00 50000.00 444100.00 55900.00
15000.00 4500.00 400000.00 200000.00 1900.00 0.00 15000.00 5800.00 5500.00 7000.00 3000.00 32000.00 50000.00 720200.00 70200.00
15000.00 3800.00 400000.00 25000.00 1900.00 0.00 15000.00 5800.00 5500.00 7000.00 3000.00 32000.00 50000.00 545200.00 154800.00
15000.00 3800.00 450000.00 20000.00 1900.00 0.00 15000.00 5800.00 5500.00 7000.00 3000.00 32000.00 50000.00 590200.00 259800.00
15000.00 3600.00 300000.00 25000.00 1900.00 1000.00 15000.00 5800.00 5500.00 7000.00 3000.00 28000.00 50000.00 442200.00 207800.00
15000.00 3600.00 300000.00 25000.00 1900.00 1000.00 15000.00 5800.00 5500.00 7000.00 3000.00 32000.00 50000.00 446200.00 253800.00
15000.00 3800.00 450000.00 20000.00 1900.00 3000.00 15000.00 5800.00 5500.00 7000.00 3000.00 28000.00 50000.00 589200.00 210800.00
51
PRO FORMA CASHFLOW STATEMENT 2016 year 1 Cash receipt: Sales Others Total cash receipt Cash disbursement : Salaries of the employers Salaries of the employees COSG Rent Wages Advertisement Utilities Sales expenses Depreciation Insurance Payroll taxes Expenses of office Expenses of factory building Total cash disbursement Net cash flow
year2
year3
year4
year5
1213000 89000 1302000
6975000 260500 7235500
4180000 20500 4200500
5800000 23500 5823500
7200000 0 7200000
120000 36000 165000 300000 16500 77500 180000 60000 72000 84000 36000 192000 375000
120000 36000 3175000 240000 12000 154500 168000 46800 273000 96000 600000 172000 423000
132000 42000 3115000 36000 18000 29900 144000 60000 72000 72000 36000 177000 342500
144000 49200 2980000 300000 25800 23000 231000 57600 60000 600000 48000 271000 482000
180000 50100 3900000 445000 21000 27700 180000 73100 66000 84000 36000 368000 600000
1558000 2860000
5360300 1672900
4102400 8302900
5078400 745100
5800800 13000800
52
Balance Sheet for the year ended 2012-2016 2012
2013
2014
2015
2016
ASSETS: Non-current Assets Property, Plant and Equipment Investments
4,900,000.00 2,000,000.00
4,900,000.00 2,000,000.00
4,900,000.00 2,000,000.00
4,900,000.00 2,000,000.00
4,900,000.00 2,000,000.00
Current Assets: Inventories Sundry Debtors Advances, deposits & prepayments Cash & Cash Equivalents TOTAL ASSETS
60,000.00 56,000.00 24,000.00 32,000.00 7,072,000.00
60,000.00 72,000.00 21,000.00 12,000.00 7,065,000.00
60,000.00 43,000.00 32,000.00 41,000.00 7,076,000.00
60,000.00 52,000.00 25,000.00 40,000.00 7,077,000.00
60,000.00 64,000.00 20,000.00 34,000.00 7,078,000.00
SHAREHOLDERS' EQUITY & LIABILITIES Shareholders' Equity: Share Capital Retained Earnings
3,000,000.00 430,000.00
3,000,000.00 432,000.00
3,000,000.00 450,000.00
3,000,000.00 500,000.00
3,000,000.00 300,000.00
Non-current Liabilities: Long-term Finance - Net Off Current Maturity
102,000.00
53,000.00
14,000.00
22,000.00
358,000.00
Current Liabilities: Creditors Accrued Expenses TOTAL SHAREHOLDERS' EQUITY & LIABILITIES
150,000.00 390,000.00 7,072,000.00
160,000.00 420,000.00 7,065,000.00
180,000.00 432,000.00 7,076,000.00
190,000.00 365,000.00 7,077,000.00
120,000.00 300,000.00 7,078,000.00
53
Appendix
In order to get the feedback of the products offered by our company from the common people, we conveyed a survey in which we as 20 random people about our products which are relatively new in a country like Bangladesh. We believed that this survey would make us more efficient in course of running our business by understanding the viewpoints of the general people.
1. According to you what is autism? a) A disease b) Mental Disorder c) An emotional disorder d) God Gifted Result: A-3, B- 5, C-1, D- 11.
12
10
8
6
4
2
0
A
B
C
D
2. Do you think autistic people should be socially accepted?
54
a) Yes, Because they are human like us. b) Yes, Because we all are different c) No, They are threat to the society d) No. They have complex Personalities and behavior. Result: A- 10, B-8, C-0, D-2
A B C D
3. What are autistic products? a) Products for mentally or physically disabled b) Toys for autistic children c) Different learning instrument for autistic people. d) ABC Result: A- 15, B-1, C-4, D-0. 16 14 12 10 8 6 4 2 0 A
B
C
D
55
4. Should Bangladesh produce autism based for the autistic people? a) YES b) No Result: A-13, B- 7
A B
5. Should the products be imported from outside? a) Yes b) No c) Depends on quality and quantity Result: A-1, B-13, C-6
56
14 12 10 8 6 4 2 0 A
B
C
6. Joy foundation is a totally new in business for autism products. So do you think the business will be helpful for the people? a) Strongly Agree b) Agree c) Neutral d) Disagree e) Strongly Disagree Result: A-13, B-4, C-2, D-1, E-0
57
14 12 10 8 6 4
2 0 A
B
C
D
E
7. As a local brand, do you think our products are good enough? a) Satisfied b) Good c) Dissatisfied d) Not sure Result: A-1, B-0, C-0, D-19
D
C
B
A
0
5
10
15
20
58
8. Should Joy foundation extend its business by opening different branches in different areas of the country? a) YES b) NO. Result: A-17, B-3.
A B
9. Will you suggest people for purchasing our products? a) Yes. Because your organization is excellent b) Yes, the products you are selling are for good purpose c) No because the organization is new d) No.I don’t know any person who has autism problems Result: A-2, B-11, C-1, D-6
59
D
C
B
A
0
2
4
6
8
10
12
10. What do you think of Joy Foundation? ………………………………………………………………………………………………… ………………………………………………………………………………………………… ………………………………………………………………………………………………… …………………………………………………………………………………………. Result: Most of the people encouraged us and showed their support in bringing something so helpful and completely new to the community. 11. Any suggestions:………………………………………………………………………………………………… ………………………………………………………………………………………………… ………………………………………………………………………………………………… …………………………………………………………………………………………… Result: Most people suggested us to promote ourselves more frequently and efficiently as many people do not yet know about our company yet.
60
