Business Plan 22

UNIVERSITY OF CENTRAL PUNJAB
Department of Commerce
Entrepreneurship
Business Proposal of
BANANA
CRAZEE
By
[Type the document title]
Entrepreneurship
Subject:
Course Instructor:
Sir ABU BAKR
Subject Credit Hours:
3 Hours
Following Students are the participants to prepare &

finalize this Feasibility Analysis!
Student
Roll No:
S4f14Mcom2
5
Student ID
Dua Aftab
M.Com (HONS)
2nd Semester / REGULAR

Confidential
BANANA CRAZEE= A Product by Frito Enterprisez
BEST REGARDS
TO
OUR PARENTS
WHO LOVE, AFFECTION & PRAYERS HAVE BEEN
A SOURCE OF INSPIRATION AND
ENCOURAGEMENT FOR US!
Confidential
II
Table of Contents
Sectio
n No:
01
02
03
04
05
06
07
08
09
10
11
Section
Executive Summary
The Business
Management Team
Legal Company Structure
Ownership & Intellectual Property
Industry Analysis
Marketing Plan
Operational Plan
Financial Plan
Critical Risks Factors
Appendix
Page
No:
01
04
08
24
26
29
33
41
46
54
56
Confidential
III
Acknowledgment
With the name of ALLAH who is the most beneficial & merciful
and He enable us to complete this business proposal to overcome
our semester requirement.
Then we thanks to our Entrepreneur Mr.ABU BAKR who guide
us in very beautiful & nice way. The supervision of Sir ABU BAKR has
provided us a lot of experience to get the view of actual market.
We are very thankful to Sir
Abu bakr & all other honorable
teachers who share their experience & knowledge with us to
complete this project in very efficient manner.
IN 2ND SAMESTER we are much respected for those students
who provide us encouragement to complete this business feasibility
report.
Dua Aftab
May 27th / 2015
Confidential
IV
Section 01:
Executive Summary
Section 01:
Executive Summary
Our company Frito Enterprisez will produce a unique and different product for the
market to change the trend of the people from vegetable snakes to fruit snakes. We will provide
specific unique products to our targeted customers for their maximum level of satisfaction. There is
no any firm who produce Fruit Snacks till now in our national market. We will offer these new
trended products at moderate prices for the customer benefit.
The Opportunity
Pakistani Market exports & demands fruits in huge quantity, but there is no any firm is
present at here for the manufacturing of Fruit Snacks. We will provide to him fruits in various
tastes, like apple, banana, orange, etc in roasted, snakes & chips form.
If we will proper launch this business, then we may be in condition to change the market
trends within the 10 years. If we will change the trend of the market then we will consider as Trend
Maker for the Snacks Industry.
Competitive Advantage
There is huge gap is present in the market for the fruit snacks. We have no any direct
competitor at local & national competition till now. Our product will be unique in the market; we
will easily achieve economies of scale with the next 12 years who provide us least cost with
maximum profit. Following are our major indirect competitors in the snacks industry but all of them
producing vegetable snakes as:
Lays
Golden Chips
Smiths
Kolson
Super Crisps
Krincles
Pringles
BANANA CRAZEE= A Product by Frito Enterprisez~ 1 ~
Section 01:
Executive Summary
All of these firms are the heavy weights of the market and have the great influence on the
behavior of the market. All of these are our indirect or may be future competitor for us. Most of
these firms have a great market share, but not like Lays who is the leader in the Snacks Industry.
Target Market
If we offer this product in the market then our basic target market will be youngsters of
colleges & universities who enjoy these kinds of product. When we will get a successful response
then we launch this product of specific city where college or university exists. In our first attempt,
we will target three cities within the 7 months to the first launching.
In general sense, we have comprehensive market because every aged person has a
reasonable demand of the chips. If we will target maximum colleges & universities of the Punjab
within our first three years of launching then we will achieve a reasonable & stable place in the
Snacks Market.
Management Team
For the managerial affairs of Frito Enterprisez, we have to choose best one management
personalities from the market who will supervise us. For the effective management, we have
following managerial posts as:
CEO/Chairman
Board of Directors
Finance Manager
Accountant
Marketing Manager
Production Manager
Quality Inspector
Coordinator
HR Manager
Asst. Cost Manager
Other Staff Members
This will be our best try to choose well experienced & well qualified management team
in the larger interest of the business success. But our major focus is finance & marketing heads that
provide value & brand equity in the market. We will provide sufficient benefits to our employees
because we believe that firms employees are our assets.
Section 01:
Executive Summary
Financial Projections
According to the Snacks Industry, we are unable to demand a huge capital from the market.
But for the proper launching of business, the total required capital of business is Rs. 100 Millions.
According to our analysis we have to require 7 investors which will act as the owner of the Frito
Enterprisez. For the operations of firm, we will demand Rs. 50 Million as initial investment to
startup the business and Rs. 25 Million in IInd year & also Rs. 25 Million in IIIrd year.
For the return on investment, we plan a strategy as ROI Policy; we will provide maximum
return to our investor. We will distribute 3% to 14% return on the net profit to our 7 investors who
will act as the owner of our business. We will distribute return on investment in 2 nd year to the
establishment of business. According to the ROI Policy, we will divide Net Profit of the firm after
taxation & other expenses among the whole investors.
After the achievement of the breakeven within 2.64 years (32 months), we will make huge
profit for our investors. The profit generation in this business is not difficult due to less cost on all
inputs of the production, especially raw material. We have 45% ratio of Gross Profit on the sale of
each unit with respect to their Sales Price.
Exit Strategy
Success is not always the fate of any business. For the exit strategy to our stakeholders, we
will apply following strategies as:
Sale of Business to any Heavy Weight of Snacks Industry with Product Formula
To merge Frito Enterprisez with any other Industry related Firm
Bank Raptly Slip to our all stakeholders
Section 02:
The Business (Description)
Section 02:
The Business - Description

Our Opportunity
Business is the name of profit earning through legal activities. The most important
parameter towards profit making is the presence of an opportunity gap in the market because
homogenous products have a great sense of competition as compared to heterogeneous.
For the Fruit Snakes, we have a great opportunity in the national market because there is no
any producer is present here who provide this trend to the people & earn sufficient revenue. The
international brand Pringles is present who provide caned banana chips at the limited level with
very high price.
Description of Business
We Frito Enterprisez will facilitate to people by fruit
snakes in packets at the reasonable prices and obtain sufficient
value from them. Now, people enjoy their life with potato chips,
snakes, popcorns, chocolates, etc. but we will provide them a
concept of Fruit Chips or Fruit Snakes which will be better for their health.
Our initial product will be Banana Crazee A Taste of Nature (banana chips) in the
market to get an overall response of people towards Fruit Snakes. There is no any direct competitor
is present in the market but a lot of indirect competitors are also present who are the price makers &
trend changers.
The first mover advantage in the Snakes Industry goes to Super Crisp who was the king of
this industry for 25 30 years. Then 10 years ago, Lays A Product of Pepsi Co. entered into the
market and replaced the Super Crisp into Lays French Cheese. Due to huge network,
extensive promotional activities & international brand equity Super Crisp lost their market share to
Lays.
Section 02:
We have a great threat of take over & market crash from Lays as multinational brand. If the
Lays want to tackle our product then 2 years time period minimum will be required due to their
policy matters. For any multinational brand, it is not easy to launch a new product in the specific
market within the few days or months because their strategies & policies recommended by their
higher authorities which is time consuming task.
Pakistan is a consumer market and our consumer is price conscious not quality or product
conscious. Frito Enterprisez will provide our products at reasonable prices to capture the sufficient
value from our customers. We will consider as First Mover Advantage in the snakes industry
relevant to fruit snakes. There are so many broad chances towards the success of this product.
Vision Statement
We want to satisfy our customers by the taste of nature
Mission Statement
We want to offer our dedicated and innovated products to customers for their
maximum satisfaction as our ultimate goal. We want the growth along with our customers,
staff, employees, suppliers and all other business associates by greater value
Major Objectives
For the 15 20 years in the future, our firm Frito Enterprisez will achieve following
major objectives from the target market as:
To known their brand as Frito Enterprisez within the next 6 years at national level
To provide a quality product to consumer at reasonable price
To loyal the customers towards brand & capture brand equity from them
To consider that employees are our assets who provide us their services in honest way
To change the mind of people from vegetable snakes towards fruity snakes in the snakes
industry with in next 10 years

To attain at least 30% market share of snakes industry within the next 10 years
To compete in the market on quality behaviors, not on price strategies
To earn minimum 30% profit on each unit from the day first
Section 02:
To establish their own national distribution network within next 12 15 years

To nationalize our firm at least 20 years to their existence
To maintain the harmonic relationships with their suppliers for the quality concerns
To provide a sufficient return to investor from our net profit
Competitive Advantage
We are offering a unique product to market with good
quality, excellent taste & at reasonable price which will attract to
consumer. We are fully free in this segment of the snakes industry
till next two years minimum. And two years is enough time to grasp
the huge market value. The major threat to our product is take over
from Lays, but it will be not easy for Lays. Because multinational
brands never want to lose their reputation in the host market
through negative propaganda towards other home product.
In the case of Lays threat, we have national slogan of Be Pakistani, Buy Pakistani, which
will provide us way to capture the market share. And, we are offering Halaal Food to market
under the Islamic Values. It is in our common observation that some years before, Lays had a blame
of Pig Fatty Oil in their chips, and Lays faced huge financial crises due to this unethical activity
in the Pakistans Market. These will be ours strong bases to walk in the snakes industry.
Another competition strategy is also present that we will merge themselves into Super
Crisps. This merger will provide us low fixed cost, national distribution network, brand name of
Super Crisp, etc. due to this merger Super Crisp may will be again attain the huge market share like
in past.
Current Status
Section 02:
Now, if we launch our product to 3 4 major cities of Pakistan which provide us the actual
behavior of our product towards people. Due to this limited launching strategy, we will prevent
ourselves from the huge loss which may occur in big launching. As the first mover in the fruity
snakes industry, may we will face various initial costs but all of these costs will be cover within
very small next period because our profitability on each unit is so much for the investor.
For the marketing concerns with respect to our competitors, we will promote our brand and
products by various promotional activities and extra benefits to distributors, retailers and also to
ultimate consumers. But it will be necessary for us to establish strong & solid distribution network
for the consumption of our product on each & every level.
Section 03:
Management Team
Section 03:
Management Team
For any organization, management is a first and last pyramid to handle the various
operations & matters of the organization. We, Frito Enterprisez is familiar with this important
aspect of the business. For the managerial affairs we will choose best one management personalities
from the market who will supervise to our business. The well trained & well qualified staff of
the organization is the responsible for their success. On the other hand, losers persons of the
management staff may responsible for the failure of the organization.
For the effective
management, we have following managerial posts as:
CEO/Chairman
Board of Directors
Finance Manager
Accountant
Marketing Manager
Production Manager
Quality Inspector
Coordinator
HR Manager
Asst. Cost Manager
Salesperson
Other Staff Members
CEO/Chairman
Section 03:
Management Team
The CEO/Chairman of the organization is the top executive body who is the legal head of
the business. The CEO is the most powerful person in the organization by their powers &
authorities.
Eligibility Criteria:
We have to require:
A Male or Female, everyone is eligible without any kind of discrimination
Age of candidate must be minimum 37 years
A person with experience of 5 7 years in the Public Listed Company as Executive
Head
His qualification should be minimum M. Phil or PhD in the field of Economics,
Business & Commerce, Management, Marketing, & Finance
He should have NOC (Non Objection Certificate) from previous organization where
he get experiences
He will be a appointed as CEO/Chairman by mutual concern of all members to board of
director
He will be work with us on skill based partnership
His rate of return will be 10% when the firm will achieve their breakeven stage
From the day one to till breakeven achievement, his allowance will be Rs. 15,000
monthly
Responsibilities:
He will be responsible in organization to:
He will be the official head of the whole organization
Will be responsible for each & every affair of the business
Have a control on all employees of the business except all board of directors but not
Coordinator included in it, he will be under the order of CEO/Chairmen
He will entertain with full protocol from the entire workforce of the organization
Board of Directors
There are total five members as Executive Bodies of the Frito Enterprisez which called
Board of Directors and these members will consists of:
Section 03:
Management Team
CEO/Chairman
One Investor
One Banker
Coordinator
Advisor
All of the members to Board of Directors will entertain with specific amount from firm in
the sense of Allowance for their personal involvement in the firms affairs.
CEO/Chairman: The head of the whole organization and work on skill based partnership
from the business as neutral body for the organization. He will be the official head of the
whole organization & responsible for each & every activity of the firm.
Investor: A person except Banker who has at least 22% to the total investment will be
eligible for the member to board of directors.
Banker: A representative of Bank not Investor who has at least 12% to the total investment
will be eligible for the member to board of directors. This person will be act as the
representative of the specific bank.
Coordinator: The inside person from the organization who will be responsible for the
instructions & informations distribution towards the entire workforce of the organization.
Advisor: A person rather than investor or banker who has technical, legal & analytical skills
towards the business affairs with at least 3% to the total investment. This person will be act
as advisor for our organization in every activity of the business.
Finance Manager
The post of Finance Manager: or Chief Financial Officer (CFO) is the most important in
any organization because finance is the blood of the business and without it business never exists.
We have to require:
Section 03:
Management Team

