Detailed Business Plan: The Organic Shop - WA Cosmetic Startup 2022

This document presents a comprehensive business plan for "The Organic Shop," a sole proprietorship based in Western Australia focused on providing organic cosmetic products. The plan outlines the company's mission to become a leading cosmetic provider in Australia by offering high-quality, natural products at competitive prices. It details operational aspects, including product offerings like organic shampoo, face wash, soaps, and masks, along with distribution channels such as a shopfront, website, market stalls, and digital platforms. The plan includes a market analysis identifying a demand for chemical-free products and a SWOT analysis to assess the company's strengths, weaknesses, opportunities, and threats. Risk management strategies, financial forecasts, and goals for the next year and three years are also included. The document highlights the use of digital technology and information management systems to streamline operations and enhance customer engagement. Desklib provides a platform to access this and other student contributed assignments.

Strategic project

Table of Contents
KEY DETAILS...............................................................................................................................4
Registration details......................................................................................................................4
Contact details.............................................................................................................................4
Online and social media details...................................................................................................4
THE BUSINESS..............................................................................................................................5
Plan summary..............................................................................................................................5
Our why.......................................................................................................................................5
Our vision....................................................................................................................................6
Our mission..................................................................................................................................6
Operations....................................................................................................................................6
Digital technology.............................................................................................................1
Information management...................................................................................................2
Assets.................................................................................................................................2
Key people...................................................................................................................................2
THE MARKET................................................................................................................................4
The problem.................................................................................................................................4
Our solution.................................................................................................................................4
Our target market.........................................................................................................................5
Advertising and promotion..........................................................................................................5
The competition...........................................................................................................................6
Pricing strategy............................................................................................................................7
SWOT analysis............................................................................................................................7
RISK MANAGEMENT..................................................................................................................8
Insurance......................................................................................................................................8
Succession plan............................................................................................................................9
Laws need to comply with..........................................................................................................9
GOALS AND ACTIONS..............................................................................................................10
Goals for next year.....................................................................................................................10
Goals for the next 3 years..........................................................................................................11

THE FINANCES...........................................................................................................................11
Sources of funding.....................................................................................................................11
Current finances.........................................................................................................................11
Balance forecast.........................................................................................................................11
Profit and loss forecast...............................................................................................................11
Cash flow forecast.....................................................................................................................12
REFERENCES..............................................................................................................................13
APPENDIX....................................................................................................................................14

KEY DETAILS
Registration details
Business name
Registered or proposed
name.
The organic Shop
Date registered 7/06/2022
State registered in Western Australia
Business structure Sole trader
Australian business
number (ABN)
-
Australian company
number (ACN)
If a company.
-
Licences and permits
Australian, state and local.
For accessing the materials from farmers for using natural
ingredients
Contact details
Name The organic Shop
Phone [phone]
Mobile [phone]
Email [e-mail]
Address 416 Elm wins Rd, Bridgetown WA6255, Australia
Online and social media details
Address/details
Website https://www.organicproducts.com.au/

THE BUSINESS
Plan summary
What our business
does
The products or
services we sell.
It is one of the significant successful firm that is operating in the
cosmetic sector which is selling goods such as hair shampoo, face mask,
etc. so that problem of customers prevailing in the market can be
resolved effectively to meet the demand of buyers.
Our target market The target audience is the customers who are having the objective of
using then natural based products for their hair and skin in turn
accomplishing their objectives of overcoming the issue of usage
regrading chemical aspects. It will focus on having those who have the
behaviour and psychology of achieving the higher profitability and
sustainability can be derived.
Our unique selling
point
The one of the unique selling price that is basically focused by the firm
in order to have the effective processing is that it focuses on offering the
higher quality with lower cost. It is related with achieving the higher
trustworthiness in the market he in turn greater performance can be
derived.
Our business goals To incline the profitability by 10% at the end of the year
To increase the marketing efforts by 12% at the end of the year so that
good market share can be covered
To decline the cost by 5% within 6 to incline profit and efficiency of
organizational action.
Our history
Industry experience,
major achievements.
The firm is operating in the cosmetic industry with no past records in
turn good start up can be done to have higher outcomes can be attained.
Our why
The inspiration behind the business
The main reason behind the starting the business is that there is effective awareness
regarding the healthy products and chemical utilization negative impact which is increasing the

