Transcription
ShippingCompanyAlways Here to Take Care Of Your CarryingBusinessPlan[YEAR]John Doe10200 Bolsa Ave, Westminster, CA, 92683(650) 359-3153info@upmetrics.cohttps://upmetrics.co
Table of ContentsExecutive Summary4Business Overview5Management5Customers5Business Target53 Year profit forecastChartCompany Summary667Company Owner8Why the Business is being started8How the Business will be started8Startup costChartFunding Required999Products and Services12Products and services13Market Analysis14Market Trends15Marketing Segmentation15Market Share16Chart16Women16Men16Businesses17Market Analysis17Business Target17Product Pricing17Competitive Advantage18Strategy19Competitive Analysis20Sales Strategy20Sales Yearly21ChartSales Forecast21211 / 34
ChartDetailed Sales ForcastPersonnel planAverage Salary of EmployeesFinancial Plan2122242526Important Assumptions27Brake-even Analysis27Projected Profit and Loss27Profit YearlyChartGross Margin YearlyChart29292929Projected Cash Flow30Projected Balance Sheet31Business Ratios322 / 34
Easy to use Business Plan SoftwareGet started using a business plan template is always the fastest way to write yourbusiness plan, but as you know, you can't just fill in the blanks along with a template. Youwill need a collaborative tool that guides you on every step of your planning.Upmetrics can help. With Upmetrics, you can easily bring your team to write aprofessional business plan with automated financial forecasts. You can also do:200 Sample business plansGet access to hundreds of sample business plans covering almostall industries to kick start your business plan writing. This helpsyou to get an idea how the perfect business plan should look like.View Sample Business PlansStep-By-Step GuideYou'll receive step-by-step instruction as soon as you select anybusiness plan template. We made business planning easy withprompt help and examples on every step of your business planwriting.See How It WorksConduct accurate financial projectionsDo not worry about not having accounting skills. With Upmetrics,Simply enter your sales and costs figures, and we'll prepare all ofyour monthly/quarterly and yearly financial projections.See How It Works[YEAR ] Bus ines s Plan Shipping C ompany3 / 34
1.Executive SummaryBusiness OverviewManagementCustomersBusiness Target[YEAR ] Bus ines s Plan Shipping C ompany4 / 34
Before you think about how to start a Drop Shipping service, you must create adetailed Drop Shipping business plan. It will not only guide you in the initialphases of your startup but will also help you later on.To unlock help try Upmetrics! Business OverviewDel-Bird Online is the United States-based international drop – shipping cumonline shopping website that offers a wide range of quality products such aselectronics, computers, groceries, fashion, home appliances, and kid’s items.Our head office will be located in the heart of San Diego – California.To unlock help try Upmetrics! We are an e-commerce startup with a long–term goal of having our presence inStart Writing here.ManagementOur inventory management of products is automated, our portal is designedsuch that it reports get generated instantly when required and our productinventory management is very efficient and easy to maintain.To unlock helptry Upmetrics!We have a robust business relationship with shipping companiesandwe are going to be shipping goods for our clients at a highly-discounted price. OurStart Writing here.CustomersDel-Bird Online will ensure that all our customers are given first-class treatmentirrespective of the number of products they purchase or the part of the worldthey reside in.Toaunlockhelponetry Upmetrics! We have a CRM software that will enable us to manageone onrelationship with our customers no matter how large the numbers of ourStart Writing here.Business Target[YEAR ] Bus ines s Plan Shipping C ompany5 / 34
