Write a business plan for the following venture:

Expanding a one-store operation to a two-store operation

Assume you currently run a small retailing business in the lobby of a large office building. Your store occupies 1000 square feet of space. You spend fifty hours a week at the store and hire two employees, each of whom spends thirty hours a week at the store. Your annual revenues are between $150,000 - $300,000 a year. The products you sell are a mixed bag of items. Basically, you stock up with items that occupants of the office building will want, including snacks, pre-wrapped sandwiches, bottled/canned beverages, greeting cards, newspapers, paperback books, and small gift items that the buildings tenants might find attractive.

A new office building will open two blocks away from the building you now occupy. You would like to expand your business to that building. In fact, you begin to dream that you can establish a chain of such stores in large buildings downtown. You have even cooked up a name for the potential chain, Busters (named after your pet Labrador retriever).

At this point, you are not sure how you want to fund the expansion. You need to put together a business plan to develop a sense of the financial requirements of the new operation. You may decide to fund it using your savings and by taking out a second mortgage on your house. Three other options are to borrow money from the bank, borrow money from friends and family, or to have friends/family assume an equity role in your business as investors. In any event, your business case would be used to borrow the money or to attract investors.

Write a business plan that describes this proposed venture.

Use this Outline in addition the information above. Include information that you fill applicable to complete or clarify any aspect of the Business plan outline:

Introduction and brief description of the venture

Introduction (e.g., This business plan describes a proposed venture to expand Busters from a one-store to two-store operation.)

Description of the business (Busters is a small store located in the lobby of a large office building )

Business aspirations (e.g., Ultimately, we hope to expand Busters so that it becomes a chain of 10-15 stores situated in downtown office buildings.)

Organization of the business and key players (e.g., Marsha Jones is owner and principal manager of Busters. The current store employs two people, each of whom works at the store 30 hours a week The proposed store will be managed by Ms. Jones )

Owner(s) role(s) and qualifications

Company legal structure (e.g., sole proprietorship, partnership, LLP, S-Corporation, C-corporation)

Management team roles and qualifications

Employees roles and qualifications

Contractors/vendors (as appropriate) roles and qualifications

Financials

Anticipated operating costs of the new business (e.g., What are the anticipated expenses of operating the business in a typical month?)

Anticipated investment requirements to launch the new venture (e.g., furnishing facilities, inventory purchases, meeting payroll during the first six months of operation)

Anticipated revenue

Pro-forma cash flow projection for the first year of operation

REVENUES	Month 1	Month 2	Month 3	Month 4	Etc.
Rev source A
Rev source B
Etc.
TOTAL REV
COSTS
Rent
Payroll
Materials
Etc.
TOTAL COST
NETCASH FLOW

Payback point (taken from the pro forma cash flow statement)

Anticipated return on investment from the perspective of three years into the venture

Marketing/Sales

Summary of a marketing/sales strategy

Marketing/sales requirements for the business

Price of goods/services

Product

Promotion

Place

Competition

Operations

Location of the business

How the business will be operated (e.g., hours of operation, procedures to produce goods/services, special operations issues)

Legal and sundry issues

Legal and related issues that need to be addressed (e.g., Liability, intellectual property, structuring the business, commercial law issues, etc.)

How legal issues will be handled (e.g., in-house attorney, use of outside legal services)

Major challenges

A realistic assessment of the challenges facing the new venture