An amateur construct of a business plan

1. Business Plan
Pavitra T 17MB27
S Kiran Kumar 17MB35
L Gopalakrishnan 17MB13

2. Scope
● Executive Summary
● Trends
● Opportunities
● Go to Market
○ Our Service
○ Competitors
○ Pricing Strategy
○ Promotion Strategy
● Financial Plan
○ Revenue Plan
○ CAPEX
○ OPEX
○ NPV & IRR

3. Executive Summary
Organisation
3 Amateurs
LLP firm with 15 odd employees
Licensed Product
Private Company
Service
Virtual Reality Gaming Zone
3000 sq ft space
9 Virtual Games
Licensed from SMAASH
Market
7.4 billion $ to 45 billion $ in 5 yrs
CAGR in excess of 50% in India
Entertainment a major pie
Nascent stage in India
Financials
2.5 Cr Capex
Owner Eq at 1 Cr
Borrowings 1.75 Cr @ 18%
Break even within one year

4. Trends and Opportunities
● High Smartphone Penetration among Gen Z
and Millennials
● Increased interest in Gaming - Pub G, Clash
of Clans
● Excitement towards Virtual Reality and
Augmented Reality
● Increase in disposable income
● Gaining Popularity for Indoor Sports
● Society more open to technological changes
● High growth projection of VR Market - 7.4
billion $ to 45 billion $
● Entertainment tops in VR Market and is
expected to grow substantially
● High demand for VR amongst Millennials
especially in Metros - Delhi,Mumbai etc
● Negligible presence of VR in Coimbatore
● College going crowd in Avinashi road
● Millennials and Gen Z not targeted

5. Competitors
● Fun Unlimited - Prozone Mall
● Fun City Brooke Fields
● Fun Republic Mall
● Fun Station
● Game Wizards
● VR only gaming zone is first in
Coimbatore
No VR

6. Pricing Strategy
● VR Gaming zones accompanied by
food and beverages in metros
● Coimbatore is a conservative city
● No frills gaming zone planned
● Modest pricing proportional to fixed
costs
● Unit cost for 15 min VR experience

7. Promotion Strategy
● Marketing Budget - 18 Lakhs/ 1 year
● Sponsoring of Events
● Advertisements
● Social Media
● Website and App
● Gated Communities
● Trade Fairs at Codissa
● Schools and Colleges

8. Financial Plan
● Revenue Plan
○ A 15 min unit is taken as a measure
○ Jan, Apr, May, Sep and Dec are taken
as high revenue generating months
○ Revenue is anticipated to increase for
first three years and then fall for next
two
○ 40-70% foot falls considered.

9. Financial Plan
● Total CAPEX - 2.50 Cr
● CAPEX Heads
○ Land and Building
○ Equipment
○ Computers
○ Electrical Fittings
○ Furniture and Fixings
○ Telephone equipment
○ Vehicles
○ Registration

10. Financial Plan
● Total OPEX – 1.80 Cr
● OPEX Heads
○ Maintenance
○ Marketing
○ Admin Costs
○ Salaries
○ Current Liabilities
○ Interest Obligations

11. Financial Plan
● Discounted Cash flows
○ NPV - 1.5 Cr
○ IRR - 21%
○ ROI - 249%
● Salient Features
● Risk Premium @ 10%
● WACC - 14.2%