demands of the such products. There is significant growth in the particular sector which has
motivated toss elect this business idea.
Our vision
To have the leading position in the cosmetic industry in Australia by possessing diverse
network channel and higher quality to meet customers demand
Our mission
To have the significant position in the market by possessing higher competitive benefits
by offering quality based products so that effective higher level of the customer satisfaction
can be derived.
Operations
Products and services
The company is paying attention on offering the organic products in the cosmetic industry in turn
accomplishing the goal of the higher profitability and sustainability can be attained. The firm is
focusing on offering the goods such as hair mask. Shampoo, face wash, etc. with using different
ingredients by avoiding utilization of chemical products to meet distinct needs of customers.

Product/service Description Unit price (incl. GST)
shampoo It possesses all the natural ingredients such as
oils, aloe , organic honey, etc.
$ 34.95
Face wash It is one of the most demanding product which is
basically concerned with having lemon,
cucumber coconut oil, rose water, milk, etc.
which is eliminating the utilization of chemical.
$ 40.35
Soap It is basically concerned with h having distilled
water, essential oils, colorants, etc.
$40.50
face mask It is related with overcoming the acnes, dark
spots, etc. for offering the instant glow in turn
attaining the higher requirements of the
customers can become possible. It involves the
various ingredients which is eliminating
chemical utilization.
$30.50
Hair mask This comprises the components such as avocado
oils, aloe Vera, etc. in turn higher strong,
lengthy, etc. benefits can be offered.
$40.00

Sales and distribution channels
Channel Used for Details
Shopfront The main reason behind
using this form of the
distribution channel is to
offer the hair mask and
shampoo highly s
customer prefer to buy
from it (McKeever,
2018).
20% of the overall sale is achieved with
help of this channel.
Website This is basically taken
into the consideration for
spreading the awareness
regarding the products
and services availed in
turn good brand
positioning can be done
thorough having customer
conversion rate.
15% of the sale is derived via using this
channel of distribution.
Market stall It is one of the significant
channel that I used to
connect with local people
for gathering information
regarding their
suggestions in turn
customized products can
be provided.
20% of total revenue is generated with help
of this channel.
Other This involves all the
digital platforms such as
social media, business
based online store, etc. is
taken into process so that
effective sales can be
made (Marketing
Promotion Strategies,
2022).
Rest of the sale is made with help of the
platform
Digital technology
There is different form of the technologies which is used by the particular organization that
involves accounting software, cloud computing, social media marketing, artificial intelligence
for connecting with people in turn higher effective service offering can become possible. This
1

all are basically taken into the consideration for collecting data in turn strategic decision can be
formulated.
Information management
In order to have the precise form of the data storing and securing regarding the customers and
stock information cloud computing is taken into the practice. In addition to this, there is
effective utilization stock insights via taking the strategic information so that over or understock
can be obtained. On the basis of this, it can be mentioned that it is helpful in gaining relevant
storing, collecting, etc. information so that good information management can be achieved.
Assets
The firm is possessing the premise for manufacturing and shop ion market in turn effective
ability to deal with customers can become possible.
Stock and inventory
There is execution of inventory managements system with help of the cloud computing in turn
good stock insights regarding inputs such as ingredients, WIP components and outputs can be
effectively managed effectively to market forces. It possesses the material for the products
manufacturing in turn demand of the goods for the particular year can be met so that higher
effective 10000 goods in each category.
Equipment
Equipment Date bought or leased Cost ($)
computers 10/05/2022 $20000
Machinery 11/05/2022 $25000
Vehicle 12/05/2022 $30000
Furniture 12/05/2022 $35000
Intellectual property
In order to have the effective processing by possessing the organization logo so that significant
brand positioning in the market can be attained.
Key people
Our staff
Role Name Skills and experience
2

