WAKA CMEC TRAINING INSTITUTE COLLEGE

CERTIFICATE IN HEALTH CARE ASSISTANT

TASK: BUSINESS PLAN

STUDENT NAME: ROSE WANJIKU MAHURO

ADM.NO: CHA/016/2023

NAME OF SUPERVISOR ___________

DATE OF SUBMISSION____________ SIGNATURE____________

DECLARATION

I declare that this business plan is my original work and has not been presented to any
other examination body. The production of this business plan should not be done without
the consent of the author or the institution.

NAME: …………………………………………………………

SIGNATURE:………………….DATE:………………………………….

DECLARATION BY THE SUPERVISOR THIS BUSINESS PLAN HAS BEEN

SUBMITTED WITH MY APPROVAL AS THE SUPERVISOR

NAME: SIGNATURE:…………………………….DATE:
……………………………………………

This project is dedicated to my family members, for their love, support and care that they have
shown me during my studies’. I would also like to dedicate my work to the director; Rosemary
Wacuka whose guidance have been instrumental in shaping my research skill and knowledge.
Her mentorship has been an invaluable asset to my academic and personal growth.

ACKNOWLEDGEMENT

I dedicate this business plan to beloved parents for their financial support which lead to the
successful of this business plan. Am also grateful to the almighty God for the gift of life, good
health and strength to be able to finish this work. I would like to express my special gratitude to
my lecturer Mr. Antony Matu for his guidance throughout my business plan research.
Contents
EXECUTIVE SUMMARY.................................................................................................................................5
CHAPTER I....................................................................................................................................................7
1.0BUSINESS NAME.................................................................................................................................7
1.1BUSINESS LOCATION..........................................................................................................................7
1.2BUSINESS ADDRESS............................................................................................................................7
1.3 FORM OF OWNERSHIP.......................................................................................................................9
1.4 BUSINESS MISSION............................................................................................................................9
1.5BUSINESS VISION................................................................................................................................9
1.6 SERVICES OFFERED............................................................................................................................9
1.7JUSTIFICATION OF THE BUSINESS OPPORTUNITY...............................................................................9
1.8THE INDUSTRY..................................................................................................................................10
1.9THE INDUSTRY TREND......................................................................................................................10
2.0 BUSINESS OBJECTIVES.................................................................................................................10
2.0.1BRAND AWARENESS..................................................................................................................10
2.0.2 ATTENDING WORKSHOP/SEMINARS........................................................................................10
2.0.3 GET A PROFESSIONAL CERTIFICATION......................................................................................11
2.0.4 IMPROVE COMMUNICATION SKILLS.........................................................................................11
2.0.5 TRACK MY MONTHLY BUDGET..................................................................................................11
2.0.6DIFFERENT TYPES OF PAID ADVERTISMENT...............................................................................11
2.1.0LONG TERM GOALS...................................................................................................................11
2.1.1 SEARCH ENGINE OPTIMIZATION...............................................................................................11
2.1.2 SOCIAL MEDIA: I........................................................................................................................11
2.1.3 BUILDING MY BRAND:..............................................................................................................11
2.1.4 OPEN MULTIPLE BRANCHES:....................................................................................................11
2.1.5 INCREASE PERSONAL WEALTH..................................................................................................12
2.1.6 GIVE BACK TO THE SOCIETY......................................................................................................12
3.0ENTRY AND GROWTH.......................................................................................................................12
3.1SET CLEAR GOALS.............................................................................................................................12
3.2RESEARCH YOUR MARKET................................................................................................................13
3.3CHOOSE OUR MODE OF ENTRY........................................................................................................13
3.4WE SHALL CONSIDER FINANCING AND INSURANCE NEEDS..............................................................13
3.5WE SHALL DEVELOP THE STRATEGY DOCUMENT.............................................................................13
 4.0GROWTH STRATEGY.........................................................................................................................14
5.0 COMPETITIONS................................................................................................................................14
CHAPTER 2.................................................................................................................................................15
2.0MARKETING PLAN.............................................................................................................................15
2.1CUSTOMERS.....................................................................................................................................15
2.2MARKET SHARE................................................................................................................................16
2.3SALES PROMOTION..........................................................................................................................17
2.4PRICING STRATEGY...........................................................................................................................17
CHAPTER 3.................................................................................................................................................18
3.0ORGANIZATION AND MARKET PLAN................................................................................................18
3.2BUSINESS MANAGER AND QUALIFICATIONS....................................................................................20
3.2.1Qualifications.................................................................................................................................20
3.2.2Key management...........................................................................................................................20
3.3 Recruitment, training and promotion..............................................................................................20
3.3.0 Recruitment..................................................................................................................................20
3.3.1Training..........................................................................................................................................20
3.3.2Promotions....................................................................................................................................21
3.4Remunerating and incentives...........................................................................................................21
3.4.0Remuneration................................................................................................................................21
3.4.1 Incentives......................................................................................................................................21
3.5 License, permit and by-laws............................................................................................................21
3.5.0Permits......................................................................................................................................22
3.5.1By-laws..........................................................................................................................................22
3.5.2Support services............................................................................................................................22
CHAPTER FOUR..........................................................................................................................................23
4.0OPERATION PLAN.............................................................................................................................23
4.1OPERATIONAL FACILITIES AND CAPACITY.........................................................................................23
4.2Services delivery...............................................................................................................................23
4.3 Tools and equipment.......................................................................................................................23
4.4MAINTENANCE OF TOOLS AND EQUIPMENT....................................................................................24
4.5SERVICE DELIVERY STRATEGY...........................................................................................................24
4.6OPERATIONAL STRATEGY.................................................................................................................25
4.7OPERATIONAL COST.........................................................................................................................25
 4.8REGULATION AFFECTING OPERATIONS............................................................................................26
4.9FACTORS AFFECTING THE PRODUCTION PROCESS...........................................................................26
4.9.0REGULATIONS AFFECTING OPERATION.....................................................................................27
4.9.1WORKER COMPENSATION.........................................................................................................27
CHAPTER 5.................................................................................................................................................28
5.0FINANCIAL PLAN...............................................................................................................................28
5.1PRE-OPERATIONAL COAST................................................................................................................28
5.2Estimation of working capital for the year starting 3rd July.............................................................29
5.3Projected Cash Flow in the First year................................................................................................29
5.4Proposed capitalization....................................................................................................................30
6.0Appendix..............................................................................................................................................31
6.1References........................................................................................................................................31
EXECUTIVE SUMMARY
CHAPTER ONE

