1

EXECUTIVE SUMMARY

We have made a business plan of new business idea for Gaming Zone. We identified
the opportunity in Multan as there is no Gaming Zone and after conducting a survey,
we got positive response towards gaming zone business in Multan. Our gaming zone
are the entertainment and refreshment opportunity for public of Multan. We did
opportunity analysis and after gathering detailed information we came to result of
opening Gaming Zone in Multan. We decided the name of our gaming zone which is
Youth Fun Land. We then conducted the industry analysis, environmental analysis
and competitor analysis of our business. So the industry of gaming zone business is
not very much famous in Pakistan but know people are getting awareness about it.
Through competitor analysis we get to know the strengths, weaknesses, threats and
opportunity of our business and our competitors as well. We made the marketing plan
for the successful promotion and made marketing budget as well. In operational and
production plan we showed the assets, games and technology we need for our business
to generate services and the number of employees needed as well. We have also
showed our expected suppliers and in financial plan we have showed all the related
information of sources and usage of capital and the capital raised through partners
contribution and loans as well.

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INTRODUCTION:
According to research conducted in Multan 10% people are spending their idle time
in gossips, 15% are wasting sitting idle, 5% are spending their idle time in doing study
and remaining in other activities.
We took opportunity to refresh them and providing them a good way of entertainment
in their idle time in Multan and that opportunity can prove a very healthy business
activity for us to earn profit. So we have decided to open a Gaming Zone in Multan.
Games are healthy activity of our life. According to some researches games are good
way to refresh mind and body fitness of busy people.
After generation of idea, and conducted a survey in Multan to know about the thinking
of people regarding our business idea and we have very positive response. More than
70% people wish to have a gaming zone in Multan.
It is our vision that the begging will be from Gaming Zone and it will be progressed
by having fast food caf, conference rooms and a place for organizing events in future.

VISION:
To establish a market that would promote technical activities in the public and lead
that market with our long term strategies

MISSION:
Our mission is to make accessible various games to the customers of various ages
groups, in a sociable environment, even in the smaller cities, by using latest
technology, so as to ensure a stable growth of our business, that would ensure that the
companys philosophy and core competencies are aligned with our vision and
eventually, our firm projecting a positive image, not only for its own employees, but
for our city.

LOGO:

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SOLOGAN:
THE LAND OF ENTERTAINMENT

OBJECTIVES:
Following are the objectives of our Business.

LONG TERM OBJECTIVES:

To generate the loyal customer ship.

To create a positive Image and good will of business
Encourage the investors to invest in our similar future projects.
To expand business, by increasing the Product line.

SHORT TERM OBJECTIVES:

To cover the short term expenses

To reduce the cost, by critically analyzing the operations of the business
To provide friendly environment to customers
To fulfill the need of customers from various classes of the society

COMPETITIVE ADVANTAGE:
The competitive advantage for our business is that we are establishing our firm in that
area where no other company providing such type of facilities. So we are first mover
advantage, create monopoly and earn high profit by providing services to our
customers. The whole setup of our business has the characteristics of uniqueness in

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that particular area. So in this way we are facing the no direct competition in our
targeted market, but according to our vision and long term objective, when we would
expand our business, then we might have to face extensive competition throughout the
Region. So our competitive advantages will be as follow:
We are going to provide a completely friendly environment to our customers
We are going to provide different suitable packages for everyone.
The location is very attractive, so as to facilitate each segment of our target
market.
Another advantage is that we are going to target, relatively, smaller size of
market and obtain the consumers suggestions easily and we can improve the
products as they want.
The projected cash flows support our idea of expansion.

OPPORTUNITY ASSESSMENT:
As we know games are a healthy activity for people also like to play games in their
idle time. So we can take the benefit of that opportunity by opening a Gaming Zone in
our city. This opportunity can give us healthy profits and can prove beneficial for us as
a long run business.

CREATION AND LENGTH OF OPPORTUNITY:

This opportunity is identified by us through the process of brainstorming. The
opportunity exists yet anybody else identifies this opportunity and take initiative. The
opportunity can be converted into business only when we take initiative. The idea and
opportunity identification is good but its worthless if we are not talking initiatives for
converting that idea into real world business.
REAL AND PERCEIVED VALUE OF OPPORTUNITY:

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The real value and perceived value depends upon the size of business we are going to
open and size of business depends upon the availability of finance.
But as per the nature of opportunity, the environment and the response of people we
perceive that we can easily cover our initial finance in 2 to 3 years.
The real value of opportunity can be measured after the establishment and running of
business.
RISK AND RETURNS OF OPPORTUNITY:
The risk and returns we considered in this opportunity was:
RISK:
We will have to build a building to open Gaming Zone in Multan. But
After conducting survey in Multan we found that more than 70% people are
willing to have a Gaming Zone here.
Someone else takes initiative for opening gaming zone before us and take
advantage of opportunity is also a risk for us.
Another risk we are considering is availability of finance.
In this modern world, the technology is rapidly changing because of that the
risk of existing technology becoming outdated is constantly there.
Risk of new competitors is always there.

