A

“BUSINESS PLAN ON BAKERY SHOP HOUSE”

“BAKERY SHOP DAILY FRESH”

SUBMITTED TO:- SUBMITTED BY:-

Dr. Saurab Banerjee Atul Agarwal
MBA (Marketing) IVth Sem
Roll No.: 180013200021

INSTITUTE OF MANAGEMENT SCIENCE

LUCKNOW LUCKNOW, LUCKNOW
Session:2018-2019

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 DECLARATION

I, Atul Agarwal hereby declare that the project entitled “ AGARWAL BAKERY

SHOP DAILY FRESH” is my original work, done by me except the material and

information gathered from the various BAKERY SHOP cafe. This has not been

previously submitted for any other degree or diploma.

I have done my comprehensive project under the guidance of DR. SAURABH

BANARJI, coordinator of MBA MARKETING department IMS ,University of

Lucknow.

ATUL AGARWAL

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 ACKNOWLEDGEMENT

The study was conducted by the assistance of several individuals. Their co-
operation and guidance has resulted in the completion of the entire comprehensive
project, without which this task was almost impossible. I really appreciate their
help and hereby thank them.

I would like to give special thanks to the following people:

Firstly, I would like to thank Dr. Ashish Sonkar and Dr. Aastha Sharma for
providing me the opportunity to take up this project and for his valuable guidance,
academic and moral support which made this report a reality.

I also thank my family members and friends whose support and encouragement has
meant a lot to me personally and also for the completion of the report.

Finally, my acknowledgement goes to all those people who have helped me in

carrying out this project work in an effective manner.

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 TABLE OF CONTENTS

SL. PARTICULARS Page No.

NO.
1. Executive Summary 5
2. Introduction 6-10
3. Company Summary 11
4. Company Ownership 12-13
5. Start-up Summary 14
6. Products 15-17
7. Market Analysis Summary 18
8. Market Segmentation 19-21
9. SWOT Analysis 22
10. Strategy and Implementation Summary 23
11. Sales Forecast 24-25
12. Management Summary 26-27
13. Human Resource Planning 28-31
14. Personnel Plan 32
15. Financial Plan 33-35
16. Projected Cash Flow 36
17. Projected Profit & Loss Account and Balance sheet 37
18. Exit Plan 38
19. Conclusion 39
20. Bibliography 40

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 EXECUTIVE SUMMARY

The Central Perk is determined to become a daily necessity for local BAKERY
SHOP, 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 read a book, all in one. With the
growing demand for high-quality gourmet BAKERY SHOP and great service,
Arjunganj will capitalize on its proximity to the Lucknow University Campus to
build a core group of repeat customers. The Cafe will offer its customers the best
prepared Bakery Products in the area that will be complimented with pastries and
snacks.

The company will operate a 1100 square foot BAKERY SHOP bar within a
distance from the Lucknow University campus. The owner has secured this
location on a lease contract with an option to extend up to three years. The owner
have also provided Rs. of the required Rs.1,00,0000 start-up funds.

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 INTRODUCTION

AGARWAL BAKERY SHOP DAILY FRESH is a start-up new bakery

manufacturer which primarily sell bread, cake, creamroll, pastry, paotoast located

in Arjunganj (Sultanpur road). BAKERY SHOP DAILY FRESH expects to catch

the interest of a regular loyal customer base with its broad variety of bakes and

pastry products. The company plans to build a strong market position in the town,

due to the partners’ industry experience and mild competitive climate in the area.

AGARWAL BAKERY SHOP DAILY FRESH aims to offer its products at a

competitive price to meet the demand of the middle to higher-income local market

area residents and tourists. And is incorporated in the state of U.P. It is owned and

managed by atul agarwal and krishna agarwal.

AGARWAL BAKERY SHOP DAILY FRESH

primary product includes delicious bakery goods sold to the general public from

its retail store location which represents the Company’s underlying philosophy of

providing bakery products which are consistently recognized as ultra-high quality

at competitive prices and which provide complete satisfaction to the end user.

