27/02/2015. A Business Plan For Family Day Care Services. Focus for this session. The Family Day Care Services Education and Support Project
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1 A Business Plan For Family Day Care Services The Family Day Care Services Education and Support Project Funded by the Department of Education. Managed by NSW Family Day Care Association in partnership with Family Day Care Association Qld. The project includes research, surveys, sector consultation, peak body collaboration, publications, information sessions, a website, resources, service support, webinars, newsletters and tools. The Project will cease 30 June 2015 Focus for this session What and why! Where to begin the Business Plan Organisation structure The market Competition A SWOT analysis as a review strategy Action plan Financial planning for the future 1
2 What is a business plan? A document that describes your business, its objectives, strategies, target market and financial forecasts. It's a blueprint to your business's future. Plans can vary enormously in length, style and content, but the key is to ensure the document is realistic, practical and regularly reviewed. It should not only set the direction for your business but act as a reference point for measuring performance. Why should you have a plan? A business plan provides a roadmap for success A complete, thoughtful business plan is one of the most valuable tools in helping you reach your long-term goals. It gives your business direction, defines your objectives, maps out strategies to achieve your goals and helps you to manage possible bumps in the road. Business Plan Template Your business logo Your Name Your Title Business Name Main Business Address ABN ACN Business Plan (for years) Prepared by 2
3 Executive Summary Your business summary should be no longer than a page and should focus on why your business is going to be successful. The information included should briefly summarise the more detailed answers provided throughout the body of this plan. The Business Business name Business structure ABN ACN Business location Date established Business owner(s) Products/services The Market Target market Who are you selling to? Why would they choose your FDC Service over other service types? Goals/objectives What are your short & long term goals? What activities will you undertake to meet them? (Point form can be used.) 3
4 The Finances Briefly outline how much profit you intend on making in a particular timeframe. How much money will you need up-front? Where will you obtain these funds? What portion will you be seeking from other sources? How much of your own money are you contributing towards the business? Organisation chart Owner/Manager Nominated supervisor Educational /playgroup leader Office admin Coordinator/s General Assistant Key positions Job Title e.g. Nominated Supervisor Average position turnover Skills or strengths required 5 + years Relevant qualifications. At least 5 years experience in the industry. Award in marketing excellence. 4
5 Service Description Briefly describe your service Market position Anticipated demand Pricing strategy Value to customer Growth potential Insurance Workers compensation Public liability insurance Professional indemnity Product liability Business assets Business revenue Risk management Risk Likelihood Impact Strategy Description of the risk and the potential impact to your business. Highly Unlikely, Unlikely, Likely, Highly Likely High, Medium, Low What actions will you take to mitigate the potential risk to your business? 5
6 Legal considerations List the legislation which will have some impact on the running of your business. For example: the specific legislation under which you operate your service. Other examples include rental agreements, pending legal action. Operations Describe the staff recruitment process Describe the educator recruitment process Describe the child enrolment process Resources & equipment List your current plant and equipment purchases. These can include vehicles, computer equipment, phones and copying machines. Equipment e.g. Personal Computer Purchase date e.g. 20/03/2010 Purchase price e.g. $2100 Running cost e.g. $100 a month e.g. 3 mobile phones e.g. 22/02/2010 e.g. $1600 e.g. $140 a month 6
7 Inventory Technology (Software): What technology do you require? For example: website, point of sale software or accounting package? What will be the main purpose for each? Will they be off-the-shelf or purpose built? What is the estimated cost of each technology solution? Communication channels: How can your customers get in contact with you? These channels can include: telephone (landline/mobile), post box, shopfront, , fax, internet blog or social media channel. Sustainability plan Community impact & engagement How does your environmental impact affect the local community? How can you engage the community in minimising your impact? Risks/constraints List any risks/constraints to your business resulting from this environmental impact? Strategies What strategies will you implement to mitigate your environmental impact and any risks to your business? Will you conduct an environmental audit? Have you introduced an Environmental management system? Action plan Sustainability Strategies e.g Reduce water consumption e.g Reduce energy consumption e.g Reduce service waste Action Responsibility Timeframe Month/Year Month/Year Month/Year 7
8 The Market Market research What statistical research have you completed to help you analyse your market? Did you use a survey/questionnaire/other? If so, you may like to attach a copy of your survey/questionnaire to the back of this plan. Market targets Outline your planned targets. What level of service do you plan and within what timeframe? Are they monthly or yearly targets? Your customers Customer demographics Define who your target customers are and how they behave (e.g. the location of service to their work). You can include age, gender, social status, education and attitudes. Key customers Identify your key customers. (These can be your largest group of customers whose satisfaction is key to the success of your business.) How will you target your service to them? Customer service How will you maintain a good relationship with your customers? What techniques will you use? How will you keep your customers coming back? Have you introduced customer service standards? Do you follow any particular code of practice? S.W.O.T. analysis Strengths Weaknesses Opportunities Threats 8
9 Your competitors Competitor Established date Size of service Market share (%) Value to customers Strength Weakness Competitor name When were they established Estimated percentage of market share Unique value to customers E.g. convenien ce, quality, price or service? What are your competitor's main strengths? What are your competitor's main weaknesses? Advertising & promotional strategy What strategies do you have for promoting and advertising your products/services in the next 12 months? Planned promotion /advertising type: Print media advertising, online advertising, mail-out, giveaway, media release, social media campaign or event, word of mouth. Expected business improvement: How do you expect it will improve your business financially as well as its quality of service? Cost Target date Sales & marketing Objectives: Do you have individuals or a small team who could focus on sales? What sales techniques will they use? What tools/material will they use to help promote your service? What goals/targets will they meet? Unique position: Do you have an advantage over your competitors? If so what is it? How will your service succeed in the market where others may have failed? 9
10 The Future Vision statement What is your business' vision statement? It should briefly outline your future plan for the business and include your overall goals. Mission statement What is your business' mission statement? I.e. how will you achieve your vision? Goals/objectives What are your short & long term goals? What activities will you undertake to meet them? Action plan Milestone What are the business milestones that you need to complete starting from today? Date of expected completion What is a realistic date for completion? Person responsible Who is responsible for delivering this milestone? Key objectives & financial review Financial objectives List your key financial objectives. These can be in the form of break even or profit targets. You could also list your main financial management goals such as cost reduction targets. Finance required How much money up-front do you need? Where will you obtain the funds? What portion will you be seeking from loans, investors, business partners, friends or relatives, venture capital or government funding? How much of your own money are you contributing towards the business? 10
11 Budget A financial forecast a budget - is a vital tool in the financial management of your business and, like your business plan, requires regular review and amendment to be effective. Once the period for which you prepared the budget is over, be sure to compare the actual results against your budget forecasts. Budgeting Balance sheet forecast for 3 years Services may consider the creation of a projected balance sheet as a way to facilitate long-term, strategic planning. Profit and loss forecast for years A profit and loss statement summarises the income for a period and subtracts the expenses incurred for this period to calculate the profit or loss for the business. Expected cash flow for 12 months An estimate of the amount of money you expect to flow in (receipts) and out (payments) of your business and includes all your projected income and expenses. Resources Business Enterprise Centres (BEC Australia) Australian Government Creating Our Future: A guide for considering your business models NSW Small Biz Connect WA Small Business Development Corporation 11
12 Contact Phone: (02) Fax: (02) This project is being managed by NSW Family Day Care Association (lead agency) in partnership with Family Day Care Association Queensland 12
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