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Business Plan for the company Chonx

Olivia Bailey, Nikolai Sobolev, Harmanpreet Singh,

Christine Joy Lopez

Lawrence Kinlin School of Business, Fanshawe College

BUSI 1005: Introduction to the Business Processes

Professor John Trembley

October 29,2021

Proposed Business:

The proposed business will be a fashion clothing store to satisfy the need of affordable fashion
statement pieces for young adults. The name “Chonx” was chosen as it entails the first initial of
the company’s management team. Our product ranges from tops, bottoms, sweaters,coats,
footwear and clothing accessories available to all genders. Chronx will be a retailer supplying
trendy fashionable clothing, targeting students & young adult customers.

The business idea originated from the lack of chic designs being accessible to average and
high-income earners. Majority of the desired clothing is attached to a high-end price; our
mission is to supply the needs of our customers without them having to spend half as much as
the top brands.

Proposed Location and Type of Location:

The location suggested is to have the clothing boutique located in front of Fanshawe College,
Main Campus, London, Ontario. This presents an opportunity as there are a large number of
students who are residing on campus, and this will enable us to maximize our foot traffic, as the
nearest mall is around 1.4 to 2.6 kilometers away from the main campus.
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Apart from the actual boutique, we will also cater to online orders and will be actively
participating in some online product selling platforms like Amazon.ca, and on our own webpage
etc. We will also tie up with logistic partners like UPS & Fedex for the logistic aspect for our
online customers.

Proposed Form of Business:

There are four types of legal business.

1. Sole Proprietorship

2.General Partnership

3.Limited Liability Company

4.Corporations

Chonx will be sole proprietorship in this you have to face all responsibilities on your own and
deal with all day-to-day activities by yourself. You do not need to pay any special kind of tax
because the profit of the business is counted as your personal income. There will be freedom
and flexibility in decision making. There is less paperwork to start a business and the
registration fees are also less as compared to other businesses.

Proposed Role of the Members in the Company:

● As we decided to create a sole proprietorship, this business has only one owner, Olivia
Bailey, who makes all important decisions and gets all Net income. However, this
person bears unlimited liabilities for the company. At the same time, the owner is a HR
manager who takes responsibilities for selecting new employees, monitoring
performance, creating plans for advancement and replacement etc.
● Chonx is a new business which needs to attract new customers and build strong
relationships with them; defines target markets; understands customers’ needs and
ways how they can be satisfied etc. Hence, the Marketing department, headed by
Nikolai Sobolev, oversees these tasks.
● As we want to have delivery opportunities for our clients, we need to have a person who
can organise the supply chain which controls the delivery of raw materials for our
business and delivery for our customers regardless of their destination. Christine Joy
Lopez, Operation manager can handle these tasks. Also, this person can be responsible
for the transformation of resources into goods and ensuring that these products are of
high quality.
● We need an Accountant, Harmanpreet Singh, who can create financial reports for
external (banks, suppliers, investors, customers) and internal users (marketer, operation
manager); defines financial soft spots which can be improved etc.
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● Xaunchen Zhao, who will take charge of the Sales Department of the company, his
responsibility deals with the sales of the company, including the sales made from the
boutique and our online platforms.
● We want to operate globally and provide our products online if people cannot visit our
boutique in London. Therefore, we need to have an IT manager in our team to organize
our website for customers.
● As we have a shop in London, we need to hire some people who can service and
consult our customers and use the cashier properly. The amount of these workers is 4
full-time people. Also, we are open to Coop practice from Fanshawe College.

Proposed ways for Financing the Business:

How the business will be financed

The owner will invest $50,000 capital to start up the business. However, this would not be
sufficient funds for the business to operate. The owner plans to also participate in Crowdfunding
using applications like GoFundMe. Crowdfunding involves a group of individuals collectively
pooling their financial resources to support someone’s initiative.

The owner intends to win funds through a pitch competition from government agencies and local
municipalities. A pitch competition is a contest where entrepreneurs present their business
concept to a panel in the hope of winning a cash prize or investment capital. The pitch
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competition can be a way to introduce yourself and business to the elite world of venture capital
and angel investment.
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References

1.Skripak, S. J. (2018). Fundamentals of Business: Canadian edition. BCcampus.

2. Motola,C. (2020). 20 Entrepreneur Competitions To Pitch Your Startup Idea (& How To
Maximize Your Chances Of Winning). https://www.merchantmaverick.com/pitch-competitions/