KENYA COAST

NATIONAL
POLYTECHNIC
DEPARTMENT OF
ELECTRICAL AND
ELECTRONICS
ENGINEERING
DIPLOMA IN
ELECTRICAL AND
ELECTRONICS
ENGINEERING
UNIT: BUSINESS PLAN
STUDENT NAME:
BULIALIA VERONICAH
ADM NO.44581

BUSINESS PLAN
VOLTAMP
ENGINEERING SERVICE
P.O BOX 319-00500
KAKAMEGA
TEL : +254792113650
Email : Volta mp supplier a
gmail.com
ACKNOWLEDGEMENT
I wish to acknowledge God first and all the
people who helped me in different ways
for making my business plan to be
successful.
I would like to express my gratitude to my
parents and uncles who supported me and
encouraged me toward, the completion of
this business plan . I am also grateful to my
supervisor Mdm Grace for her valuable
guidance and support that helped me a a
lot and also enabled me coming up with this
business plan.
Table of Contents
ACKNOWLEDGEMENT
1.0 EXECUTIVE SUMMARY
1.1 BUSINESS DESCRIPTION
1.2 MARKETTING PLAN
1.3 ORGANIZATION AND MANAGEMENT PLAN
1.4 OPERATIONAL /PRODUCTION PLAN 1
1.5 FINANCIAL PLAN
2. O BUSINESS DESCRIPTION
2.1 BACKGROUND OF THE OWNER
2.2 BUSINESS NAME
2.3 BUSINESS LOCATION AND ADDRESS 2
2.4 FORM OF OWNWERSHIP
2.5 TYPE OF BUSINESS
2.6 PRODUCTS AND SERVICES
2.7 JUSTIFICATION OF THE OPPORTUNITY
2.8 INDUSRTY
2.9 GOALS OF THE BUSINESS
2.9.1 OBJECTIVES OF THE BUSINESS
2.1.0 ENTRY AND GROWTH STRATEGY
2.1.1 ENRTY PLAN
2.1.2GROWTH PLAN
CHAPTER THREE
3.0 MARKETING PLAN
3.1 CUSTOMER
3.2 MARKET SHARES
3.3 COMPETITION
3.4 METHODS OF ADVERTISEMENT AND
PROMOTION
3.5 PRICING STRATEGY
3.6 SALES TACTICS
3.7 DISTRIBUTION STRATEGY
CHAPTER FOUR
4.0 ORGANIZATION AND MANAGEMENT PLAN
4.1 MANAGEMENT TEAM
4.2 OTHER PERSONELS
4.3 RECRUITMENT TRAINING AND
PROMOTION
4.3.1 RECRUITMENT
4.3.2 TRAINING
4.3.3 PROMOTION
4.4 RENUMERATION AND INCENTIVES
4.4.1 RENUMERATION
TABLE OF RENUMERATION AND INCENTIVES
4.4.2 INCENTIVES
4.5 LICENSES, PERMITS AND BYLAWS
4.5.1 LICENCES
4.5.2 PERMITS
4.5.3 BY-LAWS
4.6 SUPPORT SERVICES
4.6.1 BANKING
4.6.2 INSURANCE SERVICE
4.6.3 CONSULTING SERVICES
4.6.4 LEGAL SERVICE
CHAPTER FIVE
5.0 PRODUCTION AND OPERATION PLAN
5.1 PRODUCTION FACILITY AND CAPACITY
5.1.1 FIRMS LAYOUT
5.2 PRODUCTION STRATEGY
5.3 PRODUCTION PROCESS
5.4 GOVERNMENT POLICY
5.4.1 HEALTH REQULATIONS
5.4.2 SAFETY
5.4.3 ENVIRONMENTAL REQULATIONS
CHAPTER SIX
6.0 FINANCIAL PLAN
6.1 PRE-OPERATIONAL COST
6.2 THE ESTIMATES OF THE WORKING CAPITAL
6.3 CASH FLOW FOR THE YEAR 2024
6.4 PROFOMA INCOME STATEMENT
6.5 PROFORMA BALANCE SHEET
6.6 BREAK EVEN CALCULATIONS AND
ANALYSIS
6.7 PROFITABILITY RATIONS
6.8 DESIRED FINANCE
APPENDICES
EXECUTIVE SUMMARY
1.1 BUSINESS DESCRIPTION
The proposed business will be called
VOLTAMP ENGINEERING SERVICES. The
business will be located in Kakamega town,
near the police station. Next to Khetias
supermarket along Amalemba Road. The
enterprise is a sole proprietorship type of
business which aims on maximizing profit,
and create self employment: monitor, archive,
keep records of footage and enhancing
employee productivity. The business falls
under Electrical engineering. The enterprise
will out do its competitors within the
surrounding because of the skills acquired
through training and the market research
undertaken which will capture wide targeted
group of customers
1.2 MARKETTING PLAN
The business expects competitors from
various firms within Kakamega towns and
neighboring towns. So as to cope up
with competition the proprietor will rely on
market analysis. This will help the proprietor
to identify the strength and threats of the
competitors and take advantage of there
weakness and capitalize on the opportunities
available .
1.3. ORGANIZATION AND MANAGEMENT
PLAN
The enterprise will formulate a simple
organizational and management structure at
the initial stage. The manager will be the
owner of the business and will have an
assistant manager who will relieve him when
off duty. Business personnel will also be
included to assist running of the business.
Some legal documents and other support
services will be required to run and start the
business.
1.4OPERATIONAL /PRODUCTION PLAN
The business operations will commence and be
carried out as per the business policies. Few
equipment and facilities will be purchased
initially and others bought later once the
business expands.
1.5 FINANCIAL PLAN
The financial plan shows all the
expenditures that will be incurred prior to
and during the business operation.
Proprietor has to calculate a gross profit
which will cover the whole cost incurred. The
proposed capital will be Ksh 300000. That
will be owner savings Ksh
500000 from family contribution and friends.

