Sample Entrepreneurship Business plan for students

xxxx
BUSINESS PROFILE
Mission Statement:
Vision Statement:
Ownership:
 We are a group of five people and initially we will start our business in partnership and gradually
as our business grows we will make it a corporate. Partnerships have unlimited liabilities and less
tax benefits but for a startup like ours, partnership model is easy for getting things started
 We will register our business in xxx under partnership model. Fortunately, we get a lot of help
from Centre of entrepreneurship and Communitech and can get legal assistance from there.
Hopefully, we will make it a corporate in xxx
Date of Registration/Incorporation:
 xxx
Business registration or incorporation number:
 NA
Description of Location and the Facilities:
 Office location
Initially, we are planning to have a small office in Canada near Waterloo region, here our
marketing, product design and development team will work. Waterloo region has a lot of technical
companies and hopefully in future this region will be the next Silicon Valley and therefore it is
advantageous for us to set up our office in such area.
 Facilities and advantage of being in waterloo region (Below information are gathered from
http://www.regionofwaterloo.ca/en/doingbusiness/doingbusiness.asp)
1. In touch with many of the largest North Americans markets with 158 million people within a
1,200-kilometres radius.
2. Within a three-hour drive we have access to six US border crossings, two major shipping ports
and six international airports including the Region of Waterloo International Airport and
Canada's largest airport, Pearson international.
3. Easy access to Highway 401, two main freight rail lines and daily GO and VIA passenger train
service makes travelling and transporting goods in and out of town easy and convenient.
4. The accelerator center and Communitech hub also two world-leading commercialization hubs
that make Waterloo Region a magnet for companies seeking talent and acquisitions.
 Office facility
In initial stage, our office will have few computers, Internet connection, Printer, Office phone, few
furniture, small cafeteria, basic electronic equipment, small inventory of components, ESD
(Electrostatic discharge) protected workstation, and EDA (Electronic Design Automation) tools for
design and development of product. Initially we will manufacture our product by local
manufacturing vendors of waterloo region, later for bulk quantity we will partner with any EMS
(Electronics Manufacturing Suppliers) company, they will be our manufacturing partner. We can
partner with any EMS company in Shenzhen (China), Shenzhen possibly the world’s most
prominent manufacturing city.

xxxx
Hours of Operation:
Until we have fully developed, a product ready for market we will work 20 hours mostly on
weekend a week. We need to manage college studies and after that job too, once we will start
getting enough revenue, after that we will start working full time 40 hours a week for the
company. We have two teams; one is technical and the other one handles the business
development and marketing. We schedule 3 to 4 meetings weekly and in the first meeting of the
week we set our weekly targets and then in the last meeting of the week we discuss our progress.
Our technical team is working on the product for 20 hours per week. They have set weekly and
monthly targets. We have a deadline of developing our product till August 2016. Our business
team is working on how to set up the business legally. Our business team goes weekly to
Communitech for 2 hours for attending Business fundamentals seminars from experts.
Financial Year End for the Company:
 Our financial year end will be 31 December.
Strategic Alliances:
In future we will have following strategic alliances
1. Manufacturing partner
We will need a manufacturing partner who will be responsible for product manufacturing,
testing and quality of product. This is what all startup tech companies do, we cannot afford
manufacturing infrastructures. We can partner with companies in Shenzhen (China) or
Bangalore (India) anywhere in the world that can fulfill our expectations and good for
business.
2. Inventory procurement partner
We will need reliable inventory procurement partner, who will procure all the electronics
components required at production site and to design and development team.
3. Technology partner
We can partner with NXP for microprocessors solutions, Telit for wireless solutions etc. We
will have to agree that we will use their microprocessors or wireless devices exclusively for
lifetime in our product; in return we will get those components at lesser price than from any
distributers and other benefits too.
As per business requirement we will go with others such strategic alliances in future.
Short-term objectives and strategies:
Objectives for May 2016 to May 2017
1. Survey regarding product market validation, we will do online as well as face to face direct
survey.
2. Preparing required documents for effective representation of product idea, so that we can
clearly explain what we are working on, what is our product is all about, those documents are
I. Posters representing our device and its features
II. PPT presentation

xxxx
III. MVP (minimum viable product) Video
3. We will make elevator pitch and learn effective way to represent it
We will attend 12 pitches, on an average one pitch a month. After every pitch we will learn
and improve our pitch.
4. We will attend 36 networking events, on an average 3 events every month.
Where we would mix with like-minded people, those networking events will help us in
following way
I. We will be aware of what is going on in our community
II. We can find people for our advisory board
III. Student for volunteer or coop
IV. People who can be a part of our test group for alpha and beta test
V. Investors or to the people who can link us to potential investors
5. We will register our company
Around Oct, 2016 we will register our company, logo trademarks and product name
trademarks.
6. Creating website, website will help us to reach to our customer and customers to us.
7. To reach medical ecosystem and customer, we will make our presence on social sites also.
8. We will develop our first prototype product
I. Schematic design
II. PCB layout design
III. Manufacturing of PCB
IV. Mounting of component on PCB board
V. Testing of prototype device
9. We will create all the legal documentations like
I. Team agreements
II. Trading documents
III. Product certification and compliances
IV. Agreement paper between customer and company
10. After we will have product and all initial basic things for representing our company ready, we
will start meeting investors, we will try to meet at least 2 investors.
Long-term goals:
These are the goal that we want to be achieved after the end of 5 year i.e. May 2021. We are
trying to be realistic and not over ambitious. Here is our long term goal;
1. Revenue/sales and investment goal
I. Investments
We will have to arrange at least $50K investments. We surely need much more money
but this is a minimum amount for the survival of our business.
II. Sales of product
We will have to sale at least 200 devices to reach break-even point.
III. Revenue

