Individual Business Plan: Unique Advertisers - Advertising on Houses

This individual business plan outlines a novel advertising agency, 'Unique Advertisers,' which focuses on advertising on houses. The plan includes an executive summary, business objectives, mission, and vision. It utilizes a business model canvas to detail key partnerships, activities, value propo...Read More

Running head: INDIVIDUAL BUSINESS PLAN
Individual Business Plan
Name of Student:
Name of the University:
Author note:

1
INDIVIDUAL BUSINESS PLAN
Executive Summary
The following report is based on the individual business plan, the unique business selected for
this business is advertising on houses. The concept behind this unique idea is to propose a new
business idea that was not used before. The name of the advertising house will be “unique
advertisers”. The company will help people who want to buy houses but cannot because of the
high prices of the houses. Our company has planned that we will give a part of the price of the
house if the people let us advertise on their houses, on walls doors and windowpanes. For people
who already own a house they will be paid a part of the monthly income generated by the
business. The report is divided into seven sections; it starts with the introduction of the business
idea, business model canvas of the business, market feasibility, technical feasibility, financial
feasibility and lastly conclusion.

2
INDIVIDUAL BUSINESS PLAN
Table of Contents
Introduction......................................................................................................................................3
Business objectives......................................................................................................................3
Mission........................................................................................................................................3
Vision...........................................................................................................................................4
Business Model Canvas...................................................................................................................4
Market feasibility.............................................................................................................................7
Technical feasibility.........................................................................................................................8
Financial feasibility.........................................................................................................................9
Human resource capabilities..........................................................................................................12
Conclusion.....................................................................................................................................13
References......................................................................................................................................14

3
INDIVIDUAL BUSINESS PLAN
Introduction
My team has planned to start a business, in which we will open an ad agency, named
“Unique Advertisers” or unique idea is advertising on houses. It will give opportunity to the
people to get their dream houses without even paying the full amount for the house. All they will
be required to let us advertise on the entire house in return we will pay half of the price of the
house. This unique idea has been designed for the business plan of the advertising agency
situated in Melbourne Australia. Since the industry has filled with companies constantly coming
up with new and innovative ideas, we have decided that with the help of this innovative and
creative technique we will be market leaders, it would grab the attention of the people who
would be visiting the house of the person who has given his house to the advertisers.
Business objectives
 To emerge as an innovator in the market and grab the attention of big multinational
companies
 Increase the business of the company by 35 percent in next three years
 Capture the market share up to 15 percent in the next three years
 Payback period of less than 3 years
Mission
Many people cannot own their dream houses because they do not have enough money.
Our mission is to fulfill the dreams of people who want to own a beautiful house. Our team
wants to bring a new idea in the market that has not been used before.
Mission statement: “Fulfilling the dreams of people while doing business”

4
INDIVIDUAL BUSINESS PLAN
Vision
Our vision is to grow the business by 35 percent for which we need to get big deals with
the help of innovative ideas. In the coming years we want to be the market leaders and so we
have proposed this particular plan. Our focus will be on sustainability and not short term profits.
The mainstream methods of advertising will not be sufficient for sustainability in the market.
Business Model Canvas
Key partners
The people who
would offer their
houses for
advertisement
IT infrastructure
and cloud
providers
Creative IT
communities
Key activities
Looking for
people for
prospects
Advertisement
design
strategic
planning
Financing the
house of the
people
Value Proposition
Fulfilling the dreams
of the people who
want to buy their
dream house
Paying the partial
price of the house
Customer
relationships
Innovative ideas
of advertising will
help in gaining
getting more
business and the
enterprises will
Customer
Segments
Big and medium
enterprise
PR advertising
agencies

5
INDIVIDUAL BUSINESS PLAN
Key Resources
Houses
House loans
Funds
Human
resources
Channels
Offline word of
mouth
Online web social
media
Cost Structure
Staff salary
Paying the bills of the houses
IT infrastructure
Revenue streaming
Project fee
retainer fee
Key Partners- The key partners of the business would be people who would be offering
their houses to advertising agencies. IT companies who would design the ads. Financing
companies or financial institutions that provide housing loans