The company’s three-year targets are outlined as follows:To unlock help try Upmetrics! Start Writing here.3 Year profit forecastSalesGross MarginNet Profit15.00k10.00k5.00k0Year1Year2Year3Financial YearSalesGross MarginNet 120010000[YEAR ] Bus ines s Plan Shipping C ompany6 / 34
2.Company SummaryCompany OwnerWhy the Business is being startedHow the Business will be startedFunding Required[YEAR ] Bus ines s Plan Shipping C ompany7 / 34
Company OwnerDel-Bird Online is owned by Clara Davidson and her immediate familymembers. Clara Davidson has a Diploma in eCommerce and a degree inBusiness Administration. She will run the business with other experiencedteam members who have worked in similar business ventures.To unlock help try Upmetrics! Start Writing here.Why the Business is being startedThe business is being started with the aim of making profits in the online retailindustry while also adding value to the customers through excellent dropshopping services.To unlock help try Upmetrics! Start Writing here.How the Business will be startedThe business will be located in a small office located in San Diego but willoperate across the United States. In addition to the usual inventory, thecompany will procure business internet connection along with computers,servers, peripherals, and other office furniture. The startup summary is asTo unlock help try Upmetrics! follows:Start Writing here.[YEAR ] Bus ines s Plan Shipping C ompany8 / 34
Startup Cost 2050Funding RequiredThe detailed start-up requirements are given below:Start-up ExpensesAmountLegal 72,500Dog Beds 32,250Dog Shampoos 62,875Consultants 0Insurance 32,750Rent 222,500Research and Development 32,750Equipment Expenses 62,750Signs 12,250Dog Chambers 27,500[YEAR ] Bus ines s Plan Shipping C ompany9 / 34
Start-up ExpensesAmountDog Food 22,000TOTAL START-UP EXPENSES 580,125Start-up Assets 0Cash Required 322,500Start-up Inventory 52,625Other Current Assets 222,500Long-term Assets 125,000TOTAL ASSETS 121,875Total Requirements 245,000START-UP FUNDING 0START-UP FUNDING 273,125Start-up Expenses to Fund 121,875Start-up Assets to Fund 195,000TOTAL FUNDING REQUIRED 0Assets 203,125Non-cash Assets from Start-up 118,750Cash Requirements from Start-up 0Additional Cash Raised 118,750Cash Balance on Starting Date 121,875TOTAL ASSETS 0Liabilities and Capital 0Liabilities 0Current Borrowing 0Long-term Liabilities 0Accounts Payable (Outstanding Bills) 0Other Current Liabilities (interest-free) 0TOTAL LIABILITIES 0Capital 0Planned Investment 0[YEAR ] Bus ines s Plan Shipping C ompany10 / 34
Start-up ExpensesAmountInvestor 1 312,500Investor 2 0Other 0Additional Investment Requirement 0TOTAL PLANNED INVESTMENT 495,000Loss at Start-up (Start-up Expenses) 113,125TOTAL CAPITAL 121,875TOTAL CAPITAL AND LIABILITIES 121,875Total Funding 295,000[YEAR ] Bus ines s Plan Shipping C ompany11 / 34
3.Products andServices[YEAR ] Bus ines s Plan Shipping C ompany12 / 34
If you are starting a Drop Shipping Business, you must focus on the services,you will provide to your customers. This sample business plan of Drop Shippingwill guide you on how to start your own dog daycare business.To unlock help try Upmetrics! You must decide what products you will provide to your customers beforethinking about how to set up a dropshipping business because the planning ofother subsequent components (such as finding relevant suppliers) depends onyour products. Del-Bird Online will provide the following products to itsTo unlock help try Upmetrics! customers:Start Writing here.Products and services Phones, Computers &AccessoriesThis category includessmartphones, laptops, tablets andother related accessories such aschargers, earphones, data devicesetc.Women’s FashionThis category includes womenclothing, shoes, handbags,cosmetics, artificial jewellery andother wearable. Men’s FashionThis category includes menclothing, shoes, wrist watches andother wearable.Home & LivingThis category includes householditems.Baby, Toys & KidsThis category includes all kinds ofbaby products and toys.[YEAR ] Bus ines s Plan Shipping C ompany13 / 34
