The document presents a business development plan for Sanskar Girls Hostel. The hostel aims to accommodate 41 female students and working women, providing lodging, food, and additional amenities. The 3-year financial forecast projects profitability, with return on equity reaching over 60% by year 5. The plan also includes sections on management, market analysis, financials, strategy, and controls. The conclusion is that if properly implemented, the hostel business appears viable and profitable.

1. Presenter:
A Business Development Plan on
“Sanskar Girls Hostel”

2. Contents
1. Introduction
2. Services and Production Plan
3. Management Summary
4. Market Analysis
5. Financial Plan
6. Strategy and Implementation
7. Controls
8. Summary and Conclusion

3. 1. Introduction
 Sanskar Girls Hostel
 Accommodate 41 females
 Students as well as working women
 Provide facilities of beauty parlour, internet service, library
along with lodging and fooding.
Vision
“To be the best girls hostel in terms of quality, service,
and reliability”

4. Mission
 Serve the students seeking for caring and pleasant
study environment
 Provide homely environment to the working
females
Objectives
 To be recognized as the trusted brand in terms of
service and quality
 To extend the service not only to students and working
females but also foreigners
 To open up the branches as various other areas of
Pokhara
 Also starting chain of hostel in different cities.

5. 2. Services and Production Plan
 Service Description:
 quality service at affordable price to the female
students as well as working women
 provide the room of different varieties which consists
of one sitter bed room, two sitter bedroom, three
sitter bedroom and four sitter bed room.
 Library , internet and beauty parlour facilities
Capacity Planning
 Capacity : 41 customer
 Employees : 9

6. Layout Planning
Fig: Ground Floor Fig: Second Floor

7. Layout Planning
Fig: Third Floor Fig: Fourth Floor

8. Inventory Planning
 Imperishable goods
 Gas Cylinders
Production Process Summary
 Provide food 4 times a day.
 Tea or Milk with biscuit in breakfast
 Veg and seasonal fruits in meal
 Different varieties of tiffin in a week
 Veg dinner with some egg/curd/sweets
 Non-veg dinner twice a week
 Laundry service twice a week

9. 3. Management Summary
 Personnel Plan
 Administrative and Service Manager
 Reception (1)
 Cook (1)
 Helper (2)
 Guard (1)
 Librarian (1)
 Nurse (1)
 Beautician (1)

10. Compensation Plan
 Salary of employees will be increased by 10% p.a
 Dashain and tihar bonus will be provided
 New clothes will be provided once a year
 Fooding is provided to the employees in the hostel
 Picnic program will be organized every year
 Employees can have 2 days paid leave per month

11. 4. Market Analysis
 Market Segmentation
 females
 students of +2 level and higher
 working women in nearby organizations
 Target Market Segment Strategy
 Market Needs
 Increase in number of females coming to Pokhara for further
studies
 Increase in number of national level organizations
 Market Trends
 Movement of students from their places to Pokhara for further
studies.
 Prefer hostel to live than in a flat/relatives

12. Service Business Analysis
 Main Competitors

13. No Yes
Yes
No
Yes
Yes
No
Customer
Entry
Dissemination of info
about services + Cost
Is Room
Available?
Is Customer
Convinced?
Visit Hostel Premises
Did customer
like Premises?
Hostel Charge
Customer takes hostel
facilityIs duration of
stay complete?
Exit
Inform Customer that
Room is Pack
Fig: Distributing a Service

14. Competitive Comparison

15. 5. Financial Plan
 Assumptions
 Salary and Rent is assumed to grow at 10% p.a with
the consideration of the inflation rate.
 The hostel building is a rented building with 5 years
of agreement on rent amount and annual growth in
rental amount.
 Tax rate is assumed to be 25%
 The reinvestment rate is assumed to be 10%
 Capital Structure
Equity Financing = 18,00,000
Debt Financing = 12,00,000
Total Capital Required = 30,00,000

16. Financial Forecast
Year Break Even
Point (%)
Expense
Forcast
Profit and Loss Projected Cash
Flow
1 93% 971200 -36,480 497,787
2 79% 1046975 192,112 439,313
3 67.8% 1110569 471,724 659,308
4 59% 1178625 752,253 775,132
5 52% 1272851 1,097,269 858,408

17. Business Ratios
Year Return on Equity Return on Asset Net Profit Margin
1 -0.0203 -0.0126 -0.01
2 0.10673 0.06381 0.04586
3 0.26207 0.13888 0.09814
4 0.41792 0.1861 0.13686
5 0.60959 0.21761 0.17151

18. 6. Strategy and Implementation
 SWOT Analysis
 Strength
 Location
 Services (Internet, Library, Beauty Parlour)
 Weaknesses
 Lack of experience
 Lack of proper financing
 Opportunities
 Increasing awareness of education
 Increasing number of female job holders
 Threats
 Change in government rules and regulations
 College hostels
 Colleges established in nearby towns

19. Macro Environment
 Political
 Political Stability
 High interest Rate
 Economical
 Increasing Remittance
 High inflation
 Social
 Changing living standard
 Changing beliefs
 Technological
 May not highly affect our company
 Legal
 Government rules of providing discount to women

20. Marketing Strategy
 Pricing Strategy
 Single Bed Room: Rs 15,000
 Double Bed Room: Rs 12,000
 Triple Bed Room: Rs 10,000
 Four Bed Room: Rs 8000
 Promotion Strategy
 Social Networking Site
 Word of Mouth
 Signage
 Magazines
 Pamphlets
 Budget : Rs 5,000 per month

21. 7. Control
 Feedback
 Implementation Programs
 Motivation
 Communication
 Participation
 Meetings
 Feedback
 Contingency Planning
 Guest House
 Home Stay

22. 8. Summary and Conclusion
 Accommodate 41 females
 Students as well as working staffs
 Provide lodging and fooding facility
 Other facilities: parlour, library, internet
 Future plan to include foreign employees
 From the analysis if the business is managed as
planned then the hostel business is a profitable
business.

23. Thank You!!