Submitted to:

Desalgne A.

PREPARED By:
Haimanot Assefa 2943\00
G/igziabher Abadi 2932\00
Girma Gedamu 2938\00
Fasika Andualem 2922\00
Abebe Gebere 2880\00
Berehe Abrhaley 2904\00
 July 20008 G.C
Table of contents
PART I

Introductory page ----------------------------------------

Name of the hotel ----------------------------------------
Statement of confidentiality -----------------------------
Name and address of the entrepreneurs------------------
PART II
Executive summary - -------------------------------------
Short term goal --------------------------------------
Long term goal --------------------------------------
PART III
Industry analysis ----------------------------------------
PART IV
Description of the venture --------------------------------
Product and services -------------------------------------

Hotel --------------------------------------------------
Bar & restaurant -------------------------------------
Bed room ----------------------------------------
Swimming pool -------------------------------------
Internet café------------------------------------------
Butic---------------------------------------------------
Car stop------------------------------------------------

Office requirement needed ---------------------------------------

Business background of the partners ---------------------------
Reasons for going to the business --------------------------------
Why you will successful in this venture ------------------------
PART V
Production (Merchandising) plan ----------------------------
Kinds of machinery needed ------------------------------------
Produced goods & row material suppliers -------------------
Lists of costs -----------------------------------------------------
Storage system ---------------------------------------------------

PART VI
 Organizational plan/structure ---------------------------------------
Forms of owner ship -------------------------------------------------
Major parts of organizational
Structure & description about persons ---------------------------
Who gets this position ----------------------------------------------
Authority of the principals ------------------------------------------

Appendix -------------------------------------------------
 PART I
INTRODUCTORY PAGE

Name of the Hotel

Different names are come as an opportunity the constructed Hotel like

unity, life, wish, selam …and finally the owner’s discuss and decide life as a
name for the multipurpose hotel with major vote.

Therefore after this time the constructed hotel can be called Life
Multipurpose hotel
Life multipurpose hotel is a hotel with multiple service which can be
constructed in eastern Harargie zone at bate city around the main campus
Haramaya University.

This hotel is planed to construct with an initial capital of 2 million

Ethiopian birr. This initial capital gained by only the contribution of the
owners and it is an initial capital it would grow and generate its income after
it starts its work, which means the budget is planed for only the time which
starts from constructing the hotel and full fulfillment of all materials to the
time it starts its service.

The constructed new hotel will provide service for Haramaya University
students and workers ,people living around the constructed hotel
environment , people living in Harare and Dire Dawa and also it provide
sufficient service for other guest and neighbor city people . Hence the hotel
is a multipurpose, it provides different service like hotel, bar & restaurant,
internet cafe shoes and clothe shops or butic, pool …etc. and this service
will be given for the with smelly pleasant worker starting from the guard to
the manager.
Statement of confidentiality
We owners of life multipurpose hotel services are money capital,
resource labor, time and also different things from thinking up to preparing
this business plan. There fore we need to announce .This business plan
which is the effect of our effort should not be transferred to other individual
or company. If this can be done we responsible to take a legal measure to the
unauthorized person

“All Right Received!”

The Name and the Address of the Entrepreneurs

Generally the new constructed multipurpose hotel will constructed with

Collusion of 6 individual who are computer science students in
Haramaya University.
The partners name and address are listed in the following table

No Name of Region City Keble House Tell No

partners No
1 Haimanot Amhara Debere 05 067 0587714641
Assefa markos
2 G/Egizabher Tigri Mekele 12 327 0911289633
Abadi
3 Girma Amhara Debere O2 037 0918324694
Gedamu Elias
4 Fasika Amhara Bechana 04 28 0913082046
Andualem
5 Abebe Amhara Gondar 20 1417 0581141671
Gebrie
6 Berhe Tigri Shere 03 014 0912678345
Abrhalay
 PART II
Executive summary

