Business Plan

Entrepreneurship
Submitted To Sir.Fakhr-e-Alam
Submitted by: Adnan Rais Khan #oi$ #ustu%a [ !" [ !" #uhmmad Ai$a$ &llah Khan [ !" #uhmmad Ali Khi$er Bin Saad [ !" [ !"

'lass: BS ( )* #ornin+ ,ate o% Submission: -.th /0tober !1-2

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Acknowledgment
A33 praise to Almi+hty A33A4, our creator who bestowed on us the meaning of life, and helped us in all possible ways and gave us strength to complete this report in the given allotment of time. We would like to dedicate this report to our parents with greatest gratitude whose love and prayers have always been a source of strength for us. We would like to take this opportunity and convey our sincere gratitude towards our mentor and coach instructor Sir.Fakhr-e-Alam for his effort to give his proper guidance and advice throughout the duration of our business plan. Ultimately, special thanks to our group members for their full co-operation and sacrifice their time to implement the ob. We feel grateful that with their spirit of co-operation and dedication our pro ect can be completed within this period. !evertheless, we are deeply indebted to our seniors for their encouragement, lending hands and support which produces more efforts to finish our report successfully without any delay during the progress of the pro ect. Furthermore, we are most impressed with their attitude of willingness to share their own ideas and e"periences at any time. #his made us gain a lot of knowledge from this course and it had deeply enhanced our understanding about Entrepreneurship and gave us more e"posure to the real world of business.

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$"ecutive Summary
%ultiline #e"tilien, established as a partnership, is a clothing and apparel business with &ead office located in 'am-'ama (ommercial area, )arachi, *akistan and second principal office located in Schillerstra+e, Frankfurt, ,ermany. #he company sells home apparel, such as casual and towel, bed sheets, comforter, pillow cover, cover lets, mattress cover, bathrobe in ,ermany. %ultiline #e"tilien has recently started its operations in Frankfurt, ,ermany. #he company is dedicated to providing the highest -uality workmanship, meeting the agreed delivery dates, and e"ecuting the custom work e"actly in accordance with the market re-uirements. #he focus of this business plan is to identify its future target clients, e"plain its marketing strategy, and to improve its internal procedures so it can substantially increase profitability. The 'ompany %ultiline #e"tilien is registered in )arachi, *akistan. #he ma or share of the company.s production comprises of home apparel te"tile. #he total market for home apparel, which the company target is appro"imately /012,222 for its first fiscal year. #he company is a partnership and started its operations in 34th 5ctober, 4230. #he founding members of this firm are6 Adnan 7ais )han, )hi8er 9in Saad, %uhammad Ai8a8 Ullah )han, %uhammad Ali and %oi8 %ustafa. The Produ0ts %ultiline #e"tilien provides intermediary services in the distribution of high -uality towel, bed sheets, comforter, pillow cover, cover lets, mattress cover, bathrobe, etc. #he firm could be considered as a main e"porter of drapery in ,ermany. The #arket #he population residing in close pro"imity to %ultiline #e"tilien distribution office in Frankfurt is estimated at :;3,13<. 7oughly, this would mean that this area comprises a total home apparel market in e"cess of /0.4 million annually. #he firm e"pectation to grab share of this nearby market is appro"imately 32= by its first fiscal year. #he company is in the process of e"ploring potential clients and opportunities in the ,erman market. Firm>s current market strategies will improve profitability levels since the %ultiline>s products hold.

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Prospe0ti5e Finan0ial Summary

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9usiness ?escription
'ompany 3o0ation and Fa0ility
%ultiline te"tilien is a service oriented te"tile e"porter in $urope. With the office located in main 'am 'ama @ane A near 'am'ama *ark with one of our office is located in ,ermany in Frankfurt. 5ur Ware house for holding Stocks is in )orangi, )arachi. We are offering competitive prices with high -uality home apparels. 5ur main ob ective is to e"port high -uality te"tiles of all kind at a price that is globally competitive while remaining responsible corporate citi8en globally and socially responsible. We provide e-booking facility. We cover all phases of apparels buying and distribution and are full vertically integrated, covering each stage of our supply chain from buying of te"tiles and other home apparels to sell to the end consumers-from the warehouse, all the way to $uropean buyers. 5ur business is e-ually divided in 1 partners, and being led by different departmental heads.

Produ0t and Ser5i0e ,es0ription

5ur business offers the following products.

