Small Business Plan Bangladesh

1. Small Business Plan
Faculty of Business Studies – University of Dhaka
Program: Master of International Trade andBusiness
Course Name: MIB 413 International EntrepreneurshipsandInvestment
AssignmentonSmall Businessplan
Course Instructor: MohammadMonirul Islam
Name ofStudent : Md. Ismail
ID : 81860018

2. 1. Brief Introduction of the Entrepreneurs:
Name: MD. Sohel Rana and Md Yasin Ali
Address of the Business: Wari, Puran Dhaka
HSC & B.Com
Previous Business Experience : NO
Brief Descriptionof the Business:
Name of the Business : “Hot & Cold”
in Puran Dhaka
8
Partnership
Idea of the Business :
MD. Sohel Rana started his career as a sales person in a local company. He used to sell consumer
products to the retail outlets. However, after emergence of COVID19 last year he was faired from his
job. So he went back to his village Nowakhali. Once the situation started to be normal as government
withdraw lockdown he again come to Dhaka and started searching for new job. But after staying one
month in Dhaka he could not manage a job for himself. At that time he was very frustrated and spend
most of the time in mess in sutrapur. One night his room mate Mr. Yasin Ali came in the room and
asked why he was so frustrated – Sohel replied that he has no money in his pocket to pay for the rent
of the house as well as to stay in Dhaka anymore. Yasin Ali replied why don’t you start a business for
your own bring some money from your village and start something. But Sohel’s family was not very
much financially solvent therefore it was not possible for him to bring any capital for doing business
in Dhaka city. Mr. Yasin Ali is working in a NGO who provides loan to small entrepreneur. Beside
this Yasin ali had also interest to do something along with job. So, Yasin ali tactically put the idea of
business in Sohel’s mind. He offered his to take loan from his organization which would be security
free loan and Yasin ali will be grantor for the loan . For Yasin demanded 50% partnership but he will
not be actively involve in the day to day business operation as he was engaged in a job. Sohel accept
the proposal as he had to service in the Dhaka City. So, everything was set that they are going to start
business but it was not decided yet what to start with. One day Mr. Yasin proposed why don’t they

3. start a coffee shop the reason behind this Sohel was very famous in his mess for making different types
of drinks like cold coffee, hot coffee, lassi etc. Than both agreed that they will start a coffee sohp and
mini juice bar in Wari area which is one of the most happening place in Puran Dhaka. There was a
absulate advantage which was initially they will not need employees as sohel was good at it. It will
help them to save operating expense. So, it was the more or less background story of idea behind “HOT
& COLD”
Product & Service :
1. Hot Coffee
2. Cold Coffee
3. Tanduri Tea
4. Lassi
5. Different flavors Tea
6. Seasonal Fruits Juice
Sourcing Of Raw Materials:
Hot & Cold source all the ingredients for their drinks from all around the Puran Dhaka. They buy
coffee, sugar, milk powder, Condens milk, different types of spices from Molovi Bazar. They have
made a contract with farm which is located in Karanigonj who supply fresh milk and Doi for
making lussi. Seasonal fruits are bought from Badamtoli. Here, they are getting the cheapest for
all the as they are sourcing everything from wholesale market or direct supplier. Mr. Shole procure
everything by himself. Now, as they are buying bigger quantity he doesn’t need to go to the market
he just send his requirement and they shopkeeper in wholesale market send by his staff. Beside
this Mr. Sohel is getting credit facility for purchasing bulk quantity. This give him edge to expand
the size of business as well as product lines.
Research & Development( R&D ) :
Hot & Cold Started with only two different types of hot coffee and cold coffee. But once the ship
started to become popular among the customers they started to introduce new innovative products
like ginger tea, chile tea, multa tea, sweet lassi, sour lassi, Tanduri tea is their last edition which is
become a current trend in the society. Beside this by targeting the current summer season they
have launched Juice bar along with coffee shop. They always tries to understand customer demand
by discussing with customer’s preference.