4.Market AnalysisMarket TrendsMarketing SegmentationMarket AnalysisBusiness TargetProduct PricingCompetitive Advantage[YEAR ] Bus ines s Plan Shipping C ompany14 / 34
The most important component of an effective drop shipping business plan isits accurate marketing analysis. If you are starting this venture on small scale,you can take help from this drop shipping business plan template and carry outa marketing analysis yourself. Marketing analysis is extremely importantbecause it gives you an idea of your position in the markettherefore,must be To unlockhelp try itUpmetrics!considered before you think about how to start a dropshipping business. If youMarket TrendsDropshipping or E-commerce industry is one of the largest industries in theUnited States as well as in the rest of the world. In the United States, Ecommerce sales were estimated to be 353.7 billion for 2017. The industry isgrowing at the forecasted rate of 17% and is estimated to become a 485.3To unlock help try Upmetrics! billion industry by 2021. As of 2016, there are 211 milliondigital shoppers inStart Writing here.Marketing SegmentationWe will target all people living in the United States. Our experts have identifiedthe following type of target audience which can become our future consumers:To unlock help try Upmetrics! Start Writing here.[YEAR ] Bus ines s Plan Shipping C ompany15 / 34
Market ShareMen: 32.0 %Women: 48.0 %Business: 20.0 %SegmentsMarket shareWomen48Business20Men32The detailed marketing segmentation of our target audience is as follows:The biggest consumer of our services will be women in the United States. Ithas been established by various surveys and studies that women are morelikely to make online purchases than men. That’s why American women will bethe biggest contributor to our revenue. Except for the Men’s Fashion categoryTo unlock help try Upmetrics! offered by us, women will buy more products as comparedto men in theWomenStart writing here.The second-biggest consumer of our products will be men. Although theircontribution to our revenue will be less than women still it will be of significantvalue.To unlock help try Upmetrics! MenStart writing here.[YEAR ] Bus ines s Plan Shipping C ompany16 / 34
We also hope to target the corporate sector for buying the products from ourfirst category, computers, and accessories.To unlock help try Upmetrics! BusinessesStart writing here.Market AnalysisThe detailed market analysis of our potential customers is given in the following table:PotentialCustomersGrowthYear 1Year 2Year 3Year 4Year 2,08965,14380,87394,156111,4109.54%Business TargetTo achieve the net profit margin of 10k/month by the first year, 15k bythe second year, and 25k by the third yearTo add 3 more categories of electronic appliances, sports products, andfurniture by the end of the first yearTo unlock help try Upmetrics! Start Writing here.Product Pricing[YEAR ] Bus ines s Plan Shipping C ompany17 / 34
Considering the competition in the E-commerce industry, we have priced all ourproducts in similar ranges as of our competitors. However, the delivery chargesare kept slightly less as compared to our competitors.To unlock help try Upmetrics! Start Writing here.Competitive AdvantageA close study of the drop – shipping line of business and the overalleCommerce industry reveals that the market has become much more intenselycompetitive over the last decade. As a matter of fact, you have to be highlycreative, customer-centric, proactive, and have a robust business network ifTo unlock help try Upmetrics! you must survive in this industry.Start Writing here.[YEAR ] Bus ines s Plan Shipping C ompany18 / 34
5.StrategyCompetitive AnalysisSales Strategy[YEAR ] Bus ines s Plan Shipping C ompany19 / 34
