Business Plan
Business Plan for Frostini Llc. Created for Interpreneurship project for TEKO College by VIA University by: Anna Kozlovits, Iuliia Malyshenko, Tekla Scheer, Aneta Chabibulina
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Table of contents Background information Summary Personal resources and goals Future prospects for business size Product or service Prices Suppliers Distribution Potential developments Short description of our business Market Competition Posibilities and threats Sale- and marketing plan Management & organisation Business development Budgets
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Background Information Name of the company: Frostini Llc.
Address: 448 Ocean Drive Miami Beach, FL 33139 USA
Name/s of owner/s: Tekla Scheer, Iuliia Malyshenko, Anna Kozlovits, Aneta Chabibulina.
Telephone: (305) 571-7777 Email: info@frostini.com Website http://www.frostini.com
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Summary We are 4 people running the USA based company. We sell our products in our own concept shop with “Ice Cream” theme. The company produces swimwear and beach accessories for women and men.
Net turnover the first year: 770295 $
Needs for funding: for opening our own business we need 550000$, we have 250000$, we will ask to the bank to give us a loan of 300000$ with the interest of 8% on 5 years.
Our customers are young people attracted to the beach area, open for fresh and colourful design and love ice cream. 50 – 110 costumers per day.
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Personal resources and goals Our family network:
Our weak points in relation to the business:
Our working tasks in the business:
Purchasing specialist; CSR specialist; Branders; Designers.
No previous experience in enterpreneurship – we will consult the entrepreneurship consultant at SBA Business Information Centers in Florida;
Iuliia and Tekla are taking care of production and purchasing;
Economy: 250000$
No experience in purchasing – we will consult the purchasing specialist from our family;
Know-how about the product/the services:
The market is researched just on the internet basis – visit the city and consult in SBA Business Information Center before making business;
Fashion Design; Retail Design and Management; Sales Management; Branding and Marketing; Graphic Design; Administrative experience; Driving licenses; Retail build up and close down; Basic knowledge about Value Chain; CSR.
We have no accountant experience – we will outsource the accountant, who will keep our books and provide us with financial statements; We have no legal experience – we outsource the lawyer.
Anna is taking care of retail design, branding and marketing; Aneta is co-ordinator on daily business tasks; All the aspects are discussed in the group ones a week; All four of us are working as shop assistants too - according to the schedule two of us will be available for the costumers.
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Future prospects for business size Geographical expansion: USA, Japan, Italy, Spain, France, Malta etc.
Product expansion: beach bags, hats, tunics, pareos, sunglasses, jewellery, children swimwear.
Marketing through: surf- and beach volleyball sportsmen; Web shop; blogers; social networks.
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Product / services The business has the following products/lines/ service:
Differences in products/lines/services compared to your competitors:
Purchase frequency/product life span: 6 month
1: Bikini Top (Women wear) (3 models * 5 colours / prints, sizes: XS, S, M, L, XL); 2: Bikini Bottom (Women wear) (3 models * 5 colours / prints sizes: XS, S, M, L, XL); 3: One-piece swimming suit (Women wear) (2 models * 5 colours / prints sizes: XS, S, M, L, XL); 4: Board shorts (Menswear) (2 models * 5 colours / prints, sizes: S, M, L, XL, XXL); 5: Flip Flops (Unisex) (2 models * 5 colours / prints, sizes: 36, 37, 38, 39, 40, 41, 42, 43, 44, 45, 46, 47); 6: Beach Towel (Unisex) (1 model * 5 colours / prints, Size:Â 70x140).
Our own design for prints; Matching items; Specific theme for whole concept of the shop and products.