6
INDIVIDUAL BUSINESS PLAN
Key activities- Our advertising company will search the prospective people who want to buy
houses and propose their plan to those people. For people who are going to buy houses we will
pay 50 percent of of the price of the house. Those who already own a house will be paid a
monthly amount that will be a part of the profits earned by the companies (Nykiel 2016).
Value Proposition
Our company will create value by supporting people who want to buy houses but due to financial
conditions, they are unable to buy a house of a dream. For those who already have bought houses
will get paid for not doing anything just inviting as many people as possible. The owner of the
house will have to organize parties more often and invite many people in to the house the ad
agency will give a funds for the people for organizing parties two or three times in a month.
Cost structure- The cost will mainly be involved in providing finance for the house, paying
salaries to the staffs, running campaigns, price paid for organizing parties. Cost involved in
planning and designing the advertisements. Huge costs are involved in putting advertisements in
houses.
Cost Structure
Fixed costs
Administrative overhead, overhead, direct labor,
Variable costs
Direct materials, commissions, production supplies, half price of the houses, running campaigns
and commissions

7
INDIVIDUAL BUSINESS PLAN
Revenue generation- Revenue will be generated through the advertisements and the various
projects of the company. The enterprises will pay retainers fee to the advertisement agency
(Lovelock and Patterson 2015).
Customer segments
The customers will be small and medium enterprises who will hire the advertisement agencies.
The other segment of the customer would be the PR agencies who would hire the advertising
agency for promotional activities and press releases (Kotler et al 2014).
Customer relationships
Our ad house, unique advertisers will be maintaining customer relationship by providing
innovative ideas to our clients and winning their trust. We will create a good will in the market
by providing houses to people those who cannot have one. This good will and brand image will
help us to have good customer relationship. We will also focus on the CRM so that we can retain
customers for long. Their main motive is sustainability and therefore they will focus much on the
quality (Armstrong et al. 2015).
Channels
The two main channels of this business are offline word of mouth that will be done by the guests
who would be visiting the house and the online social media, like facebook, instagram and
twitter (Andrews and Shimp 2017).
Key resources

8
INDIVIDUAL BUSINESS PLAN
The resources that would be required for this business will be mainly houses, used for
advertisements, housing loans, funds, require for designing advertisements.
Market feasibility
Many ad agencies are working presently to design and make advertisements of the
business enterprises who hire them. The ad making industry y is a huge industry and the market
share of this industry in Melbourne is 25 percent. Although no particular, company is the market
leader because all the companies enjoy the same position in the market. Australian market
achieved a strong growth rate of 7.4% in 2016 than it was expected and it was predicted that
market has scope to expand by 6.3% in the 2017 (Jooste and Strydom 2014).
Presently the market is not in its full capacity as most of the companies in this industry
follow the same methods of advertising and innovation is very little in this industry. The
customers of the advertising market are the small and medium enterprises and the PR agencies.
They hire the advertising house for having advertising their enterprises (Thorson and Moore
2013). The PR agencies take the help of the organization for promotion of companies that hire
them. The customers now get the advertisement services from different advertising companies in
Australia. The factors that can affect the business idea and hinder the business are, lack of
financial resources, improper planning of the idea, and inadequate IT infrastructure for the
business idea. The company might find it difficult to find the prospects. The business might be
having difficulty in taking housing loans from the banks and financial institutions. Legal
obligations required in housing loans and setting up a business. Unique advertisers are expecting
to capture a market share of 15 percent (Hollensen 2015).