xxxx
We expect our revenue to be $120K by the end of year 2021.
2. Company Infrastructure/Assets goal
I. Office space
We would have a decent office space with small R & D lab, Test lab, Quality control
lab, Cabins for marketing and business development people.
II. Warehouse
We will need warehouse to keep products temporarily.
III. Inventory
Our main inventory will be at manufacturing partner, but still we will keep small
inventory for R & D and test purposes.
IV. Employee
We will have total 15-20 employee including marketing people and engineers.
V. Office vehicles
VI. Liability insurance and all other required insurance
3. Customer service goal
I. 24 Hour customers support through phone, online chat, mail etc.
II. A very small automatic booth in retail stores like BestBuy, Walmart where people can
buy our product and if they encountered any technical issue with our product they
can return that within 3 months from the day device is purchased at this booth.
III. They can also get demo of the product at these booths.
4. Product development
Product development is a continuous process, it’s not like once we will have our product ready
we will stop working on product development, we will be working on next version of product.
Our goal is to work on 2nd
version of product by the end of 2021.
5. Community outreach and advertisement goal
I. We will try to attend as much as events possible to reach our customers, initially this
number of events will be less but once we will crack break-even, we will increase this
number.
II. We will advertise through YouTube, we will create a professional video illustrating
how our product changing life of our customers. Our goal will be to get 1 million
views.
III. Through social sites like Facebook we will try to aware people about our product and
how this product can help them and their loved one’s life.
IV. Through web media like Tech Crunch
6. Manufacturing partner
By Jan, 2019 we will be in need of a manufacturing partner, manufacturing companies from
China or India will be our partner.
7. Technology partner
We will partner with companies like NXP, TI, and Telit to get components at fewer prices.

xxxx
PRODUCTS AND/OR SERVICES
Description of Products/Services:
 Our bodies have always had something to say but now, with advanced sensors, algorithms and
software, we will finally be able to tune into what the body is telling us. Some of medical devices
that are being used for personal healthcare are Glucose meter, oximeter, Blood pressure
measuring device, ECG, each of them serve a specific purpose, purpose for which they are created
like glucose meter measures sugar level in body, oximeter or SPO2 measures oxygen
concentration in body, blood pressure measuring device measures blood pressure.
 It is now a time to go beyond this, it is because a disease never affect our body all alone, suppose
diabetes its co-morbid (simultaneous) diseases are Hypoglycemia, Hypertension, Heart Attack,
Stroke, Kidney Disease etc. to keep eye on all these diseases it is important to measure other body
parameters too like blood pressure, oxygen concentration in blood etc.
 There is no such device in market that come with all together, glucose meter, oximeter, blood
pressure measuring device, ECG all in one. We are bringing these all medical devices together as
one product.
 The data collected from the device will help users to detect, prevent and manage diseases in early
stage, with seamless connectivity we will store all data over the cloud, which could be accessed
by family members and doctor of patients, so no need to spend much time in hospitals. We are
trying to put individuals in the driver's seat in understanding their own health and wellness.
Key Features and Benefits of Products/Services:
Some features of our device is mentioned below, I mentioned how that feature will benefit our
customer too.
1. Glucose meter
According to Public Health Agency of Canada 3.4 million people were having diabetes in 2015
and it will reach 5 million by 2025. We added this feature it’s because numbers of diabetes
patients are increasing and not only who is suffering from diabetes but also normal people
should keep eye on his sugar level and control it.
2. Oximeter/SPO2
Oximeter/SPO2 measures oxygen saturation in blood. Nowadays people are living inside
buildings for long time and do not get enough oxygen, because of inefficient oxygen people
get headache, dizziness etc. People should keep eye on everyday oxygen saturation in blood.
Oximeter also helps us to measure heartbeat, not proper heartbeat can result into asthma.
Keeping this requirement we added these feature in our device.
3. Blood pressure measuring device

xxxx
Blood pressure measurement helps to control hypertension and strokes.
4. ECG
ECG helps in detecting heart problems, by data acquired through ECG will help patients in
predicting heart strokes. ECG results can be shared with the doctor easily without visiting
hospital or clinic.
5. UV detection
Ultraviolet radiation from sun can cause skin cancer and other skin problems. Before going
outside user can get reading of ultraviolet concentration in sunlight and can take effective
measures like using sun’s cream, proper clothing etc.
6. Thermometer
Change in body temperature is symptoms of many diseases; user can take body temperature
and send to his doctor
7. Digital stethoscope
Digital stethoscope helps in listening internal sound of body. With our device now no need to
go to doctor you can record the sound received by stethoscope and share with doctor.
8. Touch screen
Our device health pad will look like Ipad, touchscreen interface will ease user in using app and
web surfing.
9. Video conferencing
With Camera on health pad user can interact with their doctor through video call.
10. WiFi connectivity
Wifi connectivity will give user freedom of internet and seamless connectivity to cloud for
sensors results storage.
11. 4G LTE connectivity
4G LTE connectivity will give user freedom of internet on the way, whether you are going for
mountain trekking or anywhere until you have mobile network you will be connected to your
doctor.
12. Bluetooth
Bluetooth feature will enable our device to connect with other Bluetooth enabled devices.
13. ANT +
ANT + is very popular medical device connectivity protocol, many medical devices come with
ANT+ enabled.
14. Data storage on device
Results/Tests acquired by sensors can be stored in on device memory storage.
15. Data storage over cloud
Data will also be stored over the cloud so that those data can access from anywhere through
internet.
16. Mobile APP
We will provide an app where user can see all his health related data.
17. Web portal
We will also provide web portal or dash board where user can see his health progress and he
can involve his doctor also.

xxxx
Pricing:
For showing calculation of pricing I am only considering integrated circuits (ICs) cost, since in any
electronics device ICs cost 90%, rest discrete components like capacitors, resistors, diodes etc. I am not
considering.
Component Part Number Manufacturer Price
Processor MCIMX6Q7CVT08AC Freescale/NXP $ 73.18870
DDR3 RAM MT41J128M16JT-
125:K TR
Micron Technology $ 4.5
HDMI
protection
CM2020-01TR ON semiconductor $ 0.8
Wi-Fi +
Bluetooth
450-0064 LSR $ 41.51
4G + GPS +
QUAD
HE910 Telit $ 78
LCD touch
screen
NC01111-T081 Fujitsu $ 58
Total ICs price: $ 255
Other discrete component and will cost approx. $150
Total product BoM cost: $405
Selling Price: $550
Here below I am comparing our product with other existing products pricing:
Product Pricing
2 net hub $293.95
Blood pressure monitor $166
Glucometer $229
Pulse oximeter $359
Weight scale $200
Total $1,247.95
Shipping $100
Conn-care $505
Shipping $20