RETURNS:
We expect to receive return in following ways:

We will provide free membership initially three month.

We will be able to earn lot of profits because of our monopoly.
We can earn by organizing events in our gaming zone.
Gaming Zone is a passion for us. So internal satisfaction is the highest
return for us.

OPPORTUNITY VERSUS PERSONAL SKILLS & GOALS:

The opportunity we are taking and starting business also needs our personal skills. So
its very important to have skills regarding that business.

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We think we have skills needed for our business. Being a student of Business
Administration we can run promotion activates our self in Multan. Games knowledge
and skills are also there because of our interest in games and updated knowledge of
new games. The goals are to earn profit and providing a platform for gaining
refreshment.
So we are sure that our skills are enough for that opportunity and the deficiencies of
skills will be cover up with the passage of time and experience. This opportunity also
matches goals.

COMPETITVE ENVIRONMENT:
The environment is not very much competitive for this opportunity.
But the threats we can have are:
New technology which will result in outdating of our technology.
New people with new ideas in the form of Gaming Zone.
Risk of loss is always there because of doing business first time.

BENEFITS
Followings are the benefits of our business:

We can earn huge profits because of our monopoly.

We can be our own boss.
We can provide employment opportunities through our business.
Good addition in the Multan leading towards increase in the reputation of

this city.
Good source of spending idle time for people and refreshing themselves.
Psychologically its a good way to create good memories in friends. Where
they will be able to spend time and enjoy with each other.

ENVIRONMENTAL ANALYSIS:

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The followings environmental factors will affect our business.

1. ECONOMIC CONDITION:
It means the current economic condition of our country and how our business will
affect the economic conditions of the country. And how our business will affected by
economic condition.
The YFL will play its minor role in the improvement of economic conditions. This
new business will provide the employment opportunities to the people of Multan. In
this way the unemployment rate will reduce in this area. Government will get the
taxes as a result of business not only from our business but also from the other sectors
connected with us. Per capital income of employees will increase and as a result of
these the lifestyle of citys people also increases.
The purchasing power of people is increase and demand also. Through this YFL will
generate income from its own resources that use in many projects. We need loan for
starting business, but the interest rate is very high due to this our cost will be increase.
Inflation rate also increase day by day due to this our profit margin will be reduces
and cost of project increase.
2. SOCIAL CONDITION:
For last few years Pakistan has rapidly shown a growth in IT sector. Many new IT
domains and startups have evolved and are providing the best services possible. Many
technological trends are being adopted by the youth like freelance web development,
designing, blogging and so on; but the activity that is most loved by teenagers is
gaming.
These days boys and girls both love to play games especially online multiplayer
games. Gone are the days of playing arcade games on computer now its the online
networking games culture. But to enjoy all these games not everyone has broadband
connection at home. So, teens turn to gaming zones, the breeding place of future progamers. Gaming zone is like a paradise for teens. Dimly lit room filled with neon
lights is what teens love. Trance background music and soothing environment, a

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dream place to enjoy free time. People want places where they can enjoy and release
their mind from tensions of daily work load. Social condition is favorable for our
business. Our business will also take the Ethical Rules into the considerations.
3. LEGAL CONDITIONS:
There are no specific rules and regulations for the gaming zone business in Pakistan.
These are same as for the sole proprietorship and partnership business.
Although the legal status of the business tends to play an important role in any setup,
the Gaming Zone business is proposed to be operated on a sole proprietorship basis
which may extend to partnership in case of future expansion.
4. TECHNOLOGICAL CONDITIONS:
Technology is available easily and on high rates now a day. Every day IT Sector
introducing the new technology which is faster and easy to use at high prices.
Due to the introducing of new technology in games, our business has consistent threat
from changes in technology. It also increases the cost of our business. For new
technology understanding we need skilled and trained persons who are the expert in
IT field. Games companies are introducing new games with good stories, action,
graphics, 3D effects and lot more every day. IN Pakistan technology is introduced step
by step. The technological conditions are becoming favorable for the business of
gaming zone. So we should hold up to date technology for providing good and quality
services. Because the people are well aware from new technology. The technology
which we have for our YFL is computers, LCDs, video games etc.
5. POLITICAL CONDITION:
For the starting of any business, the investor should analysis the political condition of
specific country. If the policies of Govt. are stable then it is favorable for business.
The tax rate is reasonable, provide rebate in excise duty, security to wealth, no
chances of war, no tight rules and regulation then a business will efficiently operate in
the country. But unfortunately in Pakistan the political condition is not good so we

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have threat from the increase rate of tax and insecurity. And also there is no peace in
Pakistan.

