Business Proposal (Elysian Furniture)

ELYSIAN FURNITURE ENTERPRISE
BUSINESS PROPOSAL
NO. 3, JALAN SESIKU 15/2, SECTION 15, SHAH ALAM INDUSTRIAL SITE,
40200 SHAH ALAM, SELANGOR DARUL EHSAN..
www.elysianfurnitureenterprise.com.my
furnitureenterprise@elysian.com.my
TEL : +603 5891 5103 FAX : +603 5891 5155
TABLE OF CONTENT
CONTENT
CHAPTER I
CHAPTER II
PAGE
EXECUTIVE SUMMARY
1.1
Description of the Business and Product Concept
1.2
The Target Market and Projection
1.3
The Competitive Advantages
1.4
The Profitability
1.5
The Management Team
PRODUCT DESCRIPTION
2.1
Product Concept and Details
2.1.1 Product Specification
10
2.1.2 Materials Use and Cost
11
2.2
Application of the Product
12
2.3
Unique Features of the Product
12
2.4
Present State of Product Development
13
2.5
Patent and other Proprietary Features
13
2.6
Opportunities of Expansion Product Line
13
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CHAPTER III
CHAPTER IV
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TECHNOLOGY DESCRIPTION
14
3.1
WATER SENSOR
14
3.2
DARK SENSOR
14
3.3
DC MOTOR
14
3.4
RELAY
15
3.5
PLC OMRON CPM 1A
15
3.6
LIMIT SWITCH
15
MARKET ANALYSIS AND STRATEGIES
15
4.1
Customer
15
4.2
Market Size and Trend
16
4.3
Competition and Competitive Edges
17
4.4
Estimated Market Share and Sales
19
4.5
Market Strategy
21
4.5.1 Overall Marketing Strategy `
21
4.5.2 Pricing
21
4.5.3 Sales Tactic
21
4.5.4 Service and Warranty Policy
22
4.5.5 Advertising and Promotion
23
4.5.5.1 Signboard
4.5.5.2 Banner
23
4.5.5.3 Bunting
23
4.5.5.4 Poster
24
4.5.5.5 Business Cards
24
4.5.6 Distribution
26
4.5.7 Budgets for Advertising
26
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BUSINESS PROPOSAL
CHAPTER V
MANAGEMENT TEAM
27
5.1
Organization Chart
27
5.2
Key Management Personnel
28
5.2.1 Career Highlights
28
5.2.1 Duties and Responsibilities
29
Management Compensation and Ownership
31
5.3.1 Salary, Ownership and Equity Investment
31
Supporting Professional Advisors and Services
32
5.3
5.4
CHAPTER VI
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FINANCIAL ESTIMATES
33
6.1 Start-Up Cost
33
6.2 Working Capital
34
6.3 Start-Up Capital and Financing
35
6.4 Cash Flow Statement
35
6.5 Income Statement
36
6.6 Balance Sheet
39
6.7 Financial Performance
40
CHAPTER VII
PROJECT MILESTONES
42
CHAPTER VIII
CONCLUSION
43
CHAPTER VIIII
APPENDICES
43
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ACKNOWLEDGEMENT
First of all, we extend our gratitude to Allah because millions of blessings and
kindness, we can complete the task ENT600 provided in our study. While many of
our predicament, with the cooperation and trust between a group of friends, we
believe this business plan will be completed within the time period given.
Everyone in the group has their own position. Nurul Adlina Binti Mat Mesri as
General Manager, Zahidah Binti Ibrahim as Administration Manager, Muhammad
Izzuddin bin Zakaria as Operation Manager, Muhamad Azwan Bin Aabas as
Marketing Manager and Muhammad Abdullah Bin Zuhri as Finance Manager. We
could learn and manage the real business once we had finished study this subject
code.
Our lecturer, Puan Nuraini binti Adnan, who never tired of giving guidance,
prepared us for the business plan. She still managed to smile and work tirelessly
in the pursuit of knowledge given. A big thanks for her guidence.
In this opportunity, we would like to thank our classmates eventhough
there indirectly giving their views and ideas to further enhance our business
content. Any criticism and guidance that all of you have provided, we ponder that
we always look forward and not quick to make a reckless act with any comments
that are given.
Last but not least, we hope with this business plan project, we could face
the real world of the meaning of entrepreneurship. We could use this business
plan as an example and a medium to starting our own business. Thank you very
much.
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EXECUTIVE SUMMARY
1.1 Brief description of the business and product concepts
Elysian Furniture bhd is a partnership company that focusing on produces the
technology based products. We are located at Shah Alam, Selangor.. Elysian
Furniture bhd focus on wholesale business structure, that mean our operation is
to produces mass of product and sell to the wholesaler or retailer that will turn
around and sell the product at their stores.
Our company comes up with the new technology based product that called as
LAAZi. This product is combination of clothes hangar with dark and water
sensor. It is well design product and user friendly, because of its can be used by
everyone and it is auto fold when its is raining or nightfall.
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1.1.1 Business Background
NAME
Address

