The Business Opportunity of the Fresh Fruit Juice Market - Assignment Example

BestJuice Limited Tag Line Contact Person Address, Phone, Fax, Email, Executive Summary BestJuice Limited is the brainchild of Assem. The company is a new player in the provision of fresh fruit juice in Halifax. The company is located in a food court mall in Halifax, Canada. Over the decade, campaigns favoring organic products have been carried our extensively in Canada. Fresh Fruit Juice business is hot in Halifax. Increasing population take more of fresh fruit juice because it is considered super healthy and very tasty as compared to flavored juice. Fortunately, there are no fresh fruit juice vendors around. This will assure the company ready market. Fresh fruit segment is a rapidly growing segment with better future prospects and is segment to venture now. Though many people are venturing into the segment, those who are going to survive rivalry onslaught and tighter regulations must produce high quality products; follow industry regulation to the latter; innovate saleable sales ideas; and develop appropriate ways of communicating products to the customers. The fresh fruit juice segment is on the growth rate and promises higher returns to investors. The fresh juice market is large. Most people are embracing consumption of fresh fruits due to health concerns. Fresh fruit juice appeals most to people who are above thirty years (53% of Halifax population). Such population is health conscious and has the money to buy the fresh fruit juice. Therefore, their buying behaviour is reliable and predictable. The company is strategically placed in a high traffic area. In addition, it is able to innovate better juice mixes in future to keep its customer base and attract new customers. BestJuice Limited uses the cut out middleman model. This model eliminates middlemen in its distribution chain. Therefore, the Company shall produce and sell the products at its premises. This will lower the price of fresh fruit juices by about 30%. The management team is made of Assem (CEO) and Susan (Director Operations). Both members are entrepreneurial and dedicated to continuous improvement of the company and aspire for excellent performance. The business is a limited private company owned by seven shareholders (Assem, Susan, Charles, Robert, Angela, Hannington and Adan). The managing board is made up of executive and non-executive board members. Assem and Susan are the executive directors while Charles, Robert, Angela, Hannington and Adan are non-executive members. The company is at formative stage and does not have the money to employ all kind of professionals in the business. Therefore, it shall form strategic partnership with a city accountant, city lawyer and city business consultants who will provide critical services as needed by the company. The sales forecast for the year is $ 437653. BestJuice Limited will generate robust profit in the first year. Table of Contents 1.0 Introduction 4 2.0 Opportunity Rational 4 3.0 Industry 4 3.1 Market Size 4 3.2 Estimated Market Share and Sales 4 3.3 Market Trends 4 4.0 Customer 5 4.1 Understanding the customer 5 4.2 Target customer profile 5 5.0 Competition 5 5.1 Competitor Analysis 5 5.1.1 Direct Competitors 5 5.1.2 Indirect Competitors 5 6.0 Competitive analysis 6 6.1 Competitive Advantages 6 6.2 Entry and Growth Strategy 6 7.0 Company and product Description 6 7.5 The Product 7 8.0 Marketing Plan 7 8.1 Overview 7 8.2 Pricing strategy 7 8.3 Sales Tactics 7 8.4 Advertising and Promotion 8 8.5 Marketing Communications Strategy 8 9.0 Production, operation and development Plan 8 10.3 Development plan 9 11.0 Risk and contingency plans 10 12.2 Personnel Plan 11 13.3 Breakeven analysis 12 13.4 Balance Sheet 12 13.5 Income Statement 12 13.6 Cash Flows 12 14.0 References 14 15. Appendices 15 1.0 Introduction The fresh fruit juice market is one of the most promising segments. As more people become more health conscious, they turn into fresh fruit juices to quench their thirst and derive adequate nutrients that fresh fruit offers. 2.0 Opportunity Rational The business opportunity was conceived when the owner realized that most people preferred fresh fruit juice to the flavored. Secondly, there was no single business premise selling the fresh fruit juice within a radius of six kilometers. 3.0 Industry 3.1 Market Size The market for fresh fruit juice is large and continues to grow each day. It has been established through research that 2 percent of the three hundred thousand urban Halifax populations prefer fresh fruit juices. Halifax is 5490.18 Km2 with a population of about 400,000 residents. The urban population is about 300,000 residents and the median earning is $54, 129 (CIA 2010). Therefore, the fresh market juice is significantly large with over six thousand residents buying fresh fruit juice daily. 