Like marketing analysis, sales strategy is also an important component of adrop shipping business plan so it must be planned before you think about howto start a drop-shipping business.To unlock help try Upmetrics! Competitive AnalysisThe biggest problem you will face while starting this venture is the intenselycompetitive environment created by giants like Amazon, eBay, Alibaba, etc. Inaddition to that, there are tons of other drop shipping business with rangingmagnitudes. That’s why, if you are thinking about how to start a successfulTo unlock help try Upmetrics! dropshipping business, the only answer is to find a competitiveadvantage.Start Writing here.Sales StrategyWe will carry out a large scale paid social media advertising campaign.We will use digital marketing strategies, SEO, and SEM practices for promotingour website and achieving higher search results in Google rankings.To unlock help try Upmetrics! We will offer various discounts on women’s fashion products during the firstStart Writing here.[YEAR ] Bus ines s Plan Shipping C ompany20 / 34
Sales 2Year3Financial 21645481004512658457Year31865411245587784512Sales ForecastPhone, Computers and accessories Men's fashioWomen fashionHome and livingBaby toys and kids6.00M4.00M2.00M0Year1Year2Year3Financial YearPhone, Computers Men'sand fashioaccessoriesWomen fashion Home and living Baby toys and 9332098754[YEAR ] Bus ines s Plan Shipping C ompany21 / 34
Detailed Sales ForcastDetailed sales forecast data is provided in below table:Unit SalesYear 1Year 2Year 3Phones, Computers & Accessories187,330260,320258,240Men’s Fashion802,370815,430823,540Women’s Fashion539,3207702301,002,310Home & Living265,450322,390393,320Baby, Toys & Kids1,435,3201,250,4301,762,450TOTAL UNIT SALES3,229,7903,418,8004,239,860Unit PricesYear 1Year 2Year 3Phones, Computers & Accessories 140.00 150.00 160.00Men’s Fashion 600.00 800.00 1,000.00Women’s Fashion 700.00 800.00 900.00Home & Living 650.00 750.00 850.00Baby, Toys & Kids 140.00 120.00 100.00Web hosting services 214,800 274,000 333,200Phones, Computers & Accessories 120,050 194,500 268,500Men’s Fashion 50,110 71,600 93,000Women’s Fashion 139,350 194,600 249,850Home & Living 62,350 72,300 82,250Baby, Toys & Kids 40,890 75,550 90,000Phones, Computers & Accessories 0.70 0.80 0.90Men’s Fashion 0.40 0.45 0.50Women’s Fashion 0.30 0.35 0.40Home & Living 3.00 3.50 4.00Baby, Toys & Kids 0.70 0.75 0.80 98,300 183,000 267,700SalesDirect Unit CostsDirect Cost of SalesPhones, Computers & Accessories[YEAR ] Bus ines s Plan Shipping C ompany22 / 34
Unit SalesYear 1Year 2Year 3Men’s Fashion 66,600 119,900 173,200Women’s Fashion 17,900 35,000 52,100Home & Living 19,400 67,600 115,800Baby, Toys & Kids 27,700 69,200 110,700Subtotal Direct Cost of Sales 294,100 699,400 1,104,700[YEAR ] Bus ines s Plan Shipping C ompany23 / 34
6.Personnel planAverage Salary of Employees[YEAR ] Bus ines s Plan Shipping C ompany24 / 34
After knowing the basics of how to start a dropshipping business, the mostimportant step is to hire hard-working, skilled, and honest professionals toassist you in running your business. Here is the sample personnel plan ofdropshipping businessTo unlock help try Upmetrics! Del-Bird Online Company is a player in the e-commerce industry that intendsstarting small in San Diego – California but hope to grow big in order tocompete favorably with leading online stores and dropshipping companies bothin the United States and on a global stage.To unlock help try Upmetrics! We are aware of the importance of building a solid business structure that canStart Writing here.Average Salary of EmployeesThe following table shows the forecast data about employees and their salaries for the next threeyears.Personnel PlanYear 1Year 2Year 3Chief Executive Officer / President 45,000 52,000 59,000Human Resources and Admin Manager 145,000 152,000 159,000Business Developer 410,000 440,000 480,000Accountant 55,000 65,000 75,000Information Technologist 60,000 63,300 70,000Call Center Agent 20,000 23,300 30,000Total Salaries 745,000 807,600 888,000[YEAR ] Bus ines s Plan Shipping C ompany25 / 34
