Business Plan Business Plan Prepared By: Amanda Hoehn Jeremy Olthof Leigh Anderson Glenn Stacey

AgEc College of Agriculture and Bioresources Introduction  The feasibility of moving a packaged fudge bar into the premium retail market  Primary target market will be Western Canada

AgEc College of Agriculture and Bioresources Site Layout

AgEc College of Agriculture and Bioresources Goals of Business  Short Term  Western Canada  Retail market  Packaging and selling of:  12 regular flavours  2 sucrose free flavours  Long Term  Expand to the rest of Canada  Relocate to a larger facility

AgEc College of Agriculture and Bioresources Fudge Process Raw Ingredients A Fudge Vat B Fudge Pan C Scoring H Packaging G Heat Sealing D Labeling F Display Case Master Case Cutting E I

AgEc College of Agriculture and Bioresources Inventories, AR and AP  Inventories  12 days  FIFO  Accounts Receivable  12 days  Consignment and PharmaChoice ®  Customer pay by credit card at gift shows  Accounts Payable  10 days  New York supplier - 2/10 n/45  Harlan Fairbanks - 2/10 n/30

AgEc College of Agriculture and Bioresources Capital Budget

AgEc College of Agriculture and Bioresources Organizational Structure: Board of Directors Board of Directors (2) Sales Representative Factory Staff President/General Manager Co-Manager

AgEc College of Agriculture and Bioresources Human Resources  Currently  President/General Manager  Co-Manager  Fudge Chef  Fudge Workers  Additions  Sales Representative  Fudge Workers

AgEc College of Agriculture and Bioresources Product  80g premium fudge bar  4 x 2 package  12 regular flavours and 2 sucrose free  Wrapped in a glossy package  Weight  Flavour  Ingredients  Best before date  Nutritional information

AgEc College of Agriculture and Bioresources Price  Wholesale $2.59  Retail and consignment $3.99  Both premium and competitive pricing strategy  FF will be the only providers of fudge to the retail market

AgEc College of Agriculture and Bioresources Promotion  Gift shows  “Fudge Program”  Retail display rack  Website  Pamphlets and signs

AgEc College of Agriculture and Bioresources Place  Gift shops  24 PharmaChoice ® stores  SaskMade Marketplace ®  Shipped by private courier  Contacted via gift shows

AgEc College of Agriculture and Bioresources SWOT: Strengths  Human Resources  Ease of communication with staff  Excellent knowledge base of fudge industry  Commissioned sales personal  Physical Resources  Low capital investment  Leasing the building  Financial Resources  Just in time inventory turnover  Line of credit available in case of low cash flow

AgEc College of Agriculture and Bioresources SWOT: Weaknesses  Human Resources  Executive and Sales Rep. have overlapping positions  Consistency of product and packaging  Physical Resources  Low capital investment  Limited expansion potential with a leased building  Product has to be set at a certain temperature  Financial Resources  No accounts receivable at gift shows

AgEc College of Agriculture and Bioresources SWOT: Opportunities and Threats  Opportunities  Provide an alternative to chocolate – niche market  Other retailers can follow the gift stores, PharmaChoice, SaskMade Marketplace  Sucrose free product to diabetics and dieters  Threats  No barriers to entry for competition  Healthier consumption choices

AgEc College of Agriculture and Bioresources Competition  Cote D’or ®  Poulain ®  Lindt ®  Bernard Callebaut ®  Laura Secord ®  Cadbury ®  Hershy ®

AgEc College of Agriculture and Bioresources Balance Sheet

AgEc College of Agriculture and Bioresources Statement of Financial Results

AgEc College of Agriculture and Bioresources Financials

Financials

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