4. Marketing Plan:
Targeted customer :
Initially their targeted customers were mostly students, office guys and local young people. But
now their customer rang expand with the increase of their popularity.
Product Pricing : They have priced their product very tactically so that everybody can afford their
products from students to top executives/ business man. Tea price starts from 10tk and maximum
price is 80tk ( malai tandoori tea ). Lassi normal 40tk, special lassi 50tk, Coffee 20tk – 80tk, fresh
juice 30tk – 100tk. As they are buying everything from direct source therefore they can offer such
competitive price with help them to become very popular within very short span of time.
Startup Marketing : when they started the shop they do postering in differet part of puran dhaka
and the most attractive part of that advertisement was they offed very small cup of coffee for
testing if customer like than they will order otherwise not. And, they recipe was made in such a
way so that customer will be bound to take for second cup. If customer test one sip of my drinks
they will be bound to buy full glass/cup challenged by Mr. Sohel one of the entrepreneur of HOT
& COLD.
Digital Marketing : They have opened their facebook page so that customer can easily find them
and share their opinion about their product and service. They have also landmarked themselves in
google man with the help of a customer.
Collaboration with online food ordering companies : In this digital era all the companies
are collaborating with different app based companies who deliver food to customers
doorsteps. Food panda approach them for the first time to collaborate with them
followed by pathao food and shohoz food. This collaboration really helps to reach
the unexplored customer groups specially women who normally don’t come to tea
stall or coffee shop just to have a cup of coffee.
Competitor Analysis : There are different popular shop like HOT & COLED around the city
like Beauty Lassi, Shahi Juice Bar, Kolkata Tanduri Chai but there is no one else in dhaka who
offer such verity at this price range. Even there are different restaurants in Wari which has lucrative
decoration but their price range is too high and there are many small tea stall around this area but
they could not beat the test of HOT & COLD and offer such varity. According to MR. Sohel &
Yasin soon they will be the number one brand in dhaka city.
Sl Strength Weekness Opportunity Threats
1 Competitive price Lack of Capital Expending new
market
New Market entry of
similar shop
2 Wide range of product Lack of management
skill
Expanding
product line

5. Operation Plan :
Processing of Drinks : while making drinks they always ensure fresh & pure ingredients so that
the orginity of the test does not change over time. Beside this they always look after about the
hygiene factor of the place of processing as well as their staff.
Production Capacity : At this moment there are eight staff who are contiously making different
types of drinks and serving customers
Raw Materials Inventory : To meet the unpredictable demand of customer they always keep
some safety stock of ingredients and raw materials. However, for paritiable items like fresh milk,
Doi, Fresh Fruits they try to procure on daily basis based on the availability of stock.
FinancialPlanning:
MR. Sohel was little bit reluctant to share financial information about his shop
however he gave me some idea about the financial
Number of Customer served per day : At least 500 customer per day maximum served
around 2000 during festival time
Sales Revenue : Around Tk. 20000 – Tk. 50000 depending on holidays, festivals
Profit Margin : 10%-20% based on the types of item
Staff Salary & Shop Rent : Around Tk. 200000 per month
Conclusion & Future Plan : Hot & COLD is going to shift a new outlet in the same area of Wari
but this place will have bigger place in the front side of the shop so that customer can park their
motor bikes and cars who come from long away to test their drinks. This time they are planning to
give both modern and vintage look to their shop there they have made an agreement with a old
building owner which will they redecorate. This time the inhouse capacity will be much bigger
coz now a days people from different part of the city are coming to their shop and they are really
struggling at this moment as the current shop is located at the main road Ranking Street Wari.
They have already repaid the previous loan that they took from local NGO where one of the partner
MR. Yasin Ali works. As more investment is required to execute the plan so they are going to
borrow around 20 lacs taka to fulfill all the requirement of the plan. Mr. Yasin ali has also decided
to quite the job and join the business as there is more potential opportunity than job. Both the
partners trust each other a lot therefore till today there was no issue between them and they hope
there will not be any issue in the days to come.