Additionally, the Company strives to provide its bakery products in a manner

which reflects the Company’s belief in the importance of customer satisfaction and

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increasing sales through product improvements and the introduction of additional

products.

Products and Services

Products and Services Retail: AGARWAL BAKERY SHOP DAILY FRESH sells
a wide range of high-quality cakes, cupcakes, pies, cookies and treats. Each item is
made from scratch using all natural ingredients sourced from largely local
suppliers. These supplies involve no preservatives to provide for high-end and
―de-vine‖ flavor and taste. It is important that our items not only taste delicious,
but also look appealing and attractive to the eye. Therefore, we add the extra little
touch to every product, whether it be a sparkling sugar daisy on a chocolate
cupcake or a buttery harvest leaf on a Thanksgiving pumpkin pie. These extra
touches are added to enhance the elegant experience for our customers. Customers
may purchase pre-made or made-to-order products. AGARWAL BAKERY SHOP
DAILY FRESH specializes in fine desserts coupled with exceptional customer
service in a comforting atmosphere. Our location is designed in a way that
customers are able to enjoy a setting that is as pleasant as the product they are
consuming. Customers may also delight in our product by taking it to-go or have it
delivered for a nominal fee. For a complete listing of products, please refer to
Appendix 4.4. Wholesale: The products that our wholesale customers order are of
very high quality. Just as with the retail portion of the business, the products in the
wholesale is made with quality ingredients and properly prepared. While a few of
products will be the same at the retail and wholesale locations, certain items will be
specifically made for particular wholesalers depending on customer orders.

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Advertising and Promotion Strategies Word of mouth and public perception are
immensely important in both aspects of the business. First of all, customers must
understand that our products are made with quality ingredients and thus taste better
than many of our competitors. The word of mouth will be created when someone
experiences for example, a cake at a party. The cake will be enjoyed by many and
thus the word of mouth seed for the bakery aspect of the portion will be created.
Word of mouth for the classes will be spread by people that had previously taken a
class. According to Wilton's market study, 97% of class participants say they'd
recommend the classes to a friend which provides a strong motivation to sign up.
The former students will spread word of mouth in two ways: expressing the
enjoyment of the class and encouraging others to take the class, and also
developing a trust and relationship with AGARWAL BAKERY SHOP DAILY
FRESH and therefore recommending the business to others.

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 THE BUSINESS

“AGARWAL BAKERY SHOP DAILY FRESH” is something one can’t stay

away with; we also love to taste variety of food”. This statement motivates us to go
for the Bakery business in India. We have suggested for Bakery food product
because up till now there is no branded Bakery food product which sells
exclusively Bakery food. THE AGARWAL BAKERY SHOP DAILY FRESH
is a new Bakery product manufacturer which primarily sells Bread, Cake, Cream
roll, pastry, pao,toast. The punch line of The Bakery Food Product is.THE TASTE
OF YOUR CHOICE.

VISION

“To become the most preferred Bakery product manufacturer among the people by
treating the people in the way they like to be treated and give them best for the
least”.
MISSION

“The AGARWAL Bakery Shop Daily Fresh aims to be a cornerstone in the

community creating a neighbourhood atmosphere where customers feel

comfortable and become instant regulars. We seek fair and responsible profit,

enough to keep the company financially healthy for the long term and to fairly

compensate for our money and risk”.

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Mission Statement Our aim is to provide bring unique confectionary products and

services to Butte and the greater community by retailing and wholesaling tasty

treats and hosting treat design classes. AGARWAL BAKERY SHOP DAILY

FRESH is a confectionary company dedicated to providing high-quality desserts to

a variety of customers. We concentrate on the high-end market of products as we

maintain the focused differentiator strategic position in the food and education

industries. Our products are priced higher and predicated on quality of inputs,

exceptional flavor and taste, unique design and customer service. We maintain a

friendly, creative, and fair working environment that welcomes diversity, hard

work, and new ideas. We intend to generate profit to provide a fair return for our

investors and to expand the business into other surrounding communities.