If role is filled.
Operation manager - It requires the higher information regarding the
various technical efficiency, data processing,
product development, risk identification, etc. with
one year of practical exposure.
Quality manager - Possessing the good communication, interpersonal,
analytical, problem solving, facilitating change, etc.
in turn good outcomes can be provided with
possessing 3 years of experience.
Marketing manager - Significant leadership, technical, , organization,
communication, creative skills, etc. in turn
accomplishing the insights about the customers’
requirements can become possible with possessing
2 years of experience (Lim, 2021).
Financial manager - Significant experience of 3 years in identification
of resource regarding finance, allocating and
managing finance, etc. there should be knowledge
regarding tax filing in turn gaining higher precise
can be attained.
Data analyst - This should have the effective understanding about
the data collection, analysing, etc. with use of
varied software, etc. in turn achieving appropriate
information to make strategic decision can become
possible.
Sales executives - Precise knowledge regarding the customer
demands meeting, effective problem resolving, etc.
can traits to meet the targets can be attained.
Sources of advice and support
Support type Name Skills and experience
3

Accountant - Possessing effective information regarding
the recording and summarizing the
information in turn attaining the goal of
having significant accounts to make
judgements regarding firms financial position
with 1 year of experience.
Marketing executive - This should possess good team work,
adaptability, strong attention to detail, good
organization and commercial awareness, etc.
with 2 years of experience
Suppliers - Good communication skills and effective
decision making, significant problem solving
in turn higher effective outcomes can be
attained with 1 year of practical exposure.
Skill and staff retention strategies
There is different form of the actions which is basically exerted by the firm for purpose of having
significant planning and developing with staff for having effective results. It is done by offering
clarity of goals, effective team meetings, significant feedback mechanism, etc. so that higher
insights about the prevailing problems can be identified to have ability to implement the suitable
course of actions for the purpose of significant implementation of modification.
THE MARKET
The problem
From the evaluation of the market research conducted it can be interpreted that there is
significant problem as higher utilization of the chemical is prevailing in the market which is
hampering the purchasing decision of customers (Gasmi and et.al., 2020). The business idea is
basically concerned with utilization of organic materials via ensuring the elimination of chemical
utilization that is related with possessing significant ability to solve the problem of negative
impact on their hair and skin in turn higher profitability & sustainability can be attained. The
offered products by the company is affordable in turn higher market share can be covered.
Our solution
The problem of customer of having adverse impact on their skin & hair the focus on using
natural ingredients which are specialized in obtaining sustainable growth & development in turn
positive influence in long term can be derived. Unique selling point for the current
investigation is that it is concerned with having the higher quality with varied form of the
ingredients in turn accomplishing the objective of customers with affordable price.
4

Our target market
From the evaluation it can be mentioned that STP is one of the significant technique which is
related with possessing significant assessing of the segmenting customers. For the current
business the focus will be provided on having the effective targeting customers on basis of
behavioural and psycho graphic basis in turn attention of all buyers who want to have organic
based products for their health can be obtained. In addition to this, it will position on the basis of
higher quality & affordable pricing strategy.
The group of customers that aim to sell our products or services to
The products will be offered to the age group of the 15-55 by covering both the genders male and
female. This is related with possessing the effective focus on targeting people who are looking
for low cots possessing and having higher quality goods in turn accomplishing goal of higher
profitability can become possible.
Advertising and promotion
Channel Used for Details
5

Email It is basically used by
organization for the
purpose of sharing the
details to customers their
personalized based
requirements can be
attained.
It will send the information regarding the
customized services available by the firm to
offer the higher ability to overcome their
issue of negative impact on hair and skin.
Social media (unpaid) It is concerned with
possessing the ability to
connect with customers
in turn higher ability to
attain the information
regarding the prevailing
offers in turn higher
productivity and
sustainability can be
derived.
This will provide assistance in gathering
feedback regarding the products used and in
turn m higher reach can be obtained to cover
the greater market share.
Paid advertising For gaining to ranking
on SEO so that good
revenue generating
ability can be achieved.
It is related with possessing the significant
information about the firm’s ability to cover
good market share in turn higher
productiveness situation to get greater
profitability can become possible.
Other This involves spreading
templates about the varied
form of the products in
turn good awareness
regarding products can
services can be offered.
It is concerned with having the effective
ability to share information regarding offers,
discount, special offer, etc. in turn higher
profitability can be attained.
The competition
Competitor name Body shop Natural product firm Boots
Strengths Varied products range Good supply chain Higher quality service
Weaknesses Higher pricing
approach
Ineffective brand
positioning in market
Inappropriate feedback
mechanism
6

