MGT368.

15
Group No: 03
Sharkatha

Submitted TO :
Looksina Khan
Lecturer
Department of Management
Date of

SUBMITTED BY:

Name ID

Imran Hossain 1230998030

Syeda Nazia Farhin 1520966630

Niaz Mahmud 1632043030

Israt Jahan Khan 1722140630

Md. Atikur Rahman 1831472030

Submission: 9/08/2021

1|Page
Letter of Transmittal

May 8, 2021

Looksina Khan
Lecturer
Department of Management
North South University

Subject: Submission of the business pitch for MGT-368.

Ma’am,
With due respect, we humbly present to you our final report on "Sharkatha." This project has
helped us to get plenty of understanding regarding the topics and theories we have covered in
Entrepreneurship. In this report, we have tried to implement the learning from this course,
MGT368 (Entrepreneurship Management). We would like to thank you for giving the chance to
work on this report. Though we have some limitations, but we have tried our level best to make
this report accurate and reliable.

We have to thank you for your help, guidance, and assistance. With all sincerity, we hope that
you will find this report useful and detailed enough. Lastly, if you have any further inquiries
concerning any additional information, we will be very grateful to clarify that.

Sincerely,
1. Imran Hossain
2. Syeda Nazia Farhin
3. Niaz Mahmud
4. Israt Jahan Khan
5. Md. Atikur Rahman

2|Page
Executive Summary

Sharkatha is the product of a collaboration between five young entrepreneurs who are passionate about
running a green business that is both eco-friendly and long-term. Any aspect of this company will be
meticulously planned in order to stand out in the fertilizer industry. The company has a strong chance of
expanding, and we expect that by improving people's mindsets, we will be able to attract a large number
of customers. Any department of Sharkatha will be managed by ambitious people whose sole goal is to
make the company profitable in the long run. Sharkatha's goal as a young creative entrepreneur is to start
a green company that will produce organic fertilizer from kitchen waste harvested from homes and
restaurants. Sharkatha is the culmination of innovative thought and a thorough examination of the
emerging demand void. Sharkatha will also have a Facebook page where we will share the message of
sustainability and eco, and many people will be drawn to Sharkatha's concept. We are hoping that people
who are knowledgeable about sustainability will be enthusiastic about our proposal. Sharkatha's
establishment would minimize organic waste and ensure the greatest possible use of these products.
Sharkatha plans to launch a raw, organic fertilizer that would benefit both crops and soil. That would
therefore cut down on the volume of organic particles in the air. Sharkatha aims to expand its market
internationally so that, in addition to generating sales, it can raise awareness about recycling and reuse,
making the country greener and more competitive.

3|Page
Table of Contents

1. Introduction ................................................................................................................................... 7
a. Name & Address of the Business ................................................................................................

b. Name & Address of the Principal ................................................................................................

c. Nature of the Business ..................................................................................................................

2. Business Model........................................................................ ………………………………..…10

a. Business Model CANVAS..........................................................................................................

b. Pricing Model..............................................................................................................................

c. Social Goal...................................................................................................................................

d. Financial Sustainability................................................................................................................

e. Eco-Friendly................................................................................................................................

f. Ethical...................................................................................................................... …………...
3. Business Environment Analysis/ Evidence of Market Opportunity: ............................................14

i. PESTEL Analysis ......................................................................................................................

ii. Porter's Five Forces ....................................................................................................................

iii. SWOT Analysis: .......................................................................................................................

iv. Stakeholder Analysis .................................................................................................................

(2) Statement of the financing needed……………….........................................................................

3) Statement of confidentiality off report..............................................................................................

4. Description of ventures................................................................................................................... 25

A. Product(s) ........................................................... ……………………………………………....

B. Service(s) ....................................................................................................................................
C. Size of business........................................................... …………………………………………
D. Office equipment and personnel..................................................................................................
E. Background of entrepreneurs. ....................................................................................................
5. Production plan/Service delivery mode............................................................................................ 26

A. Manufacturing process (amount subcontracted) ..............................................................

B. Physical plant..............................................................

4|Page
 C. Machinery and equipment..............................................................
D. Names of suppliers of raw materials..............................................................

6. Operational plan................................................................................................................. 28

A. Description of company’s operation..............................................................

B. Flow of orders for goods and/or services..............................................................

C. Technology utilization.................................................................................................................

7. Market plan (7 P’s) ................................................................................................................. 29

a. Product..............................................................
b. Promotion..............................................................
c. Place..............................................................
d. Packaging..............................................................
e. Positioning..............................................................
f. People..............................................................
8. Organizational plan.............................................................. 33
A. Form of ownership..............................................................
B. Identification of partners or principal shareholders..............................................................
C. Authority of principals..............................................................
D. Management-team background..............................................................
E. Roles and responsibilities of member’s organization.......................................................

9. Assessment of risk....................................................... 35
A. Evaluate weaknesses of business.......................................................
B. New technologies .......................................................
C. Contingency plans………………………………………………………………………….
10. Financial plan …………………………………………………….38
A. Assumptions…………………………………………………….
B. Pro forma income statement…………………………………………………….
C. Cash flow projections…………………………………………………….
D. Pro forma balance sheet…………………………………………………….
E. Break Even analysis…………………………………………………….

5|Page
F. Sources and applications of funds…………………………………………………….

11. Bibliography………………………………………………………………………...47

6|Page
1. Introduction

Sharkatha (সারকথা):

Environmental problem is one of the biggest problems in the present world. 9 out of 10 people
on earth are receiving polluted air according to a report of World Health Organization (WHO).
Bangladesh is far superior in terms of pollution. Our capital Dhaka is one of the polluted cities in
the world. Dhaka is in the 3rd position in terms of environmental pollution in the world,
according to the Air Quality Index (AQI). Keeping in mind the harmful effects of environmental
pollution, we are going to take a small step for our country by bringing a new business named
Sharkatha.

