Name of business: Surveying Software Training Center

Contact address: Adama, Ethiopia

Tel. 0917215952/0917305986
Email :- Mujibahmedhuseean@gmail.com

BUSINESS PLAN

NO Group member Name ID

1 Mujib Ahmed TTR 0400/09
2 Dejen Niguse TTR 0159/09
3 Samue l Muse TTR 0434/09
4 Habtamu Molla 0289/09
5 Maru Sewnet TTR0352/09
6 Yosef Adinew TTR0344/09
6 Terefe Alemayehu TTR0507/09

SUBMITTED To :- ROBAIL HAYLE

2011 E.c
 TABLE OF CONTENTS

1. Executive summary---------------------------------------------------------------------------------------1
2. Description of venture-------------------------------------------------------------------------------------2
4.1.1 Brief the description of the pro------------------------------------------------------------------- ---2
2.2 location or size of business -------------------------------------------------------------------------- --2
2.3 Reasons for going to business-------------------------------------------------------------------- ------2
2.4 Owner (s) profile ------------------------------------------------------------------------------- ---------2
3. Industry analysis-------------------------------------------------------------------------------------- ---3
3.1. Futures Outlook and Trends----------------------------------------------------------- ----------------3
3.2 Analyses of Competitors’ ------------------------------------------------------------ ----------------3
3.2.1Strength of Competitors-------------------------------------------------------------- ----------------3
3.2.2 Weaknesses of Competitors---------------------------------------------------------------------------3
3.2.3 Opportunity of Competitors---------------------------------------------------------------------------3
3.2.4. Threat of competitors----------------------------------------------------------------------------------3
4. Marketing Plan---------------------------------------------------------------------------------------------3
4.1. Description of the market ----------------------------------------- -------------------------------------3
4.2 Marketing Plan [Product] --------- ----------------------------------------------------------------------3
4.2.1 special about the product--------- --------------------------------------------------------------------4
4.3 Marketing Plan Price ------------------ ----------------------- ------------------------------------------4
4.4 Marketing Plan [Place]:--------------- ------------------- ----------------------------------- -----------4
4.5 Marketing Plan [Promotion] --------------------------- --- ---------------------------------------------4
5. Production plan--------------------------------------------------- -----------------------------------------4
5.1 production process --------------------------------------------------------- ----- ----------------------5
5.3 Factory/plant location and layout ------------------------------------ --------------------------------5
5.4 list of row material cost -------------------- -----------------------------------------------------------6
5.5 staff cost -------------------------------------- ----------------------------------------------------------7
5.6 factory overhead cost ------------------------------------------------------------------------------------7
6. Organization and Management Plan-------------------------------------------------------------------7
6.1 forms of business -----------------------------------------------------------------------------------------7
6.2 Organization structure -----------------------------------------------------------------------------------7
6.3Assessment of Risk----------------------------------------------------------------------------------------7
6.3.1Weakness of the Business ----------------------------------------------------------------------------8
6.3.2 Contingency plan -------------------------------------------------------------------------------------8
6.3.3 Effects of change Competition ---------------------------------------------------------------------8
7. Financial Plan---------------------------------------------------------------------------------------------8
7.1Capital requirement------------------------------------------------------------------------------------8
7.2 Sources of Start-Up Capital --------------------------------------------------------------------------8
7.3 monthly sales plan --------------------------------------------------------------------------------------9
7.4 cash flow statement------------------------------------------------------------------------------------10
7.5 Profit & loss statement---------------------------------------------------------------------------------11
7.6. Balance Sheet-----------------------------------------------------------------------------------------11
8. Appendix ----------------------------------------------------------------------------------------------12
 1. Executive summary

Surveying software Training center is the legal form of business will be

partnership .because this legal form is used to ,Easy to form, Low costs to start,
Added capital sources,Shared management and Possible tax advantages.