A person with experience of 3 5 years in the Public Listed Company
His qualification should be minimum M.Com or MBA (Finance)
His subject of specialization must be Finance with at least 80% marks
He should have strong grip on Finance & Accounting principles
he get experiences
Various kinds of appreciation certificates will also be preferable towards the job
The basic salary for this post will be Rs. 35,000
Responsibilities:
Manage all the financial matters
Act as the head of Finance Department
Provide us projected & forecasted data for future concerns
Provide us helps in investment plans
Tackle the investors & bankers
Have no any concern with other department
Provide briefing to board of directors regarding the financial position of the firm
Directly work under the instructions of coordinator
Accountant
The Accountant or Accounts Manager is a person in the business who maintains all the
accounts (real & nominal) with the specific evidences as mentioned in the laws & regulations.
We have to require:

A person with no experience or fresh candidate is eligible
His qualification should be minimum 16 years in the field of commerce
His subject of specialization must be Accounting (not Finance) with at least 75% marks
He should have grip of handling the Accounting matters
He should have NOC (Non Objection Certificate)
o For Experienced Candidate from the organization where he get experiences
Section 03:
Management Team
o For Fresh candidate from their educational institute

He should have grip to utilize Quick Book, Peach Tree, etc
Responsibilities:
Manage all the accounts of the whole business which will specified in Fritoz Newsletter
( a monthly published document by firm)

Act as the head of Accounts Department
Maintain all the records with specific evidence
Petty Cash Affairs will be present under this post
Marketing Manager
The Marketing Manager of Marketer is another most important post in the organization
to plan & implement various strategies according to the market situation.
We have to require:
A Male with the age of minimum 35 years
A person with the minimum experience of 5 7 years in Marketing Department of any
prominent firm of Food Industry

He should have repute certification from three marketing weights
His qualification should be at least MBA (Marketing) with at least 65% marks
He should have strong grip on marketing & sales allocation
he get experiences
His commission of Rs. 0.25 on the sale of each unit will also be allocated
Responsibilities:
Section 03:
Management Team

Act as the head of Marketing Department
Supervise to their salesman force & also responsible for their behavior
Fully free & isolate in making & implementing the marketing strategies under the
specific instructions from the board of directors & coordinator

Manage & achieve various sales target for profit generation towards the firm
The repeat sales or change in trends (fad) marketing behavior also under their shadow
Have no any concern with other department except Production at limited extent
Provide briefing to board of directors regarding the sales pattern in the market
Production Manager
The Production Manager or Manufacturing Supervisor is a person in the business who
responsible for all the manufacturing or production concerns of the basic product or service. He
manage whole assembly line for efficient production process.
We have to require:
His qualification should be minimum 14 years in the field of commerce & business
He should have grip to handle various production affairs
For Experienced Candidate from the organization where he get experiences
For Fresh candidate from their educational institute
He should have ability to tackle the human resource
Responsibilities:
Act as the head of Production Department also Production Assembly Line
Maintain all the records of raw material & finish goods
Section 03:
Management Team
Responsible for the labor affairs except their salaries/wages

Responsible for the raw material usage, finish stock warehousing & wastage during the
production process
Quality Inspector
The Quality Incharge or Quality Inspector is the most important person in the
production process to verify the quality of the product or their design. We are quality conscious for
the customer satisfaction that why we have well qualified quality inspector for the betterment of
our product.
We have to require:

A person with minimum experience of 2 3 years in any quality conscious food industry
His qualification should be minimum MBA or M.Com with 70% marks at all
His subject of specialization must be TQM or OPM with at least 80% marks
He should have NOC (Non Objection Certificate) form previous organization where
he get experiences
He should have grip to utilize various quality techniques
Responsibilities:
Act as the head of Quality Department
Inspects the quality pattern during the production process
Have no any concern with other department except Production will full extent
Choose suppliers under the specific instruction from top level management & also
responsible for the behavior of these suppliers
Responsible for any kind of defect in the product regarding the quality concern
Section 03:
Management Team
Coordinator
The Coordinator or Vice Chairman of the organization is the executive body who
controls all the affairs of the business & provides coordination among the various departments &
staff members in the larger interest of the firm.
We have to require:
A person with experience of 4 5 years in the Public Listed Organization as the
coordinator or acting coordinator
His qualification should be minimum MBA (HR), not any other is required
he get experiences
His behavior towards the organization should be multi dimensional
He will be a appointed as Coordinator by mutual concern of all members to board of
director
He will be work with us on skill based partnership
monthly
Responsibilities:
Responsible to monitor all the internal & external affairs of the organization
His behavior towards departments should be linen ant & positive
To coordinate all the affairs of the business to each & every level with specific
limitations
Act as a Supervisor towards all the departments
Responsible to provide briefing to board of directors regarding the overall situation of
the business
Responsible to convey each & every information to their related person in written way
Section 03:
Management Team
Directly work under the instructions of Chairman & Board of Directors
Legal Advisor
The Legal Advisor or Attorney of the business should be well experienced & well
capable person who tackle all the legal procedures which are mention by Govt. of Pakistan in their
various laws regarding the corporations & their affairs.
We have to require:

A person with experience of 3 5 years in the any law firm
His qualification should be minimum L.L.B. (HONS), not any other is required
he get experiences
He should have technical skills to manage the legal proceedings
He will be a appointed as Legal Advisor by mutual concern of all members to board of
director
He will invest in our business minimum 3% of the total investment
He will be work with us on skill based partnership as well as invest based
partnership
monthly
Responsibilities:
Responsible to monitor all internal & external legal affairs of the organization
He will hire the law firm to help us to fulfilling various formalities of the business
organization
He will be responsible to convey each & every legal or lawful information to their
related person in written way
Directly work under the instructions of Chairman & Board of Directors
Section 03:
Management Team
HR Manager
The HR Manager or Human Resource Supervisor is a person who will manage bottom
level management in all departments of the firm. For Example: Engineering Affairs, Warehousing,
Safe & Secure Storage of Stock, Production Line Errors, etc.
We have to require:

A person with experience of 5 7 years in any organization
His qualification should be minimum Intermediate with 75% marks
he get experiences
His ability of handle small matters of the business must be sharp & confidential
Person will be selected by the mutual concentration of Heads & Board of Directors
Responsibilities:
Responsible to monitor & handle to tackle all the minor problems in the organization
He should maintain all the team work to work out in the organization
Directly work under the instructions of Coordinator & Board of Directors
He should have access to each & every department according to their work
Will be the supervisor of the bottom level management
Asst. Cost Manager
Section 03:
Management Team
The Assistant Cost Manager or Finance Coordinator is a person in our organization who
will personally assist the Finance & Accounts Department.
We have to require:

His qualification should be minimum 16 years in the field of commerce
His subject of specialization must be Accounting or Finance with at least 60% marks
He should have grip of handling the Accounting & Financial Matters
For Experienced Candidate from the organization where he get
experiences
For Fresh candidate from their educational institute
He should have grip to utilize Quick Book, Peach Tree, etc
Person will be selected by the mutual concentration of Heads & Board of Directors
Responsibilities:
Manage & Assist to Finance & Accounts Departments
Have concerns with all other department
Responsible to lose down the per unit cost with maximize profit for business
Salesperson
The asset of the organization is Salesperson or Sales Promoter who sale down the
product or service of the business in the market. This is most important person in the organization
who maintains the goodwill of organization in the market.
Section 03:
Management Team
We have to require:

A person with the minimum experience of 3 5 years in Market of the Food Industry
He should have repute certification from one marketing weight
His qualification should be at least 14 years of commerce or business education
His subject of specialization must be Marketing with at least 75% marks
He should have strong grip on marketing & sales promotion activities
he get experiences
He should be the resident of the specific area where our product will be launch
His commission of Rs. 0.25 on the sale of each unit will also be allocated
Responsibilities:
He should be responsible for the allocated tasks by the Marketing Department
He must be responsible for the goodwill of the firm in the market
He will directly work under the instructions of Marketing Manager
He have no any special permission to work with another organization of any kind
He should be the trail able for any fraudulent behavior in the market on the behalf of
organization
Key Professional Service Providers

We will allocate various firms & consultants to manage & monitor our business activities
with the concern of specific fees.
Business Consultant Agency: Any firm who will provide help to us in every activity of the
business according to our requirement. We will pay him on monthly basis and get their
suggestions & consultancy for the betterment of our business.
Audit Firm: Any firm who will conduct the audit on biannually basis and submit their
report to board of director as twice time in the year. This audit will be helpful for the
Section 03:
Management Team
taxation department formalities & also provide an internal picture of our business regarding
the utilization of resources.
Law Firm: Any firm who act as Attorney for our business in each & every aspect in the
legal matters. All the legal procedures of the business will be the responsibility of this firm.
Whenever, our organization will face any kind of legal problem from any side this firm will
tackle this case.
Rules & Regulation for the Organization Structure
The official head of the organization will be CEO/Chairman

