Bussiness plan "Xhibit Inc"

8/14/2019 Bussiness plan "Xhibit Inc"

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“EXHIBIT Inc.”FUN PARLOUR

BUSINESS PLAN

27th Dec.2008

Brainstorming by:

Manish Kumar [email protected]

(Promoter)

For EXHIBIT inc.



SERVICE ACTIVITIES RELATING

TO ENTERTAINMENT,HOBBIES

&PLEASURE

• We will provide a variety of family oriented

games, and arcade style activities in NCR.• Best features of this alley are Video games,

Bowling Lanes, Pool Tables, Indoor Basket Ball

etc.

• “Xhibit” is the funniest family destination in thecity, which will provide facilities like Play Station,

Video Games, racing machines etc.



OBJECTIVE

• Offers financial institutions & other interestedparties an opportunity to review our vision andstrategic focus.

• Provides a step-by-step plan for the businessstart-up.

• Introduces company, products and services,market focus, action plans and forecasts,management team, and financial plan.



• Executive Summary

• Mission

• Key to success

• Company Profile

• Product & services

• Competitive edge

• Market analysis• Competition

• Strategy & Implementation

• Financial plan

• Projected profit

• Projected cash flows

• Regulatory authorities & certifications

TABLE OF CONTENT



EXECUTIVE SUMMARY

• Provide recreational & entertainment

services.• Less explored market.

• Futuristic capital gains

• Wide range of services

• Cost effectiveness & pocket friendly



MISSION

Company dedicated to offer entertainment &recreational services .

Utilizing latest games, play stations & other recreational methods.

Profit to generate a significant return for our

investors.

We will also maintain a friendly, fair, andcreative environment.



FORM OF OWNERSHIP

‘XHIBIT’ Inc. IS LIMITED LIABILITY

CORPORATION.

Promoter is Vikrant negi.

Close Association with best in industry.



KEY TO SUCCESS

• Secure Supply- Contract for supply of machines,games softwares , tie-up with different schools,

institutes & other hobbies stations .

• Marketing - Contractual arrangements for thepromotion & publicity.

• Management - Strong senior management with

extensive, broad-based, industry-specificexperience.



COMPANY PROFILE

• Company already dealing in services

related to ENTERTAINMENT.

• “FUN-ZONE” has assembled a strong

management team.

• High quality services at reasonable price.



PRODUCTS & SERVICES

• Offers various games (INDOOR)

including video games, playstations .

• Offers hobbies-club membership to

clients.

• Offers recreational & educative activities

like art gallery, personality development

sessions.



MARKETING PLAN

Tie ups with a large number of schools,

institutions & other hobby & art centres.

Market research is conducted by ORG

mark.

A contract with a famous T.V. channel

network organization as Media partner.



MARKETING PLAN

• Advertisement & promotional assignment

given to mc’erricson India ltd.

• Negotiations going on with Hritik Rohsan

to be signed as Brand ambassador.

• ZINGLE & TAGLINE

“PURE FUN –NOTHING ELSE”



MARKETING PLAN

• ADVERTISING MEDIA :

Ads on local cable T.V. channel

(heavily)Ads on national T.V. channel (seasonal

basis)

POSTERS & OTHER PRINT MEDIASTUFF ON STATIONARY

SHOPS,SCHOOLS,PLAYGROUNDS,

CYBER CAFES,COMICS etc.



POTENTIAL CUSTOMERS

MAJOR TARGETS ARE CHILDREN OF

AGE BETWEEN 6-18 YEARS.

CHILDREN FROM URBAN SECTOR

PREFFERABLY 6 METROS.



LOCATION

Location nearby to densely situated

residential areas.

Proper parking space.

Well connected to city downtown as wellas suberbs.



COMPETITION

Competition primarily from the privately ownedsmall scale unorganized entities in the local areas.

Various organised & nationaly functional entities inurbanareas.



FINANCIAL

• EXHIBIT is seeking a fund of 25 crores in

first round financing .The funding will

enable the company to build its

awareness & set up ,to implementaggressive sales & marketing plan.



FINANCIAL PLAN - FUNDINGVIKRANT NEGI

CHHAVI K. SHARMA

JAGDISH C. NEGI

LATTA NEGI

Rs 20,00,000

Rs 20,00,000

Rs 20,00,000

Rs 20,00,000

TOTAL RS.80,00,000

Each of the four co-owners will invest rupees 20 lakhs.

