Business Plan of Wood Land

Executive
Summary

Furniture has traditionally been a resource and labor-intensive industry that

includes both local craft-based firms and large volume producers. Bangladesh
furniture manufacturing as a whole has been a large and growing industry since
1990. After the recession of 1991, the gross output of furniture and related
products grew steadily but output fell with the recession in 2001, but buoyed by
the boom in residential housing, total furniture output growth quickly resumed.

Wood Land came up with a revolutionary idea of establishing a warehouse based

company. The objective of Wood Land is to provide distinctive and exceptional
furniture at economic price which will satisfy all level of customers of our country
and to export unique and attractive designed furniture to the developed and
developing countries.
The company initially will promote the product at local market and after 1-2
years the maximum turnover of the company will come from local market. After
creating a good and sustainable market within the country Furniture Bangladesh
will go for exporting their product in abroad.

As economy in Bangladesh has become highly competitive, mixed with political

instability and inflationary uncertainties, very carefully with innovative strategies
the business has to be carried on. Wood Land must concentrate on Productivity,
Efficiency and Management by Objective while starting the operation of the
company. The most significant achievement of Wood Land Company is supposed
to be the dynamism with far-sightedness in strategic planning. After three years
and three months Wood Land will reach in Break

Growth of Wood Land will be supported by cash flow and bank loan. This will
keep initial growth slow and manageable and will allow the management to have
complete control over the firm. Wood Land acquired insurance for our company
from “Federal Insurance Co. Ltd” and from “Bangladesh National Insurance Co.
Ltd”.

Now day’s suppliers are selling their product direct to the retailers and people
are good to have their own brand. Manufacturers are supplying products to
retailers on credit and get the money long after the selling. So, retailers will not
want buy products from Wood Land on cash. We can innovate lucrative,
exclusive and unique design at an economic price that will generate a good
impression on customers, and then the demand of our product will be increased.
Due to this high demand of product the unit price of our product will be less than
the direct manufacturers. As the retailers can earn more profit by selling our
product, the retailers will eager to take our product on cash.

After the initial investment we will be able to earn a very good portion of the
market share and we will be able to invest in different market segment.
 Business Plan of Wood Land

Company
Profile

Name of the Project: Wood Land

Type of Business: Distributor of Furniture

Status of Ownership: Private Limited Company

Address and Location:

Warehouse and Office address: 131, Amin Bazar, Savar.

Showroom address: Rahman Mansion, House no.: 3/11 (Ground Floor),

Block-G, Kazipara, Mirpur, Dhaka.

Brief Description: Wood Land is a proposed new member of furniture sector of

Bangladesh, aimed to sell high quality, lucrative, well designed furniture primarily
in Bangladesh market. Primary products will be Bed, Bed side table, Center table,
Chair, Dining table, Dining chair, Sofa set, Showcase, Divan, Dressing table, Ware
drove, Mini cabinet, Door, TV cabinet Almirah etc. The project is estimated to be
with initial investment of BDT 15 million with equity investment of BDT 6 million
and the rest from long term bank borrowing. The project is expected to start its
operation from August, 2010, 6 month from now. The target market of this project
is mainly middle to upper income class people.

Project Cost: BDT 15 million Viability Measurement

Equity Involvement: BDT 6 million Current Ratio: 2.036

Bank Borrowing: BDT 9 million Operating Ratio: 0.644

Debt – Equity Ratio: 60:40 Net Profit to Equity Ratio: 0.4959

Initial Startup Cost: BDT 4.259 million Net Profit on Sales: 0.402

Break- Even: 3.3 years Margin of Safety: 17.52%

 Business Plan of Wood Land

Company
Background

Overview of the Furniture Bangladesh

Our company will be formed in August 2010, by Uttam Kumar Nandi, Md. Aminul
Quayyum, Md.Sabbir Ul Alam, Md. Dewan Saifuddin Ahmed and Mahjabin Afrose
Archi. This will be a new venture and we don’t have any association with any
other business. Our company would be one of the first of its kind in Bangladesh.
Liabilities will have an equal share of burden also, providing each partner a
strong incentive to establish a strong business entity.

Wood Land has decided to enter into the furniture industries of Bangladesh with
a new and innovative idea. There is not much competition in the Snacks food
marketing. Few companies dominate the whole market. The survey shows that
people are always interested in new designed furniture at economic price. So
Wood Land came up with a revolutionary idea of establishing a warehouse where
retailers can buy their desired product at an attractive price and retailers and
supplies both will be in win position.

Corporate Management and Human Resources:

The company clearly has a dynamic and inspired management. The company
operates as an independent entity headed by the Managing Director while
overall strategic objectives and the corporate management committee set
financial targets. To achieve targets, the group employs highly qualified and
well-trained staffs. Each operating unit has its own human resources which is
guided or supported by the manager of that unit and the final decision are taken
by the Managing director. The Human Resource Manager is responsible for
providing policy guidelines and systems to facilitate the recruitment,
development and maintenance of a high achieving work force.

Management Excellence- dynamic strategy with far-sighted planning:

 Business Plan of Wood Land

The most significant achievement of Wood Land Company is supposed to be the

dynamism with far-sightedness in strategic planning. Moreover the company
employs people with excellent capability in managing cash flows and projects
and handling of economic trend to predict demand. The company is aimed to
achieve its goal through proper and efficient utilization of the resources by
professionalism and perfect distribution of labor and thus to attain well-being for
this society.

Name of the business

We have named our warehouse based business as “Wood Land”. As we are

pioneering the field of small venture capitalism in Bangladesh we think it is
appropriate to add the name after that.

Potential of this Venture

Someone might argue that, retailers would not buy furniture though Wood Land
rather than direct manufacturer and currently manufacturer are supplying
products to retailers on cash. So, why retailers should buy on cash through
Furniture Bangladesh?

The answer would be- Uniqueness of this business. The unique and lucrative
design at economic price and the win-win situation for supplier and Wood Land
will attract the retailers to buy products on cash from Wood Land rather than
direct manufacturer.

 Objective:
Our objective is to rediscover this industry with a significant difference from
others operating in this industry. Our distinctiveness would be the unique idea as
well as the design. Our company will be situated at an ideal and effective
location which will facilitate both the suppliers and the retailers.

The objective of Wood Land is to provide distinctive and exceptional furniture at

economic price which will satisfy all level of customers of our country and to
export unique and attractive designed furniture to the developed and developing
countries, which will increase the reputation of our country and also contribute a
lot to the economy of our country.
 Business Plan of Wood Land

Finally, we believe that our unique idea with distinctive and lucrative design at
economic price, the Wood Land is a great initiative that will certainly become a
success.

