“ZYnet internet café”

BUSINESS PLAN

Table of Contents
Part I – The Company and its Business
A. Description of the Business
B. Market Information
C. Competition
D. Business Location and Development Plans
E. Management Team
F. Organization & Personnel
G. Sources of funds and Applications of loans

Part II – Financial Data

A. Income Projections
B. Cash flow Projections
C. Balance Sheet
D. Break-even Analysis
E. Historical financial reports for existing
business
 
Part III – Attachments
Parts should include the following discussions:
Part I – The Company and its Business
 
A. Description of the Business
A. State the name of the business
B. Owners of the Business & Profile (achievements & other businesses.
C. Form of the business organization
D. Main concentration of the business & idea
E. Restate the Mission, Vision & Objectives
F. Main products (goods and services)
G. Permits/licenses gained & certification if there’s any.
 
B. Market Information
A. Product Decisions
B. Product Life considerations
C. Product Brands, Packaging, & Label (Brand Identity)
D. Product add-on: (Cust. Service, extra bundles, features, etc)
E. Product Development efforts
Place or Channels of Distribution
A. Using Direct Marketing or Selling Approaches
Entrepreneur – Product – Customer
B. Using Retailers or 1-Level Channel
Entrepreneur – Product – Retailer - Customer
C. Using Wholesalers or 2-Level Channels
Entrepreneur – Prod. – Wholesaler - Retailer - Customer
 
Promotions and Advertising
Discuss the Elements of Marketing Communications
o Who? - The Source (You, your business & product, & message)
o What? – The Message (conveyance of good reputation
& product benefits)
o How? – The Media (Print, Radio, TV, online, etc.)
o Whom? – Recipients of the Message (Right People & timing)
 
Pricing Decisions
A. Price Objectives should be cleared (sales revenue, profitability, &survival)
B. Factors influencing your price decisions (Consumer preferences, competition &
market situation,
distribution system, advertising, gov’t…)
C. Pricing Strategies (Skimming & Penetration)
 
C. Competition
1. Market Opportunities
A. Opportunities in the Market place
B. Threats present
2. Marketing Capability
A. Strengths of the organization based on honest assessment
B. Weaknesses that needs to be strengthened
C. Market Environment Analysis
D. Who is really your customer?
E. Segmenting the Consumer Target Markets
F. Segmenting the Suppliers Markets
G. Marketing Strategies (Discuss Competitors, Your Competitive Advantage, and
your marketing efforts ) How do we get there?
 
D. Business Location and Development Plans
1. Business Locations
State your Main office address
State your Plants & Branches address if there are any
2. Development Plans
a) Plans for new projects
b) Cost Components of Business Projects (Land, Bldg, Tools, Equipment, Fixed Assets,
Pre-operating or start-up costs)
c) Projected cost of development plans
d) Plotting of Projected dates (using Gant Chart)
e) Expected Achievements after Development
f) Projected achievements in paragraph form. Should be aligned with financial
projections.

E. Management Team
1. Source of Authority
A. Sole Entrepreneur?
B. Who are the Partners?
C. Who are the Member of the Board (if Corporation & Cooperatives)
2. Roles of Entrepreneurs & Officers
A. List the decision makers & their roles
B. Present the Organization Chart
C. Identify the list of people that will be working under the Manager
D. Description of Competencies of the Team & its Officers
E. Describe the capabilities of the Management Team as well as the capabilities of the
Officers.

F. Organization & Personnel

1. Core of Operations
A. Design of Efficient Operations /Production Systems
B. Facilities Plan
• Right Technology
• Production Systems set-up
C. Production Plan
D. Supply Chain & Logistics Management
2. Roles of Personnel on Operations
A. List the descriptions of roles aligned with operations
B. Present the Organization Chart with the names of people
C. Motivation, Training, & Development of People
D. Management Approach, seminars, training needed, dates, etc.

G. Sources of funds and Applications of loans

1. Source & Scheme of Financing
a) Start-up Capital (Types of Financing / Possible Sources)
b) Equipment Acquisition (Types of Financing / Possible Sources)
c) Construction of Facilities (Types of Financing / Possible Sources)
d) Working Capital (Types of Financing / Possible Sources)
2. Financial Programs
a) Preparation of Requirements for Loan Applications
Part 1:The Company and its Business
A - Description of the Business

The proposal name of our business is Zynet Cafe which comes from the thought of Mr
Lumangya.

Zynet Café soon be located at 548 Fabella Street Brgy. Bagong Silang ,Mandaluyong
City, beside Jose Rizal University and SM Hypermarket, that will occupy a lot measure
of 230 square meter.

Zynet Café will be establish through the joint effort of Arcelly Alviz, a BSIT graduate
from Jose Rizal University and his friend Mark Lumangaya, a master in computer
science, and also done IT Essential cources from cisco and five year experiance in
Networking.

