VNE

BUSINESS PLAN

VNE | California
Direct Deposit

Please have my payroll check

automatically deposited into the
following accounts.

Account Information

Bank Name: nbkc bank

Account Number: 89536063
Routing Number: 101015347

Voided Check

Victoria English 2510 1234

Buckthorn Trl
Boulevard CA, 91905 DATE

VOID
PAY TO THE
ORDER OF $

DOLLARS

MEMO

101015347 89536063

The image of this voided check may be provided to your employer or other payor for no
other purpose except to set up direct deposit to your Empower Account.
Authorization

Victoria English, authorize VNE to

initiate credit entries and, if necessary, to initiate any debt entries to correct a previous credit
error, to my Empower Account. I understand this authorization replaces any previous
authorization and will remain in effect until my employer receives written notification from
me of its termination.

7/30/2
021

SIGNATURE DATE
Executive Summary
VNE will be a start-up in services industry to target young’s, adults, middle aged and elders store
specializing in document help and consultancy. We will operate in remote rural town where
closest grocery store is on hour away distance. There are two tiny markets with in a 30 miles
radius from our homebased business. VNE is going to be run by Victoria English and we will
operate in the mountains area in California. We will serve young’s, adults, middle aged and
elders.
It's in the mountains and there are no competitors. There is a high demand for our services. 90%
of a 3560 population within 3 cities will use VNE products and services.
The business will be financed with $30000 from a business loan. VNE is a startup business in
services industry that is going to be a homebased business in mountainy remote rural town of
California. We will be involved in help and consultancy services like Document filling,
Document filing and document understanding and proofreading etc. We have no competitors as
we are going to operate in mountains nearest markets are on 30 miles radius from VNE. We will
ensure that every product and service will be affordable for everyone living in our mountainy
and rural area.
Our employees will be selected from a pool of talented people to meet the expectation of our
clients. We will ensure to follow the latest trends in the services industry. VNE will provide
products and services to high end customers and also to low income earner; we want to fulfill
needs of people living in our mountainy rural area where ever our products and services will be
put up for sale. Aside from document help and consultancy, we will be involved in selling of
custom clothing and jewellery, we will be engaged in document help and consulting for
customers based on their demands. We are quite aware that there are some clients such as
young’s, adults, middle aged and elders that would need quality products and services for
specific purposes and we will make ourselves well prepared to deliver our products and services
on request basis.
VNE will provide its products and services in the most effective manner and with an ongoing
comprehensive quality-control program to provide 100% client satisfaction.
VNE will be owned and operated by Victoria English. She is a local and personally knows 75%
of her target customers.

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Mission Statement
Our mission is to provide jobs in a small rural town as well as helping people fill file and
understand forms and documents they would otherwise throw away. Helping find help or
whatever it is they need such as SSI or welfare or anything document related. We are aiming to
sell handmade native American crafts and items by the Kumeyaay Campo Band of Diegueño
Mission Indians. Our mission is to establish a service line business that will make available a
wide range of products and services to young’s, adults, middle aged and elders. We will provide
professional and highly creative concept and other related products and services. We want to
build document help and consulting business.
We are able to understand our customers' needs and hopes while buying rural wear clothing or
jewellery. VNE will maintain financial balance while delivering a quality product and services to
our customers. We will make document help and consulting service available throughout our
community by way of establishing a home-based location in California. We will make profit and
generate cash. We will provide a rewarding work environment and fair compensation to our
employees, ultimately provide excellent value to our customers, and a fair return to Victoria
(owner of VNE).
Vision Statement
Our vision is to be a jack of all trades shop and services. Our vision is to establish a standard and
world class document help and consulting business.
Goals & Objectives
We will ensure people that they are having an option or an avenue to come to us whenever they
need answers or help or explanations on forms and documents as there are many job
opportunities in every area but people need to understand their requirement specifically
documents filling, documents filing and consultation about job.
VNE main objectives are to:

 Establish a store business in the California

 Create jobs
 Provide quality custom clothing, jewellery and consulting services at a reasonable price
 Achieve the largest market share in the area for rural wear
 Achieve a profit within the first year

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  Continually and consistently increase total number of customers per year
 Increase average length of customer relationships and decrease customer turnover
Keys to Success
Our keys to success are:

 To maintain client satisfaction of at least 90%.

