Business Plan for ABC Spa & Salon

This report proposes the future business of ABC Spa & Salon, including the product and services provided, customers, competitors, skills analysis, profit and loss account, source of funding, start-up cost, type of organization, and vision.

Enterprise and entrepreneurship

Table of Contents
Introduction....................................................................................................................................3
Main body.......................................................................................................................................3
Proposed future business.............................................................................................................3
Customers....................................................................................................................................3
Competitors..................................................................................................................................4
Skills analysis..............................................................................................................................4
profit and loss account of the business including break even.....................................................4
Source of funding........................................................................................................................7
Start up Cost for obtaining resources both tangible and intangible.............................................7
Type of organisation and management information system........................................................7
Vision of business idea................................................................................................................8
Conclusion......................................................................................................................................8
References.......................................................................................................................................9

Introduction
Entrepreneur is an individual who create their own new idea by taking the risk and enjoying the
most of the rewards. it is necessary for the people who wanted to become a entrepreneur in their
life should have a skills and knowledge ability to start their own venture so they can be
successful.
This report will cover Business plan of ABC spa & Salon (Burnett and Danson., 2017). This
business plan will propose the future business of the company including the product and services
provided by them and it will also discuss about IPA to protect business idea. This report will
identify the customers, competitors, scale analysis and two years off profit and loss account and
cash flow forecasting including the break even. it will also discuss about funding how’s the
business and vision for the new business plan.
Main body
Proposed future business
The new business is about providing quality services to the customer related to the spa & salon.
The main reason to open this new business idea is that decrease of spa and saloon is increasing
day by day. customers are looking for the spa Services to make their minds relax. the innovation
the new Business idea of ABC spa & Salon I’ll bring opportunity’s for the people who are
looking for the jobs and new quality services will be provided to the customers becausr staff will
Offered with innovative training programmes and specially customer centric approach will be
served to the customers. To protect the ideas ABC spa & Salon will use trademarks which is an
intellectual property that will help to save the idea and business both.
Customers
The target customers will be both man and woman of the adult age group. it will not cover the
Age group people who are less than 23. B2c services which means business to customers will be
involved And company will provide their services to the people who are looking for spa &
Salon. Customers need within the spa & saloon Is to get relaxed by getting a body massage and
proper hair treatment (Jones, Penaluna, and Penaluna., 2019). ABC spa & Salon able to meet
their requirements through there skilful stuff. The target market of the ABC spa & Salon is

Central area of the London. It is valuable place to work becausr people are more educated and
They are more likely to take spa & Salon service.
Competitors
The competitors of the new business plan of ABC spa & Salon will be local saloons and sparse
within the London Street. There are many competitors who are having a huge reputation within
the market are ESPA life at Corinthia, Aveda Lifestyle spa & Salon etc. This companies having
around 10 to 12% of the share within the market and they will give huge competition to the ABC
spa & Salon. Customer well prefer product and services from the ABC spa & Salon because staff
members are innovative trained Anne customers will get higher priority. Connexion to deeper
our services from the competitors, we will use ambient strategy where customers will be
assisting comfortable yet smoothing atmosphere an hands customers will pampered through
relaxing spa services. This will help to satisfy the needs and demand of the customers and they
will prefer our services more than the other solutions and spa and area where ABC spa & Salon
Will operate their business and they were able to take competitive advantages within the market.
Skills analysis
As a business owner it is necessary for me to have a skills that will help me too take my business
idea forward and help me to be successful in the business. I have some of these skills for
developing and taking my business idea forward are having a knowledge about spa & Salon. I
take training and also worked within the spa & saloon, Which will be helpful for me to develop
my business and I will able to take it forward. some of the more skills that I have to develop for
my business expansion is that critical thinking skills (Hjorth and Holt., 2016). I want to develop
critical thinking skills in myself so I can able to think more creative an innovative for my
business that will help me too take competitive advantages and I will able to come up with the
new services that can help to satisfy customers needs.
profit and loss account of the business including break even
Particular Amount (in £)
Technological requirements 350
Human resources 200
Marketing 500