What we’ll do
differently
It is concerned with
having the significant
market share as operate
in international market.
Good pricing approach
in turn higher customer
market share.
Higher marketing and
promotional technique
for covering good
market share.
Pricing strategy
For the purpose of having effective ability to cover good market share the focus will be provided
on using cost plus pricing strategy in turn good profitability can be attained.
SWOT analysis
Strengths
What’s good
about our
business.
There is different form of the strengths which are basically obtained by the
organization that involves good financial position, effective supply chain and
effective marketing & promotional supply chain. This is basically related with
obtaining the significant position in turn good form of the capability to
coordinate with the changing circumstances can become possible.
Weaknesses
What’s not so
good about our
business.
There are few lacking areas which is concerned with ineffective ability to cope
up with the higher profitability. This involves in availability of skilled employees,
lack of compliance with legal requirements of the organization and technological
requirement of organization which is has impact on the overall processing of
organization.
Opportunities
External factors
we could take
advantage of.
There is different form of opportunities which is basically related with having the
proper emergence on digital platform. It is related with possessing the significant
approach of partnership and merger with the reputed organization.
Threats
External factors
that could cause
problems for us.
There are various threats which has the impacted the functioning of the firm
which is related with higher legal compliance with industry. It is concerned with
possessing the significant coordination with health & safety regulations, etc. there
is higher level of competition is prevailing in the market which is affected the
firm.
Addressing each weakness and threat
7

The firm will give emphasis on having the consultant with the legal advisor so that effective
outcome by gaining the corrective form of the strategy for accomplishing the adherence with
rules and regulation prevailing in market. For the purpose of having effective technological
adoption the focus will be provided on conducting market research in turn higher profitability
can be derived. Marketing & promotional activities in the good form of brand image in market
can be done to overcome competition.
RISK MANAGEMENT
Risk/impact description Likelihood What we’ll do to reduce this risk
Financial risk due to greater
cost
Highly likely The cost leadership strategy that is helpful in
cost declining to have good profit margin.
Reputation risk due to higher
competition and quality
management issue
Likely Good marketing & promotional technique
which is helpful in increasing awareness
about the products.
Strategic risk due to ineffective
availability of human resource
Likely It can be done by making strategic
management application so that corrective
strategy can be formulated
Operational risk due to
availability of required level of
ingredient
Likely Significant total quality management
procedure for having higher standards
products.
Compliance risk due to the
higher legal compliance
Highly likely Training 7 development to enhance
effectiveness in respect to coordinate with
legal requirements.
Insurance
The insurance we have or need.
Insurance type Details
8

Workers compensation For security of the employees so that effective results can be obtained.
Professional indemnity It will protect again the legal action or threats
Product liability It is related with having the liable for the placing pa defective products
into the hands of a consumer
Assets (fire & property) It is helpful in meeting the ability to overcoming the threats associated
with theft or fire of assets.
Other It is related with compliance with the commercial property insurance in
respect to have security.
Succession plan
In this case the succession plan is to adopt the good existing strategy in turn good form of
profitability and sustainability can be derived (Inkon, 2019).
Laws need to comply with
consumer laws, employment laws, state licences, health & safety, optimum utilization of
resources, effective adherence to industrial rules and regulations, etc., are required to be taken
into the consideration by firm.
9