 To keep overhead low.
 To ensure professional marketing and presentation of services.
 To provide an active and functional website.
Products & Services
We will focus on close client relationships. Victoria English, is the leading consultant, who will
provide one-on-one consulting sessions with clients, group sessions with client teams, strategic
planning services, fundraising consulting, and applying for a job or document filling to clients
and potential clients.
We will offer document help and consulting service along with selling of custom clothing,
reconstructed clothing and jewellery. VNE is going to be established with the aim to provide jobs
in a small rural town as well as helping people in document filing and consulting. We know that
quality is a key factor that will help us in providing our services which is why we have put in
place a competent team that will ensure that all our services must meet and even surpass our
customers’ expectations.
We will work hard to ensure that VNE is not just accepted in our rural town but also in
neighboring cities.
Here is a list of our products;
 Custom clothing
 Custom reconstructed clothing
 Jewelry
 Handmade Campo Band of Diegueño Mission Indians items
 Document filling
 Document filing
 Consulting

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Start-up Summary
Total start-up expense (including fixtures, equipment, and grand opening) is $30,000. Startup
assets required $20,843 in inventory. The details are included in the following chart and table.
Once established, business volume may be somewhat cyclical for that reason.

Start-up Plan
Start-up Expenses
Grand Opening $1,000
Rent Deposit $1,200
Salaries and Wages $1,200
Payroll Taxes $180
Insurance $219
Telephone Deposit $300
Utilities Deposit $840
Office Supplies $250
Advertising $600
Accounting/Legal $400
Fixtures $1,755
Expensed Equipment $2,500
Repairs and
$3,000
Maintenance
Carpet $1,300
Floor Tile $800
Sign $1,000
Counter $2,000
Travel $2,200
Burglar Alarm $99
Other $0
Total Start-up
$20,843
Expense

Start-up Assets
Needed
Cash Requirements $0
Start-up Inventory $20,843
Other Short-term
$0
Assets
Total Short-term
$20,843
Assets
Long-term Assets $0

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 Start-up Assets
Needed
Total Assets $20,843
Total Start-up
$30,000
Requirements:
Left to Finance: $0

Start-up Funding
Plan
Investment
Business Loan $30,000
Other $0
Total Investment $30,000

Short-term
Liabilities
Unpaid Expenses $0
Short-term Loans $30,000
Interest-free Short-
$0
term Loans
Subtotal Short-term
$30,000
Liabilities
Long-term Liabilities $0
Total Liabilities $30,000
Loss at Start-up ($20,843)
Total Capital ($30,000)
Total Capital and
$19,000
Liabilities
Check line $0

Market/Industry Analysis

Over the five years to 2017, the Consulting industry in California has been successful as stronger
corporate profitability and increasing business expenditure resulted in higher demand for
advisory services. Over the five years to 2022, the industry is expected to grow in line with the
overall US economy. IT will continue to be a key growth area for firms, while other sectors, such
as healthcare, also provide new business opportunities. Consolidation from the largest industry
players is forecast to continue; however, the overall industry structure will continue to be

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dominated by small, non-employing operators. Over the five years to 2022, industry revenue is
forecast to increase at a faster rate than during the previous five-year period.
Consultants advise individuals in the following areas: applying for a job, getting job, consultancy
in documents, document filing and document filling.
The consulting industry can trace its roots back to the late 19th century, when the world's first
modern consulting firms were founded. From the turn of the century, management consulting –
which focused mainly on engineering and finance early on – increasingly gained terrain in the
business world. Consulting firms started to grow their size beyond a few founding partners and
small teams. In the slipstream of the growth of scientific management, operations and
organizational theory, the number of consulting firms rapidly expanded in the next decades, with
today’s well-known US firms such as Arthur D. Little, A.T. Kearney, Booz Allen Hamilton and
McKinsey & Company playing frontrunner roles. Revenues of the top ten worldwide
management consultancies, for instance, grew from around $200 million to around $50 billion at
the beginning of the 21st century.
Nearly two decades down the line, the consulting industry has developed into one of the most
mature sectors in the professional services industry, generating between $100 billion to $300
billion in revenues, with the precise estimate depending on the definitions used. At the heart of
the industry stand six main domains – Strategy Consulting, Management Consulting, Operations
Consulting, Financial Advisory, HR Consulting and IT Consulting – that when combined, span
services and offerings in over 200 industry and functional areas. The majority of consultants
work at large and mid-sized consulting firms, yet, in terms of the number of consultancy
enterprises, these firms typically represent no more than 15% of the total, with the majority of
enterprises active as sole proprietorships (i.e. freelance consultants).
Besides consultants working in the consulting industry, advisors are increasingly working in a
consultant role that leverages consultancy skills but lies outside the consulting industry. Over the
past few decades, organisations have taken large steps in maturing their internal advisory and
implementation units, building internal consulting and project management teams as well as
developing typical ‘consulting’ capabilities across key departments, functions and process areas.
Little is known on the exact global size of the ‘internal consulting’ industry, and estimates range
widely from a fraction of the consulting industry’s size to a market that is larger in terms of
scale. Typical internal consulting roles are based in, among others, corporate development,

