2.0
INTRODUCTION
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J&J ENTERPRISE
2.0 INTRODUCTION
Joy & Juicy Enterprise plan establish as a partnership business, involve of five people, and
state of location at BANDAR SUNWAY. Date of business commencement on 31st January 2011
launch at BANDAR SUNWAY.
VISION
For our vision to gain high profit and revenue generated by its sales cover all expenditure to set
up business. Also, provide good service with quality standards at reasonable or affordable price
to the customer can pledge customers’ confidence and loyalty.
MISSION
Mission of our organization are to achieve high growth and increase our profit with enhance
productivity. Other than that we are also want to create brand when established and open another
branch at everywhere.
OBJECTIVE
Objective of our organization to make customer satisfaction with our good service and quality
product. Then, to boast customer confident and create loyalty. Also, attract more customers and
build a long good relationship with them.
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This business is a one way that can introduce promotes a local fruit to the foreigner
beside that also can help to increase gross domestic product to economic country.
2. Easy to market
Joy & Juicy produce many types of fresh fruit where we are easy to get the input and also
easy to market because people mostly interested with fruit.
At the place where our business located, these types of business still has low competitor
which produce product same like us compare to other business. Customers have few
choices to choose that makes we are as a power of supplies.
The way how we present our product is easy to create external stimuli because naturally
fruits has fresh smelly that can attract customers to buy our product.
6. Create supply
This business creates supply rather than create a demand. This business create a variety
of product so then can create a demand to customer.
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J&J ENTERPRISE
Capital requirement
Capital requirement of a business is important. The funding of the business can be done with
using the entrepreneur‘s own money or from external source such as borrowing loan from banks,
finance company and cooperatives. Our partnership businesses contribute RM9643 for each
person.
Risky
J&J enterprise face on low risk to enter a particular business field which is low competitor. At
Sunway Pyramid only have two competitor which is Daily fresh and MBG, but two of them not
sell a variety product compare to our company is supply a variety product. Based on risk on
insurance scheme cover fire and accident at work is under responsibility of Sunway Pyramid
department. For the risk machine breakdown our business take a risk to purchase the entire
machine needed.
Loans
Based on financial, J&J ENTREPRISE is face on problem on first three month which is get a
loss on sale, but our company able to recover loan and expenses because our profit still can
support expenses and repay a loan.
Credit
J&J not facing on credit because our business is pay in cash. So, it not turns to a bad debt and
will be treated as an expense for the company.
Foreigner Exchange
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J&J ENTERPRISE
J&J ENTREPRISE not involve on foreign exchange and our business has not to face the risk of
fall and rise in the exchange rate and our business using home currency unit in Ringgit Malaysia.
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2.5 BENCHMARK
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10 years as a Manager of Fruit Stick
In J&J ENTERPRISE we know that location is one of the most important decision that
entrepreneur should make. We aware that wrong choice of location can result lower sales and
higher operation cost. So, for that reasons we have survey many strategic places to open our
shop. After look at all aspects, we are agreed to open our shop at Sunway Pyramid shopping
mall. We choose this place because of several reasons.
J&J ENTERPRISE’s lot shop located at Lot F2.57, 1st Floor of Sunway Pyramid. Sunway
Pyramid located at center of Bandar Sunway. This is one of the most important factor as it easy
excess by public or customers thus reduce time taken and transportation cost to reach this
place. Just about 2 to 3 kilometers from it, there are many residential areas. Example like
Bandar Sunway, Taman Wangsa Baiduri, Taman Desaria, Taman Subang Permai and many
more.
In term of availability of manpower, we are not so worry as this place is near to housing
areas. We also planned to hire only two worker to support or sales and operation every day.
Beside that, this place also near to our sources of raw materials. Based from our planned, we
plan to purchase our stock of fruits for every two days direct from fruits vendor. Generally, we
will get our stock from suppliers in Pasar Borong Selayang Lama and Pasar Borong Selangor
which located about 30 to 50 kilometers from our place. In long term, we are still looking and
search nearest suppliers for us to reduce our cost of transportation.
A transportation facility is not a big problem. Here, it connects with good connection of
roads and highways such as Damansara-Puchong Highway (LDP), Federal highway and so on.
