Business Plan Sample 8
We intend to make customer service a priority and make it a key component of our marketing programs. We believe that providing our customers with what they want, when and how they want it, is the key to repeat business and to advertising by word-of-mouth. Not only will we train our employees in order to deliver excellent service, we will also give them the flexibility to respond creatively to any client requests. Additionally, we will monitor our clients' level of satisfaction in a continuous manner with our service through surveys and other more convenient feedback opportunities.
We initially expect to have few enough accounts so that Nancy and one additional employee can handle all issues customer service. Having just one employee to train should help to insure that Nancy can help to make the new hire a top performer. As our business expands we intend to hire some additional customer service people, one at a time and pay a premium over market labor rates in order to attract and retain quality help.
Shipping problems will be a huge issue with the firms that we compete with largely due to the fact that they insist on using surface shipping methods in order to keep their costs down to charge low prices in order to keep their mass merchant accounts contented.
We intend to use air freight in order to import our kites from the Far East. This will slightly add to our costs. But due to all of our products being more expensive, it will make more sense for us. It will also allow us to have inventories which are much thinner in our warehouse without risking on stocking out.
Our relatively high cost of shipping has put us at a disadvantage with regards to competition. The current cost of shipping for an average order is $..., which we think can be reduced by ...%. We intend to achieve this cost reduction by focusing our overall shipping requirements out to bid.
We plan to lease approximately 10,000 square feet of space as soon as our financing has been finalized. We have a particular property in mind and have a tentative agreement with the landlord's agent. This building which is located near LAX airport has 8,500 feet of warehouse space and a small 850 square foot office. The lease rate is $6.35 per foot triple net for a 2 year lease with the option for two additional years at an increase of 5.9% per year.
The building can be found in a busy industrial neighborhood, but due to the fact that we don’t intend to have customers visiting us we have decided that we are better off with a lower-rent location, than a location that could double as a fancy showroom.
For further information on Business Plans, you might want to get a copy of the book "Adams Streetwise Business Plans" (430 pages, $17.95, Adams Media Corporation). This book comprises complete sample business plans; detailed step by step instructions for writing a business plan; suggested text for each step of the business plan; instructions and worksheets for creating complete financials.
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