No. 3, Jalan Sesiku 15/2, Section 15, Shah Alam
Tel
Fax
Email
Website
Main activity
Form of business
Date of registration
Data of commence
Registration no
Name of bank
Account no
Initial capital
Industrial Site, 40200 Shah Alam, Selangor Darul Ehsan.

+603 5891 5103
+603 5891 5155
furnitureenterprise@elysian.com
Manufacture
Partnership
3 October 2014
15 October 2014
AJL 931357
Maybank
162049860511
RM 800000
1.2 The target market and projections

Our target market is based on geographical. Elysian Furniture Enterprise
suppply the product to the wholesalers and retailers in Selangor Malaysia such
as Giant, Tesco, Carefour and Mydin. For the first year launch, we target to sell
unit of product in Malaysia.
1.3 The competitive advantages
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When entering business world, we canot ignore the existing companies. We

need to be more creative to be competetive and survive. For our first product
we found 3 competitor from three different companies. In order to survive in
this competition, we decide to come out with new innovation and improvement
of the existing product. We are using up to date and advance technology and
user friendly product. Our advantages is our customer did not have to worry
about their laundry anymore because our product will kept their laundry from
getting wet in the rain. Our product also will kept the clothes when the the sky
become darker especially when nightfall. Our customer does not have to worry
to go home early just to take out their laundry from clothes hangar.
1.4 The profitability

The company have few strategies to marketing the product, in order to ensure
our client or target market accept the product and trust the company to choose
our product, we provide warranty at least 2 years for every product purchase
they make.
1.5 The management team

The management team of Elysian Furniture Enterprise consists of General
Manager, Adminitrative Manger, Operational Manager, Financial Manager and
Marketing Manager. General Manger is acting as the board of director to
ensure our company run smoothly to achieve its mission, vission and objective.
The technical process of producing the product we hire a few workers. They
responsible to make the product and acheive the targeted number of product
every day.
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PRODUCT DESCRIPTION
2.1 Product Concept and Details
Our company provides the customer with the technology based product that
can be easily used by the people, therefore we invented automatic cloth hanger
thatcan fold itself when it sense raindrop or nightfall. We called that product as
LAAZi Tech. This product have water sensor and dark sensor. This product is
functioning using electric supply.This product is invented especially fot
working people since they may not be at home while it is raining. This product
will prevent the clothes from getting wet in the rain.
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2.1.1 Specification of our product :

Name
Product design
Laazi Tech V1
Price
Size
RM 800.00
Tube length: 2.0m/6.5 ft
Material
Stainless Steel, water sensor and dark

sensor
6 kg
60 kg
2.0 m tube x 6 nos
Supporting bracket x 1 pair
Wallplug x 6 pcs
Weight
Capacity Load
Package
2.1.2 Material use and cost in our product :

NUMBE
R
ITEMS
QUANTIT
PRICE/UNI
TOTAL
T (RM)
PRICE
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(RM)
1
Power Window
30
60
2
3
4
Motor
Water Sensor
Dark Sensor
PLC Omron CPM
1
1
1
15
12
200
15
12
200
5
6
7
8
9
10
11
12
13
14
15
16
17
1A
Wire (Roller)
Stainless-steel
Battery 9V
Relay
Limit Switch
Toggle Switch
Switch
Coil Tin Roller
Sprocket
Timing Chain
Shaft
Power Supply
Motor DC
1
20
1
5
1
1
2
1
2
2
2
1
1
10
2
9
5
1.50
0.50
6
5
6
70
3
45
35
10
40
9
25
1.50
0.50
12
5
12
140
6
45
35
Total = 628
The present and the state of development of the product are still in the idea
stage. Our company still need to do some research about this product for being
market in the local market by comparing our product with the competitors
product.
2.2
Application of The Product

LAAZi Tech makes our life easier. Customer does not have to worry about
their laundry while they are away from home. This is because LAAZi Tech will
keep their clothes from rains.
2.3 Unique Features of The Product
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The unique features of this product are it have two sensor which is water and
dark sensor. Water sensor is used to sense the water like raindrop. When it
sense water even one drop of rain, it will automatically fold itself to protected
the clothes. While dark sensor can measure the intensity of light falling on it. It
also fold itself when darkness is detected.
2.4 Present State of Product Development

Cost for one product to be produce is RM 628.00 for net price. It has not been
include packaging cost. The production for each product is within one hour and
twelve minutes. The main material that use for our product is stainless steel. It
is durable and long-lasting.
2.5 Patent and other proprietary features of this project.