Moreover, the price charge for our shop also affordable compare to other place. Here, we will
pay RM 4800 every month for 23x15 square feet compare to KLCC as the management charge
RM 30,000 for smaller size of shop. Thus, we save our monthly expenditure for rent at this
place.
Other factors that make us choose this place also because of available of utilities such as
water supply and electricity that will be supply and arrange by management of Sunway
Pyramid.
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J&J ENTERPRISE
SUNWAY
SUNWAY
PYRAMID
PYRAMID
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SUNWAY
SUNWAY
PYRAMID
PYRAMID
PASAR
PASAR
BORONG
BORONG
SELANGOR
SELANGOR
PASAR
PASAR
BORONG
BORONG
SELAYANG
SELAYANG
LAMA
LAMA
SUNWAY
SUNWAY
PYRAMID
PYRAMID
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J&J ENTERPRISE
• If one partner passes away or withdraws from the partnership, the business will
not be dissolve.
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• Sale Officer : Norsidah bt Nazahar
4. The accounts of the business and share capital that show the contribution of each partner
and the right and obligations of each partner towards the capital
• Each partners should be contribute in share of the capital around RM 9643 for
each.
• All profit and loss will be share equally among all partners and any losses will be
liable among partner equally according Partnership Act 1961.
• All the properties in this company such as furniture, machine and vehicles
considered as assets of the business
• If the partners are contribute their assets in the company, it also considered as
assets of the business
6. Retirement:
• If any partner who want to retire from the business must have consent from others
partners. They will get back their invets and the notice of retirement must be
given 3 months before the retirement date.
7. Others:
• Each of the partners must act in good faith and respect other partners. Partners
must have willingness and interested to make the business more succesful and
giving full commitment for the business. They also must be honest and straight
forward in order to execute responsible as a partner.
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MANAGER
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Name :Siti
ADMINISTRATIVE OFFICER Ubaidah Bt Ahlias
Ic No : 830403-56-5400
Address : 04-06-14, Desa Tun Razak, Jln 9/11 8 b
Email : siti_ubaidah85@yahoo.com.my
Telephone : 017-3068077
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SALES OFFICER
Name
: Zuraidah Bt Abdullah
Ic No : 850120-03-5628
Email : Zuraidah_Corner85@Yahoo.Com
Telephone : 012-9247587
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Ic No : 840528-04-5280
Telephone : 013-7010339
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PRODUCTION OFFICER
Ic No : 860621-11-5394
Email : Eyefah@Yahoo.Com
Telephone : 017-6086226
Bookstore
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ACCOUNT OFFICER
Ic No : 851003-10-5820
Email : Awinter_85@Yahoo.Com.
Telephone : 017-3685820
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3.0 ADMINISTRATION
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This is task of looking for candidates and inviting then to apply for vacant position in the
business. It can be done by advertising the vacancy through the printed such as regional
newspaper. This business refer to present personal because is less costly and a reliable way to get
capable candidates.
i. Job Application
A job application form is prepared by an employer to gather basic information
about applicants. It helps to generate job related information such as age, gender,
education level, previous employer can refer to the referees or ex-employer if
further information is needed to evaluate the applicant.
An employer may choose to use a selection test as a tool to evaluate applicants for
position that require certain qualities. The test is used to measure an applicant’s
potential to perform the job. These include performance, aptitude, interest,
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J&J ENTERPRISE
intelligence, skills or practical test. Example of practical test is machine handling
skills.
3.4 SALARY
Salary is a fixed monetary reward paid to workers on periodical basis. J&J enterprise using normal
practice to pay salaried workers on a monthly basis. Salaried workers are expected to work a fixed
number of hours which is 8 hours per day and 26 days per month. Salaried workers are not subjected to
loss of pay in the case of allowed absences such as illness.
It is the responsibility of the employers to register its employees if they are not yet contributor to EPF. It
is mandatory for employers to contribute to the EPF for all qualified employees. At present, the statory
rate of monthly contribution employees is 11% of the basic salary. The employer’s portion of the monthly
contribution is 12%.
Employers are obligated to protect their employees by contributing to the SOSCO. It is a form of
insurance to protect the employees in term of monetary composition in case of unforeseen incidents at the
work place. All employees earning RM3000 or less amount are qualified to contribute to this fund.