3.2 Estimated Market Share and Sales Out of the six thousands fresh fruit juice customers, it is estimated that BestJuice Limited will serve about five hundred customers daily. This translates to 9 percent of the total market. BestJuice Limited direct competitors will serve the remaining 91 percent of the total fresh fruit juice market. The 9% market share will enable the company to sell over sixty nine thousand litres of juice annually that will translate to $ 437653 Table 1-Projected sales fro the first year in operation 3.3 Market Trends More people are switching towards eating fresh fruits and drinking fresh fruits juices because of increased health concerns. Most populations especially the adult populations are informed about the health risks associated with non-organic foods. As a result, more people prefer fruits and fresh fruit juices to the flavored and carbonated drinks offered over the counter. However, most under aged populations (below 14 years) prefer flavored and carbonated drinks. Food experts asserts that daily intake of adequate fresh fruits and vegetables help boost persons immune system, increase the level of energy and prevent premature aging. The expert advice has been well received by most customers who turn to fresh fruits. 4.0 Customer 4.1 Understanding the customer The fresh fruit juice customers are more conscious about their health and wellness. In addition, most customers are not price sensitive when it comes to products touching their wellness. Finally, fresh fruit customers take at least 250ml of fresh fruit juice when they visit a juice store. Residents with families or dependants purchase at least 500ml of fresh juice per serving. 4.2 Target customer profile The primary customers for BestJuice Limited are people above the age of thirty years who comprise of about 53 percent of Halifax population. This is because the chosen population segment is health conscious and will not hesitate to purchase products that will boost their health and retard premature aging 5.0 Competition 5.1 Competitor Analysis Fresh fruit market segment is a growing segment attracting new entrants annually. Higher operating profits, increasing market and low initial capital requirements are some of the factors that have made the segment attractive to venture. 5.1.1 Direct Competitors Direct Competitors of BestJuice Limited includes Smoothies and Juice bar, Gin and Juice, Frootique, Booster Juice Bar, Juice eh! and Orange Julius. Most of the above companies are national players and have developed over time. They have established their own customer base from many years in operation. However, in the food court mall where BestJuice Limited intends to establish its business, there is no direct competitors. The first competitor is found two hundred meters away from the mall. 5.1.2 Indirect Competitors Indirect competitors are supermarkets, departmental stores, convenience stores and food and beverage stores selling similar products. Though they are numerous in Canada, they do not pose direct competition because they largely sell flavored juices. The fresh juice concept After working in the food industry for over two years, the Assem discovered that most people are turning to organic foods especially fruits and fresh fruit juices due to health and wellness concerns. Most customers who visited the restaurant in Halifax where BestJuice Limited owner worked were always disappointed when they could not find fresh fruit juices. Therefore, the owner of BestJuice Limited wanted to start her freshly squeezed fruit juice store to meet the needs of the increasing number of health and wellness conscious Halifax populace. 6.0 Competitive analysis 6.1 Competitive Advantages Fresh fruit juice segment has attracted many players due to the segments attractiveness. Due to ever-increasing competition, BestJuice Limited will always try as much as possible to position itself as the most preferred fresh fruit store in the Halifax. The company will attract its customers because it shall always innovate new and better juice mixes and provide quick, friendlier and reliable services to its customers. The company intends to meet and exceed the expectations of its customers. The company is strategically placed in a food court mall near the high highway making it convenient for thirsty travelers and residents who wish to quench their thirst. The place is also somehow crowded and more commercialized as compared to other parts of Halifax Municipality. 