Enterprise and Entrepreneurship: Business Plan for Active Booster

This report provides a comprehensive analysis of the Active Booster business plan, focusing on its purpose, target customers, and competitive landscape. It includes a skills analysis, two-year profit and loss account, cash flow forecasts, and break-even analysis. The report also explores funding sources, resource acquisition plans, and the type of management information system required for the business. The vision of Active Booster is to maintain its values and manage effective leadership in the diet product market by offering effective facilities to consumers. The report concludes that an effective business plan is crucial for generating business growth and achieving a competitive advantage through marketing strategies.

Enterprise and
Entrepreneurship

Contents
INTRODUCTION......................................................................................................................3
MAIN BODY.............................................................................................................................3
Future Business Purpose......................................................................................................3
Customers..............................................................................................................................3
Competitors...........................................................................................................................4
Skills analysis........................................................................................................................4
2-year profit and loss account and proposed 2 years cash flow forecasts including
break......................................................................................................................................5
Even.......................................................................................................................................5
Sources of funds to grow a business....................................................................................6
Plans for obtaining resources, both tangible and intangible between now and either 1-
2 year ahead. This should include a breakdown of your start-up costs..........................7
Type of management information system that is require in business.............................7
Vision of Business Idea.........................................................................................................8
CONCLUSION..........................................................................................................................8
REFERENCES...........................................................................................................................9

INTRODUCTION
The enterprises define of identification of several opportunities for businesses to help
create competitive advantage in the workplace in order to generate profit. Entrepreneur, on
the other hand, is a person who has taken an initiative to start a business. Entrepreneurship is
the process of starting business and delivering classified goods, making it easier for its target
customers. The procedure gives shape and structure in order to achieve identified goals and
objectives in a suitable manner (Gopinath, N. and Mitra, J., 2017). The following report is
dedicated to discussing new businesses called Active Booster that are bringing healthy,
health-conscious foods to their consumers. This report covers planned future business, target
customers and competitors of products, competency analyses, plans to acquire resources and
visions related to such a business idea.
MAIN BODY
Future Business Purpose
 Product: The active booster deals with healthy and health-conscious foods to its
customers for having growth in business and profitability can be increased.
Management require to develop efficient managerial culture by executing exercises
and offering training to workers that hold them for longer period of time. The goods
are sell in the packaging of blue colour that have all the suitable information about
goods nutrients. Goods have several nutrients like protein, vitamin, calcium and other
varied essential ingredients that make it fitter and better.
 Innovation: The company will use innovation for providing health-conscious foods
and organic foods to its customers so that hygiene can be maintained in environment
to make customers comfortable and for providing safety and security to potential
clients in food. The innovation is required for developing food system that is both
healthy and sustainable (Javed, A and et.al., 2020).
 Intellectual property rights: This exists as a patent as intellectual property because it
can lead to innovations that are very useful for its customers. Patents are therefore
helpful in protecting such innovations. Basically, this refers to an exclusive right that
is only intended to protect some innovations. Like any product that can be created
from a new development, it can be patented as an IPR.
Customers
 Target audience: It refers to the person who can make a profit in the organization.
Businesses can choose B2C as their target customer because it is easily accessible and

helps in maintaining strong customer relationships. It is aimed at people in the middle
to upper class who are under 22-25 years old. It is aimed at families and individuals
who make up the majority of business hours for lunch and dinner. The management
targets male and as well as female
 End user: It drives the person who actually uses products. For this active booster, the
customer therefore considers as end user. After all, they are the ones who can
consume such a product (Kim, S., 2018).
 Buyer of product: The actual buyer of the item is a wholesaler, retailer, dealer and
seller who can buy and sell such a specific product on the marketplace.
 USP: The offering of healthy and health-conscious products are USP for active
boosted that will be provided to its customers.
 Customer need that meets with item: At the time of innovation, the company can
focus on different perspectives related to customer satisfaction. In this article,
customers mainly focus on convenience, quality, and price because these are the basic
needs that satisfied or dissatisfied customers can be and also helpful in increasing
their purchase numbers. So, this is a fundamental target market that helps identify
customer demand and then address their needs. This is helpful in improving the
company's position in the market as it leads to new innovations that can attract more
audiences.
Competitors
The major rivalries of such item are restaurant, cafes and hotels which wants to make
their brand image better in global. The healthy food will deliver by keeping customers in
minds of health conscious. For the business customer experience is important that will help in
differentiating the business from others and having such a good experience encourages in
repeating business (Kokko, S., 2018). It consists their market share growth with USD 33
million. So, this respective item is come up with these such innovation that is helpful for
grabbing customer attention.
Skills analysis
A business plan that is based on some certified skills that can be extremely acquired
for achieving desired goals that lead directly to future success. Hence, the basic skills that are
required are sales and marketing, financial resource management, as well as manufacturing,
as this is the key element that can increase future success. But the most important skills an
entrepreneur needs at the time of innovation are:

Motivation to do something great: These are essential skills for an individual as they help to
distribute efforts and develop ideas for implementation. This can bring new solutions for
future success and customer satisfaction.
Creative ideas: This is very important as it does not generate an idea or implement it with full
effectiveness. It is a unique way of helping to improve the quality of the organization and
making some different inventions to implement measures (Singh, A. and Reji, E.M. eds.,
2020).
Sales Vision: It encompasses vital energy for entrepreneurs to generate clear and effective
information that is much needed in customizing a path to success.
2-year profit and loss account and proposed 2 years cash flow forecasts including break
Even
Forecasted Profits and loss account for UV Towel Dryer for 2 years.
Profit and loss account
Particulars Year 1 Year 2
Sales 2500000 3500000
Less: cost of goods sold 400000 500000
Gross Profit 2100000 3000000
Less: Expenses
Administration expenses 500000 550000
Selling and distribution expenses 600000 600000
Fixed Expenses 750000 750000
Operating income 250000 1100000
Add: Indirect income 450000 200000
Net Profit 700000 1300000
Forecasted Cash flow statement for UV Towel Dryer for 2 years.
Cash flow statement
Particulars Year 1 Year 2

Cash received from sales 1500000 2000000
Less: payments
Payment to creditors 200000 250000
Rent 15000 15000
Purchases 150000 200000
Net cash after payments 1135000 1535000
Add: receipts
Received from debtors 230000 340000
Commission received 10000 18000
Net cash 1375000 1893000
Opening cash balance 1500000 2875000
Closing cash balance 2875000 4768000
Selling price per unit = $ 50
Variable cost per unit = Total variable cost / Number of units
Year 1
= 500000 + 600000 = 1100000
1100000 / 50000 = 22
Year 2
= 550000 + 600000 = 1150000
1150000 / 70000 = 16.42
Break Even point = Fixed Expenses / Sales - Variable cost
Year 1
= 750000 / 50 – 22 = 750000 / 28 = $ 26785
Year 2
= 750000 / 50 – 16.42 = 750000 / 33.58 = $ 22334
It is important for the firm to earn $ 26785 in year 1 and $ 22334 in year 2 to cover its
expenses.

Sources of funds to grow a business
There are various resources that is helpful for financing the organisation. Some of them
are discuss below:
 Bank: Refers to a financial intermediary who acquires a license to grant loans and
receive deposits in an organization. It consists of various services like currency
exchange, safe deposit box, asset management and so on. As a bank, it can do several
things, but it also focuses on funding in the form of money. This capital is useful for
expanding business, making acquisitions, and covering growing costs (Tonday, H.R.
and Tigga, A.M., 2019).
 Equity Financing: It refers to a process that can focus on raising capital through
stocks or sales. It involves selling this investment organization to return cash
investments. This is important for growing companies as it allows the company to
reinvest cash flow and not have to make any repayment obligations. This is useful for
expansion operations.
Recommendation: It is suggested that the company should proceed with equity funding once
it has listed its stock exchange. This prevents the interest from being paid, which is
mandatory on a bank loan.
Plans for obtaining resources, both tangible and intangible between now and either 1-2
year ahead. This should include a breakdown of your start-up costs.
Particulars Amount $
Equipment 50000000
Land 70000000
Raw material 300000
Staff hiring 700000
Legal formalities 100000
Total 230000000

Type of management information system that is require in business.
Management information is very important for every company, as it can monitor and
manage all activities of a company. This can be broken down into categories which are as
follows:
 Strategic: This is very helpful to the organization as it can handle or address issues
faced by senior executives related to the company as well as extrinsic factors. It
mainly focuses on increasing organizational skills.
 Management: It generally focuses on advising and making decisions by mid-level
managers. Basically, this system provides period reports rather than operational
information. It can make less structured decisions, which is very necessary to the
business.
 Operations: It focuses on tracking elementary activities and business transactions
related to payroll, cash deposits, sales, receipts, and more.
Thus, information systems of the organization provide key functions of the company,
such as Manufacturing, Sales, Finance, Human Resources, etc. All of these functional areas
are very important as they can serve the future growth of the company by handling all of the
company's key activities. This can result in market opportunities in terms of profitability.
Vision of Business Idea
It relates to an important point that emerges from the strategic plan. Vision of Active
boosters is to maintaining the values and managing an effective leadership positioning in diet
product market by offering effective facilities to their consumers. Management requires to
develop efficient managerial culture by executing exercises and offering training to workers
that hold them for longer period of time.
CONCLUSION
From the report above, it is analysed that an effective business plan is helpful in
generating business growth. Basically, with the help of funding, investors, and surveillance
targets, this can generate strength for the company as this can make the progress. It generally
ensures attained sales goals which can help to gain competitive advantage through the
following marketing strategies. This above report focuses entirely on creating a business plan
that relates to uniqueness and innovation of products that have great value to the end user.

REFERENCES
Books and Journals
Gopinath, N. and Mitra, J., 2017. Social Innovation, Entrepreneurship and Well-being: A
case study of a social enterprise. In ICSB World Conference Proceedings (pp. 1-15).
International Council for Small Business (ICSB).
Javed, A and et.al., 2020. ICT-enabled innovation, enterprise value creation and the rise of
electronic social enterprise. World Journal of Entrepreneurship, Management and
Sustainable Development.
Kim, S., 2018. Domains and trends of entrepreneurship research. Management Review: An
International Journal, 13(1), pp.65-90.
Kokko, S., 2018. Social entrepreneurship: creating social value when bridging holes. Social
Enterprise Journal.
Singh, A. and Reji, E.M. eds., 2020. Social Entrepreneurship and Sustainable Development.
Taylor & Francis.
Tonday, H.R. and Tigga, A.M., 2019. A Critical Study of Paradigms and Perspectives for
Advancement of E-Entrepreneurship. International Journal of E-Entrepreneurship
and Innovation (IJEEI), 9(2), pp.49-57.