Employees earning more than RM 3000 a month can also contribute to the fund with the consent of the
employers. The rate of contribution by the employers and employees is based on the basic salary.
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Total :27,135
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J&J ENTERPRISE
4.0 MARKETING
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J&J ENTERPRISE
As we know, fruits are one of the essential elements in our diet. In pyramid, fruits are in
the third place that needed to all people for their body. In addition to, Joy & Juicy (J & J)
Enterprise will be produce variety of fruits which is Fruits, “Rojak Buah”, Ice Blended, Juices,
Strawberry-Dip-Chocolate, Cordial Drinks and our own recipe, Bano Sore.
Fruits business is a kind of common business in Malaysia, but why J & J Enterprise still
chooses this kind of business? It is because we have our own technique and recipe in order to
keep our product fresh and quality compare to other competitors.
In addition to, we want to cover 10% market share for starting year on existing market
share. Our targets also want to increase percentage of market share at least 2% every year. By
increase our sales every years we can create good competition among the other two competitors
which is Daily Fresh and MBG Fresh Fruits.
As we know, fruits contain vitamins which are essential for our body to growth. In order
to add variety to our product, besides sell our fruits, we also sell juices. The unique and strength
of our product are based on our ingredient used, our own recipe such as Bano Sore that we adapt
from traditional foods and we also apply safety policy.
The product that J & J Enterprise produce is Bano Sore which is our special recipe that
contribute 10% of sales, Assortment of Fruits with contribute 30% of sales, Stick Fruits with
contribute 5% of sales, Rojak Buah with contribute 10% of sales, Ice Blended with 10% of sales,
Juices with 10% of sales, Strawberry-Dip-Chocolate with 5% of sales and Cordial Drinks with
10% of sales.
Besides that, other strength of our company also is based on our strategic location where
most people passing by. Thus, it is not possible for customer to buy our product. Our company
also operate everyday including public holidays and festival seasons.
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J&J ENTERPRISE
As we are in Sunway Pyramid, our own targets are people who stay near that area which
is resident in Taman Desaria, Taman Medan, Seksyen 15, Seksyen 14 and Taman Subang
Permai. Besides that, Bandar Sunway also comprises of operating commercial and industrial
business such as in Petaling Jaya Seksyen 7, Petaling Jaya Seksyen 9, Petaling Jaya Seksyen 11
and Lagoon Perdana. Moreover, there are also have student from many institutions such as
Sunway Collage, Monash University, Taylors University Collage and The First Academy. Our
product produce fresh fruit with contain a lot of vitamins that satisfied our customer needs and
want.
From this, we are using segmented marketing as target market alternative. Our target is
people who come to Sunway Pyramid. The common bases that we use segmentation include
demographic segmentation which is information about their level of age with average range start
from 5 years old and above, their income average level from RM 1000 and above, gender,
occupation and education with average range start kindergarten until university student. Other
than that, we also use psychographic segmentation which includes the personal tastes of the
customer, the preference of the customer, customer status and loyalty to product. In behavioural
segmentation, we identify occasion, user status and loyalty status.
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J&J ENTERPRISE
Nowadays, people are concern with healthy lifestyle. So, they will seek product that will
give benefit to them. Today, time is so importance, so consumers more prefer to purchase
something which is less time consuming in preparing it. Beside that, consumer also prefer
product that are easy to reach them. The population at Sunway Pyramid is around 200,000
people. There are two major market segments within the target market area which is student from
institutions and families living. The first group consists of about 8300 students from 4
institutions and the second group is made up of 191,700 from 9 families living including
secondary and primary school at that area.
J & J Enterprise estimated the market size to be RM 27,500 a month, that is, RM 9,000 a
month from 4 intistutions and RM 8,000 a month from families. We also took into consideration
factors that may affect sales such as the school holiday and fasting month of Ramadhan. Using
this information, J & J Enterprise estimated the market size to be only RM 309,600 per year.
Base from all the trends in our market today, we are confidence that our product may
attract consumer as it will reduce their obstacle in life. We see that this business guarantee high
return as the market size in value amount to RM 3,096,000 per year (RM 258,000 x 12 months).
