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BOOKSTORE CAFE

TABLE OF CONTENTS
NO TITLE PAGE
1. Preliminary Material
i.Table Of Contents
ii.Cover Letter 1-5
iii.Executive Summary
iv.Acknowledgement
2. Introduction 6-7
3. Purpose Of Business Plan 8
4. Company Background 9 - 18
5. Partnership Agreement 19 - 22
6. Administration Plan
i.Organizational Chart
ii.List Of Administration Personnel
iii.Schedule Of Tasks And Responsibilities 23 - 34
iv.Schedule Of Remuneration
v.List Of Office Equipment and Supplies
vi.Administration Budget
7. Marketing Plan
i.Profile Of Services
ii.Target Market
iii.Market Size
iv.Competition
v.Market Share 35 - 100
vi.Sales Forecast
vii.Marketing Strategies
viii.Marketing Budget

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BOOKSTORE CAFE
8. Operational Plan
i.Operation Process
ii.Process Flowchart
iii.Capacity Planning
iv.Material Requirement 101 - 117
v.List Of Machines And Equipment
vi.Layout Plan Of Operational Area
vii.Operation Overhead
viii.Operational Budget
ix.Schedule Of Implementation
9. Financial Plan
i.Project Implementation Cost
ii.Sources Of Financing
iii.Table Of Depreciation
iv.Loan Amortization Schedule 118 - 134
v.Hire Purchase Repayment Scheme
vi.Cash Flow Pro forma
vii.Profit And Loss Pro forma
viii.Balance Sheet Pro forma
10. Conclusion 135 - 136
11. Appendices 137

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BOOKSTORE CAFE

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BOOKSTORE CAFE
EXECUTIVE SUMMARY

Bookstore Cafe that we are to build is not are famous in younger generation.
That why we try to make an innovation about the Bookstore Café to attract the
generation now days. This business is bases on partnership where it consists of five
members who hold important position in the company such as general manager,
administration manager, marketing manager, operational manager and financial
manager. The location Bookstore café is at TESCO Blok B, 15050 Kota Bharu,
Kelantan. We choose at this location is because it was a strategic location.

Our Bookstore Café provides services as like at café and library. Such as, at
Bookstore Café have a café room that can people eat at there, privacy room, game
room. There are service that we are provide is printing services, trade in book services,
online service that can attract many people to go our Bookstore Café. Besides that
Bookstore Café also provide a food and beverage such as coffee and dessert. When we
make this menu, competition like a starbuck and secret recipes are establish. So we need
to make a something new to attract people.

Based on the vision and mission, we think our Bookstore Café has a potential of
being a profitable business if it is done in this modern world with a larger scale and
systematically managed. We also apply loan from MARA to make this business is
operation smoothly as planned.

We will expect that our business will become more develop in the next few
years in the future because with the new innovation in our Bookstore Cafe, the demand
will increase not only during public holiday but in a daily day. This will give more
advantage for the customers to make our services is more profitable and stable in the
long run.

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BOOKSTORE CAFE
ACKNOWLEDGEMENT

In the name of Allah Most Gracious and Most Merciful

First of all, Alhamdulilah praise to Allah SWT for giving us opportunity to


finish this project successfully. With the gust and guide that He gives to us, we could
finish up this project completely on time. With the strength He gave to us, it helps us to
find the materials and information that are needed to finish up this project.

Moreover, we would like to express our gratitude to our beloved lecture for this
subject Fundamental of Entrepreneurship (ENT300), Madam Nur Haslina Binti Ramli
for her kindness and her time spent for us. Her dedication in giving all the knowledge
about this subject has made this project easily to be done although we have faced some
problem in completing this project. She has taught us how to solve the problem and
advise us to be patient in finding information and finish the task that has been given.

Not to forget, lot of thanks to our parent for being very supportive in vary way
and pray for us to be success in completing this project from the starting point until the
end of benchmarking place. Not to forget, thanks to our roommates for being very
helpful, kind and supportive whenever we feel down and blue.

Last but not least, to our entire classmates (D1BM1115C), thanks for being a
good friends when our group having problem in finishing this project. Thank you for
giving opinions, ideas and information needed by this project.

But out of all people that have been supporting us, we would like to thanks to
each group our group members who has been sacrificing their time for being so tough
and tolerate until we would overcome every difficulties that coming towards us in any
that we faced, we support and help each other until the day of presentation. We hope,
we may run this company successfully in the future as we planned.

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BOOKSTORE CAFE
INTRODUCTION

Bookstores Cafe was owned by Nur Amirah Binti Nordak (General Manager)
with other four of the partners. Bookstores Cafe will operate at Tesco Blok B, 15050
Kota Bharu, Kelantan which is very strategic location at near shopping mall and in the
middle city of Kota Bharu Kelantan. This will attract many customers to taste our best
coffee in city. The nature of business is providing the best service in serving the tasteful
of coffee. This business was opened in 25 March 2017.

Bookstores Cafe is determined to become a daily necessity for local coffee


addicts, a place to dream of as you try to escape the daily stresses of life and just
a comfortable place to meet your friends or to discuss about problem, all in one
Bookstores Cafe will offer its customers the best prepared coffee in the area that will be
complimented with various types of breads, as well as free magazines that their
customers can read to enjoy their visit. At Bookstores Café also provide the situation as
like library that can read the book, trade in the book, printing services, privacy room
and game room that will attract many people to go there.

Marketing in business is a positive activity that we can establish something new


like make an innovation of product that do not have in current market, develop and
satisfies customer need and want. It also can establish two way communication between
supplier and customers. The key element of a successful marketing is to identity the
customer likes, dislikes and their expectation. By organizing these factors, the business
can develop and will allow company to arouse and fulfils the customer need.

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BOOKSTORE CAFE
The business plan is prepared for Majlis Amanah Rakyat (MARA).We need
capitalist to raise fund for the purpose of company management and upgrading. This
business plan is also being drafted so that Bookstores Café will get the financing it
needs in order to start its business. The loan is crucial in order to start the business, so
the presentation of this business plan is vital to gain the confident of the lender. At the
same time it also as a blueprint for the company to plan, organize and financing of the
business.

We decided to do this business because we see the potential of this business to


growth is high as there are many coffee‘s lovers out there that need to satisfy their
addictedness towards coffee. There are also easy to get customers as the location is in
the middle city of Kota Bharu. There are also easy to prepare a cup of coffee because
we have very high skill workers and they are very talented in communicated with
customers to make them happy, comfortable and pleasant.

Bookstores Café is expected to grow sales revenue in three years. As Bookstores


Cafe will maintain their net profit by increasing the performance in serve their values
customers. This cafe also will try to capture the economies of scale by produce at the
lowest cost as possible to make their customers will loyal to them. The Bookstores Café
experience must be delivered in a fashion that will not only inspire repeat business, but
encourage word-of-mouth recommendations to others. Proper inventory, employee
management, and quality control are the key.

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BOOKSTORE CAFE
PURPOSE OF THE PREPARING THE BUSINESS PLAN

This business plan is prepared because to convince venture capitalists in order to


raise capital and obtain support for the venture. We need capitalist to raise fund for the
purpose of company management and upgrading. Bookstores Café has asked from
Majlis Amanah Rakyat (MARA) for a loan up to RM 100 000.00 so that it can build
itself in this business. The other RM 100 000.00 will be from the accumulated capital
provided by each shareholder in the company. Each shareholder has agreed to
contribute RM 20,000.00 each.

This financing will be used as a capital to start our business. The financing will
be used to purchase a startup assets like cafe‘s equipment, furniture, store front and
artwork, advertising and many more. We can get all this items from our trusted
suppliers, and they have agreed to provide products with the best offer ever. Other than
that it will also be used as legal expenses for obtaining license and permits as well as
the accounting service.

By requiring this capital it will also help the Bookstores Café to attract the
attention of publics by make the marketing promotion expenses for the grand opening
that will be launch later. This will increase the sales of our cafe and make our cafe be
known around Kota Bharu area or maybe those outside from Kelantan.

Bookstores Cafe will fully utilize all the assets so that it can maximize the
profit. The profit that the company gets will be used to pay the loan that is
given. Bookstores Café is completely confident that it will be able to pay the loan back
including the interest payment in the loan given. We also try to increase our cafe‘s
performance from time to time to make sure that all amount of the loan will be paid as
soon as possible.

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BOOKSTORE CAFE
COMPANY BACKGROUND

Name Of Company : Bookstore Café


Nature Of Company : Service
Industry Profile : Bookstore And Café
Location Of Business : Tesco, Kota Bharu
Date Business Commencement : 25 March 2017
Factor Selecting Proposed Business : High Potential For Business Growth, Easy To
Get Customers, And Easy In Operation Of
Business.
Future Prospect Business : We Provided To Widen Our Target Market And
Introducing Our Bookstores Café As A
Well-Known Café In Malaysia.

PURPOSE
To get loan from MARA (Loan Amounted to RM100 000)

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BOOKSTORE CAFE
COMPANY BACKGROUND

Business Address : Tesco Blok B, 15050 Kota Bharu, Kelantan


Telephone Number : 09-9789087
From Of Business : Partnership
Main Activities : Providing Beverage, Food And Trade In Book
Date Of Commencement : 25/52017
Registration Number : Mk0387213-W
Name Of Bank : Majlis Amanah Rakyat (MARA)
Bank Account Number : 12000098763425

EQUITY CONTRIBUTION

NAME % RM
Nur Amni Binti Ibrahim 20 20 000.00
Nurazilah Binti Jaly 20 20 000.00
Nur Amirah Binti Nordak 20 20 000.00
Siti Aishah Binti Mat Nor 20 20 000.00
Nurfatin Aisha Binti Razali 20 20 000.00
TOTAL 100% 100 000.00

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BOOKSTORE CAFE
VISSION

1. Make your time luxurious and make you awake with enjoyable place with
friends.
2. The Café Bookstore can become a good trend to follow by the youngster.

MISSION

The mission of my Bookstore Cafe is to become a place and a new trend of


hanging out places, and the first and most popular choice for young people where they
can enjoy their coffee time while reading, chatting or playing games with friend.

To serve when develop the new business, the short and long term plan is very
important. Our Café (Bookstore Café Enterprise) also has the short and long term plan.
Firstly, the short term plan of our café is to provide the high quality of menu that‘s
come with the high quality of service and to satisfy customer needs and wants. Next, the
long term plan of our café is to gain the high profit, to be established and trust as a
perfect Café that provide a high quality of services and product, to be the only one café
that famous in the world in the term of quality of menu and services.

1. The high quality of menu and provide the high quality of services.
2. To fulfill customers need and want

MOTTO

“ SERVE EVERYONE BETTER THAN ANYONE ELSE ”

The future planning is also very important in developing the business. Our Café also has
the future planning. Our future planning is:

i. To widen our target market and introducing our Bookstore Café as a well-known
café in Malaysia.

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BOOKSTORE CAFE
BUSINESS LOGO

Description

 In terms of color
The red color represents the member spirit towards achievements to
BOOKSTORE CAFE
The color represents a sign of the café lighting which is soft grey
The white color represents that our café practice ―hygiene‖ in making
our products.

 In terms of shape
Our logo shape is book and glass represent the best coffee in town.

 In the of name
The words Bookstore Café are represent that we have two services that
have provided in one shop.