BUSINESS DESCRIPTION

The business will be situated at Nairobi city. The business name will be African Beauty fashion
and design the business address and location will be;

AFRICAN BEAUTY FASHION AND DESIGN.

P.O BOX 49077-1000

NAIROBI,

KENYA

It will be a sole proprietorship type of business and I will be managing it. The business will be
located at Nyeri.
Purpose of the business
In this chapter; I have indicated the business name, location, address of my business, explained
the form of ownership and type of business, have indicated the type of products offered,
justification of opportunities, the industry, the goals of the business, explained entry strategy and
growth strategy.
Chapter two
In this chapter; I have stated the different types of customers, market share, and competition.
Explained the method of promotion and advertising including the pricing strategy, and sales
tactics, and finally highlighted the distribution strategy.
Chapter Three

In this chapter; have explained duties and responsibilities of the manager are highlighted
including those of other personnel. I have included recruitment, training, and promotions
method. stated the requirement of each personnel. Explained remuneration and incentives to be
given to the personnel. Legal requirements for the start-up are outlined in this section.
Chapter Four

In this chapter; I have discussed the following; service procedures, regulations affecting
operations, Services deliver, Tools and equipment Maintenance of tools and equipment Service
delivery strategy, Factors Affecting the Production Process Rules and regulations affecting
operation, Worker compensation.

