Financial
Management
Business Plan
Throughout history, animals have played a
key role in human life, although they’ve
mostly been regarded as providers of food,
clothing and transport and, at times, as a
focus for religious worship. Although
animals still have these traditional uses
around the world, the role of many animals
in society has changed. There’s been a
massive increase in the number of animals
kept purely for companionship and
pleasure.
INTRODUCING A HEALTHIER DIET
DOG
BITE
DOGGIE DABBA…FRESH & FAST FOOD FOR DOGS
Services
Marketing
Financial Projections
`Planning Process
Company
Overview
Product Place
Targeting &
S. Segmentation Process Promotion
Customers W.
Needs and other O.
Target
Segmenting T. Positioning & PositioningMarket Price
Dimensions
Differentiation Packaging People
Competitors
Current &
Prospective
External Market Environment
OVERVIEW &
BACKGROUND
Overview of Business
Pet care business one of the fastest growing markets in
India
Estimates that there are 3.5 million pet animals across
27 Indian cities
Pet industry here has a revenue potential of Rs 350
crore (Rs 3.5 billion)
The market for pet food alone accounts for Rs 250
crore (Rs 2.5 billion)
The pet population growing at 25-26% p.a.
Increase in business of pet insurance – Bajaj Allianz
[Link]/report on pet market, hindu business line
Competition, Who are they?
5%
4%
9%
Pedigree
Royal Canin
12% ProPac
Purina
70% Unorganized
OUR AIM IS
“DENTESTO”
“TO DO SOMETHING BETTER THAN
THE BEST”
VISION & MISSION
Our Vision…
Is to help your cats and dogs live a happier and healthier
Life through superior nutrition and world-class pet products.
“To be an acknowledged leader in the
Our Mission…
manufacture of complete pet food, to offer a range of
high quality,“THE
balanced foods to satisfy
SATISFACTION OF THEa variety of
dietary
CLIENT CAN’T [Link] ANY COST”
BE SACRIFICED
Being committed to the health
and well-being of pets, using only the highest quality
ingredients and standards of care in the formation of
flavour products, whilst continuous development ensures
that all our pet food reflects the latest research into
pet nutrition".
Goals and Future Plans
Short – Term Plans Long – Term Plans
10% growth per month Franchisee
Expand customer base Products for entire pet
market/ growth of 25%
Variation in product
category Guide our company into an
organised market and establish
To earn and retain loyalty a brand identity
of customers and other people
related to our company Website Development
Build awareness on Pets E-Commerce Tie-ups
and their nutrition. Order on SMS
Expect to capture market Plan to open a poultry farm
share of 1 to 1.5%
Company Structure
Type of Partnership
Partners
Business Firm
Finance Marketing Administration
Manager Manager Manager
Chefs and Cleaning and
Delivery Boys Kitchen Maintenance
Staff Staff
Key Personnel
Personnel Salary/head Number
Partners Profits 6
Finance Manager 5000 1
Marketing Exec 6000 2
Administration Exec 4000 1
Delivery Boys 1500 30
Cleaning and 1500 1
Maintenance
Chefs and Kitchen 3000 4
Staff
MARKETING
ANALYSIS
Strengths Weakness
• High Quality/Unique Product Offering • New Brand name
• Highly trained & customer oriented • Target Area Limited to Mumbai
staff
• Limited product line
• Large Area Coverage
• Tested & Reliable Product
• Strong relations with vendors like pet
shops, vets, dog trainers, grooming , etc.
Opportunities Threats
• Under developed market • Competition from existing brands
• Expansion/ Diversification like Pedigree, Royal Canine etc
• Franchisees • Competition from new players in
market
• Additions to product line
• Attack of Diseases like bird flu
• Increase more services
• Growing pet market
Segmentation
Geographic
Major areas within
Nations, states,
regions or cities
Mumbai
All sizes of dogs, Middle
Demographic – High Income (Rs
Age, gender, family size and 25000/- and above)
life cycle, or income
Middle Class – Upper Psychographic
Class, Different Social class, lifestyle, or
personality
lifestyle, pet lovers
Behavioral
Occasions, benefits, uses,
or responses
Targeting
Middle to Upper Class people
Residents of Mumbai
Dog lovers – kids, adults, families etc
Pet Shops, Vets, Pet Trainers and others
People who have dogs and a busy
lifestyle
Audience who knows fresh food is best
for their pets
Positioning
“Homely feeling for your pet ”
• Saves Cooking Time
• Provides best nutrition for dogs
• I feed my dog exactly what I eat
High Quality
Low High
Price
Price
Low Quality
Product Offering