This business type is manufacturer to produce surveying software engineering such adesign
Design road ,Map prepared ,builidng constraction , estimate quantity , cadastral map etc

The main purpose of this business to give quality product for costumer . This
business is used to make a profit, create job opportunity and as well as the
government collect taxes and perform many projects as a result.

The capital requirement to start this business is 111312.00. This capital

requirement is cover by owner (partner )and we will expect a profit of
146006.1Eth .Br

Our target market will be community ,industry, hospital, school,hotel,bank

because in this lists of sector are you use uniform clothe so it is target markets of
our organization . in generally cloth is the basic needs of human binge so any
human are our target .

The location area selected or implement in Adama Ethiopia.this city are it has industry
dried port and suppliers so it is one advantage or opportunity.
This project will contribute to the economy in the following ways:

1. It will decrease unemployment rate by creating job opportunity.

2. It will help to generate income for individuals.
3. Owners will contribute to the development of the country’s economy by
paying business income tax.
4. It will promote the advancement of technology.
 2. Description of the venture
2.1 Brief description of the Products
Our survey software manufacturing business is to produce survey product such
Design road ,Map prepared ,builidng constraction , estimate
quantity ,road way, cadastral map etc
.this business to give quality product for costumer .
2.2 location or size of business
The location area selected or implement in Adama Ethiopia
the size of business or target market will be provide community ,industry, hospital,
school,hotel,bank etc . because in this lists of sector are you use different software
so it is one
advantage of opportunity our enterprise .
2.3 Reason for going to business
The first reason create this business is help to generate income for
individuals,Construction sector is more supported in government so it is
good opportunity .in this implemented town are it has industry park ,
dried port and suppliers so it is one advantage . Even though there are
few
competitors to produce quality products and selling at optimum cost, so it is
possible to penetrate
through the market.

2.4 Owner(s) profile

No Name Qualification Function in experience

the business
relevant
1 Mujib Ahmed Surveying Technology General Manager 7 Year
2 Dejen Niguse Surveying Technology Operation Manager 4Year
3 Samuel muse Surveying Technology Finance Manager 4 Year
4 Habtamu molla Surveying Technology Operator 3 Year
5 Maru sewnet Surveying Technology Operator 3 Year
6 Yosef adinew Surveying Technology Operator 3 Year
7 Terefe aklemayehu Surveying Technology Operator 3Year
3. Industry Analysis
3.1 Futures Outlook and Trends
Special business contractor primarily engaged in surveying manufacturing, including different
types of Design road ,Map prepared ,builidng constraction , estimate quantity ,road way.etc

.This surveying manufacturing will be more valuable than the others surveying industry from
other industries. Our achievement will basically on developing good relationship to upgrade and
expanded to others developing industry
3.2 Analyses of Competitors’
Currently there are more competitors and more experiences in surveying Small and medium
enterprise manufacturing but all are their is no quality product and no higher education
qualified manpower so we will be possible to penetrate through the market.
3.2.1 Strength of Competitors
The major strength of competitors are high experience, strong business network and easy access
to delivery.
3.2.2Weakness of Competitors
The weakness of competitors are low quality product since the product are traditional which are
not upgrade to new system of modern surveying for this century and you used no higher
education qualified manpower .
3.2.3Opportunity of Competitors
The opportunities of competitors are getting product to their nearest customers. Also the
opportunity of competitors is easy access to delivery their product as needed by customers.

3.2.4 Threat of competitors

The threats of competitors come from the product rivalry on the prices as well as in term of
quality.
4. MARKETING PLAN
4.1 Description of the market

The geographical area selected as implementations is adama Ethipoia Town.. In this town
are it has industry park , dried port and suppliers so it is good opportunity .

4.2 Marketing Plan Product

As we have conducted a market survey we have identified a high demand for our skill full
man power in give quality product for costumer .We planned to provide Design
road ,Map prepared ,builidng constraction , estimate quantity ,road way, cadastral map etc. which are
used to make a profit, create job opportunity .
 4.2.1 What is special about the product ? Our product different purposes so that we can have as

many customers as possible due to giving quality Surveying based on the standard d provided on

manufacturers manual and specifications.