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6ersey: 7e o%%er best 8uality 9ersey bed sheet :hi0h are in demand in European market 'otton: 7e pro5ide 0otton bed sheet %rom :ell reno:ned manu%a0turer in Pakistan.
#attress 'o5ers 'o5erlets

Bed sheet

'om%orter

'otton 0om%orter: 7e o%%er best 8uality 0om%orter %rom best manu%a0turer in Pakistan Syntheti0: 7e are the ma9or e;porter o% syntheti0 made 0om%orter %rom Pakistan

Pillo: 'o5er

'otton: 7e buy top 8uality 0otton 0o5ers di%%erent suppliers o% Asia.

%rom

,e0orati5e Pillo:: Se5eral di%%erent de0orati5e pillo: 0o5ers o% European desi+ns are o%%ered to our 0ustomers.

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Turkish 'otton To:el: <ro:in+ e;0lusi5ely amon+ Turkish 0ommunity in <ermany= it is a premium 0otton %eaturin+ an e;tra-lon+ staple. This lon+ staple 0rates a to:el :ith a hi+h le5el o% 0om%ort= absorben0y and durability. #i0ro0otton: A trademark %or a hi+h-8uality= lon+staple 0otton %iber de5eloped in Pakistan. *ts so%t and plush %ibers 0reate a %lu%%y to:el :ith a suede- like te;ture and e;0ellent absorben0y. Pima >or trademarked Supima? 0otton o%ten +ro:n in the :arm= dry 0limate o% the &nited States. Pima 0otton is knon %or its ri0h= E;tra-kin+ staple %ibers pri$ed %or their stren+th and absorben0y. Pima is 0onsidered to be a superior blend o% 0otton.

To:els

Hooded Bath Robes: e;tra-lar+e hood %or the ultimate in :armth double belt loops %or ad9ustable belt hei+ht +enerous po0kets han+er loop %or easy stora+e Knit 7a%%le Bathrobe 2.@ %eather-so%t modal %ibers double belt loops %or ad9ustable belt hei+ht +enerous po0kets han+er loop %or easy stora+e sel%0olor pipin+ around 0u%%s and %ront 0o$y roll-up 0ollar and 0u%%s >sha:l 0ollar only?

Bath Robes

Industry Background
#e"tile industry means which produces all types of fabrics, yarns, combs, boffins etc.. it also includes all ready made garments, blankets Bwoollen C acrylicD. *akistan is leading country of cotton and wollen fabrics, and cotton durries. #he te"tile industry is one of the most important sectors of *akistan. Et contributes significantly to the country>s ,?*, e"ports as well as employment. Et is, in fact, the backbone of the *akistani economy.#o start a te"tile business a huge amount is re-uired and it is around 3 - 4.1 crores of rupees.After the issue of capital is settled second comes the problem of land and machines. When we select a location for our business we need to have certain things in our mind like the location should be best suited to the business and environment.

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#hen we have to register that location so that we will not be facing any problem regarding its ownership and authori8ation. After we have settled all the above issues we have to decide the channels from where would we importfinished products and through which we would distribute finished goods. We are importing raw materials for the woolen, acrylic blankets , knitted garments from different te"tile manufacturers of *akistan and 9angladesh and #he raw cotton from south Africa. As presently they are the largest producers in there respective field. #he govt of *akistan is also helping us to establish our business by giving us incentives by way of establishing special economic 8ones where we can establish our own unit. Under special economic 8one the rate of land is very concessional on monthly basis. 5ur %ost of the inferior unit is situated at )arachi. So in my opinion the te"tile industry is the best sector which provides obs to unskilled labores and profits to the owner of the unit. #o set up a business we have to apply to the commerce ministry for license, the application will be made on the payment of fees prescribed by the government of *akistan.

<oals and Potentials o% the Business

/&R </A3:
#he ,oal of %ultiline #e"tilien is to provide fine home apparels in a $uropean %arket. And to have a bountiful, successful company that is a leader in customer service and that has a loyal customer following. %ultiline #e"tlinen. management recogni8es that the company must establish concrete goals that assist management in determining whether or not the company is achieving corporate ob ectives. (hance of implementing those goals depends upon management.s ability to track progress toward goals and to measure results in con unction with those goals. #o ensure implementation of the company.s goals, management has established the following corporate ob ectivesF B&S*AESS /B6E'T*)ES #o change the e"isting trends related to home Apparels e"ports. #o primarily focus over the customer satisfaction. to provide -uality products plus customer satisfaction to our clients. #o offer superior, fast and friendly delivery to customers.
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#o become established as a leading te"tile e"porter at all times.

