1.

Introduction

1.1 name & Address of the company

The name of that we assigned this name to the company is
to show the love off our country
1.2 Name and Address of partners

1.3 Nature of the company

The business plan that plan is Ethiopia computer repair center. The
plan will be found in Northern wollo Zone wuldia town which is far
from Addis Ababa around 571km The reason that why we select
this is that the site is the center of many customers, the weathers
to live is good, and the living standard of the people is not expensive
when comparing with Addis Ababa and any other town for
ourselves. The company will firstly (initially) form as a cooperation
of partnership by the friends. The founders of the business are live
in around the business center in Debre Birhan town the business
required at the starting is no more difficult for us. In cooperation
with our friend Bereket with a small enterprise with at least 50,000
paid up capital and micro workers enough. We are very certain that
and very confident that the businesses will be more attractive and
more profitable organization.
 1.4 Statement of financial ፦ Ethiopia computer repair center
provide enterprise planned to construct establish a
company with capital of 50,000 birr, the business
requirements of acquiring initial capital by borrowing from
financial institution personal capital and from close
relatives.

1.5 Statement of confidentiality of report

The owners of Ethiopia computer repair centers spend
money time, resources, and experience also different things
from thinking up on preparing this business plane which is
the result of all partners’ effort for this reason that should
not be transferred or copied to another Individual or
company.
1. Executive summary
As we mentioned above Ethiopia computer repair center is located
in Debre Birhan town. We will target people who place great
importance in their entertainment equipment and own higher-end
maintenance where repairing them would be more cost effective
that replacing them. The company will provide computer and
technical consulting (repairs, training, networking and upgrade
service) to local small businesses as well as home personal
computer uses. The company will focus on marketing,
responsiveness, quality, and creating and retaining customer
relations. The company is owned and managed by Henok who is
computer science profession and Bereket who is graduate in
Economics degree in Debre birhan University.

2.1 Mission
 Our goal is to set the standard for on-site computer solutions
through fast, on-site service and response. Our customers will
always receive one-on-one personal attention at a very affordable
price. Our customers will receive the highest quality of customer
service available. Our employees will receive extensive training a
great place to work fair pay and benefits, and incentive to use their
own good judgment to solve customers’ problems
2.2 Objectives
 To provide the best service available to the community at
an affordable price.
 To generate substantial market share so topic Repair is a
common name
 Constant growth in sales from start up through year three.
 To generate customer satisfaction so the at leans 100% of
our customer base is repeat business
2.3 Keys to Success
 Establishing a brand identify and generating and
recognition through racketing
 Responsiveness being an on-call computer paramedic
with fast response time.
 Quality setting the job done right the first time
offering 100% guarantee.
 Relationship developing loyal repeat customers-
retainers
2. Industry Analysis
3.1 Future outlook and trends
Future products and service that Ethiopia computer repair center
will prepare to provide computer and technical consulting (repairs,
to being networking and upgrade service) to local small businesses
as well as home personal computer, I VCRs and stereos, and repair
/ sale of microwave ovens. We also investigate the possibility of
offering a new product line of home entertainment cabinets at
some future date.
3.2 Analysis of competitors
The computer repair industry is highly competitive. Customers
choose computer repair and assistance services based on
reputation, previous experience, and price. They may choose to
return to a mediocre provider with whom they’re familiar, rather
than try out a new unknown company about whom they’ve heard
nothing. Large stores, especially the service departments of
national chains, have a great advantage simply in their affiliation
with an established brand. Establishing our brand identifies and a
great reputation in the first few months is critical to our success.
Once we have broken in to the local market, our great service will
turn new clients into permanents clients.
Our services will be second to no one and our prices will be very
reasonable for the high quality service we offer. By providing
superior service word of month alone will being in many new
clients. The satisfaction our customers find will keep them coming
back.

3.2.1 Strength of competitors

The major strength of our competitor is strong business
network and have excess capital because of this they have
high transportation cost and many branch in the region.
 3.2.2 Weakness of competitors
The weakness of our competitor is high quality production
and high price for the local market.
3.3 Market Segmentation
The existing computer service market is so extensive that
categorizing it is rather difficult. We have broken our potential
market down into two groups, based on their needs: home PC
users and small business clients.
3.3.1 Home PC User
Our home PC user market includes, generally between the ages of
30 and 70, with at least one home computer. We are not expecting
income from users below 30, who tend to be more comfortable with
technology and willing to attempt repairs .