The main idea of Sharkatha is making compost fertilizer from household and restaurant waste.
But there are some unique plans behind making this fertilizer which will help us to reduce
environmental pollution. Our initial target is Dhaka city. First, fixes some certain areas of Dhaka
city, our company's basket will be given in the homes of those areas. They will have a
subscription base contract with us that they put their household waste in our company’s basket.
We will give them some gifts for this contract which will encourage them more to give us more
household waste. Our volunteer team will bring those baskets to our production department. We
will prepare organic fertilizers through those wastages. Here the main theme is, we will make the
best fertilizer through our production team by protecting the environment. People may have
dumped the dirt of their homes in different places, which will harm the environment. But we will
work to protect the environment through those wastages. Then the fertilizer generated, we will
sell through our website and Facebook page.

Our main motto is, আমরা জানি মাটির কথা, সারকথা।

7|Page
 1. A) Name & Address of the Business

The name of the business which we are going to start is ‘Sharkatha

(সারকথা).' Our main product is fertilizer. So we take the Bengal
form of fertilizer which is ‘সার’ and ‘কথা’ comes from our tagline
which is ‘আমরা জানি মাটির কথা, সারকথা।.'

Sharkatha’s corporate head office will be located at Ka-3/F-4,

Sajjad Manzil, Basundhara Residential Area, Dhaka. From here, all the office activities will be
performed.

Our factory will be in Savar, Dhaka, where the production department will be. Wastebaskets
will go to Savar via our own transportation, and fertilizer will be prepared there.

1. B) Name & Address of the Principal

Name Address
Imran Hossain Block-A, Road-2, House- 29
BASHUNDHARA R/A ,DHAKA
Syeda Nazia Farhin Road-3, House- 50,
Rupali Housing, Mirpur 2 Dhaka

Niaz Mahmud Ka-3/F-4, Kallyanpur, Dhaka

Israt Jahan Khan Block- I, Road- 5, House- 370,

Md. Atikur Rahman
Bashundhara Residential Area,
Dhaka
Block- B, Road -6 House No 41,
Bashundhara Residential Area,
Baridhara, Dhaka

8|Page
1. C) Nature of the Business

Sharkatha's key concept is to create organic compost fertilizer from household and restaurant
waste. The city of Dhaka is our first goal. First, certain specific areas of Dhaka city will be fixed,
and our company's basket will be distributed to the residents of those areas. They will have a
deal with us in which they will deposit their household waste in our company's basket on a
monthly basis. We'll give them some presents as a thank you for signing this deal, which will
inspire them to continue sending us more household waste. Those baskets will be sent to our
production department by our volunteer team. Those wastes can be used to make organic
fertilizers. The key theme here is that we can make the best fertilizer possible with the help of
our development team while still saving the environment. However, we will work to protect the
earth by reducing waste. The fertilizer produced will then be distributed via our website and
Facebook page.

9|Page
2. Business Model

2. A) Business Model CANVAS

Key Partners: Key Activities: Value Customer Customer

Propositions: Relationships: Segment:

1. 1. Collect 1. Green & 1. 24/7 1. Farmers

Household Waste Sustainable customer 2.
2. 2. Transfer 2. Proper service Gardener
Restaurant waste to Savar. usages of 2. Provide 3.
3. Investor 3.Manufacturin wastages Expert Opinion Wholesaler
4. Software g 3. Customer 3. Long s
& Website Fertilizer can buy from Term Relationshi
4. Selling that distinct areas p
Developers Fertilizer 4. Create
5. Delivery Awareness
Agencies Key Resources: 5. Channels:
Chemical Fre
1. Facebook e fertilizer 1. Website
2. Website 6. Dedicate 2. Facebook
3. Factory d online 3. Email
4. Production Support 4. Volunteer
Team Team
5. Financial 5. Delivery
Investment Team
6. Corporate 6. Delivery
Office Truck
7. Customer
Care

Cost Structure: Revenue Streams:

1. Website Making & Maintenance 1) Sale of products

2. Facebook Page Boosting
3. Transportation Cost
4. Fertilizer Making Cost
5. Waste Basket Cost
6. Office Equipment
7. Customer Gifts
8. Employee & labor Salary

10 | P a g e
2. B) Pricing Model

Sharkatha's pricing strategy is based on the demand of the product we are going to sell to our
consumers, as dictated by the present state and selling price, rather than the expense we would
incur to manufacture the product. Our initial strategy is to sell the goods for a cheap price (80
Taka), as it is difficult to rely on large profit margins while you are new to the industry. We are
the first in the organic fertilizer market, so we aim to target consumers by selling goods at a
cheaper price at first. We'll continue to extend our market area until we get a good response.
We've done a lot of research on our brands and pricing. We discovered the price that prospective
customers are willing to pay for and packet of organic fertilizer after conducting extensive
research. We want to win the interest of our consumers and encourage people to buy more of our
goods. Sharkatha's mission is to provide the latest goods and services to their customers at a fair
cost.

2. C) Social Goal

Sharkatha's mission is to create a more secure, effective, and profitable market for organic
fertilizer, which will benefit society in two ways: it will minimize pollution, and it will
encourage everyone to embrace the idea of sustainability. To achieve the social goal and its
goals, every business model should lead to fulfilling social obligations. Sharkatha will be able to
have a closer relationship with cultural concepts and will be in a better situation as a result of
achieving the social goals. Our strategy is to use business to benefit society. Sharkatha would
build a space for women from rural areas to serve as fertilizer makers in our labor unit. In the
end, it helps to increase the company's reputation. This gives the impression to customers that
Sharkatha is achieving its objectives while still contributing to society through its operations. We
are going to do some acts like:

11 | P a g e
 • Conduct ethical business
• Donate on Charity
• Focus on equal opportunity
• Sponsoring social events
• Provide jobs

• Give tax

2. D) Financial Sustainability

Access to Capital

Any of us requires some funds to begin the business with proper funding, but we are unable to
take out a loan at this time. To run the company, we will enlist the assistance of investors. With
our eco sustainable idea, we will satisfy investors. We're hoping that the innovative idea of green
business and sustainability would entice future buyers. We depend on households and restaurants
for the collection of raw materials. We would first gather kitchen waste from households and
restaurants by providing them with presents. It would not be prohibitively expensive. We don't
need any electrically powered heavy machinery because we're producing organic fertilizers.
Otherwise, no money from the company can be taken for the next six months. Through doing so,
we will be able to spend our own money, which will aid in the expansion of our business.