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 COMPANY SUMMARY

The AGARWAL Bakery Shop Daily Fresh will be located in Arjunganj (Sultanpur

road) which is Very peace full and development area. This Town is a very popular

destination because of the presence international stadium,I.T. city,six lane road.It is

also a prime location for all the employees of the surrounding bakery businesses.

The bakery sells non-wheat and other health specific breads,sweets and pastries to

the surrounding community every 24*7.

Customers: -

Customer is the ultimate Boss for any company, he has the power of even sacking

the owner of the company, the only thing he will do that he will not purchase the

products of the particular company, so before starting of any business entrepreneur

should have clear idea of whom to target. We target the middle and upper middle

class people area who like to have bakery food. Mainly our target is ultimate User

consumer and children. The Bakery Shop Daily Fresh will focus on three distinct

customer segments area.Our first customers will be primarily office workers at

non-profits,governments agencies and private companies located in and around the

area.Our customers will represent a wide range of ethnic,racial, and cultural.The

residential community is also highly diverse.The majority of office workers fall

into a mixed age range from their mid 30’s to late 50’s.Based on our research, they

are interested in their health and appreciate fresh food that is good for you.They are
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looking for food options that offer both variety and good taste.”We are always

looking for something new that is better than what we have here now”,said one

employee.At the same time,they have limited time and need quick service.

COMPANY OWNERSHIP

Currently The AGARWAL Bakery Shop Daily Fresh is a partnership firm of two

partner which are Atul Agarwal and Krishna Agarwal. Eventually, as the company

becomes established, The AGARWAL Bakery Shop Daily Fresh will apply to be

incorporated.

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 OBJECTIVE

• To establish a working storefront for The Bakery Shop Daily Fresh .

To develop the strong presence in the community needed to support

sales goals.

To develop a full menu by the end of first 100 Days.

To provide the true flavour of India at reasonable cost.

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 START-UP SUMMARY

The start-up expenses include:

• Legal expenses for obtaining licenses and permits as well as the accounting
services totalling Rs. 30,000.

• Marketing promotion expenses for the grand opening of Bakery Shop in the
amount of Rs. 3, 50,000 in the start .

• Insurance (general liability, workers' compensation and property casualty)

coverage at a total premium of Rs. 2, 00000.

• Pre-paid rent expenses for three month at Rs.50 per square feet in the total
amount of Rs.165000

• Other start-up expenses including stationery (Rs.2000) and phone and utility
deposits (Rs.40, 000).

The required start-up assets of Rs.4,00000 include:

• Furniture & fitting of the total amount of Rs.160, 000.

• Espresso Machine of Rs. 11,000. BAKERY SHOP Grinder & maker of Rs.
600 and 1500 Respectively.

• Computer, Air conditioner and Billing Machine of the total amount of

Rs.89,500.

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PRODUCT& MARKET SEGMENTATION

Bakery White bread:- It is available in

different packing

• 250gm
• 180gm

BakeryCake: it is available in
different packing
• 350gm
• 550gm
• 750gm

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 BakeryPastry: it is available in box packing which
containing 6 pieces in a box

Bakery Cream Roll: it is available in five pieces packaging

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 BakeryPao: it is available in two packaging.
• 200gm or 12pieces/pack
• 300gm or pieces/pack

Bakery Toast: it is available in two different packaging.

• 600gm or 44pieces/pack
• 300gm or 22pieces/pack

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 Market Segments: -

The Bakery Shop Daily Fresh provides wide range of the Bakery product
such as Cake, pastry, Bread, Cream roll, Toast and Pao which are very
common and favourite choice of the middle class and upper middle class
people and they takes bakery product as a snacks and breakfast so
company three target three segment of the market which are also include
the youth and children it means teenagers group.

• The first group area is the college area. This segment is growing at
25% a year with 32,000 potential customers.

• The second niche is the working man group. This segment i s also
growing at 20% with 40,200 potential people.

• The last group is the house hold group. This segment is typically
making modifications to their diet. This niche also is growing at
15% with 4,80,000 possible customers.

