Business Plan for Bee’s Circus

A Project submitted in partial fulfillment of

The requirements for the award of the Degree of

BACHELOR OF BUSINESS ADMINISTRATION

BY

ABU TALIB
(SBU210211)
(BBA VI SEM)

FACULTY OF COMMERCE & BUSINESS MANAGEMENT

SARALA BIRLA UNIVERSITY, RANCHI
Batch 2021 – 2024

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 DECLARATION CERTIFICATE

This is to certify that the work presented in the project entitled “BUSINESS PLAN FOR

BEE’S CIRCUS”, in partial fulfillment of the requirement for the award of degree of
Bachelors of Business Administration of Sarala Birla University, Degree under the guidance
of Dr. Ashok Asthana. To the best of my knowledge, the content of this project does not form
a basis for the award of any previous Degree to anyone else.

Place: Ranchi

Student Name: Abu Talib

Date:

Enrollment No.: SBU210211

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 ACKNOWLEDGEMENT

This Project has provided me with a great opportunity to experience the work process. I wish
to express my sincere gratitude to the Dean Faculty of Commerce and Business Management
Dr. Sandeep Kumar for allowing me to do my project. I would like to thank my School
coordinator Dr Rashi Malpani and special thanks to my guide Dr Ashok Asthana their
guidance and support. Finally, I am very much thankful to my friends and parents who
guided me during the preparation of my project.

Date: -
ABU TALIB
BBA (6th Semester)
BBA210211

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 CERTIFICATE OF APPROVAL

The project entitled “Business Plan for Bee’s Circus, has been presented in satisfactory
manner. It is understood that by this approval, the undersigned do not necessarily endorse any
conclusion drawn or opinion expressed therein, but approve the project for the purpose for
which it is submitted.

(Guide) (Internal examiner)

(External examiner) (Dean)

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 Table of content
SL. Number Contents Page Number

Acknowledgement 03
Certificate of Approval 04
Executive Summary 07

Chapter 1 Company Description 08

A. Structure and ownership
B. Management Team
C. Location

Chapter 2 Environmental Scanning 11

A. SWOT analysis
B. Industry Structure and Competition

Chapter 3 Business Strategy 16

A. Vision
B. Mission
C. Objective

Chapter 4 Marketing plan 18

A Target Market Description
B. Segmentation strategy
C. 4P’s Plan
D. Positioning, Differentiation and USP

Chapter 5 Technical or Operational Plan 22

A Material requirement planning
B Machinery and equipment’s plan
C. Cost of manufacturing and running operations

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 Financial plan 26
Chapter 6 A. Projected cash flows
B. Projected Profit and Loss
C. Projected Balance sheet

Chapter 7 Human Resource Plan 31

A. Manpower Requirements
B. Recruitment and selection
C. Compensation

Bibliography 34

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 Executive summary
Bees’ Circus is a children’s play and music school that offers a series of parent/child
Schools devoted to the physical, emotional and social development of children. We
offer eight different weekly classes for children newborn through four years. The
activities are designed to improve balance, coordination and other sensory stimuli
while reinforcing good social skills in a group play environment. Bees’ Circus also
offers music classes. Children 2 to 5 years, will enjoy singing and dancing while
getting their first taste of different musical beats and rhythms. Each week, new
musical styles will be introduced, such as jazz, contemporary, and classical tunes.
Activities such as instrument exploration, songs and movement to music are designed
to provide a positive musical experience for both parents and young children.

Bees’ Circus offer parents and children a nurturing environment in which to spend
time together and play.

Bees’ Circus offers a unique service in that there is no other School like it in the city
Ranchi. Though the city does run some classes for children through their parks and
recreation department, they are not part of a comprehensive growth School for
preschoolers.

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Chapter 1
(Company Description)

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 Company Description

Bees’ Circus is a children’s play and music school that offers a series of parent/child
Schools devoted to the physical, emotional and social development of children. The
School will operate as a limited partnership. Abu Talib will manage the daily
operation of Bees’ Circus. A silent partner Asif Raza will have accounting oversight
responsibilities.

Bees’ Circus is located in the Mall De-Cor Circular Road, Chowk, Lalpur, Ranchi,
Jharkhand 834001. The School includes a music room and a party room. Up to 40
children can play and work in the space at the same time.