Part from the value, J & J Enterprise own 10% that equal to RM 309,600 per year.
In our location we have only two competitors to compete with them. J & J enterprise feel
that it is not too tough to survive in this industry.
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J&J ENTERPRISE
100% RM 258,000
After analyzing the competitor’s strength and weaknesses, J & J Enterprise is confident it
can control 10% of the market. This will mean that the existing competitors will lose some of
their market after the entry of J & J Enterprise.
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J&J ENTERPRISE
Adjusted Market Share after the Entry of J & J Enterprise:
100% RM 258,000
Estimated market share for J & J Enterprise is 10% or RM 25,800 per month.
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J&J ENTERPRISE
4.5 COMPETITION
To identify our competitor, we ensure that to assess their market position and strategy in
term of product quality, pricing, distribution and promotion of competitors. Besides, we also
look for competitor strengths and weaknesses in market.
DAILY FRESH a) In term of size, Daily Fresh a) The promotion for Daily
own higher market share Fresh is not widely or lack of
which is 50.5%. promotion.
MBG FRESH a) In term of size, MBG own a) The price of the product is
FRUITS 40.5% of market share. too expensive.
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J&J ENTERPRISE
There are several factors need to be taken into consideration when forecasting sales. In
general, customer awareness of a business that has just started operations will take some time.
While the customers familiarise themselves with the new business and its product or services, the
business can expect sales to be less than the estimated market share. From this, we take action to
speed up customer awareness and boost early sales figures with an aggressive and intensive
marketing effort. For example we are focus on promoting our product and building trust between
our business and our target market.
In term of seasonal factor, customer buying patterns can be influenced by certain seasons
that occur within a particular business period. We as a new business have identified seasonal
factor such as school holidays, festival season (Hari Raya Puasa, Chinese New Year, Deepavali
and Christmas and so on) and weather conditions.
J & J Enterprise produce a variety fruits in Sunway Pyramid. From our survey, our target
market area that the market size for fruits is about RM RM 3,096,000 per year. Since we are
starting a new business, J & J Enterprise is confident it can achieve 10% market share which is
equivalent to RM 309,600 per year.
As J & J Enterprise is just started the business, will take some time to achieve target
profit. As we are new business, our target sales can be expect to be less than estimated market
share for the first year.
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J&J ENTERPRISE
Market size = RM 3,096,000 per year
Market Share J & J Enterprise = 10%, RM 283,800 per year (for the first year with 11 month,
RM 25,800 x 11 months)
January -
February 23,200
March 23,200
April 23,736
May 23,736
June 24,252
July 24,252
August 23,200
September 24,510
October 24,510
November 24,768
December 25,026
Total 240,128
According to our marketing objective, our market share will increase 2% for every year.
This means that J & J Enterprise market share for the year of 2012 is to be 12% which is
equivalent to RM 271,520 and for the year 2013 is achieve 14% market share which is
equivalent to RM 433,440.
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J&J ENTERPRISE
The marketing strategy that we are using consists of four key variables, also known as the
4Ps of marketing. The four variables are product, price, place and promotion.
a) Product strategy
In term of quality of our product, we are using only quality input such as fresh fruits to
produce high quality output. Beside that, we also using simple and easy to carry by customer.
We also produce mix the colour of fruits to attract customer attention besides using cordial and
ice-blended drinks.
b) Pricing Strategy
Our price of the product is based on cost with average mark up 22% on cost per unit and
some of our product also based on competition among another two competitors in Sunway
Pyramid. Besides that, our factors affecting price of the product is according to our product
concept, cost target market, our marketing objectives and targeted profit. We also look to
economic conditions, government regulation, social concerns and consumer in order to setting
the price.
c) Place Strategy
We are choosing Sunway Pyramid as our location of the business base on several factors
such as type of product, target market, transportation ease and product standardization.
i) Type of product
Our product is easy to market. It means that, this business is accepted to all people
because meet needs and wants of the customers. Besides that, we know that food is one of the
basic needs for our body. Thus, fruits are one of the foods that people will buy.
As we know, our marketing objective in target market is resident who stay near Sunway
Pyramid. In addition to, all level of age with average range start from 5 years and above. Besides
that, there are also have student in many institutions such as, Sunway Collage, Monash
University and so on that will be our target market.