6.2 Entry and Growth Strategy The fresh fruit segment is not difficult to penetrate because there are no significant barriers to entry. However, to ensure that BestJuice Limited enters the markets easily and position itself for growth, the company will apply four main strategies. The first entry strategy is to reduce fresh fruit juice prices slightly lower as compared to those of their immediate competitors. Secondly, attractive packaging and designs will be used. Third, maintain retain nutrition and flavor. Finally, maintain high level of cleanliness. 7.0 Company and product Description BestJuice Limited is a start-up company registered and incorporated in Canada and will be managed at its business premises in Halifax. It is located at Halifax Municipality in a food court mall that has high traffic. Assem is the founder, owner and executive director. The owner holds Bachelors Degree in Food Science and Technology with over two-year experience in food production. The company perceives an opportunity to acquire a significant amount of market share of 9 percent by focusing on specific needs of the fresh fruit juice segment and by providing greater service and support to customer and two of its sales representatives. BestJuice Limited will be seeking to raise approximately $79,000 of which $49,000 will be raised through owner’s contribution and $21,000 will be raised from credit facility (loans). To ensure consistent supply of the fresh fruit juice, the company will have close contact with its fresh fruit suppliers across Canada and abroad incase there is need for fruit imports. The company will open its doors on November 30, 2010. 7.1 Objectives 1. Sell 69,000 litres of assorted fresh fruit juices in Halifax by 1 December 2011 2. Reach sales of $ 437,653 by the end of our first year in business by 1 December 2011 7.2 Mission BestJuice Limited is focused on fulfilling the need for increased demand for fresh fruit juice in Halifax. This market was identified based on the increasing number of people who are switching from flavored juices to pure fruit juices due to perceived health concerns. Our mission is to: Produce best quality fresh fruit juices in Halifax for all members of the households. 7.3 Our vision To be the leading producer and seller of fresh fruit juices in Canada 7.4 Keys to Success Seek out feedback from our clients and customers to develop best fresh fruit juices that is responsive to the needs and tastes of all our customers. 1. Develop a niche market for our diapers 2. Maximize the profit 3. Maintaining low overhead costs by monitoring and scheduling sourcing and distribution. 7.5 The Product BestJuice Limited will provide wide range of freshly squeezed fruit juices brands to its customers. The fruits juices will be packed and served in packages of 250ml, 500 ml, 1 litre and 2 litres. There will be over fifty varieties of fresh juices and they include; fresh orange juice, fresh sweet melon juices, fresh watermelon juice, fresh carrot juice, fresh guava juice, fresh straw berry juice, fresh mango juice, fresh pawpaw juice, fresh grape juice and fresh apple juice among others. In addition, there will be fresh fruit mixtures served at customer’s request. The fresh fruit juices will provide alternatives to both fast foods and flavored juices. The company will strive to provide strikingly fresh and unique fresh fruit juices at all times. Furthermore, the company will ensure that fresh juices maintain their natural ingredients and flavor. 8.0 Marketing Plan 8.1 Overview BestJuice Limited intends to sell over sixty nine thousand litres of fresh fruit juice annually to residents of Halifax. To achieve the above ambitious target, the company developed a marketing plan to guide achieve the above target. 8.2 Pricing strategy Pricing is one of the most difficult activities in any business especially in an environment of ever-increasing level of competition. This is because lower prices can be interpreted wrongly by competitors and may trigger a series of price wars. Higher prices may chase away customers. BestJuice Limited will price its fresh fruit juices depending on the demand and customer’s perception on the product quality. However, the company will sell all its fruit juices at 5 percent discount in the first three months. This will be about $ 1.5 dollars for every 250ml of fresh fruit juice. Once the company’s products have been successfully introduced to the market, the company will sell at 6 percent higher than their direct competitors. Premium pricing will indicate superior products. 8.3 Sales Tactics The company intends to use the word of mouth to spread the beauty of its fresh fruit juices. For example, the company’s sales force will use dramatic statements such as “Even our personal doctors use our fresh fruit juices” to induce prospective customers to buy our products. In addition, the company will stock wide variety of juices for every person. Finally, the company employees will spend most of the selling early hours to speak to prospective customers with an intention of building good human relations. 