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BOOKSTORE CAFE
OWNER BACKGROUND

GENERAL MANAGER

Name Nur Amirah Binti Nordak


Identity Card Number 980819-03-5636
Permanent Address No 123 Jalan Intan,
Felda Kemahang 02,
17510 Tanah Merah, Kelantan
Email Address amierah2981@Gmail.Com
Telephone Number 011-25542981
Date Of Birth / Age 19 August 1998 / 20 Years Old
Martial Status Single
Academic Qualification Diploma In Banking
Course Attended National Entrepreneur Convention
Young Entrepreneur
Skills Good Communications Skills
Ability To Speak In English And Malay
Experiences Works In Hijrah Company At Selangor As Current
Account

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BOOKSTORE CAFE

ADMINISTRATION MANAGER

Name Nur Amni Binti Ibrahim


Identity Card Number 980516-03-5696
Permanent Address No 10 A
Simpang 4 Jalan Kuala Besar,
15350 Kota Bharu, Kelantan.
Email Address amnikeyser@Gmail.Com
Telephone Number 017-9885480
Date Of Birth / Age 16 May 1998 / 20 Years
Martial Status Single
Academic Qualification Diploma In Banking
Course Attended Young Entrepreneur Course, Medec
Skills -Ability To Speak In English And Malay
-Good In Communication Skill
-Ability To Work In Group
-Ability In Business Administration
Experiences Work In Mutiara Sdn Bhd as Human Resource

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BOOKSTORE CAFE

MARKETING MANAGER

Name Nurazilah Binti Jaly


Identity Card Number 960115-03-6250
Permanent Address Lot 1654 A
Belakang Sek Keb Beris
Panchor Tawang,
16320 Bachok, Kelantan
Email Address nurazilahjaly@Gmail.Com
Telephone Number 011-17918840
Date Of Birth / Age 15 January 1996 / 22 Years
Martial Status Single
Academic Qualification Diploma In Banking
Course Attended Young Entrepreneur Course, Medec
Skills - Ability To Speak In Malay And English
- Ability In Managing Business
- Administration And Marketing
- Diverse Knowledge Of Providing
- Effective Business Strategies
Experience Work In Singer Company As Promoter

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BOOKSTORE CAFE

OPERATIONAL MANAGER

Name Siti Aishah Binti Mat Nor


Identity Card Number 980809-03-5352
Permanent Address Lot 45c,
Kg Sungai Satan, Ayer Lanas,
Jeli, Kelantan
Email Address aishahmatnor@Gmail.Com
Telephone Number 017-8795800
Date Of Birth / Age 9 August 1998 / 20 Years Old
Martial Status Single
Academic Qualification Diploma In Banking
Skills - Ability To Speak In English And Malay
- Ability In Using Computer
Experience Works Eng Heong Supervisor

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BOOKSTORE CAFE

FINANCIAL MANAGER

Name Nurfatin Aisha Binti Razali


Identity Card Number 980623-03-0610
Permanent Address Lot 132
Kg Sungai Geting, Pengkalan Kubur,
16080 Tumpat, Kelantan.
Email Address nurfatinaisharazali@Gmail.Com
Telephone Number 014-8337306
Date Of Birth / Age 23 Jun 1998 / 20 Years Old
Martial Status Single
Academic Qualification Diploma In Banking
Skills - Able To Build A Good Relationship With Other
- Good In Communicating With People
Previous Business Prepared Account In Family Business
Experience Work As Cashier At Cool Blog

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BOOKSTORE CAFE
LOCATION

TESCO BLOK B, 15050 KOTA BHARU, KELANTAN

ADVANTAGE OF LOCATION

One of the advantages of setting up our Bookstore Café at TESCO Blok B,


15050 Kota Bharu, Kelantan is that we have a variety of customers. Our café‘s location
is strategic because we are located at the middle of the city where people constantly
passing by either from work to shop, to hangout , even , on their way home as it is one
of the main road in Kota Bharu.

Besides, we choose this location because it is near to Universiti Teknologi Mara


Kampus Kota Bharu. The target markets are students which can lead to mouth
recommendations among them. This also can make they are loyal with our café and
becomes as a regular customers.

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BOOKSTORE CAFE
PARTNERSHIP AGREEMENT

All of partners are agree to sign this partnership agreement on 1January 2017
and witnessed by two lawyer from Mr Johnny and Puan Hayati has been appointed for
this purpose. The function of this partnership agreement is to avoid any fraudulent and
deception that might be happen during the operation of business and ensure business
run efficiently and effectively.

Below are the partners of Bookstore Cafe :

NAME I/C NUMBER


NUR AMNI BINTI IBRAHIM 980516-03-5696
NURAZILAH BINTI JALY 960115-03-6250
NUR AMIRAH BINTI NORDAK 980819-03-5636
SITI AISHAH BINTI MAT NOR 980809-03-5352
NURFATIN AISHA BINTI RAZALI 980623-03-0610

We all strength in one roof of Bookstore Cafe will strive to bring our product to
customer and market nationally and internationally in the future.

We are all come with the mutual agreement in relation to the sharing of
information, openness, trust and decision making involvement which lead to the
successful of our company Bookstore Cafe. We are agreed to work together and strive
till the end in gaining the target profit and achieving our mission and vision. The
agreement is a symbol of our continue partnership and we will work each other in good
faith and having a close relationship with one another in ensuring the successful of our
company.

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Each of the partner:

 Must have and act in good manner and has faith and be trustworthy between
each partner in all business matters.
 Must give full effort in any way for the success of the company
 Must keep all important information relating to the business confidential from
people outside the business organization.
 Must settle all personal problems without involving the company

Each member contribute shared in the company as follow:

NAME % RM
NUR AMNI BINTI IBRAHIM 20 20 000.00
NURAZILAH BINTI JALY 20 20 000.00
NUR AMIRAH BINTI NORDAK 20 20 000.00
SITI AISHAH BINTI MAT NOR 20 20 000.00
NURFATIN AISHA BINTI RAZALI 20 20 000.00

TOTAL 100% 100 000.00

All the partners is strictly forbidden (except with the consent from all the partners) to :

 Give or transfer own share to the public or people outside the business
organization.
 Accept, borrow or lend money owned by the business to other people outside the
business organization except regarding on business matter.
 Accept or borrow money owned by the business for personal use. If any partners
have borrowed any money or asset, payback or recovery must be made in one
month from date borrowed without any interest.

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 Dispose any asset or liability such as debts, money or other owned by partners.
 If any partners dies or become paralyzed that may bring difficulty for her to
perform her work, the next of kin must give a written notice in between 45 days
to other partners if he/she wants to become a partner. It there is no notice
between those period, the next of kin will receive back the capital contributed by
the decreased or the paralyzed partner according to the agreed proportion.

GENERAL MANAGER

Nur Amirah Binti Nordak

980819-03-5636

…………………..

ADMINISTRATIVE MANAGER

Nur Amni Binti Ibrahim

980516-03-5696

…………………..

MARKETING MANAGER

Nurazilah Binti Jaly

960115-03-6250

…………………..

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BOOKSTORE CAFE

OPERATIONAL MANAGER

Siti Aishah Binti Mat Nor

980809-03-5352

…………………..

FINANCIAL MANAGER

Nurfatin Aisha Binti Razali

980623-03-0610

………………………..

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BOOKSTORE CAFE

ADMINISTRATION
PLAN

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6.1 INTRODUCTION TO ADMINISTRATION

In organization, it is important for manager to have administration plan which a


process that involves the internal management in the organization in order to achieve
vision, mission and objective of the organization. Management of company function by
planning, organization, leading and controlling all the resources available. Thus, it will
help organization in achieving its goal which is good quality and good service for
customers.

Our vision is to create a fun and enjoyable place for young people and to
become a new entertainment trend for young people. Meanwhile, our mission is to
create an unique where customers can socialize with each other in a comfortable and
relaxing environment while enjoying the best brewed coffee espresso and pastries. The
objectives of the business are to provide an income and to create a business and
working environment where the customers are treated with nicely and can enjoy the
services that was provided.

Based on the our company Café Bookstore, it is managed by five major high
skilled manager which are leading by general manager. In administration plan, it will
explain more about task and responsibility of each manager in the organization.
Besides, the administration will ensure the welfare of its employee awake by giving
reward and benefits for their hardworking. Schedule of remuneration, administration
expenses and budget will be included in this administration plan.

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6.2 ORGANIZATIONAL CHART

GENERAL MANAGER
NUR AMIRAH BINTI
NORDAK

ADMINISTRATION MARKETING OPERATIONAL FINANCIAL


MANAGER MANAGER MANAGER MANAGER
NUR AMNI BINTI NUR AZILAH SITI AISHAH NURFATIN
IBRAHIM BINTI JALY BINTI MAT NOR AISHA BINTI
RAZALI

CASHIER DISHWASHER STORE KEEPER CHEF

SALES
ASSISTANT

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6.3 ADMINISTRATIVE PERSONNEL


TABLE 1: LIST OF ADMINISTRATION PERSONNEL

POSITION NO. OF PERSONNELS


GENERAL MANAGER 1
ADMINISTRATION MANAGER 1
OPERATIONAL MANAGER 1
MARKETING MANAGER 1
FINANCIAL MANAGER 1
CHEF 2
DISHWASHER 1
CASHIER 2
STORE KEEPER 1
SALES ASSISTANT 1
TOTAL 12

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6.4 SCHEDULE TASKS AND RESPONSIBILITIES
TABLE 2:SCHEDULE OF TASKS AND RESPONSIBILITIES

POSITION TASKS AND RESPONSIBILITIES


GENERAL MANAGER  To plan, organize, direct and control all
the company activities and capable to
communicate with surrounding people
such as municipal administration and
ministry of entrepreneurship development.
 Responsible to all the development and on
going process of company.
 To monitor and control all the activities
that will be ruin based in the procedure
and the protocol of the company.
 Capable to handle any problem that the
company will face and can make the right
decision in order to overcome problem
efficiency.
 Delegate power to the reliable leader in
order to make sure on going performance
of the company will be done exactly.

ADMINISTRATION  To plan the internal and external activities


MANAGER for administration staff and capable to
communicate with the surrounding people.
 Administer the organization from point
oof view of administration so that all
activities about administration will be run
smoothly.
 To make sure all administration
transaction with authoritative of
administrator and supplies so that will be
run fluently.
 To plan administration system so that will
be more effective and efficient.
 To coordinate or make interview for new
workers and make work assessment for
subordinate.

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OPERATIONAL  To make sure all daily operation so that
MANAGER will be run on procedures and rules of the
company
 Always ensure all operational workers will
be more efficiently.
 Responsibility in divided in the
operational field and standard work of
operation workers.

MARKETING  To make sure all activities in marketing


MANAGER will be run fluently.
 Recognize the customer who need our
product.
 Recognize the systematic step to make
sure our sales will achieve the sales
forecast.
 Make sure promotion to the potential
customers to increase the sales.

FINANCIAL MANAGER  Responsible to all activities that involve


the company financial.
 Prepare the finance report every month
 Control the cash flow of business
 Estimate the monthly and annual
expenditure.

CHEF  Prepare the delicious food for customers.


 Ensure the raw ingredient is enough
before cooking.
 Ensure to clean all kitchen stuff before
using them to make sure the quality of
food.

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BOOKSTORE CAFE
DISHWASHER  Wash all kitchen stuff like plate, bowl, cup
and spoon.
 Keep the kitchen clean all the time to
prevent form any complaint.
 Ensure there is no residue around the
cooking area to prevent from insects.

CASHIER  Responsible to receive payment by cash.


 Count money in cash drawers at the
beginning of shift to ensure that amount is
correct that there is adequate change.
 Ensure all customers make payment
before leaving.