xxxx
Packaging:
 Packaging is very important for image of company. Our product box will include five sensors, mother
board that will connect all sensors, information booklet and power cord. We will use environment
friendly boxes that can be recycled. Packet will have our logo, company name and it will be in very
attractive color.
 Information booklet will include how to assemble sensors and how to calibrate and use the device. It
will include all the guidelines about product and will be in two languages English and French. We will
keep design and color of box simple and attractive. We will package our device in such a way that its
unboxing will be user friendly
Production and Development of Products/Services:
Steps involving in production of product
Pre-market activities
1. Planning for product
 Identify customer needs and understand the competitor’s product, with the help of that we can
have surety that the end product will meet customer’s needs.
 Design and development planning, designing high level diagram, it includes block diagram of all
features which are considered for the product.
2. Design Input
 By surveying customers about our idea we add design modifications according to their feedback.
 Add more design parameters according to FCC, FDA compliance documents
3. Design Output
According to design input we will initiate following design processes as design output
 Design circuit schematic, for that we will use ALTIUM eda software.
 PCB(Printed Circuit Board) layout design
 Generating all manufacturing file like Gerber file, BoM (Bill Of Material)
4. Design Review
 If we will identified any deficiencies during design in design and development phases by reviewing
our design we will detect and correct it.
 Design will review by personal who involve in related design stage as well as a person who don’t
have direct responsibilities of design stage.
5. Prototype manufacturing
 We will send our design output documents to EMS (electronics manufacturing supply) vendors
for manufacturing of 5 prototype boards.
6. Test Protocol and changes
 Design Verification
We will perform various tests on our prototype board like sanity, electrical, functional etc. to
verify correctness of the design.

xxxx
 Design Validation
Design validation team will validate the test outputs and recommend changes to design team.
 Design Changes
Schematic will be redesign according to recommendations provided by validation team. After
redesign we will send design for production again.
Post-market activities
1. Devices will be distributed to a test groups, they will use our product and give us feedback regarding
device performance.
2. Getting feedback from customers, analyzing those feedback and if needed bring changes according to
those feedback in next version.
Distribution of Products/Services:
After development of the product the first step towards market is distribution of product
1. Through E-commerce site (Online Ordering) like
I. Amazon.com
II. Ebay.com
III. Bestbuy.com
2. Ordering through our website
3. Through agent and Distributor like
I. Ihealth
II. Ecentra
4. We will advertise and promote our product through participating in various medical expo and
events.
5. We will be on social media, by advertisement through different media customers can easily find
product and can order it through our website online.
6. Our customer can buy our product through our website or any other sales and product
distribution partner. After getting order we will dispatch the product through our courier partner
with mail confirmation of product delivery and tracking information.
Purchase Process and Buying Criteria:
1. Awareness and interest of customers
Customers are also just becoming fully aware of the problem they have that needs addressing and
finding their interest in our product by taking feedback from customers.
We will grab a potential Prospect's attention by addressing the problem of our customers and
bring them into a state where they can move forward and build their interest in our product.
2. Legal purchased order form
It is a contract between the buyer and seller to control purchasing of product and services provide
by our company and external suppliers.
3. Authorization to make medical product purchase

xxxx
Authorization is required before purchasing product to give assurance of reliability of supply,
service and warranty of product.
When customers buy from an authorized dealer they have surety of getting the real deal and
definitive Technology product.
4. List of customers and list of approved suppliers
We will create a list of customers who required our product and as per their location detail and
requirements we will select suppliers to reach our customers.
5. Procedure for obtaining competitive bids from suppliers
A competitive bid process is mostly used in the procurement of product and services. In this
process we submit a sealed envelope detailing the price and an offer.
The recipient of the offer then selects the competitive bidder that has delivered the lowest price
or best terms.
6. Tracking of purchased order
Once purchased done by the customer we will provide tracking information using that customer
can track product continuously. It will help us to prove that we are providing reliable supply and
services.
7. Confirmation and feedback process of order and product
We will make sure that order is delivered or not by confirmation and find feedback of our product
and services to ensure if we need to make changes or not to make it more reliable.
Criteria used by the customer/client to justify the purchase
Our product will be buying by organization and individual.
For organization:
 Organization will get request from their respective department who need our product. Organization
will ask for tenders to the company who sell such products. Now, companies having an interest of
selling product to respective organization will prepare tenders for them. Then organization will have
look at the tenders and they will decide the most appropriate tender for them. After that they will
place the order to respective company and decide terms and condition. Then product will be shipped
to respective organization.
For individual:
 There are various ways in which individuals can buy product from us, we will have small office in
waterloo where customers can see demo of our product and we will take order face to face from
there.
 We will have our stalls in various technical events. So, we can take order from there. We will also sell
our product online by advertising it through various ecommerce website as well as we will have our
product website where customer can place order. Once customer placed the order they will get
product within mention days.

xxxx
Customers look at different criteria and facility for buying products like
 Cost and time:
Normally a customer has to go through various individual tests while visiting hospitals and clinics,
which increases cost and time. Our Product addresses this issue and provides integrated solution to
this by providing a device which integrates the entire test into one device.
 Service at door:
This product can be bought by individuals and can be used at home. Customers can avoid taking
appointments of doctors and can test all the parameters easily at their home.
 Reliability:
Our product will be reliable as it has various certifications and it has gone through various tests.
 Customer reports:
As our product will be use by individual, hospital and clinics. Feedback from individual as well as
hospitals will encourage more people to buy product.
Inventory Control:
 Initially we will manufacture products locally from waterloo region, once we will start getting big
order then we will look for manufacturing partner in India or China.
 We are manufacturing our product in India or china, as per the expected sale we will get product
manufactured from our manufacturing partner and shipped to us in Canada.
 We don’t need to worry more about warehouse since our product size is very small so we can
keep them in any small storage room in office with proper care and insurance.
Competitive Edge:
 If you are different from existing trying to bring something unique then customer will choose
you. So, we are working on how to make our “WHY” strong.
 Body Temperature, NIBP, Blood Sugar Level, SPO2, ECG are five basic parameters which are mainly
considered to decide the wellness of a human being. In the present medical system to monitor all
these parameters there are separate devices available in market but not a single device, thus
patients have to dependent on hospitals for getting these test done or they need to buy all
separately.
 Separate devices for different parameters making cost of product high. Along with this there is no
continuous monitoring of these parameters on a daily basis to diagnose the patient for rapid
recovery. So, commuting to hospitals on a daily basis for the same is again a pain.
 Our aim is to reduce the consequences of above mentioned problems and provide best medical
product. We will design and develop a system to bring all the parameters together in a single
device ConnCare. This solves our first problem of patients going to different counters for different