The priority of our product is that it comes with the sensors provided to helps
the customers ease their management on their daily life.
2.6
Opportunities for the expansion of the product line or the

development of related product or service.
This product line can be improve in terms of its color. For futher planning, we
choose four colors which is blue, red green and yellow to be apply on our
product in order to attract customers. Some houses has small size places for
laundry while some has bigger size place for laundry. Due to this problem, we
planned to produce a cloth hanger in different sizes which can fit into
customers house space for laundry.
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TECHNOLOGY DESCRIPTION
We use new technology to be implemented into our product. This technology is
embedded to improve the functionality and add its own values.
3.1 Water sensor

This water sensor is connected to PLC (input) as a swtich. This circuit is
connected to the product. It is free way and open circuit. When the water is
falling to this circuit, it will automatically become close circuit. The shaft
which attach to power window motor wil rotate and causes the hanger to
folded. This things will occur until the cloth hanger push limit switch and
power window motor will stop rotate.
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3.2 Dark Sensor

The sensors have three green wires (1, 2 and 3). Wire 2 shoild always be
connected to one of the inputs. If wire 1 is also connected then the sensor acts
as a dark sensor. If wire 2 and 3 are connected to the inputs, then sensor
operates as a light sensor.
3.3 DC Motor
DC motor is a machine that changes electrical energy into mechanical energy.
The rotatiinal force on the DC motor is obtained through the interaction of
magnetic fileds. The reactions both fileds produce torque will cause the rotor to
rotate.
3.4
Relay
Relays are switches that open and close circuits electromechanically or
electronically. Relays control one electrical circuit by opening and closing
contacts in another circuit. As relay diagrams show, when a relay contact is
normally open (NO), there is an open contact when the relay is not energized.
When a relay contact is Normally Closed (NC), there is a closed contact when
the relay is not energized. In either case, applying electrical current to the
contacts will change their state.
3.5
PLC Omron CPM 1A
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PLC is known as Programmable Logic Controller. It is an industrial computer

control system that continuosly monitor the state of input devices and makes
decisions based on custom programme to control the state of output devices.
Firstly it detects the state of all inout devices that are connected to the PLC.
Then, it executes the user created programme logic before enrgizes or deenergize all output devices that are connected to the PLC.
3.6 Limit Switch

Limit switch automatically monitor and indicate whether the movement limits
of a particular device have been exceeded.When an object meets the actuator,
the limit switch triggers the contacts to either form or break an electrical
connection.
MARKET RESEARCH AND ANALYSIS

4.1
Customers
a. Customers is the person that buy any goods or services that

available in market. For our product, the customers are retailer
and also wholesaler in Selangor. After it become known among
the user, we plan to distribute to other states in Peninsular
Malaysia.
b. There are many popular wholesalers in Malaysia, such as
Mydin, Tesco and Carrefour. Since there is many wholesalers,
we choose to make on of them to be our major purchaser
which is Tesco.
c. Our product is produced by manufactures and direct to
wholesaler. After that, wholesaler will go the retailer or direct
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to customer. For those who want to get our product need to go

the available supermarket at all state in Peninsular Malaysia.
4.2
Market Size and Trend

a.
Potential profitability
wholesaler
Number of
Product
per month
(unit)
Price per
Product
(RM)
Carrefour
60
800.00
48,000.00
Mydin
100
800.00
80,000.00
Tesco
90
800.00
72,000.00
Giant
60
800.00
Total Sales
Product per
month
(RM)
In
48,000.00
TOTAL
248000.00
five years, the total sales estimated is RM 14,880,000.00. The annual sales
b.
In five years, LAAZi Tech will be sold to the popular

wholesaler in Peninsular Malaysia like Carrefour, Giant,
Mydin, and Tesco. Furthermore our target wholesaler
almost divided a lot of branch in Malaysia. From there,
our product also provide for their branch state all around
in Malaysia. The estimated annual profit is 2% per year.
c.
The major factor affecting the market growth is based on

the
technology
trends,
where
the
customers
opportunities for changing the old product with the new
technology like as our product. Our product is affordable
for market in peninsular Malaysia. Furthermore, our
product was applied a new technology are like water
sensor and dark sensor.
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4.3
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Competition and Competitive Edges
COMPETITOR
ALAMI
TECHNOLOGICAL
SERVICES SDN. BHD.
STRENGTHS
- Lower price
-good performance and
quality
-high demand market
APEX-PAL (M) SDN.
-Low cost of
raw -No battery for charge
material
-limited of raw materials
-Lower price compare -No technology charger
other competitor
- high performance
BHD
CHUAN SIN SDN.