9
INDIVIDUAL BUSINESS PLAN
Technical feasibility
The option for development of the technology would be “Customer”. The services will be
produced in house. The option used for sales and distribution would be In House. The
advertising services are very old business where the advertising agencies are hired for raising
advertisement campaigns. The Unique advertisers as their name suggests are unique because of
the idea they have generated for their business. They have chosen to advertise on houses. The
houses would be entirely new or it can be old, it would have advertisements of the various
companies that have hired Unique Advertisers for raising advertisement campaigns.
The houses will also be used for carrying out the press releases and public events. This will be
applicable for big houses. So press related media and IT set up will have to be arranged (Finch
2016).
The technology for advertising can be developed by using three-dimensional graphic
designs are used in the advertisements on the wall. The advertising house will develop the
technical skills of the employees. The main resource of the company is the houses of the people.
The houses will be designed in a way that the advertisements can be displayed in the
windowpanes. The windowpanes of selected houses of those prospects whose guests are affluent
and doors will have LED screens (Eusebio 2017).
The laws related the businesses are Australian consumer law, fair trading laws and
Australian policy and regulation for digital advertising. The owners will have to register their
business. They should have the registration certification. Unique advertisers will save make
sure that they would focus on conservation on energy resources. They will not any such
colors or paints that might cause harm to the environment (Dudin et al. 2015).

10
INDIVIDUAL BUSINESS PLAN
Financial feasibility
The revenue for the first year would be $60, 000 the revenue for second year is
$40, 000 and the projected revenue for third year $80, 000.
The projected volume in units sold is 30 units and the projected volume in dollars would be at at
the rate of 1000 dollars per unit would be 30*2000= 60,000 dollars.
Projected volume in units sold in 20 units and projected volume in dollars at the rate of 2000
dollars per unit would be 20*$2000 = 40,000 dollars
Projected volume in units sold in the third year is 40 units and volume in dollars at the rate of
2000 dollars per unit would be 40*$2000= 80,000 dollars
The expected revenue would be 60,000 dollars. The selling price per advertisement is dollar
2000.
The expected revenue for the second year would be $40, 000. The selling for the second
year also would be the same, $2000
The startup cost has been set up as $25,000
Profit and loss statement three-year summary
Revenue Year 1 Year 2 Year 3
Gross sales $ 60,000 $ 40,000 $ 80,000
Less: Sales returns 0.00 0.00 0.00
Net sales: $ 60,000 $ 40,000 $ 80,000
Cost of goods
Material cost $ 20, 000 $ 10, 000 $ 20,000

11
INDIVIDUAL BUSINESS PLAN
Variable labor 0.00 0.00 0.00
Misc $ 5000 $ 5000 $ 10,000
Less: Ending
inventory
0.00 0.00 0.00
Total cost $ 25,000 $ 15,000 $ 30,000
Gross Profit/Loss $ 35,000 $ 25,000 $ 50,000
Controllable
expenses
Advertising $1000 $5000 $5000
Wages $5000 $5000 $5000
Payroll taxes and
benefits
$300 $500 $300
Commissions $2000 $3000 $2000
Professional fees $500 $500 $300
Misc 500 500 500
Fixed expenses
Permits and
Licenses
1000 2000 2000
Interest 0.00 0.00 0.00
Depreciation 0.00 0.00 0.00
Property taxes 0.00 0.00 0.00
Rent 400 400 400
Insurance 200 200 200
Utilities 300 300 300

12
INDIVIDUAL BUSINESS PLAN
Total expenses $ 11200 $ 17,400 $ 16,000
Net operating
income
23800 7600 34,000
Other gain 0.00 0.00 0.00
Gain/loss on sale of
Assets
0.00 0.00 0.00
Interest Income 0.00 0.00 0.00
Total other income 0.00 0.00 0.00
Net income $ 23,800 $ 7600 $ 34,000
(Created by Author)
As per the profit and loss statement, in the first year the net income earned is dollar 23,800, in
the second year the income earned is dollar 7,600 is very less and in the third year the income is
34,000 dollars.
The possible sources of finances could be bank loans, investors and creditors. The payback
period has been estimated as 2 years. Gross Margin 20 - 30% plus
• Net Profit Margin – more than 10 to 15%
• Return on Investment – more than 10% plus
• Payback - 3 years or less
• Break even - 2 years or less (Wood 2014).