On their own, without seeking professional assistance. Such home users

generally own a computer to do email, play games, write letters scan and
print photos, and occasionally to do bookkeeping or taxes. Home PC
users with more sophisticated applications generally have enough tech
savvy, from tech experience at work to do their own repairs and
upgrades. Their hardware needs will include the computer itself,
monitors, keyboards, mouse, printer and scanner.

3.3.2 Small Business Users

Small business users will provide the majority of our business revenue.
The small business market will be defined as customers within a 15 mile
radius, with 2 or more computers or a network will be defines purposes
at least 25% of the time. Their business use may include minor usage,
such as updating a business websites, keeping the books, designing
graphics and writing copy for press releases it may also be more
extensive incorporating inventory tracking customer databases, online
product/service delivery or product development the more intensive their
computer usage for business. the more critical it to them that their
technology work well and reliably, and that quality repairs and support
are available in a crisis. Their hardware needs will include the same
items as home users, plus servers, backup systems, data storage, and
wireless networking.

3.3.3 Industry forecast

The sales strategy is a prediction of controllable growth for the first year.
PC Repair will focus on quality and attention to detail to avoid some
potential pitfalls encountered by many new businesses. The predicted
growth is moderate in the home PC market and in the small business
arena. However, with aggressive advertising and word of mouth, this will
increase. Our aggressive TV advertising will increase our residential and
small business customer base as well as word of mouth within the first
year. Within a few months we will have the need for additional employees
to handle the work load. At that time, we will move into a leased space
with additional square footage, and buy a company vehicle to help with
the on-site calls.

4. Description of venture

4.1 Product and service Description

Personal computer Repair will offer computer repairs, training, and

networking and upgrade service to clients in two major categories home
PC users and small business users. As PC Repair and the client
demands grow we will offer software development to our business clients.
From the very first day we will offer on-site repair and consulting
services, so that our clients don’t need to take time out of their busy days
to haul a computer in to our workshop. Much of our diagnostic
equipment is portable and we will remove a PC to our workshop only
when the problem requires more detailed diagnosis or repair. We will also
offer free pick-up and delivery of PCs needing repair. To meet the growing
demand for this service, we will purchase a company vehicle in the third
month.

We will also offer extended maintenance contracts, so that business

clients can deal with technical support and repair needs as a single line-
item expense, rather than having to plan for unexpected crashes and
problems with a rainy-day fund they may never use. Maintenance
contracts yield a high gross margin for us, and provide peace of mind for
the customer.

4.2 Size of business

The owner of the computer repair company will invest 50,000 in the
company of Ethiopia computer repair center. We will also invest an
additional 70,000 when operation takes off in the April year2. In the
seconded year we suggest to invest 90,000birr.

4.3 Office Equipment and Personnel

There will be only one employee for the first few months; his salary is
directly related to the success of the business, and will never exceed 18%
of sales revenue. In the third month, we will move to a leased office space
and hire a second employee, with a third hire planned for August, if
projections are on target. We plan to hire additional part-time employees
in the second year, to better handle the increasing sales.
Our employees will be skilled professionals, with equally strong technical
and people skills. It is very important to the employee that they be paid
salaries commensurate with their abilities and dedication-happy tech
support people make for happy customers. To that end, our full-time
employees will receive health benefits (Premiums split between the
employee and PC Repair),

Paid holidays, and sick time. Those benefits are included in the payroll
totals listed below.

Office equipment’s and personnel

The following explained in Ethiopia

Requirement
Start-up Expenses 3,000
Legal

Stationery etc 300

Rent 1,000
Start-up inventory 15,000
Leased Equipment 1,500
Start-up Equipment 20,000

Other 0
Total start-up Expenses 40,800
Start-up Assets
Cash Required 9,200
Other current Assets 0
Long-term Assets 100,000
Total Assets 109,200
Total Requirements 150,000
4.4 Background of entrepreneur

The member’s rich experience in search which will significantly

contribute to the successful establishment and operation of repair
computer center.

4.5 Location of business

Our company Ethiopia computer repair center is takes place it shall be

located in Northern shewa zone Debre Birhan town .

5. Production plan

Computer centre is envisioned to be the low cost leader in repair

training, networking and upgrade service and home stereo repair for the
area that will also be able to making it the local leader in comprehensive
computer services.