BHD.
-Long
time
warranties
-good quality
-Low price
WEAKNESS
-No technology charger
-limited of raw materials
-No
technology
for
battery
service -Limited of raw material

-No
technology
for
change
-No
technology
for
change
a.
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b. Competitors
LAAZi Tech
COMPETITORS PRODUCTS
Focus in Peninsular Malaysia.

Affordable price
technology.
with
All states in Malaysia
new Cheaper price but no technology
Provide the sensor technology Just embedded on the wall as a

at the cloth hanger.
cloth hanger.
c. Fundamentals Value
LAAZi Tech is a new technology that provide the sensor technology.
The cloth hanger with water sensor from raining and dark sensor
from the night that our company will produce.
d. Advantages and Disadvantages
Advantages
Disadvantages
Water sensor and auto fold Too sensitive

when raining.
droplets.
Dark sensor.
with
water
Too sensitive when the night.
Affordable price for long Not easy to set up with the

term use.
sensor technology.
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4.4 Estimated Market share and Sales

a.
Before market share
COMPETITOR
MARKET
SHARE (%)
45
TOTAL (RM)
APEX-PAL (M) SDN. BHD.
35
3,449,250
CHUAN SIN SDN. BHD.
20
1,971,000
ALAMI TECHNOLOGICAL SERVICES

SDN. BHD.
4,434,750
9,855,000
TOTAL (RM)
ALAMI TECHNOLOGICAL
SERVICES SDN. BHD.
CHUAN SIN SDN. BHD.
Figure 4.4.1 shown before market share
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b. After market share

COMPETITOR
MARKET
SHARE (%)
TOTAL
(RM)
ALAMI TECHNOLOGICAL SERVICES

SDN. BHD.
45
4,434,750
30
2,956,500
CHUAN SIN SDN. BHD.
15
1,478,250
LAAZi Tech Enterprise
10
985,500
Total (RM)
9,855,00
0
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ALAMI TECHNOLOGICAL
SERVICES SDN. BHD.
CHUAN SIN SDN. BHD.
LAAZi Tech Enterprise
Figure 4.4.2 shown after market share
Product/service Market Share and Sales

Year
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2015
10
2016
12
2017
14
2018
16
2019
18
Total sales in units
15000
18000
21000
24000
27000
Total sales in RM
985,500
1,379,700
1,576,80
0
1,773,90
0
Market share (%)
4.5
1,182,600
Marketing Strategy
4.5.1 Overal Marketing Strategy
Our marketing strategy always give the satisfaction and uniqueness

than others product. We need to identify all aspects and probabilities
after entering the market.
4.5.2 Pricing
Our product is LAAZi Tech with the sensors technology and the fixed
price is RM800 only. We are already calculate all the raw materials
and the requirement need to develope this product. It is will become
the affordable price for buyers.
4.5.3 Sales Tactic

The main sale tactis are distribution through direct from
manufactures to popular wholesaler in Peninsular Malaysia and
especially for middle and lower society.
4.5.4 Service and Warranty Policy

LAAZi Tech is products that using the stainless steel with
dimension of 6.5 feet. The components is about 6kg of weight
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and 60kg of capcity. In addition, this product also develope

with water and dark sensor.
For our warranty, it can used with properly and the sensor
without any problems and damage during the sensor its
occure. Our specification is very details with the testing and
evaluation before proceed the marketing.
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4.5.5 Advertising and Promotion

We are using a few ways to promote our product. There are four types to
promote our product by banner, bunting, business card, poster and signboard.
By using this way, hope that way can attract retailercome to our product.
4.5.5.1 Signboard
We will start our promotion strategies by putting up our signboard, which
contains our business logo, motto and the website.
4.5.5.2 Banner
As a new business, retailer should be informed about the existing of our
business. Therefore, we had made some banner. The banner will be placed at
the strategic paces that were allowed people around Selangor to come in our
manufactures.
4.5.5.3 Bunting
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Our bunting is also provide the informations and hung on every electrics
poles.
4.5.5.4 Poster
EzyTech Enterprise also has some pamphlet as one of its promotion strategies.
This pamphlet contains of companys profile, website, contact person, and
description of product and services associated.
4.5.5.5 Business Cards