Profitability

Since we do not expect to make large profits at this time, covering costs and generating sales
would be difficult for the first few months. We know that if we run the company with diligence
and commitment, it will provide us with many opportunities in the future, and we will be able to
run a productive and successful business while making a healthy profit

12 | P a g e
Planning

Sharkatha's financial strategy has been created in a practical manner that will allow her to adapt
to business trends and take advantage of new opportunities. We have a lot of openings to capture
in the industry because we are the first mover. We would be very cautious not to put ourselves in
any danger or create an unsustainable climate. Our strategy is to run the company by providing
enough value to future clients.

2. E) Eco-Friendly

Renewable Energy

We'll make fertilizers out of food waste. Kitchen and vegetable waste are excellent green energy
sources. This concept clearly points us in the direction of a long-term solution. This idea
encourages people to recycle their trash. It has a tax benefit. Companies who use green energies
are given tax breaks by the government. It would also assist in the reduction of energy costs.

Eco-Friendly Behavior:

We will deliver items to customers in handcrafted paper bags rather than plastic bags. This
would be a successful method of keeping the world clean and safe. Sharkatha will make every
effort to properly dispose of the waste so that the air remains clean and fresh. Sharkatha's
concept would also introduce the concept of proper recycling and waste management. Our
business idea would have the effect of reducing environmental emissions, health risks, and waste
burdens.

13 | P a g e
2. F) Ethical

Our strategy is to conform to the company's ethical guidelines at all times. Sharkatha will apply
its business concept to better invent and implement solutions for various types of environmental
distress. We can ensure customer loyalty by providing a fair value for their money.

Commercial goods and corporate dealings would not damage the environment in any way. Our
goal is to run our company in such a way that it can encourage others while also providing a
solution to environmental issues such as air pollution, soil pollution, water pollution, and so on.
We will run our company in a way that ensures its long-term viability.

3. Business Environment Analysis/ Evidence of Market Opportunity:

Bangladesh is primarily a farming region. If we consider the Ministry of Agriculture's view, we

may estimate that Bangladesh needs about 5 million tons of fertilizer. Bangladesh's fertilizer
consumption is steadily growing. In 2017, Bangladesh imported 13,133 tons of fertilizer. As a
result, we can assume that there is a supply shortage of fertilizer in Bangladesh. Bangladesh is
also dealing with a variety of environmental issues, including waste disposal, air pollution, water
pollution, and insufficient waste management, to name a few. Bangladesh produces
approximately 22.4 million tons of waste per year. Green waste, such as food waste, accounts for
80% of this waste. So Sharkatha comes up with a new concept: she wants to make organic
fertilizers out of untreated kitchen waste. This initiative will benefit Bangladesh because
Sharkatha will take measures to minimize waste and implement chemical-free organic fertilizer,
which is beneficial to both crops and soil.

14 | P a g e
Fertilizer Consumption and Sales Unit over the past five years,

Date Value(kg per hectare)

2016 289.4
2015 299.0
2014 279.2
2013 254.6
2012 260.4

The fertilizer industry is a thriving industry in Bangladesh, according to their viewpoint. There
are six urea fertilizer companies in Bangladesh that produce and distribute urea and other
chemical fertilizers. We see them as our biggest rivals because we want to launch an
environmentally friendly organic fertilizer. These commercial chemical fertilizer firms are our
closest competitors because the Sharkatha idea is new and we will be the first mover in the
organic fertilizer producing industry. When we look at the industry, we can see that our main
competitors' earnings are stable. The fact that these fertilizer companies have been in business
for a long time gives them an advantage. The downside of these businesses is that they operate
under a very conventional model. Sharkatha will set itself apart from other organizations because
of its revolutionary concept. Sharkatha's fertilizer would be more appealing to educated
Conscious people. People who are interested in green and sustainable business will be interested
in purchasing organic fertilizer from us instead of conventional chemical fertilizer. The term
"sustainability" has become a buzzword in the modern age. People are looking for something
green and natural these days, so a chemical-free fertilizer that also reduces waste would catch
everyone's attention. We want to start our company with a clear objective in mind, and that goal
is sustainability. If we get enough response and satisfy the consumer, our company can be better
than planned, so here is a brief review to determine the key issues and strategies relevant to our
venture.

15 | P a g e
 2. I) PESTEL Analysis

• Political Factors: Trade policy and plans, government rules and policies, international
exportation practices, labor assumptions and environmental hypotheses, and political
unpredictability are all examples of political causes. Bangladesh's current political
situation is peaceful, but it is a developing world, and the situation could change at any
moment. Political uncertainty will impact Sharkatha's company in a variety of ways,
including the production cost, functional framework, and interest margin. Changes in
government positions, policies, and new legislation may have a negative effect on the
business process and profitability.

• Economic Factors: Economic conditions play the most important role in the growth of a
company. Bangladesh's economy is rising and it is now in a strong spot. Personal
incomes, monetary philosophy, and practice, global extension and stagnation, trade rates,
and so on are all economic influences. Both of these aspects will have an effect on the
way Sharkatha operates. Earnings could suffer as a result of the economic downturn,
which may have a negative impact on the viability of businesses like Sharkatha.
Sharkatha will establish a sustainable role in the market if it can adapt to changing
economic conditions.

16 | P a g e
 • Social Factors: The word "social factor" refers to a person's behavior and mentality.
Social influences include things like lifestyle, personal preference, age, trends, population
expansion, generational division, and so on. Sharkatha's key goal is to run an
environmentally sustainable business model to ensure proper kitchen waste recycling.
Sharkatha's target demographic is mass-market, so socioeconomic trends are unlikely to
have a negative effect. Individuals' educational levels and personal preferences would be
able to persuade them to purchase Sharkatha fertilizer.

• Technological Factors: In the business world, technological factors have the potential to
bring about transformative changes. Technological factors include automation,
encryption, cryptography, high-speed internet access, machine auto-calculation, 3D
technology, and so on. Traditional manufacturing and distribution processes may be
affected by technological advancement. With the aid of auto-generated machines,
automation has the potential to completely replace human production functions.
Sharkatha's maintenance and financing could benefit from modern technological
advancements. As a result of positive technological developments, Sharkatha will be able
to develop a stronger market position.