CHAPTER TWO
2. O. BUSINESS DESCRIPTION
2.1. BACKGROUND OF THE OWNER
The proposed business will be owned by
Bulialia Veronicah aged 22years old single
living in Kakamega address 319, currently a
second year student in Kenya Coast National
Polytechnic pursuing a diploma course in
electrical and electronics engineering
2.2 BUSINESS NAME
The proposed business will operate under the
name, VOLTAMP ENGINEERING SERVICES.The
business name is derived from my own
creativity of how the business will work
efficiency as the name suggest the business
will operate express quickly and efficient to
cater for the needs of the customers. At the
start-up stage the business will operate as one
branch with a projection to set up a number of
branches after few successive year of
ooperation

LOGO

2.3 BUSINESS LOCATION AND ADDRESS

The business will be located at Kakamega
town along Amalemba road near the high
court and police station and oppositeKhetia's
supermarket. To find the business, Email on
voltampengineeringservices@gmail.com,
PO BOX 319, KAKAMEGA.

Key
High court andpolice station

2.4 FORM OF OWNWERSHIP

The business will be a sole proprietorship
form with one manager who isthe owner and
the boss of the business. The owner will
enjoy the profit alone, the business requires
capital and decision making. The
disadvantages of this business is lack of
skilled personnel, suffering the losses alone
and poor decision making.
2.5 TYPE OF BUSINESS
The business will be a start up and is to be
registered January 2021 after graduating from
the college. The business will be labor
intensive where the employees will be
working daily from Monday to Satourday
and the hour of operation will be from 8:00
AM TO 9;30 PM. The business will deal with all
types of electrical and electronics equipment
in repairing , preserving their condition,
checking wear and tear from time to time to
ensure the efficiency of the equipment.
2.6 PRODUCTS AND SERVICES
2.6.1. Products
The business will be in existence in order to
easen decision making in settling dispute since
footage from security camera will be
incrediblyimportant. The product to be offered
are like:
 table clock Wi-Fi camera
  Bulb, wall clock, flexi-cable and button spy
wifi camera
 Spy pen and spy watch etc
Most of this products are wireless remote
viewing and the client are fortunate since
they will not have to chose from tjousands
of camera types because the business will
do that for themand this product will be
sold according to customers needs and
other will be supplied to the
orderedcustomers. The package will be
doinby use of bags with business log.
When the customers request for bulky
products
2.6.2. SERVICES
The business will offer services llike;
 transport which will be shared between
the owner and customer
  Provide door to door delivery mostly to the
customers in need of installation
 Provide fee loading and offload
 Provide bags to customers
2.7 JUSTIFICATION OF THE OPPORTUNITY
The business will be a successive as its location
is favorable due to the following:
I. Good infrastructure-this includes health
facilities and roads. The business will be
located at town center where
infrastructure is highly developed. This will
aid in transportation of products and
worker to their destination
II. Availability of Market-security being highly
needed around town, the business will not
require high effort and much time spend in
convincing the clients ito make use of the
product
III. Good and conducive environment-the will
will run a great and conducive manner for
both employee, business operators and
nearby people
IV. Location- The business being positioned