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Our enterprise will produce business card to give to all people that are
interested in having business with us. This will make it easy for them to find
us.
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4.5.6 Distribution
Our product provide from manufactures direct to the
wholesaler. Then it depends on wholesaler whether to sell for
retailer or customer.
Manufactu
re
4.5.7
Wholes
ale
Retailer
Custom
er
Budgets for Advertising
Advertisements
Signboard
Banner
Business Card
Bunting
Poster
Cost (RM)
RM1500 x 1
RM250 x 3
RM100 x 4
RM200 x 10
RM100 x 50
TOTAL
Total
1500
750
400
2000
500
RM 5,150
MANAGEMENT TEAM
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5.1
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Organization Chart
GENERAL
MANAGER
NURUL ADLINA MAT
MESRI
ADMINISTRATIVE
MANAGER
ZAHIDAH IBRAHIM
FINANCIAL
MANAGER
MARKETING
MANAGER
OPERATION
MANAGER
MUHAMAD AZWAN
AABAS
MUHAMMAD
IZZUDDIN ZAKARIA
Supervisor
MUHAMMAD
ABDULLAH BIN
ZUHRI
Technician
General Worker
5.2
Key Management Personnel
5.2.1
Career Highlight
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Names & Positions

General Manager
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Job Specification
Bachelor in Business Administration

(Hons) International Business
3 years Working experience as
Marketing Manager at Heritage
Holding
Administrative Manager

3 years working experience as Outlet
Manager of Padini Authentic
Marketing Manager

(Hons) Entrepreneurship
4 years working experience as
Assistance Marketing at Travel Pro
Sdn Bhd
Financial Manager
Operational Manager
Bachelor in Business Management

Accountant
for
Burger
King
Headquarters
Assistance Financial Manager for
Cybertech Sdn Bhd
Bachelor in Business Administrator

Assistance Operation Management at
KLCC
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5.2.2 Duties and Responsibilities

NAMES & POSITIONS
DUTIES & RESPONSIBILITIES

- Lead the organization and have power
to make any decision.
-
To lead the group to work together in

order to complete the work and assign
their task accordingly to their task
scope.
GENERAL MANAGER
NURUL ADLINA BINTI MAT
To ensure all the tasks and activities

will follow the sequence of the project
MESRI
and completed on time.

-
To act as the chairman and coordinate

all the meeting regarding the project
blueprint.
To recognized any problem faced by

the company and figure out what is the
best solution for it.

Provides supplies by identifying needs
for reception, switchboard, mailroom,
and
kitchen;
establishing
policies,
procedures, and work schedules.

-
Maintains
administrative
staff
by
recruiting, selecting, orienting, and

training employees; maintaining a safe
ADMINISTRATIVE MANAGER
and
ZAHIDAH BINTI IBRAHIM
secure
developing
work
personal
environment;
growth
opportunities.
-
Provides communication systems by

identifying needs; evaluating options;
maintaining equipment; approving
invoices.
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Provides historical reference by

developing and utilizing filing and
retrieval systems.
Keep companys financial record and
determine the company financial status.
FINANCIAL MANAGER
MUHAMMAD ABDULLAH BIN
Detect any money that going in or not

of the company account.
ZUHRI
To finalize and summarize all the

departments report and write the final
report of the project.
OPERATION MANAGER
To determine the cost and budget for
each product produce by the company.

Understanding strategic objectives.
Developing an operation strategy.
Designing the operations products,
MUHAMMAD IZZUDDIN BIN

ZAKARIA
services and processes.

-
Planning and controlling.
Improving
operation.
Increase sales of the product and
the
performance
of
determine the suitable price in current

market.
-
To report the problem faced to the

project director with its suggestion
MARKETING MANAGER
MUHAMAD AZWAN BIN AABAS
solution (if possible).

