Executive summary:

The traditional way of fish farming comes with its demerits like time consumption, dependence
on nature, harmful effects on the environment, and not enough fulfillment of demands.  So many
of Asia’s top shrimp-industries are successfully shifting to the Biofloc technique, especially in
Bangladesh as it is possible to cultivate fish 10 to 20 times more than traditional methods or any
other process. Bangladesh has many ponds and rivers, so Biofloc fish farming is a very profitable
and economical method and has enormous potential there.  It provides the best utilization of land
and water resource and does not compromise on the feeding resources. In our project we
basically produce fish for our customers who are bachelors. We all are 5 partners ,working with
this business from different position. We basically use online platform for marketing .

Biofloc has had a huge impact on aquaculture, with a tremendous rise in fish production in
Bangladesh. This method of fish farming, which is applicable for practically all types of fish
industry, is responsible for the enhanced rate of fish development and improved quality. This
technology produces the highest quality fish with zero to low environmental impact, making it an
excellent answer to aquaculture's problems. Biofloc technology has the potential to aid in the
attainment of sustainable development goals by enhancing aquaculture production. This
technique has the potential to increase production while reducing environmental impact.
Furthermore, biofloc systems can be created and implemented in conjunction with other forms of
food production, resulting in more productive integrated systems that aim to produce more food
and feed from the same amount of land with less inputs

Financial Plan
Assumption
For a new business plan, we had to make some assumptions about some of the
business perspectives

Description Amount taka

Cash 750000
Rent 60000
Factory cost 50000
Transportation cost 10000
Office equipment and supplies 15000
Machinery and equipment 300000
 Waste material 30000
Trade license 30000
Salaries and wages expense 60000
Marketing cost 50000
Utility expense 40000
Other cost 80000
Total 725000
Tax rate 35%
Growth rate 10%
Interest rate 15%

Sale Forecasting years per months

Per 6 months :

Item Unit sale Unit price Total

Fish 500 700 350000

Per year :

Year 2021 2022 2023 2024 2025

Item Selling Selling Selling Selling Selling
amount amount amount amount amount
Fish 700000 750000 800000 900000 920000

Cost of sales

Year 2021 2022 2023 2024 2025

Sales revenue 420000 462000 508200 559020 614922
Salaries 8700 9350 9050 9232 9417
expense
Trade license 5000 5000 5000 5000 5000
Rent 10000 10000 10000 10000 10000
Marketing 50000 50000 50000 50000 50000
expense
Waste 1250 1375 1520 1660 1830
material
Machineries 350000 -- -- -- --
and
equipment
 Office 50000 40000 30000 20000 10000
equipment
and supplies
Other cost 20000 10000 10000 20000 20000
Factory cost 10000 10000 10000 10000 10000
Total 250000 100000 100000 150000 125000
expenses

Here,
Revenue –Cost of sale – Depreciation expense = Gross profit
So, Cost of sale (2021) = Revenue – Depreciation – Gross Profit
=420,000,– 50000– 33430
= 381570 BDT

Pro forma Income statement

Year 2021 2022 2023 2024 2025

Sales revenue 42000 46200 50820 55902 614922
Salaries 8700 8740 9051 92325 94171
expense
Research 5000 5000 5000 5000 5000
expense
Location(lease 10000 10000 10000 10000 10000
)
Marketing
expense
Utilities 20000 5000 5000 10000 1000
expense
Waste material 1250 1375 1525 1663 1830
Machineries 350000 -- -- -- --
Office 20000 10000 10000 5000 5000
equipment
Miscellaneous 3000 3600 3183 3120 3247
Expenses

Transportation 40000 -- --- -- --

Depreciation 10000 10000 10000 10000 10000
Expense

Factory 50000 -- -- -- --
setting

Total 85700 51620 52580 53050 54085

Expenses

EBIT 33430 45561 50543 56006 420370

Interest 28560 28560 28560 28560 28560
Expense

Earning 33144 40752 45276 55721 50257

Before Tax
(EBT

Tax 11185 13806 15344 17034 18895

Expense
(35%)
Net
Income
Here the net income of the company is increasing dramatically from year 2021 to year
2025, that indicates the company is generating higher profit which will increase the
profitability ratio of the company.
Pro forma balance sheet

Year 2021 2022 2023 2024 2025

Assets
Fixed Assets
Office 50000 30000 25000 20000 15000
Equipment

Mini Van for 10000

Transportation

App & 50000 50000 50000 50000 50000

website
development

Machineries 2550 2550 2550 2550 2550

Total Fixed 3600 3400 3350 3300 3250
Assets

Total asset 750000

L and OE
Liabilities
Current
liabilities
Long term 50000 40000 60000 70000 30000
liability
Total liability 625000 725000 825000 925000 970000

Cash flow statement

Year 2021 2022 2023 2024 2025
Cash inflow
Capital 750000 750000 750000 750000 750000
Net profit 21958 22694 29931 33219 368259
Total cash 26958 23194 34931 33000 32500
inflow

Cash outflow 8,070 4662 4758 4858 4985

Total Fixed 3600 3400 3350 3300 3250
Assets

Cost of sale 8070 4662 4758 4858 4985

Salaries 87000 88700 90514 92325 94171
Expense

Location 2000 2000 2000 2000 2000

(lease

Mini Van for 10000

Transportation

Marketing 10000 10000 10000 10000 10000

Utilities 25000 25000 25000 25000 25000
expense
Miscellaneous 30000 36000 31200 31800 32470
expense
Total cash 14590 10999 11053 11103 111901
outflow