 Slogan:
There are many who want such stylish and distinctive furniture at economic price
which will increase the status and position of the customers. That is why the
slogan of Wood Land will be-

“ A Unique Combination of Style and Imagination”

 Mission:
The main mission of the company would be to provide an opportunity to the all
level of people of Bangladesh to establish their dreams through unique and
attractive designed furniture which will represent the style, standard of living
and status of them. Wood Land is committed to provide distinctive and
exceptional furniture at economic price which will satisfy all level of customers.

“Making the Service Acceptable by All”

 Vision:
The company initially will promote the product at local market and after 1-2
years the maximum turnover of the company will come from local market. After
creating a good and sustainable market within the country Wood Land will go for
exporting their product in abroad.

The vision of Wood Land is to export unique and attractive designed furniture to
the developed and developing countries, which will increase the reputation of
our country and also contribute a lot to the economy of our country.

“Enhancing the Standard of Living and People”

 The existing or proposed products and services:
The industry in which our business will be operating is the Furniture Industry. The
objective of this industry is to serve people with lucrative and attractive designed
furniture. There is a wide variety of suppliers and retailers are available with
different design and price structure as well as quality. Unlike the market, the
industry is growing as well with some differences from each other. But it’s our
 Business Plan of Wood Land

firm belief that the furniture industry is way beyond from reaching the
saturation.

 Startup Points:
The project is expected to start its operation from August, 2010, 6 months from
now. The target market of this project is mainly middle to upper income class
people.

 The Company Ownership

Wood Land is a privately held company owned by two of its investors and the
profit will be shared by its investors equally.

The owners of Furniture Bangladesh are as follows:

• Uttam Kumar Nandi

• Md. Aminul Quayyum
• Md. Sabbir Ul Alam
• Md. Dewan Saifuddin Ahanmed
• Mahjabin Afrose Archi

As for other personnel since we are starting in a very challenging level thus the
owners has decided to take no profit rather reinvest the income into the business
for the first two years and thus after the business reaches a desirable position
enjoy the profit as well as salaries.

 Investment plan:

The project is estimated to be with initial investment of BDT 150 million. Each
partner will contribute an equal amount of BDT 1.2 million. The rest of the
amount will be finance through bank loan. Standard Charted Bank will finance
the money. The equity ratio is as follows –

Serial Particulars Amount in BDT Ratio

No
1 Equity Money 6,000,000 40%
2 Bank Loan 9,000,000 60%
3 Total 15,000,000 100%

The equity ratio is 40% of total amount and the bank loan will be deposited in
the manner of property mortgage.

 Board of Directors
 Business Plan of Wood Land

Name Designation
Uttam Kumar Nandi
Director of Marketing and Sales
Md. Aminul Quayyum
Director of R&D
Md. Sabbir Ul Alam
Director of Operations & Logistics
Md. Dewan Saifuddin Ahammad
Director of Finance & Accounts
Mahjabin Afrose Archi
Director of HRM

 Board of Directors Profile

Director of Marketing and Sales, Uttam Kumar Nandi is a MBA graduate from
East West University. He has got excellent rationing ability and immense
knowledge about market forces and selling techniques. He deals with the
company’s marketing and sales activities.

Director of Operations & Logistics, Md. Sabbir Ul Alam is a MBA graduate from
East West University. He takes care about the overall operation of the business.
The main reason that he had been appointed in this post can be acquire from his
best quality “creativity and innovation”

Director of R&D, Md. Aminul Quayyum is a MBA graduate from East West
University. He has got a great sense of timing and location and he is also very
efficient in doing channel management. That is why managing personnel thus
R&D, and distribution is under his territory.

Director of Finance and Accounts Md. Dewan Saifuddin Ahammad is a MBA

graduate from East West University. He has done major in Finance and minor in
Accounting. He is very efficient in managing the financial matters and cash flows.
In addition, he has deep knowledge about the money market and capital market.
Thus he has been designated to controls the financial activities of the business.

Director of HRM Mahjabin Afrose Archi she is MBA graduate from East West
University. She has got colossal experience in extracurricular activities and
management. She always takes care of the design and the quality of the
product.
Business Plan of Wood Land
 Business Plan of Wood Land

Products and
Services

Wood Land is going to introduce a warehouse based furniture company in the

Bangladeshi market. Normally Bangladeshi market is filled with manufacturer
and retailers. Many furniture companies manufactured and sell their product and
some are retailers who only sell the product but not manufactured it. Wood Land
will not manufacture any product rather then they will manufacture their product
by some suppliers and sell them to the retailers with their own brand name.

Current Targeted Products

Primary products will be

 Bed
 Bed Side Table
 Center Table
 Chair
 Dining Table
 Dining Chair
 Sofa Set
 Showcase
 Divan
 Dressing Table
 Ware Drove
 Mini Cabinet
 Door
 TV Cabinet
 Almirah
 Dinner Wagon
 Open Shelf
 Business Plan of Wood Land

With the increase of the volume of our business, we will also increase the
product category of Wood Land.

SWOT
Analysis
 Strength

 Achieves a competitive advantage since there is no such warehouse or

distributor in the market that incorporates such extraordinary features
 Strong presence in local market and has interest or future plan to
export
 Wood Land has a very strong management team and a skilled and
efficient worker team
 Geographically situated at ideal location (near both suppliers and
retailers)
 Wood Land has a level of productivity that is unique in the country
 Availability of cheaper supporting strafe
 Cash sell to the local customer
 Extraordinary and attractive design of furniture
 All type of earning people can afford our product

 Weakness

 Retailers unwillingness for cash payment

 Low earning income people cannot afford to buy our product.
 Employee switching to the other company
 Limited access to information (availability of finance, technological
know, how & Govt. regulations)
 Opportunities

 New and innovative design for the target market will gradually expand
to the full market coverage
 Increasing fashion and style awareness of customers
 Research and development and cost utilization
 Large local and international target market
 Enthusiastic human resource
 Business Plan of Wood Land

 Threats

 Political and economic instability

 Change of huge foreign exchange rate
 Other firms can easily imitate our strategy

Competitors
Position

Competitors and type of competition

We are assuming, in our country this type of idea is new and unique. There is
some companies in the market such as Hatil, Otobi, Brothers Furniture who
are manufacturing furniture and selling those. But our strategy is quite different
from them because we are not manufacturing furniture, we only collect them
from our dedicated suppliers and sell them to our selected retailers. We are
assuming there is such no other competitor in the market. Those can be
classified as secondary competition.