Chapter 5

In this chapter; I have discussed the following; Financial plans, pre-operational costs, working
capital requirements, Projected cash flow in the first year, Funds required, proposed
capitalizations
CHAPTER I
1.0BUSINESS NAME.
AFRICAN
The proposed name of the business will be AFRICAN BEAUTY FASHION AND DESIGN
KCB BANK
BEAUTY
proposedFASHION
name was seen as easy for the customers to memorize hence cannot give them a hard
AND
time when describing it to other friends that might, in turn, be customers also. It will be a
DESIGN
business committed to offering the customers with the everyday trending fashion and at cheap

GAKERE ROAD
and affordable prize. The fashion affected at elegant fashion and design will be unique, descent,
STAGE
affordable and fashionable

1.1BUSINESS LOCATION
The business will be located at Gakere Road in Nyeri town. The reason to why I chose that
location is due to high number of people as they board the bus. There is less completion along
that area. This will make it easily accessible to all the customers of al the goes. The area is also
highly centered and most people from the bank and stage will be able to access it
Navia’s
supermarket
1.2BUSINESS ADDRESS.

TEL NO: +254702613691

EMAIL: rosemahuro@gmail.com
STAGE

WEBSITE: www.africabeauty.co.ke
1.3 FORM OF OWNERSHIP
The form of business will be sole proprietorship. The reason why I choose Running business as a
sole partnership is due to the following reasons;

 It will enhance easily running of the business

 Decision making will be easy
 Will enjoy full profit of the business
 It will be easy to implement the business
 I will be in charge

1.4 BUSINESS MISSION

The business mission will be to provide unique descent fashionable and affordable wears.

1.5BUSINESS VISION
The vision will be to be one of the leading clothes supplies and designers.

1.6 SERVICES OFFERED

The business main clothes will be about African wear. We will also be designing clothes for
our clients who could be holding events like wedding or Ruracio Our products will be unique
in that we shall include some African and Asian styles. This will make our products more
active. We shall also provide a wide range of payment services which will include cash,
credit Services to our continue services and the Lipa na Mpesa.

1.7JUSTIFICATION OF THE BUSINESS OPPORTUNITY.

With the everyday changing fashion, the business will be very ideal to create awareness of the
trending fashion to the clients. This will ensure that our customers will be satisfied with the
products and services that we shall be offering. Since people frequently feels that it’s time to
change their Wardrobe with unique Fashions and this shall be there to our advantage Or Such
opportunities. We shall be there for those who need unique African designs for their wedding or
any other Occasions. Clothes are always trending and hence the business will always remain
relevant to the population
1.8THE INDUSTRY
The industry is the clothing industry, because of the everyday changing fashions and fashion
awareness from the internet, the industry is growing in our country. With much business these
services the industry is growing rapidly Future, the profits will be marvelous by hiring a
qualified designer the client will have confidence in my business increasing the volume of sale
The Clothing industry will continue to grow as more people are becoming interested in this field.
To Keep up with the industry all new trends shall be embraced

1.9THE INDUSTRY TREND

The emergence of intelligent equipment like sewing technology in 3D, computer embroidery and
laser cutting have made designs more fashionable hence promoting our business to take growth
so that we can retain our customer. Joseph Meleji, a fashion enthusiast at MJ Apparel Kenya says
there are a lot of ways technology is changing the fashion industry. Designers now can use
applications like Pinterest to source and re-design ideas and transform them into reality.
Merchandising has enhanced the marketing and selling of fashion products. Social media has
become an invaluable tool that enhances sales. We plan to use celebrities, influencers, friends,
friends of friends, and referrals among others are the best strategy to enhance our sale in future

2.0 BUSINESS OBJECTIVES

2.0.1BRAND AWARENESS: Consistently creating high quality content that speaks to my
target audience. Which will position me and my company as a helpful, knowledgeable
subject matter expert. As a result, ill build trust with the audience and increase the likelihood
that they’ll think of my company when they need my services

2.0.2 ATTENDING WORKSHOP/SEMINARS: My employees and I will be attending seminars

and workshops on digital marketing where other people’s experiences maybe a source of
deepening our knowledge and enlighten which gives me and my company an opportunity to
expand my network.

