UNIVERSITI TEKNOLOGI MARA (UiTM)

KEDAH BRANCH

INFORMATION SCIENCE STUDIES

FACULTY OF COMPUTING, INFORMATICS AND MEDIA

DIPLOMA IN LIBRARY MANAGEMENT (IM120)

ENT300 : FUNDAMENTALS OF ENTREPRENEURSHIP

GROUP ASSIGNMENT (3): BUSINESS PLAN REPORT - Baraqah Dairy

Prepared by:

ADIBAH NUR BINTI HAMAMI (2021484278)

ZULAIKHA BINTI IBRAHIM (2021490646)

MUHAMMAD FIRDAUS BIN MOHAMAD SHOFEE (2021840924)

NURAIN AREESYA BINTI JOHARI (2021625172)

AMIRAH HAMIZAH BINTI ZAILANI (2021630818)

GROUP KIM1204B

Prepared for:

SIR MOHD RADZI BIN MOHD KHIR

Submission date:

11ST JULY 2023

 ENT300 : FUNDAMENTALS OF ENTREPRENEURSHIP

GROUP ASSIGNMENT (3): BUSINESS PLAN REPORT - Baraqah Dairy

PREPARED BY:

ADIBAH NUR BINTI HAMAMI (2021484278)

ZULAIKHA BINTI IBRAHIM (2021490646)

MUHAMMAD FIRDAUS BIN MOHAMAD SHOFEE (2021840924)

NURAIN AREESYA BINTI JOHARI (2021625172)

AMIRAH HAMIZAH BINTI ZAILANI (2021630818)

GROUP KIM1204B

IM120 – DIPLOMA IN LIBRARY MANAGEMENT

INFORMATION SCIENCE STUDIES

FACULTY OF COMPUTING, INFORMATICS AND MEDIA

UNIVERSITI TEKNOLOGI MARA (UITM)

KEDAH BRANCH

11TH JULY 2023

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 ACKNOWLEDGEMENT

All praise be to Allah, the Lord of the universe, who has bestowed His mercy and
strength upon us to complete this group assignment based on the Proposal. May peace and
blessings be upon the last Messenger and Prophet, Muhammad, who serves as the ideal
example for mankind. We would like to take this opportunity to express our gratitude to our
lecturer, Sir Radzi, in the ENT300 course on Fundamentals of Entrepreneurship, for his
support and guidance in preparing this group assignment. We also appreciate everything he
has done to clarify the requirements of this group task, enabling us to successfully
accomplish it. May Allah reward him greatly for his efforts. This assignment has truly tested
our mental and physical abilities.

We would like to extend our highest appreciation and thanks to all those who have
directly and indirectly guided us in conducting and seeking the appropriate sources for the
expansion services, programs, or activities we have chosen. Our deepest gratitude goes to
our parents, families, friends, and colleagues for their continuous support, which we greatly
value. Furthermore, to those who have assisted us in finding the relevant sources to conduct
a thorough assessment, we express our sincere appreciation. We would also like to thank all
our KIM1204B classmates for their care and concern, which has provided us with valuable
experience in collaboration, communication, and adaptation within a serious group task.

Lastly, we would like to express our gratitude to our parents, who have continuously
supported us from the beginning of this assignment. They have also assisted us when we
encountered unknown and uncertain aspects. After completing this task, we have learned
new things that were previously unknown to us. It is great to have such assignments, and we
hope to make use of them someday in the future.

THANK YOU

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 TABLE OF CONTENT

CONTENT PAGES

ACKNOWLEDGEMENT 3

TABLE OF CONTENT 4

EXECUTIVE SUMMARY 6

1.0 BUSINESS BACKGROUND

1.1 INTRODUCTION TO THE BUSINESS 7
1.2 PURPOSE OF BUSINESS PLAN 10
1.3 BUSINESS BACKGROUND 12
1.4 PARTNERS BACKGROUND 13
1.5 BUSINESS LOCATION 23

2.0 ADMINISTRATION PLAN

2.1 BUSINESS MISSION, VISION, AND OBJECTIVES 25
2.2 BUSINESS LOGO AND DESCRIPTION 26
2.3 ORGANISATIONAL CHART 26
2.4 ADMINISTRATION PERSONNEL SCHEDULE 27
2.5 REMUNERATION SCHEDULE 30
2.6 COMPENSATION AND BENEFITS 31
2.7 ADMINISTRATIVE BUDGET 32

4.0 MARKETING PLAN

4.1 PRODUCT / SERVICES DESCRIPTIONS 34
4.2 TARGET MARKET 35
4.3 MARKET SIZES AND SALES FORECAST 36
4.4 COMPETITORS ANALYSIS AND MARKET SHARE 38
4.5 MARKETING PERSONNEL SCHEDULE 40
4.6 REMUNERATION SCHEDULE 40
4.7 MARKETING MIX 41
4.8 MARKETING BUDGET 44