Competitors' strengths and weaknesses

 Business Plan of Wood Land

Strength Weakness

The strengths that our The weaknesses that our competitor has
competitor has are- are-

 Our competitors are serving  Our competitors are not focusing in

the mass market. So there is the idea that we are planning to serve.
little chance for being in Thus they have the chance of losing
loss. market share.

 They are in this business for  This company is facing problem to

a long time. So they have the maintain a balance between suppliers and
required experience retailers
regarding this field.
 They don’t have any detail concept
 Enough scope for about this new form of warehouse based
investment. system.

 They have a well established  They are not interested to penetrate

reputation in the market. the global market

Competitive advantage:

Our main competitive advantage is we are investing in such a place where no

other business has invested. Our unique idea to establish a warehouse based
Furniture Company is a new concept in Bangladesh. As we are trying to sell our
 Business Plan of Wood Land

product at cash to the retailers, so there is always chance of getting high returns
on investment in the sector and the chance of losing money as bed debt is less.

After the initial investment we will be able to earn a very good portion of the
market share and we will be able to invest in different market segment.
 Business Plan of Wood Land

Management
Team

Wood Land will have an efficient and effective management team. The project is
estimated to require a total of 23 employees.

Sales & Marketing, Finance & Accounts, Human Resources and Procurement
manager has to at least 5 years experience in their work and skilled enough.
They have aced many crisis situations in their past working life and handle them
successfully.

As mentioned before, we wish to provide splendid service to our customers. But

it will not be implemented properly if the required personnel are not available.
Therefore, in order to operate our business efficiently in every step, we have to
hire some qualified employee.

A Receptionist will be hired to assist and update the customers about the
facilities and procedure of ordering the products. He or she will be appointed as
per the minimum qualification held by the Management.

Roles and Responsibility of Managers of the

Organizations
Managing Director:
 Business Plan of Wood Land

The managing director is the coordinator will coordinate all the department of
management of Wood Land. All the employees will work under his/ her control
and he/ she is the final decision maker.

Deputy Managing Director:

The deputy managing director will help managing director to coordinate the
entire management department. He/she will as a helping hand of managing
director.

Accounts and Finance Manager:

The accounts and finance manager of Wood Land will look after to major section
of the organization. For accounts section he/ she will established and accounting
system within the organization and maintain that. Predation of financial
statement, maintaining journal and ledger daily basis, will be his/her routine
function. Under the finance department he will keep a close eye on the cash flow
and advise the deputy managing director and managing director for principal
capital and investment.

Sales and Marketing Manager:

He/she is the leader of the marketing executive of Wood Land. All the marketing
such as coactions submit, order collection, accounts receivable collection,
advertising and promotional activities etc. He/she will also control and moderate
the international marketing.
Operations & Logistics Manager:
Operations & Logistics manager will be responsible for all production related
activities within the organization such as supplier selection, production
monitoring, inventory control, facility selection and design, in house
transportation management.

Human Resources Management and R&D Manager:

Human Resources Management and R&D manager will be responsible for all
research and development related activities within the organization such as new
design preparation, machine utilization, cost minimization and also responsible
for selecting new and dynamic human resources and their control and monitor.

The detail human resource schedule is shown below:

Designation No. of Person (s)

Managing Director 1
Deputy Managing Director 1
Finance & Accounts Manager 1
Sales & Marketing Manager 1
Operations & Logistics Manager 1
HRM and R&D Manager 1
 Business Plan of Wood Land

Sales and Marketing Executive 3

Procurement Executive 2
Commercial/Logistic officer 2
Accountant 2
Computer Operator 1
Support Staffs 7
Total Office Personnel 23

Policies and procedures of HR:

 Wood Land will follow the government & labor rule as treat our employee.
 Other than that in occasion everyone will receive bonus.
 For vacation and time hour we will follow labor act. 1965.
 Every employee will get equal employee opportunity.
 If any employee does any mal pracitce he/ she will be sacked from the job
or will be fined based on the management discretion.
 Business will panalize employees for breaking any code of conduct
 Employees will be recruited on management discretion.
 Every employee will get break for half an hour after every 5 hours.
 At least 30% of our employee will be women even handicaps people will
get the job if he posses the ability to do the job.
 Their annual weekend day will be in Friday.
 We will pay all the salaries within first 10 days of month

But the part-time and contractual employee will be treated differently.

Compensation Packages
Human Resources of Wood Land
(Monthly Salary Schedule)

Salary
Total
Category No. (s) per
Annual Cost
month
Managing Director 1 50,000 600,000
Deputy Managing Director 1 40,000 480,000
Sales & Marketing Manager 1 30,000 360,000
Finance & Accounts
1 30,000 360,000
Manager
Operations & Logistics
1 30,000 360,000
Manager
HRM and R&D Manager 1 28,000 336,000
 Business Plan of Wood Land

Sales & Marketing

3 20,000 240,000
Executive
Operations & Logistics
2 20,000 240,000
Executive
Commercial/Logistic officer 2 15,000 180,000
Accountant 2 8,000 96,000
Driver 2 5,000 60,000
Computer Operator 1 4,500 54,000
Guard 2 3,500 42,000
Peon 2 3,000 36,000
Sweeper 1 2,000 24,000
Total Head office personnel 23 289, 000 3,468,000

Efficient Management Policy for Wood Land

As a starter distributer firm, Wood Land has to be highly efficient and must
ensure smooth development. As economy in Bangladesh has become highly
competitive, mixed with political instability and inflationary uncertainties, very
carefully with innovative strategies the business has to be carried on. There
quite a few major areas where Wood Land must concentrate while starting the
operation of the company.
Productivity:
Employees and management must ensure the maximum productivity in
production and management activities. To ensure productivity, employees must
be given a fair work environment, fair compensation package and training. Hand
on training for factory employees and workshop in management skills for head
office employees may boost the productivity of employees.
Efficiency
In this competitive business environment and high rising inflationary economy,
this is quite difficult to profit at the desired level and sustain profitably. To
sustain profitably, Wood Land must ensure cost efficiency in importing and
purchasing local inputs. Along with that, management expenses must have to be
kept at the minimum level.
Management by Objective (MBO)
MBO is a process where management finishes every task setting a prior
objective. Ever task must be planned with appropriate timing and a set objective.
 Business Plan of Wood Land

Every employee should be given any task with a time limit and a target. The
higher management of Wood Land should ensure that every employee is finishes
the task within given time frame and thus achieving the set goal. With this
process, management may break up long term tasks in to small goal or objective
oriented tasks with time limitation. Achieving objectives one after another would
make the way to the long term goal. This policy has been excellent in managing
large and medium enterprises that Wood Land can apply. MBO is highly
applicable for starter companies where every task is finished within time and
with higher degree of accuracy.
Employee Performance Appraisal
Every employee must be supervised by respective senior subordinates and
performance report should be prepared taking into account every task finished
by the employees.
Transparency and Accountability
The high management must maintain true degree of transparency and
accountability in their operations and disclose as much information as they can
to the stakeholders.
Corporate Governance
The operation of Wood Land should take into account the views,
recommendations of all parties related to the business. The goal setting and
decision making by the Wood Land management must be fairly complied with
the interest of every stakeholder group – supplier, customers, employees,
regulators, debtors and social groups.
Smooth Decision Making
Decision making in the company must be smooth. Delay in decision making may
cost the company. If necessary, in decision making employee participation
should be ensured by Wood Land.