near high court, it will be easily accessible
to many people. The place will be spacious
for both loading and offloading.
V. Security- since the business it self’smain
aim will be to increase the monitoring and
keeping footage’srecords, with the help of
police station around, the security will be
tight
VI. Skills-The business will the runned and
machine/equipment operated by highly
skilled personnel. This will help the business
to provide outstanding business service and
clean efficient work to the customers
2.8 INDUSRTY
The proposed business belongs toelectcronic
industry. Other industries in the town of the
proposed are small in size hence on stiff
competition. The business intends to employ
twelve people the owner included as the
manager. These people will be skilled and
able to communicate with customers politely
and more committed at work. There will be
application of modern technology as a new
method of operating the business and other
improved method of advertising the products
in order to let my brand known to the
customers
2.9 GOALS OF THE BUSINESS
The proposed business EXPRESS MILK AND
SNACKS SUPPLIERS want to be came a quality
leader in the whole of Thika and also
penetrate into other markets regions nearby
2.9.1 OBJECTIVES OF THE BUSINESS
SHORT TERM OBJECTIVES
 To create profits.
 To lift the standards of the owners through
making profits
 To create employment to people around
the business
 To take ownership of my career
 To pursue the passion and utilize my talent
LONG TERM GOALS
To lift the standard of the community
To expand the business to other towns
2.1.0 ENTRY AND GROWTH STRATEGY
The VOLTAMP ENGINEERING SERVICES
enterprise will penetrate and gain
acceptance in the market by advertisement
and posters within the town and
surrounding areas. There will be a signboard to
show the direction and advertisement will be
through the local magazine, radio station,
billboards and television. The business also
intends to lower its charges to attract more
customers and with the aim of raising
relatively higher than the competition
around. The owner wishes to expand the
business through the profit of sales that will
later enable her to start another business
which will offer more services which will
create more employment opportunity

2.1.1 ENRTY PLAN

The employee that will be employed will be
more skilled as will be able to communicate
to customers as well compared to other
electrical engineering businesses around the
area and products will be sold at a meaningful
and understandable price.
In order to attract customers we will be
offering discounts to buyers of the bulk
product.
2.1.2. GROWTH PLAN
The proposed business will penetrate and gain
acceptance in market area by advertising the
product offered. Advertisement will be
through magazines , billboard, and television
this will help the business to grow forth
other electrical engineering business around
do not advertise their product s and services
thus have more customers and expand to
most areas.
We will hire a car while starting the business
and buy our own.
The business will nurture existing customer and
look for ways to get new ones.
Strategies will be made to ensure that the
business does not lose the existing customers
and ways of accessing new ones will be put in
place, these include: keeping them updated on
promotion in the business website and through
emails and also through advertisement
National Networking Events will be attended in
order to lay a platform for the enterprise to
build strong relationship with people and also
encourage them to refer customers to the
enterprise.