Frequency of the introducing the new collection: Twice a year (July, January)
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Prices Price calculation: (Price buying from suppliers + transportation) * Retail margine + VAT Towel Price: Calculation of product: (2 + 0.10) * 2.5 + 5% = 5.51 $ Product price: Sales price: 16.99 $ Market price: 10 – 30 $
Board shorts Price: Calculation of product: (10 + 0.08) * 2.5 + 5% = 26.46 $ Product price: Sales price: 52.99 $ Market price: 40 - 60 $
Bikini Top Price: Calculation of product: (7+ 0.08) * 2.5 + 5% = 18.59 $ Product price: Sales price: 37.99 $ Market price: 20 - 70 $
Flip Flops Price: Calculation of product: (4 + 0.03) * 2.5 + 5% = 10.58 $ Product price: Sales price: 20.99 $ Market price: 10 – 35 $
One Piece Swimsuit Price: Calculation of product: (10+ 0.08) * 2.5 + 5% = 26.46 $ Product price: Sales price: 52.99 $ Market price: 24 - 100 $
Bikini Bottom Price: Calculation of product: (4 + 0.08) * 2.5 + 5% = 10.71 $ Product price: Sales price: 21.99 $ Market price: 10 - 35 $
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Suppliers Flip Flops:
Towels:
Bikini, swimsuit and board shorts:
INBOP Flip Flops Inc Contact person: Ms. Larissa Hemley Address: 5688 Heatherton Road, Milton, FL, USA Website: http://www.inbop.com Telephone: 1-85-6260143 Fax: 1-63-8390350
Simengdi Skin Care Cream Co Ltd 2102 Camp Indianhead Rd City: Land O Lakes Province/State: Florida Country/Region: United States Zip: 34639 Telephone/Fax: 001-813-5454583 Contact person: Ms. Kitty K. Website: http://www.simengdi.com
Specializes in bike wear/ sportswear, swimwear – sublimation printing – custom design Guangzhou Yuepai Digital Technology Co., Ltd. [Guangdong, China (Mainland) Room501,Henxin Business Center, #3, Dongshen Street,Heguang Road, Zhongshan Dadao,Tian He, Guanghzou, Zip code: 510665 Contact Person: Ms. Tina Chen Tel.: 86-20-61133698 Fax: 86-20-61133698-818 Websites: http://www.gzyuepai.com http://yuepai.en.alibaba.com
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Distribution Distribution of the product: Own retail shop.
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Potential developments Enlarging the collection; Expanding the product range; Opening web shop; Widening target group.
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Short description of our business We sell swimwear and related products designed in the “Ice Cream� theme, which also provides the retail concept for our shop. We provide our customers with fun while mixing and matching colours and sizes of our beachwear as they like in a refreshing and welcoming environment.
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Market The typical private customer:
Realistic number of customers:
Gender: man and woman; Age: 16 - 35; Lifestyle: trend followers, love being outdoor, active and open for experimenting, like having fun and try new things, vivid colours and ice cream.
50 – 110 costumers a day. We counted the amount of sold products per day and concidered that some of the costumers would buy one piece and some more than one item at a time.
Average consumption in cash per customer: 48.70 $ Important competitors: Ritchie Swimwear 160 8th Street, Miami Beach, FL Telephone: (305) 538-0201 http://www.ritchieswimwear.com/
Geographical limits: Miami (USA)
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Competition Important competitors: Victoria’s Secret 745 Collins Avenue Miami, FL 33139 Telephone: (305) 538-2107 http://www.victoriassecret.com
Important competitive parameters on the market: Larger retail space; Larger range of products; More products related; Location; Quality differences; Similar business in the area.
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Posibilities and threats Assessment of the possibilities on the market for your business: Fast increase of geographic coverage (after USA will be Europe) Include to the established brand other groups of products Go global with new invention Innovative sales techniques Active partisipation in local events Promotion through local beach sport teams
Threats that may destroy the possibilities: Big competition Currency risk when buying materials from Asia Financial crisis Technological development Distribution and supply channels are not established yet The new product and unknown brand Unique concept can have limited target group Limited range of products
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What is to be done? Internet
Who?
When?
Price $
Outcoursing
Freelance web designer
Before opening
218
Visiting local beach sport clubs and offering them our products with discount of 15 %
4 of us
During the planning of competitions and events; Introducing them the novelties that are not yet in our shop.
0
Signposting
Sign next to the shop
4 of us – idea, From the first day of opening Aneta - design, www.buildasign.com - production.
24 / 1psc.
Presentation material
Postcards with colourful images within the theme of ice creams. At the back of the postcard - contacts of the shop and website address.
4 of us – idea, Aneta - design, www.supercheapcards.com/ printing, 4 of us – distribution in Miami Beach.
Printed before opening, distributed before and after opening
225 / 5000 psc.
Other sort of advertising
4 of us
Before and after the opening on daily basis
1682
Wearing our products
4 of us, members of local beach sport clubs
Before, during and after the opening on daily basis
Around 150
Visiting local beach sport clubs and inviting them to participate in the opening
4 of us
2 weeks before the opening
0
Postcards with colourful images within the theme of ice creams. At the back of the postcard - contacts of the shop and website address, stamp of invitation to the opening.
4 of us – idea, Aneta - design, www.supercheapcards.com/ printing, 4 of us – distribution in Miami Beach.
Printed before opening, distributed before and after the opening
170 / 5000 psc.