7.Financial PlanImportant AssumptionsBrake-even AnalysisProjected Profit and LossProjected Cash FlowProjected Balance SheetBusiness Ratios[YEAR ] Bus ines s Plan Shipping C ompany26 / 34
If you are going to start your own dog daycare business, then make sure youwill pay special attention to your financial plan. Your financial plan shouldinclude the details about how well you manage your incomes and expenses,and how will you recover investments from the profit, etc. So, you should focuson your financial plan if you want to expand your businesson ahelplargeTo unlocktry scale.Upmetrics! Important AssumptionsThe company’s financial projections are forecasted on the basis of the following assumptions. Theseassumptions are quite conservative and are also expected to show deviation but to a limited level suchthat the company’s major financial strategy will not be affected.Year 1Year 2Year 3Plan Month123Current Interest Rate10,00%11,00%12,00%Long-term Interest Rate10,00%10,00%10,00%Tax Rate26,42%27,76%28,12%Other000Brake-even AnalysisMonthly Units Break-even5530Monthly Revenue Break-even 159 740Assumptions:Average Per-Unit Revenue 260,87Average Per-Unit Variable Cost 0,89Estimated Monthly Fixed Cost 196 410Projected Profit and LossYear 1Year 2Year 3Sales 309 069 385 934 462 799Direct Cost of Sales 15 100 19 153 23 206Other 0 0 0[YEAR ] Bus ines s Plan Shipping C ompany27 / 34
Year 1Year 2Year 3TOTAL COST OF SALES 15 100 19 153 23 206Gross Margin 293 969 366 781 439 593Gross Margin %94,98%94,72%94,46%Payroll 138 036 162 898 187 760Sales and Marketing and Other Expenses 1 850 2 000 2 150Depreciation 2 070 2 070 2 070Leased Equipment 0 0 0Utilities 4 000 4 250 4 500Insurance 1 800 1 800 1 800Rent 6 500 7 000 7 500Payroll Taxes 34 510 40 726 46 942Other 0 0 0Total Operating Expenses 188 766 220 744 252 722Profit Before Interest and Taxes 105 205 146 040 186 875EBITDA 107 275 148 110 188 945Interest Expense 0 0 0Taxes Incurred 26 838 37 315 47 792Net Profit 78 367 108 725 139 083Net Profit/Sales30,00%39,32%48,64%Expenses[YEAR ] Bus ines s Plan Shipping C ompany28 / 34
Profit YearlyProfit15.00k10.00k5.00k0Year1Year2Financial YearProfitYear110000Year212000Year314000Year3Gross Margin YearlyGross Margin15.00k10.00k5.00k0Year1Year2Financial YearGross MarginYear110000Year212000Year314000[YEAR ] Bus ines s Plan Shipping C ompanyYear329 / 34
Projected Cash FlowCash ReceivedYear 1Year 2Year 3Cash Sales 40 124 45 046 50 068Cash from Receivables 7 023 8 610 9 297SUBTOTAL CASH FROM OPERATIONS 47 143 53 651 59 359Sales Tax, VAT, HST/GST Received 0 0 0New Current Borrowing 0 0 0New Other Liabilities (interest-free) 0 0 0New Long-term Liabilities 0 0 0Sales of Other Current Assets 0 0 0Sales of Long-term Assets 0 0 0New Investment Received 0 0 0SUBTOTAL CASH RECEIVED 47 143 53 651 55 359Cash Spending 21 647 24 204 26 951Bill Payments 13 539 15 385 170 631SUBTOTAL SPENT ON OPERATIONS 35 296 39 549 43 582Sales Tax, VAT, HST/GST Paid Out 0 0 0Principal Repayment of Current Borrowing 0 0 0Other Liabilities Principal Repayment 0 0 0Long-term Liabilities Principal Repayment 0 0 0Purchase Other Current Assets 0 0 0Purchase Long-term Assets 0 0 0Dividends 0 0 0SUBTOTAL CASH SPENT 35 296 35 489 43 882Net Cash Flow 11 551 13 167 15 683Cash from OperationsAdditional Cash ReceivedExpenditures from OperationsAdditional Cash Spent[YEAR ] Bus ines s Plan Shipping C ompany30 / 34
Cash ReceivedYear 1Year 2Year 3Cash Balance 21 823 22 381 28 239Projected Balance SheetAssetsYear 1Year 2Year 3Cash 184 666 218 525 252 384Accounts Receivable 12 613 14 493 16 373Inventory 2 980 3 450 3 920Other Current Assets 1 000 1 000 1 000TOTAL CURRENT ASSETS 201 259 237 468 273 677Long-term Assets 10 000 10 000 10 000Accumulated Depreciation 12 420 14 490 16 560TOTAL LONG-TERM ASSETS 980 610 240TOTAL ASSETS 198 839 232 978 267 117Accounts Payable 9 482 10 792 12 102Current Borrowing 0 0 0Other Current Liabilities 0 0 0SUBTOTAL CURRENT LIABILITIES 9 482 10 792 12 102Long-term Liabilities 0 0 0TOTAL LIABILITIES 9 482 10 792 12 102Paid-in Capital 30 000 30 000 30 000Retained Earnings 48 651 72 636 96 621Earnings 100 709 119 555 138 401TOTAL CAPITAL 189 360 222 190 255 020TOTAL LIABILITIES AND CAPITAL 198 839 232 978 267 117Net Worth 182 060 226 240 270 420Current AssetsLong-term AssetsCurrent Liabilities[YEAR ] Bus ines s Plan Shipping C ompany31 / 34
