Business Report: Siobhan Cheese Product Financial and Market Strategy

This business report provides a comprehensive analysis of Siobhan, a company specializing in buffalo milk cheese and fruit-flavored products. The report details the company's business objectives, which include increasing sales revenue through marketing and expanding geographic reach. It explores value creation, highlighting the health benefits and unique flavors of the products. The report outlines future working strategies, such as increased customer engagement and partnerships. A financial plan, including a cash flow statement and break-even analysis, is presented to evaluate the company's financial performance. The report also addresses the lean startup methodology, emphasizing customer-centric approaches. Overall, the report provides a strategic overview of Siobhan's business operations and future prospects, including its ability to achieve sustainable economic growth and customer satisfaction.

Business Report

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
Business Objective.......................................................................................................................3
Value creation..............................................................................................................................4
Future working strategies.............................................................................................................5
Financial Plan ..............................................................................................................................6
Lean business model....................................................................................................................9
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Lean start up is the method which is used for the development of a new organization or for
introducing a new product or services to customers on the behalf of the company. The lean start-
up methodology focuses of the customer requirements in such a way that company tends to
provide products which are able to fulfil the customer requirements by which it can make sure
that developed product is able to achieve high sales. The development of proposed business plan
is for Siobhan organization which is tend to provide Buffalo milk cheese fruit flavoured products
to customers. Evaluation of business profitability has been done in this report which provide an
overview about the profitability for the business plan in such a way that company is able to
identify the future requirements and tend to work accordingly by which efficient economic
growth can be achieved. With that analysis of values created for the development and working of
the organization has also been developed. Detailed development of chief finance officer plan has
been done in this report through which a proper evaluation of costing, pricing, cash management
and many more activities have been identified for the proposed business plan. With that
evaluation of Lean characteristics for the evaluation of organizational activities have also been
developed in the organization by which company can evaluate the appropriate working strategy
because of which it can achieve high work productivity.
MAIN BODY
Business Objective
To increase the sales revenue by 5% through increasing organizational customers
count by increasing involvement in digital marketing and traditional marketing within
upcoming 3 years-
Siobhan can increase its brand awareness through the integrated approach of advertising
organization through the integrated means of advertising through traditional marketing in which
advertisement is done through TV ads and newspaper by which high sales can be achieved. With
the company can also use digital marketing in which advertisement is done through the means of
social media by which high sales can be achieved (Udenka, 2019).

Increase the profit margin of the organization by increasing organizational sales by
increasing involvement in online and offline market retail within next 3 years-
Company can also improve its distribution channel in which it can sell its products
through online means in which products are sold through the means of internet directly to the
customer specified location because of which customers are having level on involvement in
buying products through the means of internet. With that company can also maintain its selling
through the means of offline means because of which high sales can be achieved.
To increase organizational profit by increasing company’s geographic reach in different
locations by opening 2 new stores within next 3 years-
Company can also increase its geographic reach in other locations by which it can
develop new customer touch points through which customers can make direct contact with the
organization because of which high sales can be achieved (Mea, 2018). Company can also use
these customer touch points for identifying specific customer requirements which it can
concentrate efforts to fulfil by which it can maintain customer’s engagement with the
organization through which customer loyalty can be increased.
Value creation
Buffalo milk cheese contai8n high amount of fat and reduce carbohydrates because of
which it is highly beneficial for reducing weight because of which company can advertise it in
such a way that it motivates customers to increase their involvement in utilizing organizational
services. The product creates high amount of gain to customers because the developed product
contains high amount of phosphorus, iron and calcium because of which Siobhan can assure
customers that they are having high quality product at low pricing (Chesbrough, Lettl and Ritter,
2018). With the high quality product & services company tends to provide buffalo milk based
cheese with fruit flavours due to which it can ensure customers that they are having new and rare
products due to which company can achieve high level of customer satisfaction level which can
surpass their expectation level and can provide augmented level of customer satisfaction. Thus
by achieving segmented level of customer satisfaction Siobhan can make sure that it tends to
increase customer’s loyalty with the organization because of which chances of brand switching is
reduced. The developed product is a pain reliever because the products is a new non-existent
flavour which provide more choices for cheese lovers because of which company can fulfil