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 MARKET ANALYSIS SUMMARY

Bakery Shop consumption has shown steady growth, with gourmet BAKERY
SHOP having the strongest growth. Bakery Shop drinkers in that area are among
the most demanding ones. They favor well-brewed gourmet Bakery Shop drinks
and demand great service. Arajunganj will strive to build a loyal customer base by
offering a great tasting BAKERY SHOP in a relaxing environment of its
BAKERY SHOP bar located close to the Lucknow University campus.

Market Segmentation

Arajunganj will focus its marketing activities on reaching the University students
and faculty, people working in offices located close to the Bakery Shop bar and on
sophisticated teenagers. Our market research shows that these are the customer
groups that are most likely to buy gourmet Bakery Shop products. Since gourmet
Bakery Shop consumption is universal across different income categories and
mostly depends on the level of higher education, proximity to the Kanpur
University campus will provide access to the targeted customer audience.

The chart and table below outline the total market potential (in number of
customers) of gourmet Bakery Shop drinkers in Kanpur.

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4.2 Target Market Segment Strategy

Arajunganj will cater to people who want to get their daily cup of great-tasting
Bakery Shop in a relaxing atmosphere. Such customers vary in age, although our
location close to the University campus means that most of our clientele will be
college students and faculty. Our market research shows that these are discerning
customers that gravitate towards better tasting Bakery Shop . Furthermore, a lot of
college students consider Bakery Shop bars to be a convenient studying or
meeting location, where they can read or meet with peers without the necessity to
pay cover charges. For us, this will provide a unique possibility for building a loyal
client base.

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4.2.1 Market Needs

General trend toward quality among consumers definitely plays an important role
in the recent growth in gourmet BAKERY SHOP . Additionally, such factors as
desire for small indulgencies, for something more exotic and unique, provide a
good selling opportunity for BAKERY SHOP bars.

Marketing

Marketing means creating awareness and willingness in the customers to purchase

the products. Marketing is one of the most important aspects of the business

because without awareness of the products it cannot be sold.

We planned to sell our products with the fallowing advertisement strategy

• We will attach a leaflet shaped paper pamphlet to all the leading newspaper

in lucknow. On the leaflet there will be a description of our particular and on

the back of leaflet there will be a quotation about the nutritional value of

particular product but there will be nothing in the quotation that will be

affect the sentiments of non vegetarian people because after all they will also

be our customers.

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 • Before 15 days of inauguration of our business we will seek permission from

the respective Authority for putting the holding about our product. n holding

we will keep information about our product, the pamphlet will be large

enough so that the information will be visible to the people. We also

provide our products free home delivery.

SWOT Analysis:-
Strength:

No branded bakery food product which sells exclusively Cake and Pastry. It
provides variety of cake , Bread, cream roal, toast, and Cake formed by different
Flavour which give the customer an Indian taste.

Weakness:

There is a risk in starting this business because it will be first of its kind.

Threats:

There is no direct competitor as such but we can consider local player of the
particular area a sour competitors because they are selling same product with low
cost. If talk about International player Britannia also provides some same product,
Britannia is also well recognized brand among the customer and its sales are
maximum among the various products in India which is a major threat.

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Opportunity:

There is a large customer base, as India is having maximum number of vegetarian

peoples. Indians spend around 51% of their personal expenditure on their eating
habit.

Sales Forecast

Food costs are assumed at 25% for coffee beverages and for retail cookie and
cakes. Proximity to the University campus will dictate certain sales seasonality
with revenues slightly decreasing during the school vacation periods.

The chart and table below outline our projected sales forecast for the First years.

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 SALES FORECOST
Sale forecast for first 100 days

Product Name No.sales @rate(Rs) Total(Rs)

Bakerybread

250gm 2500 20 50,000

180gm 3000 15 45,000

Bakerycake

350gm 500 100 50,000

550gm 400 150 60,000

750gm 300 200 60,000

Bakerytoast

44 pieces 350 45 15,750

22 pieces 550 25 13,250

BakeryPastry

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 6 pieces/box 1000 30 30,000
Bakerycream
roll
5 pieces/pack 1000 30 30,000
Bakerypao
12 pieces/pack 1200 20 24,000

20 pieces/pack 800 30 24,000

Single pao 5000 3 30,000

Total 4,32,000

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 MANAGEMENT SUMMARY

Arajunganj is owned by the owner holds a Master Degree in Business

Administration from the Department of Business Administration, University of

Lucknow.