8.4 Advertising and Promotion BestJuice Limited Company will advertise its juice varieties using the local Halifax Chronicle Herald. This is because the newspaper is in wide circulation and will reach thousands of Halifax residents. The company will also use two billboards containing a slogan “our juice, your health” to inform the customers of the location of the juice store and benefits derived from drinking our fresh juices. All the advertisement will include the company’s concept, list prices and pictures of inside where products are produced and packed. The company intends to carry out quarterly promotions at various parts of Halifax within a radius of five hundred meters from the company’s location and free fresh fruits juice samples will be offered to residents of Halifax. 8.5 Marketing Communications Strategy BestJuice Limited Company intends to promote visibly its fresh juice varieties through the internet. Web advertising is appropriate because Halifax has the highest penetration of the internet users in the whole of Canada. Halifaxkiosk.com will provide webhosting and advertising services for the company. Furthermore, the company will publish quarterly magazines and brochures to inform the customers of the existing and newly introduced juice varieties. 9.0 Production, operation and development Plan 9.1 Manufacturing process Production of fresh fruit juice is simple. It requires the fresh fruits and the juice extractor machine (Appendix IX). Purchase of fresh fruits Receive fresh fruits from appointed supplier. The supplier shall supply fresh to company’s premises. Grade and clean delivered fruits The fresh fruits shall be inspected and graded upon arriving to the premise. This is to ensure that all fruits are mature and fit for processing. The graded fruits are washed with a detergent to reduce microbes. All the debris and dirt are removed at this stage. The cleaned fresh fruits are rinsed and dried. Extraction of the juice Fruit stems, skins of citrus fruits and large pit are removed before extraction. The fresh fruits are cut into small sizes that can fit into the feed chute. Juice extractor is prepared for extraction process by turning it on for at least ten seconds before the cut fresh fruit are fed into it. This allows the blades to reach the maximum speed and prevent them for stalling once the cut fruits are fed into it. A clean sterilized glass is placed underneath the juice extractor to catch the extracted juice. Quality control The company will ensure that the resulting fresh fruit juices are of the desired quality and quantity. Therefore, fruits must be well selected, graded, cleaned and dried before the extraction process begins. The concentration of fresh fruit juice will be checked to ensure that the fresh fruit juice has the required sugar level, right color and viscosity, taste and mouth feel. Fresh juice filling and packaging Fresh fruit juice is then packed into clean sterilized plastic containers of 0.5 litres, 1 litre and 2 litres. Storage The company shall produce fresh fruit juice for a single day. Therefore, it considers keeping it at one of the company refrigerators awaiting customers. Fresh fruits must not be kept for long because it loses freshness, taste and vitamins. The by product or waste The waste products shall be converted into dehydrated feed stock and other products such as making jellies, 10. 2 Operations Plan The company shall be dully registered and all the licenses and permits must be acquired and kept in the company’s premise before December 31, 2010. The owner and chief executive director of the company, Assem shall approve and coordinate all functions of the company. He shall be responsible for fresh juice production process. On the other hand, the other two assistants (John and Abel) and shall clean, slice fresh fruits, fill and package the fresh juices and sell it to the customers. The company shall raise 70 percent of its initial capital from the owner of the business by December 15, 2010 and the remaining 30 percent shall be raised from the venture capitalist by December 21, 2010. The company shall start sourcing and acquiring its assets as from December 1, 2010 and key assets shall be in the premises by December 27, 2010. In addition, the company will identify, contact and sign agreements with suppliers as early as December 15, 2010. The company shall start producing fresh juice from January 1, 2011. This follows up successful development of menus that will meet the needs of Halifax population. The company shall record all daily transactions in its update files. This