|歡迎光臨 Ez Working Skills/BusinessPlan||
The Event Planning Specialists Business Plan
|1.0 Executive Summary|
Welcome to the future of event planning! Occasions, The Event Planning Specialists, brings to the community of Portland a new breath of air in the event planning market. By combining old fashioned values, going the extra mile, and using cutting edge event-planning software, Occasions will lead the market, providing the same quality results, every time.
Occasions is an equal opportunity business making its expertise and its products available to help its customers plan their own events. Party Packs (complete kits for their event), make hosting a party a snap, right down to the refreshments. The event planning software brings interactive event planning as close as their personal computer. Through these and other affordable products and services, Occasions aims to be the number one resource for any event.
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|1.1 Objectives||[back to top]|
Occasions is a small business aimed at the big time. In order to reach its lofty goals, Occasions must focus on the mission behind the vision. It will take all the employees, owners, founders, and vendors daily living the vision that Occasions represents. The vision manifests itself in three ways:
|1.2 Mission||[back to top]|
In an ever changing, fast-paced world, success is determined by good choices for lasting effects. Communication is essential. Occasions strives to be the best choice of clients by helping to ease their event planning burden. Through consistent, predictable professionalism, Occasions will ensure a worry and hassle-free event at a reasonable price.
But, not all our clients will be external. Occasions has internal clients to serve. Occasions will strive to provide the same predictable and professional working environment to its employees and contracted vendors, justly compensating them for their services. It is also a priority to make a comfortable living wage for its owners, founders, full-time staff, and their families.
Keeping in tune with the needs of the market, utilizing the latest technology and trends, all while ensuring the client receives the individual attention they deserve, is the vision and daily mission of Occasions; The Event Planning Specialists.
|1.3 Keys to Success||[back to top]|
Our keys to success include the commitment to quality by every person who is part of the team. Each of us will be responsible to push ourselves to a higher level of professionalism in three areas:
|2.0 Company Summary||[back to top]|
Founded in 1997 on a part-time basis, Occasions is a small business designed to meet the needs of the ever changing social world. Portland, Oregon is the current home with plans to expand to branch offices within four years. Occasions' staff of two, with numerous contract vendors, plans events, writes event-planning products, and trains area students in the art of event planning. Occasions is invested in the community it resides in.
Occasions is, in part, the answer to demands of the social world, on the working family, heavily-burdened office, out-of-town business, or special occasion in need of special recognition. As a business, we understand the needs of public and private organizations. As parents and family members, we understand the needs of setting special time apart from other events in our lives. Occasions strives to accomplish these goals, in Portland and eventually other areas of the Pacific Northwest.
|2.1 Company Ownership||[back to top]|
Occasions is established as a sole proprietorship with the intention of selling the business when it is established to one of the employees invested in the vision of event planning. All aspects of the business will be documented to ensure clients can count on the same results every time. It is these documents that will become the basis of ownership. The sole proprietor will use his or her name as the guarantor of each service. Therefore, the sole proprietor must embody the vision and mission of Occasions.
|2.2 Start-up Summary||[back to top]|
Through careful planning on the part of the founders, the start up costs for Occasions are minimal. It began as a home-based business with little overhead, and it continues to demand fewer outlay of funds as a service-based business. The start-up cost investment funds were assets saved from prior earnings by the owners who did event planning on a part-time basis before establishing themselves as a business.
It is the wish of the founders to remain a debt-free establishment. However, recognizing that in reality not all variables are controllable, outside financing is a viable option. Both founders own homes and have a perfect credit rating.
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|Research and Development||$0|
|Total Start-up Expenses||$3,365|
|Start-up Assets Needed|
|Cash Balance on Starting Date||$2,300|
|Other Current Assets||$0|
|Total Current Assets||$2,300|
|Other Current Liabilities||$0|
|Loss at Start-up||($3,365)|
|Total Capital and Liabilities||$2,300|
|2.3 Company Locations and Facilities||[back to top]|
Occasions is located inside the city limits of Portland, Oregon. It is a home-based business. Most meetings with clients are conducted in social settings, such as restaurants, coffee houses, the client's home, facilities wishing to be used for the event, or over the phone. Although the demand has not yet reached its peak, Occasions will eventually move from its home base into a small office complex, also within the city limits of Portland, Oregon. When the company has reached its finished point, Occasions will have branch offices in Portland, Eugene, and Bend, Oregon, Seattle, Vancouver, and Olympia, Washington, and Boise and Sun Valley, Idaho.