INDUSTRY ANALYSIS:
CURRENT DOMESSTIC GAMIING ZONE INDUSTRY STRUCTURE:
In Pakistan, the leading name in gaming zone market is Wired up Gaming Zone
with two major sponsors Wateen and Djuice for establishing of LAN gaming
tournaments at national and international level. A recent announcement of 'Electronic
Sports World Cup (ESWC) Paris' for the year 2007 that the winners of ESWC
Pakistan qualifiers 2007 will be sent to Paris to participate in the Grand Finals of the
ESWC 2007 is a great step for the up comings of Pakistan electronic sports. Different
tournaments of LAN gaming are held all over the world which includes both national
and international status. Internationally world cyber games (WCG) & Electronic
Sports World Cup (ESWC) acquire the highest names when it comes to international
gaming tournaments.
INDUSTRY OF GAMING ZONE WITH IN PAKISTAN:
There are approximately 20 25 gaming zones only in Quetta City and the majority
are found near Mariabad. The biggest names on the list that supports LAN gaming at
provisional & national level are:

Raider Gaming Zone on Toghi Road

Mega Gaming Zone in Serena Hotel.
Iqra Gaming zone on mission road
Pirana Gaming zone on Samungli road near Shehbaz Town
Universal Gaming zone, Mariabad& etc.

The major games played in Gaming zones are:

Counter Strike
Warcraft
Call of duty 4
FIFA
Need for Speed

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INDUSTRY OF GAMING ZONE OUTSIDE PAKISTAN

The Gaming Zone Business is very popular in foreign countries like UK, Australia,
China and America etc. The Gaming Zone Industry is growing in developed countries.
The technology is faster, cheap and affordable in these countries. Now in developing
countries like Pakistan and India the Gaming Zone Businesses are making place in the
society and these business are seeking the attention of new entrepreneurs.

SUPPORTERS:
The supporters of YFL are

IT sector
Software Companies
Networking Companies
Computer Companies (Dell, Intel, LG)
Furniture and Fixture Factories
Spots Material Providers

COMPETITOR ANALYSIS:
DIRECT COMPETITORS:
As we are starting YFL in Multan and there is no such type of Gaming Zone for youth
in this area. So we dont think we have any direct competitor in that location where
our business exists.
But Outside the city there are few shops of games containing:
Snooker
Hand ball
Tennis Table
As our target market is youth. So we can treat then as our direct competitors because
these are attracting the attention of youth.
INDIRECT COMPETITORS:

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YFL also have some indirect competitor which are given below:
Parks
Joy land
Refreshment Point
INDUSTRY AND COMPETITION UNDER PORTERS 5 FORCES MODEL:

RIVALRY AMONG EXISTING COMPETITORS

There is not much competition in the market of business because we have no direct
competitors but we have to make strategies to cope with the indirect competitors. In
the industry of gaming zone business there is very less completion because of
introductory stage of Industry of gaming zone business.
THREAT OF NEW COMPETITORS AND SUBSTITUTE PRODUCT
There will always be a threat of Direct and Indirect Competitors for us.
But the chances of direct competitors are less as compared to indirect competitors.
Because any individual can open a gaming zone outside the city and in near areas.
The threat of substitute product and technology is exist because if rapidly changing
world and continuous advancement in the field of technology.
BARGAINING POWER OF BUYER AND SUPPLIER

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In the industry, when we talk about buyers we assume the buyers of raw material and
sellers are the providers of raw material. So in the industry of this business the
bargaining power of buyers is more as compared to the sellers bargaining power
because there are more providers (sellers) of raw material like games, computers,
games etc. as compared to the buyers.
But in the market, there are very less gaming zones. So they are enjoying the
monopoly. In Multan we will also be a sole business, providing that type of services
(Gaming Zone). So there our (Business) bargaining power will be more as compared
to the barging power of buyer.

