Childworld: Entrepreneurial Business Plan for Baby Parking Services

This report presents a comprehensive business plan for Childworld, an entrepreneurial venture focused on providing baby parking services. It details various aspects of the business, including an introduction to entrepreneurship and the specific concept of baby parking. The report meticulously outlines the cost structure, exploring funding options such as personal savings, family and friends, angel investors, venture capitalists, bank overdrafts, and bank loans, with a recommendation for bank loans. It provides a detailed allocation of costs for hiring professionals, resources, special care, and curriculum activities. Furthermore, the report delves into customer segmentation, emphasizing the importance of identifying target demographics. It covers the value proposition of the service and the channels through which it will be offered, as well as the strategies for building and maintaining customer relationships. The report concludes with a summary of the key points and references.

Entrepreneurship

Contents
INTRODUCTION...........................................................................................................................1
PART B Detailed description of business plan topics.....................................................................1
Cost Structure..............................................................................................................................1
Customer segment.......................................................................................................................5
Value Proposition........................................................................................................................8
Channels....................................................................................................................................11
Customer relationship................................................................................................................13
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17

INTRODUCTION
Entrepreneurship is known as the activity of building business or businesses by taking up
of risks for generating profits in future. The total number of aspects which are covering in the
process of entrepreneurship includes designing, launching and day to day running of a business.
The presentation covers the information about new business concept of baby parking. The
organisation created to regulate the functions under this concept named as Childworld. Baby
parking is the concept where parents can park their children’s for any period of time on a
payment of a fee.
The presentation covers the description of business plan topics for deep understanding of
the organisational working nature.
PART B Detailed description of business plan topics
Cost Structure
This is the part of business plan that includes all the information about planning regarding
total business cost, aspects that incur most cost in business, options from where funds will be
arranged, proper allocation to the different working areas of business etc. The current business is
based upon the concept of baby parking where parents can easily send their children’s for
caretaking while they are going out for work or any other purpose. Here, the nature of business
provides the flexibility about caretaking for an hour or more on the payment of fees accordingly.
This means there is no restriction about the minimum period of time for caretaking. The
organisation that provides the function by adhering to the above defined concept is named as
Childworld. The person who creates the business and takes the charge of performing all
functions within the process is known as entrepreneur. This person is responsible for the all the
functions including the risks, costs and associated profits. Entrepreneur is also known as
employer or owner of the business who work in the direction of idea with the aid of talented
personnel’s team. There are different forms of entrepreneurships includes small, scalable, large
and social. The nature of all is different from each other along with size, objectives and
operational capability. The creation of these depends over the behaviour and creativity of an
entrepreneur. Currently, it is a new start-up and small nature organisation that operates in market
for satisfying the needs working parents and person who have to go out for some unwanted
reason. This organisation provides the opportunity that send children for safe care taking along
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with personality development through arrangement of curriculum activities of various nature.
Also, the organisation focusing over the fulfilment of all needs of children at their place through
providence of playing tools and food items. They will also provide services in accordance to the
requirement of parents and their guidance on the charge of extra fees.
Funding is the main issue that each and every business has to face irrespective to the nature
and size. This is the most important source which is necessary to have by the owner or employer
or entrepreneur to start business activities and further expansion of business operations. Any kind
of development within the business related to operation, marketing, servicing etc. is requires
extra amount of funds. This provides the opportunity to grab other important resources from
market that will further help to meet desired requirements. The importance of fund is not limited
to the procurement of important materials but the whole future planning about business activities
is totally depends over it. If organisation have sufficient amount of funds, then criterion of
planning is always different from the one when funds are in shortage. In case of new business,
the duty of arranging funds is over the owner or entrepreneur and in case of existing business,
this activity is performed by finance department of an organisation. Currently, Childworld is new
organisation and wants to start the business related to baby parking. So, the duty related to the
arrangement of funds is over the owner. There are many options from where funds can be
arranged. The most important requirement in all case is to build the innovative and creative
business plan that able to gain the trust of all interested parties. The different nature of funding
options in relation to the current organisation is provided below:
Funding from personal savings: Financing from individual reserve funds is the most well-
known form of funding for organizations. The two issues with this kind of funding option are
how much close to home reserve funds you have and how much close to home investment funds
are you ready to chance. This is the best source of funding if having sufficient amount of money
because in future there is no need to pay interest or anything else.
Friends and Family: A major source of sponsoring for business visionaries is friend and
family members. These can give funding as an obligation (you should take care of it), value (they
get shares in your organization), or even a crossover (e.g., a sovereignty whereby they get took
care of through a level of your deals). Friends and family members are an extraordinary origin of
ascertaining funds because they are most trustworthy and simpler to persuade as compared to
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outsiders. Nonetheless, there is the danger of losing their cash. What's more, you should consider
how your relationship with them may endure if this occurs.