5.0 OPERATIONAL PLAN

5.1 OBJECTIVES 45
5.2 PROCESS PLANNING 45
5.3 OPERATION LAYOUT 49
5.4 MATERIAL REQUIREMENT PLANNING 50
5.5 MACHINE AND EQUIPMENT PLANNING 52
5.6 LOCATION 53
5.7 BUSINESS AND OPERATION HOURS 53
5.8 OPERATION PERSONNEL SCHEDULE 53
5.9 REMUNERATION SCHEDULE 54
5.10 PERMITS / LICENCES REQUIREMENT 55
5.11 OPERATION BUDGET 55
5.12 OPERATIONAL BUDGET 56

6.0 FINANCIAL PLAN

6.1 FINANCIAL BUDGET (ADMINISTRATIVE, MARKETING AND 56
OPERATIONAL BUDGET)
6.2 PROJECT IMPLEMENTATION COST AND SOURCES OF 60

3
 FINANCING
6.3 LOAN SCHEDULES 61
6.4 DEPRECIATION SCHEDULES 63
6.5 PRO-FORMA CASH FLOW 66
6.6 PRO-FORMA INCOME STATEMENT 71
6.7 PRO-FORMA BALANCE SHEET 73
6.8 FINANCIAL PERFORMANCE 75

CONCLUSION 76

APPENDICES 77

BUSINESS MODEL CANVA (BMC) 80

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 EXECUTIVES SUMMARY

Baraqah Dairy is a partnership-based startup company dedicated to the

manufacturing and delivery of high-quality milk products in order to meet the ever-increasing
demand for a variety of flavours in the market. Our objective is to become a reputable and
well-known brand known for its commitment to freshness, superior quality, and
environmentally responsible agricultural practices. We aim to establish ourselves as a
leading provider of a wide range of milk flavours to cater to diverse consumer preferences.
At Baraqah Dairy, we offer an extensive selection of milk flavours, each carefully crafted to
provide a unique and delightful taste experience. Our product line includes classic flavours
such as chocolate, strawberry, and vanilla, as well as innovative options like matcha,
caramel, and cookies and cream. We believe in continuously exploring new flavour profiles
and staying at the forefront of milk flavour trends to captivate the taste buds of our discerning
customers.

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1.0 INTRODUCTION

1.1 INTRODUCTION TO THE BUSINESS

Baraqah Dairy is a company that is built on partnerships and focuses on the

production and marketing of high-quality dairy products. They have developed a strong
reputation in the industry. Products such as original milk, strawberry milk, and chocolate milk
are sold at Baraqah. We are a partnership, which indicates that we are regulated by a
particular legal framework that requires a minimum of six members to get together in order
for there to be a business organisation. This is because in order to become a partnership,
there must be a minimum of six members. We are able to combine our resources, our
abilities, and our shared goal in order to begin and nurture a lucrative business enterprise
inside the dairy industry because of this partnership that we have.

NAME OF THE BUSINESS: Baraqah Dairy

NATURE OF BUSINESS: Partnership

INDUSTRY PROFILE: Manufacturing

BUSINESS LOCATION: NO.21, GroundFloor, Jalan Tengku Ampuan Zabedah

K9/K, Section 9, Shah Alam, Selangor, Malaysia.

DATE OF COMMENCEMENT: 1 January 2020

vi. FACTORS IN SELECTING THE PROPOSAL BUSINESS

❖ Market Demand
Extensive market research was conducted to identify the demand for dairy products
in the target market. Factors such as population demographics, consumer
preferences, and trends in the dairy industry were analysed to assess the market
potential and demand for Baraqah Dairy Products.

❖ Competitive Advantage
Identifying and leveraging a competitive advantage is essential for standing out in the
market. Analysing factors such as product differentiation, quality, pricing, and
distribution channels will help determine if Baraqah Dairy Products can effectively
differentiate itself from competitors.

❖ Financial Viability

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 Conducting a thorough financial analysis is vital to assess the profitability and
long-term sustainability of the business. Evaluating start-up costs, revenue
projections, profit margins, and return on investment will help determine if the
business can generate sufficient profits and achieve financial stability.

❖ Partner Expertise
The expertise and skills of the partners are crucial for the success of Baraqah Dairy
Products. Assessing their knowledge in dairy production, business management,
finance, marketing, and operations will help determine if they possess the necessary
expertise to effectively run the business.

vii. FUTURE PROSPECTS OF THE BUSINESS

❖ Growing Demand for Dairy Products

The increasing demand for dairy products presents a significant opportunity for
Baraqah Dairy Products to meet the evolving needs and preferences of consumers.
By offering a diverse range of high-quality dairy products, the business can tap into
this growing market and capture a larger customer base.

❖ Health and Wellness Trends

The rising focus on health and wellness provides an excellent opportunity for
Baraqah Dairy Products to position itself as a provider of nutritious and wholesome
dairy products. By offering organic, low-fat, and lactose-free options, the business
can cater to health-conscious consumers and capitalise on the trend towards
healthier food choices.