DEMAND OF OUR PRODUCT

We have conducted a survey for the purpose of checking the interest of people, their
views about the gaming zone in Multan and their willingness to visit our gaming zone
in the city. We got a very positive response. More than 75% people are demanding the
Gaming Zone. Through this survey we can understand that the demand for gaming
zone exist in the city.
COMPETITORS AND FULLFILMENT OF CUSTOMER NEEDS
Our expected competitors are not fully satisfying the customers needs. They are
providing good ways of spending people idle time and through this earring money but
they are not proving any sort of games to people with in the city. It is good
opportunity for us to target this market by developing gaming zone.
PRODUCTION TECHINIQUE:

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In our YFL we use different machinery for providing services to our customers for
computer games. The manual games like snooker, hand ball etc. we use different
material.

MARKET RESEARCH PLAN:

The marketing research cost is very high but it provides valuable information about
business. It involve gathering of data in order to determine such information as: who
will buy the product or services, what is the size of market, what price should be
charged, what is the most appropriate distribution channel, and what is the most
effective promotion strategy to inform and reach the potential customers. We
conducted market research to collect all information about business to earn high
profit. The marketing research plan consists of four steps.
Defining the purpose or objectives
Gathering of data from Secondary source
Gathering information from primary source
Analyzing and Interpreting of Result
DEFINING THE PURPOSE OR OBJECTIVES:
The objectives of our marketing plan with respect to the customers view point.
1. What type of benefit they want from our services?
2. How many people are willing to buy our products or services?
3. How much amount they are willing to pay for using our product or
services?
4. Where would customers prefer to purchase the products or services?
5. Where would our customer expect to hear about or learn about our product
or services?
For achieving the objectives of our marketing plans we conduct research and collect
information by using different sources.
GATHERING OF DATA FROM SECONDARY SOURCE:

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We search on the net through different websites. We got a lot of data about gaming
zone. We read different article about games. Games are very healthy for human
being. It provides relaxation to human being especially students minds, but it tells us
only about industry of I.T, rules and regulation and importance of games. The IT
industry is not well developed in Pakistan in small cities. So there are no relevant
articles and data about the Pakistani people.
According to industry analysis, the games trend emerges in Pakistan for last few
years. It does not provide the reliable information about the customers.
According to our point of view secondary source of data does not provide us
information that the opening of YFL in Multan is profitable or not for us. And also not
provide information about the needs and wants of our targeted customers. So for the
expansion of our knowledge we go to primary source of data gathering.
GATHERING INFORMATION FROM PRIMARY SOURCE:
Primary source is most reliable source for gathering information related any matter for
taking decision. But it is more expensive and time consuming process. There are
many ways for data gathering like survey, questioners, face to face interview, and
focus group but we use questioners for conduct research.
According to candidates answer, they feel need of gaming zone in Multan for
enjoyment in free hours. There is no facility for youth to enjoy their free hours in
games. It is also profitable business for us, because all people are interested in
gaming zone. It is a healthy and good refreshment opportunity for people.
ANALYZING AND INTERPRETING OF RESULT:
We gather data from both primary and secondary sources for the starting of new
business YFL in Multan.
The games are healthy activity for human mind according to research. It is good
opportunity for us to open gaming zone, because it is ignored market we can say it is

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niche market. A niche market is said to be where no person provide facilities of

games to people of Multan.
So there is no competitor in that place, we can create monopoly and earn high profit
by selling our services.

MARKET SEGMENTATION:
Dividing a market into smaller groups of buyers distinct needs, characteristics, or
behavior that might require separate products or marketing mixes.
We can decide to select the IT industry for the staring of our new venture .We start the
new YFL in Multan. We will divide our market into small groups on the base of our
targeted customers characteristics.
GEOGRAPHIC:
Our targeted customers are of different cities of Pakistan, These cities are
Muzaffargrah, Vehari, Khanewal, and so on.

DEMOGRAPHIC:
Our target customers are youngsters with the age of 15 to 35. There is no gender
differentiation.
We will also divide our targeted market into small segment on the base of buying
situation. Our customers prefer which product or services features most and like to
buy that product or services. The usage rate of (how many time product or services
customers buy). There is no more awareness of games in Pakistan so we should use
those promotional tools which create awareness about games in people. Our target
location where we start our business is Multan Cantt (BOMAN-JI PLAZA).
TARGET MARKET:

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A group of people for whom the marketer designs the marketing mix is called
the target market. Our target market is youth (1, 10,000). Our Gaming Zone is a
newly established company with limited resources so we will use concentrated
marketing& coverage strategy.
Through this strategy we would be able to achieve a strong market position because of
its greater knowledge of consumer needs in the niches it serves and the special
reputation it acquires.
We can market more effectively by fine tuning our products, prices and programs to
the needs of carefully defined segments. In using this strategy we will adopt the
pattern of single segmentation i.e., one product for one market to check its responses.