customer requirements (Kristensson, 2019). With that Siobhan also tends to achieve a
partnership with Ocado, Harrods, Waitrose and Hedonist wine shop due to which it can focus on
customers which are seeking for health lifestyle, customers with health issues and cheese lovers
for achieving high sales. Siobhan tends to provide wide variety of several new flavoured
products to customers by which it can make sure that it is able to fulfil the requirements of
majority of customers due to which customer count can be increased. The product provides high
gain to customer which chooses health food, having diabetes, high blood pressure and high
cholesterol because of which it is can achieve a large customer base. Siobhan can make sure that
through its Buffalo milk based products company can develop a sense in front of customers that
they are achieving best in class good quality of cheese because of which it can become a savour
choice. Thus by proving high quality products at low price company can ensure customers that
they having a value for money product which is able to fulfil their requirements and with that
company can established (Alexandridis, Antypas and Travlos, 2017). Since Siobhan is proving
new product to the customers because of which initially it can provide less choices for cheese
selection because of which company has to face limitation in organizational sales. With that the
developed product is not suitable for vegans due to which customer count is further more
reduced and due to the initial limitations company may have impropriate market distribution for
distributing its products to customers.
Future working strategies
Siobhan tends to increase its customer count for which company has to increase its
engagement in integrating advertisements like traditional and social media marketing by which it
can make sure that high sales are achieved and also at the same time brand awareness can also be
increased because of which chances of goal achievement can be increased. Organization tends to
provide healthy buffalo milk products to customers at low pricing because of which high sales
can be achieved. The organizational tends to increase its geographic reach all across the UK by
which it can provide high quality products at low pricing because of which customer
requirements of having quality of dairy products can be fulfilled and efficient economic growth
can also be achieved (Sah and et.al, 2020). In order to achieve an efficient competitive edge
company can develop organizational partnership with the other organizations by which it can
make sure that it able to implement organizational partner. Through which Siobhan can provide

other products to customers as well because of which customer sharing can also be implemented
between business partners by which high sales can be achieved. Company has to maintain strong
relationship with the customers by taking their feedbacks and suggestions for the development
(Khan and Coskun, 2018). Through this activity company can make sure that it is able to identify
customer requirements because of which it can provide products on that basis. Since company is
able to fulfil customer requirements by which it can develop a sense in the minds of customer
that organization is able to fulfil their requirements because of which chances of brand switching
can be reduced and customer loyalty can also be increased.
Financial Plan
Cash Flow Statement
Mar/2021 Mar/2022 Mar/2023
Cash flows from operating activities £ 635,578.88 £ 953,368.32 £ 1,588,947.20
Profit / (Loss) for the year 15,000 16,000 15,000
Interest 12,000 13,500 16,200
Taxation
Adjustment for non-cash expenses: 20,000 22,000 25,500
Depreciation 1,500 1,450 1,350
Amortization - - -
Reserves
Changes in operating assets &
liabilities
(3,500) (3,600) (3,850)
Trade Receivables - (1,500) (2,200)
Loans & Advances - (775) (825)
Other Receivables 4,800 735 885
Trade Payables 9,200 1,500 1,650

VAT Payable - 140 130
Payroll Accruals 550 630 (1,700)
Other Accruals (1,335) 950 (750)
Other Provisions 6,88,068 1,14,256 1,39,341
Cash generated from operations (6,83,681) (7,05,278) (7,51,078)
Interest paid (5,500) (13,500) (16,520)
Taxation paid 52,000 1,88,000 1,44,205
Net cash from operating activities
Cash flows from investing activities (25,000) (32,000) (22,000)
Purchases of property, plant &
equipment (23,741) - -
Purchases of intangible assets (20,000) (15,000) (22,000)
Purchases of investments (15,000) (68,000) (71,000)
Net cash used in investing activities (40,000) (1,15,000) (1,15,000)
Cash flows from financing activities - - -
Proceeds from shareholders'
contributions - - -
Dividends paid - - -
Proceeds from loans 1 15,000 5,00,000 7,00,000
Proceeds from loans 2 25,000 1,34,689 22,000
Proceeds from loans 3 - 15,000 4,00,000
Proceeds from finance leases (8,825) (7,652) (5,882)
Repayment of loans 1 (2,178) (7,882) (6,928)
Repayment of loans 2 (7,991) (10,000) (12,500)
Repayment of loans 3 (8,252) (7,895) (6,825)
Repayment of finance leases (5,000) (7,500) (8,500)
Net cash from financing activities 57,852 10,728 8,770
Increase / (Decrease) in cash
equivalents 25,100 82,952 93,680
Cash & cash equivalents at beginning
of year - (48,102) 1,99,988

Cash & cash equivalents at end of year -48102 199988.2 1037857.4

Cash flow statement is a projection of organisation projected cash flow that denote about
the cash related expenses and cash contain income. Cash flow statement is in simple term
defined as the summary of all cash cost and income which organisation required to consider
against the business operations channelises by such organisation. The above mentioned projected
cash flow statement indicate that organisation will be needed to face the negative cash balance in
the first business year (Salmanian and et.al., 2018). Due to the over expenses in the first year of
operations of business organisation face the negative balance of projected cash flow. IN the first
year of business operation organisation was acquired a negative balance of opening of cash. Due
to the over expenses of the company it is needed to incur the negative balance of cash at the end
oif the financial year. IN the second year the organisation could consider the positive balance of
cash at the end of the financial year. IN the second year of operations the overall flow of cash
was more than the outflow of the cash in favour of the organisation which resulted into the fact
that organisation required to consider the positive balance of cash at the end of the financial year.
The positive balance of cash could strengthen the liquidity position of the organisation in the
second financial year of business operations. Depreciation is anon cash related expenses which is
added back in case to calculate the closing balance of cash in hand in the favour of organisation.
For any organisation liquidity is a key term that influence the entire business operations of
organisation. Liquidity position affect the business operations of every organisation as it directly
influence all operations of company which are required cash or equivalent. The third financial
year also denote about the positive balance of cash that also indicate tat organisation could
sustain the positive liquidity situation even in third financial year which also supported the
organisation to positively sustain the liquidity position of organisation. The break even point also
calculated for every single financial year which reflect that the organisation needed to entertain
95271, 97064 and 105270 as its sales revenue to entertain the break even point of the business
(Rajwani and et.al., 2017). This will allow the organisation to achieve the point where the
company will not be required to entertain any profit nor any loss against the business operation
entertained by the organisation. Break even point is the priority of the organisation that it
required to address against the functions and operations entertained by the organisation. One the
company get to achieve its break even point than it can positively address all its operations and
functional activities to achieve the objectives behind the lean business star up. Once the
organisation could cope up with the break even point than it can look forwards to entertain