Action Plan
Action plan is the total plan of activities which is needed to carry out the
operation of the “Wood Land ". The following footsteps will be taken:

For Initiating the Business:

Partnership agreement: The five partners of our business Uttam Kumar Nandi,
Md. Aminul Quayyum and Md. Dewan Saifuddin Ahammad, Md. Sabbir Ul Alam
and Mahjabin Afrose Archi are the five founders of the “Wood Land "thus will
make the partnership agreement among themselves.

Gathering capital from members:They will provide capital of Tk 2,000,000

each in starting the business.
 Business Plan of Wood Land

Taking lease of the warehouse & office: We will make leasing agreement
with a Lessor for the warehouse and office building after coming to a price
negotiation.

Hiring employees: Employees will be hired for different positions in different

department will be hired as business expands.

Office supplies: For the office supplies an eligible supplier will be chosen based
on his quality of service and terms of supplies.

Supplier Selection: The supplier of the furniture will be selected who will
provide furniture according to our design and requirment. After coming to a price
negotiation aggrement will be signed with the selected suppliers.

Giving advertisement: The design and campaign will be based on the

“Affordable” method so that we can save as many capital for the contingent plan
as possible.

Selection of retailers: The retailers of the furniture will be selected who will
buy our products. After coming to a price negotiation aggrement will be signed
with the selected retailers.

For Achieving Business Objectives

 Identifying which designs are more acceptable by the potential customers.

 Giving training to employees to achieve the desired efficiency
 Making strong promotional campaign to increase familiarity of our service
and the number of customers.
Capital
 Strong monitoring of the Debtor is must to avoid any deficiency.

Requirement Plan
The capital needed to continue the business and the start up cost is given below.

Particulars BDT
Warehouse & Office Lease (1 year) 1,200,000
Warehouse Decoration 150,000
Office Decoration 250,000
Showroom Lease (1 year) 500,000
Showroom Decoration 150,000
Employees Salary (1 month) 289, 000
Furniture & Fixtures 200,000
Vehicle Rent (1 year) 150,000
 Business Plan of Wood Land

IPS 100,000
Prepaid Insurance 500,000
Electricity, Gas & Telephone 30,000
Advertisment 100,000
Others 640,000
Sub-total: 4,259,000

So the start up cost of our business will be BDT 4,259,000

Financial Aspect
of Project

The financial plan for our business contains of income statement, balance sheet,
cash account, ratios which are described with some assumptions as follows-

Important Assumptions
Some of the more important underlying assumptions are:
 We assume a strong economy, without major recession.
 We assume the creation of “Wood Land " will not dramatically change the
current policies of the finance ministry.
 Interest rates, tax rates, and personnel burdens are based on conservative
or Pessimist assumption.
 Business Plan of Wood Land

Sources of Financing
The project is estimated to be with initial investment of BDT 150 million. The
total amount will be finance through bank loan. Standard Charted Bank will
finance the money.
As for the Office it will be taken on lease from the lesser at Total Lease payment
of TK 1,200,000 including interest. As well as in order to maintain security of
the business, a pre-paid Insurance of TK 500,000 will be acquired.

Government Support
Since our firm would be facilitating GDP of Bangladesh from the currently
unproductive sector, social welfare concerns of the firm are automatically
achieved. National Board of Revenue (NBR) will provide us with a tax holiday so
that we will not have to bother about income tax expense for the first five years.

Means of Finance
Particulars Percentage BDT

Equity :
40% 6,000,000
Promoters Equity

Loans:
60% 9,000,000
Bank Loan

Total 100% 15,000,000

Debt Equity Ratio

Debt and Owner’s equity ratio is 40: 60

Pro-forma Income Statement

Growth of Wood Land will be supported by cash flow and bank loan. This will
keep initial growth slow and manageable and will allow the management to have
complete control over the firm. The pro-forma income statement of upcoming
three years of Wood Land is given below:

Income Statement of Wood Land

Particulars First Year Second Year Three Year
 Business Plan of Wood Land

(BDT) (BDT) (BDT)

Sales 17,000,000 20,600,000 27,600,000
Direct cost of sales 9,350,000 11,330,000 14,630,000
Other costs 240,000 312,000 432,000
Total cost of sales 9,590,000 11,642,000 15,062,000
Gross Profit 7,410,000 8,958,000 12,538,000

Expenses
Sales & Marketing 132,000 171,600 237,600
Property & Utilities 240,000 312,000 432,000
Insurance 100,000 100,000 100,000
Rent 1,850,000 1,850,000 1,850,000
Depreciation 15,000 15,000 15,000
Others 200,000 200,000 200,000
Total Operating 2,537,000 2,648,600 2,834,600
Expenses
Profit before Interest 4,873,000 6,309,400 9,703,400
& Tax
Interest Expenses 900,000 900,000 900,000
Tax Incurred 993,250 1,352,350 2,200,850
Net Profit 2,979,750 4,057,050 6,602,550

Figure: Net Income vs. Year graph

The above graph shows the constant growth rate the business is able to achieve
for the initial three years. Although the net income is increasing at a slow rate, it
will take a big leap when the business grows for expansion and increases the
number of loans it is currently financing.
 Business Plan of Wood Land

Pro-forma Balance Sheet

The pro-forma balance sheet of upcoming three years of Wood Land is given
below:

Balance Sheet of Furniture Bangladesh

First Year Second Year Three Year
Particulars
(BDT) (BDT) (BDT)
Assets:
Fixed Assets 300,000 285,000 270,000
Current Assets:
Cash 14,400,000 16,920,000 21,820,000
Accounts Receivable 5,100,000 6,180,000 8,280,000
Inventory 2,500,000 2,500,000 2,500,000
Other Current Assets 1,000,000 1,000,000 1,000,000
Long Term Assets:
Accumulated
15,000 15,000 15,000
Depreciation
Net Profit 2,979,750 8,958,000 12,538,000
Total Assets 26,294,750 35,858,000 46,423,000
Liabilities & Owners
Equity
Accounts Payable 9,344,750 18,908,000 29,473,000
Insurance 100,000 100,000 100,000
Lease Payment 1,850,000 1,850,000 1,850,000
 Business Plan of Wood Land

Subtotal current
11,294,750 20,858,000 31,423,000
liabilities
Long Term Liabilities 9,000,000 9,000,000 9,000,000
Owners Equity 6,000,000 6,000,000 6,000,000
Total Liabilities and
26,294,750 35,858,000 46,423,000
Owner Equity

Ratio Analysis
Ratio analysis is a numerical attempt to analyze the performance and financial
position of a business. By converting absolute numbers into ratios, we can
compare between one firm and another, or between several periods of one
company. Indeed, ratio analysis, which is the interpretation of ratios, cannot be
meaningfully achieved without some form of comparison. Ratio analysis
expresses the relationship among selected items of financial statement of data.

A ratio expresses the mathematical relationship between one quantity and

another. The relationship is expressed in terms of a percentage, a rate or a
simple proportion. For analysis of the primary financial statements, ratio can be
used to evaluate liquidity, profitability and solvency.

Ratio Analysis enables the business owner/manager to spot trends in a business

and to compare its performance and condition with the average performance of
similar businesses in the same industry.

In order to do this, a firm can compare its ratios with those of businesses similar
to the company as well as compare its own ratios for several successive years,
watching especially for any unfavorable trends that may be alarming. Ratio
analysis may provide the all-important early warning indications that allow the
firm to solve its business problems before there is any sort of destruction. Ratio
can provide clues to underlying conditions that may not be apparent from
individual financial statement component.
 Business Plan of Wood Land

Liquidity Ratios
It measures whether or not the small business will be able to meet its maturing
obligations as they come due.

Current Ratio - Measures solvency by showing the firm's ability to pay current
liabilities out of current assets.

Current Ratio = Current asset/ Current

Liability

= 23,000,000/11,294,750

= 2.036

Interpretation: We should have no problem meeting our short-term debts as

they come due.

Operating Ratio - Evaluate the firm’s overall performance and show how
effectively it is putting its resources to work.

Net Sales to Total Assets Ratio - Measures the firm’s ability to generate sales
given its asset base.

Net Sales to Total Assets Ratio = Net sales / Total

Asset
= 17,000,000/ 26,294,750
= 0.644

Interpretation: We think the ratio is quite good as it is generating nearly 64.4%

return from assets. However, since the Building is acquired on lease, it requires
generating greater sales if we really want to be profitable.

Profitability Ratios

Measure how efficiently the firm is operating; offer information about the firm’s
“bottom line.”

Net Profit on Sales Ratio - Measures the firm’s profit per dollar of sales
revenue.

Net Profit on Sales Ratio = Net Income/ Sales revenue

= 2979750/7410000
 Business Plan of Wood Land

= 0.402

Interpretation: This means more than Tk 0.402 of profit can be earned from
each taka’s revenue which is a pretty promising return from a new venture.

Profit Margin- Profit margin is an indicator of a company's pricing policies and

its ability to control costs.
Profit margin = Net Income / Sales
= 2979750/170,000,000
= 17.52 %

Net Profit to Equity Ratio - It measures the owner’s rate of return on the
investment in the business.

Net Profit to Equity Ratio = Net Income/ Owners equity

= 2979750 / 6000000
= .4959

Interpretation: the ratio is quite acceptable as it is giving a return of around

49.59 % which is more than acceptable given the economic condition in BD and
the situation of security Industries.

Break-Even Analysis
Wood Land will be reached in break even after three and half years the operation
started.

Total Investment: BDT 15,000,000

Year Net Income (BDT)

Year 1 2,979,750
Year 2 4,057,050
Year 3 6,602,550
Total 3 years profit 13,639,350
 Business Plan of Wood Land

Average net income per year = BDT 4,546,450

Break Even Time = BDT 15,000,000 / BDT 4,546,450

= 3.3 years

That means after three years and three months Furniture Bangladesh will reach
in Break Even.

Operating Plan
The purpose of the Operations Plan is to describe where our business will be
located (along with any physical necessities) and how we will provide services to
our clients. Hence the Operating Plan will describe how the service will be
provided to our valued customers and how this plan will enable “Wood
Land“to position itself to play a significant role in the medium business
industry of Bangladesh. The Operating plan pays particular attention to how the
service will be provided, including descriptions of the firm’s facilities and
processing requirements needed for operating. In addition “Wood Land "
has a number of specific strategic objectives all of which are addressed by this
plan. These are to: Provide products to large businesses take advantage of this
 Business Plan of Wood Land

innovative idea and will be expecting a profitable rate of return. “Wood

Land " is very much interested in investing in smaller scale businesses.

Here we can divide our business operation into two parts. They are-

• Stage of Development
• Production Process section

• Stage of Development:
In this section we are going to describe that on what basis, how and to whom we
are going to provide our services. At first we will select the supplier who will
provide us product according to our design at an economic price and the
retailers who are interested to buy our products. We will try to sell our product to
the retailers and we will collect the orders from them. Simultaneously we will
give order to the supplier to manufacture our designed product. There will be an
agreement between the suppliers and us that they will not sell our designed
product anywhere. After completing our

• Production Process Section:

Here we are going to describe the physical aspect of our business operations.
Such as our firm’s location, it’s current and future capacity, requirements of
equipment and technological, in our day to day operation and any environmental
or other regulations that apply. These are described below:

Company Locations

 Location planning
Better approach for location planning is to consider how location impacts
development of long-term capabilities. Most of the furniture suppliers are located
 Business Plan of Wood Land

outside from Dhaka and most of the retailers are situated inside of the Dhaka. So
warehouse and office are placed in Savar and the showroom are placed in
Kazipara, Mirpur, Dhaka.

Advantages:

 Minimum transportation costs

 Proper supply of labor

 Better communication with suppliers and retailers
 Provide acceptable service
 Community’s positive attitude

 Address
Warehouse and Office address: 131, Amin Bazar, Savar.

Showroom address: Rahman Mansion, House no.: 3/11 (Ground Floor), Block-G,
Kazipara, Mirpur, Dhaka.