xxxx
tests which means use of time in effective manner. Secondly as all parameters are in a single
device cost will reduce.
 IOT (Internet of Things) in our system will enable the Doctor, Patient to stay connected. To make
product for an individual user we will design it in an efficient way which will make it easy to use
without any involvement of expertise.
Suppliers:
List of suppliers are
1. Digi key
Buying Materials: Electronics component
Name of company: Digi-Key
Address: 701 Brooks Avenue South
Thief River Falls, MN 56701 USA
Phone: 1-800-344-4539 or 218-681-6674
Fax: 218-681-3380
Website: http://www.digikey.ca/
Email: sales@digikey.com
Payment/Credit terms: online payment through Digi Key website
Delivery time: 15 days maximum
Delivery charges: $20
Warranty policy: Warranty depends on product and implemented by
manufacturer, Digi Key is a distributor only.
2. Mouser Electronics
Name of company: Mouser Electronics
Address: Mouser Electronics
1000 North Main Street
Mansfield, TX 76063, USA
Phone: (800) 346-6873
Fax: +1(817) 804-3898
Website: ca.mouser.com
Payment/Credit terms: online payment through mouser website
manufacturer, mouser is a distributor only.
3. Arrow Electronics
Name of company: Arrow Electronics, Inc.
Address: Arrow Electronics, Inc.
171 Superior Blvd

xxxx
Mississauga, ON L5T 2L1
Canada
Email: websupport@arrow.com
Website: https://www.arrow.com/en
Payment/Credit terms: online payment through arrow website
manufacturer, arrow is a distributor only.
4. Avnetexpress
Name of company: Avnet Express
Address: Avnet Express
Toronto, Ontario
6950 Creditview Rd. Unit 2
Mississauga, Ontario, L5N 0A6
905-812-4400
Website: http://avnetexpress.avnet.com/
Payment/Credit terms: online payment through Avnetexpress website
manufacturer, Avnetexpress is a distributor only.

xxxx
MARKET ASSESSMENT
Industry Overview:
Canada's medical device sector is a highly diversified and export-oriented industry that manufactures
equipment and supplies. Purchasers include Canadian and international hospitals, physician's offices,
laboratories, clinics as well as patients (through direct purchases).
We are working under medical device industry of Canada. Our industry is healthy, growing and stable.
Canada had an estimated $6.4 billion (2012) medical device market accounting for about 2 percent of the
global market.
The following were key expenditure areas, as a percentage of total 2012 medical device sales in Canada:
 Diagnostic apparatus (25.8%)
 Consumables (15.3%)
 Patient aids (12.3%)
 Orthopedic and prosthetic (11.9%)
 Dental products (6.9%)
 And, Other (27.8%) (including wheelchairs, ophthalmic instruments, anesthesia apparatus,
dialysis apparatus, blood pressure monitors, endoscopy apparatus, hospital furniture, other)
Approximately 80 percent of the market is supplied by imported medical devices
Note: Above data is collected from https://www.ic.gc.ca/eic/site/lsg-pdsv.nsf/eng/h_hn01736.html,
this is the most recent reliable data I have found. Our product is in others category. I am not able to find
expenditure of individual device like glucose meter, blood pressure etc.
Description of Key Competitors:
Our key competitors are;
1. Creative Medical International (CMI)
Company: Creative Medical International (CMI)
Company Profile: CMI Health is dedicated to providing innovation in patient
monitoring and have developed, manufactured and marketed
Oximeters, Vital Sign Monitors and Patient Monitors.
Product: PC-203 all in – one Health monitor International (CMI)
Picture of product:

xxxx
Website: http://www.cmihealth.com/
2. AZOI
Company name: AZOI
Company Profile: Azoi is a startup company, developed personal health tracker
in the form of mobile case cover that can be used with
IPhone.
Product: Kito+
Product Picture:
Website: https://azoi.com/
3. VOYAD
Company Name: VOYAD TECHNOLOGY Co.
Company Profile: A high-tech enterprise which integrated wearable products
R&D, manufacturing and marketing, wearable products
includes smart watch, 3d product etc.
Product Name: VY-HM-6 Health Detector

xxxx
Product picture:
Website: http://voyad.com/
4. Connect Health Solution
Company Name: Connect Health Solution
Company Profile: Connect Health Solution is a china based company
involved in connected medical product development.
Product Name:
Product Picture:
Website:
5. MODZ
Company Name: MODZ
Company Profile: MODZ is a motivational diabetes management system
that consists of MODZ blood glucose meter, MODZ
measuring sticks and information management.
Product Name: MODZ
Product Picture:

xxxx
Website: http://www.gomodz.com/?lang=en
6. Withings
Company Name: Withings
Company Profile: Withings is a USA based company deals in smart medical
devices.
Product Name: Wireless Blood Pressure Monitor
Product Picture:
Website: http://www.withings.com/us/en/

xxxx
Competitive Analysis:
1 Creative Medical International (CMI) SWOT anlysis
Strength
 The company was founded in
January 2000.
 Quality management system
according to ISO 9001 & ISO
13485 standards.
 Most of its products have been
CE marked and some products
have been approved by FDA
510(K) Premarket Notification.
Weakness
 Their product is not of medical
accuracy.
 They are not connecting patients
with doctors.
 They are selling their product
only through their website, they
are not selling in retail stores.
We will sell our product at retail
shops too.
Opportunity
 Since they are part of our
medical electronics
partnership, we can
partnership with them to
organize events and other
marketing activities together.
 People are busy in their daily
life, they least care about their
health until they fall sick. We
together can aware and make
people health conscious
through our digital health
awareness campaigns.
Threat
 Their product is 70% similar to
ours so they are our direct
competitor.
 They have in market from long
time and have loyal customers
as well as relationship with
businesses that regularly buy
from them.
2 VOYAD SWOT analysis
Strength
 Voyad Technology Co. Ltd,
founded in 2007.
 VOYAD keeps taking 15% of
profit on new products
developing annually.
 VOYAD is built with over 1000
well-trained staff and more than
60 engineers.
Weakness
 VOYAD device work on
impedance measuring
principle by sending electrical
circuit through body and
creating close loop.
 Above principle is not
medically accepted
 This device can be used for
only personal health
monitoring, data can’t be
shared with doctor.