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project management units and dedicated advisory departments. Many consultants also often
venture into managerial roles.
The state of California has a population of 39,512,223 and annual population growth of 0.5%
over the five years to 2019 which ranks 21 out of all 50 US states. California’s gross state
product (GSP) in 2019 reached $2.8tn, with growth of 3.8% over the 5-years to 2019. Businesses
in California employed a total of 24.2 million in 2018, with average annual employment growth
of 2.6%. The top three employment sectors include Health care and social assistance, Retail trade
and Professional, scientific, and technical services while the unemployment rate across the state
in March 2020 was 5.3%.
California's GSP in 2019 reached $2.8tn, with growth of 3.8% over the five years to 2019.
California's GSP growth ranks 4 out of all 50 US states. GSP is a measurement of a state's
output, or the sum of value added from all industries in the state. It is a common indicator used to
track the health of an economy.
The state of California employs 24.2 million people with a growth rate of 2.6% over the five
years to 2018 which ranks it 11 out of all US states. Major employment sectors in California
include Health care and social assistance, Retail trade and Professional, scientific, and technical
services. California's unemployment rate in December 2020 was 9.3% which places it 47 out of
50 in the United States.
Per capita disposable income, also known as disposable personal income (DPI), is the amount of
money that a person has available for spending and saving after accounting for income taxes.
Disposable income is regarded as a key economic indicator used to gauge the overall state of an
economy. California’s DPI in 2018 was $63,557 which places it 5 out of all 50 US states.

Our Target Market

No doubt the services industry has the widest range of customers; everybody on planet earth
wears clothes howbeit different designs, quality and style and needs help and consulting.
In view of that, we have created strategies that will enable us reach out to people that cut across
different classes in the society; We are a startup who is going to provide products and services
for male, female, young adults and children. We have conducted our market research and survey
to ensure that our startup business will be well accepted in our mountainy and rural area.

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We will serve Young, Adults, Middle Aged and Elderly etc in our rural area and after few years
in surrounding area. These are the different group of people to whom we will provide document
help and consulting:
 Young
 Adults
 Middle Aged
 Elderly etc

Our main business targets to be achieved as milestones over the course of next three years are as
follows:

 To achieve the net profit margin of $10k per month by the end of the first year, $15k per
month by the end of the second year, and $25k per month by the end of the third year
 To balance the initial cost of the startup with earned profits by the end of the first year
SALES AND MARKETING STRATEGY
 Sources of Income
We are going to be involved in document help, consulting and selling of (Custom clothing,
Custom reconstructed, Clothing, Jewelry, Handmade Campo Band of Diegueño Mission Indians
items, Document filling, Document filing and Consultant) that will meet the needs of Young,
Adults, Middle aged, Elderly. In view of that, we will generate income from the sale of;
 Young
 Adults
 Middle aged
 Elderly etc

 Marketing Strategy and Sales Strategy

Since VNE is going to be a homebased service offering document help and consulting in rural
town of California. We will make sure to interact with our target market (customers) and sample
their opinions to know what they want before providing products and services. It will be easier to
penetrate the market when what we will produce exact products for which people are seeking.
The services industry is indeed a very competitive industry; thus, all clothing, jewellery and
consulting will ensure that they are always on their toes and in touch with the trend, if indeed

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they want to continue to be in business. We are aware of this, which is why we have plan to hire
business consultant with a bias for marketing and sales to help us craft a winning marketing and
sales strategy.
In summary, VNE will adopt the following sales and marketing approach to promote and sale
our clothes;

 Advertise our business in newspapers, TV and radio stations

 List our business on yellow pages ads
 Leverage on the internet to promote our business
 Direct marketing
 Word of mouth marketing (referrals)