GOALS AND ACTIONS
Goals for next year
Increasing marketing
activities
Reducing cost Having effective level of
customer share
Actions to achieve
goal
 Emphasis on
digital marketing
activities
 Focus on having
involvement of
celebrity for
increasing
awareness
 Higher focus on
feedback
mechanism to
eliminate
irrelevant aspects
 Using cots
leadership approach
(Barrow, Barrow
and Brown, 2018).
 Setting standards
via using KPIS
 Identifying
irrelevant aspects to
eliminate the same
for inclining
profitability
 Good marketing &
promotional action
 Corrective
targeting
 Effective problem
solving
Due date 10/08/2022 11/08/2022 12/08/2022
Who’s responsible Marketing manger Financial manager Marketing manager &
exclusivities
10

Goals for the next 3 years
Profitability inclining
by 10%
Declining cost by 10% Increasing market
share via 15%
Actions to achieve
goal
 Corrective
pricing strategy
 Coordinating
with market trends
 Effective
promotional
practice
 Using KPI to find
deviation
 Paying attention on
eliminating non
crucial activities
 Maximizing profit
margins
 Effectual marketing
practice
 Feedback
mechanism
 Inclining quality of
products to have
higher attention of
customers
Due date 11/06/2025 12/06/2025 13/06/2025
Who’s responsible Financial manager Financial manager Marketing manager
THE FINANCES
How much money need and what it’s for:
Firm need money of $20000 for buying assets which is highly required for the purpose of
having significant ability to get profitability.
Sources of funding
There is owner capital of $30000 and firm is taking $20000 from the bank loan in turn
accomplishing goal of having sufficient funding.
Current finances
The firm is operating newly in market so there is no previous cash flows and in current there is
inflows of $35000
Balance forecast
[Year 1] [Year 2] [Year 3]
Total assets $50000 $55000 $60000
Total liabilities $20000 $20000 $20000
Net assets $30000 $15000 $20000
Profit and loss forecast
[Year 1] [Year 2] [Year 3]
11

Gross profit/net sales $100000 $120000 $140000
Total expenses $40000 $45000 $55000
Net profit/loss $60000 $75000 $85000
Cash flow forecast
Jan Feb Mar April May June July Aug Sept Nov Dec
Monthly
cash
balance
12000 12000 12000 12000 12000 12000 12000 12000 12000 12000 12000 12000
Closing
balance
8500 8500 8500 8500 8500 8500 8500 8500 8500 8500 8500 8500
12

REFERENCES
Books and journals
Barrow, C., Barrow, P. and Brown, R., 2018. The Business Plan Workbook: A Step-By-Step
Guide to Creating and Developing a Successful Business. Kogan Page Publishers.
Gasmi, A. and et.al., 2020. Individual risk management strategy and potential therapeutic
options for the COVID-19 pandemic. Clinical Immunology. 215. p.108409.
Inkon, K., 2019. A cross-sectional study on the relationship between business plan, entrepreneur
type, development stage and profitability of US SMEs. Academy of Entrepreneurship
Journal. 25(1). pp.1-21.
Lim, W.M., 2021. A marketing mix typology for integrated care: the 10 Ps. Journal of Strategic
Marketing. 29(5). pp.453-469.
McKeever, M.P., 2018. How to write a business plan. Nolo.
Online
Marketing Promotion Strategies. 2022. [Online]. Available through:
<https://www.creatopy.com/blog/marketing-promotion-strategies/#f>
13

APPENDIX
Profit and loss account
Year 1 Year 1 Year 1
Particular
s
$ $ $ $ $ $
Sales unit 1000 1200 1400
Selling
price
100 100 100
Sales Revenue 100000 120000 140000
Cost
Sales and
Marketing
market research
Utilities 10000 15000 20000
Insurance 15000 15000 20000
Rent 12000 12000 12000
Payroll
tax
3000 3000 3000
Total cost 40000 45000 55000
Profit 60000 75000 85000
Balance sheet
Particulars Details [Year 1] Details [Year 2] Details [Year 3]
Assets
Long term
assets 40000 40000 40000
Current
Assets: 10000 15000 20000
total assets 50000 55000 60000
liabilities
14

bank loan 20000 20000 20000
Share
capital 30000 30000 30000
liabilities 50000 55000 60000
15