CHAPTER THREE
3.0 MARKETING PLAN
3.1 CUSTOMER
The target of the business will be selling
products to expected potential customers
including retailers, individuals, hotels,
institutions, like schools , hospitals . the
VOLTAMP ENGINEERING will consider all
customers from all backgrounds. The product
will always beefficient and always of good
quality and quantity
Breakdown of customers is as follow:
 Institutions:-Hospital
-schools
 Wholesaler:-Supermarket
-hotels
 Retailer;-
 Households/ individuals

3.2 MARKET SHARES

The proposed business will expect to sell

product worth a hundred thousand
(100,000) this is because it will offer more
favorable services and product than `other
competitors hence the place it will be located
in densely populated
BEFORE PENETRATING INTO THE
BUSINESS

Enterprise 1 2 3 4
Customer 1300 4500 2700 1500
Market 13% 45% 27% 15%
share

za
AFTER PENETRATING INTO THE BUSINESS

Enterprise 1 2 3 4 5
Customers 1000 4000 1800 1100 2100
Market 10% 40% 18% 11% 21%
share
3.3 COMPETITION
3.3.1.COMPETITORS NAME

The competition in the VoltAmp engineering

services will be vast after penetration,
competitors in the market include;
1. Power engineering services
2. Fair and fast electrician
3. Reliable engineering hardware
4. Mr. Trusty Electrician

3.3.2.SWOT ANALYSIS

Competiti Strength Weaknesse Opportuni

on s ty
Power •good • Very high •Opening
engineeri service prices of the the
ng •experien products business
service ced staff on time
 • High skill and
personnel clossing
late
• Low
prices of
goods
Fair and •Highly •Poor •Strategic
Fast creative location ally
electricia employee •Small located
n space for • Large
loading and space for
offloading loading
and
offloading
Mr. •Offering • Poor •High
Trusty discount Quality of quality
to products products
business •Lack of •Availabili
• Low finances ty of
prices finances
to run the
business
Reliable •it's large •inexperien •Experien
engineeri •Operates ced staff ced Staff
ng for on • inefficient •Efficient
hour work work
VoltAmp •Experien •Not large •Large
engineeri ced staff •Lack of space
ng • Strict fame since •very
service financial the famous
control business is
new
DCCC

3.4 METHODS OF ADVERTISEMENT AND

PROMOTION
VoltAmp engineering service enterprise will
have along term plan of increasing security
level in serious locations around Kakamega
county and neighboring counties and thus
deliberately build the brand to well excepted
first in Kakamega before venturing out
The following will be intended to advertise
the business;
 Create a website for the enterprise
which will be accessed by all
 Placing adverts on both print
(newspaper and magazine) and
electronic media
 Install billboard in strategic location all
around major town in Kakamega and
outside
 Ensure that the products are well
branded and all staff wear the
customized T-shirts and all official cars
and tracks are customized
 Lavarage on the Internets and social
media platforms like; Facebook, twitter
etc to promote business brand.
The advertisement will cost about 20000.
Customers who will buy the product in bulk
will share their transport fee with the business
hence promote more buyers into the business.
The effect of advertising will note by increase
in number of customers thus increase in sale
and increase in profit. And in oder to promote
the enterprise effectively, the following
methods will be used;
 Printed calender will be issued to the
customers who will come to buy
 Notebook, pens and branded T-shirt which
are customized with enterprise name will
be offered to the customers who buys in
bulky
 Offers and discounts to all
constantcustomers in the enterprise