❖ Sustainability and Ethical Practices

Consumers are increasingly seeking environmentally friendly and ethically produced
products. Baraqah Dairy Products' commitment to sustainable farming practices,
local sourcing, and animal welfare aligns with these consumer preferences. By
emphasising its sustainability and ethical practices, the business can attract a loyal
customer base and differentiate itself from competitors.

❖ Technological Advancements
The adoption of technological advancements in dairy processing and packaging can
enhance efficiency and drive innovation for Baraqah Dairy Products. Embracing
technology can optimise production processes, improve supply chain management,

7
and facilitate the development of innovative dairy products. This can give the
business a competitive edge and contribute to its long-term growth.

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1.2 PURPOSE OF BUSINESS PLAN

The development of this business plan for Baraqah Dairy Products was undertaken for a
variety of reasons and will prove to be an indispensable resource in directing our corporate
strategy, acquiring finance, and effectively expressing our vision to various stakeholders. The
following is a list of the primary goals that the development of this detailed business plan
aims to accomplish:

❖ Strategic Roadmap
Our strategic goals and directions are outlined in the business plan, which functions
as a road map for the company. It offers a distinct picture of where we view Baraqah
Dairy Products in the short, the medium, and the long term. The plan assists us in
being focused and aligned as we work toward attaining our company milestones by
identifying our objectives, target market, competitive advantages, and growth
strategies. In addition, the plan outlines our target market.

❖ Feasibility Assessment
Our ability to evaluate the practicability and viability of our business concept is made
possible by the business plan. We are able to estimate the prospective demand for
our dairy products, identify any risks or problems, and establish contingency plans by
conducting in-depth market research, analysing our competitors, and making
financial projections. This analysis not only guarantees that we have an accurate
picture of the current state of the market, but it also assists us in making educated
decisions regarding the distribution of resources and the management of corporate
operations.

❖ Financing and Investment

When looking for funding from financial institutions, investors, or other types of
sources of capital, the business plan is an essential document to have. It presents an
in-depth analysis of our business model, together with projections of our revenue and
future financial outcomes. Lenders and investors are able to examine the business
plan to determine the possible return on investment and the possibility that the
company will be successful. Our credibility is boosted and our prospects of acquiring
the necessary finance to establish and expand our operations are improved when we
have a business plan that has been thoroughly created.

❖ Internal Communication and Alignment

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 The business strategy makes it easier for the partners of Baraqah Dairy Products to
have productive conversations with one another. It makes sure that all of the partners
are on the same page regarding the business's objectives, strategies, and
operational plans. The plan encourages collaboration, accountability, and a common
knowledge of the next steps by identifying roles, responsibilities, and significant
milestones in a clear and concise manner.

❖ Performance Monitoring and Evaluation

The business plan lays the groundwork for assessing and monitoring our
performance in comparison to previously established goals and standards. We are
able to identify areas of strength and areas in which there is room for improvement if
we frequently examine our progress and compare it to the milestones that have been
outlined. This ongoing examination enables us to adjust our strategy, improve our
operations, and maintain our agility in response to the changing dynamics of the
market and the preferences of our customers.

In a nutshell, the objective of developing this business plan for Baraqah Dairy Products is to
serve as a comprehensive road map, evaluate the viability of our business concept, attract
financing, align internal stakeholders, engage external stakeholders, and establish a
framework for monitoring our progress. We are in a much better position to handle the
hurdles and capitalise on the opportunities in the dairy industry now that we have a
well-developed and dynamic business plan in place. This will ensure that our endeavour will
be successful over the long term.

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1.3 BUSINESS BACKGROUND

NAME OF THE BUSINESS: Baraqah Dairy

BUSINESS ADDRESS: NO. 21, Ground Floor, Jalan Tengku Ampuan Zabedah
K9/K, Section 9, Shah Alam, Selangor, Malaysia.

CORRESPONDENCE NO. 21, Ground Floor, Jalan Tengku Ampuan Zabedah

ADDRESS: K9/K, Section 9, Shah Alam, Selangor, Malaysia.

WEBSITE ADDRESS: www.baraqahdairy.com

E-MAIL ADDRESS: baraqahdairyhq@gmail.com

TELEPHONE NUMBER: 07 - 321654987

FAX NUMBER: 1-907-555-1234

FORM OF BUSINESS: Partnership

MAIN ACTIVITY: Supplying dairy products

DATE OF 1 January 2020

COMMENCEMENT:

DATE OF REGISTRATION: 10 November 2019

REGISTRATION NUMBER: LR4390118-M

NAME OF BANK: Bank Islam

BANK ACCOUNT 01162020617266

NUMBER:

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1.4 PARTNERS BACKGROUND

● General Manager

NAME Muhammad Firdaus Bin Mohamad Shofee

IDENTITY CARD 031029080991

NUMBER

PERMANENT 171D, LORONG WAHYU 5, BANDAR SERI ASTANA FASA

ADDRESS D, 08000, SUNGAI PETANI KEDAH

CORRESPONDENCE Level 7, Quill 9, 112, Jalan Professor Khoo Kay Kim, 46300
ADDRESS Petaling Jaya, Selangor

EMAIL ADDRESS firdaushofee@gmail.com

TELEPHONE NUMBER 0129105633

DATE OF BIRTH 29 October 2003

AGE 20

MARITAL STATUS Single

ACADEMIC Diploma in Library Management (IM120)

QUALIFICATION

COURSE ATTENDED Forum on Entrepreneurship, 2022

SKILLS 1. Leadership: Strong leadership skills to provide strategic

direction, inspire the team, and drive the business towards its
goals. The ability to make informed decisions, delegate tasks,
motivate employees, and foster a positive work culture is
essential for the success of the business.

