11 Jun Using resources available to you, what is the total potential market value of your business/product/service? Project a 5-year financial business model for your

Posted at 18:30h in Business & Finance / Management by

Financials (1-2+paragraphs): Using resources available to you, what is the total potential market value of your business/product/service? Project a 5-year financial business model for your venture. Think about sunk costs verses prospective costs. (As a start-up, remember it is acceptable that initial years may not make a profit and may even have an initial loss.)

Fundraising(1+paragraph): If you need to fundraise to sustain operations, in what order and how will that be done? You could potentially tie this into your financial projections as long as it is a clear distinction of raising verses spending on diagrams.

I uploaded the company's information, please write about a business plan for the company, CapeQueen Cosmetics; Financial and Fundraising part.

Julie-BusinessPlan12.docx

Table of Contents Executive Summary 2 Highlights Objectives Mission Statement Keys to Success Description of Business 3 Company Ownership/Legal Entity Location Interior Hours of Operation Products and Services Suppliers Service Manufacturing Management Financial Management Start-Up/Acquisition Summary Marketing 6 Market Analysis Market Segmentation Competition Pricing Appendix 9 Start-Up Expenses Determining Start-Up Capital Cash Flow Income Projection Statement Profit and Loss Statement Balance Sheet Sales Forecast Milestones

Executive Summary

Providing chemical-free, all natural and highly effective skincare products as a healthier alternative for skin conditions such as psoriasis, eczema and other skin sensitivities. Our cruelty-free and antioxidant-rich skincare products also help to naturally brighten dull skin, lock-in moisture, exfoliate dead skin cells, grow natural eyelashes, reduce the appearance of wrinkles and dark circles under the eyes, leaving each person feeling rejuvenated and with a youthful appearance.

Once I resolve my marketing, eco-friendly product packaging and capital challenges, I project making 50,000 by the end of this year.

Highlights

Our products can help millions with little to no side effects

Objectives

Provide a healthier alternative to those who suffer from mild cases of skin inflammation and other skin conditions

Mission Statement

We strive to make high-quality, luxurious and highly effective skin care products affordable and accessible to everyone, including those who suffer from skin conditions such as psoriasis, eczema and other skin irritations

Keys to Success

Description of Business

We provide chemical-free, all natural and highly effective skincare products as a healthier alternative for skin conditions such as psoriasis, eczema and other skin sensitivities. Our cruelty-free and antioxidant-rich skincare products also help to naturally brighten dull skin, lock-in moisture, exfoliate dead skin cells, grow natural eyelashes, reduce the appearance of wrinkles and dark circles under the eyes, leaving each person feeling rejuvenated and with a youthful appearance.

Company Ownership/Legal Entity

New Independent retail business (LLC) registered with the state of California. Business license and sellers permit has been obtained. Logo trademark application is pending. 100% owned and operated by CEO Julie Persons

Location

Location Highlights

Currently using a shared office space for business address. Sales are not permitted at the office and therefore products are sold online or in-person at vendor affairs.

Office space is in a small plaza and accessible at ground level

Can use office space/business address to hold meetings, appointments and small business events

Location has our signage on the directory

Traffic is heavy in the area but parking in front of the office is usually open

Location is in Contra Costa County which is one of the largest counties in the northern bay area

Location is not near other business that may aid in drawing my targeted audience

Streetlights are sufficient

Interior

Office suite includes two receptionists, a full kitchen, several conference rooms and several office spaces for rent

No sitting area in the Lobby

Office space is about 20ft by 20 feet

Offices are equipped with a phone, desk, chair and view

Hours of Operation

Monday – Saturday 9am-2pm PST

Products and Services

Rather than settling for steroid creams or treatments that suppress/weaken the immune system which can lead to harmful side effects over time, we provide a healthier and yet still highly effective alternative for everyone including those with skin conditions such as psoriasis and eczema. Our cruelty-free and antioxidant-rich skincare products also help to naturally brighten dull skin, lock-in moisture, exfoliate dead skin cells, grow natural eyelashes, reduce the appearance of wrinkles and dark circles under the eyes, leaving each person feeling rejuvenated with a more youthful appearance.

Need audit/security system to protect inventory

Must take into consideration 3-4 weeks lead time

Need to ship packaging to manufacturer to fill product packaging

Manufacturer and product 20,000 items in 3-4 weeks

Suppliers

Based in Canada

Pay out-of-state taxes

Shipping time is 5-7 business days

Service

Intend to provide a skin analysis or questionnaire to qualify the best product in our skincare inventory for the appropriate skin problem

-Is the skin oily, dry, combination, aging, damaged by the sun, irritated by the weather and environment etc.

-offer sample

Once determined, we will recommend a product and provide a step-by-sept tutorial on how to prep the skin, warning disclosures, shelf life, product storage, usages and maintaining a routine

We plan to send a follow up communication to seek customer satisfaction and or results

Also, follow-up to offer travel size items, discounts and digital gift cards.

After 1 week, will send last email asking for a customer review on yelp, google, social media page and/or website

3 months later send another email regarding refilling the container to reduce waste

Manufacturing

Proprietary information

Will distribute products through a distributor

Products will be mailed to customer or provided in-person at vendor affairs and hopefully soon-to-be brick and mortar

Products are made in a factory that uses ingredients such as almond nuts but not peanuts

Management

I am a 1 woman show. I am the owner, CEO, compliance manager, human resource department, customer service agent, technical support, distributor, accountant, event planner, project manager, learning and development instructor, marketing manager etc. Once I receive more capital, I hope to hire staff and put them through comprehensive training to fulfill some of the said roles.