1.1 Structure and ownership

The School will operate as a limited partnership. Abu Talib will manage the daily
operations of Bees’ circus. A silent partner Asif Raza will have accounting oversight
responsibility

1.2 Management team

School Director/Owner: Responsible for the overall management and administration

of the School, including hiring, performance management, financial management, and
development of the curriculum. This person should have significant experience in
early childhood education and childhood development.

Lead Teacher/Music Instructor: Leads the implementation of the School curriculum

and music lessons, managing other teachers and instructors as well as regularly
engaging with families to understand student progress.

Facilities Manager: Responsible for maintaining the upkeep and cleanliness of the
facility, managing equipment and instrument repairs and outlining safety procedures
to keep the children safe while practicing.

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The team must have a shared vision and work effectively together to provide the
highest quality instruction and care for the children, all while creating a positive and
supportive environment for the families involved.

1.3 Location

Bees’ Circus is located in the Mall De-Cor Circular Road, Chowk, Lalpur, Ranchi,
Jharkhand 834001. The School includes a music room and a party room. Up to 40
children can play and work in the space at the same time.

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Chapter 2
(Environmental scanning)

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 Environmental scanning

2.1 SWOT Analysis

Strengths:

- Unique and innovative concept combining play, creativity, and music education.

- Engaging and interactive learning environment that inspires creativity and

exploration in children.

- Ability to offer diverse experiences to children to help ensure high adoption rates of
the School.

- Professional and experienced management team with strong credentials and the
ability to engage parents/families.

Weaknesses:

- Limited geographic availability and potential difficulties in attracting new students

as a new entrant to the market.

- Financial risks for the School, with significantly high costs associated with renting
facilities, purchasing equipment and educational materials, and recruiting
competition-quality instructors.

- Potential legal and compliance issues related to working with children can add up to
make running a children-focused School challenging.

- Dependent on securing community buy-in to the services offered, and attendance of

families with children.

Opportunities:

- Partnering with schools, or municipal Schools can provide discounted services as

well as establishing the company’s name in the market.

- Participating in community events like education fairs to generate awareness and

interest in the School, which should boost enrollment rates.

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- Offering extra services outside of the core Schools, such as additional classes and
workshops to broaden the range of experiences children can have.

- Building referral networks with institutions that tend to cater to target audience, such
as hotels with nearby playground facilities

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Threats:

- Market saturation from existing competition catering to the same geographical areas.

- Economic downturn can impact the discretionary spending of families in the region,
which could lead to a decline in enrollment rates.

- Changing regulations from the regulating agencies regarding children’s Schools in

the area can hinder the School’s operations and pose an unforeseen challenge.

- Child safety concerns and parental safety concerns in regards to COVID-19 can
impact customer trust and limit revenues as some populations opt to stay at home,
leading to dip in revenues.

2.2 Industry Structure and Competition

The children’s play and music School industry is a relatively niche sub-sector of the
broader childcare and early education industry. The industry is highly fragmented and
comprises a mix of established companies with multiple locations and smaller
organizations operating in a single locality or region.

Competition usually arises at the level of local geography because of limitations in

transportation of children beyond the neighborhood. Although established companies
have an advantage in terms of capital resources, operational efficiencies and brand
recognition, smaller players can compete by offering unique differentiated services or
a specialized emphasis on a particular aspect of the children’s play and music School
experience.

Moreover, competition in this industry also comes from substitute products like in-
home play and music classes, as well as other edutainment alternatives that parents
can enroll their children in.

Parents typically choose Schools based on factors like the quality of instruction, the
safety and hygiene of the facility, the learning outcomes, the availability of
extracurricular activities and the price of enrollment. The reputation of the instructors

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and owners, School fees and inherent quality of the physical location also play a
major role in shaping parents’ decisions.

Overall, the high level of competition can make it challenging for new entrants to gain
a foothold. To stand out in such an industry, new entrants should focus on offering
differentiated and appealing Schoolming that meets the gap of established
competitors, leveraging partnerships and collaborations with influential industry
establishers, and consistently gaining public awareness and recognition.