STORE KEEPER  Follow up the inventory and inform to the


management.
 Always take note the number of inventory
available in the store to prevent from any
losses.
 Responsible to check the stock every day
after the shop is closed.

SALES ASSISTANT  Constantly striving to increase sales.


 Assisting the customer in locating and
selecting the right product.
 Communicating with customers includes
welcoming customers and assessing the
customers‘ needs.

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BOOKSTORE CAFE
6.5 WORKERS INCENTIVE SCHEME

Workers are an important factor in ensuring the effectiveness and the efficient in
fulfilling the objectives and strategies of the business. We have decided to give an
incentive scheme for our employees to encourage them in carrying their job and high
responsibilities and productivity

1. Salary
Workers salary will be given monthly. It will be given on the same
month it is incurred.
2. Employee Provident Fund (EPF)
Mandatory for employer to contribute the EPF to al employees. As a
general guideline, employer must contribute 10% of an employee‘s basic
salary.
3. Contribution to The Social Security Organization (SOCSO)
The scheme is compulsory and employer must cover all employees under
SOCSO even if they are covered under the insurance policies. A monthly
contribution must be made for each eligible employee according the rate
specified under the Act (about 11% of basic employee‘s salary)
4. Medicine
If an employee need a medical treatment, they can go to any clinic to get
the treatment. The employee can claim the bill at the company.
5. Emergency leave
Emergency leaves will be given to workers for reasonable reason such as
sick and death with an early notification.
6. Bonus
Bonus will be given if the business is profitable. The bonus amount will
be recorded in the business accounting period and the amount given in
one month‘s salary

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6.5.1 SCHEDULE OF REMUNERATION
TABLE: SCHEDULE OF REMUNERATION

POSITION NO. MONTHLY EPF SOCSO TOTAL


SALARY (RM) (RM) AMOUNT
(RM) (B) (C) (RM)
(A) 12% 2.5% (A)+(B)+(C)
GENERAL 1 1 500.00 180.00 37.50 1717.50
MANAGER
ADMINISTRATION 1 1 500.00 180.00 37.50 1717.50
MANAGER
OPERATIONAL 1 1 500.00 180.00 37.50 1717.50
MANAGER
MARKETING 1 1 500.00 180.00 37.50 1717.50
MANAGER
FINANCIAL 1 1 500.00 180.00 37.50 1717.50
MANAGER
CHEF 2 1 200.00 144.00 30.00 1 374.00
DISHWASHER 1 1 000.00 120.00 25.00 1 145.00
CASHIER 2 1 000.00 120.00 25.00 1 145.00
STOREKEEPER 1 1 000.00 120.00 25.00 1 145.00
SALES 1 1 200.00 144.00 30.00 1 374.00
ASSISTANT
TOTAL 14 770.50

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6.6 DETERMINE IN THE OFFICE FURNITURE AND


FITTINGS
TABLE : LIST OF CAFÉ EQUIPMENT

TYPE PRICE UNIT (RM) QUANTITY TOTAL AMOUNT


(RM)

Office table and 1 500.00 1 set 1 500.00


chair

Cafe table and chair 500.00 7 set 3 500.00


Cabinet 1 300.00 2 2 600.00
Kitchen stuff 150.00 10 1 500.00
Refrigerator 1 700.00 1 1 700.00
Lamp 30.00 8 240.00
Air conditioner 1 500.00 3 4 500.00
Dustbin 20.00 5 100.00
Shelf 400.00 5 2 000.00
Cahier machine 1 200.00 1 1 200.00
Dish wash and 20.00 5 1 000.00
mosaic cleaner
TOTAL 19 840.00

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LIST OF BOOKSTORE EQUIPMENT

TYPE PRICE UNIT (RM) QUANTITY TOTAL AMOUNT


(RM)
Office table and 1 500.00 4 set 6 000.00
chair
Computer 2 000.00 1 2 000.00
Cabinet file 600.00 2 1 200.00
Lamp 30.00 8 240.00
Air conditioner 1 500.00 3 4 500.00
Dustbin 20.00 1 20.00
Shelf 400.00 10 4 000.00
Cahier machine 1 200.00 1 1 200.00
Price scanner 800.00 2 1 600.00
Photocopy machine 4 000.00 1 4 000.00
Binding machine 350.00 1 350.00
Sofa 1 500.00 1 set 1 500.00
Fax machine 350.00 1 350.00
Telephone 200.00 1 200.00
TOTAL 27 160.00

TOTAL CAFÉ EQUIPMENT RM 19 840.00


TOTAL BOOKSTORE EQUIPMENT RM 27 160.00
TOTAL RM 47 000.00

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6.7 ADMINISTRATION BUDGET

ITEM FIXED ASSET MONTHLY OTHER


EXPENSES

RENT - 1 500.00

FURNITURE AND 47 000.00 -


FITTING

VEHICLE 30 000.00 -

RENOVATION 10 000.00 -

SALARY - 14 770.50

EPF 1 548

SOCSO 323

UTILITIES - 1 900.00

DEPOSIT 20 000.00

ROADTAX/INSURANCE 850.00

TOTAL 87 000.00 20041.50 20 850.00

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BOOKSTORE CAFE

MARKETING
PLAN

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BOOKSTORE CAFE
7.1 MARKETING PLAN

Introduction to marketing

Marketing is defined as the activities that are carried out systematically to


encourage and increase sales of production services as long as the activities are in line
with religious and practical practice. Marketing strategy has the fundamental goal of
increasing sales and achieving a sustainable competitive advantage. Marketing strategy
includes all basic, short term, and long term activities in the field of marketing that deal
with the analysis of the strategic initial situation of a company and the formulation,
evaluation and selection of market-oriented strategies that contribute to the goals of the
company and its marketing objectives. Marketing strategy is important for a company to
increase the quantity sell per month. marketing plans helps entrepreneur to evaluate
market acceptance , developed strategies to market product or services of the business ,
identify required resources to execute the marketing strategies and estimate marketing
financial requirement,

Marketing plan help a company to market their product by doing promotion


strategy. For example, advertising, sales promotion, personal selling and publicity. By
doing this, people will have knowledge on the product that have in market. The
promotion also will help the company to gain feedback from the public and can improve
quality if product.

In order to run our business successful and in smartest way, bookstore cafe had
come out with two types of marketing planning. They are:

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BOOKSTORE CAFE
Marketing plan for short term period

Here, there are some of our marketing in short term plan:

 For the short term period, we will try to fulfil the customer desires especially in
terms of the choices. Here, we will provide many attraction product. For café,
we will add more dessert such as chocolate cupcake, cheese tart, hokaiddo cake,
coffee and many more. For bookstore, we will add and improve our service to be
a better services for customer.
 We will join the market and compete with the offer competitor that run similar
business like us
 We will increase our communication skills as the customers will feel happy
welcome and comfortable with our attendance.

Marketing plan for long term period

Here, there are some our marketing in long term plan:

 For long term period, we would like to open more branches throughout the
country and be one of the best and well known bookstore café shops in Malaysia
 We would like to extend our business to all over Asia such as Singapore, Korea,
Indonesia and others.

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BOOKSTORE CAFE
Profile of product / service

Bookstores

Our business is bookstore cafe. Bookstore cafe that we choose is the business
that idea we combine from only bookstore that we sell stationary tools only and now we
bigger the scope and growth the business by combine the bookstore into the bookstore
and cafe that will easily for customer especially student. Our business is more focus on
selling the book, novel trade in the book and also provide some wifi and computer that
easily to student to make their work, assignment and so on. Our bookstore also we
decorate with the beautiful and attracting theme.

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Services descriptions

1) Trade in books

Trade in books refers to the services that we provide to the customer that want to
trade in their book that they not use anymore to us and we will pay to their book that
they want to trade in. We are very proud to provide the opportunity for the customer to
trade their gently loved books in exchange for store credit towards the purchase of other
used books. This is very benefit to the customer and avoid them from wasting the book.
In addition, the book that we take can be useful to other customer because the book that
they want maybe have at our bookstore. So, they can use the book when they come to
our shop.
Price = Rm 20.00 – Rm 60.00

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2) Selling books, novel, comics, magazine and others

We also provide some books, magazine, newspaper and also comic to the
customer. They will easily come to our shop and buy whatever type of books that they
want. The book that we provide come with different fictions and various type of book at
all level of age. So, customer will more enjoy and they have many choices to choose
what the book that they want.
Types of book Price (RM)
Historical book Rm 15.00 – Rm50.00
Novel Rm15.00 – Rm 30.00
Magazine Rm 8.00 – Rm 25.00
Comics Rm 8.00 – Rm 15.00
Science fiction Rm 10.00 – Rm 40.00
Children Rm 5.00 – Rm 10.00
Action and adventure Rm 15.00 – Rm 30.00
Mystery Rm 15.00 – Rm 25.00
Health Rm 10.00 – Rm 35.00
Travel Rm 10.00 – Rm 40.00
Encyclopedias Rm 20.00 – Rm 100.00
Journals Rm 15.00 – Rm 50.00
Cookbooks Rm 10.00 – Rm 40.00
Biographies Rm 20.00 – Rm 50.00

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3) Computer / pc services

We also provide computer or pc services to our customers. It is easier for them


especially student that they can come to our shop while finishing their assignment or
homework. They can easily come and surfing the internet. We also charge at the
affordable price to them.

Price = Rm 5.00 – Rm 10.00

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4) Printing services

Other than that, we also provide some printing services to our customer. If they
want to print anything they will easily use our services. Other than printing, we also
provide Photostat services, binding, and so on.

Print black =Rm 0.20


Print colour = Rm 0.50
Binding = Rm 1.50
Photostat= Rm 0.10
Range price = Rm 0.70 – Rm 5.00

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Cafe

Other than that, we also provide cafe with the variety of food that customer can
choose from western food, dessert and also coffee and drink. They are many menu that
they can choose from western food until drink. Our food also fresh food because we
always restock our ingredients to cook the menu. The dessert that we provide is
chocolate cupcake, cheese tart, hokaiddo cake, coffee and many more. We also
introduce the new menu and only one special menu at our cafe that famous with their
name as ‗roti papi‘. Roti papi that we introduce is customer can request the meat that
they want such as rabbit meat and it is special for eksotic lover. it is easier to customer
to have their meal while they finishing their work.

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Services descriptions (Menu)

Western food

MENU PRICE (RM)


Lamb Chop RM 20.50

Chicken chop RM 15.50

Fish and chips RM 14.00

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Menu Price (rm)


Chicken roasted black pepper RM 10.50

Carbonara spaghetti RM12.00

Chocolate moist cake RM 8.50

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Chocolate indulgence cake RM 9.00

Hokkaido cupcake RM 5.50

Roti papi Rm 6.00

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Cheese tart RM 5.00

Hot chocolate RM5.50

Choclate blended RM 7.00

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Hot lemon tea RM 7.00

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7.2 TARGET MARKET

Target market is defined as the group of customer, which have needs and wants
that can be satisfied by business through the supply of good and services. The
Bookstores Café will serve all its customer lower middle and upper income by
providing its product with affordable prices and by rendering services that will put a
smile on the faces of its customers. It will be no discrimination between its customers.

Target market could be refer to a set of customers that sharing common need or
characteristic. For our Bookstores Café, under the market segmentation we will
emphasis of the location. We had chosen Kota Bharu as our location to operate our
business because Kota Bharu is the largest number of population as all the people are
living in that big city. Furthermore, the location is very strategic because it located in
the middle city Kota Bharu and the most of the workers, students and community at the
area Kota Bharu are likely to spend their pleasure time there.

