Oromia Capital Goods Finance Business Share Company

Business Plan Format

Road stone mine Delivering organization Business plan

Contact:
Tamirat Beshada
Legetafo
Around Mission
+251951370922
0951382722

tamiratroad@gmail.com

Mr. Tamirat Beshada, Owner

Created on November 30, 2023
Legetafo [Oromia] Ethiopia

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Confidentiality Agreement
The undersigned reader acknowledges that the information provided by
_______________ in this business plan is confidential; therefore, reader
agrees not to disclose it without the express written permission of
_______________.
It is acknowledged by reader that information to be furnished in this
business plan is in all respects confidential in nature, other than information
which is in the public domain through other means and that any disclosure
or use of same by reader may cause serious harm or damage to
_______________.
Upon request, the undersigned reader will immediately return this document to
___________________________.

___________________
Signature
___________________
Name (typed or printed)
___________________
Date
This is a business plan. It does not imply an offering of securities.

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Table of Contents
1. Confidentiality Agreement ------------------------------------------- 2
2. Company Description------------------------------------------------- 4
3. Executive Summary--------------------------------------------------- 5
4. Products & Services--------------------------------------------------- 9
5. Management & Organization---------------------------------------- 10
6. SWOT Analysis---------------------------------------------------13
7. Marketing Analysis----------------------------------------------------14
8. Target market-----------------------------------------------------------14
9. Sales and market strategy---------------------------------------------15
10. Sales forecast---------------------------------------------------17
11. Publicity and advertising strategy---------------------------18
12. Startup expenditure-------------------------------------------19
13. Sustainability and expansion strategy----------------------21
14. Appendix----------------------------------------------22
Financial Plan--------------------------------------------------22
a. Balance sheet ------------------------------------------------------------22
b. Cash flow------------------------------------------------------------------23
c. Income statement------------------------------------------------------24
Checklist/milestone ---------------------------------------------------------------25

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About company
No. Titles About business work deeply
1 Name of company Road stone mine delivering organization
2 Company owner’s Mr. Tamirat Beshada
 0951370922
 0951382722
3 Purpose of the proposal To enhance construction minerals delivering
4 Types of the business a private company
5 Initial budget & source 1,000,000 M Etb from own & 1.3 million from bank and
investors free interest loan
5 Company location Oromia, Shaggar, Legetafo Legedadi sub-city

Owner background
Mr. Tamirat Beshada has been work in stone mining and delivering organization for over 5 years
and worked on and off in the stone supply community for 3 years. He was a Stone’s mining Assistant at
stone mining and delivering from 2018-2021.

Road stone mine Delivering organization Business providing a wide variety of stone mine and related
for the construction company. This family-owned venture seeks to provide a competitive service to its
customers and secure a long-term financial opportunity and livelihood in which the entire family can
participate.

Legal environment
The applicant business was established in Oromia, Sheger, Legetafo Legedadi sub-city on January
/01/2024 G.C with initial investment capital of birr 2,300,000 birr which is financed by self and loan
from different investors or bank.

Regulations
Road stone mine delivering organization must meet all federal and state regulations concerning stone
mine Delivering. Specifically, Code of Oromia regional Regulations in proclamation no. 92-2005 Title
of 49(3) (a).

Product Lifecycle
All current Road stone mine delivering organization products are in production and inventory is being
accumulated.

Intellectual Property Rights

Road is a trademarked name in the State of Ethiopia.

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Research and Development

The company is planning to conduct the following research and development:
 Include a feedback mechanism on the website for ideas, suggestions, and improvements
 Provide comment cards for distribution at hand to hand giving
 Review available market research to identify top stone mine delivering and reason(s) for their
popularity

Time table of budget and beginning

The company budget calendar is according to E.C and always from july1 to June 30. And also this
business will plan to launch in month of January 2024.

Keys to Success
the keys to success in our business are:
 Location: providing an easily accessible location for customers.
 Environment: providing an environment conducive to giving relaxing and
professional service.
 Convenience: offering clients a wide range of services in one setting, and extended
business hours.
 fair price and timely deliver
 High achievement delivery
 Market research and networking
 Quality of delivery
 Feedback accept
 Technology supported
 Hiring experienced workers
Loan Origination
At Bank and individual investors, we understand the importance of screening loan applicants as it
impacts the revenue-generating potential of our company and that of our partners. If loan holders
fail to make their payments and default on their debt obligations, bottom-line profit suffers. During
the application process, FICO Scores and credit histories are reviewed before loans are approved.
Borrowers with poor credit histories are normally offered reasonable deals that fit their income.
Loan Processing
Loan documentation is processed and stored according to government standards. This makes it
critical for financing agreements to be carefully processed and inputted into databases efficiently. If
loan documents are mixed up or inputted into computer applications incorrectly, customers may be
improperly charged, and operations will suffer. Once processed, we maintain the loan account to
keep cash flows steady.

