Business plan

on

Retail medical shop 2.0

BY
PRAJWAL V J
 CONTENT REVIEW

01 02 03
Executive Summary Marketing Analysis Financial Analysis

04 05 06
SWOT Analysis Technical analysis Conclusion
Executive Summary
Serving from 25 years
Wide range of products
Location
Good reputation in society

Problem statement
Competition
Convincing customers for alternative brands
Monitoring products

Objectives
Overcome competition
Increasing sales
Marketing Analysis

Product Target
range customers

Competitors Market share Marketing

strategy
Financial Analysis
Var % Var %
INR Mar-18 Mar-19 Mar-20
18-19 19-20
Revenue 43,98,036.0 29,76,000.0 31,29,242.0
-32.3% 5.1%
Cost of goods sold 35,18,428.8 22,32,000.0 25,03,393.6
-36.6% 12.2%
Gross Profit 8,79,607.2 7,44,000.0 6,25,848.4 -15.4% -15.9%
Operating expenses 1,31,941.1 89,280.0 93,877.3 -32.3% 5.1%
EBITDA 7,47,666.1 6,54,720.0 5,31,971.1 -12.4% -18.7%
D&A 0.0 0.0 0.0
EBIT 7,47,666.1 6,54,720.0 5,31,971.1 -12.4% -18.7%
Interest expenses 0.0 0.0 0.0
EBT 7,47,666.1 6,54,720.0 5,31,971.1
-12.4% -18.7%
Taxes 89,719.9 78,566.4 63,836.5 -12.4% -18.7%
Net Income 6,57,946.2 5,76,153.6 4,68,134.6
-12.4% -18.7%
Base case
Forecast
INR Mar-21 Mar-22 Mar-23 Mar-24 Mar-25
Revenue 31,91,826.8 32,55,663.4 33,20,776.6 33,87,192.2 33,87,192.2
Cost of (25,53,461.5) (26,04,530.7) (26,56,621.3) (27,09,753.7) (27,09,753.8)
goods sold
Gross Profit 6,38,365.4 6,51,132.7 6,64,155.3 6,77,438.4 6,77,438.4
Operating (1,27,673.1) (1,30,226.5) (1,32,831.1) (1,35,487.7) (1,35,487.7)
expenses
EBITDA 5,10,692.3 5,20,906.1 5,31,324.3 5,41,950.7 5,41,950.8
D&A 0.0 0.0 0.0 0.0 0.0
EBIT 5,10,692.3 5,20,906.1 5,31,324.3 5,41,950.7 5,41,950.8
Interest 21,150.0 19,757.9 18,240.5 16,586.6 14,783.8
expenses
EBT 5,31,842.3 5,40,664.0 5,49,564.8 5,58,537.3 5,56,734.5
Taxes (63,821.1) (64,879.7) (65,947.8) (67,024.5) (66,808.1)
Net Income 4,68,021.2 4,75,784.4 4,83,617.0 4,91,512.8 4,89,926.4
Best case
Forecast
INR Mar-21 Mar-22 Mar-23 Mar-24 Mar-25
Revenue 32,54,411.7 33,84,588.1 35,19,971.7 36,60,770.5 36,60,770.6
Cost of goods (24,40,808.8) (25,38,441.1) (26,39,978.8) (27,45,577.9) (27,45,577.9)
sold
Gross Profit 8,13,602.9 8,46,147.0 8,79,992.9 9,15,192.6 9,15,192.6
Operating (65,088.2) (67,691.8) (70,399.4) (73,215.4) (73,215.4)
expenses
EBITDA 7,48,514.7 7,78,455.3 8,09,593.5 8,41,977.2 8,41,977.2
D&A 0.0 0.0 0.0 0.0 0.0
EBIT 7,48,514.7 7,78,455.3 8,09,593.5 8,41,977.2 8,41,977.2
Interest 21,150.0 19,757.9 18,240.5 16,586.6 14,783.8
expenses
EBT 7,69,664.7 7,98,213.2 8,27,834.0 8,58,563.8 8,56,761.0
Taxes (92,359.8) (95,785.6) (99,340.1) (1,03,027.7) (1,02,811.3)