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Chapter 3
(Business strategies)

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 Business strategies

3.1Vision:

The vision is to prioritize the well-being and growth of the children, while also
ensuring the success and sustainability of the business.

3.2Mission:

The mission of Bees’ Circus is to promote the physical, emotional and social
development of children. Parents are also a central part of Bees’ Circus activities.

When parents enter their child’s world of play and imagination, the child blossoms
with more confidence to explore and learn. Time spent playing with mom or dad
contributes to healthy emotional development and will also build trust between parent
and child.

3.3Objectives:

Fill classes to 70% capacity by end of first year of operation.

Retain at least 50% of children moving from one class level to the next.

Increase the number of families participating in classes by 15% during the second
year of operation.

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Chapter 4
(Marketing plan)

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 Marketing plan

4.1Target market description

To date, 1,500 new housing units have been built in the area to accommodate the
growth of the city’s population. Most these units are being bought or rented by young
families with young children.

Currently, there is no park School servicing the area. It is anticipated that a new park
will be created for the area in the next three years to serve the estimated 10,000
families in the area.

The area also has 5private child care centers that serve over 1,600 children, ages one
to four.

Currently, there are no other activity or music Schools in the area that serves the pre-
scholars.

Bees’ Circus will purse children at the private child care centers.

4.2Segmentation strategies

Geographic segmentation: Bee’s Circus can target families living in the local area by
promoting the school’s location, accessibility, and convenience.

Demographic segmentation: This School can target families with young children
between the ages of 3-6 years old who are looking for a comprehensive educational
School that promotes creativity, critical thinking, and problem-solving skills.

Psychographic segmentation: This School can target parents who value early
childhood development, play-based learning, and socialization skills for their
children. These parents may be interested in a nurturing and educational environment
that promotes their child’s growth and development.

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4.34p’s plan

Product: The product of the children’s play and music School is to provide an
engaging and fun environment for children to learn and develop their musical
abilities. The School should offer a variety of activities such as singing, dancing,
playing instruments, and musical games. The curriculum should be designed to cater
to different age groups, from toddlers to pre-teens, and should be inclusive of children
with special needs.

Price: The pricing strategy should be competitive with other similar Schools in the
area. The fees should be based on the duration of the School, the number of sessions
per week, and the qualifications and experience of the instructors. Discounts could be
offered for siblings or for early registration.

Place: The location of the School should be easily accessible for parents and
caregivers. It should be situated in a safe and convenient area, with ample parking and
transportation options. The facilities should be well-maintained, clean, and equipped
with age-appropriate musical instruments and equipment.

Promotion: The promotion strategy should focus on building a strong reputation

through word-of-mouth referrals, positive reviews, and community involvement.
Social media platforms can be utilized to showcase the School’s services and
activities. Open houses and parent-teacher conferences can also be held to encourage
parents to enroll their children in the School. Collaboration with local schools and
community centers can also help to promote the School’s services and build
relationships within the community. Additionally, offering trial classes or free
introductory sessions can attract new customers.

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4.4 Positioning Differentiation and USP

Positioning: Our children’s play and music School is positioned as a fun, engaging,
and inclusive environment for children to learn and develop their musical abilities.
We prioritize creating a safe and nurturing space that encourages creativity, self-
expression, and social interaction.

Differentiation: Our School differentiates itself by offering a wide range of activities

that cater to different age groups and abilities. We also prioritize inclusivity and have
trained instructors who can work with children with special needs. Additionally, we
offer flexible scheduling options to accommodate busy families.

USP: Our unique selling proposition is our focus on creating a fun and engaging
environment that fosters a love of music in children. We believe that music is a
powerful tool for building confidence, self-esteem, and social skills, and we strive to
make our School accessible to all children regardless of their background or abilities.

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Chapter 5
(Technical and operational plan)

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 Technical and operational plan

5.1 Material requirement planning:

1. Musical instruments and equipment such as drums, guitars, keyboards, and

microphones.

2. Classroom supplies such as chairs, tables, and whiteboards.

3. Art supplies for crafts and activities.

4. Audio equipment for playing music during classes

5. Safety equipment such as first aid kits and fire extinguishers.

6. Cleaning supplies for maintaining a clean and hygienic environment.

7. Curriculum materials such as lesson plans and activity books.

8. Marketing materials such as flyers, brochures, and social media ads.

9. Staff training materials for instructors to learn how to work with children of
different ages and abilities.

10. Administrative materials such as registration forms, attendance sheets, and

financial reports.