Risk assessment
Risk is uncertainty that faces every business. Normally no good business without risk, but the degree of risk is
different from one business with other one. As there is many competitors throughout the country, our stone mine
delivering may face the risk of gaining good market, scarcity of row material, quality problem and loss of customer
loyalty.

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3. Our Products and Services

Road stone mine Delivering organization intends to deal in all sorts of services to its various
customers in the target market. Our niche makes it very easy for us to be the exclusive Road stone
mine Delivering organization business here in Legetafo & all oromian cities.
However, instead of just providing core services to our customers, we intend to add other services to
in order to gain more customers while also creating multiple sources of income. Our aim is to make
profit as we legally can and as is permissible under the laws of the Ethiopia and oromia. above all, it
provided 24-hour timely service using a new software-supported control service to address quality
problems and shortages of suppliers
Therefore some of the services and products we intend to offer are;

 Supply and distributing constructional minerals

 Sale of stone, sand, gravel & topsoil related
 Distributor for several construction companies
 Equipment repair
 Training the workers, surround communities & mineral miners
 Stone mineral storing
 Consultancy and advisory services
 Make research on stone mining to identifies it’s factor affecting in different ways

Insert Machine photos here

4. Our management and organization
Vision

 Our vision is to be the exclusive Road stone mine Delivering organization business here in
Legetafo; and amongst the top 10 Road stone mine Delivering organization businesses in
Ethiopia by 2026.
 To enhance the Road stone mine Delivering organization
 To skill up the supplying of constructional minerals for the surrounding community with fair
price and quality
 Advance the way of controlling supply and distribution of construction minerals for the seek
of construction quality

Mission

 In order to achieve our goals and objectives, we intend to create a niche for ourselves in the
area where we operate, so as to have little or no competition. We also intend to grow and
expand as a company till we are known all over the one of sheger oromia city.

Core value

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 Our target is customer satisfaction

 Diverse logistic supply chain
 Commitment of work
 Technology supported
 Self confidence
 Low sales cost and convenient location
 Quality of supply and distribution
 Clear policy and feedback

Our Business Structure

Having the right business structure is very important to us as a business, because we know that
getting the business structure right will set us on the right path towards attaining success as an
organization. It is for this reason that we would sources for and hire only the best employees that
will help take our vision from where we are to where we intend to be.

 Chief Executive Officer

 Human Resources and Admin Manager
 Maintenance & store Manager
 Purchasing Manager
 Marketing Executives
 Accountants
 Customer Executive Officers
 Truck Drivers
 Security Guard
 Cleaner

 Research and quality control officer

General Manager
Partners Team
executive
a. Attorney HR Office Finance office
b. Insurance Agent
d. Consultants
e. Banker
f. Mentor /supervisor HR & Admin manager Maintenance & Store
g. Health followers
h. teachers ~ training
i. Local Elders
j. Local investors Customer executive officer Purchasing & Seles

Research & quality (delivery) control Accountant & casher

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Secretary & IT officer Marketing executive

Truck driver

Security guard

Cleaner

Table: Sales Forecast

Sales Forecast in Etb

Year 1 Year 2 Year 3
Sales
Sand 1000,000 1500,000 2500,000
Topsoil 400,000 500,000 800,000
claw sand 1st to 3rd Level 600,000 800,000 1,500,000
gravel 500,000 700,000 900,000
cobble stone 500,000 800,000 1500,000
Basal stone 1000,000 1700,000 2500,000
Total Sales 4,000,000 6,000,000 9,700,000
Direct Cost of Sales Year 1 Year 2 Year 3
Product Costs Etb 2,100,000 Etb 3,600,000 Etb 5,400,000
Other Etb 0 Etb 0 Etb 0
Subtotal Direct Cost of
Etb 2,100,000 Etb 3,600,000 Etb 5,400,000
Sales

12. Startup Expenditure (Budget) or financial plan

The Road stone mine delivering organization business is a capital intensive business especially if one
intends to set up a business that is of a certain standard. In generating start-up capital for our equipment
rental business, it should be noted that the bulk of the capital would go into purchasing these minerals
products, while the other heavy spending will be on paying employee salaries and bills.
Therefore the key areas where we intend to spend our start-up capital on are;
For Man-power proposed
No Types of profession qt Mode of Level of Single Total Total
educatio Monthly Monthly Yearly
. y hiring
n Salary in salary in salary in

