Cool-Caps

!!An invention which makes your life a little easier!!

Klair Lubonja 11

th

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Business Profile

 This business was selected because there are none like it out there, which means that there is space to make a profit and to supply the consumer with a necessary product. Our mission is to provide convenience and a necessity at an affordable price.

 Type of Business:  Retail  My product provides the consumer with convenience at an affordable price. Simply put it’s a contraption that turns your can into a bottle.

 Legal Structure:   Sole Proprietorship The first couple of months would be used on the making of the product which means that insurance isn't necessary, afterwards when the business is up and running I would choose sole proprietorship because I like doing things my way and I like having all the responsibility.

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Opportunity

  Opportunities    At least 29% of Americans drink a liquid from a can each day It provides modern aspects such as the sleek design Consumers want convenience Qualifications   I have a background in business Achieved high grades in classes such as Marketing & Mathematics  I am currently attending a Business/Marketing class. 2

    

Consumer Profile

By Location



The location of my target market would generally include all cities in Connecticut By Population



The age of the consumer would range from 18-45 years old,and they have some source of income By Personality



The consumer generally would like to travel and they like taking interesting products like mine with them in their voyage By Behavior



The consumer should be a loyal customer and they would not only be someone who buy’s the product for themselves but also for their friends and families By Income



The consumer should be one that does not mind spending their money

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Competition

Competitor Buybottletop.com

(Can Top)

Dollar Tree In

(Huggy)

Price

$1.67

$1.00

Quality

Good Good

Greatest Strength

Convenient Affordable

Greatest Weakness

 Easily breakable  Not a lot of options to choose from  Only satisfies one need  Not a lot of options to choose from  Not used for what its made for

Competitive Advantage

•

Generally customers like things that come pre-made and ready to use.

•

My product fulfills all of the costumer needs (convenience, affordability, reusability)

4

Marketing Mix

   

P

rice:  I chose the price because its in the same range as other products like mine and it represents the actual value of the product

P

lace:  Seeing as though the product is in the process of being made, the internet is a simple way to reach out to customers and begin the selling process

P

roduct: F:The product provides protection and security to your can of liquid, comes in different varieties B:Portable, and it fits to your wants and needs

P

romotion:  I plan on advertising the product on social websites such as Facebook, make business cards and distribute them to buyers, brochures, and the newspaper. 5

Marketing Plan

Phase Method Description Cost Awareness Purchase

1. brochures 2. web 3. self promotion 4. business cards 5. newspaper ad -If more than 3 bought then a 15% discount is given

1. Placed inside mail boxes 2. Full time online, pop ups 3. Talking to target market 4. Pass them out with each product bought 5. Once a month on the Hartford Sunday newspaper If 3 cool caps are bought then the customer will receive a 10% discount off the final price 350.00

$3.00 dollars lost with 10% discount Retention

Great customer service

I will please my customers wants and solve any problems they have with the product 0.00

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Cost of Materials/Direct Labor

Definition of One Unit

Direct Labor (Labor Cost per Hour) $8.00

Material Description Can cover Can top 1 Cool Cap

Cost of Sales Per Unit

Time (in hours) to make 1 unit 1 minute or 0.016/hr

Total Direct Labor Per Unit

Cost/Total Quantity .18 cents per unit .09 cents per unit Cost Per Unit ($)

Total Material Cost Per Unit Variable Costs Per Unit (shipping, packaging) Cost of Sales Per Unit

Direct Labor Cost Per Unit $0.13

$0.13

$0.18

$0.09

$0.27

$ 0.00

$ 0.40

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Economics of 1 Unit

Definition of One Unit Selling Price per Unit Direct Labor Per Unit Materials Per Unit Total COGS Per Unit Variable Costs Per Unit (outgoing shipping, packaging) Total Cost of Sales Gross Profit Per Unit 1 Cool Cap $10.00

Including shipping and handling $0.13

$0.27

$0.40

$1.20

Included in the selling price $0.40

$9.60

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Time Management Plan

Business Schedule for a Typical Week

Entrepreneurship 21hr School Hours 50hr Work Hours Sleep Free-Time Hours 13hr 56hr 28hr 10

Average Monthly Fixed Costs

Type of Fixed Cost Entrepreneurial Stipend Rent/Utilities (cell phone, internet) Advertising (brochures, web, self promotion, business cards,newspaper ad) Depreciation (computer) Total Monthly Fixed Costs Monthly Cost

$15.00

$60.00

$350.00

$20.00

$445.00

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Monthly Sales Projections

Month January February March (B) April May June July August September October November December Units Sold 175 160 150 230 500 750 1200 720 520 300 250 200 Total = 5155 Units sold 1400 1200 1000 800 600 400 200 0 Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Monthly Break Even Units

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Projected Yearly Income Statement

( Selling Price Per Unit # of Units Sold

Total Sales

Total COGS Other Variable Costs Total Variable Costs

Gross Profit

USAIIRD

(Yearly)

Other Costs/Unforeseen Total Fixed Costs Profit before Taxes Less Estimated Taxes @25%

Net Profit

10.00

5155

$51,550.00

$2,062.00

$0.00

$2,062.00

$49,438.00

$5,340.00

$3,600.00

$8,940.00

$40,498.00

$10,124.50

$30,373.50

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Return on Investment Return on Sales

ROS 59% ROI 58% For every $1 dollar of sales, my business earned : $.59

For every $1 dollar invested, my business earned : $.58

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Start-up Investment

Entrepreneurial hours needed for start-up

96 hours

Wage I pay myself

$ 8.00

Item

Computer New designed piece Business cards

Where I will buy this?

Gift/ Already owned Production Company Business card inc.

CASH RESERVE Estimated TOTAL START-UP INVESTMENT Total start-up time investment

$ 768.00

Cost of Item

$0.00 $50,000 $ 25.00

$ 900.00

$ 51,693.00

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Financing Strategy

for Total Start-up Investment

Source

Personal Savings Relatives/Friends Investor(Bank of America)

Amount

$ 1000.00

Debt

*

Equity

$ 1000.00

$50,000.00

* *

Total: $ 52,000.00

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Social Responsibility Plan

  I will donate 5% of all my net profits to a Breast Cancer association I will stamp a pink ribbon, which represents the fight for breast cancer, on all my business cards and website in order to inform my customers of where some of the profits are going.

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Business & Educational Goals

Business

- I plan on making the design of my product come to life and in due time putting it on the market for consumer use - After the passing of one year or so of the product being on the market I plan to better the design so it can fit in with the modern aspects of time.

Education

- I plan on graduating from high school with a A- average so I can have the opportunity to enter a college of my choice - After the four years of undergraduate studies I plan on going to graduate school and then entering medical school in order to fulfill my dream of becoming a cardiologist 18

At Cool-caps we believe that making things easier for our customers is a step in the right direction!!

Please visit us at: www.coolcaps.weebly.com

Thank you for your consideration of:

Cool-Caps

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