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J&J ENTERPRISE
Sunway Pyramid location is strategic as it easy access with connection of highways and
roads from many place. This will make easy to people who want to come to Sunway Pyramid.
Most of our product is using similar input which is fresh fruits. J& J Enterprise produce
variety style that using fruits.
d) Promotion strategy
There are several promotion tools in this strategy which are advertising, sales promotion,
personal selling and publicity. As we are in this business, our promotion strategies are using
advertisement and sales promotion.
In advertising, we using banting and put it beside escalator, lift and other attraction place
where people always passing by in order to promote our product. Besides that, we also use sales
promotion which is our business using purchase with purchase and also coupon that we give
during opening this business.
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J&J ENTERPRISE
Signboard 1,500
Furniture
Promotion
Grand Opening
100
• Balloon
40
• Coupon
• Others accessories 50
60
Business Card (100 pieces x 5)
350
Workers T-Shirt ( 7person x 2)
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J&J ENTERPRISE
5.0 OPERATION
MANGEMENT
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J&J ENTERPRISE
Operations management can be defined as the process of marshalling business input to
transform them into output in the form of product or services. In J&J enterprise, we produce
variety of fruits products such as:
Bano sore
Assortment of fruits
Mix fruits
Stick fruits
Rojak Buah
Ice blended
Fresh juices
Cordial drinks
In J&J ENTERPRISE, we plan our operation activities to ensure that our business will
meet customers’ expectation, which include production parameters such as quality, quantity and
cost.
In J&J ENTERPRISE, we are using lot of fruits as our raw material beside manpower,
machine and equipment, and capital as our input. All this input we transform it into value added
and quality product. All process involve had been planned systematically to ensure smooth flow
of operation beside fully utilize resources and reduce cost of production in the future.
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J&J ENTERPRISE
1. Bano Sore
Wait until the colour change to little bit brown and take it out
Serve to customers
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2. Assortment Of Fruits
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3. Mix Fruits
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4. Stick Fruits
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6. Rojak Buah
Cut all the fruits into bite size and combine them in a large mixing bowl.
Add in the prepared “Sambal Rojak” and stir with the fruit until well
combined.
7. Cordial Drinks
8. Ice Blended
Pour 2 tea spoon of selected cordial into the ice blended machine
9. Fresh Juices
Slice the selected fruits and put into the fruits juicer 46
J&J ENTERPRISE
Serve to customers
J&J enterprise determine number of input require based from forecasting percentage of
product through average forecast sale.
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Here is our example of calculation for output per month for each product.
1. Bano Sore
2. Assortment Of Fruits
3. Mix Fruits
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Number of output per month = RM 2,580/RM3.00
= 860 units
4. Stick Fruits
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6. Rojak Buah
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7. Ice Blended
8. Juice
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9. Cordial Drinks
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Based from the diagram, it show our forecast for the unit of output that will be sell in day
and month based from our total average sales per month.
In order to give better understanding, we had transferred all the data into a pie chart below;
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J&J Enterprise choose the best quality of fresh fruits as the main ingredient for our
product. Fruits would not last for a long period, so this is challenging for us to ensure we
purchase enough stock to fulfill customer demand without wasting it.
Most of our materials are purchase from vary suppliers as we will compare and buy from the
most cheap price for every purchase. It’s our company policy where we are not stick to one
supplier to supply the same product. What the most important for us is to find the lowest cost in
order to minimize our cost of operation thus gain more profit.
1. Bano Sore
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J&J ENTERPRISE
2. Assortment Of Fruits
3. Mix Fruits
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Transparent cup 6 packet 1 packet 7 packet 8.00 56.00
Rib 6 packet 1 packet 7 packet 2.00 14.00
Total 683.40
4. Stick Fruits
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6. Rojak Buah
7. Ice Blended
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8. Fresh Juice
9. Cordial Drinks
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• The table above show the total J&J ENTERPRISE spend for raw material
cost monthly for all 9 products, is RM 6,401.30.
• The above pie chart show percentage of raw material expenses cost for each
product monthly. Assortments fruits show highest cost spends monthly compare
to Bano Sore with difference off 26%.