All the members of board of directors will under the CEO/Chairman
Any decision by board of directors will be base on majority except CEO/Chairmans vote
Any majority decision by board of directors must have one vote by investor or banker
One Member One Vote, policy will be implemented in the whole organization at each &
every level
CEO have special authority to remove any head & other staff member anytime without any
mutual concentration with any other official on the behalf of some reason
For the meeting to board of directors, minimum three members should be present except
CEO/Chairman
For the meeting to heads of departments, minimum three members should be present except
Coordinator
The HR Manager will be appointed by the mutual concentration of all heads & board of
directors
The Business Consultant Agency, Law Firm & Audit Firm will be appointed by the majority
decision of the board of directors
The returns of investors & bankers will be determine by the Finance Department with the
concern of CEO/Chairman & Coordinator
The Coordinator will be the supervisor of all the departments & all heads will be under their
instructions directly or indirectly
All of the orders & information in the organization will circulate in the written &
confidential way for the record of each & every activity
The HR Manager & Production Manager will be responsible for the appointment of labor &
skills men for the manufacturing process
The bottom level staff of the entire organization will be under the shadow of HR Manager
Any kind of changes in organizational structure will be implemented by all the members to
board of directors & heads of departments
Any kind of special authorities & powers will be delegated to any staff member will be valid
by the instructions of board of directors
Section 03:
Management Team
Any increment in the salaries & wages for the entire organization will be passed by the
board of directors & Finance Manager
Each & every person will be responsible towards their duties within the organization
without any kind of relaxation & nepotism
Frito Enterprisez Organizational Structure

Organizational Structure
CEO /
Chairman
Invest
or
Finance
Manage
r
Banker
Accounta
nt
Asst.
Cost
Manage
Producti
on
Manager
Advisor
Marketin
g
Manager
Coordinato
r
Quality
Inspector
Complain
ant
Business Consultant
Salespers
Officer
HR Manager
Labor +
Law Firm
Skillma
Audit Firm
n
BANANA CRAZEE= A Product
by Frito Enterprisez~ 21 ~
Section 04:
Section 04:

Our Firm Frito Enterprisez
Our firm Frito Enterprisez will be a Private Limited Company under the Companies
Ordinance, 1984. According to the law, a private limited company is an association of at least 2 but
may not exceed 50 members. This form of firm is restricted from the right of its members to
transfer their invested part within the company. It also prohibits to any invitation to the public to
subscribe their shares or debentures. It will be registered under the Companies Ordinance, 1984 and
corporate taxation law. All the members will entertain with the limited liability.
All the members especially investor & bankers join this organization under the Partnership
Act, 1932. Under this law, partnership is a voluntary association of two or more persons, who
contribute their money, property, time, skills knowledge, energy, ability & experience to carry on
business for the profit/loss sharing among each other. The partnership itself have no any legal
separate entity, all of members will partners under the head of some specific voluntary kind of firm,
which is registered by any law.
Legal Status of Frito Enterprisez

The legal structure of our firm Frito Enterprisez will be a company as private business of
various investors, bankers & skilled based persons who invested their money, time, experience &
abilities on risk basis & demand high rate of returns against them. The investor with 35% to the
total investment & banker with 25% of the total investment will be the members to board of
directors without any kind of eligibility criteria. And, CEO/Chairman, Coordinator & Legal Advisor
will invest their skills & experiences with the specific selection criteria. Our firm has skilled based
investment & money investment portfolio at the time with the different rate of returns on the total
invested money & abilities.
Section 04:
In our partnership relationship, we have a lot of partnership deeds. All the partnership deeds
(agreements) should be disclosed in the first or statutory meeting of the board of directors. The
partnership deeds regarding CEO/Chairman, Coordinator & Legal Advisor will be discussed in this
meeting.
At the 5th of each month, firm will issue a special kind of document Fritoz Newsletter a
letter which will describes the firm news, policies, rules, regulations, strategies, plans, goals,
objectives & achievements of the whole organization. The duties & responsibilities of each staff
member will be mention in it which may increase or decrease on monthly basis. The confidential
matters will never to be disclosing in this document. This is a public document for our inner
structure of Frito Enterprisez.
Frito Enterprisez
Head Office Address:
Frito Enterprisez,
73 / A, Century Plaza,
Near Centre Point (Mini Golf),
Lahore, Punjab 35000
Assembly Line:
Frito Production Unit,
Near Falcon Motor,
Multan road, Lahore
Section 05:
Section 05:
Ownership / Intellectual Property

Total Capital Requirement
Our firm Frito Enterprisez will be work under the status of Private Limited Company
who has various partners which may invest their money and skills. The ownership title of this
organization will be goes to various personalities who invested their money & experiences with us.
But the general partners & owner of our business will be our investors & bankers who provide us
huge money to startup this business. Following are the investors & bankers are willing to invest
their money in our business as:
Investor # A
Investor # B
Investor # C
Banker # A
Banker # B
Banker # C
Legal Advisor
Total Investment
Rs. 26 Million
Rs. 20 Million
Rs. 15 Million
Rs. 13 Million
Rs. 11 Million
Rs. 7 Million
Rs. 4 Million
Rs. 100 Million
26% to the total investment

For the investment requirement, we will prefer to get total amount investments from our
kind investors within the time period of 2 3 years to launching a business. At initially, we will
demand a lame some amount to fulfill our initial costs & other heavy expenses which are consider
as basic requirement for any startup unit.
The amount of Rs. 100 Million is not enough for 7 investors to contribute in any business
when the 95% chances of success are present with heavy profit generation after the achievement of
breakeven stage of the business.
Section 05:
Owners of the Business

Owner Preference
Investor # A
Investor # B
Banker # A
Investor # C
Banker # B
Banker # C
Legal Advisor
CEO/Chairman
Coordinator
Company Savings
Total
%age Investment
26%
20%
15%
13%
11%
7%
4%
Skilled Base
Skilled Base
(for future concerns)
100% + Skills
Return on Investment (%)

14%
12%
14%
08%
12%
10%
3%
10%
7%
10%
100%
According to the Investment Portfolio, the Investor A & Banker A will be included in the
members to Board of Directors due to their highest investment. All other owners of the Frito
Enterprisez will be categorized according to their part of investment in the total invested amount.
Any owner has no any legal role to operate the business except members to Board of Directors.
When any kind of special decision will take in the interest of the business, then Owners
Conference (all specified above owners) will call & get their point of views about specific
matter. In routine matters, no any owner has their influence on management & board of directors.
Section 05:
In the case of liquidation of firm, each & every owner will be responsible for their invested
amount in the Frito Enterprisez according to their share in the total investment, as mentioned
above. The return on investments is applicable on the Net Profit of the firm, not another margin.
Section 05:
Intellectual Property
Our firm, Frito Enterprisez have no
legal status till now, but we will register
themselves as soon as possible in the first
aspect of the business.
When we will register ourselves, then
we will use this monogram as the identification logo of the firm. On each & every product or
service offer by us will have the mono. This monogram is the Trade Mark for us as the legal
status of the firm. It will be our first preference that we will show this trade mark on every offer
product in the market.
After the launching of product, we will give legal status to our production process as patent.
In general sense, we will register our assembly line with the name of Frito Assembly Line. The
purpose to get legal status for our production process is to eliminate the competitor role towards the
copy us. Our production process is the basic secret for our firm.
Section 06:
Industry Analysis
Section 06:
Industry Analysis
Industry Description
People demand the product according to their intuitions & preferences. We know that the 3 rd
World Countries are very habitual to adopt the Western Culture. Likewise, Pakistan is also in line
with those countries which have big potential do exist for investment in the Snacks Industry in
Pakistan as the Demand or Growth rate is very high. Annual Growth Rate of Snacks Industry is
estimated at the rate of 20 % - 30 % per annum.
Most of the children, teenagers and young people are the target market of the product and
we have the experience that the eating habits of the target market is rapidly changing and they like
to have snacks all the time. Further potato and corn snacks are labeled as a meal replacement and
being a light fast food is becoming popular. The life style is improving and going to be changed and
also because of satellite invasion the demand is bound to register a considerable boost.
Now, people are enjoying with the potatoes & corn chips in so many flavor but we want to
change the trend of nation from vegetable to fruit chips which are better for health. The opportunity
for our new trend product is present in the market. We want to get benefit from this gap and make a
profit.
Industry Size
In common practice, there are
four phases present in the market
regarding
the
Introduction,
Product
Growth,
Life
Cycle,
Maturity
&
Decline. Every sector of the economy is

based on this principle. The size of our
industry is so large because each kind of
person likes snacks. There are few firms who fulfill this demand ay national level. We have a
golden opportunity to enter in this market with some heavy investment & take over the trend.
Section 06:
Industry Analysis
The demand of the present market is met by the mix of Branded and Unbranded Chips
available in the Market. There is 60% of the population which is Brand Loyal. However remaining
40% of the Un-branded Market can be attracted through heavy Advertisement Campaign.
On the basis of data collected and present survey of the market, current total market is
estimated at 2,000 Tons of Chips which is segregated as follows:
Segments
Branded
Unbranded
Total
Share %
60
40
100
Quantity (Tons)
1,200
800
2,000
Industry Attraction
The Snacks Industry of Pakistan is on growing phase and has a lot of potential to absorb
firms easily. The window of opportunity is open for us with the high growth rate. The Annual
Growth Rate of Snacks Industry is estimated at the rate of 20 % - 30 % per annum.
Under the export prospects for the next decade are very promising given the sustained and
continued expansion of the Fast Food Industry abroad. Further Tariff cuts under Trade Agreements
are anticipated. Low per Capita consumption of Fries in the overseas market is a strong indication
of future demand. These upcoming symptoms have a great potential to make huge profit.
Profit Potential
Profit generation is the basic parameter to execute the business. The sales trend of crisps and
snacks is increased by 10% between 2000 and 2005 to at their peak at 2,386 million. A decline of
3.5% in 2004, however, took retail sales to 2,303 million due to the implementation of taxation
structure of retailers.
According to our analysis, we are producing unique product which will provide us a huge
profit after the achievement of our breakeven with in maximum 4 years to their execution. The
behavior of Pakistans Market towards the unique products is so attractive. So, there are so many
chances to the generation of profit from this sector.
Section 06:
Industry Analysis
Target Market
Targeting a market is a critical factor in the marketing strategy of a company.
The target market should be in accordance with the companys goals and
objectives. The target market for Snacks Industry is comprehensive by nature
because the children, teenagers and young people are the target for our
industry. Home, rather than school, is the most popular destination for eating
crisps and savory snacks, with seven in ten children (70%) consuming them at
home, against around half (48%) who eat such snacks at school.
According to our marketing strategy, we will target first of all to colleges & universities of
major three cities. After the possible response from these cities we will take next step towards other
cities. After one to spot launching, we will start our work for the establishment of national
distribution network. We will establish this network within next 10 12 years, which include each
& every street of the Pakistan.
Competitive Position
The competitor analysis for Snacks Industry of Pakistan regarding marketing affairs is easily
understandable by this table, which provide segmented percentages as,
Super Crisp Super Crisp is the market leader with maximum market share of almost near
40%. Now they are in big threat due to lays. The age segment for Super Crisp ranges from 5 20.
Golden Chips The sale price of golden chips is Rs. 5. They are targeting to Sec B & C.
Kolson Chips Kolson successful products include Slanty. They have chips but they are not
successful and usually not regularly available.
Pringles Pringles is imported from other countries by P&G. They are hygienic, best
quality crisps and they are quite expensive. Pringles are targeting to Sec A1 & Sec A2.
Section 06:
Industry Analysis
Chips Manufacturing Plants Currently in Operation

