Cool-Caps !!An invention which makes your life a little easier!! Klair Lubonja 11th 16

Business Profile Type of Business: Legal Structure: This business was selected because there are none like it out there, which means that there is space to make a profit and to supply the consumer with a necessary product. Our mission is to provide convenience and a necessity at an affordable price. Type of Business: Retail My product provides the consumer with convenience at an affordable price. Simply put it’s a contraption that turns your can into a bottle. Legal Structure: Sole Proprietorship The first couple of months would be used on the making of the product which means that insurance isn't necessary, afterwards when the business is up and running I would choose sole proprietorship because I like doing things my way and I like having all the responsibility. 1

Opportunity Opportunities Qualifications At least 29% of Americans drink a liquid from a can each day It provides modern aspects such as the sleek design Consumers want convenience Qualifications I have a background in business Achieved high grades in classes such as Marketing & Mathematics I am currently attending a Business/Marketing class. 2

Consumer Profile By Location The location of my target market would generally include all cities in Connecticut By Population The age of the consumer would range from 18-45 years old,and they have some source of income By Personality The consumer generally would like to travel and they like taking interesting products like mine with them in their voyage By Behavior The consumer should be a loyal customer and they would not only be someone who buy’s the product for themselves but also for their friends and families By Income The consumer should be one that does not mind spending their money 3

Competition Competitive Advantage Convenient Affordable Competitor Price Quality Greatest Strength Greatest Weakness Buybottletop.com (Can Top) $1.67 Good Convenient Easily breakable Not a lot of options to choose from Only satisfies one need Dollar Tree In (Huggy) $1.00 Affordable Not used for what its made for Competitive Advantage Generally customers like things that come pre-made and ready to use. My product fulfills all of the costumer needs (convenience, affordability, reusability) You need 3 competitors!!! NOT costumer--CUSTOMER 4

Marketing Mix Price: I chose the price because its in the same range as other products like mine and it represents the actual value of the product Place: Seeing as though the product is in the process of being made, the internet is a simple way to reach out to customers and begin the selling process Product: F:The product provides protection and security to your can of liquid, comes in different varieties B:Portable, and it fits to your wants and needs Promotion: I plan on advertising the product on social websites such as Facebook, make business cards and distribute them to buyers, brochures, and the newspaper. 5

Marketing Plan 0.00 Awareness Purchase Retention Phase Method Description Cost Awareness 1. brochures 2. web 3. self promotion 4. business cards 5. newspaper ad 1. Placed inside mail boxes 2. Full time online, pop ups 3. Talking to target market 4. Pass them out with each product bought 5. Once a month on the Hartford Sunday newspaper 350.00 Purchase -If more than 3 bought then a 15% discount is given If 3 cool caps are bought then the customer will receive a 10% discount off the final price $3.00 dollars lost with 10% discount Retention Great customer service I will please my customers wants and solve any problems they have with the product 0.00 ? 6

Cost of Materials/Direct Labor Definition of One Unit 1 Cool Cap Cost of Sales Per Unit Direct Labor (Labor Cost per Hour) Time (in hours) to make 1 unit Direct Labor Cost Per Unit $8.00 1 minute or 0.016/hr $0.13 Total Direct Labor Per Unit Material Description Cost/Total Quantity Cost Per Unit ($) Can cover .18 cents per unit $0.18 Can top .09 cents per unit $0.09 Total Material Cost Per Unit $0.27 Variable Costs Per Unit (shipping, packaging) $ 0.00 $ 0.40 What about the cost of the plastic connecting piece? .01 when manufactured/produced? 8

Including shipping and handling Economics of 1 Unit Definition of One Unit 1 Cool Cap Selling Price per Unit $10.00 Including shipping and handling Direct Labor Per Unit $0.13 Materials Per Unit $0.27 Total COGS Per Unit $0.40 Variable Costs Per Unit (outgoing shipping, packaging) $1.20 Included in the selling price Total Cost of Sales Gross Profit Per Unit $9.60 9

Business Schedule for a Typical Week Time Management Plan Business Schedule for a Typical Week Entrepreneurship 21hr School Hours 50hr Work Hours 13hr Sleep 56hr Free-Time Hours 28hr 10

Average Monthly Fixed Costs Type of Fixed Cost Monthly Cost Entrepreneurial Stipend $15.00 Rent/Utilities (cell phone, internet) $60.00 Advertising (brochures, web, self promotion, business cards,newspaper ad) $350.00 Depreciation (computer) $20.00 Total Monthly Fixed Costs $445.00 11

Monthly Sales Projections Units Sold January 175 February 160 March (B) 150 April 230 May 500 June 750 July 1200 August 720 September 520 October 300 November 250 December 200 Monthly Break-Even Units 53 Total = 5155 13

Projected Yearly Income Statement ( Selling Price Per Unit 10.00 # of Units Sold 5155 Total Sales $51,550.00 Total COGS $2,062.00 Other Variable Costs $0.00 Total Variable Costs Gross Profit $49,438.00 USAIIRD (Yearly) $5,340.00 Other Costs/Unforeseen $3,600.00 Total Fixed Costs $8,940.00 Profit before Taxes $40,498.00 Less Estimated Taxes @25% $10,124.50 Net Profit $30,373.50 14

Return on Investment Return on Sales ROS 59% For every $1 dollar of sales, my business earned : $.59 ROI 58% For every $1 dollar invested, my business earned : $.58 17 14

Entrepreneurial hours needed for start-up Start-up Investment Entrepreneurial hours needed for start-up Wage I pay myself Total start-up time investment 96 hours $ 8.00 $ 768.00 Item Where I will buy this? Cost of Item Computer Gift/ Already owned $0.00 New designed piece Production Company $50,000 Business cards Business card inc. $ 25.00 CASH RESERVE $ 900.00 Estimated TOTAL START-UP INVESTMENT $ 51,693.00 Probably a huge development cost for plastic connecting piece here?? 15

Financing Strategy for Total Start-up Investment Source Amount Debt Equity Personal Savings $ 1000.00 * Relatives/Friends Investor(Bank of America) $50,000.00 The costs here must be reflected exactly on slide 15 Total: $ 52,000.00 18 16

Social Responsibility Plan I will donate 5% of all my net profits to a Breast Cancer association I will stamp a pink ribbon, which represents the fight for breast cancer, on all my business cards and website in order to inform my customers of where some of the profits are going. 17

Business & Educational Goals - I plan on making the design of my product come to life and in due time putting it on the market for consumer use - After the passing of one year or so of the product being on the market I plan to better the design so it can fit in with the modern aspects of time. Education - I plan on graduating from high school with a A- average so I can have the opportunity to enter a college of my choice - After the four years of undergraduate studies I plan on going to graduate school and then entering medical school in order to fulfill my dream of becoming a cardiologist 18

your consideration of: At Cool-caps we believe that making things easier for our customers is a step in the right direction!! Please visit us at: www.coolcaps.weebly.com Thank you for your consideration of: Cool-Caps 19