The Bishops’ High

School

Name of Student: Phebe Merell

Student Registration Number: 0900070595
Title of Project: Business Plan
(production of tomatoes)
Start Date:
Termination Date:
 Table of Contents
Topic Page no.

1) Description of business
- Name, nature, and form of business
- Mission statement
- Location and objectives of the business
2) Justification for the Business
- Market research
- SWOT analysis
- Product and services
- Justification of location
3) Market Plan
- Product/Service
- Pricing strategy
- Distribution channels
- Promotion mix
4) Operational Plan
- Management Structure
- Selection of appropriate labour
- Use of technology
5) Financial Plan
- Projected performance
- Sources of finance
6) Biblography

1
 DESCRIPTION OF BUSINESS

Name of business
Tomatino
Form of Business - Food Farming and Processing
Tomatino is a partnership business in the food industry that specializes in making tomato
sauce from the company’s own freshly grown tomatoes.
Mission Statement
To ensure that you are provided with the very best quality and to introduce the real meaning
of flavour into your diet.
Location
The headquarters are located at Lot 101 ninth street, Underside, East bank of Demerara
Guyana.
Nature of business
Tomatino is a food business with our main product being tomato sauce. We are dedicated to
providing you with the very best, fresh, nutritious, esculent, juicy, vibrant, and appealing
tomato sauce.
Objectives of Business

1. To guarantee that every purchased jar of tomato sauce will provide the customer with
an abundance of all the vitamins and minerals that our product has to offer.

2. To strive for customer satisfaction.

3. To make our business as environmentally friendly as possible by only using recyclable

and biodegradable means of packaging.

4. To enhance the experience of eating since our sauce can be added to almost all
dishes.

5. To alleviate world hunger by providing a food basket to those in need for every 12
jars of Tomatino tomato sauce that is purchased.

6. To sell high-quality products at an affordable price with a substantial profit.

2
 JUSTIFICATION OF BUSINESS

Target population/Market segment:

Kids and Adults ranging from the ages of 8-60

Size of market:
Nearby stores and villages

Price of similar products and/services:

Prices of similar products range between $300 to $1200

Main competitor: Gortillios Salsa

Availability and comparative price of Substitutes

Just like our product, similar products can also be found in supermarkets and stores
nationwide.
- Ragu's sauce - $920 in Massy stores.
- El Peptino - $620 in Bounty Supermarket
- Gortillio’s Salsa - $320 in Real Value Supermarket

Sales forecast
At a price of $500 per jar and with an average of 10 sales per day, we are expected to be
making a total of $1,680,000 each year, with the sale of 3360 jars of Tomatino tomato sauce.
By the end of approximately five (5) years, the business is expecting to gain customers’
loyalty and hopes to double its initial investment.

Industry outlook
The food industry comprises of many small to large-scale businesses that are related with
food item production, processing, supply, and distribution. It has grown rapidly over the last
50 years to meet the needs of the population as well as react to changing lifestyles; as such it
is likely to believe that the need for food and food services will continue to be in high
demand.

SWOT analysis:
● Strengths - we pride ourselves on our hand crafted high-quality tomato sauce that
we perfected and made by our seasoned experienced workers and our brand was
rated the second best tomato sauce locally in Guyana by food critics.
● Weaknesses - our recyclable and biodegradable means of packaging makes things
more costly.

3
 ● Opportunities - we have the means to upgrade our business by offering more than
just tomato sauce.
● Threats - the growing popularity of our rival company “Gortillio’s Salsa”

Justification of location:
1. There is no other business like this one in the area, so it will therefore lead to a
high-profit margin and there will also be no immediate competitors.
2. We are located in a community with low crime rates.
3. Accessibility to fertile agricultural lands that support our business are readily
available here.
4. Our location is permanent and the abundance of space offers alot of potential for
growth and expansion.

PRODUCTS AND SERVICES

Two (2) main features of our products and services offered are:
★ To make our business as environmentally friendly as possible by only using
recyclable and biodegradable packaging.

★ Giving a food basket to those in need for every twelve jars of Tomatino tomato
sauce that is purchased.

4
 MARKET PLAN
Product/Service
The logo was made attractive and enticing with the use of striking colour and lettering to
catch the attention of customers. By doing this, persons would be interested and more likely
to choose our product over a similar one they would see elsewhere. We pride ourselves on
our use of eco-friendly packaging (recycled packaging) to support the "go green" initiative.
We use glass jars to package our product; since it is sustainable, infinitely recyclable,
reusable, and refillable. For wholesale purchases, we package our product into cardboard
cases with twelve (12) jars of our Tomatino tomato sauce in each case. We use cardboard
because it is one of the materials with the least environmental impact and is also 100%
recyclable and biodegradable.