However, because of various activities and functions there will be need to hire

some employee who can perform these activities. An Accountant (Rs.60,000/yr)

will be hired who will oversee all the Bakery Shop operations. Four other

employees (Rs.54,000/yr each) will be in charge of Bakery Shop preparation and

serving. These four employees will be hired to fulfill the staffing needs on part

time basis. In the second and third year of operation, salary will increase by 10%.

Management Team:-

Recognizing the importance of human capital, The Bakery Shop Daily Fresh has

assembled a strong management team. Most important to the Bakery food product

is the financial success, which will be achieved through strict financial controls.

Additionally success will be ensured by offering high quality services and

extremely clean and healthy food with Indian taste. The Agarwal Bakery Shop

Daily Fresh is an exciting opportunity that combines, fresh baked goods with

bread, cake products, addressing the recent need for these new products. Demand

for these products is expected to grow exponentially as our target market .Through

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a combination of a strong management team, a solid business model, and exciting,

market demanded products will allow The Bakery Shop Daily Fresh to quickly

gain market penetration and cash richness.

Target Market Segment Strategy :-

In our target market, we will mainly focus on the "Teenagers group" since they are

the most prevalent and steady of customers. We expect that the "working man

group" and the '"household" group will make up a smaller portion of our

customers. We have not listed "regular customers" as a target group since the

customers who do not fit into any of our groups are too varied to segment. We are

specifically filling the needs of the "house hold group" so we expect the most

business from this group.

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 HUMAN RESOURCE PLANNING

Human resource management (HRM) is the strategic and coherent approach to the
management of an organization’s most valued assets - the people working there
who individually and collectively contributes to the achievement of the objectives
of the business. The terms "human resource management" and "human resources"
(HR) have largely replaced the term "personnel management" as a description of
the processes involved in managing people in organizations. Human Resource
management is evolving ra. As such, HRM techniques, when properly practiced,
are expressive of the goals and operating practices of the enterprise overall. HRM
is also seen by many to have a key role in risk reduction .

Synonyms such as personnel management are often used in a more restricted sense
to describe activities that are necessary in the recruiting of a workforce, providing
its members with payroll and benefits, and administrating their work-life needs. So
if we move to actual definitions, Torrington and Hall (1987) define personnel
management as being rapidly “a series of activities which: first enable working
people and their employing organizations to agree about the objectives and nature
of their working relationship and, secondly, ensures that the agreement is
fulfilled".

While Miller (1987) suggests that HRM relates to:

".......those decisions and actions which concern the management of employees at

all levels in the business and which are related to the implementation of strategies
directed towards creating and sustaining competitive advantage"

. Human resources management comprises several processes. Together they are

supposed to achieve the above mentioned goal. These processes can be performed

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in an HR department, but some tasks can also be outsourced or performed by line-
managers or other departments.

• Human Resources Planning (HRP)

• Design of Organization and Job
• Selection and Staffing
• Training and Development
• Organization Development (OD)
• Compensation and Benefits
• Employee Assistance

• Nature of HRM
Simply put, Human Resource Management (HRM) is a management function that
helps managers to recruit, select, train and develop members for an organization.
Obviously, HRM is concerned with the people's dimension in organizations.
Following are few definitions of HRM:

1. HRM is a series of integrated decisions that form the employment relationship;

their quality contributes to the ability of the organizations and the employees to
achieve their objective.

2. HRM is concerned with the people dimension in management. Since every

organization is made up of people, acquiring their services, developing their
skills, motivating them to higher levels of performance and ensuring that they
continue to maintain their commitment to the organization are essential to achieving
organizational objectives. This is true, regardless of the type of organization-
government, business, education, health, recreation, or social action.

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3. HRM is the planning, organizing, directing and controlling of the
procurement, development, compensation, integration, maintenance and
separation of human resources to the end that individual, organizational, and social
objectives are accomplished.

