business plan - food

8/7/2019 Business Plan - Food

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UN IV tERS iT ITEKNOLOGIPITRONAS

E-CommerceSAB 4213

Sem ester January 2010G roup P ro ject

UTP Food Delivery S ystem Business Plan

Lecturer: Or. Dhanapal Dura; Dominic P.Members:Jason Anderson Raj 9753Siti Nur Farhana Md Yusof 10019Chong Jia Haur 9960Muhammad Izzam Kayat 11644


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Table of Contents1. Executive Summary 12. Introduction 33. Vision, Mission and Strategies 5

3.1 Vision 53.2 Mission 53.3 Objectives / Goals 53.4 Keys to Success 53.5 Strengths, Weaknesses, Opportunities, and Threats (SWOT) 6

4. Products and Services 85. Revenue Sources . 106 . Future Growth Opportunities 117. Marketing Plan 12

7.1 Marketing Analysis 127.2 Marketing Size and Trends 137.3 Survey Result 147.4 Marketing Mix 187.5 Customer Profile. 197.6 Product Line 207.7 Strategies to Reach or Exceed Targeted Sales Level 21

8. Operations Plan 238.1 Location. 238.2 General Operating Hours 238.3 Human Resources 238.4 Office Requirements and Asset Acquisition 24

9. Management &Administration (Organization Plan) 259.1 Company Ownership 259.2 Managerial Style 259.3 Management 269.4 Administration 28

10. Financial Plan 29IO.1 Projected Cash Flow 2910.2 Start-up and Operating Budgets 2910.3 Operating Budget 3010.4 Revenue Projection 30

11. References 32


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1.0 Executive Summary

This project Is focus on developing an online food ordering systems that integrates allcafeterias in UTP as well as restaurants from nearby areas in Tronoh and Taman Maju.The revenue from this business is based from the subscription fees of all cafeteriasinvolved as well as advertisement fees from parties who like to do promotion in thiswebsite. The current problem being faced is that with the location of one residentialcollege quite far from the other village cafeteria, students need to have transport topurchase food that they prefer. With the implementation of this online food orderingsystems, it will bring convenient for student to purchase food for theirlunch/dinner/supper just from their PC, and the food delivery service will come attheir doorstep.

In completing this project, we have identified several factors as below.

Identify Ownership:This team will have 4 members to run the website. 1 Managing Director: Formulates creative strategy to develop a Web

Marketing, manage the operation of the business.

1 Director of Marketing: Help the manager in term of administration,human resource, decision making process and etc.

1 Director of IT: To develop the website according to the user requirementand customize it to maximize user satisfaction."

1 Director of Finance: Do record keeping of inventories and accountingpurposes as well as to ensure all legal procedures and taxes are beingfollowed.

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Target Market:

UTP students and staff who have computer / mobile that can connect to thefwebsite and order food that they wish to purchase through online food ordering

system.

Cafeteria and restaurants who wish to advertise their food online.

Unique Selling Proposition:

Up-to-date information on available food for that day

User friendly interface that direct user to the ordering process

Low cost service

Fast delivery services

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2.0 Introduction

UTP Food Delivery System wiHcompromise of a website that connects theI

students and cafeterias in UTP, along with other restaurants in the nearby area. Withthis website, students are able to select and order their meals earlier and the respectivecafeteria people that receive the orders will deliver the meals / food to the students'room.

The idea to come up with this system emerged after we realize this area in themarket which has yet to be served by any company or people. Students are sometimesbusy, especially during test and exam periods. During these periods, most students donot have the comfort to spend time to go out and eat. They prefer to pack food and eatat their own rooms while doing other things.

With this option of ordering food online and having the food delivered to yourdoorstep, students will grab this chance to order food online and save time. All theinformation regarding the food and cafe will be included in the website, so the studentwill be able to make an informed decision. Some of the major benefits that this systemwill deliver to both cafeterias and students include:

Cafeterias are able to better serve their customers, increasing their customers'satisfaction and loyalty.

Cafeterias will have higher safes as students now have the ability to order theirfood online.