5.5 MACHINE & EQUIPMENT PLANNING
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In order to produce our product, we are using several machine and equipment to produce
good and quality product to our customer. Below is the detail of the machine and equipment
required:
FURNITURE
J&J enterprise choose to make some renovation in order to match with the production
daily at shop beside create smooth and effective flow of production.
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In J&J ENTERPRISE, we had decided that all partners have to participate in production
and daily business. We also hire another two workers to support our operation and increase our
productivity and efficiency;
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Layout refers to the arrangement of machine, equipment, workers and other facilities
used in the operations
In JOY & JUICY lot shop, we are using process layout based. This is because the layout
is suitable for a business that produce several products using similar processes
This type of layout is design based on the similarity of processes where by machine and
equipment that perform similar function will be grouped together
Here we have attach our operation layout for our shop lot at Sunway Pyramid
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J&J ENTERPRISE
Equipment 1,130.00
Van 20 000.00
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6.0 FINANCING
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J & J ENTREPRISE
Machinery 48099
Vehicle – Van (2nd hand) 20000
Renovation cost 25000
TOTAL 178215
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Sources of Finance
Machinery 48099
Vehicle – Van (2nd hand) 20000
Renovation cost 25000
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J & J ENTERPRISE
CASH FLOW PRO FORMA STATEMENT
Pre- 1 2 3 4 5 6 7 8 9 10 11 12 TOTAL
MONTH
Operations YEAR 1 YEAR 2 YEAR 3
CASH INFLOW
Equity (Cash) 48215 48215
Term loan 130000 130000 371520 433440
Cash Sales 23200 23200 23736 23736 24252 24252 23200 24510 24510 24768 25026 264390 371520 433440
TOTAL CASH INFLOW 178215 23200 23200 23736 23736 24252 24252 23200 24510 24510 24768 25026 442605
CASH OUTFLOW
Administrative Expenditure
Rent 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 4800 57600 57600 57600
Utilities 800 800 800 800 800 800 800 800 800 800 800 800 9600 9600 9600
Sundry 300 300 300 300 300 300 300 300 300 300 300 300 3600 3600 3600
Salary, EPF & SOCSO
Marketing Expenditure
Salary, EPF & SOCSO
Advertising
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Operations Expenditure
Cash Purchase 6401 6401 6401 6401 6401 6401 6401 6401 6401 6401 6401 70411 85450 99691
Salary, EPF & SOCSO 10019 10019 10019 10019 10019 10019 10019 10019 10019 10019 10019 110209 120228 120228
Payment of account payable
Carriage inward & duty
Rental
Utilities
Other Expenditure
Pre-Operations
Deposit (rent, utilities, etc.) 11200 11200
Business Registration & Licences 175 175
Insurance & Road Tax for Motor Vehicle 1200 1200 1200 1200
Other Pre-Operations Expenditure 2890 2890
Fixed Assets
Purchase of Fixed Assets - Land & Building
Purchase of Fixed Assets - Others 101909 101909
Hire-Purchase Down Payment
Hire-Purchase Repayment:
Principal
Interest
Loan Repayment:
Principal 903 903 903 903 903 903 903 903 903 903 903 903 10833 10833 10833
Interest 433 433 433 433 433 433 433 433 433 433 433 433 5200 4767 4333
Tax Payable
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TOTAL CASH OUTFLOW 117374 7236 23656 23656 23656 23656 23656 23656 23656 23656 23656 23656 23656 384827 293278 307085
CASH SURPLUS (DEFICIT) 60841 (7236) (456) (456) 80 80 596 596 (456) 854 854 1112 1370 57778 78242 126355
BEG: CASH BALANCE 60841 53605 53149 52693 52773 52853 53449 54045 53589 54443 55297 56409 57778 136020
END: CASH BALANCE 60841 53605 53149 52693 52773 52853 53449 54045 53589 54443 55297 56409 57778 57778 136020 262375
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Less: Expenditure
Administrative Expenditure 70800 70800 70800
Marketing Expenditure
Other Expenditure