 Students
There are two University at area of Bookstores Café which is UniversitI
Teknologi Mara (UiTM) Kampus Kota Bharu and Kolej Poly-Tech Mara
(KPTM). Malaysian nowadays especially people who had busy with work and
students that does not have enough time to prepare the meals and study at home
can go to bookstores café. The bookstores café provided many facilities and
services the customers. Also can give privacy for the customers that comes to
the bookstores café.

Type of student Percentage (%)


Uitm Degree student 40%
Primary and secondary school student 25%
KPTM diploma student 35%

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population of students in target market

25%
UiTM Degree Students
40%
KPTM Diploma Students

Primary & Secondary School


Students

35%

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 Community at area Kota Bharu
The people or community at near Kota Bharu city can easy access with
Bookstore Café due to the strategic place at town of Kota Bharu. They can stop
by enjoy the services that provided by bookstores café such as printing services,
trade in the books, desserts and western foods that most famous at bookstores
café was ―Roti Papi‖ This kind of services that offered will helps in cheering the
mood of the person.They are many races in Kota Bharu such as Malay, Indian,
and Chinese. We are offering services that can satisfy all population without any
discrimination.

Type of community at area KB Percentage (%)


Teenagers 55%
Old folks 10%
Family 35%

Population of Community in
Target Market
Teenagers Old Forks Family

35%

55%

10%

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 Workers
As we know that, most of workers in Malaysian have not enough time
for themselves and having a hard time such as stress. They are too busy with
their works at office until they ignore their rest time and do not have time to
spend with their friends. With the available of bookstores café, the workers at
the area of Kota Bharu can comes and enjoy the services that offered and release
their tension at the office. We provide the privacy room with the good view and
scenery that can give the calmness. They also can do their works at our
bookstores café because there are many facilities that we provided such as
reference books, articles, wifi and so on. They also can enjoy our special dessert
while they do their works at bookstores café.

Type of workers Percentage (%)


Office staff 45%
Shopping complex staff 30%
Factory staff 25%

population of workers in target


market
Offices staff Shopping complex staff Factory staff

25%
45%

30%

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7.3 Market size

Market size is refers to the total potential purchase that is expected from the
target market. In determine, the market size, a company focused on the people who
works, study or lives in the middle city of Kota Bharu which is estimated to be about
50000 peoples.

Kota Bharu is a develop city where they are many infrastructure and service
provided to its surrounding. Kota Bharu also surrounded with working place,
universities, college and housing area. Besides that, each of the area within Kota Bharu
are provided with public transportation such as busses and taxis. Furthermore, two of
the established shopping complex that is AEON Mall and KB Mall are situated in Kota
Bharu. From the seasonal factor, Kota Bharu will be crowded with people during
seasonal event such as Hari Raya Aidilfitri, National Day and other event.

From 50000 peoples in Kota Bharu, we target to the student, work people and
community at area Kota Bharu.

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market size at Kota Bharu

11%

student
25%

worker

64% community at area KB

Based on pie chart above, we know that the student is the most person that come and
use our services. Second is the working people. Working people may come to do their
task or to finish their work. Third is community at area Kota Bharu. They maybe come
from all ages like children, teenagers, old folk and so on.

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7.4 COMPETITION

Basically, competitors often defined as other firms or independent entities that


offer similar services or goods in the market place knowing the competitors and what
they are offering is very significant in setting up a new business. It will trigger us
enhance our products, services and marketing. Other than that, it will allow us to set up
our price competitively and help us to respond to rival marketing campaigns with our
own initiatives and efforts. This is something that we cannot avoid since there will
always be a new competitors joining the target market since our Bookstores Café is still
new in business. In Kota Bharu, basically there are three competitors and all the café is
located in the city of Kota Bharu. This gives chances to our business to succeed with the
knowledge of analysis of others competitor strength and weakness. It is important for us
to improve from time to time to make sure our business will able to compete with the
existing competitors.

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Table below show the list of our current potential competitors

NO COMPETITORS Detail of competitors


1 Starbucks Address: Tesco, 15050 Kota Bharu, Kelantan
Open hours: 6.30 am- 8 pm
Phone:09-7918840

2 Secret Recipes Address: G43 KB Mall, Jalan Hamzah, 15050 Kota


Bharu Kelantan
Open hours: Open daily from 10.30 am- 10.30 pm
including Friday
Phone: 09-741 9922

3 Kopi Mesin
Address: Lot 572 Batu 3½, Jalan Sultan Yahya Petra,
Kubang Kerian, 16150 Kota Bharu, Kelantan
Open hours: 10 am- 1 am
Phone: 011-1568 0148
4 Kopitiam Kita Address : Jalan Sri Cemerlang , Taman Desa Jasa,
15400, Kota Bharu, Kelantan
Open hours : 8 am- 12 am
Phone : 09-9866543
5 Old town White Address : Lot 551, Taman Damai Perdana, Wakaf
Coffe Che Yeh, Jalan Kuala Krai, 15100, Kota Bharu
Kelantan
Open hours : 9 am – 12 am

Phone no : 09-7480125

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7.4.1 COMPETITORS SWOT ANALYSIS
1. Starbucks

Starbuck at Tesco Kota Bharu are the 282 owned by Berjaya Starbucks Coffee
Company Sdn. Bhd. (Berjaya Starbucks) that already established and operation in our
country (Malaysia). All the staff members (12 staff) are from Kelantan and the manager
of the Kelantan branches already work and gain experienced from Starbucks café at
Kuala Lumpur for 12 years and got the chance to work at own hometown. Next
planning, Starbucks also want to open new others branches at Kelantan (Pengkalan
Chepa) with the new concept.

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STRENGTH WEAKNESS

 Have a strong branded name  The prices too expensive


and recognized over the world.  Limited customers.
 Brand loyalty among the  Limited product.
customers
 One of the most experienced in
the industry.
 24 hours open

OPPORTUNITIES THREATS

 New menu offered  People moving to healthier way


 Attract people by ambassador. of lifestyle.
 Big competitions
 Prices war

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2. Secret Recipes

Founded in 1997, Secret Recipe made its mark, renowned for its extensive range
of fine quality gourmet cakes. It has since evolved to become one of the fastest growing
lifestyle cakes and café chain in the region with over 440 café outlets to date.

Secret Recipe Cakes & Café‘s concept can be found in prime urban locations
and shopping malls in major cities in the region including Malaysia, Singapore,
Indonesia, Thailand, China, Brunei, Maldives and Bangladesh. Secret Recipe Cakes &
Café offers a friendly and personalised full-service dining experience for customers and
incorporates a modern contemporary and vibrant interior concept with comfort
ambience, and great food. It provides a great respite for customers to enjoy good food
and quality time with friends, family or associates, after a long day at work.

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STRENGTH WEAKNESS

 Have a strong branded name  The prices too expensive.


 Brand loyalty among the  Big competitions
customers  Few variety of product
 One of the most experienced in
the industry.
 Many branches

OPPORTUNITIES THREATS

 Can increase its presence in  People moving to healthier way


newer countries and regions of of lifestyle.
the world.  Increase the cost of raw
 New types of menu offered material
 Healthy product

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3. Kopi Mesin

This little coffee shop in Kubang Kerian may look like a typical Kopitiam but
Kopi Mesin offers specialty-grade coffee.It uses a hand-crafted blend from three distinct
direct trade single origins — Mountain Mogiana from Brazil, Sigri Estate from Papua
New Guinea and Kaapi Royale Robusta from India. This blend is masterfully roasted to
a medium roast for a fully complex tasting coffee. The coffee menu is quite extensive.
For those who do not really know coffee, the menu provides illustrations. There‘s a
choice of expresso, latte macchiato, doppio, flat white, cappuccino americano, cafe latte
and mocha. Kopi Mesin also serves non-coffee choices such as chocolate, teas and
many more type of menu.

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STRENGTH WEAKNESS

 Affordable price  New to the customers


 High-class standard menu  Big competitions
offered  No reputations
 Decoration café very attractive

OPPORTUNITIES THREATS

 New product  People moving to healthier way


 Brand extension of lifestyle.
 Increasing of competition.

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5) Kopitiam kita

Kopitiam Kita essentially is a food stall. It, however, stocks up on local


rice dishes from what appears to be various parts of this state. We tried the
nasi dagang ikan and also the nasi berlauk ayam and both were unique. The
dagang rice was a bit like sushi rice consistency and appeared to be made
from brown rice.Another dish was roti titab. It is toasted break with a half
boiled egg and a coconut spread called kaya. This was very nice and
appeared to be the hit of the place. Kopitiam Kita is a place where you can
find numerous types of pre-packed rice being sold. They have all the famous
type of cooking from all over Kelantan.

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STRENGTH WEAKNESS

 variable standard menu offered  The store not suitable and


 cheaper upgrade
 Goods services  Big competitions

OPPORTUNITIES THREATS

 Can Expand to outside  Same menu and no renovation


Kelantan on the store.
 Same standard as the highclass  Increasing of competition.
café.

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5. Old TOWN WHITE COFFEE

The history of Old Town White Coffee was started in 1999. The intention of old
town is to provide high quality white coffee to Malaysian household and also food
service industry. Blend 3-in-1 instant coffee is formulated by the co-founders and
Executive Directors, Mr.GohChingMun and Mr. Tan Say Yap. Co-founders were
helped in the growth of old town. With the support of Mr. Lee SiewHeng who are the
Managing Director of the company. He was responsible in the role of implementing
company vision, strategy and development. Old town 3-in-1 instant coffee mix has
successful sold around 1,348 to Malaysia retail outlets in 31 October 2009. Besides that,
Old Town White Coffee having 550 retail outlets in Singapore and also 2100 retail
outlets in Hong Kong(Old Town White Coffee, 2013).

The next step of old town is to enter in Vietnam market. The concept of old
town in Vietnam is started a coffee retail shop with providing high quality of coffee and
also food. Hope that we can provide a good environment for customer to have a cup of
coffee and meal. It just like an old town slogan ―take your time‖. There are few reasons
why old town enter to Vietnam market. First, according to Kenanga Research (Feb
2012), old town is planning expense their business oversea in Chian, Korea and
Vietnam. Old town‘s food outlets and beverage suit Asian and the Chinese taste. It
mean that the cultural of Malaysia and Vietnam almost the same.

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STRENGTH WEAKNESS

 High-class standard menu  New to the customers


offered  Big competitions
 Decoration café very attractive  Price is too expensive
 Goods services

OPPORTUNITIES THREATS

 New product  People moving to healthier way


 Brand extension of lifestyle.
  Increasing of competition.

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7.5 Market share

Market shares is the comparative measures to assess performance against the


competition.

Company Before enter market (%) After enter market (%)


Kopi Mesin 20 15
Starbucks 35 30
Secret recipe 20 18
Kopitiam kita 15 10
Old town white coffee 10 10
Bookstore cafe - 17

market share before enter market

Starbucks
15%
kopi mesin
10% 35%
secret recipe
20% kopitiam kita
20%
old town white coffee

Before entrance of Bookstores café, Starbucks has been able to compete with
Secret recipe (Kb Mall) , kopitiam kita, old town white coffee and Kopi Mesin (Kubang
Kerian) in sales and marketing effort. Starbucks has the greater percentage which is
35% followed by secret recipe 20% and kopi mesin 20% that is same percentage for
both. The percentage followed by 15%, old town white coffee and 10% by kopitiam
kita. They show the great competitors among them before the bookstors café entre the
market.