includes the number of fruits purchased; the quantity of fresh fruits produced and sold, fresh fruit spoilage, all resources received and consumed and the number of customers as well as customer feedbacks. All the employees of the company shall report to work as early as 6pm from Monday to Saturday and leave the company as from 3 pm. On Sunday, the company employees shall report to work at 8.00 am and leave company premises as from 5pm. The company shall develop and print sufficient brochures that shall be distributed to all new and potential customers who visit the business premise. Advertisement shall be done only thrice a year. This will happen on January, May and September. The following milestones table outlines the key projects we need to focus on within our first year. We want to have a strong presence to make contact with key distributors and specialty retail shops that cater to our customer base (Appendix VIII). 10.3 Development plan The company is ambitious and plans to grow into a large company with branches in major towns and cities in Canada. The company plans to acquire advanced juice extractors in future. Funds from future expansions shall be obtained from the company’s profits and bank loans. If need be, the company may diversity into production of other products such as animal feeds and jellies from the by products it generates from fresh juice production process. 11.0 Risk and contingency plans Market Acceptance; market for fresh fruit juice is large and extensive. However, the company will introduce the fresh fruit juice at smaller quantities depending on the number of customers. The production process is pretty simple and easy. Therefore, fresh fruit juices will be made on demand. Competitor’s reactions are expected since there are other fresh fruit distributors in Halifax. However, the market for the fresh fruit juice in Halifax is big and our entry into the market may not cause significant impact. The company will not be drawn into price undercut but will always maintain its quality products and service to its customers. Time delays and cost overruns; the company has large refrigerators that shall be used to store fresh fruits for two day servings. This will reduce inconveniences that may be caused by the suppliers. In addition, customers will be encouraged to place their orders through the telephone or email. This will reduce customer time wastage. Operating expenses; the company created a budget that shall be adhered to. In case there are emergencies that genuinely require additional cash, it shall be provided for following the approval of the board. It is company’s policy to switch of power when not in use and ensure that water is used appropriately. In addition, all assets shall be serviced on schedule to prevent unnecessary break downs and damage. This will also increase the life span of the asset. Availability and timing of financing; the first year will be quite challenging. The company will through its shareholders l keep a reserve of $21,000 that shall be kept in company’s current account for emergencies. Subsequent years will not be a problem because all profits generated by the business will be retained. Key skills shortages; now, five employees are enough to handle the simple fruit juice production and sales processes. All employees will be trained to produce fresh juice on their own. This will ensure that production process continues at all times. Sources and Uses of funds; capital from the shareholders and the bank shall be utilized only to purchase assets. Cash inflow from sales shall be used for purchasing supplies. 12.0 Management Summary 12.1 Management Team The management team comprise of two executive directors who are the shareholders of the company Assem (CEO) and Susan (Director Operations).The CEO and founder Mr. Assem is business savvy professional who understand Halifax, has extensive network and easily spot market opportunities for the company’s products. He will oversee product sourcing and distribution to maintain a smooth flow of supplies from fruit suppliers to the company’s premises. He will also see to it that customer orders are filled and served as soon as possible. Assem holds Bachelor’s Degree in Food Science and Technology with over two-year experience in food production. Susan holds business management degree from the University of Dalhousie. She has spent over six analyzing market trends and business development in fast perishable consumer commodity market in Halifax and its environs. She has a distinguished track record of in-depth market research, market positioning and promotions. She is straight forward and profit oriented. She shall be in charge of fresh fruit juice marketing promotions and developing customer retaining