2. Strategic Planning: Have strong strategic planning skills to

develop long-term goals, formulate business strategies, and
make informed decisions. This includes analysing market
trends, identifying opportunities for growth, and developing
strategies to gain a competitive advantage in the dairy
industry. Effective strategic planning is key to driving the

12
 business forward and achieving sustainable growth.

3. Financial Management: Sound financial management skills

are vital to oversee budgeting, financial planning, and cost
control. This includes managing financial resources, analysing
financial reports, monitoring expenses, and making strategic
financial decisions. Strong financial management ensures the
profitability and financial stability of the business.

4. Operations Management: Have a solid understanding of

operations management to ensure smooth and efficient
day-to-day operations. This includes overseeing production
processes, supply chain management, quality control, and
optimising operational efficiency. Effective operations
management is crucial for meeting customer demands,
maximising productivity, and ensuring the overall success of
Baraqah Dairy Products.

EXPERIENCE 2 years working at Restaurant and School canteen.

CAPITAL RM 3,000
CONTRIBUTION

13
 ● Administration Manager

NAME Adibah Nur Binti Hamami

IDENTITY CARD 030708010130

NUMBER

PERMANENT No.2. Jalan Denai 42, Taman Bukit Jaya, Ulu Tiram, Johor
ADDRESS Bahru, Johor, 81800

CORRESPONDENCE NO.21, GroundFloor, Jalan Tengku Ampuan Zabedah K9/K,

ADDRESS Section 9, Shah Alam, Selangor, Malaysia.

EMAIL ADDRESS adibahhamami@gmail.com

TELEPHONE NUMBER 0102916776

DATE OF BIRTH 08 July 2003

AGE 20 years old

MARITAL STATUS Single

ACADEMIC Diploma in Library Management (IM120)

QUALIFICATION

COURSE ATTENDED Forum on Entrepreneurship, 2022

SKILLS 1. Dairy Industry Knowledge: A solid understanding of the

dairy industry, including production processes, quality
standards, regulations, and market trends, is essential. This
knowledge allows her to make informed decisions, oversee
compliance, and ensure that administrative activities align
with industry best practices.

2. Supply Chain Management: Have skills in supply chain

management, including procurement, inventory control, and
logistics. This enables them to effectively manage the
sourcing of raw materials, coordinate with suppliers, optimise
inventory levels, and ensure timely delivery of dairy products
to customers.

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 3. Regulatory Compliance: The dairy industry is subject to
various regulations related to food safety, labelling, and
licensing. The Administrative Manager should have
knowledge of these regulations and possess skills in
regulatory compliance to ensure that the business operates in
accordance with legal requirements.

4. Financial Management: Strong financial management skills

are important for the Administrative Manager to oversee
budgeting, cost control, and financial reporting. This includes
managing expenses, monitoring financial performance, and
making strategic decisions to optimise financial resources.

EXPERIENCE 2 years working as Administration Manager in Pasaraya

Borong Sakan

CAPITAL RM 3,000
CONTRIBUTION

15
 ● Marketing Manager

NAME AMIRAH HAMIZAH BINTI ZAILANI

IDENTITY CARD 030623010908

NUMBER

PERMANENT NO 118 JALAN PENYIARAN 30 TAMAN UNIVERSITI 81300

ADDRESS SKUDAI JOHOR BAHRU

CORRESPONDENCE NO. 21, Ground Floor, Jalan Tengku Ampuan Zabedah K9/K,
ADDRESS Section 9, Shah Alam, Selangor, Malaysia.

EMAIL ADDRESS amirahhamizah1802@gmail.com

TELEPHONE NUMBER 019-2774253

DATE OF BIRTH 23 June 2003

AGE 20 years old

MARITAL STATUS Single

ACADEMIC Diploma in Library Management (IM120)

QUALIFICATION

COURSE ATTENDED Forum on Entrepreneurship, 2022

SKILLS 1. Strategic Thinking: Possess strong strategic thinking skills

to develop effective marketing plans aligned with the business
goals. This involves analysing market trends, identifying target
markets, and creating strategies to position Baraqah Dairy
Products competitively in the market.

2. Digital Marketing Expertise: In today's digital age, she has

expertise in digital marketing strategies and tactics. This
includes knowledge of social media marketing, search engine
optimization (SEO), content marketing, and online advertising.
Proficiency in leveraging digital platforms is crucial for
reaching and engaging the target audience effectively.

