Detailed Business Growth Plan for a Stock Brokerage Company

This business plan outlines a comprehensive strategy for establishing and growing a stock brokerage firm. It begins with an introduction to business planning and the role of a stock broker, followed by a detailed analysis of the proposed future business, including services offered, target customers, and competitive landscape. The plan incorporates skills analysis to identify key competencies, and presents projected financial statements, including profit and loss accounts and cash flow forecasts for two years. It also explores suitable sources of funding, resource planning, and the type of organizational structure and management information systems. The plan culminates in a vision for the business, emphasizing its long-term goals and objectives. The document includes references to support the analysis and strategies presented.

Business Growth Plan

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BDOY...................................................................................................................................3
Proposed Future Business.......................................................................................................3
Customers...............................................................................................................................3
Competitors............................................................................................................................4
Skills analysis.........................................................................................................................4
Projected 2 year profit and loss account ................................................................................4
2 years cash flow forecasts.....................................................................................................5
Suitable sources of funding....................................................................................................6
Resource plan.........................................................................................................................6
Type of organisation and the management information systems...........................................6
Vision of the business idea.....................................................................................................7
CONCUSION..................................................................................................................................7
REFRENCES...................................................................................................................................8

INTRODUCTION
Business plan is the format which is the written document which include the business
goals, methods to achieve the goals, and the time frame where the business goals must be
achieved. A business plan on the stock brokers are the strategic business plan where all the
strategies are made on the basis to make the business plan (Chun and Lee, 2017). A stock broker
is the one who buy and sell the shares on the behalf of the clients. Also known as the registered
representative. In this assignment a deep analysis is evaluate the opportunities to meet the market
gap for the brokers. Skills and resources needed to develop the business. Make a plan for the
development of the business and make the proposition to investors and stakeholders.
MAIN BDOY
Stock broker business are the new and trending business, as they help the individual
customers as well as large companies to make the transactions. They take some amount of
margin from the customers and invest their money in stock market.
Proposed Future Business
The services which is offered by the broker to the clients, a wide range of the global
business segment, which is offered to the UK private customers with the exchange square of
£2500 are at least 5000.
The cost which is used for converting the money is lower than the other brokers and the
new customers will get discount of near by 5% by using different administration.
The services which are provided by the stock brokers are the financial advice, assessing
the current financial situation. (Gattorna, 2016). Set the financial goals for the clients, giving the
proper advice for selling and buying of the securities, providing recommendations, and complied
the tailored investment plan for the private clients.
In order to protect the services and products the company can use the intellectual
propriety right for retain the business services. For this trade secrets, patents, copyrights and
trademark. All these IPR can be used to secure the business idea and services.
Customers
Not every customer wants to buy that product which company is selling. For that stock
broker needs to identify the target customer. This can be done through B2C marketing. B2C
marketing focuses on the customer base. What benefits a product can give to a customer. Brokers

need to understand customer needs and wants. Customers now a days focus on the product and
services which helps them and also provide benefits to them personally. USP is the unique
selling point. It is the essence that what quality makes your product or service better than their
competitors. Brokers needs to make such strategy through which its products and services could
differ from the competitors in the market(Cortez and Johnston, 2020). It can be in terms of
quality, price or discounts, offers etc. Services provided by the company is financial advice,
research, assessing financial situation, and advice on buying and selling of securities.
Competitors
Competitors are the one who encourage the company to serve better in front of
customers. Stock brokers needs to provide that services which can beet the competitors so that its
customers does not go to the other companies. This can be done through lowering the prices of
product or services, by creating brand loyalty and handling complaints and feedbacks so that
customers attract to their services. This company focuses on the quality of product and other
firms focuses on the quantity of services not on the quality. That is why it attracts the investors to
invest in his company. The other elements which is provided is calculation of overall projects
cost, cash flow predictions, assumption for inflation rate, depreciation, discount rate etc. next
components of financial feasibility analysis and identification of available budget (Erlangga and
et.al., 2020).
Skills analysis
Skill analysis is the main element that is required by every business broker to attract its
investors or customers to invest in his business. The skills which are used by the brokers is
Internet research- it is the act of using internet data or browsing. It is the free data of WWW
(world wide web). Then secondly Mind maps are used top create an image that is used to
organise a data externally. A skill gap analysis helps the broker to identify skill gaps which needs
improvement. The skill gap needs a training plan. To address the skills gap the brokers needs to
work with high potential employees or he needs trained workers etc. the training process should
be strong, accurate and relevant(Howard and Gutworth, 2020). Through skill gaps analysis,
broker can identify the exact responsibilities and tasks to be performed by them.
Projected 2 year profit and loss account