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Market share after entrance of Bookstores Café.

market share after enter market

Starbucks
17%
30% kopi mesin

10% secret recipe


kopitiam kita
10%
15% old town white caffe
18% bookstores café

After the entrance of bookstores café, all the competitor café facing the challenges to
maintain their sales. However, Starbucks still maintain being a café that lead the others
competitors. Starbucks has the greater percentage which is 30%, Secret Recipe 21% followed
Kopi Mesin with 15%, second last was bookstores café that is 14% .Lastly Kopitiam Kita and
Old Town White Coffee with same percentage 10% for both. Even bookstores café still a new
company, we have proven that our company can be top three from 5 competitors in Kelantan.

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7.6 SALES FORECAST

Table below show our sales forecast for first year

Sales Sales TOTAL


YEAR MONTH Café Bookstores SALES REASONS
(RM) (RM) (RM)
 People not aware about the
January 24,000 7,900 31,900 Bookstore café at first month of
opening the business

 People already aware and take


1 February 31,500 9,000 40,500 action and visit to our
Bookstores Café.
 Students start their new
semesters and fulfill their leisure
time at bookstores café.

 Many off day of the staff on that


March 28,700 10,000 38700 months that we need to closed
the bookstores café. For
example the emergencies
problem that can‘t be avoid.

 The Renovation on the


April 23,000 7500 30,500 Bookstores Café in order to
attract more customers.
 Fasting months to all Islamic

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and only non-muslim that comes
to bookstores café on that time.
 New services and product
May 22,800 6700 29,500 offered that can attract more
customers to stop by our
Bookstores Café and enjoy the
services.
 For example the launching of
new recipe ―ROTI PAPI‖.
 Most of regular customer that is
June 27,200 8700 35,900 student is having their mid-
semesters break and going back
to hometown.
 The sales only depends on the
workers or office mates and the
community at area KB
 The upgrades on services
July 32,200 7,600 39800 offered such as we provide the
printing services and the private
space for those need privacy.
 Increase in demand of product
offered such as the demand in
August 36,400 5,600 42,000 the dessert that we provide.
 Promotion on the certain product
and services
 Student have a semester break
September 31,100 5600 36,700 for a month and the sales will
effect.

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 The entrance of new competitors


October 25,120 5,980 31,100 in market such as Starbucks,
Kopi Mesin and Secret Recipe.
 High demand of the product and
November 35,000 7,620 42620 services among the students,
workers and the people around
the Kota Bharu.
 Many public holidays and
December 31,000 14,000 45,000 customer comes with their friend
and family to enjoy the services
and product offered.
 There are promotion and
discount at bookstores café. For
examples, customer get the
discount when the spend more in
one single receipt

TOTAL 348,020 96,200 443,220

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FORECAST SALE FOR CAFE (RM)


40000 36400 35000
35000 31500 32200 31100 31000
28700 27200
30000 24000 23000 22800 25120
25000
20000
15000
10000
5000
0

FORECAST SALE FOR CAFE (RM)

FORECAST SALE FOR BOOKSTORES


16000
14000
12000
10000
8000
6000
4000
2000
0

FORECAST SALE FOR BOOKSTORES

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The second table shows increasing the sales from years to another year. This
table was stated the data of sales for three years.

The table below shows out total sale forecast for the second and third year.

Year Sales forecast cafe Sales forecast bookstores


(RM) (RM)

1 348,020 96,200

2 (3%) 358,460 99,086

3 (5%) 376,383 104,040

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7.7 Marketing strategies

Services / product

A business marketing strategy is the single biggest factor when determine the
success of failure of once business. Marketing strategy is a business marketing policy,
usually outlined in a formal marketing plan. The marketing strategy usually meshes
with the company‘s corporate image and product brands. Marketing tactics are some of
the activities that carry out the marketing strategy. Marketing strategies are generally
concerned with marketing mix principles, also known as the 4P‘s. it used by business to
assist in pursuing the business objectives.

The 4P’s in marketing strategy are:

 Product or services strategy


 Price strategy
 Place or distribution strategy
 Promotion strategy

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 Product / services strategy

a) Service quality

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Quality of a service can be major positioning tool for a business. We can
convince our customer due to our quality of service by maintaining the quality.
Nowadays, we know that some supplier could be bias by cheating the customers on the
quality of their services. Quality plays a main role in marketing strategies. The main
thing that always we think before offering our services to the customer is the quality.
From the quality we can know that our customer will satisfied with our services. When
they are satisfied of the quality of the services, they will come again to us and yet we
can get regular customer to our bookstores café. Bookstore café play the role and very
strict about the quality in our business. We are very consistency and trying to improve
our service by day to day. We also ask some feedback from customer and what they
want us to do more in our business to satisfied their need and wants. We also deal with
the trusted supplier in order to make sure that our service are very have high quality.
We always make sure that our bookstore café in clean situation and we always put or
cleanliness of our café is the most important thing. Next, for cafe, we always use the
new ingredients every day to cook. We buys all the thing fresh and have the quality to
be serve to the customer. With this, the customer will be more satisfied and like to come
to our shop.

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b) Service package

Service package is the combination of service at competitive price. In our


business, firstly, for bookstore we provide some services on selling the book, novel,
trade in the book, printing services and also provide some wifi and computer that easily
to student to make their work, assignment and so on. So, in bookstore, we introduce the
specific package to easier for customer. The example of package is:

Bookstores

No Single item service Price (RM)


1 Trade in book Rm 20 – Rm 60
2 pc users Rm 5 – Rm 10
3 Buying book, novel, comics Rm 15 – Rm 100
4 Service printing Rm 0.70 – Rm 5

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No Package Price (Rm)


1 Trade in book + pc users Rm 25

+
2 Pc users + printing services Rm 5.70

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3 Buying books, novel and comics + pc users Rm 40

+
4 Trade in books + buying book Rm 40

+
5 Printing + trade in Rm 30

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Cafe

In cafe, we provide with the variety of food that customer can choose from
western food and also dessert. The dessert that we provide is chocolate cupcake, cheese
tart, hokaiddo cake, coffee and many more. We also introduce the new menu and only
one special menu at our cafe that famous with their name as ‗roti papi‘.

No Single item services Price (Rm)


1 Chicken chop Rm 15.50
2 Lamb chop Rm 20.50
3 Fish and chips Rm 14.00
4 Carbonara spaghetti Rm 12.00
5 Roasted black pepper chicken Rm10.50
6 Chocolate moist cake Rm 8.50 per slice
7 Chocolate indulgence cake Rm 9.00 per slice
8 Hokkaido cupcake Rm 5.50
9 Cheese tart (strawberry, blueberry, chocolate) Rm 5.00
10 Roti ‗papi‘ Rm 13.50
11 Hot Chocolate Rm 7.50
12 Hot Cappuccino Rm 6.00
13 Hot cofee Rm 7.00
14 Hot tea Rm5.00
15 Hot lemon tea Rm 6.50
16 Chocolate blended Rm 7.00
17 Cappuccino blended Rm 9.50
18 Ice tea Rm5.50
19 Ice lemon tea Rm7.00

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No Package Price (Rm)
1 Chicken chop + chocolate hot coffee + Hokkaido Rm 25.00
cupcake

2 Lamb chop + ice lemon tea + chocolate indulgence cake Rm 33.00

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3 Spaghetti carbonara + capucinno blended Rm 18.00

4 Roasted black pepper chicken + cheese tart + ice tea Rm 18.00

5 Chocolate moist cake + hot lemon tea Rm 10.00

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c) Service differentiation

Service differentiation offering that is uniqueness and can be differentiated from


the competitors. As we know in market, each services has their own identities and
specialties to attract customer, including their packing, tasting, and quality same goes
with our services. Since our services is drinks, some foods and bookstore services

There are some technics of the service differentiation:

 .Packaging
There are some function of packaging:

i. Protection

The first function of packaging is to protect during the process of


transportation, storage, display and sales until the product is ready for use.
According to café, we going to supply our product by using the plastic glass for
drinks and paper box for foods. So it is easier way for customer to bring it.

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ii) Attracting to customers
Example of packaging

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d) Labelling
Labelling performs several functions such as identifying, grading, describing, or
even promoting the product. Label is one of the important thing that consumer have to
take attention. In addition, for café, we also put the ingredients and content label at the
package to ensure customers know about the healthiest of our product which not be
made from artificial ingredients. The more important things is ‗halal‘ logo that
certificate from JAKIM which is convince the customer especially Muslim to purchase
or product. This is to ensure all the ingredients that we used is from food
standardization and not made from non halal ingredients that could be make sensitivity
of Muslim consumer.

e) After sales services


After the sale services, we usually follow up back the customers by ask for their
feedback, every month we will messaging of reminder that our business make some
promotion and so on. Normally, we will ask for their feedback based on our service and
also our product. Based on the feedback from customer, we will get the more ideas and
come with a lot of way to improve our business. After that, we make the feedback
customer as our improvement to be a good one shop the can satisfy their customer
needs and wants.

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 Pricing strategy

The definite meaning of the price of a product or services as the amount of


money charged to the customer for a particular purchase. Our financial objectives when
talking about price will be coined on how much money we intend to make from of
product, how much we can sell and what market share will get in relation to
competitors. Objectives such as these and how business generates profit in comparison
to the cost of production need to be taken into account when selecting the right pricing
strategy. There are several pricing strategy namely, cost based pricing, value based
pricing and competition based pricing. Each one of these has their own pros and cons
based on the product or services offered itself. Our pricing structure remain affordable
and in line with other competitors Our pricing structure are based on the survey that had
been done plus the count of all cost that include from the supplier to us. To attract more
people to be our customers place on these services, we set off the affordable price to the
customer. For our company, we have decided to imply the discounting pricing tactics
and product bundle pricing.

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For example:
Discounting tactics (Bookstore and café)
Bookstore Café Total
Month Services Services Discount (%)
discount (%) discount (%)
March Price of books, Coffee and 15%
novel etc drink
(10%) (5%)

June Printing services Western food 10%


(6%) (4%)

August Pc users dessert 12%


(8%) (4%)

December Trade in Western food 18%


(11%) (7%)

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Product bundle pricing / package (bookstore)

No Package Price (Rm)


1 Trade in book + pc users Rm 25.00
2 Pc users + printing services Rm 5.70
3 Buying books, novel and comics + pc users Rm 40.00
4 Trade in books + buying book Rm 50.00

Product bundle pricing / package (café)

No Package Price (Rm)


1 Chicken chop + chocolate hot coffee + Rm 25.00
Hokkaido cupcake
2 Lamb chop + ice lemon tea + chocolate Rm 33.00
indulgence cake
3 Spaghetti carbonara + capucinno blended Rm 18.00
4 BBQ black pepper chicken + cheese tart + ice Rm 18.00
tea
5 Chocolate moist cake + hot lemon tea Rm 10.00

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 Place or distribution strategy

Bookstores café is allocated at Tesco blok b Kota Bharu Kelantan. This building
has already complete with basic amenities such as water and electricity. Kota Bharu is
strategic place to open up business because it is located in a middle of city where
surrounded with else community and also foreigners. Beside that, many customer from
many other areas will come to Kota Bharu such as Tanah Merah, Machang, Ketereh
and other area in Kelantan because of the strategic location. Therefore, it is suitable to
open Bookstores café since the surrounding is good for our business. The place or
location plays an important roles and is surely to affect our business. That why before
we setting up the business, we must first consider about location. Our café is located in
Kota Bharu due to its strategically location which is it located at attraction area and
has a large target market. Furthermore, the chances of our business to survive will be
higher since we offer more interesting services that we combine the service of
bookstore and café.