F*AAA'*A3 /B6E'T*)ES Securing start-up funding and subse-uent funding through a combination of investment and debt strategies. $stablishing marketing and sales initiatives to e"pand the company.s clothing line and capture 32= of the branded &ome apparel industry. 9ased upon market growth pro ections, generating very healthy sales revenues in Gears 3, 4 and 0. 7einvesting corporate profits for market share growth in the international apparel Endustry. #ARKET*A< /B6E'T*)ES #o maintain strong marketing efforts through advertising and sales promotion. 9uild the client database by 31= each year. Encrease the efficiency of the marketing campaign by 1= each -uarter. ,enerate a 02= increase in click-through traffic for the website. (reate brand recognition.

)ision B #ission Statement

#ission
#he mission of multi-line te"titien is to introduce new home apparels into ,ermany, Swit8erland and Austria. %ulti-line #e"tilein is devoted to achieve consistent improvement in the system of providing products H services to the customers through 5n #ime ?elivery H $nhancing (ustomers Satisfaction by means of Iuality and Jalue.K

)ision

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#o reconstruct the te"tile industry of *akistan and gain a reputable market share in te"tile industry of $uropean market. 5ur stringent commitment to ,lobal standards of Iuality should be seen us grow gradually, to create a niche of our own, in the highly competitive world markets. K#o attain market leadership through unmatched -uality, a diverse and uni-ue product mi", world-class systems, and the highest ethical and professional standards.K

&ni8ueness o% Produ0ts and Ser5i0e

%ulti-line te"tilien products arrangement will be original work of art. #he company is committed to making each arrangement uni-ue and custom based on each customer.s needs. All sample arrangements in the store will be available for purchase. We will select and offer distinctive vases for the discretionary buyer or for a special occasion, as well as affordable options for routine purchases. %ulti-line te"tilien provide -uality products and serves with close relation with suppliers, designing skills, provides a range of premium, e"clusive and uni-ue te"tile services to the clients.

'ontribution to E;porters
According to recent figures, the *akistan te"tile industry contributes more than :2= to the country>s total e"ports, which amounts to around 1.4 billion US dollars. #he industry contributes around A:= to the total output produced in the country. En Asia, *akistan is the <th largest e"porter of te"tile products. (ontribution to ,?* and $mployment #he contribution of this industry to the total ,?* is <.1=. Et provides employment to 0<= of the work force in the country, which amounts to a figure of 31 million. &owever, the proportion of skilled labor is very less as compared to that of unskilled labor.

'ustomer pro%ile:
#he following are groups or segments of potential customersF (orporate business #e"tile houses ?epartmental stores. 9randed stores
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S7/T Analysis:
%ultiline te"tilien is uni-uely positioned to combine the Asian and $uropean te"tiles and bring the best of both worlds to its customers. #hrough our e"tensive market research, competitive analysis and customer surveys we have compiled the list of our strengths and weaknesses and identified potential opportunities and threats to the business. #he table below provides summary of SW5# analysis.

Stren+th
-. Ra: #aterial Base *akistan has high self sufficiency in raw material and is the fourth largest producer of cotton. Abundant use of cotton resources has made the #e"tile industry of *akistan move towards the area of industriali8ation. #herefore we can buy products on lower price to e"port it to generate high profits from $uropean markets. !. 3abor (heap labor has always been the backbone of the economy of *akistan. (heap and ample supply of labor strengthens the industrial and agriculture sector of the country. Around 0;= of the labor force works in the te"tile sector. As )arl %ar" said, that we have to use the Larmy of laborM present in the country for productive means. #hus cheap and abundant labor means low cost of production. . Ri0h 4erita+e ?ue to cultural diversity and rich heritage, designers come up with new different and attractive designs which are appreciated worldwide. Also we are also influenced by the Endian culture through the media e"posure. #his varied culture and fusion among these two neighbors gives inspiration to the designers to give their best in terms of styles, creativity and fashion. 2. *nternational Buyer #arket #he recent increase in the demand of te"tile *roducts in ,ermany from *akistan , ?ue to cheap labor and handling cost, increased international demand. #his means more factories more manufacturing units, more supply and more labor.

7eaknesses
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-. 4i+h 'ompetition ?ue to large number of te"tile suppliers from all over the world there is a high competition and one -uote cheap and competitive prices.

!. ,e5elop *ma+e in European #arket ?ue to very high competition it is very difficult to ad ust in $uropean te"tile industry.

Poor *n%rastru0ture #he important resources and infrastructure, such as efficient logistics and transportation, ta" structure, raw material supply are all basic re-uirements for the development of an industrial base. &owever, on the other hand, the industry is faced with rising charges of the energy sector, which increases the cost of production, making it difficult to compete with the other regional rivals.