3.5 PRICING STRATEGY

Voltamp enterprise will offer affodable price
to the sales and services althogh the Selling
price of product will depend on the cost
incurred from purchasing, transport and also
considering of the selling price of the
competitors. Voltamp Engineering eservices
will consider the amount of profit of the
produce
After the sales service to offered, the
customers will be given bags to carry their
products which will contain the business
name and also the services to be offered.
To loyal customers they will be able to buy
goods on credit which will be expected to be
paid in monthly installment with an interest of
10% for two month.
More of the products will entail a warranty of
twenty four month and below, installation will
be conducted by the workers who will be
transported on the Enterprise’s cost and the
installation and repair will be done on the
customer’scost, maintainance process will be
provided by the enterprise on every product
and the customers will be taught on how to
maintain their equipments before and after
the purchase
3.6 SALES TACTICS
The enterprise will use direct method of
selling their product. This will help them
associate with the customers and also know
the like and dislikes of the customers
This will help to cover areas around the
business and nearby places.
The enterprise will be free to any mode of
payment through the following:
 Mpesa
 Cash
 Online payment
3.7 DISTRIBUTION STRATEGY
The channels that will be use to distribute our
product are the retailers and upon the
requrequest. Thee means of transport that
will be used will be determined by the
quantity of product and also the cost that
will be used on transportation will be shared
between the customer and the business.
This transport may cost Ksh 20000 month.
Special problem that we will undergo or
anticipate during distribution are poor
mobility due to network in some areas.
CHAPTER FOUR
4.0 ORGANIZATION AND MANAGEMENT PLAN
4.1 MANAGEMENT TEAM
The proposed business will have the following
in the management team
 Board of director ;-
 General managing director
 Assistant manager
 Finance manager
 Opreration manager
 Human Resources manager
 IT manager
 Quality assurance manager
 Safety officer
4.2.ORGANIZATION CHART
 4.2.1. MANAGEMENT TEAM
QUALiFICATION, DUTIES AND
RESPONSIBILITY
TITLE NO QUALIFICATIO DUTIES AND
. N RESPONSIBILITI
ES
General 1 1. Honest 1. Create
managin and policy and
g hardworkin strategies
director g 2. Making
2. Holder decision
of diploma 3. Employi
in electrical ng,
engineerin recruiting,
g promoting
3. Have and
two/above demoting
year of employee
experience
in electrical
 field
Assistan 1
t
manager
Finance 1 1. Holder 1. Analyzin
manager of diploma g target
in finance 2. Managi
manageme ng and
nt coordinatin
2. Honest g monthly
and reporting
trustworth budgeting
y and
3. One reforecast
year procesprovi
experience ding back
office
services
such as
accounts
payable,
collection
 and payroll
3. Monitor
ing cash
flow
Human 1 1. Holds 1. Making
resource of diploma company
manager in Human staffs,
resource including
manageme coordinatin
nt g and
2. Have supporting
skills on the
business recruitment
manageme process
nt 2. On
3. One boarding
year new comers
experience to the
in the field enterprise
3. Determi
ning
suitable
 salaries and
remunerati
on
4. Provide
necessary
support
system for
payroll
requiremen
ts
Operatio 1 1. Ready 1.make
n to work important
manager 2. Have policies,
3yrs of planning and
experience strategy
in machine decisions
operation 2. Develop,
implement and
review
operational
policies and
procedure
IT 1 1. Bachelo 1. Running
manager r’s degree regular
in checks on
informatio network
n and data
Technology security
, computer 2. Identifyi
science ng and
informatio acting on
n system or opportunity
related to improve
field the
business
Security 2 1. Ready 1. Provides
officer to work security in
2. Diplom the whole
a in enterprise
electrical 2. Control
safety, traffic and
health or organizing
environme parking for
ntal all visitors
 manageme 3. Submit
nt security
report
weekly
Quality 2 1. Leaders 1. Maintai
assuranc hip and ning strong
e communica overall
manager tion skills quality
2. Ambitio control of
us and products
innovative made by
3. Bachelo the
r’s degree enterprise
or adhering to
associates reliability,
with performanc
experience e and
in the field customer
expectation
s
Other 4 1. Certific 1. Making
personn ate in for order
el ; respective required
field 2. Collecti
2. 2 to 3 on of cash
years of 3. Free
experience transport of
3. Must workers
have a 4. Provide
driving security at
license night