MARKETING PLAN:
SITUATION ANALYSIS BACK GROUND OF VENTURE:
We are the student of ncba&e as such we have no back ground in business field and
no experience in this field but as a student of business administration we identify the
business opportunity in Multan for gaming zone.

SWOT ANALYSIS & COMPETITIVE ANALYSIS:

STRENGTH AND WEAKNESSES OF VENTURE
STRENGHTS:
We will have following strengths of our business.

Monopoly in Gaming Zone in Multan.

Big Target market.
New Computer Games
Good Location
Interest of teenagers in Games
Easy Promotion
Lower Cost than comparable Competitors

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WEAKNESS:
We will have following weakness of our business.

Small Place of Business

Lack of technical how know
Lack of skilled and trained employees
Access to Resources
Expensive Games and Hardware.

MARKET OPPORTUNITY AND THREATS

OPPORTUNITY:
We can have following opportunities of our business.

Expansion of Business
Adding Conference Room
Adding fast food or mini mart in Gaming zone
A new emerging or developing market(niche product, place, less

competition)
New Technology
Increasing the purchasing power of customer.
THREATS:
We will have following threats of our business.

Lack of energy resources

Rapidly changes in technology
New competition in the market, possibly with new products or services
Availability of resources
Change in Political and Economic condition
Taxation
Price War
Loss of Business

MARKETING OBJECTIVES AND GOALS:

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The objectives and goals of our marketing plan are

To increase the sales

To increase the profit margin
To reduce the cost of services
To charge reasonable prices which is affordable for all people.
To use no distribution channels, directly deal to our customers
To establish customers service center for improving our services quality
To use such type of cheap promotional tools which is promote our products on

wide areas
To maintain and increase the brand image

MARKETING STRATEGIES AND ACTION PROGRAMS:

After defining the marketing objectives and goals now we make market strategies and
action programs to achieve these goals. These decision effects marketing mix of our
business.

MARKETING MIX:
It is a combination of 4ps. Product, price, place, promotion and other marketing
activities needed to meet marketing objectives. We design marketing mix plan for the
marketing of our business gaming zone.
MARKETING MIX FOR GAMING ZONE
PRODUCT:
The products which we offer in our business are following:

Table tennis
Hand ball
Snooker
Computer games
Shooting
3D Computer games
Bowling
Gymnasium

Above are the products or services which we offer to our customers. The strategy
which we use for the production of our services is marketing concept (pull strategy)

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firstly we identify the need of our targeted customer. By identifying their needs and
wants we provide them their desired satisfaction through gaming services better than
competitors do.
PRICE:
Price is a component of an exchange or transaction that takes place between two
parties and refers to what must be given up by one party (i.e., buyer) in order to obtain
something offered by another party (i.e., seller).
We will charge fee according to game.
PRICING STRATEGY
The pricing strategy which we will use according to the research and data gathered
and the situation prevailing in our target market is value based pricing strategy.
VALUE-BASED PRICING:
Pricing a product based on the perceived value and not on any other factor. Pricing
based on the demand for a specific product would have a likely change in the market
place.
We know that we are the sole authority providing gaming zone facility to people. So
we have our monopoly here. The perceived value of our services is high. So we can
charge according to our will and according to the demand of our services.

PLACE:
We started our business in Multan Cantt (BOMAN-JI PLAZA). It is access able for
all people easily in free time. Our all products or services are available in gaming
zone.
The distribution channel which we select for our gaming zone services is one level
channel distributions involve company and consumers.

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PROMOTION:
After starting business and providing our product or services in the market and getting
place in the market our next step is to promote our product through thick or thin. In
order to get high market share and loyalty of customers. We use two types of
advertisements in order to promote our services.
Print Media
Electronic media
Other Sources

PROMOTIONAL TOOLS
We will use promotional tools for the marketing of our services. These are followings:

Pamphlet
Radio
Official page on Facebook
Banners
Press media
Electronic Media
Social Media

BUDGETS:
This is our advertising budget. We use two types of media. The allocation of cost is
as follow:
MEDIA

OBJECTIVES

1ST YEAR

2ND YEAR

AMOUNT

ELECTRONIC

50%

35%

15%

50000

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MEDIA
PRINT MEDIA 10%
OTHER
SOURCES

60%

10%

0%

10000

50%

10%

40000

CONTROLS:
We will monitor our action program on quarterly bases. For this we get information
from our customers by conducting their interview, survey, and ask question from them
about

Services Qualities
Advertising Methods
Prices of Services
Placement of services
Company earn reasonable profit
Sales level of services

If we will find any weak point and feel we are not achieving desired objects. Then it is
opportunity for us to redirect or modify the existing plan to achieve the firms desired
objects and goals.