2. &nstable Politi0al Situation *olitical unrest, strikes and terrorism have critically affected the economy of *akistan. Fre-uent changing of the government has adversely maligned the policies of the te"tile sector. According to the World #rade 7eview *akistan has failed to take necessary steps needed to meet post %ulti-Fiber Agreement B%FAD challenges for its te"tile industry owing to lack of political will by the successive governments.

.. System /rientation and Supply 'hain !owadays, customers are very systematic in their work and they e"pect the same professionalism from their vendors. Unfortunately, we lack this capability and are not competent to struggle in the international business, thus losing many opportunities.

5n the other hand supply chain management is rarely implemented. We are disorgani8ed, disconnected and distorted. #ime management is very much important aspect in the business and buyers e"pect on time delivery to match the retail launch of the SpringC Summer or AutumnCWinter seasonal collections on time . ?elayed delivery of e"port
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orders result increase in cost due to fines by the buyers and at times losing business altogether due to the breach the order contract.

/pportunities
-. Pakistan Te;tile 'ity *akistan #e"tile (ity in *ort Iasim, )arachi with an area of 3412 acres, will be completed in 4233 as a private public sector oint venture. #he main purpose of the te"tile city is to provide the te"tile industry with the world class infrastructure to meet the global competitiveness and challenges and as to provide value added te"tile industrial 8one.

!. #arketin+ #argeting the une"plored e"port markets with the help of aggressive sales and marketing will pave the way for the te"tile growth. Et>s all about hunting your opportunities with the handful of colorful lollipops. Ef we make investment in our sales force and train them in the fine art of marketing te"tile products, we can capture a much bigger market share from other smaller competitors.

. 'ollaboration :ith %orei+n 0ompanies 9y working partners with the foreign companies, we will be able to learn a lot from them in terms system orientation and supply chain. We can also reduce our costs, comply with the international standards, add value to our services, easiness in marketing our retail services in different ,erman speaking regions. , and thus catching up with our regional competitors.

2. *ma+e buildin+ o% Pakistan to attra0t F,* Security measures should be taken to facilitate the buyers and investors to visit *akistan for buying. Secure business environment must be needed to attract golden sparrows to facilitate business dealings and building positive image of *akistan that they can rely upon.

.. Redu0in+ the 0ost o% business.

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(hina and Endia are much cheaper in labor, raw material and utilities as compared with *akistan. 7ising inflation also increase the cost of production. We have to control these unnecessary costs if we have to survive in the middle of the two giants of the te"tile sector in the world.

Threats
-. Ae: 0ompetitors *akistan is facing new competitors in te"tile sector such as 9angladesh, Jietnam and #urkey. #hough we cannot avoid competition but we can always stay ahead of them by reforming our strategies and educating our entrepreneurs so as to move one step forward in every aspect.

!. Phasin+ out o% 8uota system As the -uota system is ruled out by W#5, there is a threat by the (hinese and Endian manufacturers to gain most of the market share. We have high costs, low labor productivity and inefficient production processes.

. Fashion li%e 0y0le Fashion changes day by day these days. %edia has so much penetrated in our daily lives that we easily adapt ourselves as it wants us to. #his has resulted in shortening the fashion lifecycle thus increasing the fashion risk. !ow the buyer does not want to wait long for his consignment because he is insecure that by the time it will reach to him he will lost its demand due to change in fashion. #herefore, they prefer to buy from neighboring countries even at higher cost to get their products instantly rather than to wait weeks or months for their consignments to reach them.

'on0lusion
#e"tile industry is the backbone of the *akistan>s economy. We have to seriously analy8e its strengths and weakness so as to make the te"tile industry more competent among its rivals. What we really need here is to work out the plan and to implement it accordingly and although much work has to be done by Page 15

,overnment of *akistan, it also the responsibility of the entrepreneurs to cooperate and foresee the challenges and opportunities ahead. We can always win the race as it is never too late to safeguard and grow this vital and promising sector of our economy.

'ompetition
Following are the competitors already have entered in to ,erman te"tile market to provide their low cost services.