-
Involve determining the size of the

market and the potential customer.
Involve determining the cost to be

incurred in developing the business
venture.
Determining the competitor that is in

the same field as your company.
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5.3
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Management Compensation and Ownership

5.3.1 Salary, Ownership and Equity Investment
Positions
GENERAL MANAGER
ADMINISTRATIVE
MANAGER
MARKETING MANAGER
OPERATION MANAGER
FINANCIAL MANAGER
Monthly
Share of
Amount of Equity
Salary (RM)
4,000
3,000
ownership (%)
25.00
18.75
Invested ( RM)
200,000
150,000
3,000
3,000
3,000
18.75
18.75
18.75
150,000
150,000
150,000
5.4 Supporting professional advisors and services

5.4.1
Supporting Services
Our company use legal advisor in our process establishing our
company and patterning our product. The legal advisor will advise our
company about the law in managing company.
Page | 32
BUSINESS PROPOSAL
Name of Professional Advisors

Name : Hisham Nazir & Co
TEL : +603 5891 5103 FAX : +603 5891 5155
Services Provided
Keep the agreement of the company
Address : No. 10-3, Jalan USJ 9/5N,
between company and the supplier, and
47620 Subang Jaya, Selangor,
also between company and retailers.
Malaysia
Manage the law affairs
Phone : 603 80217961

Mobile Phone : 6013 - 9307961
Fax : 03 80217962
Website : www.hishamnazir.com
FINANCIAL PLAN
4.1
Start-Up Cost
For start up cost some approximation been made to starting the company. For
Flysian Tech Enterprise, the product will totally manufactures by wholesaler.
We decide to rent a factory for Flysian Tech Enterprise.
Page | 33
BUSINESS PROPOSAL
4.2
TEL : +603 5891 5103 FAX : +603 5891 5155
Working Capital
WORKING CAPITAL (MONTHLY)
Marketing
Advertising
FIXED
VARIABLE
2,050
Page | 34
BUSINESS PROPOSAL
TEL : +603 5891 5103 FAX : +603 5891 5155
Administrative
Salaries,EPF,SOCSO
Utilities
Rent
25,239
1,000
3,000
Operations
Raw Materials & Packaging

Electricity & Water
40,625
2,175
Fuel Expenses
1,500
Telephone
65
Total Working Capital

Total Working Capital Required
Total Working Capital +
Contigencies
10%
4,615
75,654
71,039
89,876
4.3 Start-Up Capital and Financing
Page | 35
BUSINESS PROPOSAL
TEL : +603 5891 5103 FAX : +603 5891 5155
4.4 Cash Flow Statement

For cash flow statement, the sales of the product are 1250 unit per month
for year 1 and 1500 units per month for year 2, 1750 units per month for
year 3, 2000 units per month for year 4 and 2250 units per month for year
5. Table below shows cash flow pro forma statement for EZTech
Enterprise.
YEAR 1
YEAR 2
YEAR 3
YEAR 4
YEAR 5
985,500
1,182,600
1,379,700
1,576,800
1,773,900
1,118,677
1,182,600
1,379,700
1,576,800
1,773,900
302,872
302,872
302,872
302,872
302,872
Utilities
12,000
12,000
12,000
12,000
12,000
Rent
36,000
36,000
36,000
36,000
36,000
24,600
24,600
24,600
24,600
24,600
CASH INFLOW
Capital (Cash)
60,000
Loan
73,177
Cash Sales
Collection of Accounts Receivable
TOTAL CASH INFLOW
CASH OUTFLOW
Administrative Expenditure
Salaries,EPF,SOCSO
Marketing Expenditure
Advertising
Operations Expenditure
Page | 36
BUSINESS PROPOSAL
Cash Purchase
TEL : +603 5891 5103 FAX : +603 5891 5155
97,500
117,000
136,500
156,000
175,500
337,188
390,000
468,000
555,900
624,099
Electricity & Water
26,100
26,100
26,100
26,100
26,100
Fuel Expenses
18,000
18,000
18,000
18,000
18,000
780
780
780
780
780
1,790
1,790
1,790
1,790
2,327
2,327
2,327
2,327
2,327
698
698
698
698
698
Principal
7,318
7,318
7,318
7,318
7,318
Interest
3,659
3,293
2,927
2,561
2,195
TOTAL CASH OUTFLOW
912,341
942,777
1,039,911
1,136,946
1,234,279
CASH SURPLUS (DEFICIT)
206,336
239,823
339,789
439,854
539,621
206,336
446,159
785,948
1,225,802
206,336
446,159
785,948
1,225,802
1,765,423
Payment of Account Payable

Carriage Inward & Duty
Salaries, EPF & SOCSO
Telephone
Other Expenditure
Pre-Operations
Deposit (rent, utilities, etc.)
Business Registration & Licences
Insurance & Road Tax for Motor Vehicle
10
1,790
Other Pre-Operations Expenditure

Fixed Assets
Purchase of Fixed Assets - Land & Building
Purchase of Fixed Assets - Others
41,500
Hire-Purchase Down Payment