The company will maintain a high degree of professionalism. All offices are equipped with the latest in business technology, such as telephone systems, computers, fax machines, email, duplicators, printers, and software. Each location will have a secure storage area for supplies and equipment used in events, such as walkie-talkies, cellular phones, portable fax machines, and laptops.
|3.0 Products and Services||[back to top]|
Although Occasions is primarily a service business, we also offer products to aid our customers in planning the event themselves. The following products are tools used inside our operation for the best possible results:
Free Event Planners Training for High School and College Students
As a member of the Portland community, it is our mission to support our community. Ten hours each month will be devoted to training area students in event planning. This will aid them in planning proms, graduation parties, river clean-ups, homecoming, and other important events. This is a priority of Occasions. It will not be cut back as the business grows.
Occasions provides event planning in a wide range of applications. We guarantee satisfaction in the areas of appearance, performance, and taste. The following is a sampling of the types of events we plan every year:
.....and any other event that needs to be planned.
|3.1 Competitive Comparison||[back to top]|
Occasions, although young, draws from the age-old tradition of going above and beyond what is expected, every time. Our systems for event planning have been drawn up, evaluated, practiced, worked, and reworked to ensure the maximum efficiency while minimizing the possibility of error. We employ local vendors who have the same desire to be the best at what they do, while providing un-matchable services. Thus, we give back to the community by providing jobs outside of our organization. We encourage new and upcoming small businesses who provide a service within our need base to step up to the challenge of being the best through their contract with Occasions.
Our products will serve the function of aiding those that cannot afford the cost of an event planner. We wish to make our event planning tips available to those who need a helping hand. Occasions is a member of the community. Through event planning, Occasions gets the opportunity to laugh when the community laughs and cry when the community cries, to rejoice when the community rejoices and to help put the pieces back together when things change or begin to fall apart. We care about the things that have meaning in the lives of our neighbors.
|4.0 Market Analysis Summary||[back to top]|
The following sections describe the market segmentation, strategies, and industry analysis.
|4.1 Market Segmentation||[back to top]|
The breakdown of the market for event planning, falls in a wide, very diverse grouping. Individuals as well as organizations demand the services we provide. In order to provide the greatest depth of information, the market segments have been broken down into private and public organizations, and age groups.
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|Age 25 to 55||15%||33||38||44||51||59||15.63%|
|Age 56 and over||9%||31||34||37||40||44||9.15%|
|4.2 Target Market Segment Strategy||[back to top]|
Our target markets are middle to upper-middle class families, couples, individuals, or private and public organizations. We chose these groups because they are most able to afford event planners, and have the least amount of time to spare for event planning in general. Families demand attention, employees are overburdened, and overwhelming detail needed to plan large events are too large a constraint to place on people not trained in the area of event planning.
The fast pace of the world we live in leaves little time for extra things we would like to do, like plan events, parties, and social get-togethers. Occasions fills the need by being available to take on the burden of planning so that people can spend time on more important things, like family and friends. The demand for this service can only increase considering the rise in incomes, population, and need for interpersonal relations in the workplace.
|4.3 Service Business Analysis||[back to top]|
Occasions is in a unique position of competition. We compete against hotels with conference facilities, conference centers, other event planners both on the large and small scale, persons within an organization who are assigned the task of organizing an event, and people who wish to organize their own events without the benefit of assistance. The benefits and drawbacks of each of our competitors as compared with the services we offer are hardly a match in quality and price.
Strengths: On-site facilities, equipment, and support staff.
Ability to transport and house persons for overnight stays. Able to
internalize costs of transportation and equipment.
Weakness: Often very expensive, impersonal, rely on unskilled labor for support staff. The error rate is high due to high volume and traffic from other events happening at the same time.
Strengths: Have been in the market longer, have established a
reputation and client base.
Weakness: Reputation precedes them, no systems-based businesses designed to produce consistent results; focus on smaller events, specialized events are main focused rather than all events; do not have the supporting products to market with, or instead of, event planning services.
Strengths: Internalized cost of planning the event; able to add
tiny personalized touches that have meaning within the group or family.
Weakness: Consumes time that could be spent on other things; don't have access to the best prices, services, and other needed resources available.
|5.0 Strategy and Implementation Summary||[back to top]|
Marketing and Competition
We have discussed our client base as being predominately middle to upper-middle class individuals, couples or families, public and private organizations. We must then look at the needs of these markets and cater to them. We promise the same great results, every time.
When marketing to individuals, the idea of releasing them from the task, freeing their time for family and friends, and the promise of a worry-free event are the buzz words and concepts. Our marketing is predominantly by word of mouth or visual connection to large events these individuals have participated in or worked at.