2.0.3 GET A PROFESSIONAL CERTIFICATION: Certification will show my willingness to work

and achieve better results for my company’s success, I will also encourage my employees to
improve our competence with the latest work trend and practices. Where more certification will
help my company build a good resume and linked profile.

2.0.4 IMPROVE COMMUNICATION SKILLS: Will work on the company communication skills
with the clients where they will receive warm welcoming, patience and good courtesy which will
make them want to come back

2.0.5 TRACK MY MONTHLY BUDGET: I will be keeping an eye to my monthly budget statement
and utility bills which will help cut off any unnecessary spending habits

2.0.6DIFFERENT TYPES OF PAID ADVERTISMENT: These methods designed to give quick

results such as boost conversations e.g. pay per click (ppc)

2.1.0LONG TERM GOALS

2.1.1 SEARCH ENGINE OPTIMIZATION (SEO): This is the practice of increasing the quantity
and quality traffic to my company’s website through organic search engine result

2.1.2 SOCIAL MEDIA: I will focus my efforts on posting regular content and building my
following where when I eventually have a huge following it will improve my (SEO) by
encouraging link growth to my domain (address of my website that people type in their business

2.1.3 BUILDING MY BRAND: I can build my brand while implementing the previous strategies.
Building brand name in (SEO) can include putting my brand name /companies name at the end
of the tag, so that every time someone sees a product from my website, they will also see the
brand name. And if my company name appears multiple times customers are most likely to
purchase from my site

2.1.4 OPEN MULTIPLE BRANCHES: With the profits gained from my company some of it will
be used in opening other branches in a period of time.

2.1.5 INCREASE PERSONAL WEALTH: I will increase my financial resources by the money I
earn from the company’s profit to venture into new business opportunities.

2.1.6 GIVE BACK TO THE SOCIETY: Having achieved the success of the company it is important
and necessary to give back to the society. Hence, I will mentor and sponsor students willing to
venture into online marketing
In two years’, time the business shall have included the consultation to our clients in period to
about ten years the business is expected to have thrived and became a leading fashions firm that
is well known to many clients all over the country

3.0ENTRY AND GROWTH

Since the market is growing at a high rate it will be easy to do some advertisement to market the
business so as to meet the everyday impressing demand. We shall market the business through
our friends, social media including Facebook, twitter, website we shall offer discount to our first
client to ensure we retain in our business. At first, we shall offer our services at lower prices to
our competition

I will acquire a license and franchise where I will have legal rights to in-market parties to use my
company’s name and I will be able to sell my services

I will also build my intelligence network where I will have to research on consumer habits,
culture, legal status, taxes and local business practices

My business will create a winning market entry strategy to expand into a new market through:

3.1SET CLEAR GOALS

We are going to set goal which will help us to:

 Achieve our exporting project,

 Achieve our business goals for the expansion
 Achieve our targeted level of sales
 Achieve the target markets
 Maintain timeline for achieving our goals

3.2RESEARCH YOUR MARKET

We are going to do research which will help us to acquire information about the following
factors which will determine the growth of our business;
 Size of the market
 Consumer trends, needs and perceptions of products like yours
 Domestic and international competition
 Our unique value proposition in the market
  Regulatory, certification, trade and other barriers and opportunities
 Potential support from Canadian and foreign governments for your exports

This information will give us a good sense of whether a target market is suitable or not for you
our business

3.3CHOOSE OUR MODE OF ENTRY

During our entry into the market place, we are considering the following;

 Use the services of an in-country distributor or agent to offer our services.