Hire-Purchase Repayment:
Principal
Interest
Loan Repayment:
Tax Payable
BEGINNING CASH BALANCE

ENDING CASH BALANCE
6.5 Income Statement
Page | 37
BUSINESS PROPOSAL
TEL : +603 5891 5103 FAX : +603 5891 5155
For the income statement, the raw material cost were RM32.50 per unit. For the sales,
one product is sold for RM 65.70 per unit. Table below shows the production cost proforma statement and pro-forma income statement.
Page | 38
BUSINESS PROPOSAL
TEL : +603 5891 5103 FAX : +603 5891 5155
Year 1
Year 2
1,182,60
0
Year 3
1,379,70
0
Year 4
1,576,80
0
Year 5
1,773,90
0
543,034
640,534
738,034
835,534
933,034
543,034
640,534
738,034
835,534
933,034
442,466
542,066
641,666
741,266
840,866
350,872
350,872
350,872
350,872
350,872
24,600
24,600
24,600
24,600
24,600
1,790
1,790
1,790
1,790
1,790
698
698
698
698
698
Interest on Loan
3,659
3,293
2,927
2,561
2,195
Depreciation of Fixed Assets
2,300
2,300
2,300
2,300
2,300
383,929
383,553
383,187
382,821
382,455
58,538
158,514
258,479
358,445
458,411
Net Profit After Tax
58,538
158,514
258,479
358,445
Accumulated Net Profit
58,538
217,051
475,531
833,976
458,411
1,292,38
7
Sales
985,500
Less: Cost of Sales

Opening Stock of Finished Goods
Production Cost
less: Ending Stock of Finishe Goods
Gross Profit
Less: Enpenditure
Administrative Expenditure
Marketing Expenditure
Other Expenditure
Business Registration & Licences
Insurance & Road Tax for Motor Vehicle
10
Other Pre-Operations Expenditure

Interest on Hire-Purchase
Total Expenditure
Net Profit Before Tax
Tax
6.6 Balance Sheet

Page | 39
BUSINESS PROPOSAL
TEL : +603 5891 5103 FAX : +603 5891 5155
Table below shows pro-forma balance sheet for EZTech Enterprise.

EZTech Enterprise
PRO-FORMA BALANCE SHEET
Year 1
Year 2
Year 3
Year 4
Year 5
ASSETS
Fixed Assets (Book Value)
Land & Building
Furniture and Fittings
8,000
6,000
4,000
2,000
Computer & Printer
1,200
900
600
300
Vehicle(Lorry)
24,000
18,000
12,000
6,000
Machinery
18,615
13,961
9,308
4,654
51,815
38,861
25,908
12,854
206,336
446,159
785,948
206,336
446,159
785,948
258,151
485,020
811,855
Capital
60,000
60,000
Accumulated Profit
58,538
217,051
60,000
475,531
833,976
60,000
1,292,387
118,538
277,051
535,531
893,976
1,352,387
Loan Balance
65,859
58,541
51,224
43,906
36,588
Hire-Purchase Balance
20,942
18,615
16,288
13,961
11,635
86,801
77,157
67,512
57,867
48,223
52,813
130,813
208,813
286,813
364,813
Current Assets
Stock of Raw Materials
Stock of Finished Goods
Accounts Receivable
Cash Balance
1,225,80
2
1,225,80
2
1,765,423
1,765,423
Other Assets
Deposit
TOTAL ASSETS
1,238,65
6
1,765,423
Owners' Equity
60,000
Long Term Liabilities
Current Liabilities
Accounts Payable
Page | 40
BUSINESS PROPOSAL
TOTAL EQUITY &
LIABILITIES
258,151
TEL : +603 5891 5103 FAX : +603 5891 5155
485,020
1,238,65
6
811,855
1,765,423
6.7 Financial Performance
EZTech Enterprise
FINANCIAL PERFORMANCE
Year 1
Year 2
Year 3
PROFITABILITY
Sales
Gross Profit
Profit Before Tax
Profit After Tax
Accumulated Profit
985,500
442,466
58,538
58,538
58,538
1,182,600
542,066
158,514
158,514
217,051
1,379,700
641,666
258,479
258,479
475,531
LIQUIDITY
Total Cash Inflow
Total Cash Outflow
Surplus (Deficit)
Accumulated Cash
1,118,677
912,341
206,336
206,336
1,182,600
942,777
239,823
446,159
1,379,700
1,039,911
339,789
785,948
118,538
51,815
206,336
86,801
52,813
277,051
38,861
446,159
77,157
130,813
535,531
25,908
785,948
67,512
208,813
6%
49%
23%
13%
57%
33%
19%
48%
32%
3.9
3.9
3.4
3.4
3.8
3.8
1.2
0.8
0.5
869,659
88%
868,915
73%
868,191
63%
SAFETY
Owners' Equity
Fixed Assets
Current Assets
Long Term Liabilities
Current Liabilities
FINANCIAL RATIOS
Profitability
Return on Sales
Return on Equity
Return on Investment
Liquidity
Current Ratio
Quick Ratio (Acid Test)
Safety
Debt to Equity Ratio
BREAK-EVEN ANALYSIS
Break-Even Point (Sales)
Break-Even Point (%)
Page | 41
BUSINESS PROPOSAL
TEL : +603 5891 5103 FAX : +603 5891 5155
Page | 42
BUSINESS PROPOSAL
TEL : +603 5891 5103 FAX : +603 5891 5155
PROJECT MILESTONE
ACTIVITIES
Check for available materials
Check receipt of first
Sales representatives look for buyers
Ordering of materials
Starting of production
Compilation of all buyers from sales
representatives
Signing of distributors and dealers
Obtaining and organizing of the ordered
materials
Delivery of first sales
DEADLINE
30 day of the month
1st day of the month
1st and 15th day of the month
1st and 15th day of the month
1st to 30th / 31th day of the month
28th day of the month
th

