Expectation Alterations

1. Expectation Alterations Business Plan Presentation Ka Xiong November 25, 2010

2. Agenda • My business • What type of business • Market and Customers • Ethical foundations • Organizations of foundations • Financials • Project plans • Marketing and communications

3. Executive, Executive Summary This is a request for funding for Expectation Alterations; an alteration shop located on Beam and White Bear in Maplewood Mall. • There is a demand for an alteration shop in this area because there are no alteration services specializing to pregnant women. • Expectation Alteration will be competing with other alteration shops near or in the same facility but it will be better because of the following reasons: • Reasonably priced and affordable • Quality work in adequate time • Offer a family atmosphere • Requesting a sum amount of $65,000 at a return rate of 20% of the amount borrowed over 25years. Thus, the total amount being returned would be $78,000. After the first year of the business being opened, Expectation Alteration will be worth $234,000 a rate of 3.5 times the amount borrowed. • Expectation Alterations market will consist of middle class to above middle class people because the size is large enough to sustain the business and the customers will be more easily reachable through affordable advertising. • The company will also have opportunities to expand to other facilities because American families are tending to becoming larger in size and at a more rapid pace. Many Americans are creating larger families due to the growing and developing economy. • Therefore, the plan for Expectation Alteration s: • -expand to other cities and states • Product conception: • -high quality service at affordable prices, licensed tailors, and best results

4. Description of the Business Mission statement: Expecting, we make the clothes fit you, not make you fit the clothes. • Expectation Alterations will mainly service pregnant women with alterations to their existing or new wardrobe while their bellies grow. Furthermore, the form of business is a partnership because two people and two financial funds, rather than one. The following types of people will be my expected customers that I will be servicing: • Expecting mothers who are finding it difficult to find clothes that fit. • Mothers of expecting mothers who want to ease the expecting mother’s worries about clothes that will fit well. • The spouse of the pregnant woman would want peace of mind about clothes fitting well to his or her pregnant spouse. • Sisters of the pregnant woman would want the pregnant woman to have stress free feelings about clothes not fitting well. • Friends of the expecting mother who seeks out ways to help solve the problem(s) of clothes not fitting well.

5. Market and Customer Expectation Alterations target market is the middle class to above middle class customers. • This is a well-chosen target market because of the following characteristics: • Size: These target markets have enough people in the target groups to support Expectation Alterations. • Profitability: People in these target markets are willing to spend more than the cost of producing and marketing the services. • Accessibility: The specific target markets are easily accessible through channels that Expectation Alterations is able to afford. • Limited Competition: There is a high demand for alterations especially with expecting mothers who are surrounded by families or loved ones who care about their comforts while they are pregnant.

6. Ethical Foundations Expectation Alterations will lead by example. Business Ethics • Producing High-Quality Products • Making sure the products are of the best quality • Proving customers with surveys for input towards an ongoing improvement for better services. • Rewarding Integrity • Business will work with customers, employees, vender, suppliers, and creditors openly, honestly, and sincerely. • Customers, employees, venders, supplies, and creditors will maintain faithfulness to the business and will remain faithful. • Treating Employees Equally • Expectation Alteration regards employees as peers and colleagues • Employees will feel more comfortable in their daily task and be more committed to the business. • Employees will have the right to be heard, informed, and right to choose. • Contributing to the Community • The owners and all its employees will establish contributions to the community. • Holding sewing events for charity. • Make quilts out of scrap fabric and give these quilts to the needed or homeless shelters.

7. Organization and Foundations The structure of Expectation Alterations. • Partner of Expectation Alterations: • Will have the final say in business decisions • Will be notified of any issues and concerns of employees and customers if not resolved by the supervisors. • Silent partner(s) : • -nothing but financial support • Each individual supervisor shall be responsible for their departments, duties and its employees: • Employees are to report to their supervisors before reporting to the partners. • Consultants: • -dealing mainly with customers and supplies • -responsible for customers satisfactions about services

8. Financials Cost will decrease once business opens but will gradually increase with growth of revenue. Costs Revenue • Rent-leasing space for 5 years at $1,200 per month • Utilities- $400 a month • Supplies $150 • Insurance $200 • Maintenance (every 3 months $120 for sewing machines) • Advertising $150 • Taxes $4,095 • Increasing number of customers at 4% to 6% means: • -Increasing amount of supplies • -Employees working longer hours Single alteration $15 @ 3 alterations per customer every 1 hr (peak hours 4 hrs)doubles the amount of customers Difficult alterations $35 @ one per customer every 2 hours Simple alterations (15 @ x $12=$180) peak hours, (15x9=$135) Total=$351 per day $2,205 per week (Mon-Sun) Difficult alterations (35 @ x $12=$420) Total per week=$2,625 (Mon-Sun) Business hours Monday-Friday 7am-8pm (13hrs) Saturday & Sunday 8am-9pm (13hrs) Peak hours (11-3) Monday-Friday Peak hours (11-3) Saturday & Sunday

9. Cost and Revenue Projected costs and revenues for two years in quarters.

10. Marketing and Communications Ultimate goal is to seek long-term profitability without sacrificing good service. • Ways in which Expectation Alterations is going to market and communicate with the world: • Media world of advertising • Internet • TV • Local newspapers • fliers • Create a social network • Our families • Employees • Venders • Suppliers • creditors

11. Project Plan This is an over view of Expectation Alteration from beginning to now. • From April to May • Field search: • Competitors • Site location • Target market • Middle of May to July • Sign Lease and purchased supplies • Found location • Purchased sewing machines and materials • Made financial decisions concerning the business • From August to September • Designated job duties and titles: • Confirm duties and positions • Address any concerns and problems • Starting October 1st business opens • Still in process of searching and serving target market Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

12. References • Kelly, M., & McGowen, J.(2011, 2010).Busn. Mason, OH: South-Western, Cengage Learning. page 47. Retrieved December 6, 2010.

13. Questions ??????