Cafeterias are able to communicate to students in another channel (online)regarding their information of products, services and other promotions thatthey have.

Students are able to save their time which is precious especially during examweeks which can get very busy.

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Students need not walk or drive to somewhere to eat. Driving requires extraexpenses which they are able to save with this delivery service.

Stud~nts can make informed decision when they read about a cafeteriasproduct (food) and the information provided in the website. Any promotionsare able to be highlighted and be taken advantage by the students as well.

Basically, this website or system that we are designing fulfills a market needwhich has not been neglected by others so far. The ability to connect cafeterias andstudents online provides greater opportunity to both parties and they will be moresensitive to each other's services and needs .

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3.1 VisionUTP FOOD DELIVERY SYSTEM is designed to be a leading provider of on linefood ordering system for people who want to take food ordering process in anonline environment as well as minimizing the hassle of physical food orderingstructure. ('V'#~ #

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3.0 Mission and Strategies

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3.2 MissionUTP FOOD DELIVERY 'SYSTEM is an online food ordering system thatprovides the ease in ordering food for daily consumption in a campus for studentsto ensure the process become more effective and efficient and could be done fasterthan before. UTP FOOD DELIVERY SYSTEM aims to have 100% customersatisfaction by transferring the precise order and online updated information.

3.3 Objectives/Goals Become known as the main medium of food ordering incampus. To achieve profitability by the end of the year from transaction and

advertisement fees. To be able be the medium of all caterers I food provider inside campus andneighboring area . To provide a trusted services in assuring all the transactions are genuine for

both caterers and customers.

3.4 Key to successKeys to success for UTP FQOD DELIVERY SYSTEM are:

High Quality ContentThe page will be equipped with the up-dated information regarding all availablemenus in participating caterers / food providers to make sure all the potential usersget the latest menus and information regarding their interest.


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CommunityWe try to caters all student in the campus and give them the flexibility in choosingthe menus that they wanted without having to worry about the location of thecaterers. As long as the menu is available in the UTP FOOD DELIVERYSYSTEM, the customer can have it.

CredibilitySince the web sites being developed for the purposes of food ordering, theinformation available within the system need to be accurate in order to gain trustfrom the potential users. Accurate information will promote customer satisfactionwhich can expand the users' community.

ReputationAs being the pioneer in providing food ordering system, our company shall holdthe responsibility to set the benchmark of our services. Therefore, maintaininggood relationship between the business and the customers is vital to create a goodreputation which w in promote customers loyalty and increase the users of thesystem.

AdvertisementAs one of our revenue resources, we need to be a good platform of advertisementwhich will attract the customers to advertise within the system.

3.5 Strengths, Weaknesses, Opportunities and Threats .

Strengths: Offer various kinds of foods, ranging from Malay foods, Chinese foods,

Indianfoods, Western foods as well as fast-food menus. Being the first to offer centralized food ordering system, which will caters

every single need of foods within the community. A gateway for students to search for the availability of their favourite foods

within the area without having to go to the physical places.

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Updated information regarding the menus available and special offers. Comparison between the prices from one to the other food suppliers.

Weaknesses: Funding is limited for start-up. Being the first to supply this kind of services, itis a risk to be taken on the

acceptance of the system. Updates on the website will be based on the information given by the food

caterers / suppliers only. The page can't be updated without theinformation.

Limited target users, medium of effective marketing are limited.

Opportunities: Being the first one to provide this kind of services makes the system unique

and have to exact rivals. The needs of having efficient and effective food ordering system, which

can lessen the time taken in order to eat within the students communityresulted the needs of the system. The internet availability throughout the campus, which ease the process of

accessing the system through the net. Relationship between the students will create a good marketing medium, as

they will tell stories of their experience using the system.Threats:

Larger and better funded companies can easily duplicate the idea ofproviding the system.

Most students tend not to spend more on the daily food consumption. In any event of internet servers down within the campus, the system will be

isolated and cannot be accessed by the users.