• Environmental Factors: Environmental factors refer to environmental conventions,

forecast, resource limitations, meteorology, weather, pollution level, and. The intention of
Sharkatha is to run a sustainable and recyclable business. So, environmental factors are
important in the perspective of a business organization like Sharkatha. Sharkatha is an
eco-friendly and sustainable company, so focusing on environmental factors is very
important to run the business effectively.

• Legal Factors: Legal factors analysis includes employment law, consumer rights,
distributor rules, certain basic laws and techniques, patent and copyright policies, license,
and product protection regulations, among other things. Sharkatha would have to deal
with legal issues in order to keep the business running smoothly. As a result, regulatory
considerations may have an effect on the company's overall activity and

17 | P a g e
 management. We will adhere to all consumer protection laws to the letter. We plan to
protect the legal rights of our registered manufacturers, distributors, and customers to the
fullest extent possible.

3. ii) Porter's Five Forces

• Threats of New Entrants: Sharkatha can produce fertilizers in a cost-effective manner.

Starting with a small amount of money will result in a significant amount of profit. To start
a business like this, you just need a basic understanding of the fertilizer industry and how
to apply organic fertilizer. As a result, Sharkatha could face a significant risk of new
entrants entering the market.

• Bargaining Power of Buyer: Sharkatha plans to make fertilizers out of kitchen waste
collected from homes and restaurants. As a result, these individuals and restaurants will be
our primary suppliers. Bangladesh produces about 5000 tons of food waste per day. As a
result, we will have a large number of waste suppliers. As a result, manufacturers would
have less bargaining power.

18 | P a g e
 • Threat of Substitute Product: Indirect competitors exist in the marketplace.Many
fertilizer companies sell chemical fertilizers commercially, but Sharkatha creates organic
fertilizers from waste, which are chemical-free and safer. Sharkatha will establish a
competitive advantage in the market by properly executing a viable strategy, and this will
establish a possible distinction between Sharkatha and other businesses.

• Bargaining Power of Buyer: Since there are so many buying and selling outlets on the
market, consumers have a lot of negotiating power. Sharkatha is passionate about
providing an incredible product with incredible service so that consumers get the most
bang for their buck and there is no need for negotiating.

• Rivalry among Existing Competitors: Sharkatha's direct and indirect opponents in the
industry all have different business models and strategies for moving forward. They are
more like a commercial business enterprise. By - waste, Sharkatha plans to run a green
and sustainable enterprise. We will face competition from large fertilizer companies, but
our creative strategies will allow us to move forward in the market effectively.

4. iii) SWOT Analysis:

19 | P a g e
Strength:

• Being a pioneer in the organic fertilizer industry is one of our advantages. No other
organization has taken the initiative to develop organic fertilizers and commercially sell
them.

• Sharkatha's primary aim and intention is to minimize waste and run a sustainable business.
This one-of-a-kind approach is one of the company's greatest assets in terms of establishing
a strategic position in the industry.

• Sharkatha will be assisted by a fantastic development team. We'll recruit farmers and
women from various areas who are experts in the production and application of organic
fertilizers. As a result, we will be able to keep a professional labor force at a low rate.

• We will place a greater emphasis on our marketing and sales teams to ensure that our
customers receive excellent product quality and service. So that our commodity reaches
every corner of the world, we will have efficient distribution and customer service.

Weakness:

• Sharkatha is a newcomer to the organic fertilizer sector. As a result, there are no prior
entrants, and we are unable to benefit from previous competitions and take additional
measures.

• Because Sharkatha is a new venture, and we'll be making fertilizer from organic kitchen
waste, managing enough money would be difficult at first.

20 | P a g e
Opportunity:

• The Bangladeshi people are now well-versed in green and sustainable goods. Their
acceptance is growing, so the idea of eliminating waste and producing fertilizer would
quickly appeal to them.

• Consumers would also benefit from more reliable goods and services at a reduced cost. As
a result, Sharkatha has a chance.

• Organic fertilizer knowledge is widely accessible, and there are many ways to collaborate
with this concept.

• Consumers' mindsets are evolving every day, and they are searching for new solutions that
can satisfy their demands while still causing no environmental danger, and Sharkatha is
committed to meet this need.

Threat:

• Since our target customers will be located in different parts of Bangladesh, it will be
difficult to connect successfully with each of them.

• Environmental issues such as global warming and climate change are putting humanity at
risk. As a result, a number of business organizations are considering introducing green and
renewable goods to the market. As a result, depending on the situation, our market's
potential competitors could increase. As a result, it could pose a danger to Sharkatha.

21 | P a g e
3 .iv) Stakeholder Analysis

• Keep Satisfied: This section is primarily for high-ranking, uninterested individuals.

Salesforce, technicians, states, senior management, and consumers are the people who have
no experience in the market but hold a lot of influence in our industry's survival and
development. Sharkatha's goal is to please them and motivate them to offer their best effort.

• Keep Informed: Our sales support, consulting, analysts, and trade groups fall into this
group. They help operate the company efficiently with their excellent results, but they have
no influence over Sharkatha's internal decisions. We need to keep them informed about the
big problems and actions affecting Sharkatha so they will provide valuable advice.

• Monitored: This section involves people who will have a small amount of influence or
involvement in our business, but who will have a huge impact on it indirectly. People in
this community should be consciously watched so that we can do proper role play in the
industry based on our situation.

22 | P a g e
 • Manage Closely: The people in this section have a lot of power but are very interested in
our business. These individuals are required to be completely invested in the business. We
must closely monitor them and make every effort to meet their needs.

2) Statement of the Financing Needed

We need a total budget of 1500000 TK for one year. The following sectors in which this money
will be spent in a year.

COST Amount
1. Website Making & Maintenance 15,000

2. Facebook Page Boosting 25,000

3. Transportation Cost 50,000

4. Fertilizer Making Cost 200,000

5. Waste Basket Cost 50,000

6. Office Equipment 200,000

7. Customer Gifts 150,000

8. Employee & labor Salary 400,000

Total 1,090,000

In the beginning, each entrepreneur will contribute 2 lakh taka. That means we'll collect 5*2=10
lac taka and take the remaining 5 lac from investors. Our annual primary expense is nearly 11
lakhs, and the rest of the money will be held for a variety of risk factors.