Following are the major and leading Producers of Potato Chips (Crisps) in Pakistan. The
Crisps are being produced by direct Potato Cuts/slices and also by Extrusion Process. However,
there is not a single Frozen French-Fries Producing Company / facility in Pakistan.
Sr. No:
COMPANY NAME
BRAND
1-
Standard Foods (Pvt.) Limited
NAME
Golden Chips
2-
Tripple EM (Pvt.) Limited
Super Crisps
345-
Kohinoor Smith (Pvt.) Limited

Consolidate
Trading Enterprises
Smiths
Kolson
Krincles
We know that all of these firms are operating in the vegetables snacks not in fruit snacks like
us. It will be a competitive advantage for us to produced a unique product for the market and
generate heavy profits. All of our competitors are strong but in condition to change the trend of the
market due to their brand reorganization at the national or international level.
Section 07:
Marketing Plan
Section 07:
Marketing Plan
We are producing Consumer Goods which are purchased by ultimate user from retailer
outlets for their own personal usage. Within the head of consumer goods, we are producing
Convenience Goods most of the time these goods are purchased in small quantities and have a
low unit value. The profit margin on convenience goods is not so much as like other kinds of goods.
According to the term Marketing Research the systematic design, collection, analysis &
reporting of data relevant to a specific marketing situation facing an organization. We have
conducted marketing research through questionnaires in our target market.
Survey Research the most widely used method for primary data
collection, is the approach best suited for gathering descriptive information.
A company that wants to know about peoples knowledge, attitudes,
preferences or buying behavior can often find out by asking them directly.
The questionnaire of our marketing research is attached in the Appendix.
Product Feasibility & Strategy

Our product Banana Crazee, the modified form of Banana Chips in the national market
of Snacks Industry will may change the trend of people from vegetable snacks towards the fruit
snacks. Thats why the slogan of our product is Banana Crazee the taste of nature.
In our initial launching, we are introducing two products of Banana Crazee with different
tastes to understand the behavior of the market & customer towards the fruit snacks as,
BANANA CRAZEE Saltiest
BANANA CRAZEE Chill Up
Banana Crazee Saltiest:The salty flavor of snacks especially for kids & health
conscious people who avoid from the high fats & sugar. The neutralized iodized (0.025%) salt will
be added in this product for the taste & ultimate flavor.
Section 07:
Marketing Plan
Banana Crazee Chill Up:The chilly flavors of snacks for young people especially
for girls who demand something chill in their food. Various kinds of masalas and magnesium salts
will be added in this product for the taste.
We are introducing two packing for both flavors as,
Mini Pack Banana Crazee = 30 Grams with Rs. 20/= for consumer
Midi Pack Banana Crazee = 65 Grams with Rs. 35/= for consumer
Product
Banana Crazee
Banana Crazee
Taste
Saltiest
Chill Up
Weight
30 Grams
65 Grams
RP (For Mini Pack)

Rs. 20/=
Rs. 20/=
RP (For Midi Pack)

Rs. 35/=
Rs. 35/=
* RP = Retail Price price for ultimate consumer

* The Firms Profit + Distribution Channels Profit = Retail Price (RP)
The product analysis regarding their ingredients will be shown on the product design
(prototype) which is attached in the Appendix. The analysis of ingredients is determined by the
Forensic Department of Pakistan. The report of Forensic Department provides a satisfaction to our
product regarding the reverse engineering matters of our product, which are impossible due to their
unique kinds of tastes & items in it.
According to our price analysis, which is shown on next pages, we are in condition to
generate a great profit from each unit sold down in the market. The Trade Price (firms price for
their customers) is shown in this table as:
=
Price
firms
for
Product
Weights / Quantity
Banana Crazee
30 Grams / Mini
Saltiest
Banana Crazee
Pack
30 Grams / Mini
Chill Up
Banana Crazee
Pack
65 Grams / Midi
Saltiest
Banana Crazee
Pack
65 Grams / Midi
Chill Up
Pack
Master
TP for Master
Packing
Pack
Rs. 17/=
48 pieces
Rs. 816/=
Rs. 17/=
48 pieces
Rs. 816/=
Rs. 29/=
24 pieces
Rs. 696/=
Rs. 29/=
24 pieces
Rs. 696/=
TP of Each Unit
* TP
Trade
price
their
customers
* Master Packing = Cartons
* Mini Master Packing = (Rs. 17 48 pieces) = Rs. 816/=
* Midi Master Packing = (Rs. 29 24 pieces) = Rs. 696/=
Section 07:
Marketing Plan
Marketing Strategies
We are discussing four marketing strategies which will may valid for next 15 years of the
business life. All of these strategies are based on the time period to launching the product in any city
or part of the Pakistan.
Initial Launching Marketing Strategy

Phase Marketing Strategy
General Marketing Strategy
National Marketing Strategy (Appendix)
All of these strategies have following terms which are used by Frito Enterprisez for their
marketing plans & promotions as:
Discount Package
Free Scheme
Extra Benefits Allowance
Discount Package under this sales promotional package, we are giving various kinds of discounts
to distributors, retailers & also consumers for attract their attention towards us. The discount range
in this package is 2% - 15% according to time & situation.
Free Scheme under this sales promotional package, we are giving free units (in master packing)
on the master packing sales of cartons in big quantity. This scheme is valid only for distributors &
retailers. The range of master packing is varies from 1 carton 7 cartons.
Extra Benefits Allowanceunder this promotional package, we are offering so many kinds of
various things which will provide benefits to retailers & consumers not to distributors. Following
things are giving under this package as:
Product Display Stands

Publicity & Advertisement Material
Display Allowances
Discount Cards to Loyal Customers
Extra Discount to Anyone (0.5% - 3.0%)
Initial Launching Marketing Strategy
Section 07:
Marketing Plan
When we want to launch our product in any area of the Pakistan, then this initial strategy for
marketing & promotion will be implement for the penetration into the market as soon as possible.
Before 10 days to launching the product in any area, we will start our promotional activity which
includes, pamphlets, Banners, FM Adz, Cable Adz and Sign Boards Flexes. The quantity for this
promotional budget will vary with respect to the specific area & our promotional budget. All of this
promotional campaign will manage by Marketing Manager.
When we launch our product into the market, then we will never target to the distribution
network of this specific area, we will directly target to retailers & consumers who provide us value.
This penetration strategy wills breakdown the monopoly of distributor regarding our product. We
will introduce our product at initial level to colleges & universities of the specific area. The
canteens of these institutions will provide us demand in students & also in local market.
Under the Discount Package, we will provide 15% discount to our retailer or canteen owner
on retail price (RP) of each master packing for either (Mini- or Midi Pack). Under the Free Scheme,
we will offer him 2 Free Carton with 10 Mini Pack Cartons & 1 Free Carton with 10 Midi Pack
Cartons. It is the fully choice of retailer or canteen owner either he select Discount Package or Free
Scheme but not both.
Under the Extra Benefits Allowance, we will provide him 1 stand on the net purchase of 3
cartons of anyone master packing. If he wants to purchase more than 3 cartons, then we will provide
him 2 stands on the net purchase of 5 cartons. At least one stands is compulsory for each retailer or
canteen owner. We will provide one banner to each retailer and 100 pamphlets without any kind of
cost for their counter display on each delivery.
If we conduct any Spot Activity for consumers then we will provide him 40% discount on
the retail price. This spot activity must be sponsor by Frito Enterprisez may on the behalf of some
retailer or any other entity. For the conduction of spot activity, our Marketing Manager will manage
whole campaign.
This strategy will be valid till after 30 days to the introduction of the product in the market.
After 30 days, we will move towards the next scheme.
Phase Marketing Strategy
Section 07:
Marketing Plan
After the 30 days to the launching of product, we will implement the Phase Marketing
Strategy. Under this strategy, we will provide 10% discount to each retailer on retail price (RP)
under the activity of Discount Package. If he want to enjoy with the Free Scheme, then 2 Free
Cartoons with 10 Mini Pack Cartons & 1 Free Carton with 10 Midi Pack Cartoons. This scheme
is same as like in previous strategy. Like previous strategy, it will be the fully choice of retailer or
canteen owner either he select Discount Package or Free Scheme but not both.
Under the Extra Benefits Allowance, we will provide him 1 stand on the net or credit
purchase of 3 cartons of anyone master packing. If he wants to purchase more than 5 cartons, then
we will provide him their demanded number of stands. At least one stands is compulsory for each
retailer or canteen owner. We will provide one banner to each retailer and 100 pamphlets as
promotional activity to their counter display on each & every delivery.
If we conduct any Spot Activity under the Phase Marketing Strategy for consumers then
we will provide him 40% discount on the retail price. This spot activity must be sponsor by Frito
Enterprisez may on the behalf of some retailer or any other entity. For the conduction of spot
activity, our Marketing Manager will manage whole campaign.
This strategy will be valid till the allocation & deal of any distributor in the specific area.
Under our projection analysis, we will get no more time to the allocation of any distributor for our
product. According to Market Analysis, we demand just maximum 5 months for the execution of
any distribution in specific area, where we already has launched our product.
General Marketing Strategy

When we have our own distributor in the specific area where we have already launched our
product, then we will implement our General marketing Strategy. This strategy is just valid for
Distribution Network, if in any case the distribution network will may not establish in the specific
area within 5 months to launching of our product. Then we will continue the previous strategy till
we establish our sole in this area.
Section 07:
Marketing Plan
Under this Discount Package, we will provide Rs. 1.5/= on Mini Pack & Rs. 3/= on Midi
Pack, on each unit without any kind of carriage expenses. And, distributor will provide Rs. 1.5/= on
Mini Pack & Rs. 3/= on Midi Pack, on each unit to retailer, all carriage expenses of distributor
will less from this profit margin of retailer. Except from this profit margin on each unit, we will
provide 1 Free Cartoons with 10 Mini Pack Cartons & 1 Free Carton with 15 Midi Pack
Cartoons under Free Scheme.
Under the Extra Benefits Allowance, we will offer following this to each distributor as our
authorized dealer in the specific area, which jurisdiction is allocated by our Marketing Manager.
All the expenses of carriage till the delivery in the hands of the distributor
He have ability to demand sufficient stands according to their requirement
He have ability to demand enough promotional material as their requirement
All the advertisement expenses will be bear by the firm
Firm will allocate a sufficient balance for the retailers as their Display Allowance which
given on the behalf of the distributor

The Usage of Display Allowance is in the hands of distributor with specific evidence
The Marketing Manager have ability to give 0.5% to 3.0% extra discount to any
distributor on the behalf of their huge delivery & repeat sales behavior
If we conduct any Spot Activity under the General Marketing Strategy for consumers then
we will provide him 35% discount on the retail price. This spot activity must be sponsor by Frito
Enterprisez just on the behalf of our distributor who gain the profit 5% of the total sales in this spot
activity as their profit margin. For the conduction of spot activity, our Marketing Manager will
manage whole campaign.
This strategy will be valid for the implementation of new strategy for any distributor.
Section 07:
Marketing Plan
Pricing Strategies
We knew that price competition is the core element in the free economy. For setting prices
of products various kinds of supply & demand forces shows their behavior in the general market.
The companies are not freely independent to charge their prices from customers according to their
demand.
We allocate our prices or customers & consumers on the following basis according to this
given below pattern as:
Price / Cost
Total Variable Cost
Carriage Expenses
Selling Commission
Total Cost Per Unit
Fixed Cost Reserve
Firm Profit
Trade Price (TP)
Distributor Margin
Retailer Margin
Retail Price (RP)
Weights (in grams)
For Mini Pack (in rupees)