5.2 Machinery and equipment plan:

1. Play equipment such as slides, swings, and climbing structures

2. Musical instruments such as xylophones, drums, and tambourines

3. Sound systems for playing music during classes and performances

4. Lighting equipment for creating a fun and engaging atmosphere

5. Safety equipment such as padding and helmets for high-risk activities

6. Maintenance equipment such as tools and replacement parts for repairs

7. Storage equipment such as shelves and cabinets for keeping equipment organized

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8. Transportation equipment such as vans or buses for field trips and performances

9. Training materials for staff on how to safely operate and maintain equipment

5.3Cost of manufacturing and running operations

The start-up expenses for the Bees’ Circus are focused primarily on equipment, play
surfaces, and materials needed for the classes. Abu Talib and the silent partner Asif
Raza will invest equal amounts. In addition, Abu Talib will secure a long-term loan
and use credit card debt to fund the enterprise.
Start up expenses
Particular Amount
Legal 50,000
Stationery etc 30,000
Brochure 50,000
Consultant 60,000
Insurance 50,000
Rent 30,000
Expenses Equipment 300,000
Total start-up Expenses 570,000

Start up Assets
Particular Amount
Cash Required 200,000
Other current Assets 0
Long term Assets 400,000
Total Assets 600,000
Total Requirement 1,170,000

Start up Funding
Particular Amount
Start up Expenses to fund 570,000
Start up Assets to fund 600,000
Total Funding Required 1,170,000

Assets
Particular Amount
Non-cash Assets from 400,000
Cash Requirements from 200,000
Start-up
Additional Cash Raised 0

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Cash Balance on Starting 200,000
Date
Total Assets 600,000

Liabilities and Capital

Particular Amount
Liabilities
Current Borrowing 400,000
Long- term liabilities 170,000
Account payable 0
Other current liabilities 0
Total liabilities 570,000
Capital
Planned Investment
Investor 1 300,000
Investor 2 300,000
Additionalinvestment 0
Requirement
Total planned Investment 600,000
Lost at startup (570,000)
Total capital 30,000
Total capital and liabilities 600,000
Total Funding 1,170,000

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Chapter 6
(Financial plan)

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 Financial plan

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20

15

10

05

6.1Projected cash flow

Cash Received Year 1 Year 2 Year 3

Cash from operation
Cash sales 244,2000 272,0000 315,0000
Subtotal cash from 2442000 272,0000 315,0000
operation
Additional cash
Received
Sales tax, GST Received 0 0 0
New current Borrowing 0 0 0
New other Liabilities 0 0 0
New long-term 0 0 0
liabilities
Sales of Other Current 0 0 0
Assets
Sales of Long-term 0 0 0
Assets
New Investment 0 0 0
Received
Subtotal Cash Received 244,2000 272,0000 315,0000

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Expenditures Year 1 Year 2 Year 3
Expenditures from Operations
Cash Spending 1,170,000 12,00000 1,220,000
Bill Payments 73,2250 77,4400 892000
Subtotal Spent on Operations 437750 425600 328,000
Additional Cash Spent
Sales Tax, VAT, HST/GST 0 0 0
Paid Out
Principal Repayment of Current 0 0 0
Borrowing
OtherLiabilities Principal 0 0 0
Repayment
Long-term Liabilities Principal 6,80,000 6,80,000 6,80,000
Repayment
Purchase Other Current Assets 0 0 0
Purchase Long-term Assets 0 0 0
Dividends 0 0 0
Subtotal Cash Spent 30,20,000 30,80,000 28,24,800
Net Cash Flow (5,78,000) (360,000) 325200
Cash Balance 2847,000 24,53,000 37,32,000

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6.2 Projected Profit and Loss

Profit and Loss

Pro Forma Profit Year 1 Year 2 Year 3
and Loss
Sales 27,00,000 30,00,000 32,00,000
Direct cost of sales 9,50,000 809566 933479
Other Production 0 0 0
Expenses
Total cost of sales 9,50,000 809566 933479
Gross Margin 17,50,000 21,90,434 22,66,521

