PROJECT TOPIC: BUSINESS PLAN 50 MARKS Use the information below as a guidline and develop a business plan to present to a financial institution to obtain funds for your business. Mr Alfred Smith is one of the seven prospective owners of a small business in the Namakwa District. The town, Jolyspruit, has about 120 000 residents and many people from nearby town visits the town to do business, Mr Smith and six other collegues want to open a mega groceries shop where buyer can satisfy their needs. They plan to sell groceries, clothing, electrical suppliers, hardware and toys. Game sell similar products but it is situated about 450 km away. Jolyspruit and neighbouring towns experience a situation for the past few years where about 90%-93% of the workforce is employed. The three diamond -, Iron ore -, and manganese mines are the main source of employment in the region. There are a number of big schools, three co-operatives and various government departments which is known as job creators for the past years. They discovered that the residents of the four towns has an average consumable income of R10 450, almost all citizens has access to internet and roughly 54% of the residents are subscribers to the weekly newspaper. Mr Smith and his business associates predict that they can bank on at least 15% of the market share if they manage to obtain the needed funds. Their research has shown that their biggest competition will be from Pick n Pay situated in Jolyspruit. They believe that the fact that they sell a wide of goods independently, will be their advantage. Mr Smith gained experience as a buyer of a well know larger traiding business and has many contacts in the electrical appliences industry. One of the partners, Mr John Ameer, worked at the purchasing department of Shoprite for they past years and has close contact with suppliers of groceries and toys. Mr Mike Lara has sence of fashion amongst teenagers, sportsmen and young professional people.