4.3 RECRUITMENT TRAINING AND

PROMOTION
4.3.1 RECRUITMENT
The manager will recruit the employees on
the basis and qualifications. The catchment
areas are one kilometer from then location
of the business.
The recruitment will be done using various
methods:
1. Advertisement of vacant position on the
radio, TVs, newspapers and website will be
done. Online application will be
recommended for application and printed
forms will be dropped to the enterprise.
Application will be done in a specific given
period of time
2. After submission of forms by the
candidates who will have applied,
assessment and verification together with
evaluation will be carried out by responsible
people according to the organization
strategy selection and shortlisting of
qualified candidates will be done and the
interview carried out accordingly. In
addition the interviewee will be allowed to
show their skills on machine operation as
 the interviewer observe. Also word of
mouth will also be used for other personnel
4.3.2 TRAINING
Each activity carried out by the user by
the business will be used as a training
exercise to the employee which the will
gather more experiences that they already
have. Their idea also will help run the
business if they are beneficial. Different
measures will be used to different employee.
I.e.for the newly staff induction training will
be offered and for the promoted ones too.
Also on the job training will be done and off
the job training ie workshop, seminar,
conference, etc
4.3.3 PROMOTION
Promotion of the employees will be based
upon the work that the employee has
craned out and how effective it is, level of
performance, level of education and length of
service ie seniority. This will drive them to
work hard and be a beneficial to them and
promote the business. And this promotion
will be aid in boosting employee’ motivation
and morale. It will also result in high
productivity and also prevent the company
from losing Its valuable and important
employees
4.4 RENUMERATION AND INCENTIVES
4.4.1 RENUMERATION
Different method of payment will be used
after consodering the following factors;
1. status of employment eg full time or
part time
2. Level of employee eg whether in
executive or entry Level
3. Level of education and experience
4. Rate of gene rating capital
 4.4.2. INCENTIVES
Incentives will be offererd oftenly so as to
motivate employee to perform their duties
efficiently and effectively.
Allowance will be given to them after every
length meeting and when extra work is done.
The employee will be taken to trips after every
4 months so as to encourage them and also
medical covers will be catered for by the
company.
Free food and transport and announcement of
an accomplishment
of an employee at a company general meeting
will be done and reward offered to them

TABLE OF RENUMERATION AND INCENTIVES

TITL N Mo Hou Med Net
E O nthl se ical salar
 . y allo allo y/tot
pay wan wan al
me ce ce
nt
Gen 1 400 5000 2500 4700
eral 00 0
man
agin
g
dire
ctor
Assi 1 300 3500 1000 3450
stan 00 0
t
man
ager
Fina 1 200 3000 1000 2400
nce 00 0
man
ager
Hum 1 180 2500 1000 2150
an 00 0
reso
urce
man
ager
Ope 1 200 2000 1000 2300
ratio 00 0
n
man
ager
IT 1 160 2000 1000 1900
man 00 0
ager
Secu 2 100 500 800 2260
rity 00 @ @ 00
offic @
er
Qual 1 150 1000 1000 1700
ity 00 0
assu
ranc
e
man
ager
Oth 4 120 800 800 5280
er 00 @ @ 0
pers @
onn
el ;
Safe 1 140 1000 1000 1600
ty 00 0
offic
er
Tota 1
l 2

4.4.2 INCENTIVES
Employees will be given health insurance
cover and house allowances they will be
paid over time money that’s for every
overtime it will be paid 130ksh. The
employees will be provided with free lunch
and four o’clock tea by the business
4.5 LICENSES, PERMITS AND BYLAWS
4.5.1 LICENCES
The business will require a trading licenses
from the Nairobi city council which will cost
3000 KSH per month. This is to comply with
the laws of the county
4.5.2 PERMITS
The business will acquire its permit from
Kakamega count government. LIt will be
checked once a year and will cost 4000
shillings.
4.5.3 BY-LAWS
We will be required to fill a tax return from
the revenue authority so as to comply by the
laws of the country this will cost 300 shillings
monthly.
4.6 SUPPORT SERVICES
The support service like bank will help in
keeping money and enhance savings in
business.
4.6.1 BANKING
The business will open an account with equity
Bank in Kakamega as a fixed account with the
name Voltamp Engineering Services. The
service will help the business in building up
and to borrow loans from them when we need
it with low interest that’s why we prefer to
open on account with them.
4.6.2 INSURANCE SERVICE
We will incur an insurance cover from the
JUBILEE INSURANCE this will insure us from
any danger that may occur which we will be
paying three thousand shillings for every six
months.
4.6.3 CONSULTING SERVICES
We will seek advice from grown enterprises
who has been in this business for a long period
and I always look up to him and so he can be
of much help in giving the perfect advice.
4.6.4 LEGAL SERVICE
In case of any problem the business we will
seek a legal service from FUTURE ADVOCATES
for 1500 shillings per month and its located in
Kakamega along Amalemba. Future advocates
P, O BOX 319, Amalemba
Glory be it floor 4, room 6.
CHAPTER FIVE
5.0 PRODUCTION AND OPERATION PLAN
5.1 PRODUCTION FACILITY AND CAPACITY
Voltamp enterprise will require a premise to
operate from, this premises will be situated at
kakamega town at amalemba area. The
enterprise will require offices for other
manager, supervisors and accountants.there
will be other facilities required as listed below;