Angel investors: These investors are people like loved ones; you simply don't have any
acquaintance with them (yet). The majority of these delightful speculators are not individuals
from angel messenger gatherings. They are entrepreneurs, officials as well as other fruitful
people that have the methods and capacity to fund proposals that are introduced to them and
which they find fascinating. Systems administration is an incredible method to discover these
angle investor specialists.
Venture capitalists: This financing is a reasonable alternative for organizations that are past
the start-up time frame, just as the individuals who need a bigger measure of capital for
development and expanding piece of the overall industry. Financial speculators are generally
progressively engaged with business the board, and they assume a huge job in setting
achievements, targets, and offering guidance on the most proficient method to guarantee more
noteworthy achievement. The financial speculators put resources into organizations and
organizations they accept are probably going to open up to the world or be sold for an enormous
benefit later on. In particular, they need to support organizations that can be esteemed at $100 at
least million inside five years. They likewise experience a costly and long procedure of settling
on the best business to put away their cash. Henceforth, the endorsement procedure for the most
part takes a while.
Bank overdraft: This is the option which is about extracting money from the bank account
after completion of all own fund. The certain limit is provided by bank in accordance to the
nature of transactions of accountholder. Under this option, the person can withdraw the amount
up to the limit specified by bank even after the completion of all money within an account. In
providence of this service, bank charges interest. This is also the best option to get instant credit
from bank without any formalities. This will be the best option in case of the small organisations
to fund the business activities.
Bank loan: This is the option of taking loan from bank for the purpose of ascertaining
funds. This is the effective way to get the sufficient amount of funds but it takes as compared to
the method of bank overdraft. Here, the entrepreneur is needed to present the business proposal
to bank authorities. They check all the viabilities associated with business proposal and grant the
loan accordingly so, the entrepreneur can start business and earn profits. Bank charge the fixed
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rate of interest over such loan amount. The amount of interest is low as compared to the other
methods. Also, this is considered as the safest method of ascertaining funds where owner not
have to share the profits or idea with some else.
From the above analysis of the different options related to funding and nature of business,
the best option for an entrepreneur will be bank loan. In this situation, the amount of personal
saving and bank overdraft provides the extra security in respect to the continuous functioning of
business operations without any hindrance and fault towards bank interest. This will provide the
opportunity to build the trust in market and among the officials of bank that the idea of business
actually workable in nature.
The total amount of cost required to start the business will be around £20000 pound. The
rough allocation of amount in the arrangement of the different resources and performance the
business operations are presented below:-
Particulars Amount (£)
Hiring of good professionals 9500
Availability of all resources related to playing and eating 7000
Special care taking as per the demand of parents 2000
Arranging extra curriculum activities for personality development 1500
Total 20000
It is clear from the above allocation the main activities which are necessary part within
the business will be hiring of good professionals, availability of all resources related to playing
and eating, special caretaking as per the needs of child and parents and arrangement of
curriculum activities for the personality development. The main two that are most expensive in
nature and important also in the functioning of business operation is hiring of good professionals
and availability of all resources for their playing and easting according to the age and nutritional
requirement. Both these activities of business are core in nature where total business is
depending over their effective regulation. The other activities are of advances in nature help in
improvement of the service feature along with fulfilment of the special need of parents and
children’s. Here, the both extra activities are important for the attraction of parents towards their
service because not focused over their caretaking with safety but also arrange the activities that
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will aid in development of their personality along with new skills. This persuades the behaviour
of parents to focus over utilisation of Childworld services where they not only ensure the safety
but get chances of new interest development that will help in future to get something great and
better.
Customer segment
Segmentation means to separate the marketplace into number of parts, or segments, which are
accessible, actionable, definable and gainful and have an expansion potential. In addition, an
organisation would analysis it not possible to target the whole marketplace, because of cost, time
and effort restrictions. It requires having a 'definable' division - a group of people who can be
acknowledged and targeted with sensible effort, cost and time.
Segmentation: Segmentation of consumers is the process of splitting the consumer base into
groups of people similar to those participating in marketing practices including age, class,
preferences and spending. The profitability of customers is not that easy; it needs to track and
find out exactly what resources are absorbed in company for a certain segment. As well as
improvement of company reliability through a new era of awareness is also useful for attracting
more number of customers. Such as in the aspect of above business, this is essential for them to
identify group of customers in which they want to offer their services. It is important because if
they will do so than they will be able to attract more number of customers. As well as it will be
helpful for them to minimise the total cost of advertisement. For them the customers are those
couples who go for job or go for outing more. If they will focus on this group of customer than
their profitability will rise with less effort, time and cost. So customer segmentation is a key
aspect which needed to be considered by both to the new or existing business entities.