Profits and loss account
Expenditures 2021 2022 Revenue 2021 2022
Rent 7000 5000 Commission 600 1000
Purchase 8000 7000 Sales 1600 2000
Wages 900 1000 Interest 5000 7000
Discount 100 150 Dividend 6000 7500
Commission 350 400
Other expenses 1000 1200
Net profit - 2750 Net loss 4150 -
Total 17350 14750 Total 13200 17500
2 years cash flow forecasts
Cash flow statement
Particular 2021 2020
Opening cash balance 0 18850
(A)Cash flow from operating activity
Commission received 600 1000
Sales 1600 2000
Interest received 5000 7000
Dividend received 6000 7500
Purchase -8000 -7000
Wages paid -900 -1000
Discount given -100 -150
Commission paid -350 -400
Other expenses paid -1000 -1200
Total 2850 26600

(B)Cash flow from investing activity
Purchase of fixed asset 11000 6000
Total 11000 6000
(C) Cash flow from financing activity
Capital 5000 4000
Total 5000 4000
Total (A+B+C) Cash balance at the end 18850 36600
Suitable sources of funding
There are various sources which are required to increase the funds which are necessary
for the growth of the business. In the broker's business there are no extra or huge amount of
funds are required. But for start a business and to advertise that the funds are needed. It can be
short term, long term. Personal investment, commercial loans, equity fund raising, bank
borrowing, venture, franchising and many government programmes. To increase the growth
opportunity the funds which are helpful for the broker are Loan, equity funds, bank borrowing
and any government scheme (Kalia, 2015). As these funds are helpful for the brokers to invest
more in the new business opportunities and make the clear and visible path to get the success in
the stock brokerage industry.
Resource plan
For implementing the business it is important to make the resource plan which include
the tangible and intangible resources. Which are needed to start the business and after
establishing the business within one or two years the needed resources. When it comes to
tangible resources than it include the premises, equipments, computers and internet expenses.
And for intangible the resources are patents, securities, equity bound and many more items
which are helpful for raising the funds.
The start-up cost include the basic computer equipments, internet connection cost,
brokers cost, commissions, and the interest or extra cost which are required for making the
connection with the other companies.

Type of organisation and the management information systems
It is a private and small business organisation which are required to make the
management system to make the formal organisation in the company and make everyone
productive to work more effectively. In order to achieve the basic goals of the business it is
important to make the management information system (Ritter and Schanz, 2019). It is required
for all the levels by the operating managers and marketing managers to improve the business
process and operations.
For the brokerage business the essential tool of management information system is the
marketing mix where the price, place, Promotion and product is defined and there marketing and
advertisement process is completed. As brokerage industry is full customer based industry.
Vision of the business idea
The vision of the company is decided to become the billion pound organisation and
attract the clients over the world.
The main objective is to provide the expertise the advice to the customers and make the
trust on the team to make the growth of the company (Valter, Lindgren and Prasad, 2018).
Although franchises are not provided to the other business but the new outlets may be open after
achieving the break-even point. But the employees must complete the six month training which
is provided by the company and able to pass the exam with the minimum criteria.
The long term vision of the company is to become the global based stock brokers
company which provide the advices about not only to the London stock exchange but to all the
local stock exchange of the particular client and their particular company.
CONCUSION
From the above business plan it is concluded that the stock exchange business have the
high future trend in the market. And to make the global business expansion, the proper and
accurate business plan is evaluated with all the activities related to financial and operating
department. The funds arising state, the resources for the company all are the part of business
plan which help to the owner for evaluating and analysis the situation of the company right now
and in the next one or two years.

REFRENCES
Books and Journals
Chun, Y.Y. and Lee, K.M., 2017. Environmental impacts of the rental business model compared
to the conventional business model: a Korean case of water purifier for home use. The
International Journal of Life Cycle Assessment. 22(7). pp.1096-1108.
Cortez, R.M. and Johnston, W.J., 2020. The Coronavirus crisis in B2B settings: Crisis
uniqueness and managerial implications based on social exchange theory. Industrial
Marketing Management. 88. pp.125-135.
Erlangga, H and et.al., 2020. Pharmaceutical Business Competition in Indonesia: A Review.
Systematic Reviews in Pharmacy. 11(10). pp.617-623.
Gattorna, J., 2016. Dynamic supply chain alignment: a new business model for peak
performance in enterprise supply chains across all geographies. CRC Press.
Howard, M.C. and Gutworth, M.B., 2020. A meta-analysis of virtual reality training programs for
social skill development. Computers & Education. 144. p.103707.
Kalia, P., 2015. Top e-retailers of India: business model and components. International Journal
of Electronic Marketing and Retailing. 6(4). pp.277-298.
Ritter, M. and Schanz, H., 2019. The sharing economy: A comprehensive business model
framework. Journal of cleaner production. 213. pp.320-331.
Valter, P., Lindgren, P. and Prasad, R., 2018. Advanced business model innovation supported by
artificial intelligence and deep learning. Wireless Personal Communications. 100(1).
pp.97-111.