The remainder of the required financing will come from aten year Small Business Administration (Bank) loan in the

amount of rupees 1 crore and a short-term loan in the

amount of rupees 22 lakhs. Total loss at start-up is 2

lakhs.



BREAK EVEN ANALYSIS

Monthly Units Break-even 6,969

Monthly Revenue Break-even Rs 3,89,68,440

Assumptions

Average Per-Unit Revenue Rs 4156.8

Average Per-Unit Variable Cost Rs 1712.4

Estimated Monthly Fixed Cost Rs 1,70,34,840

PRO FORMA FOR PROFIT & LOSS A/C



2008 2009 2010

Sales Rs 37,80,00,000 Rs 45,07,65,000 Rs 53,26,61,600

Direct Costs of Goods Rs 15,72,00,000 Rs 18,56,92,520 Rs 21,93,49,280

Other Rs 0 Rs 0 Rs 0

------------ ------------ ------------

Cost of Goods Sold Rs 15,72,00,000 Rs 18,56,92,520 Rs 21,93,49,280

Gross Margin Rs 22,44,00,000 Rs 26,50,72,520 Rs 31,31,16,880

Gross Margin % 58.81% 58.81% 58.81%

Expenses:

Payroll Rs 17,26,00,000 Rs 18,12,30,680 Rs 19,02,92,880

Sales and Marketing andOther Expenses

Rs 10,80,000 Rs 14,33,200 Rs 28,84,880

Depreciation Rs 48,00,000 Rs 55,20,000 Rs 63,48,000

Utilities Rs 48,000 Rs 50,400 Rs 52,920

Payroll Taxes Rs 2,58,90,000 Rs 2,71,84,600 Rs 2,85,43,920

Other Rs 0 Rs 0 Rs 0

------------ ------------ ------------

Total Operating Expenses Rs 20,44,18,000 Rs 21,54,18,880 Rs 22,81,22,600

Profit Before Interest andTaxes

Rs 1,99,82,000 Rs 4,96,53,640 Rs 8,49,94,320

Interest Expense Rs 10,69,920 Rs 8,98,680 Rs 8,08,680

Taxes Incurred Rs 48,06,280 Rs 1,21,88,760 Rs 2,13,97,200

Net Profit Rs 1,41,05,800 Rs 3,65,66,240 Rs 6,27,88,440

Net Profit/Sales 3.70% 8.11% 11.79%



Pro Forma Cash Flow

2008 2009 2010

Cash Received

Cash from Operations

Cash Sales Rs 38,16,00,000 Rs 45,07,65,000 Rs 53,24,66,160

Cash from Receivables Rs 0 Rs 0 Rs 0

Subtotal Cash fromOperations

Rs 38,16,00,000 Rs 45,07,65,000 Rs 53,24,66,160

Additional Cash Received

Sales Tax, VAT Rs 0 Rs 0 Rs 0

New Current Borrowing Rs 0 Rs 0 Rs 0

New Other Liabilities(interest-free)

Rs 0 Rs 0 Rs 0

New Long-term Liabilities Rs 0 Rs 0 Rs 0

Sales of Other CurrentAssets

Rs 0 Rs 0 Rs 0

Sales of Long-term Assets Rs 0 Rs 0 Rs 0

PROJECTED CASH FLOWS



Market Analysis

• The company estimates that about 80% of revenues will come from the 4 METROS.

• 20% from the towns & SECTORMETROS.and bangaluru, hyderabad,pune & chandigarh.

• The table below further estimates thetotal market potential of type of servicesrendered by “Xhibit inc.”



MARKET ANALYSIS

PROJECTED GROWTH & PROFIT

Potential

Customers Growth 2008 2009 2010 2011 2012

METROS 15% 5,00,000 5,75,000 6,61,25O 7,60,440 8,74,510

URBAN 10% 2,00,000 2,20,000 2,42,000 2,62,200 2,92,820

OTHER 0% 0 0 0 0 0

13.64%7,00,000 7,95,000 9,03,250 1,026,640 1,167,330



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SAMPLE OF APPLICATION FORMAT



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Bussiness plan "Xhibit Inc"

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