 Acquire some existing local business which are not during well.
 Partnering with a local business. This can take various forms, such as franchising,
licensing, a joint venture, co-production and cross-manufacturing.
 Selling through online marketplaces.
 Offering direct sales through your e-commerce site.
 Selling indirectly to a target market through another company that exports

3.4WE SHALL CONSIDER FINANCING AND INSURANCE NEEDS

During this phase we are to determine the amount and type of financing organization that
will support us venture. We also considered getting credit insurance in case a customer
doesn’t pay or a contract is cancelled to act on behalf of our country

performance security insurance in case a customer wrongfully calls a letter of guarantee or in

the event of political risks

3.5WE SHALL DEVELOP THE STRATEGY DOCUMENT

This document will be handy for arranging any needed financing and as a framework that our
business requires
4.0GROWTH STRATEGY
In future we shall be designing clothes to our clients for events e.g. wedding at discounted rate to
ensure that the clients have faith in us. Though the business is not well establishment in the
industry we shall take care of that providing the beauty customer Service in the region. We shall
also offer discount rates to our customers in order to ensure that the business thrives;

 Offering quality, durable product that will ensure that our customers make purchases
 Offering products that are affordable to attract all level of income earners
 Offering all types of discounts
 Observing personal integrity and ethics-This will be achieved through the presentation of
the caregiving services in a professional way.
 Maintaining a friendly, personal relationship with the clients and providing technical
information on the company services

5.0 COMPETITIONS
Our main competition will be Jade collection. Dope collection fashion rockers much price
collection. All gender collection. This is because all the listed business offers unique and
trending fashion. We shall also get competition from professional dress makers as most
customers prefer making their clothes in a unique way and they can easily access this through the
professional dress makers. Due to this unique fashion intend to impasse policies that will favor
customers at all level. Its location will attract customers because of the mentality that in the
central business location prices tend to high. High customer's services affordable and location
will serve as our main strength
CHAPTER 2
2.0MARKETING PLAN
2.1CUSTOMERS
The main target customers for unique fashions will be middle level earner, at the initial stage.
this comprise of the people working in the stage, bank, supermarket and those living within the
area market and also those employed by the private sector government. When the business
expands, we shall segment it to chapter four where those earning low income and middle level
earner and the high-income earners shall all get to buy in our business.

The business will be centrally located and hence it will be easily accessible to the customers. As
the business expands, we shall offer delivery services to those who purchase our products in bulk
Most of our customers are assumed to make purchase on a monthly basis. However, as the
business we small offer wholesale services of basis. As the business Startup the purchasing are
estimated to increase at the rate of 10 % quarterly. This is because we shall be offering unique
quality and affordable products. A Marketing plans the business set up shall be offer credited
facilities to our long-term customers. we shall also offer the Lipan a m-pesa option and in future
use credit and debit 1orpayiment.The business will be opening at 7.00 am and closing at 7.00pm
hence giving all our customers humble time to shop even after work for those employed
2.2MARKET SHARE
At the initial stages the business market share will be about 20%

Sales

african desigh jades

African beauty fashion and design will use cheap method of advertising during the first stage
which will include printing posters and the social media which will include

 Facebook
 Twitter
 Website
 Instagram

We shall also request our friends to reach out to their friends hence creating a solid network of
customers. We shall use part of our savings and part of the ploughed back profit for
advertisement at fruit NYERI TV or advertisement is estimated to be ksh 1000 but the cost is
estimated to be higher as the business thrives the impact of advertisement will be measured by
the increment in the sole volume and the number of new customers registered in the business
2.3SALES PROMOTION
This refers to the method that are adapted by the business in order to increase the volume of sales
hence increasing the profitability of the business.

As the Business startup we shall offer free services e.g. delivery our products to the Customers.
We shall also offer high discount especially to our first customers. The electiveness of the sales
promotion will be measured by the enquiries made by. Our new customers responding the
promotion products. At the initial stages the business will spent about ksh 7000 on the sales
promotion which will constitute of ploughed bad profits and contribution from personal savings.
We shall look for cheap products from Nairobi market to enhance the attentiveness of the sales
My company will have several sales people who will do the advertising of the company through
social media platform. This includes paying bloggers & vloggers for advertising the company. I
will also sell the services directly to the customers by identifying potential clients, approaching
them and convincing them to market their company with us promotion at affordable rates.