ORGANIZATIONAL PLAN:
LEGAL FORM OF BUSINESS
Our business is partnership of four partners. The partnership is Limited Liability
Partnership (LLP), it is controlled by Partnership Act 1932 0f Pakistan. According to
this act LLC has following features
One or more partners are with limited liability

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The firm must be registered

The capital of limited partner is not returned to him till he remains a partner
in the firm
There is at least one partner with unlimited liability
The limited partner can inspect the book of firm any time
A new partner can be admitted to the partnership firm without the consent
of limited partners.
All above are the features of our business.
. LIABILITY OF OWNER
Our partnership is limited liability partnership (LLP). According to limited liability
partnership our partners are liable only that part which they contribute in business.
Their personal property is not liable.

COSTS OF STARTING A BUSINESS:

The cost of starting of our business is as follow

Registration of firm name in industry

Need license for using technology
Agreement with legal advisor
Partnership deed for the conveying responsibilities, rights and duties of

partners
Agreement with supplier
CONTINUITY OF BUSINESS
Continuity of business means business has any effect
Death of owner
Withdrawal of capital of owner from business
There is no effect of above two factors on our business. In LLP firm death or
withdrawal of partner has no effect on the continuity of business. According to the
partnership agreement the limited partner also is replaced.

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TRANSFERABILITY OF INTEREST
This firm is limited liability partnership so all partner are not allowed to transfer your
interest to others. According to Limited Partnership Act 1932 if he transfers his
interest to associate or junior partner then the other partner not earn equal share in
profit percentage as full partners.
CAPITAL REQUIRMENT
In our business we can meet our capital requirement through
Banks loan
Additional capital contributed to each partner
New partnership agreement
MANAGEMENT CONTROL
We are four partners of our firm so we are all take part in management of our
business. The environment change day by day so we will not mention who take active
part in decision making so we will not mention sensitive matters on agreement .It all
depend on the condition.
DISTRIBUTION OF PROFIT AND LOSS
We can distribute profit and loss of firm according to
50, 50 profit/loss margin
On the contributed part of capital
On the base of skills (may be not contribute capital but his skills are very
beneficial for the firm)
ATTRACTIVENESS FOR RAISING CAPITAL
Mostly in partnership the attracting more capital is very difficult due to unlimited
liability. But in our business the partners are labial for only contribution of capital. So
we can attract more capital by increasing more number of partners.
TAX ISSUE
According to law LLP is treated as corporation. Because the liability of partners is
limited and they are responsible of only that part which they contribute in business. So
we will pay double tax
On the total income of firm
On the income of individual

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This is the disadvantage of the LLP. It increases the cost of business.

HIERARCHY:

General
Manager
(1)

Manager
Operations
(Computer
Games)

Manager
Marketing
and Accounts

Manager
Operations
(Manual
Games)

IT Specialist

Sweepers
(1)

Gaurds
(1)

OPERATIONAL PLAN:
The operational plan includes all processes, activities and operations that are
necessary to run a business. The operational plan of our Gaming Zone Business
includes the following activates.

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PURCHASING:
We first of all have to purchase the following assets for the operations of our business
from different suppliers and brings it into functional position and afterwards
maintaining it.

Equipment

Quantity

Computers with high specifications

LCDs

PlayStations

Snooker Table

Hand Ball Game

Table Tennis

Carom

Chees

Shooting

OPERATIONS IN GAMING ZONE

Operations will be performed in the following way which is explained in steps.
Whenever customers will come to Gaming Zone:

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Our operation assistant working as front desk office also guide them about
requirements to play games like Computer Games, Hand Ball, Snooker, Table
Tennis, Carom, Shooting, Monopoly, Puzzle and Chess.
There will always be a IT specialist for handling any faults in games at the
spot.
We will get proper feedback by our customers with the help of comment cards
and verbally about our products and services regarding the games operation
and about our staff for regularly improving our performance.
STAFF FOR OPERATIONS OF BUSINESS
We are four partners and we will also perform our services in our business saving the
cost of extra employees.

One of us will be on Reception.