Net Income 6,77,304.9 7,02,427.6 7,28,493.9 7,55,536.1 7,53,949.7
Worst Case
Forecast
INR Mar-21 Mar-22 Mar-23 Mar-24 Mar-25
Revenue 31,60,534.4 31,92,139.8 32,24,061.2 32,56,301.8 32,56,301.8
Cost of (25,91,638.2) (26,17,554.6) (26,43,730.2) (26,70,167.5) (26,70,167.5)
goods sold
Gross Profit 5,68,896.2 5,74,585.2 5,80,331.0 5,86,134.3 5,86,134.3
Operating (1,89,632.1) (1,91,528.4) (1,93,443.7) (1,95,378.1) (1,95,378.1)
expenses
EBITDA 3,79,264.1 3,83,056.8 3,86,887.3 3,90,756.2 3,90,756.2
D&A 0.0 0.0 0.0 0.0 0.0
EBIT 3,79,264.1 3,83,056.8 3,86,887.3 3,90,756.2 3,90,756.2
Interest 21,150.0 19,757.9 18,240.5 16,586.6 14,783.8
expenses
EBT 4,00,414.1 4,02,814.7 4,05,127.9 4,07,342.8 4,05,540.0
Taxes (48,049.7) (48,337.8) (48,615.3) (48,881.1) (48,664.8)
Net Income 3,52,364.4 3,54,476.9 3,56,512.5 3,58,461.7 3,56,875.2
BALANCE SHEET
Balance sheet
INR 2018 2019 2020
Trade Receivables 15,000.0 12,000.0 15,000.0
Inventory 9,00,000.0 7,50,000.0 9,50,000.0
PP&E 40,000.0 40,000.0 40,000.0
Cash 20,000.0 50,000.0 40,000.0
Other assets 0.0 0.0 0.0
Assets 9,75,000.0 8,52,000.0 10,45,000.0
Trade Payables 6,00,000.0 5,20,000.0 6,00,000.0
Provisions 0.0 0.0 0.0
Financial Liabilities 90,000.0 50,000.0 1,20,000.0
Other liabilities 1,40,000.0 1,60,000.0 1,40,000.0
Reserves 1,45,000.0 1,22,000.0 1,85,000.0
Liabilities & equities 9,75,000.0 8,52,000.0 10,45,000.0
CASH-FLOW ANALYSIS
Cash flow Forecasting
INR
Year   2021 2022 2023
EBITDA 748514.7 778455.3 809593.5
Interest expenses 10800.0 10089.1 9314.3
Taxes -91117.8 -94625.3 -98268.9
Change in trade receivables 1725.9 -531.0 -552.2
change in inventory 1740254.4 31610.2 32874.6
change in trade payables -1123293.3 -20931.7 -21769.0
change in other assests 0.0 0.0 0.0
change in other liabilities 1388.0 5655.5 5881.7
Operating cash flow 1288272.0 709722.1 737074.0
Dividend -267278.8 -277567.6 -288255.5
change in fianancial liabilites -7898.4 -8609.3 -9384.1
Net cash flow   10,13,094.8 4,23,545.2 4,39,434.3
SWOT ANALYSIS
Strengths

1 •
•
Old shop
City centre
S W
• Near to
Government
hospital

O T
• Uniqueness
Weaknesses

S W 2 • Lack of availability
• No up to date
information
• More product line

O T
 Opportunities

S W

O T
Implementing new
3
technologies
New marketing strategies
Threats

S W

O T
4 Competition
Online pharmacy
Jan aushadi
Technical Analysis
Management software solution
Delivery of products
E-receipts

Conclusion
Improving business to get rid of competition
Implementing technology, using social media, etc
Not only implementing technology but needs to be followed
THANK
YOU