HR ACTIVITES

• RECRUITMENT/SELECTION

• TRAINING AND DEVELEPMENT

• PERFORMANCE APPRAISAL

• RECLOCATION

• INDUCTION

• DOMESTIC TRAVEL POLICY

• SEPARATION

• EXIT INTERVIEWS

• ATTENDENCE/AWARD/REWARD

• CONFIRMATION PROCESS

In Human resource management is a process of bringing people and

organizations together so that the goals of each are met. It is that part of the
management process which is concerned with the management of human resources
in an organization. It tries to secure the best from people by winning their whole
hearted cooperation. In short, it may be defined, as the art of procuring, developing
and maintaining competent workforce to achieve the goals of an organization in an
efficient and effective manner.
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 • Human Resource Development
At PBPL the main activities undertaken by HRD department are recruitment, perfo
rmance appraisal Training and development, welfare activities, personal growth &
promotion.

• Performance Appraisal.

To achieve this objective the company carries out performance appraisal of its
employees so as to assess their weaknesses& strengths& to take measures
accordingly like providing training or giving rewards or incentives

• Recruitment
Recruitment at OPEN AIR RESTAURENT is carried out in close co-ordination
with the department requiring the personnel. It is a process where the qualification
and other skills needed for the job are taken into account & based on this the
incumbent is selected after proper screening & interviewing. He is then inducted &
provided training if needed.

• Training and Development

Training & development is an important aspect. Coffee shop believes in
training and development of its employees so as to help them taken higher
responsibilities & to prepare to eet the challenging business environment.
Coffee shop believes in training and development of its employees so as to
help them taken higher responsibilities & to prepare to
meet the challenging business environment.

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 • HR Techniques Will Adopt By coffee shop
• KAIZENS
• Total Quality Management(TQM)

Personnel Plan

The table below outlines the personnel needs of Arajungnaj Bakery Shop.

Personnel Plan Per Year

waiters 2 Rs.15 per hour 12 a day 108000

Bakery Shops makers Rs.15 per hour 12 a day 108000

2
Accountant 1 5000 60000

Total salary (in Rs.) 276000

Financial Plan

Arajunganj will capitalize on the strong demand for high-quality gourmet coffee.
The owners have provided the company with sufficient start-up capital. With
successful management aimed at establishing and growing a loyal customer base,
the company will see its net worth doubling in two years. Arajunganj will maintain

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 a healthy 40% gross margin average, which combined with reasonable operating
expenses, will provide enough cash to finance further.

Projected Cash Flow

As the table below present, the company will maintain a healthy cash flow
position, which will allow for timely debt servicing and funds available for future
development.

FORECASTED CASH FLOW (in Rs.)

FY2018-19 FY2019-20 FY2020-21

Operating
Sales 1912500 2390625 2988281.25

COGS -1195500 -1434600 -1721520

Salaries -276000 -303600 -333960
Rent -120000 -132000 -145200
Insurance 0 -10000 -10000
Advertisement -24000 -24000 -24000
Taxes@ 30% -71472 -128299.5 -208452.375

Cash flow from operating 225528 358125 545148.875

activities
Financing
Preliminary expenses -73500 0 0

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Investing 0 0 0
Cash at beginning 282700 434728 792853.5
Cash at end 434728 792853.5 1338002.375

Break-even Analysis

With average monthly fixed costs of Rs.262,700 in FY2012 and an average margin
of 37.5%, Arajunganj break-even sales volume is around 35027 units. As shown
further, the company is expected to generate such sales volume from the out start.

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 THE LOCATION

For any business player location plays a vital role. The success and the future of
the company depends on that place from where selling of the product and
availability the required raw material is feasible and in least possible cost.
Location- our preferable location is Arjunganj (Sultanpur road) Lucknow.

Reasons for Investing:-

Arjunganj consists of Economic area of Uttar Pradesh, and also have some
important factors which are..

Cheap land, labour cost which are very essential for starting any business.

The location of the Bakery Shop Daily Fresh is easily reachable location for our
target market so cheap transportation cost occurring during supply and receiving
the goods.