The company will be partenership registered in Amhara state and owned

by the Ethiopia company especially by Henok and Breket. The firm will
have facilities on 530 W. prince Ave. The initial facilities will contain a
sales area, repair room in the back of the shop, office space and storage
for parts and equipment.

The company is seeking a loan in order to finance the start of operations

for the company. The owners will be putting up additional capital of their
own as equity.

6. Marketing plan

6.1 Pricing
This company will give all services for its customer in fair price. This low
payment can differentiate it from other pc repairing company.

6.2 Promotion

With aggressive advertising and word of mouth their product can be

increase. That means our aggressive IV advertising will increase our
residential and small business customer base as well as word of mouth
within the first year. Within a few months we will have the need for
additional employees to handle the work load. At that time, we will move
into a leased space with additional square footage, and buy a company
vehicle to help with the on-site calls.

6.3 Distribution

As a retail establishment employee people to handle sales transactions.

Computer literacy is a requirement for employee does not possess basic
computer skills when they are hired, they are trained by our full-time
technician is also available for customers in need of assistance
commitment to friendly, helpful service giving computer training for
customer is one of the key factors that differentiate from other computer
repair centre.

6.4 Controls

We will control our company to be competitive from other company by

decreasing the price of service which we give to our customer.

7. Organizational plan
 7.1 From of owner ship

Computer Repair centre was initially proposed as partnership in the

owner’s home however, recent feedback from ourmarketing has
suggested a much sales potential than originally imagined. This change
will provide additional legal protection for the owner, and will also
streamline the financial operations of the company as we expand the
personnel hvehicles and cell phones.

They have 3years of experience in the fields of technical support,

networking and computer training and repair. Will also spent the first
three years as the of a custom computer building and repair store, and
understand the computer needs of small businesses

7.2 Authority of partners

As explained before this company will be established by partnership they

have different authority in the activities of the company mainly
participate in controlling the whole activities and they will control the
material supply and management activities.

7.3 Management team background

The management team will also contain Bereket. Now he lives in town.
He graduate from Debre birhan University in economics and he have
experience in maintenance service for 3years.

Roles and responsibility of members of organization

Name Position Authority Background
Henok First degree Owner general He will graduate from
management Debre birhan
programmer university by
computer science in
this year
Bereket First degree Financial He is graduated from
manager Debre birhan
university 2007 and
now he is working in
different electronics
company especially in
Debre birhan

8. Assessment of risks

We have built this flexibility and expertise into business model in two
primary ways:

- Diversified income stream including both retail and wholesale sales

the following is a discussion of several scenarios that we have
developed to help be prepare in assessment of risks.
1. Low sale
2. Significant cost increase
3. High sales risk
4. key personnel loss risk
5. Equipment failure risk operation is dependent on equipment,
and equipment does break down. Strategy: have developed long-
term relationships with reliable maintenance firms over the last
 nine years of operation. In the few times that have had
problems,
Technologies
The technological revolution in computers has enhanced
abilities to diagnose and repair client’s home computers.
Ethiopia Computer repair center will remain on the cutting edge
by instituting the use of computer diagnostic equipment in its
shop. The company will continue to seek new ways to provide a
better service through technology.
9. Financial plan
The following is the financial plan for Ethiopia computer repair
center service.
9.1 Cash flow projections
Our projected cash flow is outlined in the following table.

Pro Mont Mont Mont Mont Mont Mont Mont Mont Mont Mont Mont Mont
forma h1 h2 h3 h4 h5 h6 h7 h8 h9 h10 h11 h12
cash flow
Cash 13,00 16,00 19,00 20,00 21,0 22,00 20,00 20,00 22,00 21,00 21,00 20,00
sales 0 0 0 0 00 0 0 0 0 0 0 0
Subtotal 13,00 16,00 19,00 20,00 21,0 22,00 20,00 20,00 22,00 21,00 21,00 20,00
cash 0 0 0 0 00 0 0 0 0 0 0 0
from
operations
Subtotal 13,00 16,00 19,00 20,00 21,0 22,00 20,00 20,00 22,00 21,00 21,00 20,00
cash 0 0 0 0 00 0 0 0 0 0 0 0
Received
Expenditu Mont Mont Mont Mont Mont Mont Mont Mont Mont Mont Mont Mont
res h1 h2 h3 h4 h5 h6 h7 h8 h9 h10 h11 h12
Cash 12,00 12,00 12,00 12,00 12,0 12,00 12,00 12,00 12,00 12,00 12,00 12,00
spending 0 0 0 0 00 0 0 0 0 0 0 0
Subtotal 12,1 16,7 17,6 18,7 19, 19,0 19,3 18,8 18,8 19,3 19,3 19,3
cash 56 10 84 35 091 53 28 83 99 60 41 43
spent
Net cash 844 710 1,31 1,26 1,9 2,94 673 1,11 3,10 1,64 1,65 657
flow 6 5 09 7 7 1 0 9
Cash 10,0 9,33 10,6 11,9 13, 16,7 17,4 18,5 21,6 23,3 24,9 25,6
balance 44 4 50 15 824 71 44 61 62 02 61 18
 9.2 Pro forma balance sheet