Business Registration & Licences 175
Insurance & Road Tax for Motor
1200 1200 1200
Vehicle
Other Pre-Operations Expenditure 2890
Interest on Hire-Purchase
Interest on Loan 5200 4767 4333
Depreciation of Fixed Assets 6577 6577 6577
Operations Expenditure 110209 120228 120228
Total Expenditure 197051 203572 203138
Net Profit Before Tax (3072) 82498 130611
Tax 0 0 0
Net Profit After Tax (3072) 82498 130611
Accumulated Net Profit (3072) 79426 210037
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Owners' Equity
Capital 48215 48215 48215
Accumulated Profit (3072) 79426 210037
45143 127641 258252
Long Term Liabilities
Loan Balance 119167 108334 97501
Hire-Purchase Balance
119167 108334 97501
Current Liabilities
Accounts Payable
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FINANCIAL PERFORMANCE
Year 1 Year 2 Year 3
PROFITABILITY
Sales 264390 371520 433440
Gross Profit 193979 286070 333749
Profit Before Tax (3072) 82498 130611
Profit After Tax (3072) 82498 130611
Accumulated Profit (3072) 79426 210037
LIQUIDITY
Total Cash Inflow 442605 371520 433440
Total Cash Outflow 384827 293278 307085
Surplus (Deficit) 57778 78242 126355
Accumulated Cash 57778 136020 262375
SAFETY
Owners' Equity 45143 127641 258252
Fixed Assets 95332 88755 82178
Current Assets 47732 125948 252277
Long Term Liabilities 119364 108334 97501
Current Liabilities 0 0 0
FINANCIAL RATIOS
Profitability
Return on Sales -1% 22% 30%
Return on Equity -7% 64% 51%
Return on Investment -2% 35% 37%
Liquidity
Current Ratio - - -
Quick Ratio (Acid Test) - - -
Safety
Debt to Equity Ratio 2.64 0.85 0.38
BREAK-EVEN ANALYSIS
Break-Even Point (sales) 104724 108180 107952
Break-Even Point (%) 40% 29% 25%
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J&J ENTERPRISE
Return on sales
%
Year
Return on equity
%
Year
74
J&J ENTERPRISE
%
Return on investment
Year
Year
75
J&J ENTERPRISE
6.6 BUDGET
ADMINISTRATIVE BUDGET
- -
- -
- -
Working Capital
48
rent 4800 00
8
Utilities 800 00
- -
- -
- -
- -
Pre-Operations & Other Expenditure
Other Expenditure -
1
Deposit (rent, utilities, etc.) 11200 1200
1
Business Registration & Licences 175 75
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J&J ENTERPRISE
MARKETING BUDGET
- -
Working Capital
Salary, EPF & SOCSO
Advertising
- -
- -
- -
- -
- -
Pre-Operations & Other Expenditure
Other Expenditure
77
J&J ENTERPRISE
OPERATIONS BUDGET
Working Capital
640
Raw Materials & Packaging 6401 1
78
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- - 29099
291 2
1 0 910 26189
291 5 232
2 0 820 79
87 2
3 2910 30 0369
79
J&J ENTERPRISE
- - 20000
1666
1 1667 1667 6
333 149
2 1667 3 99
500 133
3 1667 0 32
80
J&J ENTERPRISE
- - - 130000
81
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PURCHASE PROJECTION
Month 1 6401
Month 2 6401
Month 3 6401
Month 4 6401
Month 5 6401
Month 6 6401
Month 7 6401
Month 8 6401
Month 9 6401
Month 10 6401
Month 11 6401
Month 12 6401
Total Year 1 70411
Total Year 2 85450
Total Year 3 99691
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This proposal also will be used as our guidelines to handle this business
effectively in future and this is refer on how to operate a business according four
important element which is on administration, marketing, operation and also financial.
We believe that, our business will success due to strategic location that we choose
that may attract many people to visit our shop and purchase our product because our shop
is located on shopping mall which is easy to obtain a customer.
On financial we obtain a deficit on for the first there year because on beginning
business. Our businesses also have a deficit during a fasting month because on high
demand, but profit per year we obtain a profit on three year forecast.
In addition, since our product a variety product based on a fruits, we ensure that
our business will go further, and will obtain a customer because customer can make an
option on our variety product.
84
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8.0 APPENDIX
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8.0 APPENDIX
85