Table of production facility and capacity

ITEMS Quantity Cost Suppliers Total

per
unit
Computer
and printer 3 16000
system
Cash book 1 600
Telephone 1 3000
Electrical 1 6000
tool box
Electronic 1 6000
tool box
Chairs/tables 6 1000

Repair and maintenance will be done by

experienced who will be checking the
equipment monthly mostly electronic.
5.1.1 FIRMS LAYOUT
Diagram
5.2 PRODUCTION STRATEGY
VoltAmp Engineering will adopt the following
strategies to ensure the product and service
offered to the customer are of high quality
I. VoltAmp will always test the product
before launching it so that to anticipate
how users might react to the product and
see what changes might be needed before
the release to the public
II. The business will be listening to the
customer by interacting freely with them
so as to get feedback about the product.
The negative feedback will help the
 enterprise to know how to improve the
product better and meet their customers
needs
III. Product strategy will be build with details
information about produce and the
company’s vision for it will serve as a road
map of the product’s journey in the
business from creation to launch
IV. The business will higher qualified and
skilled personnel and they will be trained
on the use of various equipment in the
enterprise
V. The business will compare the product
with the competitors in terms of quality,
prices and effectiveness
5.3 PRODUCTION PROCESS
VoltAmp Engineering enterprise is a business
that will deal with offering services like repair
of electrical accessories or gadgets, CCTV etc
and also selling electrical equipment, material,
tools etc, therefore, the following steps will be
used in the production
STEP ONE
Purchase of the stock ie material, tools and
equipment to be sold and used in the business
STEP TWO
Transportation of the purchased good to the
place of business will be done
STEP THREE
Unloading of the goods from the track and
storing them in the store and some will be
arranged on the shelves ready to be sold
STEP FOUR
Customer will be welcomed warmly into the
premises so as to make their own choice on
purchase
STEP FIVE
 Transaction (legal) will be made if the
customer will need to buy the item whereby
the receipt will be issued which will consist of:
I.
Name of the enterprise
II.
Name of the customer
III.
The item bought
IV.The date to which the transaction will be
made
V. Signature of the salesman
STEP SIX
Packing of the purchased goods in special
bags and if transportation is needed, special
arrangements will be made between the
enterprise and the customer
STEP SEVEN
Customer leaves at his or her own will
STEP EIGHT
Replacing and purchasing of other items
 When offering the service of repairs then the
following steps will be taken for production
STEP ONE
Welcome the customer to enjoy the service
offered
STEP TWO
To fault diagnose the gadget or equipment
brought for service then advice will be given
accordingly
STEP THREE
Initiate payment over the work and agree on
how to be paid
STEP FOUR
The customer to collect his or her item in good and
working condition.
TRANSPORTATION 1p AND SUPPLY AND
INSTALLATION
The fineshed products will be launched and
later be transported to the customers upon
the order, the loading and unloading will be
done by the same loaders who will be dealing
with installation. Customers who buys in bulk
will be given free transport services and other
transportation of goods to the institution and
wholesale will be done by company’sdriver
V.3. PRODUCTION REGULATIONS
AFFECTING OPERATION
The enterprise will have regulations to govern
the business. All employees will be required to
obey and adhere to the regulation for efficient
and effective running of the business
5.4.1 HEALTH REQULATIONS
The business will ensure that all the
employees are covered by NHIF so that their
health will be under constant check up
5.4.2 FIRE SAFETYCERTIFICATE
The business will ensure that it’s compliance
of equipment and services will be approved at
the legislative level with fire fighting standards
as confirmed by the certificate
5.4.3 ENVIRONMENTAL REQULATIONS
National Environmental Management
Authority body will be highly considered by
the business in order to ensure that there will
be no environment violation by ensuring that
e-waste is recycled and the enterprise will
avoid burn of the excess since it’s process is
hazardous to the workers health according to
WHO (World Health Organization)
5.4.4. SAFETY REGULATIONS.
The regulation requires one to have safety
gears when working in areas that threatens
the workers life. The business will ensure that
all employees have safety garments which will
include; cotton protective clothing with long
sleeve, helmet or hard hat, goggles for ee
protection, gloves, hearing protector and
safety footwear
5.4.5. FIRE EXTINGUISHER AND FIRE ALARM
SYSTEM
The business will have fire detection and
alarm system in the company in order to
detect fire in the area during the initial stages,
to allert the occupant and to support and
supervise the fire control and suppression
system. The business will also consider the
existence of fire extinguisher in order to
extinguish fire often in emergency situation.
Types of extinguisher will be of class B, C and
D since the company will be dealing with
electrical equipment and also flammable
liquids and metal
CHAPTER SIX
VI.1 FINANCIAL PLAN
VI.2 ASSUMPTIONS.
 The machine and equipment, furniture
and fillings will depreciate by 3% annually
 Electricity and water bills will vary
according to the output
 Bank interest on loan at 4% annually
 Salaries will remain constant for the first
year of operation but may appreciate year
by 3% from the second year based on the
contribution
 Sales and service may increase at least by
14%annually
6.2. PRE-OPERATIONAL COST
This is the total number of least expense the
incur in the business.
Table of pre-operational cost
Item Cost
Rent deposit 40,000
Tools, 120,000
machine and
equipment
Licence and 22,000
permits
Safety gear 45000
Electricity and 20,000
water bills
Advertisement 20, 000
Stationary 10, 000
Insurance 25000
Furnitures and 50, 000
fillings
Sales agents 20, 000
Total
6.3. OPERATIONAL COST.
During operation of the business the following
cost will be incurred
Item Cost
Rent 8000
Electricit 1200
y and
water
bills
Permit 3000
and
license
Salaries 243, 700
Total 255, 900