2.4PRICING STRATEGY
The prices of our products and services will vary depending on various factors including;

 That manufacturer of the products

 Income levels of different customers
 Quality of products purchased
 Competition prices

The cost of the products will be highly variable as it will be influenced by many factors Our
dressers will range from ksh 200-1000. However, the prices are expected to vary as the changes
occur.
CHAPTER 3
3.0ORGANIZATION AND MARKET PLAN
In African beauty fashion there will a good management team which will be led by ROSE
WANJIKU MAHURO the C.E.O, followed by the manager, secretary and the sales team

C.E.O

MANAGER

SALES SUPPORT
SECRETARY
TEAM STAFF
3.1OWNER MANAGER AND QUALIFICATTON

The owner manager is generally the owner of the business of the business manager. The
management of the business involves planning organizing directly and staffing. The business
manager of African beauty fashion will be ROSE WANJIKU MAHURO and will work full time
at the business. The manager has the responsibility of ensuring that all the business activities are
carried out as required by the set objectives. The manager has the responsibility of ensuring that
all the business activities are carried out as required by the set objectives.

The main responsibility of the C.E.O is to ;

 Ensure that the policies are made and implement

 Raise the necessary resources and make the budget
 Monitor the products and services delivered

3.2BUSINESS MANAGER AND QUALIFICATIONS

3.2.1Qualifications
The business manager will need to have a degree in sales and marketing, have computer skills
and experience of about one year and above

Duties and responsibility

The manager will have the following responsibility.

 Attending to any sales problems

 Offering methods of easier marketing
 Communicating with the customer about their product or service marketing
 Giving quotations based on the job being done

3.2.2Key management
The key component of African beauty fashion will be the company strategy, customer
experience, content creation, channel promotion
3.3 Recruitment, training and promotion
3.3.0 Recruitment
The recruitment in African beauty fashion will be done when there are more customer and need
for advertising increases. The advertisement of vacancy will be done online through the
company’s website

 The application will be sent through the company’s email

 The shortlisting will be done based on how much skill and experience one has
 The manager and I will be in charge of conducting the interviews
 The qualified participant will be sent an invitation letter through their emails
 Once they join the company, they will be given a training on how our company works

3.3.1Training
The African beauty fashion company will invite a professional sales marketer once every four
months to train employees on new methods of marketing and advance their ideas

My sales team will be encouraged to visit workshops and seminars at least once after 6 months

3.3.2Promotions
The digital solutions employees will be given promotion depending on who comes up with a
creative method of marketing and makes the most sales with it within a period of time

3.4Remunerating and incentives

3.4.0Remuneration
I will motivate my employees by giving them a fair salary which will be increased by 7%every
3years.The working hours will be 8:00-4:00 and incase overtime work will be paid 600 for every
hour.

3.4.1 Incentives
On the top salary African beauty fashion will offer lunch and tea to the employees for free,
annual leave, bonuses depending on the sales annually and a commission to the best marketer
3.5 License, permit and by-laws
The African beauty fashion license will be obtained from the registrar of companies within the
office of the attorney general where the cost of the license will be ksh 850 for the application fee
for the BN/2 statement of particular registration

Licenses Issuing authority Fee

Trade license Nyeri council 8000

Income tax Kra Pin no. Free

Business registration Registrars of companies 1000

and society
Public health Public health officer 2000

3.5.0Permits
The application of my business permit can be done online using e-pay Nyeri county portal or
obtained from the registrar of companies within the attorney general office where the registration
fee will be 200 and an additional 15,000 if your business has up to 5 employees

3.5.1By-laws
The requirement before starting a business in Kenya are that you should have

(I) Business name or a company registration

(ii) City council business permits

(iii)Food & Health related permit

(iv) Fire safety certificate

(v)Get your company insured

3.5.2Support services
African beauty fashion Company will get an insurance cover from the jubilee insurance
company.