 Size and Capacity

The size of warehouse and office space is around 3200 sq. ft. and the space will
include a well furnished working place for our employees, good ventilation
system and other facilities. We have also planned to expand our warehouse and
office space in near future.

The size of showroom space is around 3200 sq. ft. and the space will be highly
decorated and well furnished.

 Advantages Or Disadvantages

As we are conveniently located close to our supplier and retailers, we can

maintain the transportation and communication more efficiently. However, in
this place we have many competitors. Also with the change in market focus to
consumers, the building lacks display/working space.

 Lease or Ownership Details

Our business is to provide lucrative and unique designed furniture, where we

need to invest a huge amount of capital. But as we are venturing our business as
a new entrepreneurship, we have a budget limitation which is a major concern
for us. It leads us to take lease the warehouse and office space to operate our
business rather than acquiring the warehouse and office space place.
 Business Plan of Wood Land

We are taking lease from the owner of an attractive market in Amin Bazar, Savar
with an agreement of 1 year and the cost for the lease will be BDT 1,200,000.
For the same reason, we are also taking lease the showroom to operate our
business at Kazipara, Mirpur, Dhaka with an agreement of 1 year and the cost for
the lease will be BDT 500,000.

Through the leasing of our office space, we will provide services to our potential
customers. Taking lease will not only help to overcome our budget limitation, but
also help us in different aspects which are as follows-

 We can negotiate for a short-term lease and increase the timeline and
even offer a bargain purchase option at the end of the lease term to
acquire the place in a less amount.
 We can spread the lease over longer periods than a rent, thus reducing
the monthly payments.

In taking lease, we might have to accept some disadvantages and inconvenience

which are-

 We have to give a yearly payment for leasing the Building but the ultimate
cost of the Building to construct the office will be higher than if we could
purchase it.

But as a new entrepreneur we have to accept many challenges and difficulties to

set-up our business. Best possible term for us would be negotiating with them for
the terms and conditions that would be best suitable for us.

 Time of Operation
Our firm will provide service from 9.00 am - 5.00 pm on weekdays to our
valuable client.

 Facilities
To regulate the business operation properly we have the followings facilities
which needed to be maintained carefully. They are:
 Business Plan of Wood Land

 Supplies:

In operating this business, we will need the supplies of different things:

 Utilities: We will contract with some suppliers who will provide us the
seal of business, necessary paper, pen, and stapler etc. which will be
needed for operating our business.
 Food facility: We will provide food facility like snacks and refreshments
to our customers. In this regard, we will negotiate with some food
suppliers, who will consecutively supply the foods as per our
requirements.

 Equipment and Office supplies: Equipments like Computers, Fax

machines, Printers and so on will be facilitating in the office. As well as
other supplies like Office furniture’s, two lines of telephone will be used for
each office room. Telephone - one line currently serves the location. A
second line for data use should be added soon. Utilities are already
provided, included in the space rent of the building.

 Loan facilities:
Initially we need loan of 9 million BDT. We will take loan from the Standard
Charted Bank since the Small and Medium Enterprise Officer of that Bank “Mr.
Harun-ur-Rashid” has conveyed his willingness to crack us a flexible deal.

 Insurance facilities:
Insurance will be acquired in order to maintain the leased Assets as well as to
tackle the remedies in any emergency. We have acquired insurance for our
company from “Federal Insurance Co. Ltd” and from “Bangladesh National
Insurance Co. Ltd”. This insurance falls under general insurance category.

Bangladesh Co-operative General Bangladesh National Insurance Co.

Insurance Ltd. Ltd.
Biman Bhaban (2nd Floor) Raj Bhaban (8th floor)
100, Motijheel C/A, Dhaka-1000, 29, Dilkusha C/A, Dhaka 1000
Tel: 7171942 Tel: 9666361-8
 Business Plan of Wood Land

Marketing
Strategy \

Our company is a warehouse based furniture company. So it is very natural that

we will follow different marketing strategy by considering our target market. The
company initially will promote the product at local market and after 1-2 years the
maximum turnover of the company will come from local market. After creating a
good and sustainable market within the country Wood Land will go for exporting
their product in abroad.

So the marketing strategy of Wood Land can be divided into two categories:

 Local Marketing Strategy

 Global Marketing Strategy

Local Marketing Strategy

The company has to focus on the marketing mix. Marketing mix means the 4P’s
of marketing. Our company is going to follow the marketing strategy considering
these mixes-

Branding
A brand is a name, term, sign symbol or design or combination of them,
identified to identify the goods or services of one seller or group of sellers and to
differentiate them from those of competitors.

 An Overview of Branding Decision

 Business Plan of Wood Land

1. Brand
Branding Decision 2. No Brand

1. Manufacturer Band
Brand Sponsor 2. Distributor Brand
Decision 3. Licensed Brand

1. Individual Names
Brand Name 2. Blanket Family Names
Decision 3. Separate Family Names
4. Company Individual
Names

1. Line Extensions
Brand Strategy 2. Brand Extensions
Decision 3. Multibrand
4. Cobrands
5. Newbrands

1. Repositioning
Brand Repositioning 2. No Repositioning

The branding decision for our Wood Land will be:

Branding Decision: Brand

Brand Sponsor Decision: Distributor Brand

Brand Name Decision: Individual Names

Brand Strategy Decision: New Brands

Brand Repositioning: No Repositioning

 Deciding on Promotion Mix: There are four factors which should be
considered to decide the promotion mix: Type of product/ Market, Push
and pull strategy, Buyer Readiness stage, Product life cycle.

1. Type of product- our products are consumer products and require mass
advertising and personal selling to encourage buyers to buy our products.

2. Push and pull strategy- there are two types of promotion mix
strategies- push promotion and pull promotion.
 Business Plan of Wood Land

As a marketer of Wood Land initially we will follow mostly Push strategy and
little bit Pull Strategy that is we will move to the retailers with our catalogue
and services and also spend a lot on promotional activities to build up consumer
demand. If the strategy is successful, consumers will ask for our products to our
retailer then retailer will ask us for the products.

Demand Demand

Wood
Land Consumer
Retailers
s
Marketing activities (advertising, personal
selling)

3. Buyer Readiness stage- in the buyer readiness stage our products are
in the awareness stage because our products are totally new and need
to be awarded.

4. Product life cycle- in the product life cycle our product lies in the
introduction stage since our products are launched for the first time in
Bangladesh.