Easily availability of Supplier and raw material.

• No branded bakery is present in this area, a monopoly type situation in the

bakery business in this area.

• Very peace full and green atmosphere.

Another thing to consider is whether or not this is a high crime area, people may
not stop if they don't feel safe. Destruction of property, robbery and employee
safety is other considerations.

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 Projected Profit and Loss

Annual projected sales of Rs.191, 2500 in FY2012-13.The table below outlines the
projected Profit and Loss Statement for FY2018-19 to 2021-22.

Income statement (in Rs.)

Particulars FY2018-19 FY2019-20 FY2020-21

sale revenue 1912500 2390625 2988281.25

less: cost of sale 1195500 1434600 1721520

Gross margin 717000 956025 1266761.25

Less: Office Expense

Salaries 276000 303600 333960
Rent 120000 132000 145200
Advertisement 24000 24000 24000
Utilities 0 0 0
Insurance 0 10000 10000
Depreciation furniture* 16000 16000 16000
Preliminary Expenses 24500 24500 24500
Depreciation Espresso* 2260 2260 2260
Depreciation 16000 16000 16000
computer& AC *
Total office expense 478760 528360 571920
EBIT 238240 427665 694841.25
Tax Rate@30% 71472 128299.5 208452.375
Net income 166768 299365.5 486388.875

*The rate of Depreciation is taken as 10% in furniture and espresso machine and
for computer and AC it is 20%.

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Projected Balance Sheet

Balance Sheet (in Rs.)

Particulars FY2018-19 FY2019-20 FY2020-21

Owner's fund 1000000 1000000 100000

Reserves 0 166768 466133.5
Net Profit 166768 299365.5 486388.875
Liabilities 0 0 0

Total Liabilities and Owner's 712068 1011433.5 1497822.375

Fund

Furniture & Fittings 144000 128000 112000

Coffee machine 9900 8800 7700
Computer 32000 24000 16000
Air conditioners 32000 24000 16000
Total depreciation 34260 34260 34260
Net Assets 228340 194080 159820

Other equipments 10440 9280 8120

Preliminary Expenses 49000 24500 0
Cash 434728 792853.5 1338002.375
Total Assets 712068 1011433.5 1497822.375

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 EXIT STRATEGY

The office space would be there in the owned residence of the owner itself spread

across 1100 sq ft. ground floor and all the assets including the machines and other

materials can be easily sold off to local vendors or through online used e-

commerce websites and thus, helping the owner to dispose of the liabilities.

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 CONCLUSION

I am sure that our Bakery food product will be going to succeed as it is having a
huge market. The product range also which we are having is unique and it nearly
covers all the necessary qualities which it will make a unique product. There are
large number of people in Lucknow & it is nearby city which can be served as our
customers. Our bakery will be first of its kind as there is no branded Bakery up till
now in Uttar Pradesh which sells exclusively Cake Pastry, bread this gives our
Bakery Shop Daily Fresh a first movers advantage. In India there are large
numbers of vegetarian people who account for about 40% of the Indian population.
This gives an idea about our target customers. People in India spend lavishly on
their eating habit, only we have to do is to provide best quality Bakery food. There
are many factors that influence the availability of the product. Supply of raw
materials should be within time. Baker and worker should be quick and best so that
we can provide our customers the quality Bakery food with a faster service.
Marketing is especially important for a business in retail industry because there is
no other person on whom the retailer can rely in this industry for penetration in the
market or diversification. Marketing is a very crucial activity in every business
organization. Every product produced within an industry has to be marketed
otherwise it will remain as unsold stock, which will be of no value.

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 BIBLIOGRAPHY

• Business Policy and Strategic Management by Azhar Kazmi

• Financial Management by I M Pandey
• Marketing Management, by Philip Kotler
• http://www.incometaxindia.gov.in/
• http://www.environmentportal.in/category/thesaurus/industry/food-
policy/food-process- industry/fruit-juice-industry

• http://www.reportbuyer.com/food_drink/country_overviews_food/indian_fruit_
juice_market.html

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