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Manufacturer / producer

Direct channel

Consumer

We choose two level structure in which goods and services move directly from
the manufacturer or provider to the consumer are able to order products directly from
the manufacturer fulfills those orders through its own physical distribution strategy.

Factors to consider when determining distribution strategy is type of product or


services, target market, market coverage, transportation ease and product
standardization.

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 Promotion strategy

Promotion represents all of the communication that a market use in the market
place. Promotion has four distinct elements. For the first is advertising, public relations,
personal selling and sales promotion. A certain amount of crossover occurs when
promotion uses the four principal elements together which is common in film
promotion. We start our marketing plan during the launching day by giving free dessert
for the first 10 customer who enter the bookstore café. Besides that, we also provide
discount for every services in the same day. Therefore, our goals is to introduce our
services to public and maintain customer loyalty will be achieve. In our business, there
are several promotion strategy that we use.
For example is:

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 Advertising

This is one of our promotion strategies in introducing our company. Newspaper is a


part of medium in transferring information to residents in our marketplace. We will
advertise our product including our company‘s contact details. However, in order to
minimize the cost, we will choose the hot selling newspaper and magazine in the
residential area. It also will reduce the waste of advertising useless promotions

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 Flyers

The flyers will give to the houses that located a stone away from our location
business. It is effective way to the customer because they can see our promotions our
services and also product in flyers.

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 Bunting
Besides that, we use bunting to promote our bookstores café. To make
people aware to the bunting , we use attractive colour and writing. We also
locate our bunting at the strategic places so that people can see the bunting
clearly without obstacles. We locate ur bunting near to the main road and
strategic location that people passes around. This will help our customers to
locate our shop.

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a) Business card

For our business card, we will be giving our contact number and the
address of our bakery. So, it will be easier for our customer to contact us if they
want to order our product.

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b) Internet

Besides, we also take opportunity to promote and sell our product in all over
the country by using internet as a medium to expanding our business opportunity. By
this way, we take the opportunity to create Instagram page and Facebook page to
promote our services, and directly we can attract many customers to try our product
services. Online selling is important as the easiest way to buy something so people can
make orders by only access to the internet. In addition, people can also see how we
make our products through the video the we upload on social media as it is one of our
strategies to attract people because people nowadays like to know how the product that
they want to use are produced.

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Instagram

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Facebook

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 Signboard

Signboard is the way we introduce our company especially for our


premises. Its because we will locate the signboard directly in front of our
building. So, that when peoples pass by, they will know where we are and what
service and products we are producing. we will also design and locate our
banners at the main locations where people always come or pass by for example,
at the bus stop, junctions of the road, universities and so on.

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7.8 MARKETING BUDGET

TYPES FIXED MONTHLY OTHER TOTAL


ASSSET EXPENSES EXPENSES (RM)
(RM) (RM) (RM)
Fixed Asset Monthly Others TOTAL
(RM) expenses expenses (RM)
(RM) (RM)
Fixed Asset
a. signboard 1200.00 1200.00
Monthly expenses
a. Flyers 100.00 100.00
b. Utilities 200.00 200.00
c. Wifi 500.00 650.00
Others expenses
a. Business card 100.00 100.00
b. Banners 170.00 170.00
c. Grand opening 5,000.00 5,000.00
d. Advertising 1500.00 1500.00
Newspaper &
internet

TOTAL 1200 850 6,770 8920

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OPERATION
PLAN

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8.1 INTRODUCTION

Operational planning is a set of activities of planning before starting any kind of


business in the purpose of guiding all the sources to produce the products or services so
that the plan can be implement as all the requirement of the business has being search
out by the complex research made, list down from the findings and be well prepare in
order to start a business. Besides that, operational planning also involves the production
of product or service according to the quantity, quality, specification and time specified
by the customer at the lowest cost possible. It is an important element in the business
plan. Without operation, the organization cannot work effectively.

A systematic and strategic planning will ensure that our services can go up and running
smoothly. In addition, operational plan is essential in developing the business plan as to
ensure that all the needs and demand of the customers are being full fill. The plan is also
needed as a guide in order to provide better products and services and as the way to
improve its quality in the future.

All the activities in operational plan comprise the business inputs, transformation
process and output or production. All of this operation plan will be explained in detail in
this section.

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8.2 PROCESS FLOW CHART

Supervisor orders all the raw materials and equipment from the
supplier.

All materials and equipment needed being delivered by the


supplier.

The materials and equipment that were arrived have to check


based on what we ordered.

Some payment was made either by cash or credit.

Materials will be sent to the kitchen area and the equipment will
be sent to the room that was required.

Some of them need to be separate according to their types.

All Materials will be stored in the store room or on the shelf.

Materials will be taken out upon requirements.

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SYMBOLS USED IN THE PROCESS CHART

Symbols Activity Description


Activity that modify, transfers
Operation or give added value to the
input
Movement of materials or
Transportation goods from one place to
another
Activity that measure the
Inspection standard or quality

Finished products and goods


Storage are stored in the storage area
or warehouse

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8.3 ACTIVITY PROCESS

Greet the customers

Customers come in the bookstore cafe and take their seat


according on their own purpose

Take their orders and at the same time the customers can
choose their own reading types that available there

Serve customer 's order

Customers can buy the book to read at home

Customers can pay their order at the counter

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8.4 BUSINESS HOUR

Bookstore Cafe will be open from Sunday till Friday. The business will start from 8.00
a.m. to 10.00 p.m. Public holidays for workers are their off day including their off day
per week but they can request for doing an overtime work in the public holidays. Our
off day will be on Saturday, once per week. We provide 1 hour‘ rest. The rest hour is
straight 1 hour. In addition, we split the workers into two shifts. We give them 1 hour
for break time to take a rest with having a great meal. Their co-worker can take cover
their job to give them perform their prayer and vice versa. From Sunday to Friday, there
will be no worker that can take their day off due to many customers exclude for the
urgent matter or they can use the benefit as a worker to make an application leave and
that must have permission from the owner.

TABLE: BUSINESS HOUR

Shift 1:

Day Work Rest Work

Sunday to Friday 8.00 a.m.-11.00 11.00 a.m.-12.00 12.00 p.m.-3.00


a.m. p.m. p.m.

Shift 2:

Day Work Rest Work

Sunday to Friday 3.00 p.m.-6.00 6.00 p.m.-7.00 7.00 p.m.-10.00


p.m. p.m. p.m.

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8.5 PRODUCTION PLANNING

TABLE: PRODUCTION PLANNING

*If the number of working days per month is 24 days

Foods only Books Foods Total


Types of sold items only and
books
Average sales forecast per month (RM) 14,400 7,200 18,000 39,600
Price per person (RM) 10.00 20.00 30.00 -
Number of person per month 1,440 360 600 2,400
The amount of person per day 60 15 25 100

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8.7 MATERIAL REQUIREMENT

TABLE: MATERIAL REQUIREMENT IN CAFE

MATERIAL QUANTITY UNIT PRICE TOTAL PRICE


(RM) (RM)

FLAVOR

a)Espresso 5 28.00/kg 140.00

b)Americano
5 25.00/kg 125.00
c)Chocolate
5 18.00/kg 90.00
d)Mocha
5 25.00/kg 125.00
e)Cappuccino
5 23.00/kg 115.00
f)Latte

g)White Coffee 5 28.00/kg 140.00

h)Caramel 5 23.00/kg 115.00

i)Vanilla 5 20.00/kg 100.00

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OTHERS
a)Eggs 400 0.40/pcs 160.00
b)Chocolate Powder 30 8.50/kg 255.00
c)Flour 60 1.80/kg 108.00
d)Whipping Cream 10 5.80/ml 58.00
f)Butter 20 4.50/kg 90.00
g)Almond 10 20.00/kg 200.00
h)Chocolate Chips 10 12.00/kg 120.00
i) Sweetened creamer 150 1.80/pcs 270.00
j) Fresh milk 150 6.80/liter 1020.00
k) Sugar 100 2.60/kg 260.00
l) Salt 5 1.50/kg 7.50
m) Baking powder 5 2.50/bottles 12.50
n) Vanilla essence 5 3.00/bottles 15.00
o) Filling jam 10 6.00/bottles 60.00
p) Chicken 360 6.50/kg 2 340.00

PACKAGING MATERIAL
a) Straw 5 6.00/packet 30.00
b) Plastic pack for pies 500 0.25/pieces 125.00
c) Tissue 100 2.50 250.00
d) Plastic cup for ice blended 500 0.30/pieces 150.00
e) Bamboo straw 50 12.00/packet 600.00

TOTAL 7 081.00

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TABLE: MATERIAL REQUIREMENT IN BOOKSTORE

MATERIAL QUANTITY UNIT PRICE (RM) TOTAL PRICE (RM)

INK PRINTER

a) Black 10 45.00/pcs 450.00

b) Blue 10 45.00/pcs 450.00

c) Red 10 45.00/pcs 450.00

d) Yellow 10 45.00/pcs 450.00

BOOKS

a) Magazines 10 12.00/unit 120.00

b) Novel 30 18.00/unit 540.00

c) Academic 20 15.00/unit 300.00

d) Comic 15 5.00/unit 75.00

e) Newspaper 120 2.00/pcs 240.00

f) Health book 20 20.00/unit 400.00

g) Fiction 20 15.00/unit 300.00

h) Non-fiction 20 15.00/unit 300.00

i) Cooking book 5 16.00/unit 80.00

10 60.00/box 600.00
g) A4 Paper

TOTAL 4 755.00

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8.8 MACHINES AND EQUIPMENT

TABLE: MACHINES AND EQUIPMENT IN BOOKSTORE CAFE

NO. MACHINES QUANTITY PRICE / UNIT TOTAL PRICE


(UNIT) (RM) (RM)

1 Cash Machines 1 1600.00 1 600.00

2 Refrigerator 3 2 300.00 6 900.00

3 Freezer 3 1580.00 4740.00

4 Coffee Machines 3 1088.00 3264.00

5 Microwaves Ovens 2 2249.00 4498.00

6 Kitchen 2 200.00 400.00

7 Toaster 3 60.00 180.00

8 Television 1 2 000.00 2 000.00

90 Ice Blender 3 80.00 240.00

10 Flour Mixer 2 750.00 1 500.00

11 Dustbin 3 9.00 27.00

12 Broom 3 4.00 12.00

13 Rubbish Collector 2 12.00 24.00

14 Cup And Glass 100 2.80 280.00

15 Spoon And Fork 100 3.00 300.00

16 Double Bowl Sink 2 150.00 300.00

TOTAL 26 265.00

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Machine And Equipment In Bookstore Cafe

Toaster Cash machine Microwave oven

Coffee machine Blender Exhaust fan

Cup Straw bamboo Freezer and refrigerator

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8.9 OPERATIONAL LAYOUT

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8.10 OPERATION OVERHEAD

TABLE: OPERATION OVERHEAD

ITEMS MONTHLY EXPENSES (RM)

WATER 1500.00

ELECTRICITY 3000.00

TELEPHONE 250.00

INTERNET UNIFI 650.00

TOTAL 5 400.00

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8.11 LICENSE, PERMITS AND REGULATION

Bookstore Café must get license from the related bodies and authority in order to run
the business without any justification. The licenses that required are:

1. Premise and signboard license from Majlis Perbandaran Kota Bharu (MPKB)

(Form MPKB-JPL-KP-01-A1)

2. License for outdoor advertising from Majlis Perbandaran Kota Bharu (MPKB)

(Form MPKB-JPL-KP-01-B1)