Product Life Cycle:

Sales
Sal
and
es
Profits
Profi
ts

Product
Time
Introduction Growth Maturity
Developme Decline
nt
Losses/
Investments

 Since our products are new for Bangladeshi market so we can say the
product is in the “introduction stage”. As we are the first to introduce
such products in the market, there is a possibility of low sales, negative
or low profit and high per unit cost in this stage. And also the
promotional and other expenditure is at the highest ratio to sales
because of the need to-Inform the potential customers, Introduce
product trial, secure distribution in retail outlets.
 Business Plan of Wood Land

 Marketing objective: Since, we are in the very first stage of the life
cycle so our marketing objective is to create product awareness
through promotional activities.

 Product: Despite all of the products are available in the current

market, we have the Pioneer Advantage in this warehouse based
business. To be the first in this market can be highly rewarding if we
can create positive influence to the customer mind toward our
product. And we also are planning to introduce more future product
for the market coverage strategy.

 Price: Despite all of the distribution & promotion cost, the price of
our product have to be economic. We will set up our products price
by using cost plus formula to cover up the expenditure.

 Distribution: We have preferred selective distribution which refers

to few and choosy outlets. We will hire a corner of Agora as our
retailer. Since we are in the introduction stage so the distribution
cost will be high. But after a successful one-year operation we
planned to open and increase our own distribution outlets in order
to grab more market share.

 Promotion: As our products are new for Bangladeshi market so we

have to create and build product awareness among early adopters.
For creating the product awareness we will use both print and web
site for advertisement.

Bases for segmentation:

We have segmented the market for our products by the component of market
segmentation, which are-

 Geographic segmentation: Under geographic segmentation we have

segmented the market for our products according to city basis. Initially we
have only focused on the market of Dhaka city (Panthapath, Gulshan,
 Business Plan of Wood Land

Dhanmondi, Mogbazar, Mirpur), but after the successful first year of

operation, we planned to expand our market into the port city Chittagong.
 Demographic segmentation: Under demographic segmentation, we
have segmented the market according to income & occupation.

Income: we have segmented our products for those who have reasonably
high income and moderate income.

 Psychographic segmentation: Under psychographic segmentation we

have segmented our product according to the social class & life style of
the target group.

Social class: it refers to the class division of the society and we have
segmented on the basis of those people who belonged to the upper and
upper middle class whose income is reasonably high.

 Behavioral segmentation: Under the behavioral segmentation, the

segmented component is benefit. Our product has different features.
They are of different quality and service pattern.

Benefits: Such segmentation refers to the benefits of the products that a

person looks in it. Wood Land is such a brand, which gives the person the
room to be proud of their purchase. The benefits that are provided by our
products are safety, user friendly, exclusive features, durability, comfort &
pleasure.

Government Intervention on Pricing

Government intervention is mainly for the industrial product. It is not very much
high for consumer products and that are friendly to the environment. Until or
unless the products are harmful to the society and the environment the
government does not intervene.

Advertising & Promotion

The most important thing for any business and for a new company this issue is a
matter of headache. As it is a new company, so it is very important to select the
best promotional tools for the company. As our product concept is simply new to
the customer, so the company has to choose more specific and maximum
understandable promotional activities for our product. Our company has already
decided some promotional activities-

 Company will give advertisement on newspaper thus the customer could

easily identify about our product feature. Another reason for giving
 Business Plan of Wood Land

advertisement on newspaper is, most of the people in our country read

newspaper.
 Company will publish leaflet describing the product feature and it will be
distributed in the targeted area.
 Company will publish a catalogue which will contain all our attractive and
lucrative design. These catalogues will go to the retailers, private offices
and large customers.
 Company will design a Web Site that will contain all our design, contact
address, related information.

Promotional Cost (Approximately)

Expenses Details Amount (Taka)

Advertisement on newspaper 75,000
Publishing Leaflet 5,000
Catalogue 10,000
Web Site Design 10,000
Total 100,000

Global Marketing Strategy

Wood Land is going to target the consumer as well as business and
Government market. Moreover Wood Land will come up with all new design
which will definitely be quite attractive to the stylish foreign people.

Cultural and language barriers, political issues and variations in religious beliefs,
societal norms, and business negotiation styles impact how business should be
conducted with international counterparts. Two steps can prepare an
organization for an overseas effort. First, an international marketing plan must
be developed, and second, the organization must determine how it will enter the
new market.
 Business Plan of Wood Land

As Wood Land will target also the business market, in that case it will develop
customer leads with attractive sales proposal, good quality products, low price,
due time delivery and most important good relationship with parties.

Wood Land will follow the Geocentric strategy that means Global marketing
strategy for doing business in abroad. Here they will focus on global strategy
because they see whole world as a one market

Promotion Strategies

Promotion is one of the most imperative functions of getting the product more
profitable in the business market. It is the mix of different elements through
which organization achieve promotional objectives. In terms of global promotion
strategies, Wood Land first analyzes-like identify target customer according to
their product then conduct a brief analysis how they reach their target customer.

By analyzing the environment of target market we will chose following methods

for marketing our product. These are -----

 Sales promotion
 E- marketing/telemarketing
 Public relation

Sales promotion

Sales promotion is a short-term incentive to encourage the purchase or sale of a

product. The sales promotion of Wood Land is very common among it region of
operation. This promotion is normally given on the amount of sales and
seasonally.

E-marketing/telemarketing

E-marketing or electronic marketing refers to the application of marketing

principles and techniques via electronic media and more specifically the
Internet. It includes both direct response marketing and indirect marketing
elements and uses a range of technologies to help connect businesses to
their customers. Wood Land has its own web page through which customer
can order with the catalogs including the suggestions of different types of
design combination. Moreover it also provides advice for different types of
interior design.

Public Relation

A Public relation is all about building a good relationship with the customer by
obtaining favorable publicity and building a corporate image. Public relations
 Business Plan of Wood Land

activities include helping the public to understand the company and what it
offers to customer. It will help us to manage our outside communication of our
organization to create and maintain a positive image.

Often, public relations are conducted through printing media that is newspapers
and magazines. For example- Wood Land can give brief description about the
trend of modern design in different news media and publish articles.

Managing Global Advertising

Wood Land must do more than good quality products-they must inform the
customers about their product benefits and carefully positioned in foreign
customer minds. So, relative to other products/industries, advertising is very
important to our product. In advertising we can place our product where people
can easily watch what is our product, how its works, its usage, its advantage and
benefit. By advertising we can easily differentiate our product from our
competitors.

