Develop a Comprehensive Business Plan for a New Small Business

The best drinks company: business plan
Name
Institutional affiliation
Table of contents
Executive summary…………………………………………………………………3
The company………………………………………………………………..............5
* Company Description……………………………………………………….5
* Product Description………………………………………………………….5
The market……………………………………………………………………………6
* Introduction………………………………………………………...………...6
* Target market and strategies………………………………………………….6
The organization……………………………………………………………………….9
* Introduction…………………………………………………………………….9
* Types of structure for small businesses………………………………………..9
* Organizational structure………………………………………………………..10
The financials……………………………………………………………………………11
* Introduction………………………………………………………………………11
* Budget …………………………………………………………………………..11
Conclusion……………………………………………………………………………..12
References……………………………………………………………………………….14
The best drinks company: business plan
Executive summary
Starting a small business can be challenging at times. These challenges often scare people away without them realizing that after overcoming these challenges the business could thrive. Additionally, people have developed stereotypes against small business whereby they assume there are already too many competitors in the market and think that a small business could not succeed due to the competition. The truth is that small businesses have relatively large chances of succeeding in the market. The success of any business depends on a variety of factors that range from the organizational structure to the amount of funds available (Besser & Miller, 2010). To start a small business one has to go through a process that involves the identification of a business gap, finding the resources to fill that gap and opening a business with the intention of generating some profit. Starting a small business also depends on the demand and supply in the market. Here the entrepreneur first identifies the goods that the consumers need and identify with. Then they look to see if there is a demand for the goods. The goods can have high demand, but also a high supply. The best place to invest is where the demand is high, and there is a low supply. Here the entrepreneur can make profits since they can dictate the prices as people need the products or services. Planning is imperative for every small business owner. There is a common saying ‘failing to plan is planning to fail.' This shows that planning is a vital process for the entrepreneur interested in starting a small business. Planning for an entrepreneur helps prepare for the many challenges that exist in the targeted market. This paper will deliberate on the business of a small company which will be producing soft drinks. The company will be named ‘Best-drinks Company.' The beverages will be manufactured using a secret recipe that has been in the owner’s family for years. It has already been tested in the local market where it was liked, and the owner decided to start a small business for manufacturing it.
Planning is also fundamental because it assists the small business owner in the organization of the enterprise. The organization of a business is vital for its success (Richbell, 2006). The structure should be clear and direct. In our case, it is a small beverage producing company. The company should have a defined structure to ensure the smooth flow of operations. The employees should be familiarized with the responsibilities they are awarded. This will make sure that there is no confusion and everybody is aware of what is expected of them. The plan will also include the marketing strategies the company will use to ensure that it outdoes its competition in the market. Marketing strategies are essential because they help the owner reach the target market and the goals set. They also help beat the challenges that may arise in the market. This paper will also provide some of the strategies that the business will use to ensure that it overcomes the competition, for example; by the use of promotions and free gifts. It will also provide the financial plan for the small business. Since it is a small business, it will be personally financed with a few small loans. The financial details are vital for anybody interested in starting a small business. A budget helps allocate funds and makes sure that there are records for how the money was spent. The lack of a budget can lead to the misappropriation of money, and this can lead to overspending in areas where money could have been saved and invested wisely. It also helps one come up with a total figure for the whole project.
The company
Company Description
This is a sole proprietorship meaning that the business is owned and managed by a single individual. It is going to be manufacturing soft drinks, packing and distributing them to wholesalers. The manufacturing process is going to be done locally since it is a small company. Among its products will be bottled water and ready to drink juice. According to a recently concluded research, the consumption of bottled water and ready to drink juices is on the rise in the country. This creates a huge demand, and despite the many companies that exist out there, the thirst for more can still be felt. This creates a business opportunity for many entrepreneurs who are joining the market.
Product Description
The beverages will be manufactured locally because of the high cost of manufacturing outside the country. One advantage of the food and beverage industry to the business owners is that they have total control over the manufacturing process. This will enable the company to add flavors that are preferred by the consumers hence boosting sales. The branding and packaging will also be done locally to reduce costs. The company already has a logo and a brand name for the drinks that are going to be produced. The soft drinks will be named ‘donda’ while the water will be named ‘crystal.' The target market for the company is the youth because they are the highest consumers of soft drinks in the country. To be outstanding in the market, the company has a logo that is intended to identify with the youth. Identifying the target market is very vital for any small business owner. They have to realize the people that they want to reach and adjust to the conditions that will attract the potential buyers attracted to the products they are offering. This also helps in developing advertising strategies meant to reach them. At the beginning, the business will be offering the drinks at a discounted price just enough to cover the production cost. This will be meant to attract customers, and once it has firmly established itself in the market, the prices will start gradually rising. The business owner will be entitled to making all the final decisions, and this is beneficial since no time will be wasted when making decisions. Additionally, the owner will enjoy all the profits without having to share with anyone. One disadvantage is that there will be no loss sharing (Permwanichagun, Kaenmanee, Naipinit & Sakolnakorn, 2014). The owner has to endure the loss and at the same time pay the wages for the workers. The company is also expected to start enjoying the profits after six months.
The market
Introduction
Entering the market can be challenging at times and to survive one needs to come up with some marketing strategies that will assist to beat the competition. Best drinks are going to enter the market with an added advantage in that it may have a secret recipe that no competition can copy while at the same time the owner is well-known by the locals. One of the strategies that the owner is going to use is that the products will be offered at a discounted price which is relatively lower than the price of other soft drinks in the market. This strategy is only meant to attract customers and to improve sales. After the brand has gained recognition in the market, the prices can go back to normal to ensure that the company is making profits.
Target market and strategies
The target market for the products are the youth, and it is for his reason that a good media campaign should be done in the surrounding neighborhood targeting the youth. It is important for business owners to identify their target market so as to recognize the best media to reach them. According to a recently concluded rese...