Life multipurpose hotel comes in consideration to because of the

problem of Haramaya University students and workers and also people
living in this community , getting a place where they refresh themselves.
Hence the university is far apart from the cities Harare and Dire Dawa
,people live around the universities environment do not get a recreational
place where they refresher themselves besides this reason there is also
scarcity of qualitative hotel around .The hotel we planed to construct
provide services to the whole peoples with the lowest cost of service in order
to help students and peoples living with the lowest living standard
We think that the hotel will be profitable be came most of the people living
around the constructed hotel including the university wastes their money for
transportation additional to the money they waste for services.
At least but not list the hotel which can be constructed will achieve its goal
with a short period of time and it could be as a role mode for other investors
to do the business in other different areas

Short term goal

The new constructed hotel has a short term of giving sufficient and
better service for the whole people living around the constructed hotel
environment and simplifying the problem faced by the society of
recreational center and it also planned in doing with collaboration nearest
administrative class how to develop the town (bate) with infrastructure and
how to create a job opportunity for the people.
Long term goal

Succeeded in venture and establishing different branch in different part

of our country and making its business companies and also we planned to
expand our service to manufacturing company like factory and creating a
wide job opportunity for the whole people living in our country.
 Introductory analysis
In this part an overview of competitors with described.
The competitors are giving their service in Haramaya University, Dire dawa
and Harar and the general observation of the competitors is described in the
following table.

No Name of location Strength Weakness

venture
1 Hirut bare & Inside -Provide -do not provide alcoholic drinks
restaurant Haramaya service -have low no of employee
university -has no long service time
-doesn’t give bed service
-have no swimming pool
-have limited place of area
2 Rewuda hotel Inside Provide service Do not provide alcoholic drinks
Haramaya with low cost Give service up to 8:00
university -do not give bed service
-can’t give service for many
people
-don’t provide external service like
internet

3 Ras hotel In Dire -have good Power fluctuation can affect in

Dawa parking service
-contain many
employee
-give quality
bed service
-can give a
better and fast
service for
many people at
a time
- Has a
swimming
 pool.

The new constructed hotel shares all the strength of the above
competitors and take modifications to the weakness and additionally
the hotel provide external services for customers like internet café
shops e.t.c.
Our business can be better to all the competitors because of :
 Provide services with lest costs
 Give sufficient services in a specific place
 Money employees are employed they make the services
fast
 We give services like:-
- Hotel
- Bar & restaurant
- Shops
- Internet café
- Swimming pool
- Parking service e.t.c. …………. .
 PART IV
DISCRIPTION OF THE VENTURE
A. PRODUCTS & SERVICES
1. Hotel:
The hotel provides for customers. The services which can be given are:
 Foods: traditional foods
Christian foods
Fasting & non-fasting foods
 Drinks : Soft drinks
Alcoholic drinks

2. Bar & Restaurant

It provides services like:
 Dry foods: cakes
Bombolino
Sambusa
Biscuits
 Hot drinks: - Tea - Mango tea
- Coffee - Annanas tea
- Milk - Orange tea
- Tea sprees
 Juices :- - Mango juices
- Annanas juices
- Avocado juices
3. Bed room:-
Provides services like:
- Bed room
-Bath room
-Toilet services
4. Swimming pool:-
Provides services for: - children
- Adults
- Elders
5. Internet Café:-
Provides services like:-
 E-mail
  Internet service
 Computer games
 Printing
 Computer rent
 Scanning

6. Butic
Provides services like:-
- Clothes sales
- Shoes sales
- Child games
Provide services for:-
> Children > Males
>Adults > Females
>Elders
7. Car stop :-

Provide services for customers for stopping their cars safely in a place

B.OFFICE EQUIPMENT NEED

The office equipment is used for only office use not for the service
rather than for management and administrative branches
The total office equipments are listed below:
No Type of equipment Quantity
1 Comfort office seats 12
2 Computers,printers,scanners 25 each
3 Table for office usage 12
4 Lockers for storage 10
5 Type writer 3
6 Stalk holder 5

C.BUSINESS BACKGROUND OF PARTNERS

Haimanot Assefa:
He is a computer science student in Haramaya University. But side
by side he is a business man and has his own Bar & Restaurant in D/Markos
city. He manages his Bar & Restaurant and gets academic diploma from
Newman College in D/Makose with management .The small business that
he initiates with a small capital not more than 20,000ETB but now a day his
capital has been grown to 400,000ETB.He has good relation with his
workers in his bar & Restaurant and he looks smiley to the all customers.