When marketing to public or private organizations, the idea of greater efficiency for the money and a professional event without error would be the key concept. Groups, especially large ones, do not wish to deal with problems that arise due to oversight on their part. If the guarantee of worry-free, error-free events is available at a cost benefit to them, there really appears to be no better choice.
|5.1 Sales Strategy||[back to top]|
Occasions deals with a diverse market of clients. Within each market segment, closing of sales will differ. Each approach is described as follows:
|5.1.1 Sales Forecast||[back to top]|
By beginning on a smaller scale, Occasions has the foresight to grow at a rapid pace to keep up with demand. We wish to maintain a steady rate of sales growth; however, we understand that sales of products and services will vary in different months. As noted in the graph and chart, rapid increases during the holiday season will boost sales, then allow that growth to level off at a steady rate.
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|Sales||FY 2000||FY 2001||FY 2002|
|Direct Cost of Sales||FY 2000||FY 2001||FY 2002|
|Subtotal Direct Cost of Sales||$654||$727||$890|
|6.0 Management Summary||[back to top]|
Information and expense details are presented in subtopics Organizational Structure and Personnel Plan.
|6.1 Organizational Structure||[back to top]|
The management team within Occasions will be small in the beginning. The primary employee is the founder, who plans events, then contracts with caterers, decorators, disc jockeys, and bands to fill out the event. A contract labor site manager will be on hand to work the events as a liaison and vendor coordinator. Thus, there are two main employees with various levels of vendors.
When Occasions reaches its expansion goals, each office will have one to two event planners, an office assistant, two to three site managers for the events, and a product and marketing specialist. This team will function as one with constant communication through weekly staff meetings, email, and message boards. All jobs are interrelated. The performance of one effects the performance of the others; therefore, each team member expects nothing but the best from each other.
As it functions currently, we see no gaps in the management of this organization. Should Occasions grow beyond its estimated size, more positions in specialized areas will need to be added as well as additional site support and office assistance. To fill these positions, Occasions is looking for energetic, teachable, detail-oriented persons who want the potential to grow and improve their skills within the organization. Occasions wants to be the best; therefore, they will hire those who want to succeed.
|6.2 Personnel Plan||[back to top]|
The following table shows the estimated personnel needs for Occasions.
|FY 2000||FY 2001||FY 2002|
|7.0 Financial Plan||[back to top]|
Service-based businesses require little funds to start up, and as they grow and expand, less funds to maintain. The charts and graphs that follow will show that investment up front allows Occasions to function debt-free with little overhead. This gives Occasions a quicker break-even point and increased profit margins from the start. As Occasions grows, the debt-free philosophy will be maintained until it is impossible to function during growth periods without financial assistance.
|7.1 Important Assumptions||[back to top]|
Tax rates are noted for information. We carry no loan burden that would be effected by these rates. What hits Occasions the hardest (but not nearly are bad as other service businesses), is the tax rate of 23.5%, which is nearly one quarter of the total sales. As Occasions continues to grow, these numbers will be reference rather than influence.
|FY 2000||FY 2001||FY 2002|
|Current Interest Rate||8.92%||8.92%||8.92%|
|Long-term Interest Rate||7.99%||7.99%||7.99%|
|Sales on Credit %||60.00%||60.00%||60.00%|
|7.2 Key Financial Indicators||[back to top]|
The break-even point for Occasions is based on the assumption that we will produce 22 events per month and average approximately $521 per event. In the current situation, we average more than this assumption for our public and private organization events. These currently make up 18 of the 22 average events hosted per month.
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|7.3 Break-even Analysis||[back to top]|
The break-even point will appear more rapidly for Occasions than for other types of home-based businesses. Start-up costs are limited to minimal equipment, there is little or no staff to pay in the beginning, and contracted companies will handle any additional equipment required for the planned events.
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|Monthly Units Break-even||22|
|Monthly Revenue Break-even||$11,682|
|Average Per-Unit Revenue||$521.00|
|Average Per-Unit Variable Cost||$75.00|
|Estimated Monthly Fixed Cost||$10,000|
|7.4 Projected Profit and Loss||[back to top]|
Leading the industry in event planning requires the use of the resources available at the lowest cost. As noted in the table, we spend less money on overhead than another event planners with an outside office or office space in their own facility. This savings allows us to market in creative ways and spend funds on expansion into other areas when the time is right.
|Pro Forma Profit and Loss|
|FY 2000||FY 2001||FY 2002|
|Direct Costs of Goods||$654||$727||$890|
|Cost of Goods Sold||$850||$930||$1,111|
|Gross Margin %||99.76%||99.81%||99.80%|
|Sales and Marketing and Other Expenses||$146,013||$5,700||$6,119|
|Total Operating Expenses||$211,106||$76,709||$80,762|
|Profit Before Interest and Taxes||$141,193||$417,031||$472,906|
|7.5 Projected Cash Flow||[back to top]|
Our cash situation is great. Although we begin with little extra cash, our increased growth allows us to make up for lost time. Our cash balance is always above the mark with the cash flow not too far behind. We have no negatives in our cash analysis.