ZyNet is an internet Business center that provide the community with easy and
affordable access to the Internet. We offer High Speed Internet Access with webcam and
mic and other services including Document Printing, Typing Job Scanning and online
gaming. We have a total of 18 PCs and one Internet phoning point. We offer free user
support and open daily between 8:00am to 11:00pm. We charge 15.00 between 8:00am
to 6:00pm and N2.50/min thereafter and on Sundays.

This business plan is prepared to obtain financing in the amount of PHP 1.5 million. The
financing is required to begin work on site preparation and modifications, equipment
purchases, and to cover expenses in the first year of operations. Additional financing has
already been secured in the form.

ZYNet to successfully open and maintain operations through year one. The large initial
capital will allow ZYNet to provide its customers with a full featured Internet cafe. A
unique, upscale, and innovative environment is required to provide the customers with an
atmosphere that will spawn socialization. Successful operation in year one will provide
ZYNet with a customer base that will allow it to be self sufficient in the next year.
 
1.1 Objectives
ZYNet's objectives for the first one years of operation include:
 The creation of a unique, upscale, innovative environment that will differentiate
ZYNet from other internet cafe.
 Affordable access to the resources of the Internet and other online services. In
addition to this, Zynet Internet Cafe also offers other computer related works and
programs like MS advanced that includes MS Office 2000, Excel, Power point,
Publisher and MS Word.

1.3 Mission
As the popularity of the Internet continues to grow at an exponential rate, easy and
affordable access is quickly becoming a necessity of life. ZYNet provides communities
with the ability to access the Internet, enjoy Internet. People of all ages and backgrounds
will come to enjoy the unique, upscale, educational, and innovative environment that
ZYNet provides.

Company Summary
ZYNet, soon to be located in 548 Fabella Street Brgy. Bagong Silang
,Mandaluyong City , will offer the community easy and affordable access to the
Internet. ZYNet will provide full access to email, WWW, and other social
networking sites. ZYNet will appeal to all students and individuals of all ages and
backgrounds. The instructional Internet classes, and the helpful staff that ZYNet
provides, will appeal to the audience that does not associate themselves with the
computer age. This educational aspect will attract younger and elderly members of
the community who are rapidly gaining interest in the unique resources that online
communications have to offer.

1.5 Start-up Summary

The communications equipment necessary to provide ZYNet's customers with a
high-speed connection to the Internet and the services it has to offer make up a
large portion of the start-up costs. These costs will include the computer terminals
and all costs associated with their set-up. Costs will also be designated for the
renovation of the shop.

Start-up Expense Details:

  20 Intel "i Core" Processor Family (8X Faster than Pentium4) =
 20 LED Flat Screen Monitors - (2X better than LCDs) =
 Licensed Mas OS plus other essential software/s =
 Roster of famous online games =
 computer desks w/chairs =
 2 Epson Printer =
 Scanner =
 30 Headsets with mic =
 1 Speaker =
 20 mouse pad
 network cable
 routers & crimping tools and RJ-45 jacks.

Services
ZyNet will provide full access to email, WWW, FTP, Usenet and other Internet
applications such as Telnet and Gopher. Printing, scanning, and introductory
courses to the Internet will also be available to the customer.
Zynet will
2.3 Competitive Comparison
ZYNet will be the first Internet cafe in Mandaluyong city that will differentiate
itself from the strictly-coffee cafes there  by providing its customers with Internet
and computing services.
 
B. Market Information
ZyNet is faced with the exciting opportunity of establishing cyber-cafe market
combined with the growing interest in the Internet, has been proven to be a
winning concept in other markets and will produce the same results .
2.1 Target Market Segment Strategy
ZYNet intends to cater to people who want a guided tour on their first spin around
the Internet and to experienced users eager to indulge their passion for computers
in a social setting. Furthermore, ZYNet will be a magnet for local and traveling
professionals who desire to work or check their email messages in a friendly
atmosphere. These professionals will either use ZYNet's PCs, or plug their
notebooks into Internet connections. ZYNet's target market covers a wide range of
ages: from members of Generation X who grew up surrounded by computers, to
Baby Boomers who have come to the realization that people today cannot afford to
ignore computers.
2.2 Market Needs
The rapid growth of the Internet and online services, that has been witnessed
worldwide, is only the tip of the iceberg. The potential growth of the Internet is
enormous, to the point where one day, a computer terminal with an online
connection will be as common and necessary as a telephone. This may be 10 or 20
years down the road, but for the next five years, the online service provider market
is sure to experience tremendous growth.
2.3 Market Segmentation
ZyNet's customers can be divided into two groups. The first group is familiar with
the Internet The second group is not familiar with the Internet, yet, and is just
waiting for the right opportunity to enter the online community. ZyNet's target
market falls anywhere between the ages of 18 and 50.ZYNet's target market can be
divided into more specific market segments. The majority of these individuals are
students and business people. See the Market Analysis chart and table below for
more specifics.
 