3. Market Research and Analysis: Strong market research

16
 and analysis skills are essential to understand consumer
preferences, identify market opportunities, and assess
competitors. This includes gathering and interpreting data,
conducting market surveys, and using market insights to drive
informed marketing decisions.

4. Creativity and Innovation: Possess creative thinking skills to

develop innovative marketing campaigns and initiatives that
capture attention and differentiate Baraqah Dairy Products
from competitors. This involves creating compelling content,
designing visually appealing materials, and exploring unique
marketing strategies to engage consumers.

EXPERIENCE Work as a Librarian Assistant at UTM Library

CAPITAL RM 3,000
CONTRIBUTION

17
 ● Operation Manager

NAME ZULAIKHA BINTI IBRAHIM

IDENTITY CARD 030920090078

NUMBER

PERMANENT No 97A Pekan Lawin, 33300, Gerik, Perak.

ADDRESS

CORRESPONDENCE NO. 21, Ground Floor, Jalan Tengku Ampuan Zabedah K9/K,
ADDRESS Section 9, Shah Alam, Selangor, Malaysia.

EMAIL ADDRESS zulaikha03ibrahim@gmail.com

TELEPHONE NUMBER 010-3443200

DATE OF BIRTH 20 September 2003

AGE 20 years old

MARITAL STATUS Single

ACADEMIC Diploma in Library Management (IM120)

QUALIFICATION

COURSE ATTENDED Forum on Entrepreneurship, 2022

SKILLS 1. Operations Management: A strong understanding of

operations management principles is crucial to effectively
oversee the production processes, optimise resources, and
ensure efficient operations. This skill allows them to
streamline workflows, improve productivity, and meet
customer demands effectively.

2. Supply Chain Management: The ability to manage the

supply chain effectively is essential to ensure the timely
availability of raw materials, efficient inventory management,
and smooth logistics. This skill enables them to optimise the
procurement process, reduce costs, and maintain a seamless
flow of materials throughout the production cycle.

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 3. Problem-Solving and Decision-Making: The Operation
Manager needs strong problem-solving and decision-making
skills to address operational challenges, identify bottlenecks,
and implement effective solutions. This skill allows them to
make informed decisions quickly, minimise disruptions, and
ensure continuous improvement in operational efficiency.

4. Continuous Improvement and Lean Practices: A mindset of

continuous improvement and proficiency in lean practices are
highly relevant. This skill helps them identify areas for
optimization, eliminate waste, and streamline processes to
enhance operational efficiency. By implementing lean
practices such as Kaizen, Six Sigma, or Just-in-Time (JIT),
they can drive operational excellence and maximise resource
utilisation.

EXPERIENCE Work as a Shop Assistant at supermarket

CAPITAL RM 3,000
CONTRIBUTION

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 ● Financial Manager

NAME NURAIN AREESYA BINTI JOHARI

IDENTITY CARD 030930030204

NUMBER

PERMANENT NO 31 JLN TPP Taman Pinggiran Pelangi, 48000 Rawang,

ADDRESS Selangor

CORRESPONDENCE NO. 21, Ground Floor, Jalan Tengku Ampuan Zabedah K9/K,
ADDRESS Section 9, Shah Alam, Selangor, Malaysia.

EMAIL ADDRESS ainareesya316@gmail.com

TELEPHONE NUMBER 018-3803185

DATE OF BIRTH 30/09/2003

AGE 20

MARITAL STATUS Single

ACADEMIC Diploma in Library Management (IM120)

QUALIFICATION

COURSE ATTENDED Forum on Entrepreneurship, 2022

SKILLS 1. Financial Analysis: Ability to analyse financial statements,

evaluate performance indicators, and assess the financial
health of the business. This includes understanding concepts
such as revenue, costs, profitability, and cash flow.

2. Budgeting and Forecasting: Skill in developing budgets,

setting financial targets, and creating forecasts for sales,
expenses, and cash flow. This helps in planning and making
informed decisions about resource allocation and business
growth.

3. Cost Management: Knowledge of cost control strategies,

cost analysis techniques, and the ability to identify areas of
potential cost savings. This involves monitoring expenses,

20
 optimising production processes, and managing inventory
effectively.

4. Risk Management: Understanding of financial risks and the

ability to develop risk mitigation strategies. This includes
managing price volatility, market risks, and financial
uncertainties in the dairy industry.

EXPERIENCE Working as a Shop Assistant at Eco Shop Sdn. Bhd.