7.35
0.50
0.50
8.35
1.00
7.65
17/=
1.50
1.50
Rs. 20/=
30 Grams
For Midi Pack (in rupees)

14.15
0.50
0.50
15.15
1.00
12.85
29/=
3.00
3.00
Rs. 35/=
65 Grams
* Total Variable Cost = represents the cost of product which firm bear to produce a product which will be discussed in the Appendix
* Carriage Expenses = all the expenses which firm will bear to transport the product in the hands of distributor or retailer
* Selling Commission = Rs. 0.50 or each unit will be equally divided into the Marketing Manager & specific Salesperson who sold this
unit
* Fixed Reserve Cost = a reserve which may used for any affair of the firm may be for the recovery of Fixed Cost by the instructions of
CEO/Chairman
* Firm Profit = This is the Gross Profit Margin of the firm which will used to pay various kinds of expenses & fixed costs to the operations
of the Frito Enterprisez
* Trade Price = a firm price for their customers but not for their retailers
* Distributor Margin = a gross profit for the distributor to operate their business
* Retailer Margin = a gross profit for the retailer which may includes the carriage expenses from distributor
* Retail Price = a price for the ultimate consumer who purchase our product from the retailer elsewhere in the Pakistan
Section 07:
Marketing Plan
Promotional Strategies
Most of the promotional strategies are discussed in the product feasibility & strategy but for
more common practice, we also discuss various modes of promotional activities which choose by
our firm for themselves under the limitations of their budget.
We will start our various promotional activities since 10 days before to the initial launching
of our product in the specific area market. In our first 3 years, we will use following promotional
modes to convey our message towards the general public as:
Pamphlets
Banners
Voucher Billing Pads
Sign Board Flexes
FM Band Advertisement
Local Cable Advertisement
After the 3 years to the launching of our product, when we feel we are in better condition to
handle our brand value then we will target National Media for our promotional advertisements. We
will target PTV, Geo Network, Express Network and Duniya Network in possible time. Our first
preference for the national advertisement will be the prime time.
For the day first to next 5 years, we will provide following promotional activities &
customers behaviors activities for the loyalty of our brands as:
Toll Free Number on backside to product design

E Mail ID + Web link on the product design
Complaint Officer in the Head Office, Lahore
Garments with labeled promotional adz (as t shirts, bands, etc)
Shopping Bags
Calendars
Key Chains, etc.
Section 08:
Operational Plan
Section 08:
Operational Plan
The concept of production refers to the transformation of inputs or resources into outputs of
goods & services. The Inputs are the resources which used in the production of goods & services.
There are two kinds of inputs as Fixed Inputs & Variable Inputs. The term Fixed Inputs refers that
inputs or resources which cannot change be readily changed during the time period under
consideration, except perhaps at very great expenses. And, the Variable Inputs refers that inputs or
resources which can easily varied and on very short notice.
The concept of Short Rum Time Period & Long Run Time period is mostly used in the
production concept. For the Short Rum Time Period, we refers the time period during which at
least one input act as fixed. And for the Long Run Time Period, we refers the time period when all
the inputs are variables.
Method of Production
We have proper Assembly Line (A/L) for our production setup with the name of Frito
Assembly Line (A/L) which has control on each & every operation of the production. Our
Assembly Line has following characteristics as:
This Line provide 1250,000 units production per year

Daily 9 Hours working time
This Production Capacity will may be enhance by the induction of more plants
Quality Output
Efficient use of inputs or resources
Low or no wastage
Minimum ratio of Natural Variation in the Final Output
Labor & Machinery Oriented Assembly Line
Have complete control on cost behavior of product cost
No Extra Qualified & Experienced Labor is required
Section 08:
Operational Plan
For the operational practice of the Frito Assembly Line, we required a huge capital &
manpower but all of these costs will be no more when we get huge production with very low cost
from this production process with minimum ratio of variation.
Production Capacity
The Production Analysis for first 5 years with relevant plant & machinery as shown in
Appendix, our Frito A/L has the following production capacity to fulfill the demand of the market
in very easy & convenient way.
Production Capacity Analysis
Particulars
Per Hour Production
Daily Production
(440 9 hrs)
Monthly Production
(3,960 26 days)
Bi - Annually
(102,960 6 months)
Production
Annually Production
(102,960 12 months)
(with limitations)
Annually Production
(Estimated)
Produced Units
440
3,960
102,960
617,760
1,235,520
1,250,000
Availability of Labor
In the Frito Assembly Line (A/L) for the Production Capacity of 1250,000 units annually,
we have to require just 4 skilled persons without any kind of skilled labor who manage the whole
Assembly Line, our production process is so simple. There is no any need to get experienced &
extra skilled labor for the production operations. We required most skilled people for the plant
operations in following departments as:
Sterilizing Department
Frying Department
Masalas Containers
Packing to Packets Department
Section 08:
Operational Plan
For the Frito Assembly Line, we are offering wages on daily basis for the labor and salary +
wages for the four Skillman. We are providing sufficient pays to our labor for their benefits on daily
basis to raise their living standards.
Labor Wages & Salaries Portfolio
Labor
Worker
Skillman
Salary (monthly)
- N/A Rs. 5000/=
Wage (daily)
Rs. 250/=
Rs. 150/=
Working Hours
9 Hours
9 Hours
We are providing some extra ratio wages on daily basis to or labor. It is just because we
want to get work from them at their maximum level. The working hours are 9 for our production
day. The A/L working timing will be fixed for each & every worker & employee as:
From 8:00 am to 1:00 pm
1 Hour Breakdown
From 2:00 pm to 6:00 pm
All kind of labor affairs will be discussed in the Fritos Newsletter according to the
specific time & situation. The Incharge for the Assembly Line (A/L) will be Production Manager &
HR Manager who also responsible for each & every aspect of the A/L.
For the proper working on the Assembly Line (A/L) following staff will be present on this
deck in the working timing as:
Labor
Production Manager
Quality Inspector
HR Manager
Asst. HR Manager
Clerical Staff
Skillman
Worker
Worker
Bottom Line Management
Quantity
1
1
1
1
1
4
15
5
2 (Day & Night)
1
1
Work Arena
Incharge of A/L
Quaintly Checker
Incharge for Human Resource
Assistant for Hr Manager
For A/C based matters
Skill Person for A/L
Labor for A/L
Helper for A/L
Watch Man
Sweeper
Helper
Section 08:
Operational Plan
Production Assembly Line

Raw Material Stock
Sterilizing Deptt.
Banana Cutting Deptt.
All the plants in this Assembly Line have the

Production Capacity of 1250,000 units per
year
Drying Deptt.
Frying Deptt.
Evaporating
Deptt.
Stock Outside to Firm

Containers
Masalas
- Saltiest
- Chill Up
Packing to
Packets
Company Stock Warehouse
Section 08:
Operational Plan
Quality Control
Frito Enterprisez is Quality Conscious organization, for the proper allocation of quality
affairs in our production process we are hiring a Food Quality Inspector for our own organizational
quality affairs. He will be responsible for the quality techniques which may implement on the
production operations. It is our first preference to produce minimum variation output for our
customer. For the quality enhancement program, we follow those techniques which are less costly
& greater beneficial for us.
Quality Statement
The quality is an integral part of our commitment to world class products. Our aim is to
provide zero defected and zero variation products to our consumers
For the Quality Enhancement Program in the Frito Enterprisez, we will use the Statistical
Process Control (SPC). According to SPC, we will use a statistical method for separating variations
from the special cause to natural cause, for the elimination of the special cause variations and
minimizing the natural cause variations on the continual basis improvements in the production
process.
Section 09:
Financial Plan
Section 09:
Financial Plan & Analysis

Finance is the most important aspect of the business regardless to their qualified product or
service. Without it the startup & survival of the business is impossible. The invention, discovery &
execution of idea into practical are not as so much important as the Finance is important to
commercialize anything. According to the Howard & Upton,
Finance may be defined as that administrative area or set of administrative functions in an
organization which relate to the objectives as satisfactory as possible
For the proper execution of Frito Enterprisez, Finance is the most important aspect to
startup the firm and also has working capital for next 3 4 years to operate various matters of the
business. Our total capital requirement is Rs. 225 Million with 90% return on Net Profit of the Firm
to all Stakeholders. And the remaining 10% will be act as the Saving Reserve for the Frito
Enterprisez.
Total Capital Requirement

Our firm Frito Enterprisez will be work under the status of Private Limited Company
who has various partners which may invest their money and skills. The ownership title of this
organization will be goes to various personalities who invested their money & experiences with us.
But the general partners & owner of our business will be our investors & bankers who provide us
huge money to startup this business. Following are the investors & bankers are willing to invest
their money in our business as:
-
Investor # A
Investor # B
Investor # C
Banker # A
Banker # B
Banker # C
Legal Advisor
Rs. 26 Million
Rs. 20 Million
Rs. 15 Million
Rs. 13 Million
Rs. 11 Million
Rs. 7 Million
Rs. 4 Million
Total Investment
Rs. 100 Million

Section 09:
Financial Plan
Initial Capital Requirement

For the proper operations of the Frito Enterprisez, we will demand capital in various 5
stages, means we will tackle the capital from all investors & bankers within 5 years to startup the
business. And, within these 5 years we will also achieve our breakeven point and provide some
return to our investors.
First Year Requirement (Initial Costs)
Particulars
Amt (in Rupees)
Plant & Equipments
2,030,000
Office Equipments + Furniture
1,163,000
Other Fixed Costs
3,445,000
Annual Salaries Reserves
7,872,000
Wages Reserve (Rs. 146,000 12)
1,752,000
Promotional Budget
5,000,000
Operating Expenses Reserves
5,532,000
Raw Material Reserve
18,000,000
Working Capital
4,000,000
Preliminary Expenses
1,206,000
Total Ist Year Capital Requirement
50,000,000
All the details for the utilization of this funding is given below here, but also see the
Appendix for the proper understanding each & every transaction.
Section 09:
Financial Plan
Return on Investment (ROI) Policy