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4 . 0 Products and ServicesBasically, UTP Food Delivery System (UFDS) that we have created acts as an

intermediary between cafeterias and students in University Technology ofPETRONAS (UTP). This portal will provide several services to help cafeterias servethe students in University. All the services will be explained in the foUowingparagraphs.

One of the services that provided by this portal is advertisement service. Thecafeterias' owners can promote their food through this system where all the usersaccess to it once they have logged in to the system. The advantages of this advertisingmethod are environmental friendly and cost saving, comparing to brochures andbanners. This will let the students aware with the latest promotion from cafeteriasbecause they will definitely see those promotions when they want to make order viathis portal.

Besides, this portal acts as an information platform to the students. Throughoutthis portal, students can know the varieties of food in the cafeterias and the prices.From there, they can make their decision on which food they want to order withouthave to go to the cafeterias. Moreover, this portal will be updated with some latestnotices about the cafeterias to get the students informed, such as the operation hours ofthe cafeterias, the menu of the day, the incoming events or activities and also companyprofiles of the cafeterias.

Apart from that, ordering and food delivery service is the most importantservice in UTP Food Delivery System. In this portal, students can browse through theportal and view the availability of food and its prices on that day. There, they canmake their orders through the portal just by selecting on their preferable foodaccording to the cafeteria and add them into order list. The orders made must be atleast one hour before expected delivery time. After the foods are prepared, thecafeteria representatives will deliver those ordered food to respective students.

Last but not least, UFDS also provide feedback feature to the users. In thisportal, students can give feedback to the cafeterias' owners by posting it in the

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comment box or replying to the website. There, they can voice out their opinions andcomments regarding the quality of food and services. The feedbacks from studentswill indirectly help the cafeterias to improve their weaknesses and provide betterservices in future. ~


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5.0 Revenue ResourcesAs the system is proposed to be the medium of food ordering, therefore the

system will provide revenue based on few key functions that will be provided within"the system. These key revenue resources are as follows: User registration

For users that want to use the system, they will need to register themselves to thesystem. These user registrations will be applicable to the food providers (e.g.caterers/cafe owners) inwhich will allow them to list their services in the system.They can list their menus and prices. Customers that wanted to use the system alsoneed to register themselves to enable them to use the system in which they need topay for their one time registration fees. This mechanism is put in place in order totrack the users that intentionally misused the system. This is to protect the integrityof the system.

Commission on every successful ordersThe system will also provide revenues by collecting commission from each saleconducted using it. An account for each food providers will be kept and used totrack the transaction made.

AdvertisementAs the target audience of the system will be mostly university students, the systemalso will be open to any organization that wanted to advertise for any events orservices that are available in which related for the students life. Theseadvertisement placements will be sold to anyone who is interested in buying it, inwhich helps other related educational or services organization to penetrate themarket of university students. This creates a win-win situation, as the system willgain profit through the advertisement sale and the purchaser will gain thepopularity for their products and services .


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6.0 Future Growth Opportunities6.1 Project Size:

I!

This business is expected to expand to include more choices from cafesand restaurants in the Tronoh area. The webpage system will expand as wen toinclude more information from all the new cafes and restaurants withadditional menus.

In the future, the business will also expand to other universities andprovide them the same services, food catering to rooms. Each university willhave their own choices of cafes and restaurants, thus the webpage will need tobe enhanced for customers to choose which university they are from to see thechoices of food available to them.

6.2 Project Profitability:The profit generated from this business is expected to increase by 100%

after the first 6 months, once more people become aware of this service. Whenthe business expands to include other universities, the profit will increase by150% to 200% .

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Marketing analysis is essential to identify the major competitors in themarket as well as exploring business opportunities in the scope of fooddelivering systems. It undertake a market assessment to identify the variouscustomer segments, the needs of the customer and the drivers of purchase,determine where and how product should be sold, also implement specificstrategies for how the product should be marketed to the customer.