3. The business also registered under Suruhanjaya Syarikat Malaysia (SSM)

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8.12 OPERATIONAL BUDGET

TABLE: OPERATIONAL BUDGET

PARTICULARS FIXED MONTHLY OTHERS TOTAL


(RM) (RM)
ASSET EXPENSES
(RM) (RM)

Fixed Asset:

Machine and Equipment 26 265.00 26 265.00

Working Capital:

Utilities 5 400.00 5 400.00

Raw Materials 11 836.00 11 836.00

Pre-Operations and Other


Expenditure:

Business registration and 260.00 260.00


license /permit
Other expenses 100.00 100.00

26 265.00 17 236.00 360.00 43 861.00


TOTAL

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8.13 SCHEDULE OF IMPLEMENTATION

TABLE: SCHEDULE OF IMPLEMENTATION

ACTIVITIES DEADLINES DURATIONS

Incorporation of business June – Augt 2017 3 months

Application for permits and June – Sept 2017 4 months


license

Searching for business premise July – Augt 2017 3 months

Renovation of premise Sept 2017 1 month

Procurement of machine and Sept – Nov 2017 3 months


raw material

Recruitment of labours Dec 2017 1 month

Installation of machines Dec 2017 1 month

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FINANCIAL PLAN

118
NAME OF BUSINESS/COMPANY BOOKSTORE CAFE

1. Projected administrative, marketing and operations expenditure :

MARKETING EXPENDITURE ADMINISTRATIVE EXPENDITURE OPERATIONS EXPENDITURE


Fixed Assets RM
Fixed Assets RM Fixed Assets RM
Land & Building
Signboard 1,200 Furniture and fitting 47,000 Machine and equipment 26,265
Vehicle 30,000
Renovation 10,000
9.1 Project Implementation Cost

Working Capital Working Capital Working Capital


Wifi 650 Rent 1,500 Raw Materials 11,836
Flyers 100 salary 14,771 Carriage Inward & Duty
Utilities 200 EPF 1,548 Salaries, EPF & SOCSO
SOCSO 323 Utilities 5,400

Other Expenditure Other Expenditure Other Expenditure


Other Expenditure 6770 Other Expenditure Other Expenditure 100
Pre-Operations Pre-Operations Pre-Operations
Deposit (rent, utilities, etc.) Deposit (rent, utilities, etc.) 21,900 Deposit (rent, utilities, etc.)
Business Registration & Licences Business Registration & Licences Business Registration & Licences 260
Insurance & Road Tax for Motor Vehicle Insurance & Road Tax for Motor Vehicle 850 Insurance & Road Tax for Motor Vehicle
Other Expenditure Other Expenditure Other Expenditure
TOTAL 8,920 TOTAL 127,891 TOTAL 43,861
BOOKSTORE CAFE

119
2. Projected sales and purchases: SALES PROJECTION PURCHASE PROJECTION
Year 1 Month 1 31,900 Month 1 11,836
Month 2 40,500 Month 2 11,836
Month 3 38,700 Month 3 11,836
Month 4 30,300 Month 4 11,836
Month 5 29,500 Month 5 11,836
Month 6 35,900 Month 6 11,836
Month 7 39,800 Month 7 11,836
Month 8 42,000 Month 8 11,836
Month 9 36,700 Month 9 11,836
Month 10 31,100 Month 10 11,836
Month 11 43,000 Month 11 11,836
Month 12 45,000 Month 12 11,836
Total Year 1 444,400 Total Year 1
Year 2 ToTal Year 2 457,732 ToTal Year 2
Year 3 Total Year 3 480,619 Total Year 3
\
3. Collection for sales & payment for purchases: COLLECTIONS FOR SALES PAYMENTS FOR PURCHASES
In the month of sale 100% In the month of purchase
1 month after sale 1 month after purchase 100%
2 months after sale 2 months after purchase
Total 100% Total 100%

4. Economic life of fixed assets & FIXED ASSETS Econ. Life (yrs) FIXED ASSETS Econ. Life (yrs)
depreciation method: Furniture and fitting 5 5
Vehicle 5 5
Renovation 5 Machine and equipment 5
- 5 5
Signboard 5 5
- 5 5

DEPRECIATION METHOD (1=straight line, 2=declining balance) 1


BOOKSTORE CAFE

120
5. Increase in working capital (if any): INCREASE IN WORKING CAPITAL (%)
Year 2
Year 3

6. Ending stock for raw materials ENDING STOCK OF RAW MATERIALS RM ENDING STOCK OF FINISHED GOODS RM
and finished goods: End of Year 1 End of Year 1
End of Year 2 End of Year 2
End of Year 3 End of Year 3
9.2 Sources Of Financing

7. Rate of taxation (for private limited company): TAX RATE


Year 1
Year 2
Year 3

8. Business background: BUSINESS LEGAL ENTITY 2 NATURE OF BUSINESS 3


1 = Private Limited Cpmpany (Sdn. Bhd.) 1 = Manufacturing
2 = Partnership 2 = Trading
3 = Sole Proprietorship 3 = Service

9. Sources of finance: TERMS OF LOAN (if required)


Interest rate 5%
Loan duration 6
Interest payment method* 1
* Method: 1 = flat rate 2 = annual rest kadar tetap

TERMS OF HIRE-PURCHASE (if required)


Interest rate 8%
Hire-purchase duration 5
BOOKSTORE CAFE

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PROJECT IMPLEMENTATION COST & SOURCES OF FINANCE
Project Implementation Cost Sources of Finance
Requirements Cost Loan Hire-Purchase Own Contribution
Fixed Assets Cash Existing F. Assets
Land & Building
Furniture and fitting 47,000 20,000 27,000
Vehicle 30,000 15,000 15,000
Renovation 10,000 5,500 4,500

Signboard 1,200 600 600

Machine and equipment 26,265 12,765 13,500

Working Capital 1 months


Administrative 18,141 4,141 14,000
Marketing 950 750 200
Operations 17,236 12,236 5,000
Pre-Operations & Other Expenditure 29,880 19,680 10,200
Contingencies 11% 19,874 9,874 10,000

TOTAL 200,546 100,546 100,000


BOOKSTORE CAFE

122
ADMINISTRATIVE BUDGET MARKETING BUDGET
Particulars F.Assets Monthly Exp. Others Total Particulars F.Assets Monthly Exp. Others Total
Fixed Assets
Land & Building - - Fixed Assets
Furniture and fitting 47,000 47,000 Signboard 1,200 1,200
Vehicle 30,000 30,000 - -
Renovation 10,000 10,000 - -
- - - -
Working Capital Working Capital
Rent 1,500 1,500 Wifi 650 650
salary 14,771 14,771 Flyers 100 100
EPF 1,548 1,548 Utilities 200 200
SOCSO 323 323 - -
- - - -
- - - -
- - - -
Pre-Operations & Other Expenditure Pre-Operations & Other Expenditure
Other Expenditure - Other Expenditure 6,770
Deposit (rent, utilities, etc.) 21,900 21,900 Deposit (rent, utilities, etc.) - -
Business Registration & Licences - - Business Registration & Licences - -
Insurance & Road Tax for Motor Vehicle 850 850 Insurance & Road Tax for Motor Vehicle - -
Other Pre-Operations Expenditure - - Other Pre-Operations Expenditure - -
Total 87,000 18,141 22,750 127,891 Total 1,200 950 6,770 2,150
BOOKSTORE CAFE

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OPERATIONS BUDGET
Particulars F.Assets Monthly Exp. Others Total

Fixed Assets
Machine and equipment 26265 26,265
-
-
-
Working Capital
Raw Materials 11,836 11,836
Carriage Inward & Duty - -
Salaries, EPF & SOCSO - -
Utilities 5,400 5,400
- -
- -
- -
Pre-Operations & Other Expenditure
Other Expenditure 100
Deposit (rent, utilities, etc.) - -
Business Registration & Licences 260 260
Insurance & Road Tax for Motor Vehicle - -
Other Pre-Operations Expenditure - -
Total 26,265 17,236 360 43,761

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9.3 Table Of Depreciation

BOOKSTORE CAFE
DEPRECIATION SCHEDULES

Fixed Asset Furniture and fitting Fixed Asset Vehicle


Cost (RM) 47,000 Cost (RM) 30,000
Method Straight Line Method Straight Line
Economic Life (yrs) 5 Economic Life (yrs) 5
Annual Accumulated Annual Accumulated
Year Depreciation Depreciation Book Value Year Depreciation Depreciation Book Value
- - 47,000 - - 30,000
1 9,400 9,400 37,600 1 6,000 6,000 24,000
2 9,400 18,800 28,200 2 6,000 12,000 18,000
3 9,400 28,200 18,800 3 6,000 18,000 12,000
4 9,400 37,600 9,400 4 6,000 24,000 6,000
5 9,400 47,000 - 5 6,000 30,000 -
6 0 0 - 6 0 0 -
7 0 0 - 7 0 0 -
8 0 0 - 8 0 0 -
9 0 0 - 9 0 0 -
10 0 0 - 10 0 0 -

Fixed Asset Renovation Fixed Asset


Cost (RM) 10,000 Cost (RM)
Method Straight Line Method Straight Line
Economic Life (yrs) 5 Economic Life (yrs) 5
Annual Accumulated Annual Accumulated
Year Depreciation Depreciation Book Value Year Depreciation Depreciation Book Value
- - 10,000 - - -
1 2,000 2,000 8,000 1 - - -
2 2,000 4,000 6,000 2 - - -
3 2,000 6,000 4,000 3 - - -
4 2,000 8,000 2,000 4 - - -
5 2,000 10,000 - 5 - - -
6 0 0 - 6 - - -
7 0 0 - 7 - - -
8 0 0 - 8 - - -
9 0 0 - 9 - - -
10 0 0 - 10 - - -

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BOOKSTORE CAFE
Fixed Asset Signboard Fixed Asset
Cost (RM) 1,200 Cost (RM)
Method Straight Line Method Straight Line
Economic Life (yrs) 5 Economic Life (yrs) 5
Annual Accumulated Annual Accumulated
Year Depreciation Depreciation Book Value Year Depreciation Depreciation Book Value
- - 1,200 - - -
1 240 240 960 1 - - -
2 240 480 720 2 - - -
3 240 720 480 3 - - -
4 240 960 240 4 - - -
5 240 1,200 - 5 - - -
6 0 0 - 6 - - -
7 0 0 - 7 - - -
8 0 0 - 8 - - -
9 0 0 - 9 - - -
10 0 0 - 10 - - -

Fixed Asset Machine and equipment Fixed Asset


Cost (RM) 26,265 Cost (RM)
Method Straight Line Method Straight Line
Economic Life (yrs) 5 Economic Life (yrs) 5
Annual Accumulated Annual Accumulated
Year Depreciation Depreciation Book Value Year Depreciation Depreciation Book Value
- - 26,265 - - -
1 5,253 5,253 21,012 1 - - -
2 5,253 10,506 15,759 2 - - -
3 5,253 15,759 10,506 3 - - -
4 5,253 21,012 5,253 4 - - -
5 5,253 26,265 - 5 - - -
6 0 0 - 6 - - -
7 0 0 - 7 - - -
8 0 0 - 8 - - -
9 0 0 - 9 - - -
10 0 0 - 10 - - -

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BOOKSTORE CAFE
9.4 Loan Amortization Schedule & Hire Purchase Repayment Scheme