I have maintained a cosmetology license for over 12 years. I am also a healthcare professional currently pursuing a nursing degree and a certified phlebotomist seeking to learn more about the human body, anatomy, physiology, chemistry etc. so that I can continue to enhance and improve my products over time- providing the best skincare for all.

Financial Management

I have invested 100% of my own money leaving me with no debt

I have invested over 20,000 into the business over the past 2 years

I plan to acquire better marketing strategies to increase exposure and sells

My manufacturer can make customer product labels/silk printing and boxes which will cut down my expense for shipping and label expenses tremendously

1000 minimum for custom boxes and silk printing/labeling

Start-Up/Acquisition Summary

Start up cost has been significant and I lost thousands on in-effective marketing

Marketing

My target audience is adults, teens and even toddlers who require sufficient moisture that is chemical-free and that lasts. I target these audiences on social media. Have not done a family and friends referral system yet. Have not offered gift cards. I’ve only advertised coupons on social media

Market Analysis

The skincare market is growing. It falls in line with the beauty industry which is a multi-billion-dollar industry. The need is there. I plan to use beauty influencers that are within my budget to help market online I also plan to offer travel sizes and friends and family discounts. I plan to spend 500.00 a month on marketing

Market Segmentation

My target market is segmented a little. I plan to open my brick and mortar in Napa or Walnut Creek, CA due to the high quality and reputation of my products; however, all my products are available online and accessible to everyone including those who don’t have access to such high-quality skin care. Additionally, anyone can sign up for After Pay when they checkout online and their total is split into 4 installment payments, so everyone has access to the buy now pay later payment option if they qualify.

Competition

My biggest competitors are brands that are in Sephora, Ultra, Walmart, Walgreen and Target. Those brands already have loyal customers. Some cosmetic brands have watered down their prices giving them an advantage where people will sacrifice quality for affordability. Other brands are founded by celebrities, and I can’t compete with that. Once thing many of competitors don’t have is a personal, real life, unpaid, unfiltered and highly relatable testimony regarding a chemical-free alternative for people with skin conditions like psoriasis and eczema.

Pricing

My prices are on the high end due to how much product the customer receives, the quality, the invaluable benefits, the little to no risk or side effects, and the problems it solves. However, I do offer the buy now and pay later option which makes my products still affordable for even the tightest budget while no impact to my revenue and worth.

Advertising and Promotion

I need assistance in the advertising department. I am the photographer for 80% of my pictures and my advertisement’s minimal results reflects my lack of advertisement skills. Currently seeking help on advertising and marketing and possible outsource options.

Strategy and Implementation

Plan to apply for several grants to gain capital

Increase 680 credit score to possibly qualify for a business loan

Refinance high interest loan

Gain certifications

Participate in vendor affairs to gain capital and for exposure for small cost

Win grant

Then sign a deal with ecofriendly packaging company who is willing to complete the silk printing on the jars and ship directly to my manufacture for filling and packaging.

Have manufacture create custom boxes – add UPC barcode to boxes

Manufacturer agree to produce 20-25 k in 3-4 weeks lead time

Sign rental lease or purchase commercial real estate deed for brick and mortar

Set up payroll, unemployment and workmen’s comp account

Higher 10-20 employees

Increase marketing and advertising budget

Offer new and improved products

Partner with nonprofit organization for domestic violence, foster care youth, abuse victims and child illness to give back to my community

Appendix

Start-Up Expenses

Business Licenses
Incorporation Expenses	Exact number not yet determined
Deposits
Bank Account	Exact number not yet determined
Rent
Interior Modifications	Exact number not yet determined
Equipment/Machinery Required:
Item 1	Exact number not yet determined
Item 2
Item 3	Exact number not yet determined
Total Equipment/Machinery
Insurance	Exact number not yet determined
Stationery/Business Cards
Brochures	Exact number not yet determined
Pre-Opening Advertising
Opening Inventory	Exact number not yet determined
Other (list):
Item 1	Exact number not yet determined
Item 2
Total Startup Expenses

Business Plan – [Select Date] 6

Determining Start-Up Capital

Begin by filling in the figures for the various types of expenses in the cash flow table on the following page. Start your first month in the table that follows with starting cash of $0, and consolidate your “cash out” expenses from your cash flow table under the three main headings of rent, payroll and other (including the amount of unpaid start-up costs in “other” in month 1). Continue the monthly projections in the table that follows until the ending balances are consistently positive. Find the largest negative balance—this is the amount needed for start-up capital in order for the business to survive until the break-even point when all expenses will be covered by income. Continue by inserting the amount of needed start-up capital into the cash flow table as the starting cash for Month 1.

	Month 1	Month 2	Month 3	Month 4	Month 5	Month 6	Month 7	Month 8
Starting cash	$0.00
Cash In:	Exact number not yet determined
Cash Sales Paid
Receivables	Exact number not yet determined
Total Cash In
Cash Out:	Exact number not yet determined
Rent
Payroll	Exact number not yet determined
Other
Total Cash Out
Ending Balance
Change (cash flow)

Cash Flow

Month 1

Month 2

Month 3

Month 4

Month 5

Month 6

Month 7

Month 8

Month 9

Month 10

Month 11

Month 12

Starting cash

Cash In:

Exact number not yet determined

Cash Sales

Receivables

Total Cash Intake

Cash Out (expenses):

Rent

Utilities

Payroll (incl. taxes)

Benefits

Loan Payments

Travel

Insurance

Advertising

Professional fees

Office supplies

Postage

Telephone

Internet

Bank fees

Total Cash Outgo

EndiNG Balance

Income Projection Statement

Ind. %

Jan.

Feb.

Mar.

Apr.

May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

Annual Total

Annual %

Est. Net Sales

Cost Of Sales