One in the computer games area.
One on Table Tennis Side
One will see the snooker, hand ball and shooting game.

NOTE: The duties will be change. Girls will guide girls and boys will guide boys. If
anyone is on leave then other present partners from us will manage and perform his/
her duty.
Our staff which will be required for operations of business includes:
One Permanent IT Specialist
One person working as a sweeper and other extra works
One security guard

PRODUCTION PLAN:
SERVICE CREATION:
This means that how we can produce services and how we will deliver the services to
our customers in business.
SNOOKER:

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27

We provide an opportunity to people that if they wish to play a snooker game in safe,
calm and cool environment they come and join us and enjoy pleasant time with their
friends in a Gaming Zone.
Our Gaming Zone will provides a splendid environment of snooker area, as it will
includes 2(12x6) size tables prepared with superb material.
TABLE TENNIS:
We will also provide another opportunity for people in the shape of this game so that
they energies their self in a proper way and with positive game. They spend their
leisure time in a way where they learn world class game and enjoy their gathering.
We provide 1 table tennis tables with choice of single and double players. We will
charge hourly basis for this game and provide a great time to each individual for
playing this game on superb equipment.
CAROM, CHESS, PUZZLE AND MONOPOLY
We will also provide these different games for people to enjoy their spare time with
friends in a good way by using mind game.
Card board games include monopoly and word puzzle. Word puzzle game is also a
very good mental and IQ game that groom ability of strong thinking and good
judgment.
COMPUTER & PLAYSTATION GAMES
We will also offer the advance computer games, PS2 and PS3 Games like:
NEED FOR SPEED
COUNTER STRIKE
FIFA 2014
GOD OF WAR
These games are attracting and liked by not only kids but also by adult people.
Because due to the technology of LAN we can also conduct competitions among
people. We can also attract them by offering rewards for the winners of conducted
completion. We will take entry fee from all parties involved in competition. We will

NCBA&E MULTAN CAMPUS

28

charge per hour for these games. The price will be set according to the demand. We
will provide 5 computers and 5 PlayStations for games.
NOTE: we will expand our gaming zone and games in it day by day after earning
profits.
GUN SHOOTING:
We will also include the area where we will provide the people artificial gun where
they can shoot the targets. To make this game more attractive we will give the prize
(Chocolate or other stuffs) to the individual who will shoot the target according to our
set criteria of game.
HAND BALL:
Hand Ball game is one of the very popular games. We will provide 2 hand ball games
in our gaming zone.
NOTE:
All the above games are our Assets which will produce the services through
which we will generate Sales.
SUPPLIER OF GAMING ZONE
Sialkot is very famous for the supports goods. So there is a huge market from where
we can by:
Snooker
Table Tennis game
Chess, Monopoly, puzzle card and Carom board
Hand Ball
COMPUTERS, PLAYSTATIONS AND LCDS:
We need advance computers with:

Fast Processing Speed

More Ram and Hard Disk Storage Capacity
Fast Processor
More importantly high resolution Graphics Card
SP2 & PS3 or Xbox 360
LCDs

All this technology is available everywhere but we will buy these from Lahore from
the shop of our relative name Talha Computers. He will provide us all the above
technology at minimum cost.

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FINANCIAL PLAN:
SOURCES AND USES OF FUNDS
The ratio of the partners is as follow:
Partners Contribution Ratio

25%

Our total capital will be Rs. 3000,000 out of this capital the partners will contribute
round about 15, 00,000 and the remains will be raised from financial institutes like:
smeda, and banks etc.
Capital to be Brought in by Partners =
Borrowed Amount (Loan)
=
Total Initial Investment

Rs. 15, 00,000

Rs. 15, 00,000
Rs. 30, 00,000

KEY ASSUMPTIONS
Revenue is Increased @ 20% per Year
Cost of Services is Increased @ 15% per Year
Salaries are Increased @ 5% each Year
Repair and Maintenance Expenses are Increased @ 20% each Year
Fuel and Utilities Expenses are Increased @ 10% per year
Retained Earnings are 75% of the Net Income
Interest Rate on Loan is 14%
Rental value of tender increased annually by 10%.
Other assumptions are further mention in the notes to these projected financial
statements.