Sales Forecast
It is important to state that people will use our document help and consulting services throughout
the calendar year.
Below are the sales projections that we will be able to come up with for the first three years of
operations;

Sales Forecast

Sales

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 Youngs $21,593 $38,874 $45,785
Elders $17,708 $23,545 $29,874
Total Sales $39,301 $62,419 $75,659
Direct Cost of Sales Year 1 Year 2 Year 3
Youngs $3,239 $5,831 $6,868
Elders $2,656 $3,532 $4,481
Subtotal Direct Cost $5,895 $9,363 $11,349
of Sales

Publicity and Advertising Strategy

Publicity and advertising in the services industry involves being in touch with the target market
and being very creative and proactive. We have a key advantage as our owner (Victoria) knows
75% of target market personally. Because she is a local living in rural town in mountains of
California. No doubt the media is playing a very big role when it comes to create a custom
clothing, jewellery significance, document help and consulting.
The social media is also playing an important role in modern day publicity and advertisement; it
will give us the ability to reach out to a wider range of customers all over the world within a
short period of time and of course at very cheaper price.
We want to take on the market and become deliberate when it comes to building brand
awareness and credibility. Most often than not, big – time we will ensure to create great hype
whenever we are about to release any unique design.
Social media, such as blogs, micro blogs, podcasts, photo and video sharing sites are some of the
tools fashion designers leverage on to promote their labels. Some of the preferred social media
platforms that we had planned to use for promoting VNE are: Instagram, Tumblr, WordPress,
Facebook, twitter, YouTube and other sharing sites. Here are the platforms we intend leveraging
on to promote and advertise VNE;

 Place adverts on social media platforms

 Sponsor relevant community programs like school fashion shows et al

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  Leverage on the internet and social media platforms like; Instagram, Tumblr, WordPress,
Facebook, twitter, YouTube and other sharing sites.et al to promote our brand
 Attend local and intentional expos
 Promote our business on our own official websites and online fashion community

Our Pricing Strategy
As a startup, we will provide document help and consulting service that will meet the financial
capacity of different classes of people living in rural time of California. The prices for all our
products and services will be affordable and at the same time competitive with what is obtainable
in the services industry.

 Payment Options
Our payment policy will be all inclusive because we are quite aware that different people prefer
different payment options as it suits them. Here are the payment options that will be available in
VNE where our products and services will be sold;

 Payment by cash
 Payment via Point of Sale (POS) Machine
 Payment via online bank transfer (online payment portal)
 Payment via Mobile money
 Payment by cash
In view of the above, we have chosen banking platforms that will help us achieve our payment
plans without any itches.
Financial Plan
The following sections will outline the important financial information.
 Important Assumptions
The following table highlights some of the important financial assumptions for VNE.

General
Assumptions
Plan Month 1 2 3
Current Interest Rate 10.00% 10.00% 10.00%

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 Long-term Interest 10.00% 10.00% 10.00%
Rate
Tax Rate 25.42% 25.00% 25.42%
Other 0 0 0

 Break-even Analysis
The following table and chart shows our Break-even Analysis.

Break-even Analysis

Monthly Revenue Break- $3,879

even
Assumptions:
Average Percent Variable 15%
Cost
Estimated Monthly Fixed $3,297
Cost
 Projected Profit and Loss
The following table indicates projected profit and loss.

12
 
 

13
Pro Forma Profit
and Loss
Sales $39,301 $62,419 $75,659
Direct Cost of Sales $5,895 $9,363 $11,349
Other $0 $0 $0
Total Cost of Sales $5,895 $9,363 $11,349

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 Gross Margin $33,406 $53,056 $64,310
Gross Margin % 85.00% 85.00% 85.00%
Expenses
Payroll $27,500 $32,400 $32,400
Sales and Marketing $5,200 $1,200 $1,200
and Other Expenses
Depreciation $936 $936 $928
Leased Equipment $0 $0 $0
Utilities $600 $600 $600
Insurance $1,200 $1,200 $1,200
Rent $0 $0 $0
Payroll Taxes $4,125 $4,860 $4,860
Other $0 $0 $0
Total Operating $39,561 $41,196 $41,188
Expenses
Profit Before Interest ($6,155) $11,860 $23,122
and Taxes
EBITDA ($5,219) $12,796 $24,050
Interest Expense $0 $0 $0
Taxes Incurred $0 $2,965 $5,877
Net Profit ($6,155) $8,895 $17,245
Net Profit/Sales -15.66% 14.25% 22.79%
 Projected Cash Flow
The following chart and table indicate projected cash flow.