Competitor ame
A%ro$e Te;tile 4ite; <roup 4uma te;tiles 4/&SE STC3E FAS4*/A-B!B A)A3/A TEDT*3E 4/#E )aibha5 /5erseas

Country

ame

Core Product
Beddin+= pillo:s= bed spreads= +arments Bed linen B to:els Bed linen= +arments Bed sheets B pillo:s Pillo:s=to:els=bedsheets Bed linen= 0o5erlets= to:els= blankets= pillo:s= mattress 0o5ers= table0loths To:els=blanket=ru+s=0arpets= bath mats

Pakistan Pakistan Pakistan *ndia Ban+ladesh Turkey *ndia

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%A7)$#E!,
Sales and ,istribution
%ultiline #e"tilien has always considered its clients to be the prime priority. 5ur aim is not only to distribute our products and services but to distribute them with full effectiveness and efficiency in order to satisfy all the desires and needs of our client so as to gain their ma"imum values. We have guaranteed to entertain different people possessing different taste of life, which include6

4otels :ho :ant to demonstrate their e;8uisite settlement. Brands :ho :ant to mani%est their inno5ati5e and 0reati5e art. Retailers :ho :ant to 0apture +reater share in market. Families :ho :ant to nourish their households :ith 0ultural adornments.

En contrast with the related %ultiline we have managed our sales and distribution in a more systematic way in order to survive in a long run successfully and efficiently. 5ur targeted customers are well defined, and our staffs are well trained to serve them the best. %ultiline has also focused over the sales point of view so as to be more innovative and successful in some future date and to meet its goals and ob ectives. #he sales are to be made on the cheapest and pre-determined manner to the targeted customers. ?ifferent customers are entertained with different offers and schemes. Nust to provide the best location and facilities lu"ury and comfort %ultiline is up holding the responsibility for its customers depending upon their choice and taste. #he %ultiline #e"tilien have inter linked the concept of Sales and ?istribution, that is it will focus over the sales under its specific distribution. ?istribution will determine the amount of sales of %ultiline #e"tilien.

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Pri0in+ Strate+y
%ultiline #e"tilien has always considered the other relative distributors, and considering them %ultiline #e"tilien proudly serves its customers with the cheapest rates. !ot only this, but %ultiline #e"tilien has also entertained its customers with various packaging offers which will be more feasible and cheaper. #he offers were formulated after a detailed survey from the customers ust with the purpose to provide them with what they desire within their range. %ultiline #e"tilien provides you the best -uality apparel with the cheapest rates. Since we can compromise over the price but we can never compromise over the -uality. %ultiline #e"tilien also introduces its clients with the online order placement and swift delivery offers. %ultiline #e"tilien has not only focused the elite class but also have wide range of products for middle and lower class buyers. We also provide our special client with significant schemes and for our dealers we offer three valuable membership deals i.e. *latinum, ,old, and Silver membership, which will allow greater discount for their commitment to us.

Ad5ertisin+ and Promotion

%ultiline #e"tilien has been working over the marketing of its brand on a broader scale. En order to create greater recognition among our dealers and capture greater market share, we propose aggressive marketing campaign in our initial stage. %ultiline #e"tilien initial marketing strategy includesF

*ersonal Selling $"hibitions Advertisement Sponsorship

-. Personal Sellin+ *ersonal Selling will be the gateway for our products into the market. As our first step, we will offer our products to well verse home apparel brands directly. #he core ob ective of this activity is to go into long term contract with the various brands and convince them on our products for ongoing business agreement. Following are the targeted brands we plan to go into business withF

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%oreover we have also targeted few retailers in different parts of ,ermany. #his will help us capture market in other parts of ,ermany than Frankfurt too. (urrently we are targeting retailers from Weisbaden, %ain8, ?armstadt and Ennenstadt. -. E;hibitions #he second step involves conducting e"hibitions in partnership with local brands to introduce our product to public consumers. Et will also help us create our product recognition and attract more clients. $"hibiting will give us outstanding e"posure to a highly influential audience with significant industry buying power. #his will provide us the opportunity to communicate our message to both e"isting and potential new business partners in ,ermany and show our commitment to the growing sustainable te"tiles industry. 5ur First initiative in this regard is an e"hibition i.e. 9ehaglichkeit 3A>, in partnership with (omfort 'one on 30th %arch, 423A which will held at &eimte"til. #his will be the first time our product will be made public in ,ermany. #he event will welcome A,222 people from various groups i.e. general public, retailers, e"porters, hotel management, brand owners etc. !. Ad5ertisement En order to promote more aggressively in the market we have also planned to advertise our product through maga8ines and newspapers. We will conduct photo shoots of our products and place the pictures in weekly maga8ines. We will ac-uire two pages Bin middleD from 9ild am Sonntag Bfamous weekly ,erman maga8ineD, which is read by no less than 4.3 million people in ,ermany every Sunday. #his will help us create greater recognition of our product. %oreover we will also place advertisements in the newspaper with after every two week interval for our company recognition attracting dealers and retailers for 949 offers. . Sponsorship %oreover, we will sponsor various events related to home apparel te"tile to increase our *7 in the industry. $vents like LGarn $"po SpringM attract huge audience from te"tile industry and consumers. Sponsoring such events will brighten our prospects in the te"tile market and create more opportunities within the market.
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/perations
3o0ation
5ur head office will be located in 'am-'ama, )hi. #he location provides centrali8ed position to our office. Et will also be closer to our warehouse which will make it easier for us to keep a check on our inventory and dispatching our product via sea-port. 5ur second office will be located in Schillerstra+e, Frankfurt, ,ermany. #he location was chosen after a thoughtful survey in reconciliation with our marketing team, so as to provide close and convenient pick-point for our dealers. 5ur office is also surrounded by various shopping malls. #he following picture gives clear view of our location in ,ermany.