Gebre Egizeabher Abadi:

He was worked at city of Nekemt in Welega hotel as a cashier
before he come to attend to his academic education to Haramaya
University among other things he definitely has experience of 2 years in
making decision on problems that faces the hotel .Therefore this
entrepreneur will significantly contribute his experience with wise
decision making process and organization & consultation different ideas
regards our new venture.

Fasika Andualem:
He was an assistance manager of the executive manager of
Abissinia hotel in Addis Ababa for about 3 years before going to this
business and that helps him for now to build his own business at Bate
by the field of constructing a multipurpose hotel which has special
things & advanced services as mentioned at The production & services
part of our business plan.

Girma Gedamu:
He is experienced with accounting. He graduated with from
Washera College .He also worked in constructed hotel in D/Elias,
So his contribution to the business is how is continued and situation
of market.

Abebe Gebrie:
He has experience in working as a business cashier in Maraki
Hotel in Gondar before coming to Haramaya University, he had a 3
Years experience and he has had a deposit of 500,000ETH in bank.

Berhe Abrhaliy:
Just he is a computer science student in Haramaya University.
He had an experience on the past, as he was around 19,he was Worked
in the Northern part of Ethiopia particularly in Shire Endeselassie in
Africa Hotel for about 3 years until he join this University.
 D. REASONS FOR GOING TO THIS BUSINESS

There are sufficient reasons which lead us to establish this

multipurpose Hotel.
Some of these reasons are listed below:
 The experience of the partners related to the business
that we planned
 The location of the place where the constructed Hotel is
found
i.e. Haramaya University is far apart from
Civilized cities such as Harar & Dire Dawa

 Peoples living around the constructed hotel wastes

their money &
Labor, time to get a place where they refresh
themselves.
 Most friend students in the University don’t
volunteer to return to their
Parents and they responsible to lead their life
uncomfortable like being a bar lady for females .So, to open
job opportunity we planed to built this multipurpose hotel.

F. WHY YOU ARE SUCCESS IN THS VENTURE?

As we mentioned the reasons above which motivated as to

open this venture will help us to succeed our goal. This is if
the people living in the Universities Environment gets every
thing that they need wit a short distance & low cost, no
reason is to push the people to use this Hotel. And if we
have good relationship with customers, then other people
around neighboring cities will also be consumers of our
venture with out no doubt and this helps us to dominate over
our competitors.
PART V

Production and merchandizing plan

Hence the multipurpose hotel is constructed with a partnership of 6
individuals which means the business is built by the contribution of the
owners.
Each owner will be responsible for the over all activities in the
manufacturing and production service and activities.

Type of machinery needed

No Name of machine quantity

1 Coffee and tea boiling 3
machine
2 Modern stove 5
3 Refrigerator 6
4 Bakery machine 2
5 Juice machine 2
6 Peeling machine 2

Produced good and raw material suppliers

No Produced goods and row Location of

materials Suppliers suppliers
1 Row materials and food Gojjam farmer
production union Gojjam
2 Soft drinks Moha dire
branch Dire Dawa
Coca cola
merchandising
 3 Alcoholic drinks Dashen Gondar
Harar Harar
Meta Meta
Beadle Beadle
St .gorge Addis Ababa

4 Computer,printer,scanners Dire Addis Ababa

And hardware accessories electronics
5 Closes and shoes Selam whole Addis Ababa
seller

Lists of cost

No Service type Cost in birr

1 Food Has many type Differ their type
2 Alcoholic drinks -Harar beer 3.50
-St.Gorge beer 5
-Dasehen beer 4
-Meta 4
-Bedele 4

3 Soft drinks -Pepsi 3

-Coca-Cola 3
-7 up 3
-Mirinda 3
-Water spring 3
-Fanta 3
-Sprite 3

4 -juices -Mango 4
-Avocado 4
-Papaya 4
-Annans 4
5 Computer service -printing 1.0
-writing printing 3.0
-computer rent
-scanning 0.10
-internet service
1.0
0.50
6 Close and shoes -for male -differ in type
-for female -differ in type
-for child -differ in type
7 Swimming -for child -10
-for adult -25
8 Slippery room -for an individual -30
-for pair
-40

Storage system
Hence our venture gives service not production because of this there is
no more storage class is needed but the goods which can serve as to give a
better service put in favorable condition specially foods and drinks in
refrigerator and other production materials in dray and safe place.
 PART VI

ORGANIZATIONAL STRUCTURE/PLAN
Life Multi-Purpose Hotel has an organizational structure as shown in the
following chart.