23 | P a g e
3) Statement of the Confidentiality of Report

• The undersigned Sharkatha readers are all aware that no one except them is aware of the
business plan. If there is something they need to reveal, they must first get permission from
the BOD.

• The reader also acknowledges that all information contained herein confidential.

• Whoever reads this report must return the report to the BOD members within a certain time
frame.

• This document consists of a complete business plan. This paper does not offer any
securities.

• This plan is following all the laws of ‘Government of People's Republic of Bangladesh.'

Imran Hossain

……………………………

Syeda Nazia Farhin

……………………………

Niaz Mahmud

……………………………

Israt Jahan Khan

……………………………

Md. Atikur Rahman

……………………………

24 | P a g e
4. Description of Ventures

A. Product:

Product and service have the greatest impact on any type of business. Customers still want the
highest quality product at the lowest price, so cost-effective and quality complete goods are in
high demand. Our raw materials supply is extremely cost-effective, allowing us to produce
fertilizer at a reasonable market price.

Sharkatha produces natural fertilizer from kitchen waste; we use a variety of kitchen wastes,
including vegetables, organic products, and eggshells. We will not treat the soil materials with
any kind of oil, oil, greasy meats, or milk products. Both the soil and the crops would benefit
from the organic fertilizer made from food and kitchen waste. These one-of-a-kind fertilizers
would also benefit the ecosystem.

B. Service:
Sharkatha will provide service to customers through an online order form and a web page. On
Facebook, we have a page named "Sharkatha." Customers have the option of ordering the
commodity for 24 hours or 7 days. We will provide a cash-on-delivery service in a timely
manner. We also want to include customer service numbers so that customers can place orders
over the internet. It will also be useful for consumers who do not use Facebook or any other
online framework. We will provide an expert opinion service, in which an expert will have in-
depth information about the correct use of organic fertilizer and will be available to provide
advice to customers on how to make the best use of it.

C. Office Equipment:

We will be conducting our business entirely online at first, so we will need computers with high-
speed internet access. We have some equipment for producing organic fertilizer. Customers will
be able to contact us on their mobile. We also need a few small items to operate the office, such
as a table, chair, lamp, and fan. Fertilizers will be stored in inventory on shelves and in storage
space. To run our company, an expert in this field will contribute to the expert opinion panel. A
cc camera will be installed in our office. Administrators can view the entire office

25 | P a g e
on their phone or computer with an internet connection using this device. To ensure the best
packaging and finishing of the fertilizer, we'll need some electrical equipment. We will buy all of
the required equipment.

D. Background of entrepreneurs:
The entrepreneurs are business graduates. All of them are lived in Dhaka. No one has experience
in this field. After research they planned the business model.

5. Production Plan/Service Delivery Model

All of our manufacturing processes are under our control at Sharkatha. We don't need any
outsources right now because we're still in the early stages of our company. Our goods will be
manufactured by our own manufacturing department, which will have a small number of
employees. Household and restaurant waste are the most important components in our fertilizer
production. We'll need some small instruments to make the fertilizer instead.

Manufacturing Process
Our manufacturing process is insufficiently difficult. We will manufacture the fertilizers
naturally because Sharkatha is an environmentally friendly business. The manufacturing
procedure is outlined below.

26 | P a g e
 The first is to split the dry and wet wastages into two different containers

When the wet wastages container becomes full, it's mouth should be closed for a while

Then need to take it in another big container, and dry leaves should be poured into the container
equivalent to the wastages
•
Then need to add some semi composting ingredients like buttermilk, cow dung, etc. for the
decomposition process

The humidity of the container must be maintained properly. If the moisture is reduced, then
water should be added to it.
•
After that, the container should be left open for 20-25 days for composting

•
In a month, the fertilizer will be ready for sale

For this manufacturing process, we have estimated that it may cost around 200,000 taka for one year.

Physical Plant
We don't need a large physical plant to produce fertilizers in the beginning. In the Savar field, we
plan to build a small production facility. All of the manufacturing activities will take place there.
The fertilizer will also be stored there. From here, the customer's order put on the website will be
shipped to their house.

Machinery and Equipment

We don't need any large machinery to make fertilizers in the early stages of the company. We
want to produce fertilizers in a natural way because we don't want to hurt the ecosystem, which
is one of our company's missions. Instead, we'll need some fertilizer-producing machinery. Raw
waste, a few large barrels, buttermilk, cow dung, temperature measuring devices, a sufficient
supply of water and dry leaves, and so on.

Name of the Suppliers of Raw Materials

We use waste from households and restaurants as our raw material. We have a volunteer team
because we want to start our business in Dhaka city. They store our company's

27 | P a g e
baskets in various locations in Dhaka. People from those places will spill their trash into our
baskets. As a result, our primary suppliers are local residents and restaurants. We will enlist the
assistance of farmers or rural women to obtain organic materials. That is why we use them as a
backup supplier.

6.0 Operational Plan:

6.1 Description of Company’s Operation:

Our key goal is to include high-quality goods at a fair price. The company's key aim is to
manufacture fertilizer in a creative manner and to compete in the market. As a result, we'll use
the push business approach. Under the drive business policy, we will attempt to bring our goods
to consumers so that they are aware of it. We will be able to present our goods to our target
markets as a result of the strategy. We'll use a drive business approach to bring fertilizer to
consumers' doorsteps before our commodity reaches the target market. Otherwise, consumers
will be unaware of our existence, and we may be unable to bring our business to a potential
market.

We'll start by taking orders from online platforms. AMADER SARKATHA will be the name of
our Facebook and Instagram pages. Customers will be able to position orders by phone as well as
via our website. We would take time to supply the requested quantity of fertilizer after receiving
the orders. We will not need any payment in advance to validate an order; instead, we will
request that they give us the number of their requested amount, their name, address, and phone
number. When the requested quantity of fertilizer is ready to be delivered, we will send a letter to
the customer informing them that their goods will be delivered shortly and that our delivery man
will contact them to validate the delivery time. Also, we will enlist the assistance of courier firms
to reach the outskirts of Dhaka.