xxxx
Opportunities
medical electronics partnership,
we can partnership with them to
 People are busy in their daily life,
they least care about their health
until they fall sick. We together
can aware and make people
health conscious through our
digital health awareness
campaigns.
Threat
 VOYAD is a well-established
company in medical company
and they could knock us off
the market.
 Price erosion, we will have to
compete them in pricing and
always keeping our product
less than them.
3 MODZ SWOT analysis
Strength
 The company was established
in 2009.
 Produces CE-marked products
and ISO 13485 and 14791
quality system-compliant
operating methods.
Weakness
 This device can measure only
blood sugar, not like our
device that can measure
multiple parameters.
 Data cannot be shared with
the doctors.
Opportunities
medical electronics partnership,
we can partnership with them to
 People are busy in their daily life,
they least care about their health
until they fall sick. We together
can aware and make people
health conscious through our
digital health awareness
campaigns.
Threat
 Modz’s product is not similar
to us but still we are in indirect
competition with them.
 They could run rival campaign
against us emphasizing to use
their product only.
 They could launch product
similar to ours.
4 Our company SWOT analysis
Strength
 Product Uniqueness: Some
features like connecting
Weakness
 Lack of funding: R&D of
medical products cost a lot,

xxxx
patients to doctors makes our
product unique from
competitor.
 Strong technical team:
Company co-owners are from
technical background, this will
save product development
cost.
 Location: Local resources like
university, college, many
startups and big companies
could support us in many way
certification like CE, FDA
increases the cost, we don’t
have sufficient fund for that.
 Lack of strategic alliances: We
are new in this business, we
don’t have any strategic
alliances.
 Lack of team with diverse
skills: We all are from
technical background, we lack
marketing and sales skills.
Opportunities
 Growing market: Due to latest
advancement in IOT and bio
sensors, medical electronic
industry is revolutionizing and
growing faster.
 Untapped market: Due to
uniqueness of our product
 Government supports:
Government is fighting for
chronical diseases and
supporting and promoting
private companies and
organizations to join the fight.
Threat
 Competition
We are competing with many
big and small companies
directly or indirectly.
 Certification requirements:
Medical devices required lots
of certification, without those
certification we cannot sell
our product in Canada. Device
certification adds huge cost on
device development.
 Price Erosion
We always have to compete
with our competitors in
pricing.
Target Market:
Our target markets are
1. Direct customer having diabetes, hypertension, strokes problem
One device can be used by whole family, if any member of family is feeling sick at in time,
you don’t need to rush hospital immediately unless it’s emergency situation. You can
contact your doctor and send real time health data like temperature, blood pressure,
heart signal through ECG and take advice from doctor.
2. Old Age Homes
The 2011 Census of Population counted nearly 5 million (4,945,000) seniors aged 65 and
over in Canada. Of these individuals, 7.9% lived in collective dwellings, such as residences
for senior citizens or health care and related facilities NGOs

xxxx
(https://www12.statcan.gc.ca). If we focus these old age homes, we can reach a big
portion of potential customer.
3. Health Recreations club
People going fitness club, health recreation clubs are health conscious people, if we will
be able to sell our product to these clubs, we will be able to attract their customers too.
Health Club Number of location
Equinox 73
Life Time Fitness 113
Cambridge Group of Clubs 3
GoodLife Fitness 234
Steve Nash Fitness World and Sports Club 19
Curves International 2,500
Anytime Fitness 2,098
LA Fitness 600
Fit4Less by GoodLife 57
Planet Fitness 850
Total number of club 6547
Total number of fitness club in only Canada is 6547.
4. NGOs who work during natural disaster
There are at least 55,000 registered organizations in Canada (72,000 if all registered charities
including individual churches and the fundraising arms of hospitals and universities are added),
and well over 5 million Canadians participate in these organizations in some way. NGOs who
involved in healthcare, natural disaster management will buy our device.
5. People who like adventure sports like trekking, mountain climbing
When you go on adventure trip if you have our device you will be connected to your doctor. If
anything happens during that trip you can take immediate accurate advice and tips based on real
time health data from doctor.
Size of Market:
 We are working in health care industry of Canada. As per the annual report total health
expenditure in Canada is projected to be $219.1 billion in 2015, a 1.6% increase from 2014.Total
health care spending per Canadian is expected to be $6,105 in 2015.
 1.6 million Canadians have heart disease or are living with the effects of a stroke.
 1.3 million Canadians reported having heart disease diagnosed by a health professional
- 5% ages 12+ years and 23% of Canadians age 75 years and older.
 About 300,000 Canadians reported living with the effects of a stroke
- 1% of Canadians ages 12+ years and 7% of Canadians age 75 and older.
 In 2009-10, more than 1.8 million Canadians were living with active asthma in 2014 about
1,041,211 male and 1,407,606 female having asthma.
So regular test of body is necessary our product will help them in their regular body test like
pressure, ECG.
 Now, talking about diabetes in Canada Estimated diabetes prevalence 5 million

xxxx
 Estimated pre-diabetes prevalence in Canada (n/%) (age20+) 5.7 million/22.1% 6.4 million/23.2%
Market Share:
Medical electronics industry is growing rapidly and replacing conventional way of curing patients.
Innovations in IoT and bio sensors helping patients in getting connected with healthcare provider from
their home and managing their health themselves. Medical electronics industry is sharing a vast portion
of global and Canadian market.
Global medical device sector
In 2011, the key business segments of the global medical device market were consumables (15%),
diagnostic apparatus (e.g., MRI and CT-scan) (27%), patient aids such as hearing aids and pacemakers
(12%), orthopedic products (11%), dental products (7%), and other medical equipment (28%). We
share 28% of medical industry market with our direct competitors like Creative Medical International
(CMI), AZOI, VOYAD etc. and indirect competitors like Connect Health Solution, Modz, Withings etc.
Canadian medical device sector
Canada has an estimated $6.4 billion (2012) medical device market accounting for about 2 percent of
the global market. In Canada there is no company in direct competition with us.
Key Trends in the Industry:
 Quality healthcare allows individuals to enjoy their quality of life and medical devices innovations
helping Canadian to have quality life. Government, enterprise, individual all together are working to
bring new innovations in medical device industry, the positive efforts from government impacting
exponential growth in medical industry.
 Providing better healthcare is nowadays political agenda for the governments, this political attitude
increasing medical device industry.
 Medical device industry growth changes demographically and geographically, in developed G8
countries medical device industry is increasing because of large senior population. Canada is one of
them, whose government is committed to fulfill need of better healthcare, this commitment is a
strong reason of medical device industry growth.
 In 2015, total health expenditure in Canada reached $219.1 billion, or $6,105 per person. Overall
health spending represented 10.9% of Canada’s gross domestic product (GDP).