profits against the business activity operate by organisation. All the data and information are
based on the hypothetical situation on the basis of the performance of other competitors and the
business practices they deliver in business. The liquidity position also depict that company could
only support its liquidity by taking loans in every financial year (Argilés-Bosch and et.al., 2018).
Due to the loan proceeding the organisation could take the liquidity in positive way otherwise it
could not meet its expenses against the business activity proceeded by organisation. The start up
needed to make decision so that it can generate sales revenue and proceeding which can favour
the liquidity position of organization. The entire cash flow forecast project that company needed
strong decisions that can favour the organisation in right direction. All the cash and cash
equivalent needed some strong management so that better stability can be achieved in lean start
up even in the initial stage of business. The current situation is not effective and company might
face a failure even in the initio al time of business operations.
Lean business model
Siobhan extremely provides good qualities of products which have minerals, nutrients
along with sodium. In developing their business more they can have to face some problems such
as that most of the peoples are avoided their products. Customers more to know about different
types of cheese while they have not preferred before plus some people are also aware of their
healthy food choices. Obvious they are facing health problems such as high blood pressure,
blood problems, vitamins etc. customer needs to aware about their products and once they are
required to use their brand products.
Organization need to make more strategies' regarding selling their products in various
different countries in which they can easily gain their more profits and customer satisfaction.
While in getting more brand image they can easily make their newer customer (Balocco and
et.al., 2019). Peoples wants variety of food products so for that Siobhan needs to have developed
more products. Key measure can be done through analysing data and sales their products in that
market where they can make their more targeted audience. Collecting data about their gods from
market in doing in this Siobhan company can also gain some brands image, and they can be
easily helps out for developed other products such as flavoured cheese, supply good quality of
milk.

They also make their products with different companies in providing organic cheese with
eco-friendly packaging, innovative flavours in cheese along with that having some innovative
product with their packaging. In having some creation and innovative they can attract more
customer. Building up huge customer they can also create their brand image so that, Siobhan can
developed more products. Company also give some discounts to their products and services to
their existing or new peoples. Buy one get one strategy also being used by them in which they
come to know about variety of products (Bortolini and et.al., 2018). Siobhan gives the best
quality of products and referral code if once customer have used their products.
Siobhan have their targeted customer in old age people who are suffering from such
diseases blood pressure, hearts problems, diabetes etc. Company provides more products to them
so that they can be got suffer less from their problems. Customer also wants that products only
which are already in market but Siobhan products are being so different with other company.
They have fewer fats in their flavoured cheese in doing these they can attract towards children or
to their targeted customer. Siobhan needs to follow up different types of channels for promoting
their products and services. They can easily use advertising, radio and social media platforms in
which they can make more following customer and while by creating them with some innovative
page through which many customers attracted.
Cost structure in Siobhan different business operation, various types of flavoured cheese,
online delivery services to their peoples (Felin and et.al., 2019). Websites have more inexpensive
in which they could manage their sites furthermore creating websites they have to keep in mind
about their competitors. Siobhan's websites page should be something different in which they
can try to gain more customers. Revenue streams in which their income sources can be done
from farmers, stores or wine shops. They need to prepare more strategies so that customer will
pay more in buffalo milk as well they will also try to taste their different flavours of cheeses.

CONCLUSION
In the present time of COVID-19 customer’s requirements for health food has increased
drastically because of which if concentrated efforts are made for the fulfilment of these
requirements then organizations can achieve high sales due to which it can achieve high profit
margin. Competition beating is another advantage which can be achieved by the organization
because customers are aware of the products and services which are provided to them through
these market competitors because of which by entering into pre-existing market organization can
achieve high customer count because customers are assured of getting new and creative products.
Values creating leans are the things which have to be considered by the company because in this
lean thinking organization has to provide products or services which are most valuable to
customers but also at the same time are establishing minimum cost, time and effort of
development on the company. Thus there are high investable opportunities for the organization
because company is entering into pre-existed market because of which it achieved high level of
efficient machineries at low price and due to which product development cost is reduced. Since
company is going to provide new and creative products to customers because of which there are
high probability that it can achieve high sales because of which efficient economic condition can
be achieved. If the start-up doesn’t exist, then the world would be worse off because customers
will not able to achieve the rich in quality fresh content which will be developed by the
organization and also it will reduce the development of new employments options.

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