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introductionHi there,I am sharing in the making of this business so you can see my approach to building a small business around my own & familys needs and wants. What is important to us is spending time together, doing the things we love, enjoying time and space for ourselves and each other and having flexibility. all whilst generating enough fun ticket$ to live the sweet life! This means I am approaching the creation of a startup biz from an unusual angle. I am setting the criteria it must meet to enable this lifestyle of desire.Consequently I dont know what I am going to do yet the first part of this business plan will help identify and clarify what it will be.I hope you enjoy the read and learn something on the way.Enjoy the discovery & insights.Cindy 3. behind the business Cindy Luken 43. modern mum, entrepreneur, food lover and former bikkie bakerUntil 2003 I had a very busy business life creating Luken & May Biscuits. Since then I immersed myself in the beauty industry and ran Arnaud owned by Stila Cosmetics US, had 2 beautiful children (now 2&4) and escaped to France with my family for 18 months to wander the canals on a 100 year old bargeMy background includes an applied science degree in food & nutrition, new product and process development at Sara Lee, catering and event management @ Juste Nous Catering (Norma Willis) and building & exiting Luken & May (with private equity backing) within 7 years of start up. (now owned by Byron Bay Cookies). I have sat on the National Food Industry Council & Innovation Committee providing input on strategic and future issues and was a member of the Small Business Advisory panel to the Reserve Bank Board. Newcastle University awarded me with an Honorary Master of Science for combining my love of food with science & business. Over the years I & my team have won over 20 export, entrepreneur and business awards including Jaguar Gourmet Traveler award for Excellence in Produce, the Australian Business "Success thru Innovation" prize and 19th & 20th spot in BRWs Fast 100.My philosophy is simple..live what you love.and the rest falls into place. I am now creating luk as I am ready to give a bit back to me so that I can continue to be a happy wife and mother. My aim is to use the fabulous technology that surrounds us and create a business that is easy to manage, gives me a buzz and makes money! 4. Contentspart A) Opportunity Developmentstage 1: Establishing Business Framework. pages 0511stage 2: Brand & Product Ideas. pages 12-16Stage 3: Desk Top research. pages 17-25stage 4: The Brand Proposition. pages 26-31part B) The Business Takes Shape1. The Beautifood Business. Pages 32452. The Brand. Pages 46-663. Sales & Marketing. Pages 67-794. Operations. Pages 80-855. Finance & Admin. Pages 86-93 COPYRIGHT: Cindy Luken 5. Part A) Stage 1 Establishing business framework 6. mybusiness goalTo create a small business that runs profitably on15 child free hrs pw with <$2000* start up fund netting $1000pw by end year 1.(*home office, computer, phone, internet and like equipment on hand) 7. Ideally the biz must. 1. Sell products not services:Why? Input hrs dont limit sales potential. Can easily systemise sales process and scale up. How? Design unique product/s and have them contract manufactured2. Be cashflow positive on launch: Why? Low start up funds required How? Pre-sell before placing launch orders. Ongoing - pre payment on 80% sales. Small & flexible production runs.3. Have no

employees:Why? Need flexibility & privacy to run home biz, keeps overheads & headaches down! How? Outsource services when needed pay for whats needed. 4. Can be run from anywhere in the world:Why? Gives flexibility, not tied to desk. Very practical & inspirational! How? Utilise online technology orders, communication, stock control etc, Outsource key functions and ensure sales service is not physical.. more next page 8. Ideally the biz must.5. Must have potential to grow to a $10+mio turnoverWhy? Good to have options! To increase return, ability to sell or license brand How? Build a strong & flexible business model & product offer / contract manufacturer that scales up easily.6. Will operate in the Food, Beauty, Health &/or Wellbeing sectors.Why? This is where I have experience and can LIVE WHAT I LOVE. How ? Hunt for gaps/opportunities.And to recap on the biz goal.. 7. Runs on 15 childfree hours per week in year 1Why? This is the time I have to achieve our personal desire to spend time with the kids before going to school How? Get tough. Make it work or dont do it.8. Makes Money clears $1000pw by end year one Why? Its not a hobby! I need it. Motivating. How? Home office keeps overheads low, select high margin products (COGS <25%) with excellent sales potential. In house marketing guerrilla / WOM/ Social. Low labour sales order, stock control & marketing processes. Minimise stock wastage. 9. what is my business strategyBy setting up a home office with a local, outsourced virtual office and by outsourcing the infrastructure cost, risks and constraints in manufacturing,

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