Business RatiosYear 1Year 2Year 3Industry profile4,35%30,82%63,29%4,00%Accounts ,79%9,80%Other Current Assets1,75%2,02%2,29%27,40%Total Current Assets138,53%150,99%163,45%54,60%Long-term Assets-9,47%-21,01%-32,55%58,40%TOTAL ASSETS100,00%100,00%100,00%100,00%Current Liabilities4,68%3,04%2,76%27,30%Long-term Liabilities0,00%0,00%0,00%25,80%Total Liabilities4,68%3,04%2,76%54,10%NET 100,00%100,00%Gross Margin94,18%93,85%93,52%0,00%Selling, General & Administrative Expenses74,29%71,83%69,37%65,20%Advertising Expenses2,06%1,11%0,28%1,40%Profit Before Interest and 1,63Quick25,428,8832,360,84Total Debt to Total Assets2,68%1,04%0,76%67,10%Pre-tax Return on Net Worth66,83%71,26%75,69%4,40%Pre-tax Return on Assets64,88%69,75%74,62%9,00%Net Profit Margin19,20%21,16%23,12%N.A.Return on Equity47,79%50,53%53,27%N.A.Sales GrowthPercent of Total AssetsPercent of SalesMain RatiosAdditional Ratios[YEAR ] Bus ines s Plan Shipping C ompany32 / 34
Year 1Year 2Year 3Industry profileAccounts Receivable Turnover4,564,564,56N.A.Collection Days9299106N.A.Inventory Turnover19,722,5525,4N.A.Accounts Payable Turnover14,1714,6715,17N.A.Payment Days272727N.A.Total Asset Turnover1,841,551,26N.A.Debt to Net Worth0-0,02-0,04N.A.Current Liab. to Liab.111N.A.Net Working Capital 120 943 140 664 160 385N.A.Interest Coverage000N.A.Assets to Sales0,450,480,51N.A.Current Debt/Total Assets4%3%2%N.A.Acid Test23,6627,0130,36N.A.Sales/Net Worth1,681,290,9N.A.Dividend Payout000N.A.Activity RatiosDebt RatiosLiquidity RatiosAdditional Ratios[YEAR ] Bus ines s Plan Shipping C ompany33 / 34
Want to make it more presentable?Want help tips on each section?You'll save time and can write your professional business plan effectively and faster withUpmetrics' business plan software.Every feature you need to convert your great business idea into a reality.Write your plan easily and faster without any hassles.Structure your idea and create stunning pitches that awe your investors.Get access to Upmetrics software, invite your team members and start writing yourbusiness plan.1. Get tried and tested tips2. Write an interactive planUpmetrics business plan builder gives youeverything you need to stay in sync andguides you on every step of your businessplan writing.Use our business plan sections competitive Analysis, comparison tables,SWOT Analysis, charts, timelines,milestones, etc to create a visually impactfulbusiness plan.3. Stunning business plan coverpages4. Financial forecastingUpmetrics business plan builder comes withbeautifully designed cover pages. Chooseprofessional, creative cover pages to makeyour business plan stand out.With Upmetrics you don’t have to worryabout navigating complex spreadsheets.Just input your numbers and we’ll provideyou with well-structured financial reportsthat you and your investors understand.5. Share easily with anyone6. Real-time and CollaborativeUpmetrics plans are easily shareable in pdfand word documents. And if either doesn’twork, you can share it with a quick link tooand track the reader's activity!Invite your team members to initiateconversations, discuss ideas and strategiesin real-time, share respective feedback, andwrite your business plan.Join over 100k entrepreneurs who have used Upmetrics to create their business plans.Start writing your business plan today[YEAR ] Bus ines s Plan Shipping C ompany34 / 34
The most important component of an effective drop shipping business plan is its accurate marketing analysis. If you are starting this venture on small scale, you can take help from this drop shipping business plan template and carry out a marketing analysis yourself. Marketing analysis is extremely important
