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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
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The type of business and explain:

“Chonx” is the name of our store. Our positioning will be a high-end fashion clothing store. We
focus on selling coats, bottoms, shoes and various accessories for customers of all ages. Since
our location will be near the school, our main customers will be students and young customers.
We have a group of excellent fashion designers in our store. So, we provide customers with
customized services. We will tailor clothes for customers according to the occasion they want to
attend. We can also modify the clothing service for customers.

Since our customers are mainly students and young people, our pricing will not be particularly
high. Customers can buy substitutes in some famous clothing stores at half or even lower
prices. Our philosophy is to let customers enjoy the best fashion at the lowest price.

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, footwear
and clothing accessories available to all genders. Chron 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.

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,etc. We will also tie up with
logistic partners like UPS & Fedex for the logistic aspect for our online customers.

Proposed Form of Business :

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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 all the 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, is in incharge of 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.
● Xaunchen Zhao, who will take charge of the Sales Department of the company, his
responsibility includes the sales of the company as a whole, including the sales 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.
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● 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
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/