Year 1 Year 2 Year 3

Assets Cash 25,618 38,162 51,700
current Assets Other current Assets 0 0 0
Total current Assets 25,618 38,162 51,700
Long-term Assets Long-term Assets
Long-term Assets 100,000 100,000 100,000
Accumulated Depreciation 2,220 4,440 6,660
Total long-term Assets 97,780 95,780 93,340
Accounts payable 6,687 6,875 7,217
Current Borrowing 0 0 0
Other current liabilities 0 0 0
Liabilities and capital
Subtotal current liabilities 6,687 6,875 7,217
current liabilities
Current liabilities 100,000 100,000 100,000
Total liabilities 106,687 106,875 107,217
Paid-in capital 50,000 50,000 50,000
Retained Earnings (40,800) (33,289) (23,153)
Earnings 7,511 10,136 10,976
Total capital 16,711 26,847 37,823
Total liabilities and capital 123,398 133,722 145,040
Net worth 16,711 26,847 37,823
9.3 Break-even Analysis

Monthly units Break-even 52

Monthly revenue break-even 15,110
Assumptions: 10
Average per-unit revenue 12,300
Estimated monthly fixed cost 11,000

Table of content
 Contents
page

1. Introduction
--------------------------------------------------------------------------1
1.1 name & Address of the
company------------------------------------------1
1.2 Name and Address of
partners---------------------------------------------1
1.3 Nature of the
company------------------------------------------------------1
1.4 Statement of financial
need-------------------------------------------------2
1.5 Statement of confidentiality of
report-------------------------------------2
2. Executive
summary----------------------------------------------------------------2
2.1
Mission-------------------------------------------------------------------------
-3
2.2
Objectives---------------------------------------------------------------------
--3

2.3 Keys to
Success------------------------------------------------------------------3

3. Industry
Analysis------------------------------------------------------------------4
 3.1 Future outlook and
trends---------------------------------------------------4
3.2 Analysis of
competitors-------------------------------------------------------4
3.2.1 Strength of
competitors---------------------------------------------4
3.2.2 Weakness of competitors
------------------------------------------5
3.3 Market
Segmentation---------------------------------------------------------5

3.3.1 Home PC User------------------------------------------------------------5

3.3.2 Small Business Users

-------------------------------------------------------------5

3.3.3 Industry forecast

-------------------------------------------------------------------6

4. Description of
venture-----------------------------------------------------------------6

4.1 Product and service

Description-------------------------------------------------6

4.2 Size of
business---------------------------------------------------------------------7

4.3 Office Equipment and

Personnel---------------------------------------------------7

4.4 Background of entrepreneur

-------------------------------------------------9

5. Production
plan-------------------------------------------------------------------------9
6. Marketing
plan------------------------------------------------------------------------10

6.1
Pricing-----------------------------------------------------------------------------10

6.2
Promotion------------------------------------------------------------------------10

6.3
Distribution-------------------------------------------------------------------------
10

6.4
Controls-------------------------------------------------------------------------------
10

7. Organizational
plan------------------------------------------------------------------ 10

7.1 From of owner

ship--------------------------------------------------------------11

7.2 Authority of partners

--------------------------------------------------------------11

7.3 Management team

background---------------------------------------------------11

8. Assessment of
risks------------------------------------------------------------------12

9. Financial
plan-------------------------------------------------------------------------13

9.1 Cash flow

projections---------------------------------------------------------------13

9.2 Pro forma balance

sheet------------------------------------------------------------14
9.3 Break-even
Analysis-------------------------------------------------------------15

II