Dear Mohan Shashank,
Before I wrote my comments, I had gone through the ppt that you had attached. Business planning subject is close to my heart. I have given consulting services to my client in gulf who wanted to make business plan for selling hearing aid instruments. Please read my paragraph-wise comments in blue font.
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Please note that this is just a sample and a glimpse of the Business plan which is more useful to the people who are doing their MBA and can not be taken as a whole plan which is going to be helpful for an entrepreneur.
Whether sample or otherwise, the structure of the business plan does not change. The average business plan has the following components:
Part I: Foreword
Part II: - The Executive Summary
Part III: - Introduction to the Business
Part IV: - The Product
Part V: - The Market
Part VI: - Costing, Pricing and Sales Forecast
Part VII: - The Marketing Plan
Part VIII: - The Manufacturing Plan (Trading Plan if the product is not manufactured)
Part IX: - Organisation and Staffing
Part X: - Financial Forecasts - Revenues, Cost and Profitability
Now I recommend you do an audit of your business plan with the above parts and find out what is missing in it.
Coming to the Marketing/ sales cost, please note that the cost of each device used to manufacture the product includes the marketing/ sales cost also please note that here the company may have a direct marketing or dealer man ship which can be denoted under the post-sales tab.
No venture capitalist or financial institution will accept your plan if you include marketing expenses in the manufacturing itself!
Here by not mentioning the transportation costs, it does not mean that the product will be sold by itself. Please go through the PPT again so that you can find a fixed cost segment where you can find other fixed costs which include the transportation costs.
Where is the break up of fixed cost? On slide 12 what you have mentioned is a small component of fixed cost. How anyone can assume that transportation cost is included under this heading? Is the word 'transportation' itself is not there in your business plan. Secondly, in your business plan 62% is "other fixed cost". How can it be so high?
Please go through the ppt again and let me know is there any doubts in that again.
If I start raising my doubts, these will galore and we will get caught in its whirlpool. The basic requirement is of market research. You have not done any market research to show that there need in the market for your product! What doubt can I have further?
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These are my honest comments. You may not like them but then I am helpless. My feedback, whether to accept graciously or not is up to you!
Thanks,
Dinesh Divekar
+91-9900155394