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Etb Etb Etb

1 Chief Executive Officer/G. 1 permane Degree 10,000 10,000 120,000
manager
nt
2 Secretary & IT officer 2 permane Degree 8,000 16,000 192,000
nt
Human Resources and Admin Degree 8,000 16,000 192,000
3 2 permane
Manager
nt
4 Maintenance & store 2 permane diploma 4,000 8,000 96,000
Manager nt
5 Purchasing and sales 2 permane degree 6,000 12,000 144,000
Manager nt
6 Marketing Executives 1 permane degree 6,000 6,000 72, 000
nt
7 Accountants 1 permane degree 8,000 8,000 96, 000
nt
Research and quality control officer degree 8,000 16,000 192,000
8 2 permane
nt
9 Customer Executive 1 permane degree 7,000 7,000 84,000
Officers nt
10 Truck Drivers 2 permane 10th/12th 4,500 9,000 108,000
nt
11 Security Guard 3 permane 10th/12th 3,000 9,000 108,000
nt
12 Cleaner 1 permane 10th/12th 3,000 3,000 36,000
nt
Total 20 ---------- ----------- 75,500 120,000 1,440,00
0

Permanent Equipment expenses

No Description Qty Unit price in birr Total price in birr
1 computers 4 10,000 40,000
2 Printer and scanner 2 15,000 30,000
3 photocopy 1 35,000 35,000
4 chair 20 250 5,000
5 table 3 1,500 4,500
6 shelf 2 5000 10,000
7 Wired telephone 1 1000 1000
Sum 33 67,750 125,500
Equipment less use expenses
No Description Qty Unit price in birr Total price in birr
For 1 year
1 pen 1pack 700 700
2 pencil 1pack 500 500

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3 lapis 1pack 250 250
4 Printers kelem 2 2000 4000
5 paper 4 pack 600 2400
6 Air fresh 2 250 500
7 fluid 1 pack 600 600
8 mastish 2 150 300
9 colla 2 250 500
10 Broom 4 150 600
Sum 5,450 10,350

Renting expenses
No Description measurement Unit price in birr Total price in birr
Per month Per year
1 Office 1 4000 48,000
2 store 1 8000 96,000
3 Loading car 1 40,000 480,000
Sum 3 52,000 624,000

Utilities service expenses

No Description Total price in birr
Per year
1 water 1000
2 Electric power 1500
3 Telephone bill 3000
4 Registering the business 2000
5 Launching a website 20,000
6 Obtaining of licenses & 3000
accounting software
7 Insurance coverage 20,000
8 Miscellaneous 2000
9 advertising 5,000
10 training 5,000
11 maintenance 2,000
12 Employment taxes 10,000
13 Pension contribution 6000
14 Gov’t tax 25,000
15 Depreciation 5%*125,500 = 6275
Sum 111,775

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Part I

General Information about the Enterprise

Date of the Application----------------------------------------------

A. General Information of Enterprise

1.1 Name of the Enterprise: Road Stone Mine Delivering Organization

1.2 Zone_________District_________Town_________Keble____
Tel: mobile_____________Office____________
1.3 Business Form: Private Limited Company (PLC)
1.4 No. of members: Male: 4 Female: 3 Total: 7
1.5 Establishment year: 2023 Sector : Construction Company
1.6 Enterprise Status: Micro Enterprise
1.7 TIN No. _____________
1.8 Business (Trade) license on ------------------------
1.9 Capital Amount Registered: 2,000,000.00 ETB
1.10 Working Premises types : Rented Owned by the business
1.11 If owned by the Business: Indicate evidences

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1.12 If Rented: Indicate legal working agreement evidence

1.13 If Government cluster or shed: indicate evidence of working agreement

1.14 Current the business activities of the lessee

________________________________________________________________
1.15 Previous business types or activities __________________________________

B. Personal Profile

1.16 Personal Profile of the owner/s and Existing Employee

1.16.1 Profile of the owners (Lessee)

No Name Position in Education Profession Additional

the Enterprise level Skill and
experience
1
2
3
4
5

1.16.2 Existing Employee if any

No. Name Education Profession Additional Skill

and experience

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1.17 Current No. of workers excluding owners: Male ____ Female___ Total_____

Part II
A. Information About the Capital Goods (the machine) Requested
2.1Types of machinery requested
No Name of the machine Price of the Machine Clear Machine
Quantity

Estimated Estimated Total Specification (model)

Unit price price
1
2
3

2.2 Purposes of Requested the machine

__________________________________________________________________________
______________________________________________________________
2.3 Have you identified the machinery supplier? Yes No