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|Pro Forma Cash Flow|
|FY 2000||FY 2001||FY 2002|
|Cash from Operations:|
|Cash from Receivables||$187,091||$286,864||$328,647|
|Subtotal Cash from Operations||$328,351||$484,732||$550,558|
|Additional Cash Received|
|Sales Tax, VAT, HST/GST Received||$0||$0||$0|
|New Current Borrowing||$1,200||$1,080||$1,080|
|New Other Liabilities (interest-free)||$0||$0||$0|
|New Long-term Liabilities||$0||$0||$0|
|Sales of Other Current Assets||$0||$0||$0|
|Sales of Long-term Assets||$0||$0||$0|
|New Investment Received||$17,600||$14,750||$15,000|
|Subtotal Cash Received||$347,151||$500,562||$566,638|
|Expenditures||FY 2000||FY 2001||FY 2002|
|Expenditures from Operations:|
|Payment of Accounts Payable||$206,657||$168,612||$179,245|
|Subtotal Spent on Operations||$230,388||$182,249||$194,679|
|Additional Cash Spent|
|Sales Tax, VAT, HST/GST Paid Out||$0||$0||$0|
|Principal Repayment of Current Borrowing||$0||$0||$0|
|Other Liabilities Principal Repayment||$0||$0||$0|
|Long-term Liabilities Principal Repayment||$0||$0||$0|
|Purchase Other Current Assets||$0||$0||$0|
|Purchase Long-term Assets||$0||$0||$0|
|Subtotal Cash Spent||$230,388||$182,249||$194,679|
|Net Cash Flow||$116,763||$318,313||$371,959|
|7.6 Projected Balance Sheet||[back to top]|
Occasions is set up for success. According to the numbers, we start out fair and end up amazing. By FY2000, we will be worth over $125,000 with a profit margin of over 30%. We are operating with little to zero debt, boosting the net worth even higher. Our only weakness is the products to be released in FY2000 have not been accounted for as an investment of funds. This will effect the cash flow in a moderate way, and is undetermined how it will effect the profit ratio of the business.
|Pro Forma Balance Sheet|
|Current Assets||FY 2000||FY 2001||FY 2002|
|Other Current Assets||$0||$0||$0|
|Total Current Assets||$143,970||$472,233||$848,440|
|Total Long-term Assets||($110)||($212)||($308)|
|Liabilities and Capital|
|Current Liabilities||FY 2000||FY 2001||FY 2002|
|Other Current Liabilities||$0||$0||$0|
|Subtotal Current Liabilities||$18,346||$12,984||$15,210|
|Total Liabilities and Capital||$143,860||$472,021||$848,132|
|7.7 Business Ratios||[back to top]|
Data on our business ratios is shown in the table below. Industry Profile ratios are based on Standard Industry Classification (SIC) Index code 7299.
|FY 2000||FY 2001||FY 2002||Industry Profile|
|Percent of Total Assets|
|Other Current Assets||0.00%||0.00%||0.00%||37.10%|
|Total Current Assets||100.08%||100.04%||100.04%||52.80%|
|Percent of Sales|
|Selling, General & Administrative Expenses||69.22%||35.37%||34.65%||72.70%|
|Profit Before Interest and Taxes||39.98%||84.30%||85.24%||4.00%|
|Total Debt to Total Assets||12.75%||2.75%||1.79%||61.90%|
|Pre-tax Return on Net Worth||112.31%||90.78%||56.73%||6.30%|
|Pre-tax Return on Assets||97.98%||88.28%||55.71%||16.60%|
|Additional Ratios||FY 2000||FY 2001||FY 2002|
|Net Profit Margin||30.47%||64.44%||64.69%||n.a|
|Return on Equity||85.74%||69.44%||43.09%||n.a|
|Accounts Receivable Turnover||8.54||8.54||8.54||n.a|
|Accounts Payable Turnover||14.64||18.63||18.31||n.a|
|Total Asset Turnover||2.45||1.05||0.65||n.a|
|Debt to Net Worth||0.15||0.03||0.02||n.a|
|Current Liab. to Liab.||1.00||1.00||1.00||n.a|
|Net Working Capital||$125,624||$459,249||$833,230||n.a|
|Assets to Sales||0.41||0.95||1.53||n.a|
|Current Debt/Total Assets||13%||3%||2%||n.a|