Executive Members
(Owners)

General Managers

Administrator Vice Administrator

Finance Manager of
Public Employees Manager Information
Affairs Manager
Affairs

Employees
Cost
Competitors
Accountant Market fluctuat
Affairs
Supervisor ion
affairs
 Form of Ownership

Life multipurpose hotel is established with six individuals

(business owners) as a partnership and every discussion shall be done with
the agreement of the six individuals and each owner has the right to separate
themselves from the business.

Major parts of the organization structure, persons who gets those positions
and descriptions about the individuals.

1) - Executive members: - they are owners of the business and they lead
the overall activities which perform to and from the business.

The executive managers are:-

1. Haimanot Assefa
2. Gebreigziabher Abadi
3. Girma Gedamu
4. Fasika Andualem
5. Abebe Gebre
6. Berhe Abrhaley

2. General Manager: Ato Yohanes Mengesha

He has got his Msc Degree in management from Addis Ababa University
and he is well-experienced in doing at different hotels.

3. Administrator: Ato Kidane Belay

He has a BA Degree from university of Mekele
In Public Administration and he worked for about four (4) years at
different hotels in Mekele with similar jobs.

4. Vice Administrator: W/ro Hirut Andualem

She has BA Degree from the University of Bihar Dar and she worked as
an assistance manager in Gonder at different places. Therefore she has
experience two years in managing issues regarding any venture.

5. Public Affair Manager: Ato Solomon Getnet

He has Bachelor (first) Degree in Public Relation from Arba Minch
University and therefore has a two years experience.
6. Employee Manager: W/ro Yodit Kume
She has got her Diploma in Hotel Management from St Marry College
in Addis Ababa and she has a one year experience.

7. Financial Manager: Ato Sewnet Melaku

He has got his Diploma in Management from Alpha University in
College IN Addis Ababa and he has worked in the city of Harar for two
years.
8. Manger of Information Affairs: Ato Geleta Abebe
He has got his BA Degree in Information technology from Adama
University in Nazreth and he has no experience before this time.

Authority of the Principals

 Executive Managers:
They control the overall activities done in the hotel, listen the reports
prepared by general manager, generate yearly budget, and decide on
the growth of the hotel such as construction etc.

 General Managers:
o Accountable to executive members.
o Controls the over all activities next to executive members.
o Prepare reports to executive members.
o Checks the works of Administrator and Vice Administrator.

 Administrator:
o Accountable to General Manager.
o Administers the hotel.
o Control the recourses of the hotel.
o Check the total income and out come per day.

 Vice Administrator:
o Performs the work of the Administrator when the Administrator
doesn’t present (absent).

 Public Affair Manager:

o Performs jobs related to customers.
 o Listens to the customers what strengths and weaknesses
does the hotel have.
o Reports these strengths and weaknesses to the
Administrator.

 Employee Manager:
o Manages and controls the over all employees in the hotel.
o Has the power to punish employee made a mistake but if the
mistake is hard he reports to the administrator.
o Informs to the Administrator if there is scarcity of employees to
be added sufficient number of workers.

 Financial Manager:
o Works on issues related to finance.
o Calculates the total income of the hotel per day.
o Calculates the total income of the hotel per day.
o Pays salary for all employees.

 Managers of Information Affairs:

o Listens carefully about the market, which product is increasing
in cost and which is not.
o Collect information about what strength and weakness does the
competitors have and which is our strength and weakness
among other things informs to the Administrator.
 Appendix
Table of expenditure costs for the preparation of the business
plan

No. Expenditure items Quantity costs per Total

each expenditur
e
1 A4 paper 1 desta 40.00 40.00
2 Pen 4 2.00 8.00
3 Floppy disk 10 4.00 40.00
4 Cd disk 3 6.00 18.00
5 Internet rent - 80.00 80.00
6 Pencil 4 1.00 4.00
7 Stalk holder 1 10.00 10.00
Total 200.00