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Ad5anta+es o% 3o0ation 5ur head office is situated in main 'am-'ama commercial area in )arachi, which will give us close pro"imity to our warehouse and help us keep a close check on our inventory. #he office is also close to our suppliers, thus making it easier to stay in touch with them over our supplies. Another key advantage of our location is that it provides secure area for our office and employees thus reducing hindrances to our ongoing operations.

'ost Analysis o% /ur /%%i0es and 7arehouse

Pakistan= Eam-Eama 4ead /%%i0e #he place we have ac-uired in 'am-'ama for head office is on rent. #he total rental e"penses for our head office amount to /<,222 per annum. #he man power is easily approachable thus helping us compensating the employees handsomely. /%%i0e in <ermany

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#he place we have ac-uired in ,ermany is also on rent. #he total rental e"penses for our office in ,ermany amount to / 32,222 per annum. #he closer pro"imity to various malls helps dealers to reach us in a convenient and an easy way. Koran+i 7arehouse We have chosen )orangi , S.E.#.$ area for our warehouse. #he building is ac-uired on rent which amounts to / 3O,222 on a yearly basis. #he location is close to our suppliers and also to the sea-port thus reducing our transportation costs.

#ana+ement
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#ana+ement Team

/r+ani$ational Stru0ture
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#AAA<E#EAT TEA# BA'K<R/&A,

Finan0e #ana+er has done %9A in Finance as a ma or field, and clean to the industry and has no encounter of industry, but truly faithful and certainly skilled. #arketin+ #ana+er has done %9A in %arketing main core field, and fresh to the market having no recogni8ed e"perience, but e"tremely devotee and creative. /perations #ana+er has done %9A in Supply (hain as a main core field and also has command over the managerial aspect, fresh to the market and has no e"perience, but clever enough to recogni8e the faulty goods and -uick enough to solve the problems at instance

R/3ES AA, RESP/AS*B*3*T*ES /F #E#BERS /F /R<AA*EAT*/A

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 Finan0e #ana+er will be assigned with the works of bookkeeping of accounts, cash transactions, loan movements, financial statements and salaries issuance. #arketin+ #ana+er will be dealing with the %ultiline #e"tilien promotional activities, making innovations and creativity with regards to publici8ing products. /perations #ana+er will be responsible for keeping a perfect check and balance of operations and giving directions to Supply (hain 5fficer, and @abor force. &e will be responsible for day to day task and performances.

Finan0ial
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#ultiline Te;tilien Pro%it and 3oss Statement F/R T4E CEAR EA,E,= !1-2
Pro!orma Pro!it and "oss #nit $o"d Price per #nit $e""ing Price

$a"es &irect cost o! sa"es 't(er production e)penses *ota" cost o! sa"es +ross margin +ross margin in ,

80000 150000 215000 1.8 2.2 2.3 4 3.7 3.6 %ear 1 %ear 2 %ear 3 $ $ $ 320000 555000 774000 144000 330000 494500 0 0 0 144000 330000 494500 176000 55.00% 225000 40.54% 279500 36.11%

-.P- $-$ Payro"" sa"es and marketing and ot(er e)penses &epreciation *ra/e" e)penses *ransportation e)pnse Insurance Payro"" ta)es 0ent #ti"ities 1isc e)p *ota" 'perating -)penses Pro!it 2e!ore intrest and ta)es -BI*&3 Intrest -)penses *a)es incurred

18000 30000 2500 12000 25000 29500 2700 35000 10000 3500 168200 7800 10300 15000 1030

21000 28000 2800 10500 29000 32000 3150 35000 11500 4000 176950 48050 50850 12000 5085

22500 25000 3200 9500 33000 35000 3375 35000 11900 4300 182775 96725 99925 10000 9992.5 Page 26

et Pro!it4"oss et Pro!it4"oss in , *a)es 5 10, Intrest -)pense 5 10,

-8230 -2.572%

30965 5.579%

76732.5 9.914%

Pro9e0ted Balan0e sheet #he following table displays the balance sheet for three years.