According to our Return on Investment (ROI) Policy, we will give following returns to all
investors on the Net Profit of the firm, by deducting all the expenses & costs of the business.
These returns are calculated on the investment basis of each investor/banker.
Owner Preference
%age Investment
Return on Investment (%)
Investor # A
Investor # B
Banker # A
Investor # C
Banker # B
Banker # C
Legal Advisor
CEO/Chairman
Coordinator
Company Savings
Total
26%
20%
15%
13%
11%
7%
4%
Skilled Base
Skilled Base
(for future concerns)
100% + Skills
14%
12%
14%
08%
12%
10%
3%
10%
7%
10%
100%
According to our project data, we will give possible returns to our investors in the following
manner as:
Projected Rate of Returns to Investors (figures in 000)
Particular
Rate of
Return
Year - 1
Year - 2
Year - 3
Year - 4
Year - 5
Year - 6
Year - 7
Year - 8
Year -
Year
- 10
Investor # A
14%
200
608
913
1,578
1,847
3,054
4,136
5,924
6,064
Investor # B
12%
200
522
782
1,352
1,583
2,617
3,545
5,078
5,198
Investor # C
8%
200
313
521
902
1,056
1,745
2,363
3,385
3,465
Banker # A
14%
200
608
913
1,578
1,847
3,054
4,136
5,924
6,064
Banker # B
12%
200
522
782
1,352
1,583
2,617
3,545
5,078
5,198
Section 09:
Financial Plan
Banker # C
10%
200
435
652
1,127
1,320
2,181
2,954
4,232
4,332
Legal Advisor
3%
200
130
196
338
396
654
886
1,269
1,299
10%
200
435
652
1,127
1,320
2,181
2,954
4,232
4,332
7%
200
304
456
789
924
1,527
2,068
2,962
3,032
10%
200
435
652
1,127
1,320
2,181
2,954
4,232
4,332
CEO/Chairma
n
Coordinator
Savings
Section 09:
Financial Plan
CVP Analysis
According to the Cost, Volume & Profit (CVP) Analysis, we will achieve our breakeven
point within the time period of 3 4 years. After the achievement of breakeven point, our each unit
has the profitability margin of 45%. When we will exclude all expenses from this ratio then may we
will have 30% for the distribution of return to investors. And we also has 5% as Saving Reserve
for the Frito Enterprisez as Ploughing Back Profit which refers the use of business profit for its
development. This is the best one strategy to expand the business without any kind of debt or
external financing.
Product Variable Cost Schedule
Particular
For Mini - Pack
For Midi - Pack
30 Grams
65 Grams
Basic Raw Material
1.75
3.70
Banana Cutter Deptt.
0.00
0.00
Sterilizing Deptt.
0.70
1.90
Drying Deptt.
0.00
0.00
Frying Deptt.
1.00
1.70
Evaporating Deptt.
0.15
0.50
Masala's Deptt.
0.75
1.60
Packing to Packets
2.50
3.75
Weight
Master Packing
0.50
1.00
Total Variable Cost
7.35
14.15
Carriage Expenses
0.50
0.50
Selling Commission
0.50
0.50
Fixed Cost Reserve - FCR
1.00
1.00
Total Cost / per unit
9.35
16.15
Firm's Profit
7.65
12.85
17.00
29.00
Distributor Margin
1.50
3.00
Retailer Margin
1.50
3.00
20.00
35.00
Trade Price (TP)
Retail Price (RP)
(All the given below ratios are calculated according to the (TP)
Total Cost Ratio
43.24%
48.79%
Contribution Margin Ratio
56.76%
51.21%
Profitability Ratio
45.00%
44.31%
Section 09:
Financial Plan
For the achievement of breakeven, we have,

BreakEvenUnits=
FixedExpenses
UnitContributionMargin
BreakEvenUnits=
80 Millions
24.50
Break Even Units = 3,265,307 units

Break Even Units = 3,300,000 units (EST.)
According to Frito Assembly Line (A/L), the breakeven point will be achieve very soon due
to our high production capacity with low per unit cost as:
BreakEvenTimePeriod =
3,300,000
1,250,000
Break Even Time Period = 2.64 years (32 months)
According to our CVP Analysis, we will achieve our breakeven after 32 months from the
sale of first unit, if we sale 1,250,000 units each year estimated. In our common practice, we will
achieve the breakeven easily maximum in 3 years because we have unique trend product for the
market with reasonable price which have high profitability margin for us.
In our common observation, we have 45% average profit on each unit which sale down in
the market after the achievement of the breakeven stage of the business. This is investor attracting
calculations which are easily possible in the Food Industry.
Section 09:
Financial Plan
Projected Income Statement

(Figures in 000)
Particular
Year - 1
Year - 2
Year - 3
Year - 4
Year - 5
Year - 6
Year - 7
Year - 8
Year - 9
Year - 10
Sales
25,900
33,300
42,550
48,100
57,350
74,800
94,600
113,300
143,264
145,596
CGS
7,525
9,675
12,363
13,975
16,663
25,840
32,680
39,140
49,491
50,297
Gross Profit Margin
18,375
23,625
30,188
34,125
40,688
48,960
61,920
74,160
93,773
95,299
Selling Commission
350
450
575
650
775
850
1,075
1,288
1,628
1,655
Selling Expenses
350
450
575
650
775
850
1,075
1,288
1,628
1,655
FCR
800
1,200
1,500
1,400
1,300
1,600
1,800
2,575
3,256
3,300
16,875
21,525
27,538
31,425
37,838
45,660
57,970
69,010
87,261
88,690
Salaries
7,872
7,872
7,872
7,872
7,872
16,404
16,404
16,404
16,404
16,404
Operating Expenses
5,532
5,532
5,532
5,532
5,532
7,236
7,236
7,236
7,236
7,236
5,000
2,500
2,500
1,700
2,061
8,000
8,000
8,000
8,000
8,000
332
315
300
285
270
1,045
1,045
1,045
1,045
1,045
10,125
12,125
10,125
10,125
10,125
10,125
10,125
10,125
10,125
10,125
(1,986)
(1,819)
6,209
9,311
16,099
18,850
31,160
42,200
60,451
61,880
Excise Duty
(298)
(273)
931
1,397
2,415
2,828
4,674
6,330
9,068
9,282
Sales Tax
(298)
(273)
931
1,397
2,415
2,828
4,674
6,330
9,068
9,282
Net Profit
(1,390)
(1,274)
4,346
6,518
11,269
13,195
21,812
29,540
42,316
43,316
Investor Returns
(1,251)
(1,146)
3,912
5,866
10,142
11,876
19,631
26,586
38,084
38,985
Saving Reserve
(139)
(127)
435
652
1,127
1,320
2,181
2,954
4,232
4,332
Net Operating
Income
Promotional
Expenses
Depreciation
Financial Charges
Net Profit (before
Tax)
Section 09:
Financial Plan
Projected Balance Sheet

(Figures in 000)
Particular
Year - 1
Year - 2
Year - 3
Year - 4
Year - 5
Year - 6
Year - 7
Year - 8
Year - 9
Year - 10
Fixed Assets
Total Fixed Assets
6,638
6,306
5,991
5,691
5,406
14,595
13,550
12,505
11,460
10,415
Less - Deprecation (5%)
332
315
300
285
270
1,045
1,045
1,045
1,045
1,045
Total Fixed Assets Value
6,306
5,991
5,691
5,406
5,136
13,550
12,505
11,460
10,415
9,370
5,532
5,532
5,532
5,532
5,532
7,236
7,236
7,236
7,236
7,236
5,000
2,500
2,500
1,700
2,061
8,000
8,000
8,000
8,000
8,000
Current Assets
Operating Expenses
Promotional Budget
Reserve
Salaries Reserve
7,872
7,872
7,872
7,872
7,872
16,404
16,404
16,404
16,404
16,404
Wages Reserve
1,752
1,752
1,752
1,752
1,752
5,340
5,340
5,340
5,340
5,340
Working Capital
4,000
344
844
144
783
1,561
200
200
200
200
18,000
40,000
40,000
40,000
40,000
40,000
18,000
18,000
18,000
18,000
Stock & Spares
9,913
12,675
15,750
10,213
6,988
22,952
29,184
28,956
18,377
6,992
A/C Receivables
16,835
21,645
27,658
36,265
47,278
57,620
71,490
83,645
93,122
94,638
Banked Cash
20,938
35,109
63,511
143,095
185,009
157,548
233,627
299,213
391,117
470,775
852
580
890
1,021
1,589
1,789
2,014
2,546
2,789
3,045
97,000
112,000
150,000
231,000
282,000
332,000
426,000
503,000
593,000
662,000
Induced Capital
60,000
96,000
132,000
167,000
203,000
291,000
368,000
445,000
522,000
599,000
Profit for the Year
(1,390)
(1,274)
4,346
6,518
11,269
13,195
21,812
29,540
42,316
43,316
(2,000)
(2,100)
(2,500)
(2,400)
(2,300)
(2,100)
(2,400)
(2,500)
(2,100)
Long - Term Loans
35,000
15,000
10,000
50,000
62,000
18,000
24,000
13,000
10,000
16,000
A/C Payables
2,634
3,386
4,327
7,891
5,832
9,044
11,438
13,699
17,322
1,764
756
888
1,427
2,091
2,299
3,061
2,850
4,161
3,862
4,020
97,000
112,000
150,000
231,000
282,000
332,000
426,000
503,000
593,000
662,000
Goodwill
Total Assets
Capital Equity:
Business Draws
Current Liabilities
Various Provisions
Total Owner's Equity
Section 09:
Financial Plan
Exit Strategy
If our business will never proceed towards the profit generation then we will provide an exit
way to our all stakeholders to leave the organization in reasonable & respected way in the better
interest of the business community. Following some strategies are shown which we will provide in
case of loss in the business as:
Sale of Business to any Heavy Weight of Snacks Industry with Product Formula
To merge Frito Enterprisez with any other Industry related Firm
Bank Raptly Slip to our all stakeholders
Section 10:
Section 10:
Management Risks
Production Wastage
Labor Conflicts
Low Coordination
Leg Pooling Environment
Conflicts in Board of Directors
Conflicts in Directors & Investor/Banker
Low Level Management Problems
Marketing Risks
The Market Breakdown

Any Market Crash
Lays As Competitor
Conflicts with Distributors
Decline in the Industry
Sudden Change in Trend
Operating Risks
Wastage During the Production

Low Quality of Bananas
Conflicts with Suppliers
Less Coordination in A/L
Less Working Environment in A/L
Conflicts b/w A/L Staff
Financial Risks
Less Capacity for Fulfill the Demand in first 5 years

Financial Crack Down in Market
Political Instability
Law & Order Instability
Section 10:
Extra Money Utilize for Quality Enhancement

High Wastage Dumping Cost
Energy Crisis
Lays Financial Take Over
Intellectual Property
Govt. Banned Policies

Decline in Goodwill by Competitor
Stolen of Trade Secrets
Legal Copy of Copyrights
Public Rules & Regulations
Other Risks
High Taxation
Inflation Trends in the Market
Decline in the Value of Money
Rising Prices of Raw Material
Govt. Food Department Conflicts
Appendix
10 Years Capital Requirements
Section 11:
AppendiX
Section 11:
AppendiX
Consumer Segmentation
We get many advantages from this survey research as its flexibility which we can use our
research & their results in producing so many other products which will may provide us much value in the
future. The market segmentation in our market is like this:
Section 11:
Geogra
phic
Demogr
aphics
Age
Gender
Launched in all main

cities of Pakistan
AppendiX
Family
Life-Cycle
Income
Occupat
5 25 as core target
market
Male, Female.
Young, Single, Children,
New couples.
Pak Rs. 25000
College and School

going students.
Prep Masters
ion
N
ational
Marketing
Strategy
Educati
on
Psycho
graphics
Social
Class
LifeStyle
Middle, Middle Upper,