Here, in our selected country/region advertising is must needed, because the

market is very much fashioned oriented. So, here to stay alive in the market we
will apply different sort of advertising which will include some traditional
advertising methods and some modern advertising methods. There are different
types of media are available in our selected country, but among all of them the
best and most effective media are as follows:-

 Electronic media
 Print media
 Bill board
 Business Plan of Wood Land

Research &
Development

Research and development (R & D) is very crucial to start up any new business.
There are many furniture companies in the market with their own brand name,
entity and design. This is necessary due to continuous change in the market as
well as the changing preference of customer’s needs and wants. If we want to
create a place in the market, then we have to innovative in idea, planning and
strategy. Otherwise we will not be able to defeat them. So a strong research and
development team are needed to find out are competitive strategy to sustain in
the market.
 Business Plan of Wood Land

For this purpose, we have given a proposal for conducting research and the hired
some potential researcher. At first they have been clarified our subject of
business and based on that they start conducting their research.

They surveyed a portion of all type of people around Dhaka, Chittagong city
including office-goers, students, housewives and other professional. They made
different types of questions by clarifying and reflecting the taste, style, design of
different customers. Based on that data, they have gone through many
processes of research, followed many research techniques and analyzed those
data very thoroughly to interpret the result precisely. At last they came to the
result and based on that result we will take decision to operate our business.

They have also analyzed the market carefully to acquire the knowledge of
market demand regarding this business. They will also try to find out the
innovative, lucrative, unique design of furniture which will attract the customers
and increase the demand of our products. They analyzed the industry of financial
institutions to get a clear idea about the industry. At the same time, they
analyzed the market to forecast the future prospect of this business.

Government regulation on any business is very consequential, because every

business has to follow the rules and regulations and to maintain certain criteria
to set up a business. Our R&D team has found the feasibility of our business
according to government criteria. The impact of economy for the growth of the
company has also been analyzed. The team also research for existing and
potential competitors and mentioned some strategies to bid against those
competitors.

All these crucial analysis was done by the R&D team to assure for the successful
implementation of our project.

Research and development team will give us the guideline for financial plan and
marketing plan of our business. Our R&D team also assists us to make our
business strategy which could bring success in our business.

Challenges &
Contingency Plan
If we want to operate our business competently, we have to face several
challenges. Therefore, we have decided to find out the challenges which we may
face in running the business and at the same time we have identified the
contingency plan for these approximated challenges:

 Challenge: Why suppliers should supply it through Wood Land?

 Business Plan of Wood Land

Contingency Plan:
Now day’s suppliers are selling their product direct to the retailers and
people are good to have their own brand. But if we can maintain a close
relationship with the suppliers to reduce the per unit cost of product and giving a
higher profit then the existing retailers, then these problems can be resolved.

Now a question arises, who we can reduce per unit cost of suppliers? If we can
create a high demand of our products to the customers then suppliers will get
higher order which will help him to utilize his machines and maintain an
economic of scale. By manufacturing large quantity product suppliers can reduce
his variable cost as well as the total cost. Simultaneously we are providing the
suppliers our design which will help him to reduce the design cost.

 Challenge: Why retailers should buy on cash through Wood Land?

Contingency Plan:
Now day’s manufacturers are supplying products to retailers on credit and
get the money long after the selling. So, retailers will not want buy products from
Wood Land on cash. But if we can innovate lucrative, exclusive and unique
design at an economic price that will generate a good impression on customers,
then the demand of our product will be increased. Due to this high demand of
product the unit price of our product will be less than the direct manufacturers.
As the retailers can earn more profit by selling our product, the retailers will
eager to take our product on cash.

Again we can create a segment on the basis of area. As initially our main focus
will be in Dhaka, so we can sell percentage of our product on credit in Dhaka and
in other area such as Chittagong, Khulna, Rajshahi on cash by showing the
transportation cost. After creating a huge demand of our products in Dhaka and
capturing a large percentage of market share of Dhaka we can stop selling our
products on credit.

 Challenge: Dissatisfaction by Customer occur due to comparison

between our products and others products

Contingency Plan:
Unforeseeable problems will be mitigated through the careful management of
customer expectations. We will do our best to manage customer expectations
and work with them to provide good service. We will take feedback from them,
so that we can continue to improve our service.
 Business Plan of Wood Land

 Challenge: Arrival of Competitors may be a cause of hassle in long

term business.

Contingency Plan:
We will keep frequent contracts with our customers that will ensure the
superiority of our service. Again we will try to maintain a good relationship
between our suppliers and retailers every time, so that new company cannot
create any trouble in our business. We are planning to maintain the rule very
carefully so that we can ensure the best service to our customers. We also have
to be very cautious in choosing the liaison.

Without these challenges we have to face the other challenges such as Inflation,
Import Dependency and Political Instability. Inflation is top red flag for Furniture
Bangladesh. This should be carefully addressed. At the second stage, in case of
import dependency, foreign exchange risk is also quite high. On the other hand,
political instability is also another crucial risk area which must be carefully
addressed.

Confidentiality &
Recognition of Risks
 Business Plan of Wood Land

Confidentiality Clause

This information included in this business plan is strictly confidential and is

supplied on the understanding that it will not be disclosed to third parties without
the written consent of Uttam Kumar Nandi, Md. Aminul Quyyum, Md. Sabbir Ul
Alam, Md. Dewan Saifuddin Ahammed and Mahjabin Afrose Archi.

Recognition of Risk

This business plan represents management's best estimate of the future

potential of our business. It should be recognized that not all major risks can be
predicted or avoided and few business plans are free of errors of omission or
commission. Therefore investors should be aware that this business has inherent
risks that should be evaluated prior to any investment.

Summary &
Recommendations

The project shows very good current ratio and operating ratio. Moreover, we see as the investors are
well experienced, they are able to mitigate the risks associated with the project. Market analysis
 Business Plan of Wood Land

shows that there is still huge market which is untapped and this market is rapidly growing.
Considering the innovative ideas to be used here with comparatively less investment, the project is
viable and should be accepted. But at the same time, Wood Land must keep an eye on brand
marketing to attain success quickly. Moreover there are huge numbers of human resources in our
country. If their potential can be utilized in a constructive manner than the above stated profit
margin is not that hard to achieve.

Appendix
Web sites:

i. www.entrepreneur.com
 Business Plan of Wood Land

ii. www.businessplanarchive.org
iii. www.businessballs.com
iv. www.bpaln.com
v. www.myownbusiness.org
vi. www.affinitycapitalmanagement.com
vii. www.bizplans.co.uk
viii. http://www.zeromillion.com/

Books:

i. Entrepreneurship by Robert D. Hisrich and Michael P. Peters

ii. GO IT ALONE! by Bruce Judson