2.4 Service Business Analysis

The popularity of the Internet is growing exponentially. Those who are familiar
with the Internet are well aware of how fun and addictive surfing the Net can be.
Those who have not yet experienced the Internet, need a convenient, relaxed
atmosphere where they can feel comfortable learning about and utilizing the
current technologies. ZYNet seeks to provide its customers with affordable Internet
access in an innovative and supportive environme
 
C. Competition
Competition from online service providers comes from locally-owned businesses
as well as national firms. There are many, local, online service providers in
mandaluyong. This number is expected to grow with the increasing demand for
Internet access. Larger, online service providers, such as AOL and CompuServe are
also a competitive threat to ZYNet. Due to the nature of the Internet, there are no
geographical boundaries restricting competition.

D. Business Location and Development Plans

D. Organization & Personnel
 1. Core of Operations

ZYNet aims to be the leading internet café in Mandaluyong City to

provide fast and reliable services to all student near the Universities and
to all who want to learn, explore, play and innovate using the power of
the Internet.

A. Design of Efficient Operations/Production Systems

ZYNet will provide its customers with full access to the Internet and
common computer software and hardware. Some of the Internet and
computing services available to ZYNet customers are:

 Branded High End Computers with Software

 Access to Mozilla Firefox, Internet Explorer, Google Chrome,

Opera, and other popular browsers.
 Access to scanner and color printing.
 Access to popular software applications like Adobe PhotoShop and
Microsoft Office Word, Excel, PowerPoint, Access, etc.

Eighteen (18) computer stations will be set-up for customer rental

service. Each station will be designed as privately as possible so the customers can
mind their own business while having fun.

B. Facilities Plan

A site has been chosen at 143 Fabella St. in Mandaluyong City. This
site was chosen for various reasons, including:

 Near the University

 Low cost rent – P5,000/month.


a. Right Technology
 ZYNet will invest in high-speed computers to provide its
customers with a fast and efficient connection to the Internet. The
computers will be reliable and fun to work with. ZYNet will
continue to upgrade and modify the systems to stay current with
communications technology as one of the main attractions
associated with Internet cafes is the state of the art equipment
available for use.

b. Production Systems Set-up

1. State-of-the art equipment. Part of the ZYNet experience

includes access to state-of-the-art computer equipment. Our
customers enjoy beautiful flat-screen displays, fast machines,
and high-quality printers.
2. Upscale ambiance. When you walk into ZYNet, you'll feel the
technology. High backed mahogany booths with flat-screen
monitors that provide a cozy hideaway for meetings and small
friendly gatherings. Aluminum track lighting and art from local
artists sets the mood.

C. Production Plan

- Not applicable as business does not produce/manufacture goods/products.

D. Supply Chain & Logistics Management

1. Roles of Personnel on Operations

A.1. Owner

The Owner will handle all management decisions needed for

operations. He/She will directly coordinate with the Manager.

A.2. Staff

The business will employ 2 staff to attend to customer’s needs.

A.3. Technician

The technician is responsible for repairs and maintenance of computer

units and for the network services and corresponding hardware.
 B. ORGANIZATIONAL CHART

OWNER

STAFF 1 STAFF 2 TECHNICIAN

C. Motivation, Training, & Development of People

Conventional 'training' is required to cover essential work-related skills, techniques

and knowledge, and ZYNet's deals with taking a positive progressive approach to
this sort of traditional 'training'.

Importantly however, the most effective way to develop people is quite different
from conventional skills training, which let's face it many employees regard quite
negatively. They'll do it of course, but they won't enjoy it much because it's about
work, not about themselves as people. The most effective way to develop people is
instead to enable learning and personal development, with all that this implies.

The business basic work-related skills training is - focus on enabling learning and
development for people as individuals - which extends the range of development
way outside traditional work skills and knowledge, and creates far more exciting,
liberating, motivational opportunities - for customers and for employees as well as
the employer.

ZYNet’s organizations are facing great pressure to change these days - to facilitate
and encourage whole-person development and fulfilment - beyond traditional
training.

Another motivation of employees is the benefits given by ZYNets like good salary,
13th month pay, medical benefits & bonuses.

D. Management Approach

ZYNet is owned and operated by Arcelly Alviz, Mark Lumangaya, Gregorio

Mabilin, Riel Parada and Each of them is equally involved in operation and
management of the shop, each to her own abilities. The company, being small in
nature, requires a simple organizational structure.