xxxx
MARKETING STRATEGY
Opening in sales situation
One year opening sales 2017-2018, by the end of 2018 we will sell 200 devices generating $110,000
revenue.
We against our competitor
Our product uniqueness makes us different from others, we are not in direct competition with one
company (so far our research shows one company making 70% similar kind of product), but we are in
indirect competition with many companies. Our product and services have capability to stands in
competition with any company’s product, in some features and service wise it is better than other
company’s product.
Strategies to draw attention of customers to our business:
To draw attention of consumer to our business, we will use all possible means whether its e-commerce
site, social site, events, expo etc.
Some of strategies are:
1. We will give pilot people/test people for 3 month to use
2. We will present our device in medical expos and events, during expo and events we will let people
to use our product free. If they will like it, they might think to buy it.
3. We will give demos in medical and nursing colleges. We will help them to realize how it would be
easy for them to monitor their life with our product and solutions.
List of objections we might encounter and counter answer for those questions
1. Why should I buy your product?
Our product is complete health parameter test solution for you and your family. It is able to catch vital
parameter of your body. With the help of our device you can monitor your health, you can keep eye on
what’s going on with your body. Most of the people don’t know that they are suffering from diabetes,
hypertension or any disease unless these diseases start affecting their body badly, after that it becomes
difficult to manage those diseases. So, why to wait if you can keep eye with even small changes in your
body with our device.
2. What are the features of your product?
Feature of our product are
I. Glucose meter
II. Oximeter
III. Blood pressure
IV. ECG
V. Body temperature
3. Data/results acquired by your sensors match clinical accuracy?

xxxx
Yes, our device provides clinical accuracy data.
4. Why you are combining glucose meter and blood pressure?
A person who is having diabetes problem initially he has only diabetes problem but later he faces
other problems related to heart, kidney etc. So he will have to buy other devices too in future like
blood pressure measuring device etc. So why not buy a device all in one that is capable of reading all
vital body data.
5. How you justify your pricing? If I buy a glucose meter or any other device individually and your
device, how much price difference will be?
Here, this table will tell you how our product is different in pricing point of view. If you buy 2Net hub
(It’s a device that only sends data from your device to cloud, those data can be accessed by a doctor
and family member) only it will cost you $293.95, glucose meter $166, other devices will also cost you.
So why to buy these individually, now our device has all features in one.
Feature Product Pricing
Connect to your doctor and family
member 2 net hub $293.95
To measure blood pressure Blood pressure monitor $166
To check sugar level in your blood Glucometer $229
To measure oxygen concentration
in body Pulse oximeter $359
To measure heart signal and pulses ECG $200
Total $1,247.95
Shipping $100
All above feature in one Conn-care (IMPS) $550
Shipping $20
6. How I will see my health data?
You can see all your current real time and previous history of data on your mobile app or web portal.
Our app and web portal is very interactive, algorithm behind will do all thing and give you result in
graphical form and also suggestions, advice.
7. How my doctor will be connected to me?

xxxx
We will be storing all your data over cloud securely, your family doctor can login to web portal and
can see all your health related data.
Customer service policies
We will give 1 year warranty with the hardware product, and lots of services like;
1. Guideline and manual how to use our device in the form of videos and documents.
2. We will give telephonic any kind of assistance like how to use device, how to resolve any technical
issues, how to analyze data, how to predict their health status etc.
Regulatory Issues:
 As we are developing a medical device we will need to secure licenses, we have to take care of
safety, quality, performance and effectiveness of our product.
 We have to issue licenses based on our product class. In Canada, devices are grouped into four
different classes.
Class I
Class II
Class III
Class IV
 Class of medical devices decides based on risk, the higher the risk of the medical device, the higher
the medical device classification. As the classification of devices goes higher we will require more
stringent data to demonstrate. If, we will fail to prove safety and performance then regulatory
will impact on product development.
 Based on the product class we required different licenses, if device of Class II, III and IV must
obtain a Medical Device License (MDL). Class I devices do not require a license, class I devices are
monitored through Establishment Licenses.
 We will also need to prove that you have a certified ISO 13485:2003 quality management system
that also meets the specific requirements of the Canadian Medical Devices Regulations (CMDR).
 For detail information The Therapeutic Products Directorate (TPD) applies the Medical Devices
Regulations under the authority of the Food and Drugs Act to ensure that the medical devices
offered for sale in Canada are safe, effective and of high quality.
 The TPD also administers fee regulations for drugs and medical devices under the authority of the
Financial Administration Act.
 We have to follow some procedures to classify medical product in Canada. Devices are classified
based on health Canada’s risk based system. Medical devices are classified based on following
I. Using a set of 16 rules found in Schedule 1, Part 1 of the Canadian Medical Devices
Regulations (CMDR) SOR/98-282.
II. IVDs are also classified as Class I, II, III and IV using a set of 9 rules can be found in Schedule
1, Part 2 of the Canadian Medical Devices Regulations (CMDR) SOR/98-282.