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YOUTH FUN LAND

INCOME STATMENT
FOR THE YEAR ENDED ____.
DISCRIPTION
NET REVENUE
Salaries
Stationary Expense
Rent Expense
Marketing and
Promotion
Repairs and Maintenance
Electricity Expense
Phone and Internet
Misc Utilities
Depreciation Expense
Total Expenses
OPERATING PROFIT
EBIT
Interest on Loan Expense
Profit before Tax
Tax (5%) of N.I
NET INCOME
Retained Earnings 75% OF
N.I

REF.
01

RS.
5,896,800

02

1452,000
1,000
1200,000
16,000

03
04

05

250,000
500,000
96,000
50,000
195100
3760100
2136700
2136700
210000
1926700
96335
1830365
1372774

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YOUTH FUN LAND

BALANCE SHEET
AT THE YEAR ENDED ____.

ASSETS

RS

FIXED ASSETS
Snooker
Carom
Computers
Play Stations
LCDs
Sound System
Furniture & Fixture
Projectors
Office Equipment
Security Cameras
A.C.s
Generator
Lights fans And Dcor
Table Tennis
Shooting Gun
NET FIXED ASSETS

160,000
2000
600,000
125,000
250,000
50,000
300,000
75,000
10,000
15,000
100,000
200,000
50,000
25,000
25,000
19,87,000

CURRENT ASSET
Cash in Hand
Cash at Bank

3,00,000
5,10,000

TOTAL CURRENT ASSETS

8,10,000

TOTAL

27,970,000

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32

LIABILITIES
Loan
Profit Payable to Partners

RS.
15,00,000
200000

TOTAL LIABILITIES
EQUITY
Retained Earnings
Capital

1700000

TOTAL

2797000

1372774
275774

NOTES:
NOTE # 1
TOTAL ANNUAL REVENUE

Total Annual Revenue from Games

Year 1 (Rs)
5,896,800

TOTAL REVENUE

5,896,800

It is assumed that:
There are 360 working days in a Year.
AVERAGE DAILY REVENUE FROM GAMES
Games

Snooker
Carom
Table Tennis
Shooting Gun
Chess
Card-Board
Word Puzzle
Computer
Games

Description

6x12 Table
Single
Player
Monopoly

Rates in Minimu
Rs.
m
Players

Equipmen
t
Available

Usage

100
50
100

2
2
2

2
2
1

5
5

30
100
75
50
100
P.hour

1
2
2
2
1

2
3
2
2
5

3
3
5
7

Daily
Revenu
e

3,200
1,000
1,000

480
1,800
900
1,000
3,500

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Play Stations

Single
Player

100
P.hour

3,500

Total Revenue

16,380

NOTE # 2
SALARY:
Year 1
RS

DESIGNATION

SALARY/MONT
H (RS.)

General Manager
Manager
Operations
(Computer Games )
Manager
Marketing
&
Promotions
Manager
Operations
(Manual Games)
IT Specialist
Sweeper
Security Guard

25,000
25,000

300,000
300,000

25,000

300,000

25,000

300,000

15,000
3,000
3,000

180,000
36,000
36,000

Total

121,000

1452,000

Note # 3
TENDER RENT MONTHLY:
The building is acquired on Rent and as per agreement the monthly rent for the
building is Rs. 60,000 for the first 5 years. The Rent for the First year is to be paid in
advance
Monthly Rent = Rs. 100,000
Annual Rent = Rs. 100,000 x 12 = Rs. 1200,000

NOTE # 4

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34

MARKETING AND PROMOTIONS:

Units

Cost/uni
t
Rs

Total
Rs

Annual
Cost
Rs

Banner (Flex) (i)

8,000

8,000

8,000

Brochures
Standee

2,000
2

3
1,000

6,000
2,000

6,000
2,000

Total

16,000

NOTE # 5
DEPRECIATION
ASSETS

COST

BOOK VALUE

160,000
2000
600,000
125,000

RESIDUAL
VALUE
20,000
500
75000
15000

140000
1500
525000
105000

DEPRECIATIO
N RATE
10
10
10
10

ANNUA
L DEP
14000
150
52500
10500

Snooker
Carom
Computers
Play
Stations
LCDs
Sound
System
Furniture
& Fixture
Projectors
Office
Equipment
Security
Cameras
A.C.s
Generator
Lights fans
And Dcor
Table
Tennis
Shooting
Gun
Total

250,000
50,000

30000
5000

220000
45000

10
10

22,000
4500

300,000

50000

250000

15

37,500

75,000
10,000

10000
500

65000
9500

10
10

6500
950

15,000

2000

13000

10

1300

100,000
200,000
50,000

20000
40000
2000

80000
160000
48000

15
15
10

12000
24000
4800

25,000

3000

22000

10

2200

25,000

3000

22000

10

2200

2087000

NCBA&E MULTAN CAMPUS

195100