Customer segmentation: This introduces to the process of separating customers into groups
which is mainly based on common characteristics so business can market to reach group in
appropriate and effective manner. This report is based on business concept of baby parking, for
this Childworld is organisations that will be provide their services to the high middle class and
working parents. These are those parents that not have enough time to take care of their baby.
They can park their children’s for any time on a payment of a fee. There are different types of
customer segmentation such as geographic, demographic, behavioural, firmographic,
psychographic and smart customer segmentation. All these types of segmentations will be
explained as below:
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Geographic segmentation: Under this type of segmentation customers are divided on the
basis of their location. This segmentation is not useful according to the Childworld because
company will be providing their services to the local customers who don’t have more time in
tack caring of their children’s.
Demographic segmentation: This segmentation is based on number of customer’s
characteristics such as age, gender, income, occupation, marital status, education etc. This
segmentation is will be more useful and valuable for Childworld because they provide their
services to the professional and middle class parents to park their children in any time. For this
service, Childworld charge accurate amount of fee from the high middle class and working
parents.
Behavioural segmentation: This is another type of segmentation that is based on decision
making in the behaviour of customers. This segmentation is not limited to the purchases
consumptions, lifestyle and many other factors related to the customers. This segmentation is
also valuable for entrepreneur because service provided by Childworld is completely depending
of customer lifestyle. This business concept is based on lifestyle of customers who spend their
life without any issues.
Firmographic segmentation: This category of customer segment is an accurate duplication
of demographic segmentation. At the same time as firmographic takes into consideration
business the demographics segmentation tends to cater additional individuals or customers.
Large numbers of factors are taken into consideration by dividing the customers and
Firmographic Customer Segmentation. This type of segmentation is not appropriate for
Childworld business because they provide their services to the customers not an organisation.
Main purpose of Childworld is to give children’s parking service to those parents who not have
more time to take care their children. These parents are working employees and high middle
class.
Psychographic segmentation: This segmentation is related on customers and its behaviour
towards specific services or products. There are number of psychological factors such as lifestyle
interest and opinion and many other relevant factors. This segmentation is not useful for
Childworld as they have main purpose to help those parents who are working and have more
time of period to properly take care their children.
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Smart customer segmentation: Under this segmentations, customers are divided according
to age, gender and their first choice which is nothing but a mixture of psychographic and
demographic or behavioural segmentation. This segmentation of customer is also appropriate for
the Childworld because it is based on lifestyle, income status etc. of the customers.
Therefore, above mentioned all these are main types of customer segmentations but
according to the Childworld, demographic segmentation is more useful. As this segmentation
help entrepreneur in targeting of high middle class and working parents who have interest in
parking of their children in Childworld. These types of customers have high income class and not
have enough time because of their professional characteristics. Entrepreneur will be bitterly
using this type of segmentation and gain competitive advantages within a lesser time period.
Childworld is a type of business to consumer marketing organisation that segments their
customers according to demographics. This includes age, gender, martial, status, location and life
stage i.e. married.
Customer segmentation is not only the need of business to get success in market. This is just
half of the whole process where an organisation gets the knowledge about the customers to
whom they have to target according to the nature of business activities and conditions present in
market. The other two aspects that must to be completed in the direction of attainting strength
with the market is about targeting and positioning. Both are dependent over the work of
segmentation both has separate equal importance that provides the opportunity to an organisation
to grab large market share through attraction and satisfaction of the large number of customers.
Targeting is about providence of special offers to the person who are selected under
segmentation according to the nature of business. These special offers not to influence their
buying behaviour also build their trust towards organisational services that they have reliable
business functions as compared to other. On the other hand, positioning is the technique used by
the organisation for separate presentation within the market that help in its easy recognition as
compared to others. The detailed description of both along with actual presentation in relation to
the selected organisation is presented below:
Targeting: This is about focusing towards choosing organisational item or administration's
objective market, and successfully coordinating marketing efforts at them. This implies picking
the opportune individuals who will need to purchase organisational item, and ensuring that your
advertisements reach and impact them. One of best option for Childworld for targeting is
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adoption of multichannel marketing. This will provide the opportunity to spread the information
among different parties related to the target market or not. The use of digital marketing is best in
this direction that not only spread the information but aid in attraction of new and potential
parents too who are in need.
Positioning: It characterizes as where an item of an organisation presents according to others
offering of comparable items and administrations in the commercial centre just as the essence of
the shopper. A decent situating makes an item extraordinary and causes the clients to think about
utilizing it as an unmistakable advantage to them. One of the methods that will be best to adopt
in this regard by Childworld is adopting high parent issues resolution technique. This is effective
one in the direction of building trust among the parents that whenever they need they are able to
talk with their children’s or personnel’s who are taking care of them. Also, they can provide
additional guidance through this medium that endures about the optimum safety of their health.
Time to time information is important in case of children’s care. This not only provides the
opportunity in satisfaction of the need of parents but building strengthened image in market
where everyone wants to avail services for their benefit.
