Name of Idea: Licensing World Innovator Name: Yuvaraj Kiragi Institution Name: IBMR: Institute of Business Management and

Research.

Prudence

Page 1

BUSINESS PLAN
Business idea: Licensing World

Product description:

This product of my business plan is dedicated to the service industry, which is going t work as a facilitator for all types of licensing. Service industry in India is a contributor of 51 % of the GDP. This flow and momentum of industries will give an upward jerk to my business and the service.
Target Market:

The entrepreneurs and different people, who face a problem regarding the prerequisites of different Endeavour, would be our target market. We would be providing vehicle license, shop license, business license, passport, driving license etc. Due to the unorganized channel of issuing the license and the hidden process followed by the agency, people are frustrated and want some service provider. Our business will cater to these types of customers. The anger owned by customers towards the system, would be a positive signal of our service, if we could maintain proper CRM.
Market Description & Size:

Today, if you want to start a business or you want to have some products which require license is like pouring on the full cup of tea. Too much of energy is required from the part of the customer. It could be psychological, mental, physical, etc. The most important part is TIME. This will pay us. The statistics tells that every day at least 3000 people apply for different types of licensing. So, our market would be targeting upon 60% of the total application in a year. Bangalore is highly populated city where heterogeneous mixture of citizens Resides. This combination faces a real problem in getting license and information about license. This gives us the view of growth and prosperity in our business idea.

Prudence

Page 2

 Competitor & competitive Strategy: The government of India has come out with a program of all in one. This program deals with issuing the license under one roof. This scheme of India is a competition for us. Government as owner of all allocation and issuing the permission for business could act as the competitor and come on the red ocean. Our competitive strategies would be developed on the basis of loop falls of government services. The possible loop falls is as follows: 1. Attitude of employees. 2. Too lengthy process. 3. Ignorance of job. 4. Poor customer relation management. 5. Personal care.

We would be providing best of the services. Our business will hold the responsibility and ownership of customers work with a regular update and feedback process to customers. All the above mentioned facts, in opposite and improved version will act as our competitive strategies for which we will be paid. Market entry & growth strategy: We will enter the market very softly. We will make the customers aware of the service we are providing. One office set up with initially calculated work force would be the initial start up. Advertisement of my service could be done by word of mouth. Depending on the response of the customer we would increase the intensity of running business. The corporate offices and the posh employees such as techies, bpo and fashion designers will be our basic segmentation. There are almost 3000 companies in different segment of business and around 1000 employees (min) in each destination. Our prediction tells that if we are able to generate and maintain 10% of target initially, it would be a great power and brand building.

Prudence

Page 3

50% target satisfi ed

30% of target satisfied & Retained

10% of target, Satisfied & Retained

Growth strategy for one fiscal year. (Above graph) Operational plan:

Prudence

Page 4

The first operational strategy will start from the link between the license issuing body and our service center. The development of this relation will help us in managing conflict, learn and train the employees of my center and the governing body.

The second step is to generate customers, which will start as follows: 1. Generating customers and retaining them.
2. Creating awareness and Brand Building Exercise.

3. Channel Management. 4. Collection of documents and generating service. 5. Investment enhancement.

The above Process could be modified and exemplify depending upon the change in trend and the execution.

Office structure and layout:

Office on lease. Different Department wise segmentation and layout.

Licensing world

Vehicle licensing

Business licensing

Passport

The above is the sample view of organization and its layout.

Prudence

Page 5

 Financial overview: Total Investment: Fixed cost: Setup: Computers: 15 Furniture: Amount: 15*20,000 = Rs 3, 00,000 = Rs 2, 00,000 = Rs 5, 00,000 Variable cost Lease Rent: Employees: Rs (20*6000*12) Overheads: (Rs 50,000*12) Miscellaneous exp: (Rs 10,000*12) = Rs 6, 00,000 = Rs 14, 40,000 = Rs 6, 00,000 = Rs 1, 20,000 = Rs 27, 60,000

Total exp:

fixed cost + variable cost = Rs 5, 00,000+ Rs 27, 60,000= Rs 32, 60,000

License for two wheelers: Rs.800/- (LLR & Permanent license.) License for four wheelers: Rs.1500/For Business License with TIN No.: 8500/For Passport: 1250/Profit per month: 3, 61,500/Projected Profit: 43, 38,000 / year Projected licensing per year 36,000/-

Prudence

Page 6

 Risks & assumptions: 1. Loss of important documents. 2. Bribery factor. 3. Issuing license on time.

Prudence

Page 7