CAPITAL RM3,000
CONTRIBUTION

21
1.5 BUSINESS LOCATION

Factors influencing the choice of business location play a crucial role in the success of
Baraqah Dairy Products. The following information provides an overview of the key factors to
consider when selecting a suitable location:

a) Price of premise/cost of rental per month

The affordability of the rental or purchase cost for the premises is an important
consideration. Baraqah Dairy Products should evaluate the rental or purchase prices in
different areas to find a location that aligns with their budget while providing the necessary
space and facilities for their operations.

b) Transportation facilities
Adequate transportation facilities, including good road connectivity and proximity to
transportation hubs, are vital for the distribution of dairy products. A location with easy
access to major highways or transportation networks enables efficient movement of goods to
customers and suppliers.

c) Distance from customers

Analysing the proximity to the target market and customers is crucial. Baraqah Dairy
Products should aim for a location that reduces transportation costs and time to deliver their
products to customers. Being closer to the target market can also facilitate customer
engagement, feedback, and the establishment of strong customer relationships.

d) Basic amenities (electrical, water, telephone, and internet facilities)

Availability of basic amenities such as reliable electrical and water supply, access to
telephone and internet services, and other infrastructure facilities is important for smooth
business operations. Baraqah Dairy Products should ensure that potential locations have
these amenities in place to support their administrative and production activities.

OFFICE LOCATION

To fulfil our company objective, we picked NO.21, Ground Floor, Jalan Tengku Ampuan
Zabedah K9/K, Section 9, Shah Alam, Selangor, Malaysia as our business site since it
caters to our target demographic of students, teens, and dairy enthusiasts. Furthermore, the
price of our product is reasonable in comparison to the income of the inhabitants of this area.

22
NO.21, Ground Floor, Jalan Tengku Ampuan Zabedah K9/K, Section 9, Shah Alam,
Selangor, Malaysia.

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2.0 ADMINISTRATION PLAN

2.1 BUSINESS MISSION, VISION, AND OBJECTIVES

MISSION
Our mission at Baraqah Dairy Products is to provide our customers with exceptional quality
dairy products that promote health, well-being, and a wholesome lifestyle. We are committed
to producing and delivering fresh, nutritious, and sustainably sourced dairy products while
upholding the highest standards of quality, ethical practices, and customer satisfaction.

VISION
Our vision is to become a leading provider of premium dairy products, recognized for our
commitment to excellence, sustainability, and customer-centric approach. We strive to be the
preferred choice of consumers seeking superior quality, locally sourced dairy products that
nourish and delight.

OBJECTIVES
❖ Deliver Exceptional Quality
Our primary objective is to ensure that every product that bears the Baraqah Dairy
Products label is of exceptional quality. We will achieve this by implementing
stringent quality control measures at every stage of the production process, from
sourcing the finest ingredients to employing state-of-the-art processing techniques.

❖ Meet Customer Needs and Preferences

We aim to understand our customers' needs, preferences, and dietary requirements
and tailor our product offerings to meet their expectations. By offering a diverse range
of dairy products, including organic, lactose-free, and low-fat options, we will provide
choices that cater to a wide range of consumer preferences.

❖ Promote Sustainability and Ethical Practices

We are committed to conducting our business in an environmentally responsible and
ethical manner. Our objective is to minimise our ecological footprint, employ
sustainable farming practices, and prioritise animal welfare. By adopting sustainable
practices and supporting local farmers, we aim to contribute to the long-term
well-being of our planet and communities.

❖ Build Strong Customer Relationships

Developing strong and lasting relationships with our customers is a key objective. We

24
 strive to provide exceptional customer service, listen to customer feedback, and
continuously improve our products and processes based on their needs. By building
trust and loyalty, we aim to establish Baraqah Dairy Products as a preferred brand
among our target market.

TRADEMARK OF Baraqah Dairy

“Savour the Goodness, Embrace the Baraqah”

2.2 BUSINESS LOGO AND DESCRIPTION

2.3 ORGANISATIONAL CHART

25
 Figure: Organisational chart

2.4 ADMINISTRATION PERSONNEL SCHEDULE

ADMINISTRATION PERSONNEL

POSITION NUMBER OF EMPLOYEES

GENERAL MANAGER 1

ADMINISTRATION MANAGER 1

MARKETING MANAGER 1

PRODUCTION MANAGER 1

FINANCIAL MANAGER 1

ADMINISTRATION CLERK 1

TOTAL 6

SCHEDULE OF TASK AND RESPONSIBILITIES

POSITION RESPONSIBILITIES

GENERAL -Develop and implement business strategies and plans to achieve

MANAGER company goals
-Provide leadership and guidance to all departments and
employees
-Oversee financial management, including budgeting, forecasting,
and financial analysis
-Build and maintain relationships with key stakeholders, such as
suppliers, customers, and partners
-Monitor industry trends and competition to identify opportunities
and risks
-Make critical decisions to drive business growth and ensure
operational efficiency
-Ensure compliance with legal and regulatory requirements
-Represent the company in meetings, conferences, and industry
events

ADMINISTRATION -Manage day-to-day administrative operations of the company

26
MANAGER -Develop and implement administrative policies and procedures
-Coordinate with other departments to support their administrative
needs
-Supervise and support administrative staff, providing guidance and
training as needed
-Ensure efficient resource allocation and effective use of office
supplies and equipment
-Maintain records and documentation, including employee records,
contracts, and legal documents
-Handle escalated issues and provide resolutions
-Assist in managing budgets and financial resources related to
administrative functions

MARKETING -Develop and implement marketing strategies to reach the target

MANAGER market and achieve business goals.
-Manage the company's brand image and ensure consistent
messaging across all marketing materials.
-Create and execute promotional campaigns to generate
awareness and interest in dairy products.
-Conduct market research and monitor competitors to stay
informed about industry trends and customer preferences.
-Collaborate with the sales team to provide marketing support and
develop sales-driven initiatives.
-Manage the marketing budget and optimise resources for
maximum return on investment.
-Oversee communication efforts, including public relations activities
and customer communication.
-Track and analyse marketing metrics to measure campaign
performance and make data-driven recommendations.