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Pro Forma Cash
Flow
Cash Received
Cash from
Operations
Cash Sales $13,755 $21,847 $26,481
Cash from $18,949 $36,692 $46,956
Receivables
Subtotal Cash from $32,705 $58,539 $73,437
Operations
Additional Cash
Received
Sales Tax, VAT, $0 $0 $0
HST/GST Received
New Current $0 $0 $0
Borrowing
New Other $0 $0 $0
Liabilities (interest-

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free)
New Long-term $0 $0 $0
Liabilities
Sales of Other $0 $0 $0
Current Assets
Sales of Long-term $0 $0 $0
Assets
New Investment $2,000 $0 $0
Received
Subtotal Cash $34,705 $58,539 $73,437
Received
Expenditures Year 1 Year 2 Year 3
Expenditures from
Operations
Cash Spending $27,500 $32,400 $32,400
Bill Payments $16,525 $20,725 $25,078
Subtotal Spent on $44,025 $53,125 $57,478
Operations
Additional Cash
Spent
Sales Tax, VAT, $0 $0 $0
HST/GST Paid Out
Principal Repayment $0 $0 $0
of Current
Borrowing
Other Liabilities $0 $0 $0
Principal Repayment
Long-term $0 $0 $0
Liabilities Principal

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 Repayment
Purchase Other $0 $0 $0
Current Assets
Purchase Long-term $0 $0 $0
Assets
Dividends $0 $0 $0
Subtotal Cash Spent $44,025 $53,125 $57,478
Net Cash Flow ($9,321) $5,414 $15,959
Cash Balance $3,429 $8,843 $24,802
 Projected Balance Sheet
The following table indicates the projected balance sheet.

Pro Forma Balance

Sheet
Assets
Current Assets
Cash $3,429 $8,843 $24,802
Accounts Receivable $6,596 $10,477 $12,699
Inventory $1,105 $1,755 $2,127
Other Current Assets $0 $0 $0
Total Current Assets $11,131 $21,075 $39,628
Long-term Assets
Long-term Assets $2,800 $2,800 $2,800
Accumulated $936 $1,872 $2,800
Depreciation
Total Long-term $1,864 $928 $0
Assets
Total Assets $12,995 $22,003 $39,628
Liabilities and Year 1 Year 2 Year 3

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 Capital
Current Liabilities
Accounts Payable $1,600 $1,713 $2,092
Current Borrowing $0 $0 $0
Other Current $0 $0 $0
Liabilities
Subtotal Current $1,600 $1,713 $2,092
Liabilities
Long-term $0 $0 $0
Liabilities
Total Liabilities $1,600 $1,713 $2,092
Paid-in Capital $19,000 $19,000 $19,000
Retained Earnings ($1,450) ($7,605) $1,290
Earnings ($6,155) $8,895 $17,245
Total Capital $11,395 $20,290 $37,535
Total Liabilities and $12,995 $22,003 $39,628
Capital
Net Worth $11,395 $20,290 $37,535

Sustainability and Expansion Strategy

We believe that future of our business will lie in the numbers of loyal customers. If this factor
will become missing from our business (VNE), we won’t be too long before the business close
shop.
VNE will ensure that all the factors listed above are reinforced on a regular basis and also, we
will engage in continuous capacity building of our workforce. As a matter of fact, profit-sharing
arrangement will be made available to all our senior management staff and it will be based on
their performance for a period of five years or more. This will enable us secure their loyalty and
services for a long period of time.

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We will make sure that the right foundation, structures and processes are put in place to ensure
that employee welfare is well taken of. Our business’s corporate culture will be designed to drive
our business to greater heights and training and re – training of our workforce is at the top
burner.

Thank You

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 References

1. https://www.ibisworld.com/us/industry/california/jewelry-
stores/11108/
2. https://www.statista.com/forecasts/1204702/other-clothing-stores-
revenue-in-california
3. https://www.ibisworld.com/us/industry/california/womens-
clothing-stores/11107/
4. https://www.researchandmarkets.com/reports/4990688/managem
ent-consulting-in-california-industry
5. https://www.consultancy.eu/consulting-industry

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