Size 500 gms
Product
Chicken Rs 45
Meat Rs 50
Beef Rs.60
Veggie meal Rs 30
•Every meal accompanies 2 boiled eggs
•Every meal is a combo of rice-cereals and non-veg
Place
Main Office : Bandra West
Supplies to:
South Mumbai
Colaba, Walkeshwar, Malabar Hills, Worli
Bandra
Joggers Park, Carter Road, Bandstand, Pali Hill, Bandra
Khar
Andheri
Santacruz, Vile Parle, Joggers Park,
Lokhandwala, Oshiwara Park
Kandivali
Thakur Village, Evershine Dream Park, Joggers
Park, Lokhandwala
Promotion
Distribution of free samples at joggers park, other dog parks,
veterinary hospitals where pet owners are seen with their pets
Tie-ups - vets, retail stores providing dog food, dog trainers,
pet shops, insurers etc
Organise seminars for pet owners in the nearby localities for
health awareness of pets & talk about the benefits of freshly
cooked dog food
Conduct dog shows wherein pet owners are invited to create
product awareness
Place one month order by paying advance and get tiffin for 5
days absolutely free
Place an order for two months ( above 3500 & get doggie
accessories worth Rs. 1000 absolutely free)
Place an order for six months & get a free medical check-up
Advertisements in Newspaper and magazines (Indian Kennel
Gazette, Dogs and Pups, and Creature Companion) for
animals, banners at prime locations, distribution of brochures
Order
Administration Passes Preparation,
Customer Calls Executive
Order Packing and
takes order
labeling
Puts details
Customer Inventory
Database and Check
Account Details
Dispatch and
delivery
Finance
Department
FINANCIAL
OUTLOOK
Sales & Demand Forecasting
Month Sales in units
Total Sales
Daily Sales Sales/Month Product Share (Units)
April 1000 30000 Chicken 25% 139500
May 1100 33000 Meat 25% 139500
June 1200 36000 Beef 25% 139500
July 1300 39000 Rice & Cereals 25% 139500
Aug 1400 42000
Sept 1500 45000
Oct 1600 48000
Nov 1700 51000
Dec 1800 54000
Jan 1900 57000
Feb 2000 60000
March 2100 63000
Total Sales for 1st yr 558000 units
Costing Matrix
in total cost/ Cost/
units/day grams total qty/day kgs/day cost/kg cost/day month product
MEAL 1
chicken 250 250 62500 62.5 70 4375 180750 24.1
rice + cereals 250 62500 62.5 20 1250
Egg 500 0.8 400
MEAL 2
meat 250 250 62500 62.5 150 9375 330750 44.1
rice + cereals 250 62500 62.5 20 1250
Egg 500 0.8 400
MEAL 3
Beef 250 250 62500 62.5 80 5000 199500 26.6
rice + cereals 250 62500 62.5 20 1250
Egg 500 0.8 400
MEAL 4
Rice& cereals 250 500 125000 125 20 2500 75000 10
26200 786000
Avg.
cost/box 26.2
Profit & Loss Statement
Projected Profit and
Loss Account 2007
For the year ended 31st
March (In Rs.)
Amount
Income
Units 558000
Sales
Selling
Units Price Sales
Chicken 139500 45 6277500
Meat 139500 60 8370000
Beef 139500 50 6975000
Rice & cereals 139500 30 4185000 25807500
Less: Expenditure
Cost of sales and
services
Raw material 14619600
Gas & Stove 19200
Telephone 12000
Boxes 5580000
Opening Inventory of
Boxes NIL
Salary 954000
Rent for shop 360000
Repairs and
Maintenance 24000
Advertising 2500000
Distribution of Samples 7200
Conveyance 350400
Electricity 60000
24486400
Profit Before
Depreciation & Tax 1321100
Less: Depreciation (SLM
method)
Vehicles (10 scooters @
Rs. 35000) 350000 20% 70000
Refrigerator (2 @ Rs.
25000) 50000 20% 10000
Furniture & Fixtures 350000 10% 35000 115000
Profit before Tax 1206100
Less: Tax @ 33.66% 405973.26
Profit after Tax 800126.74
Partner`s share in profit
Ritika Batheja 133354.46
Hardik Khandke 133354.46
Manisha Manglani 133354.46
Bushra Kazi 133354.46
Sagar Khatri 133354.46
Shweta Prabhulkar 133354.46
Proposed balance Sheet for the year ended
31st March In Rupees
Sources of Funds 2007
Capital
Ritika Batheja 100000
Hardik Khandke 100000
Bushra Kazi 100000
Sagar Khatri 100000
Manisha Manglani 100000
Shweta Prabhulkar 100000 600000
Unsecured Loans
Loan From Relatives 400000
Reserves & Surplus
Opening Balance Nil
Profit for current year 800126.74 800126.74
Total 1800126.74
Application of Funds
Fixed assets
Vehicles (@20%) 350000
Refrigerator (@ 20%) 50000
Furniture & Fixtures (@ 10%) 350000
Gross Block 750000
Less: Depreciation -115000 635000
Current Assets
Inventory of boxes 279000
cash in hand & bank 886126.74
Less: Current Liablities NIL
Total 1800126.74
Break Even Point (Sales)
•Contribution = Sales – Variable cost
= 25807500 – 23451400
= 2356100
•Profit Volume Ratio = Contribution/ Sales
= 2356100 / 25807500
= 9.129516613%
• Break even Point (Rs.) = Fixed Cost/PVR
= 1429000/ 0.09129516613
= 15652526.42
* Break Even is between 8 to 9 months