OPERATION -Manage and optimise day-to-day operations to meet production

MANAGER targets.
-Plan and allocate resources, including materials, equipment, and
manpower, to support production needs.
-Identify opportunities for process optimization and implement
measures to enhance operational efficiency and productivity.

27
 -Implement quality control measures to ensure that products meet
the required standards and customer expectations.
-Coordinate with suppliers and logistics partners to ensure timely
delivery of raw materials and manage inventory levels effectively.
-Ensure compliance with health and safety regulations to maintain
a safe working environment for employees.
-Lead and supervise the operational team, providing guidance,
training, and support to maximise performance and productivity.
-Monitor key performance indicators (KPIs) to assess operational
performance and identify areas for improvement.

FINANCIAL -Develop and implement financial plans, budgets, and forecasts to

MANAGER support the overall business goals and objectives.
-Prepare and analyse financial statements, including income
statements, balance sheets, and cash flow statements, to provide
accurate and timely financial information to stakeholders.
-Manage the budgeting process, monitor expenses, and implement
cost control measures to optimise financial resources and
maximise profitability.
-Conduct financial analysis, including ratio analysis and trend
analysis, to assess the company's financial performance and
identify areas for improvement.
-Monitor and manage cash flow, ensuring adequate liquidity for
day-to-day operations and strategic initiatives.
-Identify and mitigate financial risks by implementing appropriate
risk management strategies and maintaining compliance with
financial regulations.
-Provide financial insights and recommendations to support
strategic decision-making, such as investment opportunities,
pricing strategies, and cost-saving initiatives.
-Ensure compliance with tax regulations, coordinate tax planning
strategies, and manage relationships with tax authorities or
external tax consultants.

28
2.5 REMUNERATION SCHEDULE

POSITION NO. MONTHLY EPF SOCSO TOTAL

SALARY Contribution Contribution AMOUNT
(RM) (9%) (0.5%) (RM)
(RM) (RM)

GENERAL 1 2,500 225 12.50 2,737.50

MANAGER

ADMINISTRATION 1 2,500 225 12.50 2,737.50

MANAGER

MARKETING 1 2,500 225 12.50 2,737.50

MANAGER

OPERATION 1 2,500 225 12.50 2,737.50

MANAGER

FINANCIAL 1 2,500 225 12.50 2,737.50

MANAGER

TOTAL 13,687.50

Figure: Third schedule of the EPF Act 1991

Figure: SOCSO contribution schedule

29
2.6 COMPENSATION AND BENEFITS

1) SALARY, EPF AND SOCSO

Salary will be given to the entire employees based on the qualification of their position and
experience that they have. EPF will be given to the entire employee, EPF will be contributing
9% to the employee. Social Security Organization (SOCSO) will be deducted 0.5% from
salary.

2) MATERNITY LEAVE AND PATERNITY LEAVE

For the pregnant employee, they are entitled to take maternity leave. They need to take
maternity leave at least 1 week before the end of the week of the baby’s expected birth.

3) BONUS
For the employee that gives a very good attitude in work and comes out with a great idea to
improve the business management, would get a bonus salary.

4) ANNUAL LEAVE
There are few categories for the annual leave according to the employment period of an
employee. Some of them are :
● 8 days for every twelve months of continuous service with the same employer if she
has been employed by that employer for more than two years.
● 12 days for every twelve months of continuous service with the same employer if she
has been employed by that employer for a period of five years and more.
● 16 days for every twelve months of continuous service with the same employer, if she
has been employed by that for a period of five years and more.

5) WORKING DAYS
Employers work from 8.00 a.m. to 5.30 p.m. for operation hours meanwhile 8:30 a.m. to 5:00
p.m. for business hours. The operation days are everyday in a week except for Friday.

6) OTHERS
Wages will still be paid if the medical leave certificate from registered medical doctors is
shown to prove the sickness.