#&3T*-3*AE TEDT*3EA PR/F/R#A BA3AA'E S4EET AS /A ,E'E#BER= !1-2

Pro!orma Ba"ance s(eet $ Year 1 3ssets Current 3ssets Cas( Bank Prepaid Inc In/entory 3ccounts 0ecei/a2"es *ota" current assets 6ong7term assets 8i)ture and 8urniture 9e(ic"e Packaging 1ac(ine 3ccumu"ated depriciation *ota" "ong term 3sset *ota" 3sset 6ia2i"ities : o;ner<s e=uity 7800 97200 29500 190000 25000 349500 55850 1200 32000 200150 35000 324200 152575 500 35000 155400 39325 382800 $ Year 2 $ Year 3

9000 35000 8000 -2500 49500 399000

8000 34000 7500 -2800 46700 370900

7000 33000 6700 -3200 43500 426300

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Current "ia2i"ity 3ccounts Paya2a"e current 2orro;ing Intrest Paya2"e 6ongterm 6ia2i"ities 6oan 510, *ota" 6ia2i"ities Paid in Capita" 0etained -arning -arnings *ota" Capita" *ota" "ia2i"ites and capita" et >ort( 150000 172500 245000 -10270 -8230 226500 399000 226500 120000 146300 245000 -51365 30965 224600 370900 224600 100000 127400 245000 -22832.5 76732.5 298900 426300 298900 7500 0 15000 14300 0 12000 17400 0 10000

#&3T*-3*AE TEDT*3EA PR/F/R#A 'AS4 F3/7

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AS /A ,E'E#BER= !1-2

-stimated Cas(!"o; statement %ear 1 ? 0 320000 320000 %ear 2 ? 7800 555000 562800 %ear 3 ? 55850 774000 829850

'pening Ba"ance $a"es *ota" Income Cas( 'ut!"o; !rom 'perations Product Purc(e cost Payro"" sa"es and marketing and ot(er e)penses &epreciation *ra/e" e)penses *ransportation e)pnse Insurance Payro"" ta)es 0ent #ti"ities 1isc e)p *ota" outgoing %ear"y cas( 2a"ances

144000 18000 30000 2500 12000 25000 29500 2700 35000 10000 3500 312200 7800

330000 21000 28000 2800 10500 29000 32000 3150 35000 11500 4000 506950 55850

494500 22500 25000 3200 9500 33000 35000 3375 35000 11900 4300 677275 152575

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#&3T*-3*AE TEDT*3EA PR/F/R#A BREAK-E)EA AAA3CS*S AS /A ,E'E#BER= !1Contri2ution 1argin 0atio Break7-/en sa"es 9aria2"e Cost 0@298438 285486.9 224500

P9reak-$ven Q Fi"ed e"pensesC(ontribution margin ratio PJariable (ostQ(ost of goods soldR registrationR utility connectionsR marketing and advertising

%ear 1 Break7e/en ana"ysis in ratio $a"es 9eria2"e cost Contir2ution margin 8i)ed cost P2it 320000 224500 95500 85200 10300 3% 100% 70% 30%

9reak-even is a situation where we have neither profit nor loss. Et is represented on the chart below by the intersection of the two lines

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#&3T*-3*AE TEDT*3EA B&,<ET*A<

Product

types

cos t $

se""in g price $

o@ o! $e""ing Auantity

3mount o! $e""ing Auantity $

Bed sheet
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Nersey (otton
%attress (overs (overlets

2.3 5 2.2 5 4.7 5 3.6 5

2.5 2.6 5 3.95

50000 35000 12000 15000

125000 91000 60000 59250

'om%orter
(otton comforter Synthetic 5.9 5 6.1 2 6.45 6.55 10000 8000 64500 52400

Pillo: 'o5er
#urkish (otton #owel %icrocotton *ima 4.2 4.2 6 4.1 5.85 4.6 4.3 13000 25000 9200 76050 115000 39560

Bath Robes
Hooded Bath Robes )nit Waffle 3.1 3.3 3.3 3.6 5000 6000 16500 21600

To:els
#urkish (otton #owel %icrocotton *ima 3.5 3 2.4 3.9 3.4 2.7 8200 6100 5400 31980 20740 14580

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'R*T*'A3 R*SK
P/TEAT*A3 R*SKS AA, /BSTA'3E AA, T4E*R A3TERAATE '/&RSE /F A'T*/AS

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*oor market response from the target market. #his can be dealt with by doing a thorough market research on what appeals to

Poor #arket Response

the target market. #hen these research verdicts can be employed in marketing strategies for the products. %ultiline #e"tilien will make use of marketing tools that apply over the targeted customers.