The company will also give health covers to the employees

Servicing of computers, maintenance and virus update will also be given by once every two
months

CHAPTER FOUR
4.0OPERATION PLAN
The operation plan describes the physical necessities of the business operation for example
facilities and the equipment that will be used in the business

4.1OPERATIONAL FACILITIES AND CAPACITY

African beauty fashion will be not requiring a wide e variety of machines as clothes will be ready
made, however the sewing machine will be used in accordance with the customer requirement
and measure system located in area of road and the business promise will comprise of 3 office
washroom and managing. Customer wills come in through the entrance and be welcome by the
manager after the security checking the security officer. They will choose the wears of their
choice and try them at the areas of the designer.

4.2Services delivery
Service providers will be coordinated from the agency offices. Clients will order services from
the agency by calling through the provided service, lines. The caregiver administrator will take
the details of the client regarding the location and the service delivery required. After payment of
the required service fees, a caregiver will be allocated and dispatched to the location using a
motorbike rider or a taxi, in case of emergency.

4.3 Tools and equipment

The table below shows a list of tools and equipment required, quantity and costs

Item description quantity Cost Total cost

Weighing machine 2 1500 3000
Bp machine 2 700 1400
Clothes Hagger 1000 100 100000
couch 5 20000 100000
Computer 2 20000 40000
mirror 2 500 1000
Computer server 2 5000 10000
Cash book 2 500 1000
Meter scale 2 100 200
Extensions cable 4 400 1600
Telephone 2 10000 20000
Office desk 2 3500 7000
Rent deposit 1 3000 30000
Total 22 47600 119,000
4.4MAINTENANCE OF TOOLS AND EQUIPMENT
It is a policy that every tool that may break will be reported to the caregiver administrator who
will make necessary arrangements for repair and maintenance with the supplier or available
technicians. Repair and maintenance of tools and equipment will be done regularly to ensure that
clients are well-served,

4.5SERVICE DELIVERY STRATEGY

a) Labour

The agency will require the following personnel

Title No of post Salary/month allowances Total salary

Manager 1 30000 9000 37000
Assistant 1 25000 7000 25000
administrator
Secretary 2 13000 6000 38000
Driver 2 10000 5000 30000
Security person 2 7000 3000 20000
Total 8 65000 30000 150000

4.6OPERATIONAL STRATEGY
African beauty fashion and design we shall ensure that we give our customer high quality
services by listening to their feedback and putting it into practice. These will make the customers
feel well and continue purchasing. The manage and the assistant manager will be in charge of
supervising the workers to ensure that they provide services as required
Item Cost

Clothes material 50000

Sewing tools 2000

Total 52000

Item Cost

Salaries 150000

Allowances 30000

Overtime Payment 20000

4.7OPERATIONAL COST
African beauty fashion and design the customer will get readymade outfits at all coast. The
business main clients will be assumed to be freedom to walk around customer all the hanging
clothes and choice their like. They shall then pay at the cashier’s desk where they shall pay
through credit or debit card or MPESA or cash then be packed in paper beaching the business
use name and the leave through the exit door

4.8REGULATION AFFECTING OPERATIONS

We shall set our own code of ethics that will be allowed by the employees at the premise. We
shall also ensure that we abide by all the government rules and regulation to ensure there’s a
smooth running of the business without any complaints from the government. All the required
taxes will be paid to the government as required and on time. Some of the business guiding rule
will be

 Every individual right will be respect.

 Ensure that all employees maintain high customer service s
 Deposit should be made daily
 Salary should be paid before 1st every month
4.9FACTORS AFFECTING THE PRODUCTION PROCESS
These factors are classified into two; external and internal factors.