7.0 Marketing Plan7.1 Marketing Anaiysis

Since this product is newly introduced in Universiti Teknologi Petronas(UTP), the competition for this product in the scope of UTP is almost small.This is because there are no systems that integrate all cafe in UTP as well asfood outside that allow UTP student to place order within a single click andwait for the delivery services corne to their front door. However there is oneminor competitor identified, which is Pizza Hut that is estimated around 20minutes from UTP and implements Pizza Hut Delivering System via phoneorder. Their successful key factor that satisfy customer was depending on themotto 'hot, fresh and fast' delivery systems. In focusing on their systems, whena customer calls Pizza Hut for a delivering service, an operator would answerthe call and entertain the customer. Next the operator will offer specialpromotions, place in the order to the systems, and inform customer on thedelivery time. The order is then placed via data transfer in the systems to thecaller's nearest Pizza Hut and lastly, the local Pizza Hut will process the orderand deliver the food to the customers. When delivering the order, they stillfocus on the qualityof the pizza by putting the pizza in a thermal container thatprevent the heat go outside and to make sure the food is still hot and fresh, aswell as to be delivered in a short period of time.

In reaching the target market with the scope of UTP students, Pizza Hutalways doing promotions and discounts on the food that they offer. They alsoparticipated in the event organized by UTP in order to promote their brand tothe UTP students and to increase their market share. In order to compete withPizza Hut, UTP Food Delivering Service should focus on the aspect quality of

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food provided, speed of delivery and company efficiency to win the marketshare and to develop customer loyalty towards the website.

7.2 Market Size and Trend How large is the market?

The market is focusing on a total of 5000 Universiti Teknologi Petronasstudent from foundation, undergraduates' studies until postgraduates studies.From these 5000 students, there are different race such as Malay, Chinese,Indian, together with international students from Vietnam, Thailand,Turkmenistan, Sudan, and many more. Since this entire student has differenttype and food preference according to their culture, there will be a diverserange of choices and variety of food required. So UTP Food DeliveringServices take this opportunity to combine all cafeteria in UTP that offer varietysuch as Malay food, Western food, Chinese food, Thai food and many more, inaddition with the service for food outside UTP so that it could satisfy the needof getting nutritious and delicious food for a healthy human being.

Is it growing or shrinking? How fast?The market size is growing as the implementation of the website reach

maturity stage. At first on the market introduction stage, sales volumes arequite slow, the revenue generated almost small and the demand has to becreated. Customer also has to be prompted to try the product. However, afterbombastic promotion and customer start to gain trust from this UTP FoodDelivering Systems, it will reach growth stage where sales volumes increasesignificantly and market size is growing. Public awareness also increasesbecause everyone will inform each other to try this newly implemented servicethus leads to the rising profitability for the company.

Next the implementation of UTP Food Delivering Systems will reachMaturity Stage where sales volumes peaks and market saturation is reached.After quite a long time, this website will become familiar to students and it will


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more than 3t imes.2times.1time never

lead to Saturation and Decline Stage. lfthe company pays less attention to this,it will lead to the diminishing profitability. So in order to avoid that, companymust understand customer decision process model, saying that post purchaseactivity is as important as pre purchase and purchase activity. So it is importantto maintain food quality and services provided to create customer satisfactionto the company. Any additional bonus/ package offer also could create loyaltyto induce customer to return to the UTP Food Delivering Service website in the .future.

7.3 Survey ResultFrom the survey done to 70 students in UTP, here is the analysis

derived from the potential customer behavior and preferences.Percentage of time students eat in UTPper day

Figure 1: Percentage of time students eat in UTP per day

With reference to the Figure 1.0 above, there are 12.86 % students eat 3times in UTP per day, 35.71% students eat 2 times, 42.86 % students eat 1time and 8.57% never eat in UTP. From this figure, we can see that near half ofstudent tend to eat in UTP and other time in outside UTP. So every day,customer face the choice whether to eat inside UTP or to eat in the stall outsideUTP and they has low switching cost between cafeteria inside UTP or outsideUTP.