5
Branding/Company logo:

Company slogan: It's finger dipping good

Pricing Strategy - The pricing strategy that we will be using for our company is
“Value-based pricing. Taking this into consideration, initially, our opening price cannot be
too high or expensive, as that will discourage customers from purchasing our product. But
when some time passes and the company has gained customer loyalty, we plan to raise the
prices to what our product is actually valued at and our customers will be getting their
money’s worth.

Place (distribution channels)

Our company will be participating in hybrid distribution. This means that we we will be
using the means of both direct and indirect distribution channels to sell our product.
Consumers can either come and purchase our product directly from our company or they can
purchase it indirectly by buying it from either a wholesale or a retailer who has previously
purchased it from us.

6
Promotion Mix
A discount of 10% was given to all first-time customers. This was done so as to entice the
customers into buying our product; and once they try it and have fallen in love they will be
back to buy more, this time on their own accord. (similar to the “bait and hook” method)
For every twelve jars of Tomatino tomato sauce that is purchased, a food basket is given to
those in need. By doing this customers can actively do good and play a part in helping us to
alleviate world hunger.
From time to time (especially around certain holidays) we will be doing promotion giveaways
where our customers can be entered in to win various prizes by just simply purchasing our
products.

Promotion example - Flyer

7
 OPERATIONAL PLAN
Management Structure
Our business will have 3 general functional areas, each with its respective subdivisions to
manage the business more promptly and effectively

Reasons for doing the job ourselves:

Our produce will be produced right within the company and this will allow us:
1) Alot of flexibility if we ever need to alter/ change something about our produce
2) To ensure higher quality control
3) Have on-sight availability
4) Reducing and controlling operating costs.
5) Improving company focus.

Reasons for doing the job ourselves:

● Reducing and controlling operating costs.
● Improving company focus.

Selection of appropriate labour

Farm manager - 1
The farm manager was employed to grow, tend and harvest the crops, will also deal
with the day today runnings of the farm and pay the expenses to run the farm.
Product manager - 1
Will be responsible for the production and packaging of the product.
Sales manager - 1
Will be responsible for the product's price and any promotions or deals.

1. Use of technology to enhance the efficiency of the business

✔ Labelling machines- used to apply the business’s logo and label onto the packages.
✔ Combiner- used to mix and cook the ingredients for the tomato sauce.
✔ Jar sterilizer- used to sterilize glass jars.
✔ Filler- used to fill the jars with the product.
✔ Sealing Machine- used to seal jars with an airtight seal.

8
 Financial Plan
Tomatino
Profit and Loss Account
For the year ended November 31st, 2022
$
Gross Profit 190 000

Less expenses
Carriage outwards 4 200
Wages and salaries 18 000
Utility 3 000
Provision for depreciation on equipment 2 800
(28 000)
Net Profit 162 000

Tomatino
Balance sheet
As at November 31st, 2022
Non-Current Assets $ $ $
Land 112 000
Building 80 000
Equipment 28 000
Less provision for depreciation on equipment 2 800
222 800
Current Assets
Debtors 400
Bank 56 500
Cash in hand 7 800
64 700
Less Current Liabilities
Creditors (500)
64 200
287 000
Financed by:
Capitol:
Merell 77 000
Add Current Account 50 000
127 000
Fredericks 92 000
Add Current Account 68 000
160 000
287 000
Source of income
The main source of income was the capital brought into the business from the two
partners/shareholders.

9
Bibliography

Nordquist, Richard. "Bibliography: Definition and Examples." ThoughtCo, Aug. 27,

2020, thoughtco.com/what-is-bibliography-1689169.

Hibbard, Jonathan D. , Kotler, Philip and Grayson, Kent A.. "marketing".

Encyclopedia Britannica, 3 Mar. 2023, https://www.britannica.com/topic/marketing.
Accessed 17 March 2023.

Woodward, S. Nicholas. "business organization". Encyclopedia Britannica, 9 Nov.

2022, https://www.britannica.com/topic/business-organization. Accessed 17 March
2023.

Gerald.B.2019“tlassian”.com/software/confluence/templates?&aceid=&adposition=
&adgroup=141041028226&campaign=18377446468&creative=640074107678&dev
ic

10