ENTREPRENEURSHIP

LEVEL 1
FASHION BUSINESS MANAGEMENT Module teacher: ms. Priyanka aggarwal

Submitted by: Akansha Suhani nagalia

Table of contents 1. Entrepreneurship Executive summary 2. Location 3. Feasibility study 4. Market feasibility 5. Economic feasibility 6. Financial feasibility 7. Legal and administrative 8. Ecological feasibility: 9. Management model feasibility 10. Technical feasibility 11. Exit strategy feasibility 12. Vision and mission 13. Entry in the market 14. Promotion 15. Business operations 16. Management team profile 17. Financial plan 18. Break even point 19. Balance sheet 20. assets

Executive summary Our business plan is to set up a buying agency. A buying agency is one which works as an agent. It has contacts with both buyers and the manufacturers or exporters. Basically, it works for buyers and helps them in locating the right manufacturer for their order. We are a buying agency for fabric and home textiles. We will get our name registered as eagle eye ltd. Location: South City 2, Gurgaon, Haryana. This is 45 kms. From Delhi. View from outside- on 1st floor , clearly visible. Up: 24 hour service. Our vision and mission are: Mission: we want to provide excellent service to all the top most buyers . Prime values: Customers: finding the right customers. Serving them and keeping them guarantees our existence. Service: To provide quality service that meets or exceeds the customers requirements. Value: To price the services provided at such rates which are true value to our customers. Profit: To remain free and provide security for our company and associates, we must earn profits. Vission: We act as an agent between buyer and the factory and maintain a good relationship from buyer as well as factory which will help us to be the leading buying house.

Feasibility study Feasibility study can be defined as the process for identifying problems and opportunities, determining objectives, describing situations, defining successful outcomes and accessing the range of costs and benefits associated with several alternatives for solving a problem. It is used to support the decision-making process based on a cost benefit analysis of the actual project viability. It is conducted during the deliberation phase of a formal business plan. It is an analytical tool that includes recommendations and limitations. The findings of FS will be assessed by potential investors and stakeholders regarding their credibility and depth of argument.

There are different criteria on which the study has to be done is according to the types of feasibilities. They are:
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1. Market feasibility: this area of study includes the Consumption trends, Past and present supply position, Production possibilities and constraints, Imports and Exports competition, the Cost Structure, Elasticity of Demand, Consumer Behavior, Distribution channels and marketing policies in use, Administrative and legal constraints related to the marketing of the product. The market that we are targeting to is the buyers. Its a business to business market. This means that no ultimate customer will be exposed to this idea of business. The manufacturer will make the garments/ whatever and will export it to the buyer as per the order and this function of locating a manufacturer is done by the buying agency. The competitors are: Dean Textile buying agency, Savvy sourcing, Tannvi Impex Private Limited, Trade winds services, Max India. The industry that this business falls under is fabric and textile industry. 2. Economic feasibility: this includes the Cost-benefit analysis, whether the project justified (i.e. will benefits outweigh costs), the minimal cost to attain a certain system, How soon will the benefits accrue, Which alternative offers the best return on investment, Examples of things to consider: Hardware/software selection, Selection among alternative financing arrangements (rent/lease/purchase), Difficulties, benefits and costs can both be intangible, hidden and/or hard to estimate, ranking multi-criteria alternatives Cost & benefit. Is the project justified (i.e. will benefits outweigh costs), What is the minimal cost to attain a certain system, How soon will the benefits accrue, Which alternative offers the best return on investment. How soon will the benefit come. Return on investments. Means of financing is that we are going to put in our own capital. (savings, reserves, etc.)

3. Financial feasibility: this is to ascertain whether the project will be financially viable enough for being able to meet the burden of serving debt and whether the proposed project will satisfy the return expectations of people who provide the capital. projected profitability- commission Break-even point- at what point are we going to cover the costs of the business. 4. Legal and administrative feasibility: the Form of Business organization, Registration, Clearances and Approvals from different authorities Form of business organization- partnership. Clearance & approval from different agencies. 5. Ecological feasibility: this includes What is the damage that can be caused by the project to the environment,the cost of restoration measures required to ensure that the damage to the environment is contained within acceptable limits.
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6. Management model feasibility: this explains that how the business will generate revenue. Management personnel: Manager: Two managers: managing for different zones. Two Computer operators: for operating different designing softwares. 1 peon

7. Technical feasibility: this area of study includes whether The project is possible with current technology, the technical risks, Availability of the technology locally, Will it be compatible with other systems, Is the proposed technology or solution practical, Do we currently possess the necessary technology, Do we possess the necessary technical expertise, Is relevant technology mature enough to be easily applied to our problem,What kinds of technology will we need, the state-of-the-art technology or mature and proven technology. In our case as we are not into any business which would require a lot of machines since we are not manufacturing anything, what technology we would relate to is the latest type of computers, laptops, desktops, the updated and the newest fax machines, the internet facilities within the office, the telephones and the answering machines etc. 8. Exit strategy feasibility: it states the way by which we are going to take an exit from the market. There are various ways, which are IPOs, Merger/Acquisitions, Buyout by a partner in business, Franchise the business, Hand down the business to any other family member. Entry in the market: It is taken after analysing certain factors. We need to always keep eyes & ears open for a good opportunity. And it is also very important to keep a check on what is being currently demanded. Promotion: promotion and advertising is important for a new business. Through promotion it will come in the eyes of everybody. The ways of promotion are: Trade fairs By attractive schemes Special festive offers to Indian buyers

Business operations: Latest softwares : advanced versions of soft wares like coral draw, photo shop etc. for better understanding of the designs sent by the buyer with the latest technology applied to it. Provide great services. Trustful image by maintaining good and loyal relations with the buyers and the exporters.
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The profit and loss account: PARTICULARS Travelling Expense Salaries Maintenance Electricity bills Internet Bills Printing & Stationery Advertisement Net profit AMOUNT(RS) Rs.4,00,000 Rs.5,40,000 Rs.60,000 Rs.1,20,000 Rs.12,000 Rs.20,000 Rs.10,00,000 Rs.7,48.000 Rs. 20,00,000 PARTICULARS By Commission AMOUNT(RS) Rs.20,00,000

Rs. 20,00,000

Management team profile: Hard working team With Work experience of at least 3 yrs. Should know different languages Must be a good representator and listener. Financial plan: our financial plan is that, we already have a land. Investment will take place in mending the interiors of the unit in registration of the company, buying computers, laptops, Buying other electronic gadgets, machines etc.

Breakeven point: Breakeven point is a point where the cost of the business is covered and hence forth the revenue starts. Breakeven point for our business is 6 months.

P R O F I T

6 M O N T H S

Balance Sheet:

liability Amount (Rs)

Assets

Amount (Rs)

Capital

1,02,70,000

1. Land 2. Computers 3. Laptops 4. A/c 5. Cabinets 6. Refrigerator

1,00,00,000 70,000 40,000 80,000 50,000 30,000 1,02,70,000

1,02,70,000

Assets: As we are not into any manufacturing or selling business. We do not have many assets like big machines for sewing or weaving the garment or any textile. We just need basic assets like land, for building up an office. Furniture, to sit onto and electrical appliances, like computers, laptops, latest printers, fax machines, internet facilities etc. Exit strategy: We can exit the market by the following ways: We can handover it to any other family member. We can sell it to the other partner. We can franchisee it if there are enough profits. We can come under any parent company.