strategies. The management of the company is dedicated to continuous improvement of the company and aspires for excellent performance. The business is a limited private company owned by seven shareholders (Assem, Susan, Charles, Robert, Angela, Hannington and Adan). The managing board is made up of executive and non-executive board members. Assem and Susan are the executive directors while Charles, Robert, Angela, Hannington and Adan are non-executive members. The management will supervise and coordinate purchase of supplies, production and sales of fresh fruits juices. In addition, Assem shall be in charge of production process while Susan shall be in charge of all company operations. Angeline shall be responsible for preparing fresh fruits for production process as well as packaging the products to the required sizes. Antony shall be stationed at the company’s sales store and shall be responsible for selling products to the customers. There are no defined role plays because the company is at infant stage and any employee of the company can be called to play certain company roles at a given time. The driver will pick and deliver company suppliers and products at designated places. He will also assist in selling company products. The company is at formative stage and does not have the money to employ all kind of professionals in the business. Therefore, it shall form strategic partnership with a city accountant who shall prepare financial statements of the company thrice annually. The accountant shall also file tax returns on behalf of the company. It shall also seek the services of business consultants who shall prepare strategic plans for the business and conduct schedule market research. In addition, company shall form strategic partnership with a city lawyer who shall provide legal advice every time legal issues emerge in the business. Such partners shall be paid according to the work done. 12.2 Personnel Plan Our aim is to increase salary and compensation in line with a projected increase in sales and profits. Our overall personnel costs will be $105,000 for the first 12 months, which includes CEO, Director operations and assistants only. The present personnel cost figure is subject to change as business demands it. If our sales growth in the summer is as projected, we will need to consider adding one more employee to assist with the increased administrative demands. 13.0 Financial Plan Financial projections for BestJuice Limited have been computed using sales figures, pricing strategy and cost estimates. All financial projections are based in 2010 dollars. The financial year for the company is from January 1 to December 31. We want to finance growth mainly through cash flow. We recognize that this means we will have to grow at a slower pace than we would like, but this will enable us to build sales through more cautious approach. Our most important asset is inventory turnover. Our ability to schedule distribution from month to month will help to control inventory costs. We will be credited payment to our bank account within 10 days for all our credit sales. Sales on credit accounts for 10% of our overall sales 13.1 Start-up Summary Start-up costs will be used to cover for the operations in the first three months. Capital is primarily for fresh fruit purchases; acquiring company van, refrigerators, juice extractors as well as furniture and fixtures; fueling and paying salaries; paying for licenses and necessary permits; company promotions; operating and administrative costs. Upon receiving contributions from the CEO and the bank for the first months of operation, the company is planning to order for inventory and conduct extensive product promotions in Halifax. The start-up costs are shown in the following table and illustration. The table (Appendix XI) shows that the total amount needed to start the Fresh fruit business is $ 63,820. This will cover purchases, assets, fuel, licenses and permits, rent, security, salaries, marketing, utilities, stationeries and contingency 13.2 Sources of Capital Our initial startup expenses will amount to approximately $63,820. The anticipated funding sources are detailed in the table below. The total amount needed to start the business is $70,000.The shareholders will contribute $49000 while $21000 will be obtained form a bank. The company will make first principle repayment in the fifth month after operations and hope to clear the principle within the first year in operation. The bank will receive 15% interest on principle on all the finances provided by the investor. Total interest will amount to $3150 by the end of the first year in operation. This will be possible without affecting the cash flow of the business because the business is able to generate enough cash from the sales of its products and keeping the administrative cost as low as possible. 