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Num ber of 'take aw ay' food per day

more than3 times 2 t imes.1time never

Figure 2: Number of 'take away' food per dayWith reference to the Figure 2.0 above, there are 7.14 % students take

away 3 times in UTP per day, 27.14% students do 2 times, 50 % student do 1time and 15.71% never do that. From this figure, we can see that student willtake away once per day especially for dinner, probably due to othercommitment such as meeting, group discussion and etc. 'Take away' food isquite normal for UTP student and our company should focus more on thisgroup as they are our main potential customer.

Overall satisfaction rating with cafeteria in UTP

Very satisfied

I1

OVerall satisfaction ratingwith cafeteria in UTP

Very Dissatisfied

Somewhat DissatisfiedNeither satisfied nor

dissatisfiedSomewhat Satisfied

O.00%10.~O.OOOfiO.~.00%

Figure 3: Overall satisfaction rating with cafeteria in UTP

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Foodis The The Thefoodserved menu qualityof is tastyhot and hasa food is andfresh good excellent flavorful

variety ofitems

stronglyAgree SomewhatAgree Neutral SomewhatDisagree StronglyDisagree

45%40%35%30%25%20%15%10%5%0%

;l---, - - - - --..,-;-- ~.r- -- ~-~..- 0 : - --.r:::; ;;>i i

Figure 4: Quality for the food provided in UTP

With reference to the Figure 3.0 and Figure 4.0 above, student suggestthat the food provided is satisfying and they are neutral about the quality offoods provided. In order to create customer satisfaction to this website, thecompany has to monitor the quality of food provided. Steps has be taken tomake sure food is delivered to customer in a hot and fresh condition, taken theexample of PizzaHut delivery that have thermal container that place the foodinside itso that food always hot and fresh during the delivering process. Besidethe selection of menu in the website has to have a good variety of items, thequality of food provided is excellent, tasty and flavorful, the deliveringservices also have to be in a short period of time to make sure customersatisfied with the services provided.

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Y e s.No Other

Cus tome r A cc ep ta nc e Surv ey fo r U TP Food Deliv eryService

Figure 5: Customer Acceptance Survey for UTP Food Delivery Service

Based on the Figure 5.0 above, 80% respondents agreed that theywould accept UTP Food Delivery Service if the service implemented and theywilling to pay delivery charge RM0.50 for the food inside UTP and RMl.50delivery charge for the food outside UTP. This is because they realize the corebenefit for this website is to provide convenience for student to have anintegrated selection of foods inside and outside UTP that could be delivered atthe student's front door. Since student have a busy schedule everyday inaddition with test, research and assignment, the implement of this system couldbring ease to the student and they can spend their valuable time doing focusingon their priority line. However there are 4.29% respondent suggest that theyare willing to have food delivery services for food outside UTP only becausethey are not really satisfied with the quality of UTP food.

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10.0mb Type of food UTPStudentslike

T yp e o ffo od U TP S tu de nts l i k . e

20.007615.0mb

5.00%0.00%

Western Malay Chinese Fast MamakFood Food Food Food Food

Figure 6: Type offoods UTP Students like

Based on the Figure 6.0, 21.91% of the respondents prefer to haveWestern Food as their main course, l~espondents prefer Chinese Food,25.84% respondents prefer Malay Food, 21.35% respondents prefer Fast Food,and 15.73% respondents prefer Mamak Food. From this survey, it is importantto have a diverse range and selection of food so that it could attract lot ofcustomer because everyone has different and unique food choices.

7.4 Marketing Mix Product

Main product of this UTP Online Food Ordering Systems is food. Thiscompany will provide food delivering services to UTP student according to thefood ordered via the website. The website integrates food for all villages insideUTP and food outside such as KFC, Mamak, Western, and Malay food. Allcafe will promote their menu in the website and the income generated from thiswebsite is through delivering charges paid by customer, as well asadvertisement fees for those who like to promote their product/event in thewebsite

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PriceThe price that customer need to pay is the food price offered together

with the delivery charges. The subscription fees are charged to the cafe whosell in this website. For the companies that are interested to put advertisementsuch as banner ads and sponsorship in this website, they need to pay for theadvertising expenses so that they will enjoy widespread promotion to the UTPstudents.