xxxx
 In Canada, Health Canada reviews medical devices to assess their safety, effectiveness and quality
before being authorized for sale in Canada. So first we have to prove our product safety and
performance to health Canada and issues all the require certificates.
 So, mainly our product is depended on review of health Canada if any changes occur in
government regulatory it will impact on the approval of product. Some factor may impact on our
business
I. Increase in certification for approval of medical devices
II. Changes of rules for medical product approval
III. Changes in medical environment
IV. Changes of rules for product selling
Taxation:
When any corporate runs in Ontario, that company is legally responsible for charging, collecting and
remitting the appropriate taxes. Our business type, location and legal structure will determine which taxes
will apply to our business, and what we will need to submit. Initially as per plan our business structure will
be partnership, later we will incorporate,
Before charging taxes we will have to get business number from Canada Revenue Agency, this business
number will be a single account number for dealing with the federal government regarding taxes, payroll,
import/export and other activities.
 Harmonized sales tax (HST)
We will register for HST (Harmonized sales tax) once our company revenue will exceed $30,000 in 12
months period.
 Income tax
Whether company is in loss or making profit, in any case we will have to fill the taxes. Good thing is
the loss of current year can be carried to next year tax filling schedule.
The corporation's tax year, also called its fiscal period, cannot be longer than 53 weeks (371 days).
A professional corporation that is a member of a partnership and carries on business in Canada has
to have a tax year ending December 31.
Example
A professional corporation was incorporated May 18, 2015. It has to have a tax year ending
on December 31. Its first tax year will be from May 18, 2015, to December 31, 2015. Its second
tax year will be from January 1, 2016 to December 31, 2016.
To file T2 incorporation tax return we need to fill a form that can be downloaded from below link;
http://www.cra-arc.gc.ca/E/pbg/tf/t2/t2-15e.pdf
This form serves as a federal, provincial, and territorial corporation income tax return, unless the
corporation is located in Quebec or Alberta. If the corporation is located in one of these provinces,
we have to file a separate provincial corporation return.

xxxx
We need to send one completed copy of this return, including schedules and the General Index of
Financial Information (GIFI), to our tax Centre or tax services office. We have to file the return within
six months after the end of the corporation's tax year (for Professional Corporation 31st
December).
To fill this form there is a guide that help us in filling that form. This guide refers page number and line
number (8 pages and 990 lines) of T2 form and tells us what to fill. Some general steps are;
I. Calculating taxable income
II. The basic rate of Part I tax is 38% of your taxable income, 28% after federal tax
abatement.
III. After the general tax reduction, the net tax rate is 15%.
IV. For Canadian-controlled private corporations claiming the small business deduction, the
net tax rate is 11%.
 Municipal Tax
Kitchener municipality sets tax rates that apply to our business too, including rates for commercial
property tax. Depending on location and the types of products or services we offer, different
municipal taxes could apply to our business. Kitchener property taxes - comprised of residential,
commercial, industrial and other tax classes. Final property-tax rates for billing purposes are set in
May of each year.
 Employer health tax (EHT)
If our business is permanently located in Ontario, we are required to pay EHT on payroll paid to
employee wages, unless our business is exempt. In general, the first $450,000 (as of January 1st 2014)
of our annual payroll may be exempt from EHT.
 The Ontario Health Premium
We need to deduct Ontario Health Premium from our employees’ pay if they make more than $20,000
a year in employment or pension income. The premium is based on income. Individuals with taxable
income of $20,000 or less are exempt. The premium ranges from $0 if your taxable income is $20,000
or less, to $900 if your taxable income is more than $200,600.
 Payroll deductions online calculator
CRA’s online payroll deduction calculator can help us determine how much to deduct from our
employee’s pay. With this tool it is easy to calculate the amount of federal and provincial payroll
deductions that are required, including Canada Pension Plan (CPP) and Employment Insurance (EI).
Zoning:
When we will plan to have a building/ infrastructure for business we need zoning bylaw or occupancy
certificate from the local authorities. There are some compliances that we need to fulfill like height of the
building, area/localities in which it situated is suitable for that kind of business or not, parking space etc.

xxxx
Details of zoning or occupancies compliances can be studied at following links:
http://www.kitchener.ca/en/businessinkitchener/certificateofoccupancy.asp
Application form can be downloaded from following link:
http://www.kitchener.ca/en/businessinkitchener/resources/PLAN_2016ZoningOccupancyCertificateApp
lication.pdf
Insurance:
Liability insurance is very important without this we will be responsible for any human health loss or
property loss;
 By our product
 Accident on our property
 Accident caused by any production operation
 Accident at our customer’s location due to our product
Payment Terms & Collection Procedures:
 We will have business account in name of our company. We will prepare invoice in which our terms
and conditions are mentioned. Our business will be with both kinds of customer, organizations and
individual persons. So we will have different conditions for both customers.
Initially we will not offer any credit but once our business grows we will provide credits with certain
term and conditions.
 We will not provide any credit to individuals. If they want to buy our product on credit they will have
to buy minimum 10 pieces at a time. Before providing them credit we will ask them for their credit
history from bank.
 We will provide credit to organizations who are buying our product. We will provide minimum time
of 3 months for organizations to clear the credit
As our business grow we will have good customer relation with organizations and we can provide
credit to whom we trust.
 We will accept payment online for the online customers. We will accept payment through cheques
from customers buying directly from us. We will not accept any postdated cheques.
Warranty & Return/Refund Policy:
 We will give 1 year guarantee and 3years warranty on our product. In 1 year guarantee if something
is wrong in product we will replace old product with new one. 3years warranty will include replacing
of non-functioning parts and any repairing needed.
 We will ask our customers to register their product by making account on our website. If they log into
our account they will get extended warranty and they can also get online help. If customer will create
account we will get records of customers and also instant feedback which is very important for our
company
Record keeping System:
Creating and maintaining thorough business records is essential. We will use very efficient system for
record keeping. For example, to keep track of network, prospects and clients we will use CRM (Customer

xxxx
relation management) software. Here are some software that we will use for marketing & sales
management, finance management, human capital management and inventory management.
Marketing and sales management software
Marketing and sales management is very important, for this we could use software like SharpSpring,
Net-Results, Pardot, HatchBuck etc. HubSpot is a similar kind of software, very powerful that can be
used for all below mentioned purposes. HubSpot can even track the emails, when we will send
campaign email to leads whether they read or not, we can know everything about their action. Below
are the some of the activities that we could manage with these software.
 Analytics / ROI Tracking
 Campaign Segmentation
 Contact Management
 Content / Blogging Platform
 Direct Mail Management
 Email Drip Campaigns
 Landing Pages / Web Forms
 Lead Management
 Lead Nurturing
 Lead Scoring
 Search Marketing
 Social Marketing
 Website Visitor Tracking
Finance management software
Some of the finance management software are QuickBooks, FreshBooks, Sage, intuit, Wave
Accounting, Zoho Books and Workday etc. These software could be used for following purposes.
 Accounting and Finance
 Revenue Management
 Management Reporting
 Expenses
 Procurement
 Inventory
 Projects
 Grants management
Human Capital Management software
To manage human resource, we will use software like BambooHR, TalenPlatform, Fairsail HRMS,
HireSelect etc. These software can handle following activities.

