A business proposal is perhaps one of the most critical documents you need to learn how to write. In this article, you will learn the steps on how to write a business Proposal on any business idea of your choice.
Therefore, in order to write a perfect and effective business proposal you need to consider the following steps and put it into consideration. Below are what you need to consider before writing a business proposal.
1. Gather the Information You Need
2. Define Project Objectives & Scope
Outline the Project’s Scope
3. Estimate Your Labor & Costs
4. Start Drafting Your Business Proposal
5. Edit Your Business Proposal
6. Send Out Your Business Proposal & Follow Up
This Business Plan deals with the viability of the planned investment of N10,000,000 (Ten Million Naira only) as capital in the establishment of Children Day Care Centre in my area.
Specifically, it will treat in details the application of the needed funds in the establishment and running of the centre aimed at meeting the challenges of the expanding markets for the services of the Children Day Care Centre and broadening the revenue base of the outfit.
OBJECTIVE OF THE PLAN
The main objective of this plan is to establish the technical feasibility, economic viability and financial profitability of the intended business. Accordingly, the study is designed to consider the following variables.
- The demand and supply of Daycare services in Nigeria.
- The scale and nature of activities to be undertaken considering the availability of inputs, sponsor’s resources and loans available from banks and other sources.
- Adequate operational level having regards to the accommodation and other facilities.
- Project costs and sources of funding
- The overall socio-economic benefits of the project.
Towards achieving these objectives, a detailed market survey vis-à-vis an in depth study of the project has been undertaken and the findings presented under the following headings.
- Little Wisdom Day Care Centre, the organization that is to manage the business.
- The project and its essential features.
- The market review of the services of the company.
- The financial analysis of the project based on its operations.
- The socio-economic justification of the project.
DATA COLLECTION MACHINERY
For the attainment of quality in our service delivery and validity of our conclusion, the data collected for this Business Plan must be accurate, reliable and factual. To this end, personal visitations, inspections, questionnaires and enquiries did form the basis of the data collection machinery.
Journals, newspapers, magazine, other periodicals and publications were reviewed to enrich the data collected in a bid to establish and appraise the structure and level of competition with the industry.
Experts’ opinion were sought and obtained to substantiate the authenticity of the data. The data so collected and gathered were scientifically analyzed to aid our findings and projection for planning and decision making.
Finally, logical computations would be developed based on the available accommodation facilities and other infrastructures.
In this way, the result and recommendation proffered being a product of science, dispassionate, impersonal and objective must be accorded respect and project implemented accordingly.
Name of organization: Little Wisdom Day Care Centre
- Type of organization: Private Enterprise
- Business Address: No 4. Nnuka street, Lagos, Nigeria.
- Chief Promoter: Mrs. Patricia Victor Owokere is the owner and promoter of Little Wisdom Day Care Centre. Well educated, Mr. Bello has a B.A (Hons) Degree of the University of Abuja in Fine/Industrial Art. Greatly prepared for this trade, she has accumulated over eight (10) years of relevant experience in this business as she worked in the following related organizations:
(i) Graceland Day Care Centre and School, Sam Housing Estate, Lagos, 2003 – 2006.
(ii) St. Joseph International School, 5 Akpan’s Avenue, Uyo, 2006 – 2007.
- Major Activity: To care for babies of working class mothers.
- Management: The day-to-day execution of the project is to be undertaken by a group of staff under the supervision of the proprietress. The success of this project depends to a very reasonable extent on the vision, focus, seriousness and dedication of this team.
Little Wisdom Day Care Centre is involved in children day care services provision to working class mothers in Lagos. Its establishment is in response to the challenges of the booming market for children day care services. The total financial implications of that decision which is the subject of this Business Plan is estimated at N10,000,000 (Ten Million Naira only). Specifically, the funds needed are to be applied in the manner below:
|S/N||ITEMS||QTY||RATE (N)||AMOUNT (N)|
|4.||Micro Wave Oven||1||45,000||45,000|
|12.||Basins, Buckets, Towels||–||50,000||50,000|
|13.||Pots, Plates, Cups, Spoons, Furies, Knives, Water Drums||–||–||100,000|
|21.||Dust Bins, Packers, etc||–||–||10,000|
|23.||First Aids/Sterilizing Sets||–||–||150,000|
This section examines the state of the market for the services of the outfit. This is done with a view to determining the available market, the level of competition and the supply gap to be filled within the industry.
Demand and Supply Analysis
The present economic situation demands that all hands to be on deck as far as the family economy is concerned. Women now are required to work alongside their husbands in order to bring food to the table. In this direction, children especially the babies are not to be impediment, herein resides the significance of day care institutions in our current cosmopolitan existence. In Lagos, the numbers of day care outfits are very few and in the face of rising demand, the establishment of a new one is a big relief to fill the exiting gap.
Marketing Plan and Competitions
This plan entails the formulation of pro-active marketing strategies that will enable the services of Little Wisdom Day Care Centre to make the desirable in-roads into the market to achieve the objectives of the outfit.
The business intends to contain with their competitors by its distinctive service delivery, competitive pricing and efficient transport mechanisms. In all, the activities of the Day Care Centre will be encapsulated by the consumer marketing philosophy practices.
This section examines the financial implications of investing N10,000,000 (Ten Million Naira only) in Children Day Care business with a view to determining the profitability or otherwise of this decision.
The financial projections treated in this Business Plan are based on the under-listed assumptions.
- Number of pupils (take-off) – 30
- Charge per pupil is N150,000 per annum that is, N4,500,000
- Rent is N500,000 per annum
- Labour charges for each personnel including the proprietress are:
- 1 Proprietress – 60,000 – 720,000
- 1 Supervisor/Nurse – 20,000 – 480,000
- 1 Auxiliary – 15,000 – 180,000
- 1 Cleaner – 10,000 – 120,000
- Estimates of annual feeding expenses is taken to be 20% of the annual takings from the pupils; that is N900,000
In this section of the study, the socio-economic benefits and effects of the project will be brought into focus and examined. The benefits likely to be derived from the implementation of this project are identified to include the following among others.
- Employment generation
- Contribution to government revenue by way of personal income taxes.
- Helping the growth and expansion of the state economy through its activities.
Investment in a day care service business of this nature with its multiplier effects in the socio-economic environments cannot but be supported and encouraged.
To this end, this project by the Little Wisdom Day Care Centre is hereby strongly recommended for financial and other supports from banks, friends and relations as well as investment houses.
The promoter/owner is enjoined to demonstrate her zeal through early and timely implementation of this viable project.
|Micro Wave Oven||90,000|
|Pots, Plates, Knives, Water Drums||
|Phones and Phone Lines||100,000|
|First Aid Sterilizing Sets||300,000|
|Fixtures & Fittings
|Beddings, Blinds & Curtains||100,000|
|Non-system Fixed Assets
|Toys / Rent||700,000|
|Dust Bins, Packers, etc||10,000|
|Diapers / Covers||100,000|
MAIN INCOME STREAM
CASH FLOW PROJECTION FOR 12 MONTHS
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