Research expenses 150
Other expenses 400
Total £1,600.00
Further, the pre-launch asset cash budget can be prepared in following manner:
Particular Amount (in £)
Raw Material 750
Cash 1400
Machinery and equipments 2200
Physical Outlet (On rent) 900
Other Assets 450
Total £5,700.00
Further, the prelaunch asset cash budget can be prepared in following manner:
Particular Amount (in £)
Raw Material 650
Cash 1500
Machinery and equipments 2100
Physical Outlet (On rent) 1000
Other Assets 350
Total £ 5600
Cash flow forecasting for 12 Months

ular Quarter 1 Quarter 2 Quarter 3 Quarter 4
Opening balance 36000 57000 84000 116840
Cash sales 18000 21000 26000 27000
Receivables 17000 19000 19500 21000
Sales of assets 21000 0 0 0
Total cash received 92000 97000 129500 164840
Cash Expenses
Direct labor 2900 1800 1850 1600
Direct material 1800 1100 1200 2300
Selling & distribution
o/h
4600 4000 4000 3100
Manufacturing o/h 4000 3150 2800 4000
Assets purchased 19000 0 0 0
Total Cash expenses 32300 10050 9850 11000
Net cash flow 59700 86950 119650 153840

Profits and loss summary for the first year
Sales and revenues
- Cost of goods sold
Gross profits
- rent expenses
-electricity expenses
-food expense
miscellaneous expenses
Net profit
100000
(10000)
90000
1500
1500
3000
1000
83000
Source of funding
It is necessary for the every business to have a proper source of funding so their business can be
grow and opportunities can be built. To grow my new business ABC spa & Salon, I will use the
suitable sources of funding like bank loans, I will encourage the investors within the market
Who can invest within my business and I can make eight more strong (Lyne, Ngin, and
Santoyo-Rio., 2018). These two sources will be helpful for me to grow business in future and I
will able to take my business forward. Each and every Department of the business will be needed
a proper flow of cash and without having cash flow and budgets I can not take the new business
forward I create the new opportunity for the business.
Start up Cost for obtaining resources both tangible and intangible.
To start every business it is necessary for the businessman to have proper source a fund and
budget to obtain resources both tangible intangible. The budget of this business it is estimated
around $5 billion. The start of cost for the tangible assist will be required an tangible asset like
Land, building, furniture, equipment’s that are needed for providing spa and Equipment related
to the saloon. Intangible assets of the company is trademark, copyrights an companies goodwill
within the market where they have to invest more so they can take competitive advantages within
the market where they are operating their business.

Type of organisation and management information system
ABC spa & Salon will use hierarchical org structure (Ramsgaard., 2018). To increase the flow of
communication within the workplace. It will help to flow the information from top management
to lower and lower management to talk. each and every staff member will get in formation
electric do their work on time and flow of communication within the business will increase. The
management information system will be used by the ABC spa & Salon will be Enterprise
Resource Planning (ERP) Which refers to the type of software that organisation used to manage
day to day activities such as procurement, projects, accounting, management, supply chain
operations, risk management etc (Matlay., 2019). This valuable for the ABC spa & Salon to
manage their day to day activity and they were able to provide best possible services to their
customers and they were able to control their business activities effectively.
Vision of business idea
Vision of the ABC spa & Salon is to Grow their business by providing the valuable and satisfied
customer services and company want to see themselves as one of the best spa & Saloon In the
UK market (Henry, and Dana., 2019).
Conclusion
As per the report has been concluded business plan of the ABC spa & Salon and it has been
proposed the future business of the company including the product and services provided by
them and it also has been discussed about IPA to protect business idea. This report has been
identified the customers, competitor’s, scale analysis and two years of profit and loss account
and cash flow forecasting including the break even. This report has been discussed about funding
how’s the business and vision for the new business plan.

References
Books and journals
Burnett, K.A. and Danson, M., 2017. Enterprise and entrepreneurship on islands and remote
rural environments. The International Journal of Entrepreneurship and Innovation. 18(1).
pp.25-35.
Jones, C., Penaluna, K. and Penaluna, A., 2019. The promise of andragogy, heutagogy and
academagogy to enterprise and entrepreneurship education pedagogy. Education+
Training.
Hjorth, D. and Holt, R., 2016. It's entrepreneurship, not enterprise: Ai Weiwei as
entrepreneur. Journal of Business Venturing Insights. 5. pp.50-54.
Lyne, I., Ngin, C. and Santoyo-Rio, E., 2018. Understanding social enterprise, social
entrepreneurship and the social economy in rural Cambodia. Journal of Enterprising
Communities: People and Places in the Global Economy.
Ramsgaard, M. B., 2018. Experiential learning philosophies of enterprise and entrepreneurship
education. In Experiential Learning for Entrepreneurship (pp. 3-18). Palgrave Macmillan,
Cham.

Matlay, H., 2019. The future of enterprise and entrepreneurship education. Education+ Training.
Henry, E. and Dana, L. P., 2019. Māori Indigenous research: impacting social enterprise and
entrepreneurship. In A Research Agenda for Social Entrepreneurship. Edward Elgar
Publishing.