28 | P a g e
Receive orders through 1 day for procurement
online

It will take 1 day to deliver the Replacement the fertilizer

fertilizer within Dhaka and 3 within 7 days after delivery
to 4 days in the case of outside date, if there is any error
Dhaka. occurred in the product.

6.2 Flow of Orders:

6.3 Technology Utilization:

Nowadays, everybody in the western world is intimately involved with technology and its
advanced implications. Sharkatha needs to use this platform to improve her business place.
Sharkatha will initially run from the AMADER SARKATHA Facebook and Instagram pages.
We will also have a website where consumers will be able to do their shopping with ease. As a
result, we'll put in place a solid digital marketing and affiliate marketing strategy. Sharkatha will
have a strategic advantage in the industry as a result of the use of digital technologies, which will
be able to reach the largest number of customers.

7.0 Marketing Plan (7 P’s)

29 | P a g e
7.1 Product
Fertilizer is our primary commodity, which is produced naturally. Our fertilizer contains no toxic
pesticides or medications. For the comfort of our consumers, we still preserve product consistency.
At this point in our company's growth, this is our strategy. We will increase the variability of our
fertilizers a little more at this point of growth, and our products will also increase.

7.2 Price

We would use the intermediate approach to determine price since we are a young business. We set
a price of 80 taka per fertilizer packet at the start of the market. We plan to maintain this price for
the next three years. Then, in subsequent years, we will raise the price to 85 taka. Since we will
agree that in order to succeed in the industry, consistency must improve. This is how we'll figure
out the price of our product when it's still in production.

7.3 Place

Sharkatha's corporate headquarters will be in Dhaka's Basundhara Residential Area, at Ka-3/F-4,

Sajjad Manzil. All office tasks will be completed from this location.

The development department will be in Savar, Dhaka, where our factory will be located. Our
transportation will move wastebaskets to Savar, where fertilizer will be prepared.

We will have no outlet in the early stages of our venture. Our commodity will be sold via our
website and Facebook page. We would not have any outlets during the construction process, either,
according to the calculations. Even so, if our sales exceed our projections, we'd like to have an
outlet.

30 | P a g e
7.4 Promotion

Promotional efforts are critical for any kind of business. We are just getting started with this
company. That is why, in our first year of business, we will not do any physical promotion. We
will invest money on Facebook boosting in the first year. We will eventually be reduced to physical
promotion in the second and subsequent years.

7.5 Packaging

We are a green business, so we will not use polythene bags for packaging. We would use jute bags
for our bags. Jute bags can be used again and again, and they are fully compostable.

7.6 Positioning

In the industry, we expect our positioning statement to be very good. Our major positioning
statement is, আমরা জানি মাটির কথা, সারকথা। ' More ways in which we can dominate the
customer's mind are-

• We are the first company in the market to launch a business by having the climate
in mind.

• Fertilizers can be made from waste from households and restaurants. This is also a
recent phenomenon in this area.

• We are working to establish a sustainable company that will help Bangladesh

mitigate emissions.

• We reward people with free mugs or prizes in exchange for their waste.

• Our fertilizers do not have any toxic additives. We'll do it in a perfectly normal
way.

31 | P a g e
7.7 People

Every human being is valued in our company. However, if we talk about any of the people, they
are:

Suppliers
Production Team Executives(Entrepreneurs)
(Household & Restaurants)

Volunteer Team Delivery Team

We would see these types of people in the early stages of a market. We hope that as we progress
through the growth period, we will be able to expand the department, as well as the people section.

8. Organizational Plan

8. A) Form of Ownership:

Sharkatha will be made up of five people. It would be a joint venture, with each partner receiving
an equal share of the profits. Both of Sharkatha's managerial responsibilities will be shared equally.
Initially, each of the five participants would have the same level of control on management
decisions. In the managerial divisions, we will occupy various roles. There will be a consensus
among the participants. The agreement would include the company's explicit policies and
regulations, as well as the mechanism for resolving internal disputes and recruiting new partners.
As the financial planner, our partner "Md. Atikur Rahman" will have check signing authority.
From the start of our company, we will split the profits evenly. We will both invest

32 | P a g e
equally in the business. As a result, profit-sharing can be achieved on an even footing. Initially,
Sharkatha's five founding members will serve as principal owners, with each member owning an
equal sum of stock based on their purchase.

8. B) Identification of Partners or Principal of Shareholders:

Our five partners are all North South University students with some previous part-time work
experience. We would do our utmost to run the company smoothly using our experience and
skills.

Current Partners of the Business:

Name of partners Position Ownerships Profit distribution

Md. Atikur Rahman Financial manager 20% 20%

Imran Hossain Marketing manager 20% 20%

Niaz Mahmud Production manager 20% 20%

Syeda Nazia Khan HRM manager 20% 20%

Israt Jahan Khan Research and 20% 20%

Development manager

33 | P a g e
8. C) Authority of Principles:

• A major decision affecting our company would be made by consensus of all

stakeholders.

• Any partner would be held equally responsible in the event of a debt default,
financial or management crisis.

• Inside their offices, our representatives would have the authority to make decisions.
However, once a significant decision is made, all participants may sign an agreement file.

The venture partners will contribute new ideas and advice, and if a partner wishes to remove his
or her entity from the venture, he or she must provide advance notice.

8. D) Management Team Background

Name Background

Md. Atikur Rahman BBA in Finance and Accounting

Imran Hossain BBA in Marketing and HRM

Niaz Mahmud BBA in Supply Chain

Management
Syeda Nazia Khan BBA in HRM

Israt Jahan Khan BBA in HRM

34 | P a g e
8. E) Roles and Responsibilities of Members of the Organization:

Md. Atikur Rahman

• He will be in charge of Sharkatha's accounting and financial operations.

• Many of the venture's financial decisions will be analyzed and monitored by him.
• He will be responsible for storing and recording all financial papers and accounts.

Imran Hossain

• He will be in charge of Sharkatha's entire publicity and promotional efforts.

• He'll be in charge of brand policy, social media and content marketing, market
analysis, and sales promotion.
• He will be in charge of establishing Sharkatha's brand reputation in the industry by
ensuring proper marketing and promotion.