BOOKSTORE CAFE
LOAN & HIRE-PURCHASE AMMORTISATION SCHEDULES

LOAN REPAYMENT SCHEDULE HIRE-PURCHASE REPAYMENT SCHEDULE


Amount 100,546 Amount
Interest Rate 5% Interest Rate 8%
Duration (yrs) 6 Duration (yrs) 5
Method Kadar tetap
Year Principal Interest Total Payment Principal Balance Year Principal Interest Total Payment Principal Balance
- - 100,546 - - -
1 16,758 5,027 21,785 83,788 1 - - - -
2 16,758 5,027 21,785 67,031 2 - - - -
3 16,758 5,027 21,785 50,273 3 - - - -
4 16,758 5,027 21,785 33,515 4 - - - -
5 16,758 5,027 21,785 16,758 5 - - - -
6 16,758 5,027 21,785 - 6 - - - -
7 0 0 - - 7 - - - -
8 0 0 - - 8 - - - -
9 0 0 - - 9 - - - -
10 0 0 - 10 - - - -

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BOOKSTORE CAFE
9.5 Cash Flow Pro-forma

BOOKSTORE CAFE
PRO FORMA CASH FLOW STATEMENT

MONTH Pre-Operations 1 2 3 4 5 6

CASH INFLOW
Capital (Cash) 100,000
Loan 100,546
Cash Sales 31,900 40,500 38,700 30,300 29,500 35,900
Collection of Accounts Receivable
TOTAL CASH INFLOW 200,546 31,900 40,500 38,700 30,300 29,500 35,900

CASH OUTFLOW
Adm inistrative Expenditure
Rent 1,500 1,500 1,500 1,500 1,500 1,500
salary 14,771 14,771 14,771 14,771 14,771 14,771
EPF 1,548 1,548 1,548 1,548 1,548 1,548
SOCSO 323 323 323 323 323 323

Marketing Expenditure
Wifi 650 650 650 650 650 650
Flyers 100 100 100 100 100 100
Utilities 200 200 200 200 200 200

Operations Expenditure
Cash Purchase
Payment of Account Payable 11,836 11,836 11,836 11,836 11,836
Carriage Inw ard & Duty
Salaries, EPF & SOCSO
Utilities 5,400 5,400 5,400 5,400 5,400 5,400

Other Expenditure 6,870


Pre-Operations
Deposit (rent, utilities, etc.) 21,900
Business Registration & Licences 260
Insurance & Road Tax for Motor Vehicle 850
Other Pre-Operations Expenditure
Fixed Assets
Purchase of Fixed Assets - Land & Building
Purchase of Fixed Assets - Others 114,465
Hire-Purchase Dow n Payment
Hire-Purchase Repaym ent:
Principal
Interest
Loan Repaym ent:
Principal 1,396 1,396 1,396 1,396 1,396 1,396
Interest 419 419 419 419 419 419
Tax Payable
TOTAL CASH OUTFLOW 137,475 33,176 38,142 38,142 38,142 38,142 38,142
CASH SURPLUS (DEFICIT) 63,071 (1,276) 2,358 558 (7,842) (8,642) (2,242)
BEGINNING CASH BALANCE 63,071 61,795 64,152 64,710 56,867 48,225
ENDING CASH BALANCE 63,071 61,795 64,152 64,710 56,867 48,225 45,982

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BOOKSTORE CAFE
7 8 9 10 11 12 TOTAL YR 1 YEAR 2 YEAR 3

100,000
100,546
39,800 42,000 36,700 31,100 43,000 45,000 444,400 457,732 480,619

39,800 42,000 36,700 31,100 43,000 45,000 644,946 457,732 480,619

1,500 1,500 1,500 1,500 1,500 1,500 18,000 18,000 18,000


14,771 14,771 14,771 14,771 14,771 14,771 177,246 177,246 177,246
1,548 1,548 1,548 1,548 1,548 1,548 18,576 18,576 18,576
323 323 323 323 323 323 3,870 3,870 3,870

650 650 650 650 650 650 7,800 7,800 7,800


100 100 100 100 100 100 1,200 1,200 1,200
200 200 200 200 200 200 2,400 2,400 2,400

11,836 11,836 11,836 11,836 11,836 11,836 130,196 142,032

5,400 5,400 5,400 5,400 5,400 5,400 64,800 64,800 64,800

6,870 6,870 6,870

21,900
260
850 850 850

114,465

1,396 1,396 1,396 1,396 1,396 1,396 16,758 16,758 16,758


419 419 419 419 419 419 5,027 5,027 5,027
0 0 0 0
38,142 38,142 38,142 38,142 38,142 38,142 590,218 465,429 323,397
1,658 3,858 (1,442) (7,042) 4,858 6,858 54,728 (7,697) 157,222
45,982 47,640 51,498 50,055 43,013 47,870 54,728 47,031
47,640 51,498 50,055 43,013 47,870 54,728 54,728 47,031 204,253

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BOOKSTORE CAFE
9.6 Profit And Loss Pro-forma

BOOKSTORE CAFE
PRO-FORMA INCOME STATEMENT

Year 1 Year 2 Year 3


Sales 444,400 457,732 480,619
Less: Cost of Sales
Opening stock
Purchases 142,032
Less: Ending Stock
Carriage Inward & Duty

Gross Profit

Less: Enpenditure
Administrative Expenditure 217,692 217,692 217,692
Marketing Expenditure 11,400 11,400 11,400
Other Expenditure 6,870 6,870 6,870
Business Registration & Licences 260
Insurance & Road Tax for Motor Vehicle 850 850 850
Other Pre-Operations Expenditure
Interest on Hire-Purchase
Interest on Loan 5,027 5,027 5,027
Depreciation of Fixed Assets 22,893 22,893 22,893
Operations Expenditure 64,800 64,800 64,800
Total Expenditure 471,824 329,532 329,532
Net Profit Before Tax (27,424) 128,200 151,086
Tax 0 0 0
Net Profit After Tax (27,424) 128,200 151,086
Accumulated Net Profit (27,424) 100,775 251,862

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BOOKSTORE CAFE
9.7 Balance Sheet Pro-Forma

BOOKSTORE CAFE
PRO-FORMA BALANCE SHEET
Year 1 Year 2 Year 3
ASSETS

Non-Current Assets (Book Value)


Land & Building
Furniture and fitting 37,600 28,200 18,800
Vehicle 24,000 18,000 12,000
Renovation 8,000 6,000 4,000

Signboard 960 720 480

Machine and equipment 21,012 15,759 10,506

Other Assets
Deposit 21,900 21,900 21,900

113,472 90,579 67,686


Current Assets
Stock of Raw Materials 0 0 0
Stock of Finished Goods 0 0 0
Accounts Receivable
Cash Balance 54,728 47,031 204,253
54,728 47,031 204,253

TOTAL ASSETS 168,200 137,610 271,939

Owners' Equity
Capital 100,000 100,000 100,000
Accumulated Profit (27,424) 100,775 251,862
72,576 200,775 351,862
Long-Term Liabilities
Loan Balance 83,788 67,031 50,273
Hire-Purchase Balance
83,788 67,031 50,273
Current Liabilities
Accounts Payable 11,836 (130,196) (130,196)

TOTAL EQUITY & LIABILITIES 168,200 137,610 271,939

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BOOKSTORE CAFE

BOOKSTORE CAFE
FINANCIAL RATIO ANALYSIS
Year 1 Year 2 Year 3

LIQUIDITY
Current Ratio 5 (0) (2)
Quick Ratio (Acid Test) 5 (0) (2)

EFFICIENCY
Inventory Turnover #VALUE! #VALUE! #VALUE!

PROFITABILITY
Gross Profit Margin #VALUE! #VALUE! #VALUE!
Net Profit Margin -6.17% 28.01% 31.44%
Return on Assets -16.30% 93.16% 55.56%
Return on Equity -37.79% 63.85% 42.94%

SOLVENCY
Debt to Equity 131.76% -31.46% -22.71%
Debt to Assets 56.85% -45.90% -29.39%
Time Interest Earned (6) 25 29

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BOOKSTORE CAFE
FINANCIAL RATIOS
Current Ratios Quick Ratios

5 5

4 4

3 3

2 2
Ratio

Ratio
1 1

0 0
1 2 3 1 2 3

(1) (1)

(2) (2)

Year Year

Inventory Turnover Gross Profit Margin

1 100.00%

1 90.00%

1 80.00%

1 70.00%

1 60.00%
Percent
Times

1 50.00%

0 40.00%

0 30.00%

0 20.00%

0 10.00%

0 0.00%
1 2 3 1 2 3

Year Year

Net Profit Margin Return on Assets

100.00%
35.00%

30.00% 80.00%

25.00%
60.00%
20.00%

40.00%
15.00%
Percent
Percent

10.00% 20.00%

5.00%
0.00%
0.00% 1 2 3
1 2 3
-5.00% -20.00%

-10.00%
-40.00%

Year
Year

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BOOKSTORE CAFE
Return on Equity Debts to Equity

80.00% 140%

120%
60.00%

100%

40.00%
80%

20.00% 60%

Percent
Percent

Serie…

0.00% 40%
1 2 3
20%
-20.00%

0%
1 2 3
-40.00%
-20%

-60.00% -40%

Year Year

Debts to Assets Times Interest Earned

80% 35

30
60%

25
40%
20

20%
15
Percent

Times

0% 10
1 2 3
5
-20%

0
1 2 3
-40%
-5

-60% -10

Year Year

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BOOKSTORE CAFE
10.0 CONCLUSION
A business plan has two primary purposes. first and foremost, it should be used to help
run your company with a more cohesive vision. It is your roadmap. By truly analyzing
your plan for marketing, sales, manufacturing, website design and you greatly improve
your chances for success.

There is several main importance of having a business plan which is to map the
future. A business plan is not just required to secured to funding at the start-up phase,
but is a vital aid to help you manage your business more effectively. By committing
your thoughts to paper, you can understand your business better and also chart specific
courses of action that need to be taken to improve your business. Next, is to support
growth and secure funding. Most businesses face investment decisions during the
course of their lifetime. Often, these opportunities cannot be funded by free cash flows
alone, and the business must seek external funding. A well-written business plan can
help you convey these points to prospective investors, helping them feel confident in
you and in the thoroughness with which you have considered future scenarios.

Subsequently, is to develop and communicate a course of action. A business


plan helps a company assess future opportunities and commit to a particular course
action. By committing the plan to paper, all other options are effectively marginalized
key activities. Furthermore, is to help manage cash flow. Careful management of cash
flow is a fundamental requirement for all businesses. The reason is quite simple many
businesses fail, not because they are unprofitable, but because they ultimately become
insolvent. For instance, they are unable to pay their debts as they fall due. While the
break-even point where the total revenue equals total costs is a highly important figure
for start once a business is up and running profitably, it becomes less important.

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BOOKSTORE CAFE
Other than that, is to support a strategic exit. At some point, the owners of the
firm will decide it is time to exit. Considering the likely exit strategy in advance can
help inform and direct present day decisions.

Lastly, Bookstore Cafe is one of the famous café in Kota Bharu town. Our café
provide a good quality of menu with a reasonable price. We will meet its financial
goals and our café has opportunity to become more success in the future. From this
business plan, we provided a great deal of information about our café. For examples, we
have collected beginning capital of our business from our member of partnership which
is the total collection is RM 100 000 000. Our café chooses to ask from MARA for a
loan up RM 100 000 000 so that it can build itself in this business.

We will try our best to attract many of customers which are not only around the
population at Kota Bharu but also out of Kota Bharu and expand our business around
Malaysia in the future. Hence, we will try harder to make sure our café can increase our
sales and gain more profit in order to expand our business.

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BOOKSTORE CAFE

APPENDICES

137