4.3. Marketing Plan Price
product How much are How much H W
customers are ow much is hat are the reasons for
willing competitors your price setting your
to pay? price? your price? price
Highest 75.00 Highest 75.00
GIS 90.00 Our average price 70 is
enough
Average 70.00 Average 80.00 our enterprise to be profitable
but it is less than competitors
Lowest65.00 Lowest 65.00 cost. So, it is
optimumorfairforthecustomer

4.4 Marketing Plan Place

The planned location of the business is Adama. Demand for our business is high, we can get
sufficient working place and few similar competent project in the area.
4.5 Marketing Plan Promotion
Adequate and well organized promotion will be done on:
 public conferences and meetings using printed information’s, brochures, posters and we use Internet such
as Facebook, Twitter and Instagram
5. PRODUCTION PLAN

5.1 Production process: List of production steps are described as stated below.
Tack specification order from customer or tack different software .

Prepare working area and Select appropriate material.

prepare digital computer software

Labe assistance person

To prepared cadastral map and topographic map

Assemble the fabric of pieces prospectively

Finally Finishing the different map product by using color and symbols etc
5.2 List fixed assets needed and their cost

No Unit Specificat Quantity Unit Total Cost

ion
1 Computer pc 4 14500 58000
2 Eglepoint pc 1 17000 17000
software
3 GIS software pc 2 1000 2000
4 AutoCAD pc 2 1500 3000
software
5 ruler pc 3 100 300
6 blue print M2 5 70 350
7 table pc 2 1200 2400
8 Tape pc 4 250 1000
9 A-4 dust 50 650 6500
Total 90550.00

5.3 Factory/plant location and layout

Digital Material Equipment

Computer 1
processing store store

Computer 2
hard paper
Production
Print out transparent store

computer 3

Office
 5.4 List of raw materials needed
No item Specificati unit Quantity Unit Cost Total
on Cost
1 Computer pc dell 1 7500 750
0
2 Eglepoint pc pc 1 120 120
software
3 GIS software pc pc 2 50 100
4 AutoCAD pc pc 1 125 125
software
5 CD pc pc 1 56 56
6 blue print M2 pc 1 25 25
7 DVD pc pc 1 31 31
8 Civel survey pc pc 1 200 200
software
9 Gps software pc pc 1 150 150
10 Erdas software pc pc 1 155 155
Total 8462

5.5 Staff cost

No Name Qualification Position Salary

per
month
1 Mujib Ahmed Surveying Technology General Manager 2000
2 Dejen Niguse Surveying Technology Operation Manager 1800
3 Samuel muse Surveying Technology Finance Manager 1500
4 Habtamu molla Surveying Technology Operator 1200
5 Maru sewnet Surveying Technology Operator 1200
6 Yosef adinew Surveying Technology Operator 1200
7 Terefe Alemayehu Surveying Technology Operator 1200
Total 10100
5.6. Factory overhead expenses

No Overhead expenses Amount per month

1 Indirect labor /////
2 Electricity 160.00
3 Water supply 40.00
4 Telephone/Communication 200.00
5 interest on the bank loan /////
6 rent 3000.00
Total 3400.00

6. ORGANIZATION AND MANAGEMENT PLAN

6.1 forms of business

form of the business will be partnership

6.2 organizational structure G

FINANCIAL MANAGER OPERATIONAL

MANAGER

Seller
Operator 1
Operator 2

6. 3 Assessment of Risk
6.3.1 Weakness of the Business

Since surveying software manufacturing is a new business in adama area, there

will be a shortage of costumers and other challenges like it has industry park so higher
potentialinvestor may be came from this city areas.