Upper class.
Social, Food Lover ,

Sporty
Extrovert, Complaint
Personal
ity
Behavio
ral
Benefits
User
Rates
Loyalty
Status
More material, Instant

gratification, Good taste
Light, Medium and

heavy users.
None, medium and

strong as well.
Unaware, informed,
present user.
This
strategy will be
implemented
by the mutual
concerns of all
the members to
board
of
directors
&
other heads of
various
departments,
according
to
the
larger
interest of the
Frito
Enterprisez.
This strategy
will be valid
for the national
level not for
any
specific
area
like
others.
Readine

ss Stage.
Section 11:
AppendiX
The implementation time for this marketing plan will be minimum 8 years to the proper
initial launching of our product in any specific area. Before to the time period of 8 years, this strategy will
never be implementable.
Under this strategy, we will target to our distributors not retailers because the profit margin
for retailers will be same as like in previous General Marketing Strategy. According to the Discount
Package, we will provide Rs. 1.5/= on Mini Pack & Rs. 3/= on Midi Pack, on each unit without
any kind of carriage expenses. And, distributor will provide Rs. 1.5/= on Mini Pack & Rs. 3/= on
Midi Pack, on each unit to retailer without any kind of carriage expenses. All the distributors &
retailers carriage expenses will be bear by Frito Enterprisez.
Under the Free Scheme, we will provide 2 Free Cartons with 20 Mini Pack Cartons & 2
Free Cartoons with 25 Midi Pack Cartoons to distributor except from the benefit of Discount
Package. Under the Extra Benefits Allowance, we will offer following this to each distributor as our
authorized dealer in the specific area, which re jurisdiction is allocated by our Marketing Manager.
All the expenses of carriage till the delivery in the hands of the distributor & retailer
He have ability to demand sufficient stands according to their requirement
He have ability to demand enough promotional material as their requirement
All the advertisement expenses will be bear by the firm
Firm will allocate a sufficient balance for the retailers as their Display Allowance which given on the
behalf of the distributor
The Usage of Display Allowance is in the hands of distributor with specific evidence
The Firm will provide 2% extra discount to those distributor who will continue their working relations
with us since from first day to the establishment of distribution network in the specific jurisdictions.
The Marketing Manager have ability to give 0.5% to 1.5% extra discount to any distributor on the behalf
of their huge delivery & repeat sales behavior
If we conduct any Spot Activity under the National Marketing Strategy for consumers then
we will provide him 25% discount on the retail price. This spot activity must be sponsor by Frito Enterprisez
just on the behalf of our distributor who gain the profit 5% of the total sales in this spot activity as their profit
margin. For the conduction of spot activity, our Marketing Manager will manage whole campaign.
This strategy will be valid for minimum 10 years after their first day to implementation, and
after this time period, Firms officials have ability to change this strategy according to the new trends of the
market.
Future Prospects
For the future concerns, we are very familiar that our production capacity should enhance to
capture the market under Twice Production Strategy. For this purpose, we will enhance our
production capacity till double after 5 years to launching a product. Our plant & machinery
equipments are not costly as like other firms, so due to this benefit we will easily double our
production within next 6 years.
Now we will in condition to produce 1250,000 units annually, but with the twice
enhancement in production capacity, we will produce 2500,000 units annually under the program of
Twice Production Strategy. This figure will also generate our profit margin at high level without
any kind of high fixed cost on the firms profitability because for this purpose, we have the reserve of
Fixed Cost Reserve (FCR).
Production Capacity Analysis

P
AppendiX
Section 11:
Particu
lars
U
n
i
t
s
Per
Hour
Produc
tion
r
o
d
u
c
e
d
0
0
8
Daily
(900
Produc
tion
9
hrs)
Monthl
(8,100
y
Produc
tion
26
days)
Bi -
(210,6
Annual
ly
Produc
tion
00 6
month
s)
(210,6
Annual
00
12
month
s)
ly
Produc
tion
,
1
0
0
2
1
0
,
6
0
0
1
,
2
6
3
,
6
0
0
2
5
,
5
2
7
,
2
0
0
By Twice
Production
Strategy,
our
resources & labor
cost will also raise
up.
For
this
production
concern, we have
high profitability
margin and also
the reserve of
expenses
/
operations
of
factory. We are
very hopeful that
our finance will
never create any
problem in our
business.
(with limitations)
2
Annual
BANANA CRAZEE
ly
= Produc
A Product
tion
(Esti
by
,
5
6
0
,
0
0
mated Enterprisez~ 59 ~
Frito
)
Section 11:
AppendiX
Capital Requirement / Capital Flow of Ten Years
First Year Requirement (Initial Costs)
Particulars
Plant & Equipments

Other Fixed Costs
Promotional Budget
Working Capital
Preliminary Expenses
Amt (in
Rupees)
2,030,000
1,163,000
3,445,000
7,872,000
1,752,000
5,000,000
5,532,000
18,000,000
4,000,000
1,206,000
50,000,000
Second Year Requirement

Particulars

Promotional Budget
Working Capital
Amt (in
Rupees)
7,872,000
1,752,000
2,500,000
5,532,000
18,000,000
344,000
36,000,000
Third Year Requirement

Particulars

Promotional Budget
Working Capital
Amt (in
Rupees)
7,872,000
1,752,000
2,000,000
5,532,000
18,000,000
844,000
36,000,000
Section 11:
AppendiX
Particulars

Promotional Budget
Working Capital
Fourth Year Requirement
Amt (in
Rupees)
7,872,000
1,752,000
1,700,000
5,532,000
18,000,000
144,000
35,000,000
Particulars

Promotional Budget
Working Capital
Fifth Year Requirement
Amt (in
Rupees)
7,872,000
1,752,000
2,061,000
5,532,000
18,000,000
783,000
36,000,000
Sixth Year Requirement (New - Initial Costs)
Particulars
Plant & Equipments
Working Capital

Other Fixed Costs
Promotional Budget
Amt (in
Rupees)
3,190,000
1,229,500
5,040,000
16,404,00
0
5,340,000
8,000,000
7,236,000
40,000,00
0
1,560,500
88,000,0
00
Section 11:
AppendiX
Seventh Year Requirement
Working Capital
Promotional Budget
Working Capital
Promotional Budget
20,000
77,000,0
Particulars
Amt (in
16,404,00
0
5,340,000
8,000,000
7,236,000
40,000,00
0
20,000
77,000,0
00
Amt (in
Rupees)
Tenth Year Requirement
Working
CapitalParticulars
40,000,00
Rupees)
7,236,000
8,000,000
00
5,340,000
Total
Ist Year Capital
NinthRequirement
Year Requirement
Particulars
16,404,00
0
Eight Year Requirement
Amt (in
Rupees)
Particulars
Promotional Budget

16,404,00
0
5,340,000
8,000,000
7,236,000
40,000,00
0
20,000
Amt
(in
Rupees)
77,000,0
00 16,404,00
0
Working Capital
Promotional Budget
5,340,000
8,000,000
7,236,000
40,000,00
20,000
77,000,0
00
Section 11:
AppendiX
Total Fixed Costs Details for Initial 5 Years
AppendiX
Section 11:
Person
CEO/Chairman
Investor
Banker
Coordinator
Legal Advisor
Finance Manager
Marketing Manager
Accountant
Production Manager
Quality Inspector
HR Manager
Asst. HR Manager
Business Consultant Agency
Law Firm
Audit Firm
Asst. Cost Manager
Complaint Officer
Salespersons
A/L - Labor
A/L - Skillman
H/O - Bottom Line Staff
A/L - Bottom Line Staff
Clerical Staff
Natu
10,000
Allo
10,000
Allo
10,000
Allo
10,000
Allo
10,000
Salar
35,000
Basic
30,000
Salar
20,000
Salar
25,000
Salar
20,000
Salar
30,000
Salar
20,000
Fixed
20,000
Fixed
10,000
Fixed
8,000
Salar
17,000
Salar
13,000
15
225,000
wance
wance
wance
Salary
Fee
Fee
Fee
Basic
Salary
Rs. 15,000
*
Wages
Basic
5,000
Salar
6 Rs.
8,000
Salar
4 Rs.
8,000
Salar
3 Rs.
20
4 Rs.
Salary
Amt (in
Rupees)
Allo
wance
ty
wance
Annual Salaries
Quanti
re
Total Monthly Salaries
Remuneration Schedule (Monthly)
11,000
-
N/A
20,000
48,000
32,000
33,000
656,000
7,872,000
Section 11:
AppendiX
AppendiX
Section 11:
Plant & Equipment Schedule
Plant/Machine
Each
Quanti
Item Cost
Banana Cutter
Sterilizer
Drying Machine
Frying Plant
Evaporator
Maslala
Packing Machine
Racks to Stock
Total Plant & Machinery
6,000
75
50,000
170,000
100,000
180,000
120,000
35,000
220,000
Cost
ty
2
1
2
2
2
2
2
Total Cost
100,000
170,000
200,000
360,000
240,000
70,000
440,000
450,000
2,030,000
Total Cost
Particular
Computers
Laser Printers
Lockers & Cupboards
Tables (for H/O)
Tables (for A/L)
Chairs (for H/O)
Chairs (for A/L)
Fixture (for H/O)
Fixture (for A/L)
Electric Equipments
Misc A/C (for H/O)
Misc A/C (for A/L)
Total Equipment Cost
Office Equipments & Furniture Schedule
Each Item
Quanti
Cost
ty
20,000
7,500
5,000
1,700
2,700
1,000
650
-
10
3
20
15
20
60
40
-
200,000
22,500
100,000
25,500
54,000
60,000
26,000
350,000
150,000
25,000
100,000
50,000
1,163,000
AppendiX
Section 11:
Wages & Commission Schedule
Marketing Manager
Salespersons
Labor
Person
Nature
Commissi
on
0.25/sol
d unit
Commissi
on
0.25/sol
d unit
Skillman
Amt (in
Rupees)
Wages
Wages
250/day
150/day
Other Fixed Assets Schedule
Mini Trucks
Each
Item Cost
870,000
Cultus Cars
870,000
A/L Generator
250,000
500,000
H/O Generator
250,000
250,000
Stock Carrier
8,500
10
Particular
Total Cost
Qua
ntity
Total Cost
870,000
1,740,000
85,000
3,445,000
Section 11:
Reserves for Operating Expenses Schedule

