Small Business Plan

Small Business Plan

INTRODUCTION
Business plan is a written document which describe in detail how a business usually
new one. In the same way, the current project is based upon the new business plan i.e. Step
training who wants to provide the training to different companies. The current study will
present the business idea and provides background research, further it present the initial
investment which is required to execute the business in better manner. Also, it describe the
cost, profit forecast and cash budget which help to meet the define aim and then with the help
of key performance indicators, study determine the feasibility of a plan.
Business Idea
Step training is firm which is established in 46, The Priory Queensway Birmingham
which is a training company which provide office, admin and IT courses to different
companies. The quoted firm also faces tough competition from all the training companies
because there is a wide scope of training market, as every company needs to provide training
to their employees so that it will help to meet the define target of a company in better manner
(Căpușneanu and et.al., 2020). The biggest risk which a firm is faces is related to the initial
investment and from the competitors. It is so because, training market is so populated, as
there are many customers that is why, there is high risk which a firm is faces.
Background Research
Training market is consider the wide market in UK, as there are top companies who
want to provide training session to their employees so that they attain define target of the
firm. As Step Training will also offer unique training services to different companies with
low price as compared to others rivals. Even the target market of company is small
companies who wants to provide training related to using digital and advance technologies.
This in turn assist the firm to sustain the brand image at international level. Also, the size of
this market is continuously increases because there is a tough competition in this market. In
the modern era, companies are more focusing on e-learning training types because of its
variety of benefits.
In addition to this, there are so many top training companies that provide effective
training system to the leader, manager and team player such that Amazon, Bonobos etc. on
the other side, around ten top competitor from which Step Training faces strong competition
because they also provide e-learning to the companies and even many small firm are also
provide effective training session but the quality and prices are differ (Holm and Ax, 2020).

The customer profile for Step Training will be small and medium firm who wants to get e-
learning session for their employees. And customers also prefer this training session because
company offer the e-learning training session in minimum prices as compared to other and
this will further help to attract range of new customers easily. Moreover, this will turn to
draw attention to many customers and even the trainers hire for training session will be
efficient enough so that they provide best and effective training to their target market.
Initial Investment
In order to set up the new business, company require enough finance and therefore,
they use personal saving and took loan from a bank. This will help to meet the define aim and
business plan will be executed better manner. As company require premises and Step
Training took it as a lease, on the other hand, equipment are purchased because it is a one
time investment and this will help to meet the define aim (McKeever, 2016). For human
resource, company is also hire some managers and employees, also the organization structure
is hierarchy in which each employees have their own roles and responsibilities and leader or
manager delegate the roles as well. Stock is also maintain in proper manner so that it will
help to leave positive impression upon the rivals.
So, it is clearly analyzed that there are many ways through which company make an
initial investment and this will help to sustain a good brand image at local level. Though there
is a tough competition between the Start Training and other firm, that is why, company may
take a loan from a bank at low interest in order to let people know that they provide the best
and unique services as compared to other companies (Kusumaningrum and Hidayat, 2016).
Income will be generated
There are many ways through which the income is generated but it is depend upon the
company which mode they choose in order to make it successful. So as per the business plan,
Start Training will generates the income from charging small companies such that they make
a plan or a combo offer in order to attract range of people towards them. Further, it is also
analyzed that offering bulk training session to the IT firm is also consider the best way
through which the income is generated (Watson, McGowan and Cunningham, 2018). On the
other side, company may also offer the range of services in cash as well as credit term
because training session is of at least 6 months and this is not easy for the companies to offer
the same product and price by taking cash. That is why, it provide installment facilities to the
companies as per their convenience.

On the other side,it is also analyzed that the initial price of the training session is low
and that is why, it will help to meet the define aim and objectives of a company. So, it can be
stated that with the help of these method, Start Training will easily generate the income and
also selling the services at common price or minimum price will also attract range of new
customers towards them (Türko, 2016). This in turn help to meet the define aim and
objectives, also make a business plan more feasible and better.
Costs
Costs are the most important factors to be considered when deciding about the project.
Every business has to analyse and estimate the cost that it will be required to incur regarding
the proposed business plan. It has to analyse all the costs associated with manufacturing of
the product. It is required to make estimates over the future projections of the cash inflows
and outflows that it will be having while carrying out the business.
Fixed and variable costs
Fixed costs have to be met by the company even when there are no profits. It refers to
the cost that is essential for running the business operations. These costs generally include
factory rent, power charges and such other cost that are to be paid every year and do not
change with the change in output. It will incur staff cost, rent of premises and power charges.
Variable costs are incurred for making the products. These costs changes with the
change in output level. In general variable cost does not change on per unit but changes in
aggregate with the change in output. Company will incur variable costs regarding the training
centre which are books costs and bandwidth fees for online courses. All other costs are fixed.
Business operations
Training centre will be operating from two places in Birmingham and online classes
will also be held by the institute providing training to students across the country. Training
centers will be easy in easy reach of the students who want to attend the classes. Online
training will facilitate students to have the trainings from their homes.
Initial Equipments
It will be purchasing equipments for providing the training to students at the centres
and over online platform. All these are capital assets of the institute on which depreciation
will be charged. Equipments will be increased as per requirements of business.