Expenses
Payroll 13,08,000 14,76,000 16,80,000
Sales and Marketing 3,00,000 3,50,000 3,50,000
and Other Expenses
Depreciation 0 0 0
Leased Equipment 0 0 0
Utilities 2,47,000 2,47,000 2,47,000
Insurance 50,000 50,000 50,000
Rent 3,60,000 3,60,000 3,60,000
Total Operating 22,65,000 24,83,000 26,87,000
Expenses

Profit Before Interest (537,000) 800,000 12,00,000

and Taxes
EBITDA (537,000) 8,00,000 12,00,000
Interest Expense 620,000 5,50,000 4,90,000
Taxes Incurred 0 74,000 81,000
Net Profit 11,57,000 2,50,000 7,10,000

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6.3 Projected Balance sheet

Balance sheet

Pro Forma Balance Year 1 Year 2 Year3

sheet
Assets Starting Balance
Current Assets
Cash 2847,000 24,53,000 37,32,000
Other current Assets 0 0 0
Total current Assets 2847,000 24,53,000 37,32,000
Long-term Assets 24,00,000 24,00,000 24,00,000

Accumulated 0 0 0
Depreciation
Total Long-term 24,00,000 24,00,000 24,00,000
Assets
Total Assets 52,47,000 46,93,000 61,32,000
Liabilities and Capital 41,000 53,000 61,000
Current liabilities
Accounts Payable 415,000 5360,000 612250

Current Borrowing 200,000 200,000 200,000

Other Current 0 0 0
Liabilities
Subtotal Current 2,50,000 2,60,000 2,75,000
Liabilities
Long-term Liabilities 35,00,000 29,00,000 23,00,000
Total Liabilities 43,65,000 87,20,000 3387,250
Paid-in Capital 500,000 500,000 500,000
Retained Earnings (6,20,000) (7,00,000) (6,80,000)

Earnings (11,60,000) 1,70,000 18,90,000

Total Capital 10,12,000 8,30,000 10,00,000
Total Liabilities and 53,27,000 46,00,000 60,00,000
Capital
Net Worth 10,12,000 8,30,000 10,00,000

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Chapter 7
(Human resource plan)

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 Human resource plan

7.1 Manpower Recruitment

The Manpower Recruitment of Bees’ Circus will be as follows:

Director

Teacher (3)

Class aides (4)

7.2 Recruitment and selection

The requirements and selection process for teachers for a children’s play and music
School may vary depending on the specific School and organization.

1. Education and Experience: Teachers should have relevant education and

experience in music education, early childhood education, or related fields.
2. Technical Skills: They should have proficiency in playing musical instruments
(if required) or be able to teach children how to play them.
3. Communication Skills: Teachers should be able to communicate with children
in an engaging manner that keeps their attention while conveying important
information.
4. Patience and Empathy: Working with children requires patience, empathy, and
the ability to connect with them.
5. Creativity: Teachers should be able to come up with innovative ways to teach
music and engage children in play and music activities.

The selection process for teachers may involve conducting interviews, reviewing
resumes, and conducting auditions or demonstrations of their teaching skills. It is also
important to ensure that any potential teacher has completed appropriate background
checks and has the appropriate certification, where necessary.

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7.3 Compensation

Payroll Year 1 Year 2 Year 3

Director 4,80,000 5,40,000 600,000
Teachers 540,000 612,000 7,20,000
Aides 288,000 324,000 360,000
Total People 7 7 7
Total Payroll 13,08,000 14,76,000 16,80,000

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Bibliography

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 Bibliography

Here are some sources that has been used for a children’s play and music Schools:

1. Lawrence, F. (2010). Developing early childhood music programs. Music

Educators Journal, 97(1), 39-45.
2. Volk, D., & Quist, A. (2015). Music play: A playful musical pedagogy for
young children. Early Childhood Education Journal, 43(6), 543-551.
3. Brinkman, A., & Fawcett, K. (2017). A review of research on music and early
childhood. Bulletin of the Council for Research in Music Education, 213,
7-20.

These sources provide insights into various aspects of children’s play and music
Schools, including development, parental involvement, and the benefits of music on
children’s mood and cognitive development.

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