Niaz Mahmud

• He will be in charge of Sharkatha's manufacturing department.

• He will be in charge of the design staff and will ensure that the output is of high
quality.
• He will be in charge of product quality and development, as well as ensuring
adequate coordination of manufacturing activity monitoring.

35 | P a g e
Syeda Nazia Khan

• She will be in charge of Sharkatha's human resources department.

• She will be in charge of all HR-related decisions, such as interview sessions, staff
salaries, and current executive training policies.

• She would also make recommendations on employee overtime and management of

staff and personnel.

Israt Jahan Khan

• Sharkatha's research and development unit will be under her supervision.

• She will make recommendations on new development and updates based on the
demand void.
She would collect insights by thorough market analysis and improve the product's consistency.

9. Assessment of Risk

9. A) Evaluate Weaknesses of Business

Sharkatha can face several challenges as a first-mover in the commercial organic fertilizer industry.
For example:

• Since our company, Sharkatha, is a brand-new business concept, it will be difficult

for us to explain how it will operate to others.

• It would also be difficult to persuade investors to put their confidence in us. Since
we are new to the industry, it would also be difficult to collect cash and capital.

• Since Sharkatha's idea is fresh and original, we will face a shortage of competition;
additionally, since we are new to the organic fertilizer market, we may miss out on learning
from any established rivals.

36 | P a g e
 • We may be suffering from a lack of understanding of the advantages of organic
farming. It would be difficult to persuade households and restaurants to collect kitchen
waste at first.

9. B) New Technologies

Sharkatha will begin by operating via online platforms. We will create a website and a Facebook
page called "Amader Sharkatha," where consumers can conveniently place orders. Many that do
not have access to the internet will place their orders over the phone. To inspire our daily waste
suppliers and clients, we will present them with various awards or gifts on a monthly basis. In the
future, we will strive to reach economies of scale by combining various forms of machinery. Our
key goal is to expand this company across Bangladesh and achieve a large-scale production
volume. After achieving a better place in the industry, we will try to use any available advanced
technology, such as a chain crusher, drum screener, basic compost turning machine, polishing
machine, and so on, to achieve all of the benefits necessary to expand our company.

9. C) Contingency Plans

Any company must take a number of risks in order to improve its market position. As a result,
certain backup arrangements should be in place that would function in the event of a business-
related crisis. We have some effective strategies to go forward in the industry, much like most
companies.

• We will initially have one warehouse that will be used for both manufacturing and
storage, but as we progress, we will build a new storehouse to store the finished goods. As
a result, our inventories will be secure in the event of a fire or an accident.

• We will aim to build an insurance scheme for the workforce until Sharkatha has
improved her financial situation. They would not be stripped of their fundamental right in
the event of an accident.

37 | P a g e
 • We have a long-term plan to install CCTV cameras throughout the production and
corporate office areas to monitor all production functions and delivery mechanisms. As a
result, we will be able to supply our consumers with high-quality goods.

• Furthermore, creating a positive effect on humanity is one of our special

contingency strategies. Bangladeshis are now well-versed in green and sustainable goods.
Their level of approval is rising. As a result, the notion of eliminating waste and producing
fertilizer will appeal to all. Customers' perspectives are increasingly shifting, and they are
searching for new goods that can satisfy their needs while still posing little environmental
danger. Sharkatha is on a mission to meet the need.

As a result, we are looking forward to developing good contingency plans that will help us build
a long-term, profitable, and sustainable enterprise.

10. Financial plan:

10. A) Assumption

Sharkatha's financial statement, cash flow, balance sheet, and lateral growth analysis have all been
estimated. We've also described the company's future challenges. For the past five years, we have studied
Sharkatha's results. For us, the first two years of business would be a struggle. Sharkatha's philosophy and
theory will take two years to fully realize. The first three years will be called Sharkatha's development and
expansion era. During that time, we will learn about our company's success, maturity, and profitability.
After five years of continuous operation in the industry, we will most likely determine if our company
requires a reduction or rejuvenation in the sixth year.

38 | P a g e
10. B) Pro forma Income Statement

Items 2021 2022 2023

Sales Revenue 2400000 3072000 4320000
COGS 850,000 900000 1100000
Gross Profit 1550,000 2172000 3220000
Operating and
administrative
Expenses:

Transportation cost 50,000 80000 120,000

Facebook page 25000 25000 30000
boosting cost

39 | P a g e
 Website making 15000 15000 25000
and
Maintenance
cost
Promotional cost 20000 25000

Gift and utility 160,000 180,000 200,000

expense

Total operating 240,000 320,000 400,000

Expense
Net income 1300,000 1852000 2820000

Sales Revenue Explanation

Year 1: 2500packets*80tk per packet*12 months = 2400000tk

Year2: 3200packets*80tk per packet*12 months = 3072000tk

Year 3: 4500packets*80tk per packet* 12 months = 4320000tk

Pro forma Income Statement

Items 2024 2025

Sales Revenue 6120000 7956000
COGS 1350000 1500000
Gross Profit 4770000 6456000
Operating and
administrative
Expenses:

40 | P a g e
 Transportation cost 180000 220,000
Facebook page 30000 35000
boosting cost

Website making 25000 30000

and
Maintenance
cost
Promotional cost 80000 120000

Gift and utility 250000 300000

expense

Total operating 565,000 705000

Expense
Net income 4205000 5751000

Sales Revenue Explanation

Year 4: 6000packets*85tk per packet*12 months = 6120000tk

Year 5: 7800packets*85tk per packet*12 months = 7956000tk

10. c) Pro Forma Cash Flow Projections

Pro Forma Statement of Cash Flows

Operating Activities 2021 2022 2023

Net Income 1300,000 1852000 2820000

Changing in working
capital:

Accrued Expense 0 0 5000

41 | P a g e
 Cash Flow from

operating activities 1300,000 1852000 2825000

Investing Activities:

Increase ( Decrease) in 260000 370400 564000

Owner’s Equity

Financial Activities:

Increase in cash 210000 552000 968000

Cash and cash

Equipment beginning 90833 101667 125000

of the year

Cash and cash

Equipment End of the 300833 653667

year 1093000

Pro Forma Cash Flow Projections

Pro Forma Statement of Cash Flows

Operating Activities 2024 2025

Net Income 4205000 5751000

Changing in working
capital:
Accrued Expense 10000 15000
Cash Flow from
operating activities 4215000 5766000
Investing Activities:

42 | P a g e
 Increase ( Decrease) in 841000 1150200
Owner’s Equity
Financial Activities:
Increase in cash 1385000 1546000
Cash and cash
Equipment beginning 159583 183750
of the year
Cash and cash
Equipment End of the 1544583 1729750
year

10. D) Pro forma Balance Sheet

Pro Forma Balance Sheet

Assets: 2021 2022 2023

Current Assets:
Cash or Cash 1300000 1550000 2000000
Equipment

43 | P a g e
 Inventories 200000 250000 400000
Total current assets 1500000 1800000 2400000
Property plant and
Equipment:
Total Property, Plant 60000 130000 160000
and equipment
Less: Accumulated 10000 300000 60000
Depreciation
Total Assets 1550000 1900000 2500000

Liabilities And
Owners’ Equity
Current Liabilities:

Account Payable 400000 500000 700000

Accrued expense 0 0 5000

(wages)
Total Liabilities 400000 500000 705000

Owners’ Equity :

Retained earning 1150000 1400000 1795000

Total Liabilities and 15500000 1900000 2500000

owners’ equity

44 | P a g e
 Assets: 2024 2025
Current Assets:
Cash or Cash 3300000 4400000
10. E) Equipment
Break Inventories 500000 700000
Even Total current assets 3800000 5100000
Analysis: Property plant and
Break even Equipment: analysis
mainly Total Property, Plant 300000 550000 describes
the current and equipment stage of the
company Less: Accumulated 100000 150000 and its
product. It Depreciation determines
the Total Assets 4000000 5500000 profitability
and advisability
of the Liabilities And company.
For Owners’ Equity Sharkatha,
fixed cost includes
Current Liabilities:
equipment costs,
warehouse maintenance
Account Payable 1000000 1300000
cost and utility cost
etc. Unit sales price is
Accrued expense 10000 15000
80tk which is the selling
(wages)
price of the fertilizer.
Total Liabilities 1010000 1315000
Breakeven
Owners’ Equity : point =
Fixed cost /
Retained earning 2990000 4185000 (Unit sales
price – unit
Total Liabilities and 4000000 5500000 variable
owners’ equity costs)
= 600000 / (80 - 40)
= 15000
Break even sales in Tk is equal 15000* 80 = 1200000 TK.

45 | P a g e
10. F) Horizon/ Growth Analysis

Ratios 2021 2022 2023

Currents Ratio 3.50 3.6 3.40
Quick ratio 3.25 3.1 3.0
Inventory Turnover 1.7 1.28 2.75
ROA .83 .97 1.12
Asset Turnover 1.54 1.61 1.72

Ratios 2024 2025

Currents Ratio 3.76 3.89
Quick Ratio 3.16 3.34
Inventory Turnover 2.78 3
ROA 1.05 1.06
Asset Turnover 2.44 2.50

46 | P a g e
10. F) Sources and Application of Funds

Sharkatha is an implementation of the idea of five young entrepreneurs. We are planning to

invest our own money as the capital for the business. Since we are going to invest our own
money as capital, we won't need any debt financing or bank loan. After managing the early-stage
financing of our business, we will convince the potential investors with our unique idea and
concept to invest in our business. So that Investors get proper incentives to invest in our business
and thus Sharkatha will grow bigger. So we can conclude, at the beginning period, we are going
to execute the plan with our own capital. Then after reaching to a certain position, we will apply
to our potential investors to invest in our business.

11. Bibliography

1. COMPLY. (2020). What is PESTEL and how does it help your organization
succeed. Retrieved from https://blog.v-comply.com/pestel-organization-success/

2. DISRUPTIV NATION. (n.d.). DRIVE BUSINESS STRATEGY &

COMPETITIVENESS
WITH PORTER’S FIVE FORCES. Retrieved from
https://disruptivnation.com/2019/11/17/porters-five-forces/

47 | P a g e
 3. EGYPT INNOVATE. (n.d.). SWOT ANALYSIS. Retrieved from
https://egyptinnovate.com/en/innovation-tool/swot-analysis

4. goLEAN SIX SIGMA. (n.d.). Stakeholder Analysis.

Retrieved from https://goleansixsigma.com/stakeholder-analysis/

5. Knoema. (n.d.). Bangladesh - Fertilizer consumption per unit of arable land.

Retrieved from https://knoema.com/atlas/Bangladesh/Fertilizer-consumption

6. Mohammad Saber Ali. (2020). Status of fertilizer production and factories in

Bangladesh. Retrieved from The Daily Star: https://www.thedailystar.net/status-
offertilizer-production-and-factories-in-bangladesh-21134

7. TRADING ECONOMICS. (n.d.). Bangladesh - Fertilizer Consumption (% Of

Fertilizer Production). Retrieved from
https://tradingeconomics.com/bangladesh/fertilizerconsumption-percent-of-fertilizer-
production-wb-data.html

8. 90% of people breathe polluted air; New Delhi is world's most polluted big city.
(n.d.). Retrieved from WHO: 1.
https://www.usatoday.com/story/news/world/2018/05/02/worldhealth-organization-air-
pollution-affects-90-population/572825002/

9. Air Quality Index ranks Dhaka's pollution 3rd worst in world. (n.d.). Retrieved
from Dhaka Tribune: https://www.dhakatribune.com/bangladesh/dhaka/2019/05/09/air-
qualityindex-ranks-dhaka-s-pollution-3rd-worst-in-world

10. Fertilizer Industry of Bangladesh.(n.d.). Retrieved from

http://emergingrating.com/wpcontent/uploads/2017/09/Fertilizer-Industry-of-
Bangladesh-Vol-I.pdf

11. Recent spatial gradients and time trends in Dhaka, Bangladesh, air pollution and
their human health implications. (n.d.). Retrieved from Taylor and Francis Online:
https://www.tandfonline.com/doi/full/10.1080/10962247.2018.154838

48 | P a g e
49 | P a g e