PlaceAs an online business that is focusing on UTP Students, our product is

basically available online. Thus we will link this website under the UTPHomepage which is the official website of Universiti Teknologi Petronas(www.utp.edu.my) under the Residential College tab and under E-Iearning(http://elearning.utp.edu.my/) under Important URL so that it reach wide rangeof customers, enjoy the widespread link and easily accessible .

PromotionWe will advertise our product in banner put in a strategic location in

UTP so that student could notify it. We will also open our booth in the eventsconducted in UTP so that pamphlets and flyers could be distributed amongstudents. For the online promotion we will be sending email to UTP student onthe implementation of this website that could in a way benefit them. BannerAds, Email, blogging and social media also will be used to as a fundamentalway to promote this website.

7.5 Customer Profile

Subscription Section Students in Universiti Teknologi Petronas who would like to purchase food

via online and want the food to be delivered at their respective apartment. Staff in Universiti Teknologi Petronas who want to do the same but to be

delivered at their respective office. Any event that would like to order from this cafeteria involved.


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Chinese Food in UTP

Western Food such as Western v3, Western v5.

Fast Food such as Kentucky Fried Chicken (KFC).

7.7 Strategies for reaching or exceeding your targeted sales level Banner Ads and link in the UTP Official Website, UTP Campus Bulletin,

Elearning that has highly accessible by potential customer.

Email, blogging and social media. For doing promotion, the company willemail UTP student to drive potential customers to the site, increaseconversion rate from 'looker' to buyer and increase the market share. Thisis an attractive marketing vehicle because it has low production cost andsimple.


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8 . 1

8.0 Operations Plan

8 . 3

LocationAs this business will concentrate on UTP customers, the initial place to

locate the shop would be at Village 3, occupying a small section of thecafeteria. It will be easier to manage our customers that way as we will benearer to them. We will not need a big space to operate, as our business ismainly to gather orders through internet and distribute these orders using thesystem to the appropriate cafe's or restaurants. As the business expands, wemight need to move to a bigger location in Taman Maju as there will be moreand more restaurants in the surrounding area that would want to be included inour list. So we will need a more public location for these restaurants to contactand fmd us.

8 . 2 General Operating HoursSince we are in the food business, we would be operating between 7am

to 12am. However, certain cafes or shops will close earlier, or open later, thuswe will need to specify the time limit on these cafes and remind students not toorder food from these cafes after a certain period. Students will also need toorder at least one hour before the delivery time.Human Resource

Our business requires certain amount of manual labor for us to take anddeliver the food to students that order the food from outside of UTP. We willneed a manager to handle the whole business, a secretary to help him manageit, as well three delivery boys to handle the delivery of food from outside ofUTP. Cafes in UTP will have to send the food themselves to the students' roomto participate in our business. If they need help from us, we will be chargingthem extra. Based on the number of cafes that want our help to deliver thefood, we might need to increase the delivery boys to four or five to cope withthe deliveries.

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UTP Food Delivery System will be based on UTP initially. We willneed to rent a space within UTP and it will be converted to become our office.We will have a computer, fax machine, printer, scanner and also telephone tobegin our operations.

8.4 OfficeRequirementsandAsset Acquisition.

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.9.0 Management & Administration

9.1 Company OwnershipThis company will be owned together by Mr. Jason Anderson

Raj, Mr. Chong Jia Haur, Ms. Siti Nur Farhana Md Yusof, and Mr.Muhammad Izzam Kayat. Each of them will have be a shareholder of25% each. However, each of the them will have a different role to playin the organization, which will be spelled out later in this section.

Decision Making: The major decision making will be done afterreaching consensus among each of the stakeholder. If there is noconsensus being made, then there will be a vote. In case of a votecoming to 50% - 50%, the Managing Director will be given theauthority to decide on the course of action.

9.2 Managerial Style

Record Keeping: Record keeping for the business will be done by theDirector of Finance. An electronic system will be used to keep all theserecords and the person will be in charge or managing it and to update.the Managing Director of any possible losses or gains.Communications: Communication within the company will mostly bedone orally or through e-mails and phone messaging. Anycommunication that is wished to be made in block and white will bedone through a letter which will be signed by the person that intends toconvey it.