#o survive in a highly competitive environment that includes AJA@5! #$S#E@$ &5%$, &E#$S ,75U*, &5US$ S#G@$. Survival can be made possible by introducing and promoting a total innovative and new product in market

-)isting Competition

&ooded 9athrobes, ?esigned *illows, #owels, and (omforters and other mentioned specialties, that are highly attention grabbing and 9rand crafting factor. %oreover we can grab edge by keeping price lower than our competitors and introducing new designs and varieities.

#hreats of substitutes or new productCservice occur when the competitors have the potential to replace those being offered by the newly innovative productCservice. En order to overcome Threats /% Substitute /r Ae: Produ0t *n #arket this risk %ultiline #e"tilien will be conducting an ongoing research work, and shall be enriched with the relative information.

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#he (ompany will be new in the market6 it may not have a 'ompany Re0o+nition strong image to fall back on. #herefore, positive marketing will be very much vital and shall be highly considered.

#rade restrictions, ta" laws and other various legal obligations can prove hinder our business. En order to overcome we will 3e+al Restri0tions need legal advisor.

Competitors could cop t!e concept or recipe and "ain milea"e o#er t!e Ca$e. %ri#ac must &e 'ept

Pri5a0y

maintained to &e remained uni(ue and distincti#e.

Another risk that should be 0onsidered is transportation and stora+e. The transportation shall be monitored at e5ery step= %rom %a0tory to :arehouse= :arehouse to Frank%urt o%%i0e Transportation And Stora+e and %rom Frank%urt o%%i0e to 0lient to ensure e%%i0ient and e%%e0ti5e ser5i0e to our 0lients. #oreo5er pre0autionary measures are re8uired to pre5ent any dama+e to in5entories in :arehouse and pa0ka+es bein+ mo5ed.

4AR)EST*A< STRATE<C
#he %ultiline #e"tilien after accomplishing its goal might seek to an e"it strategy which is also known as harvesting strategy. &ere all the partners will be given the e-ual shares of outcomes from the business after it has become successful, and will also deal with related strategy in determining how much money is e"pected to be given to each partner.

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TRAASFER /F ASSETS
#he law recogni8es that persons are generally entitled to transfer their assets to whomever they wish and for whatever reason. #he most common means of transfer which shall be considered by %ultiline #e"tilien are mentioned below6

'/AT*A&*TC /F B&S*AESS
%ultiline #e"tilien will work hard in utili8ing its ma"imum efforts for achieving the prescribed goals and ob ectives with its effectiveness and efficiency, but if any uncertainty occurs une"pectedly, and the sales began to decline drastically against the e"pectation, so the first attempt will be made to overcome the downfall of business by practicing different strategies like lowering the prices, lowering down our e"penses, but if the business is still going downhill, ultimately the business will be shut off by implying certain and related strategies.

*,EAT*FC*A< T4E S&''ESS/R

#he business of %ultiline #e"tilien can be passed over to anyone depending upon the will of all its partners. 9ut it is to be stated that the successor must bear the following -ualities6 Motivated and Dedicated Financially able
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Highly skilled Experienced Ability to grow the business even further #ask 5riented Ability to handle pressure (an work in rigorous environment

#he main purpose of stating the -ualities of successor is that, %ultiline #e"tilien is established to serve its client always, maintaining its good will and ma"imi8ing the (lient>s value will always be its primary ob ective.

!1-2 #ilestones
#he %ultiline #e"tilien aims to achieve the following eight milestones in 423AF 3. (omplete research, develop effective business model, consider recommendations and seek in principle response. Use the 7esearchers in 9usiness *rogram, research hubs and other %ultiline research opportunities to create stronger linkages between %ultiline businesses, suppliers, dealers, brands and other research organi8ations for practical business outcomes. Work collaboratively with the Suppliers Advocate to help %ultiline generate increased domestic and international business opportunities. Finali8e te"tile industry capability map and identify capability vulnerabilities.
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4.

0.

A.

1.

(onsider the impact of enabling technology and the !ational 9roadband !etwork on the current and future needs of the %ultiline. Achieve pro ected sales of <2222 units by the end of 423A, and grab 32= of market shares in Frankfurt. Enfluence government procurement policy and practice to support %ultiline #e"tilien development.

:.

O.

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