External factors are those factors from outside that affect the operation of the business which
include;

 government policies

 Competition

 Electricity failure

 Natural calamities

These are solutions to each of them that the owner can do;

 In case of electricity failure, the agency has got high voltage for backup.

 In case of competition, the owner seeks the weakness of competitors and tries to perfect it
to attract more customers

The internal factors are those factors that affect the business operation from inside, these are:

 Theft

 Strikes by the employees

 Frequent machine breakdown

The solutions to this problem have been reached to minimize the loss;

 Tight security to minimize theft

 Payment of good salaries to reduce the chances of a strike

 The hiring of qualified technician who keeps these machines working in case of a
breakdown
4.9.0REGULATIONS AFFECTING OPERATION
The owner of the business will be familiar with and adhere to the following operations
affecting the business.

 Business registration
 Employer act
 Environmental policies
 Public health act
 Salaries deduction e.g NSSF, NHIF, PAYE
 Income tax regulations

4.9.1WORKER COMPENSATION
Acts Caps Stated
Income tax 236 The government
organs of revenue
collection initiate a
value added tax(V.A.T)
16% total earnings
Health act 107/242 Every worker must be
protected from
harmful health
conditions
Environmental act 48/46 Environment should be
kept clean
Work compensation 507/78 Any worker who get
act injured must be
compensated
Insurance policy 68 Ensure survival of the
business in case of any
risk that may occur
abruptly
CHAPTER 5
5.0FINANCIAL PLAN
In this chapter the finance of the business are analyses and how they will be managed to
ensure that the profit of the business are analyses

5.1PRE-OPERATIONAL COAST
These are costs incurred before the beginning of the business. They include;

Item amount
African wear 117400
Furniture and fittings 16000
Telephone 20,000
Rental deposit 30,000
License 11000
Insurance 5000
Advertisement 5000
Motor vehicle 1,000,000
Motor vehicle maintenance 30,000
Total 1,234,400
1264400
5.2Estimation of working capital for the year starting 3rd July
ITEM NO DESCRIPTION AMOUNT (KSH)
A CURRENT ASSET
1 Stock 50000
2 Debtors 40000
3 Cash at bank 70000
4 Cash at hand 45000
Total current asset 610,000

5.3Projected Cash Flow in the First year

Outflows

Preoperational costs

Monthly expenses per year 215000* 12 = 2,580,000

Inflows

Estimated no. of clients per year 10 per day * 30 = 300

Charge per customer per day

3600* 2000= 7,200,0

FUNDS REQUIRED

Preoperational cost 1,234400

Working capital 60,000

Total 1294,400

PROPOSED CAPITALIZATIONS

Owners’ capital 1,000,000

Bank loan 250,000

Money from friends and relatives 44,400

Total 1,294,400

5.4Proposed capitalization
CAPITAL, 250000

OWNERS, 50900

EQUITY , 250000

PERSONAL, 30000

SAVING ,1000000

FAMILY AND FRIENDS, 54000

TOTAL INVESTMENT, 1,634,900

6.0Appendix
6.1References
 Baltzan, P. and Phillips, A., 2008. Business-driven Information Systems. Mc Graw-Hill:
Maidenhead.
 Barringer B.R. and Ireland R.D., 2006. Entrepreneurship: Successfully Launching New
Ventures. Pearson: New Jersey.
 Baumol, W.J., 2004. Entrepreneurial Enterprises, Large Established Firms and other
components of the Free-Market Growth Machine. Small Business Economics: New York.
 Geoff Gross, “5 Ways to Effectively Market to Baby
Boomers,” Entrepreneur, http://www.entrepreneur.com, June 1, 2016.
 Blaze Stutes, “The State of US Workforce Diversity in 14 Statistics,”
http://archpointgroup.com, December 1, 2016; Vivian Hunt, Dennis Layton, and Sara
Prince, “Why Diversity Matters,” McKinsey & Company, http://www.mckinsey.com,
January 2015.