xxxx
 Applicant Tracking
 Attendance Management
 Benefits Management
 Career Development Planning
 Compensation Management
 Compliance Management
 Employee Database
 Employee Lifecycle Management
Inventory Management Software
To manage inventory we can use software like
 Cost Tracking
 Custom Pricing Models
 Inventory Forecasting
 Inventory Optimization
 Inventory Overview
 Order Entry
 Purchase Order Management
 Reorder Management
 Search / Filter
Start-Up Business Acquisitions:
So far we have acquired following material to start product development.
1. Raspberry Pi
2. e-health sensors
3. Basic electronics component
4. White board with markers
5. Video making contractor
 We have started making prototype of our product and for that we have bought Raspberry pi, e-
health sensors and basic electronic components. We regularly do meetings so we have bought a
white board and markers.
 We are preparing a video for showing investors how our product will look like and how to use it
so for that we have given contract to video making person.
Start-Up Business Needs:
 We will need electronic components for building our product that will cost approximately $450.
 We need to buy basic things like white board and printer for meetings and record keeping that
will cost around $160.

xxxx
 We will need two contractors one for video making and other for printing our circuits. Video
making contractor will charge approximately $200 for making video and $50 for editing it in future
so that adds up to $250. PCB printing contractors will charge according to size of PCB, we initially
need 10 PCBs so over printing cost will be $1000.
 We will rent an apartment which will be our home space as well as office space; per month rent
will be $1150. So, total expanse for first 2 months will be $4160. This money will come from our
personal saving we are five members in team so each will give $832 from their personal savings.
FINANCIAL PLAN
Money contributed by partners (shareholder) of company
Initially all the 5 partners of the company is investing total of $10000 in the company. This money will be
mainly used for product development and to cover initial expenses of the business.
Loans (borrowing money)
There is many start-up funding program run by governments and bank. Some of them are Canada Small
Business Financing, BDC Financing for Starting a Business, Futurpreneur Canada Start-Up etc. We will
approach investors too, in below funding table I am not mentioning investors funding for now due to
uncertainty in estimated investment.
Repayment plan, interest rate etc.
Repayment plan, interest rate is different for every bank. Here I am presenting repayment plan of
Futurpreneur Canada Financing.
 Up to $15,000 with a term over five years.
 Interest is charged at CIBC’s prime rate + 3%.
 Interest-only payments for the first year.
 Principal repayments are made in equal monthly instalments together with interest, over the
remaining four years.
 No penalty for early repayment.
 Program registration fee of $50.
 A $15 program fee is charged monthly for the duration of your loan, added to your monthly
repayment installment.
Projecting Sales:
Our device sale will not depend on seasons and holidays, our device is not in that category in which sale
accelerate and decelerate according to season and holidays. Yes our marketing activities may get slow in
winter and speed up in spring and summer season because most of the marketing strategy except digital
marketing strategy will be implemented in spring and summer season thus our sales may get affected
due to seasons and holidays.

xxxx
Here I am presenting monthly device sale forecast of 1st
year sale (after our device, app and services are
fully developed in the year starting from Dec 2017)
Season/Month Number of device sale Manufacturing capabilities
Winter
December 70 Lot #1: We will manufacture
in one lot and capable of
manufacturing.
January 70
February 70
March 70
Spring and Summer
April 120 Lot#2: We will manufacture
manufacturing.
May 120
June 120
July 120
August 120 Lot#3: We will manufacture
manufacturing.
September 120
October 120
November 120
Total device sale 1240
Total revenue generation: 1240 * 550 = 682000
Projected Income Statement (Year 1 – 5)
Income Statement
For the Years Ending [Dec 31, 2016
and Dec 31, 2017]
Revenue 2016 2017
Sales revenue
(Less sales returns and allowances)
Service revenue
Interest revenue
Other revenue
Total Revenues
-
-
[42]
Expenses
Basic Website 250
Brand Development 500
Business Cards/Stationery 1,500

xxxx
Business Licenses/Permits 80
Internet Setup Deposit 80
Legal/Professional Fees 3,500
Machines & Equipment 3,000
Operating Cash (Working Capital) 3,000
consulting fees 5,000
Starting Inventory 2,000
Prototype manufacturing cost 1,000
Other 2,322
Total Expenses
-
22,232
Net Income Before Taxes
-
(22,232)
Income tax expense
Income from Continuing
Operations -
(22,232)
{42} [42]
Below-the-Line Items
Income from discontinued operations
Effect of accounting changes
Extraordinary items
Net Income
-
(22,232)
Balance Sheet
Date: 4/18/2016
Assets 2014 2013
Current Assets
Cash
5,000
Accounts receivable
Inventory
Prepaid expenses
Short-term investments
Total current assets
5,000
-
Fixed (Long-Term) Assets

xxxx
Long-term investments
Property, plant, and equipment
(Less accumulated depreciation)
Intangible assets
Total fixed assets - -
Other Assets
Deferred income tax
Total Other Assets - -
Total Assets
5,000 -
[42
]
Liabilities and Owner's Equity
Current Liabilities
Accounts payable
Short-term loans
Income taxes payable
Accrued salaries and wages
Unearned revenue
Current portion of long-term debt
Total current liabilities - -
Long-Term Liabilities
Long-term debt
Deferred income tax
Other
Total long-term liabilities - -
Owner's Equity
Owner's investment
5,000
Retained earnings
Other
Total owner's equity
5,000
-
Total Liabilities and Owner's Equity
5,000 -
{42}
Common Financial Ratios
Debt Ratio (Total Liabilities / Total Assets) 0.00
Current Ratio (Current Assets / Current Liabilities)
Working Capital (Current Assets - Current Liabilities)
5,000
-
Assets-to-Equity Ratio (Total Assets / Owner's Equity) 1.00
Debt-to-Equity Ratio (Total Liabilities / Owner's Equity) 0.00

Sample Entrepreneurship Business plan for students

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Similar to Sample Entrepreneurship Business plan for students

Similar to Sample Entrepreneurship Business plan for students (20)

Recently uploaded

Recently uploaded (20)

Sample Entrepreneurship Business plan for students