(monthly)
AppendiX
Particular
A/L - Electricity Charges

A/L - Gas Charges
H/O - Electricity Charges
A/L - Generator Reserve
H/O - Generator Reserve
A/L - Building Rent
H/O - Building Rent
Office Maintenance Reserve
Plant Maintenance Reserve
Engineering Maintenance Reserve
Transportation Reserve
Admin Operating Reserve
Total Operating Costs
Annual Operating Costs
Amt (in
Rupees)
120,000
70,000
30,000
20,000
15,000
40,000
120,000
7,000
5,000
1,500
30,000
2,500
461,000
5,532,00
0
AppendiX
Section 11:
Particular
Promotional Budget (for 5 years)
Each
Radio - Ad Making Expenses
Pamphlets
Cloth Banners
Publicity - Bill / Vouchers
14
Calendars
35
Shopping Bags (printed)
Shirts
Radio - Regular Ad
Cable - Regular Ad
Sign Board Flexes
Spot Activity
Marketing Reserve
Total Budget
3,000
50,000
7,000
5,000
30
Time
s
Cable - Ad Making Expenses
Item Cost
1,500
100
15,000
-
2
2
60
60
500,0
00
2,000
250
100,000
420,000
300,000
2,500,000
60,000
375,000
2,800,000
50,00
1,750,000
500,0
2,500,000
5,000
500,000
00
6,000
Total Cost
200,0
00
50
-
750,000
1,200,000
13,261,000
Section 11:
AppendiX
Total Fixed Costs Details for Next Five Years
Remuneration Schedule (Monthly)
Section
Person
11:
CEO/Chairman
Investor
Banker
Coordinator
Legal Advisor
Finance Manager
Marketing Manager
Accountant
Production Manager
Quality Inspector
HR Manager
Asst. HR Manager
Business Consultant
AppendiXQ
Agency
Law Firm
Audit Firm
Asst. Cost Manager
Complaint Officer
Salespersons
A/L - Labor
A/L - Skillman
25,
000
15,
000
10,
000
20,
000
50,
000
35,
000
25,
000
45,
000
22,
000
35,
000
45,
000
12,
000
12,
000
12,
000
12,
000
12,
000
t
(in
Ru
pee
s)
Am
15,
000
600
,00
0
N/
A
60,
000
Section 11:
AppendiX
AppendiX
Section 11:
New - Plant & Equipment Schedule
Plant/Machine
Ea
Banana Cutter
Sterilizer
Drying Machine
Frying Plant
Evaporator
Maslala
Packing Machine
Racks to Stock
60,
18
12
20
13
30,
23
al
Cos
t
7,5
Total Plant &
Machinery Cost
920
,00
0
120
,00
0
260
,00
0
600
,00
0
240
,00
0
180
,00
0
120
,00
0
Tot
750
,00
0
3,1
90,
000
AppendiX
Section 11:
New - Office Equipments & Furniture Schedule

E
a
c
h
It
e
m
C
os
t
Particular
Computers
Laser Printers
Lockers &
Cupboards
Tables (for
H/O)
Tables (for
A/L)
Chairs (for
H/O)
Chairs (for
A/L)
Fixture (for
H/O)
Fixture (for
A/L)
Electric
Equipments
Misc A/C (for

H/O)
Misc A/C (for

A/L)
8,
5,
2,
00
0
3,
00
0
1,
00
0
150
,00
0
15,
000
56,
000
200
,00
0
150
,00
0
25,
000
100
,00
0
20,
000
137
,50
0
56,
000
270
,00
0
Tot
al
Cos
t
50
0
Total
Equipment
Cost
,0
00
70
18
00
0
50,
000
1,2
29,
500
Section 11:
AppendiX
Wages & Commission Schedule
Person
Marketing Manager
Salespersons
Labor
Skillman
Co
Nat
Co
0.
0.
Wag
30
Wag
20
Section 11:
AppendiX
Other Fixed Assets Schedule
Particular
Eac
o
t
a
l
C
o
s
t
Mini Trucks
900,
Cultus Cars
830,
A/L Generator
300,
Stock Career
10,0
Total Cost
1
5
0
,
0
0
0
6
0
0
,
0
0
0
2
,
4
9
0
,
0
0
0
1
,
8
0
0
,
0
0
0
5
,
0
4
0
,
0
0
0
AppendiX
Section 11:
New - Reserves for Operating Expenses

Schedule (monthly)
Particular
A/L - Electricity Charges
A/L - Gas Charges
H/O - Electricity Charges
A/L - Generator Reserve
H/O - Generator Reserve
A/L - Building Rent
H/O - Building Rent
Office Maintenance
Am
150
90,
40,
Plant Maintenance
Reserve
Engineering Maintenance
Reserve
BANANA
50,
Reserve
20,
25,
140
10,
12,
2,5
Transportation Reserve
Admin Operating Reserve
Total Operating Costs
60,
3,5
Annual Operating Costs

CRAZEE= A
Product
by Frito
603
7,2
Enterprisez
~ 77 ~
Promotional Budget (for 5 years)
Section 11:
Particular
Appendi
X
Eac
o
t
a
l
C
o
s
t
Radio - Ad Making
Expenses
17,0
Cable - Ad Making
Expenses
1,05
Radio - Regular Ad
10,0
Cable - Regular Ad
6,50
Pamphlets
Cloth Banners
30
Sign Board Flexes
2,00
Publicity - Bill / Vouchers
17
7
0
0
,
0
0
0
7
5
,
0
0
0
5
,
4
0
0
,
0
0
0
3
9
0
,
0
0
0
6
0
0
,
0
0
0
1
,
0
5
0
,
0
0
0
3
4
,
0
0
0
8
,
5
0
0
,
0
~
0
0
4
78 ~
Product Variable Cost Schedule
Particular
Section 11:
Fo
30
65
1.7
3.7
0.0
0.0
0.7
1.9
0.0
0.0
1.0
1.7
0.1
0.5
0.7
1.6
2.5
3.7
0.5
1.0
7.3
14.
0.5
0.5
0.5
0.5
1.0
1.0
9.3
16.
7.6
12.
17.
29.
1.5
3.0
1.5
3.0
20.
35.
Weight
Basic Raw
Banana Cutter
Deptt.
Sterilizing Deptt.
Drying Deptt.
Frying Deptt.
Evaporating
Fo
Appendi
X
Material
Deptt.
Masala's Deptt.
Packing to
Packets
Master Packing
Total Variable
Cost
Expenses
Selling
Commission
Fixed Cost
Reserve - FCR
Carriage
Total Cost / per

unit
Firm's Profit
Trade Price (TP)
Distributor
Margin
Retailer Margin
Total Product
Cost for Initial
Five Years
Retail Price
(RP)
BANANA CRAZEE= A Product
by Frito Enterprisez~ 79 ~
Section 11:
AppendiX
Section 11:
AppendiX
Total Product Cost for Next Five Years
New - Product Variable Cost Schedule
Particular
Section 11:
Weight
Basic Raw
Material
Banana Cutter
Deptt.
Sterilizing Deptt.
Drying Deptt.
Frying Deptt.
Evaporating
Deptt.
Masala's Deptt.
Packing to
Packets
Master Packing
Total Variable
Cost
Carriage
Expenses
Selling
Commission
Fixed Cost
Reserve - FCR
Total Cost / per

unit
Firm's Profit
Trade Price (TP)
Distributor
Margin
Retailer Margin
Retail Price
Fo
Fo
AppendiX
30
65
2.0
4.0
6.
0.0
0.0
0.
0.5
1.7
2.
0.0
0.0
0.
1.1
2.1
2.
0.1
1.3
1.
0.8
1.7
2.
2.7
3.9
4.
0.6
1.1
2.
8.0
16.
0.5
0.5
0.
0.5
0.5
0.
1.0
1.0
1.
10.
18.
6.9
10.
17.
29.
1.5
3.0
4.
1.5
3.0
4.
20.
35.
BANANA CRAZEE=(RP)A Product by Frito Enterprisez~ 82 ~
Section 11:
AppendiX
Section 11:
AppendiX
Questionnaire for the Concept Testing

A Concept Testing Surveys by
Frito Enterprisez
(Banana Crazee A Taste of Nature)
Are you student at which level?

School Level
College Level
University Level
The Age Interval?

10 years 20 years
20 years 30 years
30 years 40 years
More _______ (in years)
Gender
Male
Female
Are you?
Quality Conscious
Price Conscious
Brand Conscious
Are you mentally prepared to adopt new trends of the market?

Yes
No
Are you mentally prepared to adopt new tastes / flavors which are available in the
market?
Yes
No
Yours
behavior towards the banana flavor is?

Positive
Neutral
Negative
Section 11:
AppendiX
If we will provide Banana in the shape of CHIPS to you, what will be yours response?
Positive
Neutral
Negative
If the general market provides you Banana Chips you will purchase it?
Yes
No
How many grams Banana Chips you will eat within a day?
25 grams
50 grams
75 grams
100 grams
If we will provide Banana Chips to you on the reasonable prices, then what will be
yours purchasing behavior?
Rarely Purchase
Frequently Purchase
Mostly Purchase
You will provide feedback to us by tasting the product of Banana Chips?

Yes
No
Thanks for yours kind co-operation?
THE
END..!
Section 11:
AppendiX

Business Plan 22

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Business Plan 22

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UNIVERSITY OF CENTRAL PUNJAB

[Type the document title]

Sir ABU BAKR

Subject Credit Hours:

Following Students are the participants to prepare &

2nd Semester / REGULAR

BANANA CRAZEE= A Product by Frito Enterprisez

[Type the document title]

BANANA CRAZEE= A Product by Frito Enterprisez

[Type the document title]

BANANA CRAZEE= A Product by Frito Enterprisez

[Type the document title]

May 27th / 2015

BANANA CRAZEE= A Product by Frito Enterprisez

BANANA CRAZEE= A Product by Frito Enterprisez~ 1 ~

BANANA CRAZEE= A Product by Frito Enterprisez~ 2 ~

BANANA CRAZEE= A Product by Frito Enterprisez~ 3 ~

The Business (Description)

The Business - Description

BANANA CRAZEE= A Product by Frito Enterprisez~ 4 ~

The Business (Description)

industry with in next 10 years

BANANA CRAZEE= A Product by Frito Enterprisez~ 5 ~

The Business (Description)

To establish their own national distribution network within next 12 15 years

BANANA CRAZEE= A Product by Frito Enterprisez~ 6 ~

The Business (Description)

BANANA CRAZEE= A Product by Frito Enterprisez~ 7 ~

For the effective

management, we have following managerial posts as:

BANANA CRAZEE= A Product by Frito Enterprisez~ 8 ~

BANANA CRAZEE= A Product by Frito Enterprisez~ 9 ~

BANANA CRAZEE= A Product by Frito Enterprisez~ 10 ~

A Male or Female, everyone is eligible without any kind of discrimination

A Male or Female, everyone is eligible without any kind of discrimination

BANANA CRAZEE= A Product by Frito Enterprisez~ 11 ~

o For Fresh candidate from their educational institute

( a monthly published document by firm)

prominent firm of Food Industry

BANANA CRAZEE= A Product by Frito Enterprisez~ 12 ~

He will be responsible in organization to:

specific instructions from the board of directors & coordinator

BANANA CRAZEE= A Product by Frito Enterprisez~ 13 ~

Responsible for the labor affairs except their salaries/wages

A Male with the age of minimum 27 years

BANANA CRAZEE= A Product by Frito Enterprisez~ 14 ~

BANANA CRAZEE= A Product by Frito Enterprisez~ 15 ~

Directly work under the instructions of Chairman & Board of Directors

A Male or Female, everyone is eligible without any kind of discrimination

BANANA CRAZEE= A Product by Frito Enterprisez~ 16 ~

A Male with the age of minimum 36 years

Asst. Cost Manager

BANANA CRAZEE= A Product by Frito Enterprisez~ 17 ~

A Male or Female, everyone is eligible without any kind of discrimination

BANANA CRAZEE= A Product by Frito Enterprisez~ 18 ~

A Male with the age of minimum 25 years

Key Professional Service Providers

BANANA CRAZEE= A Product by Frito Enterprisez~ 19 ~

Rules & Regulation for the Organization Structure

The official head of the organization will be CEO/Chairman

BANANA CRAZEE= A Product by Frito Enterprisez~ 20 ~

Frito Enterprisez Organizational Structure