IT Administration: For Information Technology (IT) matters, therewill be a person in charge to take care of the system and to ensure thatthe system is able to cater to the request load. Any changes to thesystem will be recommended by this person to ensure that the systemwill be a reliable and efficient one.

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9.3 ManagementIn the initial phase when the company is started up, there will be

6 people in the company, which are the 4 shareholders and another 2workers. The company will begin as a private limited company toensure that losses are limited in case of bankruptcy. The four majorroles will the Managing Director, Director of Finance, Director ofMarketing and Director of Information Technology.

The Managing Director (MD) will be responsible for overseeingthe whole operation and is the person that will make most of thedecisions in the company. The MD will ensure that the operations of thebusiness run smoothly and that the bottom line of the company at theend of the day is high profit. The MD will ensure that the vision andmission of the company is pursued and successfully accomplishobjectives that will be set. The Business Plan of the company will bereviewed periodically by the MD to ensure that it is still applicable tothe current situation and make changes to it if there needs to bemodification to ensure the improvement of the business.

The Director of Finance will be responsible to take care of allthe fmancial records and accounting of the company. These records willbe compiled and sent to the MD periodically. He or she will also ensurethat all taxes are being paid and that the business complies with all thelaws and regulation related to the finance section.

Director of Information Technology (IT) will be the one thatmaintains the system as well as all the hardware requirements of thesystem. The scope of this job will include programming, maintenanceof the website (system), and maintenance of all the hardware includingthe Computer, Scanner, Printer, and Fax machine.

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Director of Marketing has an important job to ensure that ourcustomers, both the cafeterias and also the students of UTP are aware ofour services. Then, he or she will need to promote the benefits of usingour services to the students as well as to attract more cafeterias to join


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9.4 AdministrationInitially, the administration of the company will be handled by

all four of the shareholders, with each of them taking care of their ownsection based on their roles and specialization in the company. TheManaging Director will have more responsibility to overlook andmonitor the progress of each department as well.

Administrator Administrative Task

Director of Finance Accounting and Inventory

Director of Finance Payroll and Taxes

Director of Marketing Link Building

Director of Marketing Advertisement

Director of Marketing Promotions

Director of Information Web Page DevelopmentsTechnologyDirector of Information System MaintenanceTechnologyDirector of Information Web Server MaintenanceTechnologyManaging Director Day to Day Operations

Figure 8: Administrative Responsibilities.


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This financial plan provides the approximate figures that we expect to receivewhen we start this business. The success of this business is determined by its ability tooffer efficient service to the customer as well as the reliability of our system inproviding accurate data and updated online. These elements will attract morecustomers to use the system which will results more services fees collected, as well asthe substantial advertising revenue.

10.0 Financial Plan

10.1 Projected cash flowThe projected cash flow is based on the assumption that the amount of

users that will use the system will be around 50 users per day, which willincrease by 10 percent every month. The average service fees collected will bearound RM 1.00 per user which is averaged by the various type of servicesprovided within the system. For organizations that interested to doadvertisement within the online portal, they will be charged RM 50 per monthfor each advertisement slot. We estimate that 5 organizations will be interestedto use the system to advertise their products or services.

Item Category One time cost (RM)Business Incorporation Legal 1,000InternetI>omain Marketing 200Corporate Seal Legal 200Web Hosting Operational 180Computers IT 3,000Accounting System Operational 700Other Miscellaneous 1,000Total 6,280

10.2 Start-up operating budgets

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One year projection:12 month operational income

RM 64152+ RM48000Total RM 112152

According to the projection, we estimate the business will return profit within the firstyear of operational. Therefore the business shall return profit as they approach thesecond year of operational and continue increasing.Amount needed to start business:Start-up budget RM 628012 month operational budget RM 100800Total Funding RM 107080

Funding requirements:We need RM 107080 to start up the business.


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business plan - food

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