Embed Size (px)
Citation preview
Introduction to Business Planning & Market Research
Presented by:
The Collaborative for Innovative Social Enterprise Development (CISED)
1
CISED workshops overview
2
Workshop # 1 & 2: What is Social Enterprise?Is our idea a good one? Are we ready?
Workshop #3 & 4: How do I make a business plan? What social costs/accommodations do I
need to consider?
Workshop #5 & 6: How can I market my products? How do I manage the $?
Workshop Objectives
Develop: the barebones of a business plan to get you started
Develop: a strategy for doing market research
Increase: your knowledge about resources available to help with market
research and business planning
3
Workshop Agenda – Part I
Business Model Canvas Do a sample canvas for Cycle Salvation
together You do a canvas for your enterprise
Attached is an excerpt of the CS marketing plan which I feel is ready for implementation. The attached includes the objectives, strategies, and related workplans – which are based on the audit that was done in late summer. If you would like to see the full plan or audit findings, pls let me know.Any feedback is welcome – thx.
4
Workshop Agenda – Part II
Market Research Background info Design your own market research
strategy
5
Workshop Agenda – Part III
Where do I go from here? Who is your business plan for? Who should do it? When & How should I do it?
6
Business Planning
Business Plan Model
Idea Generation
Concept Development & Testing
Key Strategic Issues
Strengths Weaknesses Opportunities Threats
PlanningChallenges
Business PlanDescriptionProduct/ServiceMarket AnalysisMarket PlanOperational PlanFinancial PlanRisk Analysis
Contingency PlanDescriptionProduct/ServiceMarket AnalysisMarket PlanOperational PlanFinancial PlanRisk Analysis
Strategic Review, Implementation, and Assess Results
8
9
Your Turn!
Napkin Financials
Quick Costing – don’t worry about accuracy
Don’t forget costs like: Insurance Administration Website design & marketing Materials Equipment Rent & Utilities HR costs
10
Group Survey Activity
What questions do you have now? What do you need to know?
Chose one question to survey the group with i.e. How much would you pay for a used
bike?Write the question on your flip chart
paperUse your post-it’s to answer each
other’s questions11
What is market research? Ongoing, orderly,
objective way of learning about products, people, & bizs
Gathering, recording, analyzing information
what is the need ? who needs/wants it ? who is willing and able to
pay ? how much do they need?
and when? and where?
12
Why do market research?
Ensure there are enough potential buyers to make your venture financially feasible
Get it RIGHT – the right product, at the right price, at the right time, in the right place.
13
Primary Research
What we did in the earlier exerciseMost common methods:
Polls Questionnaires Focus groups Product or service sampling Mystery shopping
14
Secondary Market Research Advantages:
Relatively cheap and easily accessible
Disadvantages: Not specific or
focused May be biased or
difficult to validate
Use reliable sources
15
Small Business Profiles(http:www.ic.gc.ca/eic/site/pp-pp.nsf/eng/home)
SME Benchmarking Tool
Compiled by Stats Can: NAICS number Geographic area / year
Shows: Types of expenses Net profit/loss Percentage profitable 16
SME – NAICS 72232 (Caterers)Statistics Canada2006 Small Business Profiles – OntarioNAICS Number: 72232 – Caterers Average of all bizs
Whole Industry
Lower Half (50%)
Upper Half(50%)
Bottom Quartile(25%)
Lower Middle(25%)
Upper Middle (25%)
Top Quartile(25%)
Percent of bizs reporting
Number of bizs
1199
Revenue range
Low value ($000)
30 30 117 30 63 117 298
High value ($000)
5000 117 5000 63 117 298 5000
17
SME – NAICS 72232 (Caterers)Whole industry
(% of revenues)Bottom Quartile
Lower Middle
Upper Middle
Top Quartile
% of bizs reporting
Total revenue 100 100 100 100 100
Cost of sales
- wages 1.1 2.8 5.5 12.4 28.7
- purchases 31.8 41.5 42.1 41.0 89.3
Operating expenses
- Labour 6.4 6.9 13.1 16.8 55.1
- Rent 7.3 6.1 7.0 6.6 56.3
- Adv & promo 1.3 1.1 1.1 1.7 64.5
Total expenses 85.8 89.2 94.8 100.4 99.9
Net profit/loss 14.2 10.8 5.2 -0.4 99.9 18
Market Research Plan
Worksheet #2 Start working on your plan, focus on the 2nd
column Jill will come around to offer suggestions
Secondary Source Examples Industry Canada Statistics Canada Ottawa Neighborhood Study Ottawa.ca
19
Where do I go from here?
Business Plan Strategy Who is it for? Why are you doing it? How does this change your approach? Pro and cons of an internal staff member
vs. hiring an external consultant
20
Business Plan Resources
CISED materials What should your business plan include? Benefits of Business Planning & 10 Tips Start-Up Business Plan Format How to hire an external consultant to do a business plan Cyclists Kitchen Feasibility Study & Business Plan Market Research Hand-out from OPL
Samples and templates Gale Virtual Reference Library www.bplans.com Social Enterprise Guide - enp
21
Business Assistance from the Ottawa Public Library
Jill Hawken Main library 120 Metcalfe Street [email protected] 613.580-2424 ext 32140
Krista Woltman Nepean Centrepointe 101 Centrepointe Drive [email protected] 613.580.2424 ext 41467
Email a question directly to business services [email protected]
22
Wrap-up & Questions
Summary
One thing that came into focus
One thing that is still out of focus
23