6.3.2 Effects of change Competition

 Given the increasing number of surveying product that join the market, it is expected that
prices
will gradually decreases. However, rivalry is focus on such factors as performance feature,
new
product innovation, quality and durability, warranties after the sale product and brand image.
6,3.3 Contingency plan

Should the demand for the company’s products decreases, which does not require much
additional investment in surveying , our enterprising will be the position of running others
likes construction sectors.

7. FINANCIAL PLAN

7.1 Capital requirement

Capital requirement/project cost? Amount

Fixed Assets
 Land --------
 Building -------
 Equipments 90550.00
Total Fixed assets 90550.00
Working capital -----
- Operational costs of one months
Raw materials costs 8462.00
Staff cost of one month 8900.00

Overhead expenses 3400.00

Others ------
Total working capital 20762.00
Total start-up capital requirement 111312.00
7.2 Sources of Start-Up Capital or Sources of funding

Type Source Conditions(duration/interest) Amount

Equity capital Own savings -------- 120,000.00

Loan 1 Family or Friends -------------------------

Loan 2 Credit cooperative -----------------------

Bank loan

TOTAL FUNDING 120,000.00

 7.3 Month plans

MOTH 1 2 3 4 5 6 7 8 9 11 12
Egle point software Quantity 130 130 130 130 130 130 130 130 130 130 130
Cost 70 70 70 70 70 70 70 70 70 70 70
Total cost 9100 9100 9100 9100 9100 9100 9100 9100 9100 9100 9100

Civil survey Quantity 78 78 78 78 78 78 78 78 78 78 78

software Cost 150 150 150 150 150 150 150 150 150 150 150
Total cost 11700 11700 11700 11700 11700 11700 11700 11700 11700 11700 11700
Gis software Quantity 25 25 25 25 25 25 25 25 30 30 30
Cost 250 250 250 250 250 250 250 250 250 250 250
Total cost 6250 6250 6250 6250 6250 6250 6250 6250 7500 7500 7500
Erdas software Quantity 78 78 78 78 78 78 78 78 78 78 78
Cost 150 150 150 150 150 150 150 150 150 150 150
Total cost 11700 11700 11700 11700 11700 11700 11700 11700 11700 11700 11700
Al product cost Total 38750 38750 38750 38750 38750 38750 38750 38750 40000 40000 40000
operational
cost
Grand total 470, 000.00
10
 7.5 Profit and Loss Statement (Annual projected profit& loss statement)

sales 470,000

Sales cost 110006

Gross profit 359994

Less: Operating expenses

Salary expense 106800

Rent expense 40800

Total operating expense 147600

Net profit Before Tax 212394

Less: Estimated Income Tax 66387.9

Net profit After Tax 146006.1

7.6 Balance sheet

Assets Amount Liabilities Amount

Current Assets Current Liabilities
Cash at hand and 175456.1 Current Liabilities
bank Accounts payable
Accounts receivable Taxes payable
RM inventory Others payable
WIP inventory Total Current Liabilities
FG inventory Long-Term Liabilities
Total Current Assets Loans
Fixed Assets Others
 Land Owners Equity
 Building 90550.00 Capital 120,000
 Equipment's 90550.00 profit 146006.1
Total Fixed Assets 266006.1 Total liabilities & capital 266006.1
 8. Appendix
Calculate tax

No Form To Percen Reduced

t in Birr
reduced
%
0%
1 0 1800
-----
180
2 1801 7800 10%
15% 570
3 7801 16800
20% 1410
4 16801 28200
25% 2820
5 28201 42600
30% 4950
6 42601 60000
35% 7950
7 60001 above

For Manufacturing or Service Enterprises, 12 months

< 1800 – free from tax
(1801 to 7800) x 10% - 180 =
(7801 to 16800) x 15% - 570 =
(16801 to 28200) x 20% -1410 =
(28201 to 42600) x 25% -2820 =
(42601 to 60000) x 30% - 4950 =

(60001 and above) x 35% -7950 =