Net cash flow 12368 22094 23877 27115 30635

Funding Source

Breakeven Analysis
It is critical to understand our break-even point in order to be profitable in business.
The point at which total revenue equals total costs or expenses is known as the break-
even point.
Breakeven point (Unit) = All expenses/Contribution margin
All expenses = 570,000
Contribution margin = Revenue (per month) - Expense (per month)
= 35000- 71166.66
= 27850.34
Breakeven point = 85700/2785.34
= 3.1

So, it depicts that the company needs to sell 3.1 Tons of cotton to cover the expenses
and go further to meet the profit objectives.
Performance indicators
Performance indicators play an important role in assessing and monitoring progress in
important areas of a company. The performance indicators are a collection of
quantitative measures used by a business to assess its performance over time.
Quantification of these indicators helps an organization to assess its effectiveness. It is
also easier to understand if the corporation is meeting its operational and strategic
objectives. Ratio analysis lets us quickly assess a company's financial situation and
performance.
Current ratio:
It is the liquidity ratio that calculates the ability of the firm to repay short-term
obligations or those due within one year. It's safer to have a higher current ratio. 2:1 is
known to be the benchmark for the current ratio. It allows an investor to understand
how a company can pay its short-term debt to its current assets.
Year Current assets Current debt Current Ratio
2021 20398 12500 163.18
2022 25266 12500 202.13
2023 28172 12500 225.37
2024 32367 12500 258.93
2025 36455 12500 291.64
Interpretation :

The graph portraits the current ratio for the upcoming 5 years.
From the graph we can see that current ratio for 2021 is almost 163 which means
Recycle Bangladesh has 163 Taka of current asset for its each 1 taka of current
liability. As we know way too higher current ratio indicates opportunity cost for holding
excess current asset. Therefore, our current ratios are increasing dramatically over the
period and we have an uplifting current ratio.

Debt ratio:
The debt ratio calculates the amount of a company's financial leverage and indicates
how much of the company's assets are financed by debt. Potential creditors and
investors are interested in knowing this ratio as it indicates how much the borrowed
fund a business uses in its operation. A lower debt ratio is better and attractive to
investors and creditors. It is calculated by dividing total asset by total liabilities.

Year Total Liabilities Total assets Debt ratio

 2021 62500 23998 3.83
2022 52500 28666 5.46
2023 72500 31522 4.34
2024 82500 35667 4.32
2025 13750 39705 2.88

Interpretation:
The graph portraits the debt ratio for the next 5 years. In 2021
the debt ratio is 3.83 from the graph it is evident that the debt ratio is increasing till 2024
and in 2025 it is 2.88.

Return on Asset (ROA):

Return on asset or ROA is a measures effectiveness of management. It measures how
effectively a company is managing its available assets efficiently and generating
profits. The higher return on assets is better for a company. It shows how much
revenue a firm can generate for 1 taka of asset venture. The formula of ROA: Net
Profit ÷ Total Asset

Year Net income Total assets (ROA)

2021 21958 23998 9.14
2022 26945 28666 9.39
2023 29931 31522 9.49
2024 332194 35667 9.31
2025 368259 39705 9.27
Interpretation:
From this graph above portraits Return on assets or ROA for
the upcoming 5 years. From the graph it is evident that ROA has increased from year
2021 to year 2023 as it has an upward trend. From 2023 to 2025 ROA has decreased.
The higher return on assets is better for a company. In 2025 ROA is 9.27 which
indicates that for each 1 taka of asset venture the firm has produced return of 9.27
taka .

Asset turnover ratio:

Asset turnover ratio is used as an indicator of efficiency of how a company is using its
assets to generate sales revenue. The higher the asset turnover ratio the more efficient
the company is at making revenue.

Year Net sales Total assets Asset turnover

2021 42000 23998 17.50
2022 46200 28666 16.11
2023 50820 31522 16.12
2024 31522 35667 15.67
2025 39705 39705 15.48

Interpretation:
From the graph we can see that asset turnover ratio increased then decreased a bit
over the period. In 2022, asset turnover ratio will be 16.22 times which means this firm
can generate 16.22 taka of revenue for each 1 taka in total asset.

Return on Investment (ROI):

Return on investment or ROI is financial measure of profitability that is used widely to
calculate return or gain from an investment. It measures the overall profitability of a
firm. Potential investors often look at ROI to decide whether they should invest in a
firm or not. A higher ROI is better for a firm as ROI indicates how much revenue a
company is generating against each taka of asset investment.
 Year Sales revenue Sales expense ROI
2021 42000 8570 4.90
2022 46200 6162 8.49
2023 50820 5228 9.66
2024 55902 5358 10.43
2025 61492 5485 11.20

The graph demonstrates the Return on investment for the upcoming 5 years. From the
graph it is evident that ROI of Recycle Bangladesh has been increasing over the
period which is a positive sign for this venture which indicates this firm is using its
investments efficiently. The ROI is raised from 4.90 to 11.20 over the period. In 2025
the ROI is 10.89 times that means this firm will generate profit of 11.20 taka for each 1
taka of investment.