6.3. THE ESTIMATES OF THE WORKING

CAPITAL
The business will have records of finances
used in the business for purchase and
expenses as illustrated below.
Balance sheet as at 31st December 2024
Current Amount Capital Amount
assets liabilities
Cash at 240000 Capital 100000
hand
Debitors 30000 Saless 270000
Cash at 60000 Creditors 27000
Bank
Bank 140000
overdue
Accrual 82000
Total Total

6.4. PLANNED INVESTMENT.

Item Amount
Investor 1 50000
Investor 2 55000
Contribution 50000
Additional 4500
investment
required
Total 200000

6.5. FLOW FOR THE YEAR ENDING 31st

DECEMBER 2024
The business will be able to identify the total
amount of the money spent in the whole year.
6.4 PROFOMA INCOME STATEMENT

6.5 PROFORMA BALANCE SHEET

Balance sheet for year ending 31st December
2021
Table below,
ASSETS
AMOUNT
LIABILITIES
AMOUNT

Furniture
10,000
Capital
50,000

Pro-box vehicle
489,000
Creditors
50,000

Stock
40,000
Short term loan
40,000

Cash at bank
10,000

Debtor
25,000

TOTAL
590,000
 TOTAL
590,000

6.6 BREAK EVEN CALCULATIONS AND

ANALYSIS
Break even this overdue profits that due
business gets offers selling its goods or
commodity to his customers. Contribution
margin.

VARRIABLE COST
AMOUNT

Electricity
168,000
Wages
120,000

Postage
144,000

TOTAL
432,000

FIXED COSTS
AMOUNT

Rent
48,00
Salaries
36,000

Loan interest
23,100

TOTAL
107,000

6.7 PROFITABILITY RATIONS

Expenses profitability rations
Gross profit % =GP/Sales X 100
Return of equity,
160,569.64/3,060,000 X 100
6.8 DESIRED FINANCE
DESIRED FINANCING
AMOUNT

Pre operational cost

152,000

Working capital
30,000

Fixed assets
140,000

TOTAL
322,000
APPENDICES
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