BUSINESS PLAN

Business Plan

Business Plan

Introduction

The study is related to the setting up a new business which intends to offer training courses in Internet Marketing whose target market will be the owner of small businesses. In order to analyze the feasibility of new business, in the situation where there are other lines of manager has to assess a part of costs which is involved in the training courses for the Internet Marketing which particularly include the market, competition, segmentation, process, marketing strategy and marketing and all costs associated with training courses, marketing, logistics and storage, etc are analyze to see the capacity, demand, selling price of the training courses in relation to other services in the same segment of the competition. A feasibility plan is a document that allows entrepreneur to assess the profitability of the business. To do this, we will analyze both the investments and expenses that the business will result as revenues that are expected to obtain.

Discussion

The business wanted to offer training courses in Internet Marketing to the owner operators of small businesses so that the owners of small business use their website for the marketing which will help them in the marketing plan. Overall demand for training courses of Internet Marketing is closely linked to the population growth.

To finance business, being an analyst I will be looking for entire factors that influence the demand an 'environmentally-friendly' product of this kind. Technology & Systems, companies in the Industry such as in the industry of training courses in Internet Marketing, services range from high volume types growing environmental concerns have caused change in training courses in Internet Marketing.

The following is the estimation provided by the business for their training courses in Internet Marketing;

Training Price

390

No. of person trained

700

No of Work shops

10

Variable cost

workshops expense

4000

advertising costs

4000

Travelling expense

250

liability insurance expense

1000

bedroom expense

2600

Rent exp

0

catering costs

14000

Total variable cost

25850

Fixed cost

200

Total cost

26050

Variable cost per unit

36.929

Break Even Point

Fixed Costs / (selling price - variable costs)

Break Even Point

200 / (390- 36.9)

Break Even Point

0.566

Break Even Analysis of New Product

The point at which business income received is equal to total costs associated with the sale of a product (TR = TC) is 0.566. This analysis is based on the training courses in Internet Marketing business of total costs incurred by the business for fixed costs independent of the volume of production and variable dependent on cost of production. The breakeven analysis adopts for business simplifying assumptions as to the level of prices and costs in the period of calculation.

The breakeven cost that determined for business is quantitatively the amount of production at which the BEP is equal to zero or value, the value of production at which the BEP is equal to zero.

This way of representing the cost volume profit allows to evaluate the impact on profits is any movement or change in costs, sales volume and prices. The equilibrium point shows how the changes in revenues or costs for selling different levels of impact on the company, generating profits or losses. The horizontal axis represents unit sales, and the ...