13.3 Breakeven analysis The break even point for the company in the first year is 41,553 litres of fresh fruit juice. The break even point was calculated using an average dollar contribution margin of all fresh fruit juices. 13.4 Balance Sheet The proposed financial plan for BestJuice Limited provides good and achievable financial strength and liquidity (Appendix V). Accounts receivable do not pose significant risks to the company and shall be paid in cash. The company shall always hold $14,000 in the company. Any other extra monies shall be banked. There is no significant debt financing. The company decided to retain all its profits for the first five years. Retained profits shall be used for planned expansion and upgrading in 2016. The deprecation of critical assets in the company is as follows: Furniture and Fixtures 5%, Van12%, refrigerators 12% and commercial juice extractor25% 13.5 Income Statement BestJuice Limited projects that sales will increase from $437,653 in 2011 to $1016494 in 2012. For the first year (2011), company’s net profit will be $95,370 (21.8% of the total sales). The net profit margin is expected to increase to 43.4% in the next five years because the company will have achieved both economies of scale and selling its fresh fruit juices at a premium. The total amount of retained profits in 2011 and 2012 is $294,352 (Appendix – IV a, IV b and IV c). 13.6 Cash Flows Equity will be raised from seven shareholders where each will raise $7000. Additional finances of $21000 will be obtained from venture capitalists. The financial outlook is positive as the company rolls out and meets its milestones. Initially our cash flow will fluctuate, with positive cash flow in several months for our first year. We want to finance our first years growth through contributions and cash flow generated. The most important indicator is inventory turnover. Our ability to schedule distribution from month to month will help control inventory costs. Collection is not a problem for our direct sales, since we will be credited payment to our bank account in ten days. The company intends to finance working capital from sales proceeds (Appendix VI a and VI b). 14.0 References CIA (2010). World Fact Book; Canada. Retrieved October 21, 2010, from https://www.cia.gov/library/publications/the-world-factbook/geos/ca.html Jackson, R. (2008) Wine science: principles and applications. (3rd ed.). London: Academic Press Live strong (n.d) What Is Canadas Food Guide? Retrieved October 25, 2010,from http://www.livestrong.com/article/100547-canadas/ Sizer, F. & Whitney, E (2007). Nutrition: Concepts and Controversies. New York: Cengage Learning. Timmons, J. A., & Spinelli, S. (2004). New Venture Creation: Entrepreneurship for the 21st Century, (7th ed.). Chicago: Irwin publishers. 15. Appendices Appendix I - Development Gantt Chart 2. Appendix II - Sales Forecast for 5 years 4. Appendix III- Cost of Production Estimates 5. Appendix IV a. Profit and loss from January 2011- December 2011 Appendix IV b. Profit and loss from January 2012- December 2012 Appendix – IV c Pro-forma Income Statement (annual for 5 years) 6. Appendix V - Balance Sheet (annual for 5 years) Appendix VI a - Cash flow Statements for twelve months ending December 31, 2011 Appendix VI b - Cash flow Statements for twelve months ending December 31, 2012 7. Appendix VII- Year 1 Break even analysis   8. Appendix VIII - shows start up milestones Milestone Start Date End Date Budget Responsible Raising Start up capital 12/12/2010 12/19/2010 $70000 CEO Acquiring company assets 12/18/2010 12/23/10 $38300 CEO Placing order for fruit supplies 12/12/2010 12/28/2010 $4000 Director operations Marketing 12/25/2010 - $8000 Director operations Starting operations 1/1/2011 - - CEO 9. Appendix IX- fresh fruit production process Appendix X- Company employees Year 1 Assem (CEO) $30,000 Susan (Director operations) $26,000 Angeline (Assistant production) $17,000 Antony (Marketing executive) $17,000 Harry (Driver) $15,000 Appendix XI- Start up Cost Amount in C $ Purchases 6383 Assets 38300 Fuel 900 licenses and permits 1500 Rent 500 Security 487 Salaries 7000 Marketing 8000 Utilities 130 Stationeries 120 Contingency 500 Total start up cost 63820 Appendix XI- Direct Competitors of BestJuice Limited 1. Smoothies and Juice bar 2. Gin and Juice 3. Frootique 4. Booster Juice Bar 5. Juice eh! 6. Orange Julius Appendix XI -The managing board and shareholders 1. Charles Chairman 2. Angela Vice Chairperson 3. Robert non-executive member 4. Hannington non-executive member 5. Adan non-executive member 6. Assem CEO and executive member 7. Susan executive member Read More