13
INDIVIDUAL BUSINESS PLAN
Human resource capabilities
Employees will be hired who would be trained for making innovative advertisements
with proper designs and messages that would be appropriate for advertisements in the houses.
Technical experts will guide the employees so that they can design the most beautiful
advertisements in the houses, which would be attractive for the guests who would be visiting the
house. In the beginning, the business would require at least 100 employees who would be
carrying out activities like, designing of the advertisements. In the second year of the business,
the company would be increasing the number of employees to 200 so that the business can be
expanded. In the third year of the business 50 employees will be hired so that as many houses
can be targeted for putting advertisements. The owner is planning to capture the market share of
15 percent in the coming five years. The company is planning to grow its business by searching
prospects who want to buy houses in the busy market areas or who already have owned houses in
the busy market areas of the city (McKeever 2016).
Conclusion
Our team, Unique Advertisers has come up with a unique idea of advertisements in the
houses. Our idea will help people to buy their dream houses but for the financial constraints, they
cannot. This idea will give them opportunity to own a house of their choice but only at the half
price of the house. The people who already own a house and want to a good deal of money can
also join this plan all they will be required to do is just let Unique advertisers put
advertisements in the walls, doors and window panes of the houses. They will have to organize
parties and encourage more people to visit the house so that the objective of marketing
communication is achieved. This idea will help the company gain many corporate clients, the
customers will be the enterprises it can be small or medium and the PR agencies. The company

14
INDIVIDUAL BUSINESS PLAN
expects to have a profit within a span of three years. This is a huge business and hence the cost
estimated for the business is 50,000 dollars because unique advertisers in order to carry out this
business needs to pay the partial price of the houses or people already having houses will have to
be a part of the monthly profit as their salaries.

15
INDIVIDUAL BUSINESS PLAN
References
Andrews, J.C. and Shimp, T.A., 2017. Advertising, promotion, and other aspects of integrated
marketing communications. Nelson Education.
Armstrong, G., Kotler, P., Harker, M. and Brennan, R., 2015. Marketing: an introduction.
Pearson Education.
Dudin, M.N., Kucuri, G.N., Fedorova, I.J.E., Dzusova, S.S. and Namitulina, A.Z., 2015. The
innovative business model canvas in the system of effective budgeting.
Eusebio, R., 2017. Marketing II. Marketing, p.2018.
Finch, B., 2016. How to write a business plan. Kogan Page Publishers.
Hollensen, S., 2015. Marketing management: A relationship approach. Pearson Education.
Jooste, C. and Strydom, J.W., 2014. Marketing management.
Kotler, P., Keller, K.L., Brady, M., Goodman, M. and Hansen, T., 2016. Marketing management.
Pearson Education Ltd..
Lovelock, C. and Patterson, P., 2015. Services marketing. Pearson Australia.
McKeever, M., 2016. How to write a business plan. Nolo.
Nykiel, R.A., 2016. Marketing Your Business-A Guide to Developing a Strategic Marketing
Plan.
Thorson, E. and Moore, J. eds., 2013. Integrated communication: Synergy of persuasive voices.
Psychology Press.

16
INDIVIDUAL BUSINESS PLAN
Wood, M.B., 2014. The marketing plan handbook. Pearson.

17
INDIVIDUAL BUSINESS PLAN
Appendix 1
Start-up Costing for [Business name] - [Year]
START-UP COSTS Cost ($) EQUIPMENT/CAPITAL COSTS Cost ($)
Registrations Business purchase price
Business name Unique advertisers Franchise fees $500
Licences$ 1000 Start-up capital $ 10,000
Permits $ 3000 Plant & equipment $5,000
Domain names Vehicles
Trade marks/designs/patents Computer equipment
Vehicle registration Computer software
Membership fees $ 5000 Phones
Accountant fees $ 2000 Fax machine
Solicitor fees $1000 Security system
Rental lease cost (Rent advance/deposit) $1000 Office equipment
Utility connections & bonds (Electricity, gas,
water)- $ 300 Furniture $500
Phone connection $ 100 Shop fitout
Internet connection $100
Computer software $ 500
Training $ 5000
Wages $4000
Stock/raw materials $1000
Insurance
Building & contents
Vehicle
Public liability
Professional indemnity
Product liability
Workers compensation $ 5000
Business assets $4500
Business revenue
Printing
Stationery & office supplies
Marketing & advertising
Total start-up costs $50,000 Total equipment/capital costs $10000
Assumptions:
All figures are GST exclusive.
Source: business.vic.gov.au