Business case

Exective Sumamry

Current business plan is to develop physiotherapy clinic that comprises of 10 employees. There is significant growth in physiotherapy clinics due to increased awareness in health and fitness. Therefore, it is assumed that business will succeed. It is assumed as a successful business due to increased interest in health and fitness awareness among people. It is a rapidly growing profession and through census of labor it is found that this area grew rapidly. Industry annual growth is found to be 4.5%.

Objectives of proposed bsiness include selling on average of 20 services per day with average price of $ 150 for its first quarter,and increasing its sales by 5 percent in each quarter. In the first quarter business will generate revenues of $ 180,000 by selling 1,200 numbers of therapies with an average price of $ 150. In second quarter, expected revenues will increase by 5% as total number of therapies done by the clinic will also be increased and expected revenues in second quarter will be $ 189,000. Sales revenues will be increased in 3rd quarter as well with 5% increment to the sales of quarter 2 and sales revenues estimated will be $ 198,450. Sales of 4th quarter increases by 5% percent of 3rd quarter and will be $ 208,373.

The decreased sales budget of the clinic is 10 percent less in all aspects. It shows estimated sales of $ 162,000 in quarter 1, $ 170,100 in quarter 2, $ 178,605 in quarter 3 and $ 187,535 in quarter 4. These sales estimates are 10% lower than the optimal budget figures.

After preparing budgeted income statement, the optimal budgeted income statement generates profit of $ 59,745. On the other hand, budgeted income statement with decreased revenues and increased expenses by 10% generates annual income of $ 1,282. This shows that with minimum change the profitability of the business is changed dramatically. However, overall the business is found to be successful.

Introduction

Current business plan is to develop physiotherapy clinic that comprises of 10 employees. There is significant growth in physiotherapy clinics due to increased awareness in health and fitness. Therefore, it is assumed that business will succeed. Also, its budgeting will also be done to ensure the effectiveness of the business case.

The Case for Change

Current business plan proposes to develop a physical therapy clinic on small scale. A physical therapy business is referred to the profession of healthcare that is mainly associated with remediation of disabilities and impairment and improvement in mobility, quality of life, functional ability and potential of movement with examination, diagnosis, physical intervention and evaluation that is done by physical therapist (which are also known as physiotherapist in various regions of world) and assistant physical therapist.

Service Needs: It is assumed as a successful business due to increased interest in health and fitness awareness among people. It is a rapidly growing profession and through census of labor it is found that this area grew rapidly. Industry annual growth is found to be ...