CONCLUSION
Page | 43
BUSINESS PROPOSAL
TEL : +603 5891 5103 FAX : +603 5891 5155
As conclusion we hope our target can be achieved according the estimation that
we had made in this business plan. We also hope our product, LAAZi Tech is a
success so we can invented more interesting product line to satisfy and
improved our customer lifestyle.
APPENDICES
Page | 44

Business Proposal (Elysian Furniture)

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ELYSIAN FURNITURE ENTERPRISE

TEL : +603 5891 5103 FAX : +603 5891 5155

Description of the Business and Product Concept

The Target Market and Projection

The Competitive Advantages

The Management Team

Product Concept and Details

2.1.1 Product Specification

2.1.2 Materials Use and Cost

Application of the Product

Unique Features of the Product

Present State of Product Development

Patent and other Proprietary Features

Opportunities of Expansion Product Line

ELYSIAN FURNITURE ENTERPRISE

TEL : +603 5891 5103 FAX : +603 5891 5155

PLC OMRON CPM 1A

MARKET ANALYSIS AND STRATEGIES

Market Size and Trend

Competition and Competitive Edges

Estimated Market Share and Sales

4.5.1 Overall Marketing Strategy `

4.5.3 Sales Tactic

4.5.4 Service and Warranty Policy

4.5.5 Advertising and Promotion

4.5.5.5 Business Cards

4.5.7 Budgets for Advertising

ELYSIAN FURNITURE ENTERPRISE

Key Management Personnel

5.2.1 Career Highlights

5.2.1 Duties and Responsibilities

Management Compensation and Ownership

5.3.1 Salary, Ownership and Equity Investment

Supporting Professional Advisors and Services

TEL : +603 5891 5103 FAX : +603 5891 5155

6.1 Start-Up Cost

6.2 Working Capital

6.3 Start-Up Capital and Financing

6.4 Cash Flow Statement

6.5 Income Statement

6.6 Balance Sheet

6.7 Financial Performance

ELYSIAN FURNITURE ENTERPRISE

TEL : +603 5891 5103 FAX : +603 5891 5155

ELYSIAN FURNITURE ENTERPRISE

TEL : +603 5891 5103 FAX : +603 5891 5155

ELYSIAN FURNITURE ENTERPRISE

TEL : +603 5891 5103 FAX : +603 5891 5155

1.1.1 Business Background

ELYSIAN FURNITURE ENTERPRISE

Industrial Site, 40200 Shah Alam, Selangor Darul Ehsan.

1.2 The target market and projections

1.3 The competitive advantages

ELYSIAN FURNITURE ENTERPRISE

TEL : +603 5891 5103 FAX : +603 5891 5155

When entering business world, we canot ignore the existing companies. We

1.4 The profitability

1.5 The management team

ELYSIAN FURNITURE ENTERPRISE

TEL : +603 5891 5103 FAX : +603 5891 5155

ELYSIAN FURNITURE ENTERPRISE

TEL : +603 5891 5103 FAX : +603 5891 5155

ELYSIAN FURNITURE ENTERPRISE

TEL : +603 5891 5103 FAX : +603 5891 5155