Invitation of bloggers, local web newspaper “Ocean Drive Magazine” and local travel agencies.
4 of us
Before the opening
0
Customer visit
Sale- and marketing plan
How?
Opening market activity
Annual costs for marketing Table: possible sale- and marketing activities from start
2299
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Sale- and marketing plan Public Relation (PR) at the opening:
Relevant medias:
Contact persons:
“The story� to journalists:
Facebook; Ocean Drive Magazine; blogs.
Local beach sport clubs:
We love ice creams, hot beach and colourful prints. We had a funny idea to mix those things and to create an ice-cream shop selling cold colourful swimwear instead of the ice cream. We believe people will love to come to our cool shop to refresh their bodies with our unique, funny and cheerful prints.
The Surf Club 9011 Collins Avenue Surfside, Florida 33154 Phone: 305.866.2481 Fax:305.866.2470 South Beach volleyball club http://www.southbeachvolley.com/index.htm
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Management and Organisation Name of the company: Frostini Llc. Address: 448 Ocean Drive Miami Beach, FL 33139 Telephone: (305) 571-7777 Email: info@frostini.com Website http://www.frostini.com Legal status of business: Private company limited by shares Owners: Tekla Scheer, Iuliia Malyshenko, Anna Kozlovits, Aneta Chabibulina
Storage: South Beach Storage Inc 1880 West Avenue Miami Beach, FL 33139 (305) 674-6674
Lawyer: Cohen, Chase, Hoffman & Schimmel, P.A. 9400 South Dadeland Boulevard, Suite 600 Miami, FL 33156
Bank: City National Bank Attn: Client Care 25 West Flagler Street Miami, FL 33130 Telephone: 305-577-7333
Insurance subscriptions: Small business Incurance (Industrial injury, trade responsibility, product, moveable, transport of goods, fire, house contents, travels, frozen foods, computers etc)
Accountant: ELINCOMETAX 8672 Bird Rd. Suite # 209 Miami, FL 33155, USA Telephone: 786-360-2947 Mobile: 305-298-3387 Fax: 786-693-8960
Insurance company: Hiscox Inc., D.C. 520 Madison Avenue, 32nd Floor, New York, NY 10022. Prices: 35 $ / month
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Management and Organisation Business policies: Limited liability company Price policy: Middle level
Service: Opening hours: 9:00 – 21:00 Monday – Sunday, devotion to the costumers needs, creation of relaxed atmosphere
Send out accounts: outsourcing and Aneta Wage settling: 1000 $ / month netto
Discount policy: Sale of old collections during first two weeks of introduction of the new collection
Staff policy: Two people from the team are always available for the costumers in the shop. There will be flexible timetable.
Method of payment: Cash, debet- and credit cards.
Procedure for accountancy - and administrative routines:
Guarantee service: Customer can return or exchange any unworn, unwashed or defective merchandise with the receite and label within 30 days. Purchases with production defects will be exchange within 30 days.
Sales tax settling: 5%
Write letters to customers / business connections: Aneta
Daily accounting: outcoursing and Aneta
Telephone reception: All of us
Quarterly accounts: outsourcing Order goods: Tekla and Iuliia
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Business Development Business appearance in one and in three years In one year we will establish strong connections with local sport clubs (e.g. surfing, volleyball) and will approve ourselves in the local market as an ambitious company. In three years we want to increase the staff number up to five paid employees. I order to advertise our business we will have two company cars with the advertisement on them.
The product or service in one and in three years In one year we will enlarge our colour/print palette till 8 colours/prints per one item. In three years more product lines will be added, such as sunglasses, jewellery and children swimwear. The wider choice of designs and colours/prints will be available to customers (10 designs and 15 colours/prints) The web shop with the worldwide delivery will be open.
Other goals with your business We want to support the sustainability and develop in the eco-friendly way. In order to do that we will start our policy from using the recycled materials (such as paper, paper bags etc.) Once a year we launch the collection specially made from more sustainable materials as part of our initiative. Our company will be the part of the sustainable community. Vision for the fift year
Customers in one and in three years Financial forecast for year three and year four In one year our costumers will be mainly young people, local sportsmen and tourists. In three year, as our product lines and designs will expand, our target group will enlarge. Children and their parents will become our costumers, as well as internationals.
We will pay our loan to the bank earlier if our finantial situation will allow us to fulfill that. Our profit should rise til 40 %.
In 5 years we want to support children’s homes and hospitals. Therefore our company will donate the money and participate in different charity organizations locally and worldwide.
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