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If yes, specify the name and address of the

supplier________________________________________________________________
2.4 Planned Lease Repayment years_________________________
2.5 Planned lease Repayment Terms -------------------------------------

Part III
 Market Linkages concerns
3.1 Do you have any contractual work agreement (market linkage) with any
organization? Yes No if yes, attach copy of the agreement)
 List name the organization or entity -------------------------------------------------
 Credit History concerns
3.2 Did you borrow from any other Bank/Micro Finance Institute? Yes

No If yes: --------------------
1. Name of the bank/Micro Finance Institute___________
2. Year of Borrowing________
3. Amount of the loan borrowed _____________
4. Current outstanding Loan balance________
5. Amount defaulted (if any)_____________
 Working Capital concerns
3.3 Amount of working Capital you need to start this business ________________

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3.4 Sources of Working Capital (State the amount of each source) from where? Own or
credit” specify it _______________________________________________

Part IV
Assets and Liability formats
No. Type of the Assets and Liability Amount in Birr
ASSETS
1 Cash on hand
2 Cash at Bank
3 Raw materials/ Inventory in Stock if any:
4 Finished Goods in Stock for existing enterprise if any
5 Receivables ( specify clearly its types )
6 Furniture, Equipment , Computers and others
7 Other Assets (if any)
Types of Machineries they have ( for existing enterprise only)
8 1.
2.
3.

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4.
5.
9 Tangible assets if any
9 Value of Vehicles (if any)
Value of owned Building (office or workshop) (1+2+3)=
1. Office
2. Workshop
3. Others specify it
Total Assets (A)
LIABILITIES(L)(
Loan (Credit):
1.
Total Liabilities (L)
Total Capital =(A-L)

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Part V
5.1 Production Cost Plan Summary

no Product type Raw material required

Product Measurem Unit Total

Type Qty
Qty ent Cost Cost

Total
Total production cost

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5.2 Manpower (labor)Required for the next 12 months (one year)

No Position Salary
Monthly Annually
1
2
3
4
5

Total

5.3 Summary of Other Cost

No Amount Remark
Birr Cent
2 Electric &Water
3 Transportation
4 Deprecation cost
5 Maintenance
6 Telephone
7 Rent
8 Advertisement
9
10

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Part VI

Marketing Plan
6.1Annual Sales Plan

No Product type M Quantity Unit sales price Total sales Remark

ea birr Cent birr Cent
.
1

Total

6.2 Marketing Strategies, Opportunities, Threats and Others

 Geographical distribution of customers

_____________________________________________________________
_____________________________________________________________
 Promotion and Advertisement Strategies
____________________________________________________________
____________________________________________________________

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 Major Competitors
No Name Location/ Stren Weak Compe
of Address of gth of ness titive
Compe Competitor Comp of Advant
titors s etitor Comp ages
s etitors

 Opportunities
____________________________________________________________
____________________________________________________________

 Threats /Challenges
_____________________________________________________________
____________________________________________________________
 Methods to overcome the Threats /Challenges
_____________________________________________________________
_____________________________________________________________
 Channel of Product Distribution system
_____________________________________________________________
_____________________________________________________________
 Pick Season for Product Sales

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___________________________________________________________
___________________________________________________________

On behalf /Representative of the Enterprise

 Name________________________
 Position in the Enterprise_________
 Signature_____________________
 Date_________________________
Name and Signature of the Members of the Enterprise:

Name signature

1. ______________________ ________
2. _______________________ ________
3. _______________________ ________
4. _______________________ ________

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Appendix

Balance sheet

Cash flow

Income and loss Statement

Check List / Milestone

 Business Name Availability Check: Completed
 Business Registration: Completed
 Opening of Corporate Bank Accounts: Completed
 Securing Point of Sales (POS) Machines: Completed
 Opening Mobile Money Accounts: Completed
 Opening Online Payment Platforms: Completed
 Application and Obtaining Tax Payer’s ID: Completed
 Application for business license and permit: In Progress
 Purchase of Insurance for the Business: In Progress
 Conducting feasibility studies: Completed
 Generating capital from family members: Completed
 Applications for Loan from the bank: In Progress
 Writing of Business Plan: Completed
 Drafting of Employee’s Handbook: In Progress
 Drafting of Contract Documents and other relevant Legal Documents: Completed
 Design of The Company’s Logo: Completed
 Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
 Recruitment of employees: In Progress
 Creating Official Website for the Company: In Progress
 Creating Awareness for the business both online and around the community: In Progress
 Health and Safety and Fire Safety Arrangement (License): Secured
 Opening party / launching party planning: In Progress
 Establishing business relationship with vendors – wholesale suppliers / merchants: In Progress
 Rent of Loading car: In Progress

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