Value Proposition
A value propositions are a value promise to be made, shared and acknowledged. The
customer always trusts in how interest is provided, learned and gained. Any entity or portions
thereof, or consumer accounts, goods or services can be subject to a benefit proposition.
Basically, the value proposition is an argument that refers to whether others would work with
business or not. This is essential for business entities to manage customer satisfaction by
providing good quality of services. In the absence of proper value proposition, this can be
difficult to business entities to attract more number of customers. In the aspect of above business
concept of baby parking, value propositions of Childworld are as follows:
Safety of babies at Child world- This is one of the key value proposition for customers. It is
so because by help of this, parents can keep their child safe whenever they go for outing. In
modern time frame this is one of the key issues for those parents who live in small family to stay
safe their child at home in the case when they go outside for small time period. The above
mentioned business idea of Child world can be useful for these kinds of parents as they can leave
their children there without any worry. The child word is determined to provide best quality of
services to their customers. This is so because, they are not only available to keep children at
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safe but also there are too many facilities for children such as playing gadgets, different kinds of
games and many more. Though, this is a risky task for above business to keep others children in
own protection because different children have various habits and issues. Herein, this is
important to know that above business should go with clear terms and conditions which needed
to be discussed with parents so that any conflict may not occur. This is so because in some cases
children may refuse to stay at child world. Though overall it is one of the key value propositions
of all those parents who want to go out without taking their children. The above business can
become successful only when they keep their focus on safety of children who comes for shorter
or longer time period. It is so because this is key aspect which all parents want from them as well
as if they will perform in an effective manner than it will be beneficial for them as their goodwill
may increase. The term safety means is not only limited to physical safety but also it is linked
with mentally safety also as they should focus on keeping the children happy and provide each
source of enjoyment. So this is a value proposition of above business concept which can attract
huge number of customers because idea of business is unique and it is likely to grow in future
time period. All parents want that their children should remain safe when they go out so that they
can do their work. It is useful for those parents in which both mother and father go for job.
Parents can go for working without any stress- This is the issue of most of the parents that
they do not feel better when they go outside and leave their children with neighbours. It is so
because children may not feel better at others’ house. This issue of parents can be solved by
facility provided by above mentioned business. It is so because they ensure to parents that their
children will be protected by them in an effective manner and children will not face any sort of
issue. This is one of the key services provided by above business because if parents will be
worried for their children than they cannot work with full of freedom and will think only for
children. The facility provided by above business is too useful for different parents as they can
keep their children at a safe place. Basically, the above business states that children who come
here, find an effective environment and enjoy with full of freedom. They do not feel any issue or
any problem because the staff members are too liable and helpful towards child. They understand
need of children and provide facility. One of the key features of above child world is that they
provide assistance to children in accordance of their nature. Such as some children do not like to
stay at one place and for these kinds of children they provide them different kinds of games and
many more. On the other hand, some children like indoor games or someone wants to watch
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television. For all children they provide services. This makes the experience of children more
effective and joyful. These all features provided by them makes parents stress free and happy. In
the absence of these features, this can be difficult for both to the children and parents to feel
relax whenever they go out. So this is one of the key aspects of value proposition that can be
helpful for different parents whether they are go to office or normal outing. In addition, if they
will provide better quality of service than it will be beneficial for parents because they will again
visit to their child care home by impressing from their services. Hence, this is essential for them
to offer better service so that children feel relax as well as parents also feel stress free about their
children.
Parents can choose the service option from multiple alternatives- In some child cares;
there are too many restrictions and conditions which are not flexible. Due to which customers
face different issues. In the aspect of above business, this is one of the key facilities to all parents
that they can leave their children for a time period which they want. There is no restriction on
them that they should keep children for any particular time period. This facility provided by
above child care, makes value of money for customers who visit to their child care. Otherwise in
the absence of this feature, it could be difficult for parents to keep their child. It is so because for
instance, there is a couple who want to go outside just for two hours but due to restriction they
have to keep their children for more than two hours. This makes things more complex for
parents. Hence, service provided by above business is too useful and can become cause of
success in future. It is so because flexibility in time period of keeping children can bring lot of
customers. As well as children will also feel better because of no time restrictions. In addition,
another there is a facility under above business that parents can keep their children in special care
service. In other words, those parents who want that their child should be kept under special care
than they can go with above mentioned business. Under the special care of children, they are
provided an individual person who care their need and help them entire time. Though, this
feature can bring partiality among children because if one child is kept under special care and
rest of children are not than this may impact negative on their mind-set. Hence, this is essential
for above care home employees that they should consider this factor seriously. They should treat
in a common way with all children and by doing so there will be a positive environment. These
above mentioned features are too useful for all types of customers because if there will not any
restriction of time period than parents will fell free and will be able to go out for any time period.
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