30
2.7 ADMINISTRATIVE BUDGET

LIST OF OFFICE FURNITURE AND FITTINGS

TYPE PRICE/UNIT QUANTITY TOTAL COST

(RM) (RM)

Office table 300 2 600

Office chair 150 6 900

Air conditioner 700 2 1400

Lamp 40 4 160

Coffee table 200 1 200

File cabinet 400 1 400

TOTAL 3660

LIST OF OFFICE EQUIPMENT

ITEM PRICE/PER QUANTITY TOTAL COST

UNIT (RM)
(RM)

Computer 800 2 1600

Fax Machine 1000 1 1000

TOTAL 2600

31
ADMINISTRATION BUDGET

PARTICULARS FIXED MONTHLY OTHER TOTAL

ASSETS EXPENSES EXPENSES

(RM) (RM) (RM) (RM)

Fixed assets

Office Furniture and fittings 3,660 3,660

(refer table)

Office Equipment (refer table) 2,600 2,600

Working capital

Remuneration (refer table) 13,687.50 13,687.50

Utilities 3,000 3,000

Premise rental 2,800 2,800

Office supplies 400 400

Stationeries 20 20

Other expenditures

Course attended 2,000 2,000

Medical allowances 500 500

Pre-operations

Deposit (rent, utilities, etc) 3,000 3,000

Business registration & 1,000 1,000

licences

Other pre-operations 500 500

expenditure

Total 6,260 19,907.50 7,000 33,167.50

32
4.0 MARKETING PLAN

4.1 PRODUCT DESCRIPTIONS

Baraqah Dairy is a company that focuses on the production and marketing of

high-quality dairy products. Our top-notch dairy products Baraqah Milk with three
flavours which are original, strawberry and chocolate have a consistently high
demand in our country, Malaysia. They are staples in many diets and consumed
regularly by a large portion of the population. Calcium, protein, vitamins, and
minerals all of which are essential to sustaining general health, are rich in dairy
products. Dairy products are popular among consumers who are concerned about
their health since many individuals purposefully seek them out for their health
benefits.

When consumers purchase milk labelled as "100% organic," it means that the
entire production process, from the cow's diet to the milk processing, meets the
organic standards without any exceptions. It signifies that no chemical or genetically
modified organisms (GMOs) were used in the production of the milk. Minimizing milk
fat percentage is to serve consumers with a lower-fat alternative to whole milk still
providing important elements like calcium, protein, and vitamins. This is entirely
because we want to understand consumers’ demands like some people select
low-fat milk as part of a balanced diet to help them control their overall calorie and fat
intake. Our original milk is basically the most fundamental and traditional type of milk,
the chocolate milk is produced by combining ordinary milk with cocoa powder and
lastly the strawberry milk that we combined it with strawberry flavouring. We believe

33
 that all of our flavoured milk becomes everyone’s favourite regardless of preferences
and ages.

4.2 TARGET MARKET

Baraqah Dairy target marketing focuses on huge platforms such as families

and household consumers. Milk is a common essential in many households,
particularly those with children. Baraqah Dairy focuses on emphasizing the nutritional
benefits of milk and its usefulness in encouraging children’s growth and
development. Secondly, Baraqah Dairy also focuses on promoting our products to
athletes and fitness enthusiasts because of its protein and potential muscle repair
advantages, particularly low-fat like our Baraqah’s original flavoured milk also
frequently associated with sports nutrition. People who participate in physical
activities are targeted for us.

All of our products, either the original or flavoured milk are 100% organic and
contain zero chemicals, so it has its specific dietary preferences or needs to fulfil the
demand of consumers with specialty diets. This pie chart below shows the statistics
of Baraqah Dairy’s target market.

34
4.3 MARKET SIZES AND SALES FORECAST

4.3.1 Market Sizes for Baraqah Dairy

Market Segment Target Market Potential Total Potential

(Population) Purchase Purchase
(monthly) (monthly)

Families and 40 % RM 1,800/ RM 720

household month
consumers

Athletes and fitness 30 % RM 558/ month RM 167.40

enthusiasts

Specialty diets 30 % RM 558 / month RM 167.40

Total RM 1,054.80

Market size per year : RM 1,054.80 X 12 = RM 12,657.60

4.3.2 Sales Forecast of Baraqah Dairy

In our first year of running Baraqah Dairy, we estimated that the

number of customers who buy our products is about 100 per day as our
targeted market comes from families and people who consume milk everyday.
Next, for the second year, we estimate that the number of customers has
increased by 5% of the numbers of customers previous year. Unfortunately, in
our first year of promoting Baraqah Dairy, there are ups and downs regarding
our sales due to the pandemic especially in March until May and continuing to
increase in the beginning of June.

The first year of sales: [ (RM 3 X 100 people x 30 days) + RM 700

delivery service ) x 12 months = RM 116,400

35
YEAR MONTH SALES COLLECTION

January RM 9,700

February RM 9,700

March RM 4,800

April RM 4,800

May RM 5,600

June RM 9,700

July RM 9,700

August RM 9,700

September RM 9,700

October RM 9,700

November RM 9,700

December RM 9,700

2020 Total Year 1 RM 122,220

(increased by 5%)

2021 Total Year 2 RM 124, 548

(increased by 7%)

2022 Total Year 3 (increase RM 128,040

by 10%)

36
4.4 COMPETITORS ANALYSIS AND MARKET SHARE

4.4.1 Competitors analysis

Competitor Strengths Weaknesses

Competitor (1) ● Well- known ● Imitation

● Strategic Place
Farm Fresh

Competitor (2) ● Quality of milk ● Limited products

powder
Haz Nutrition Sdn Bhd ● Low-priced

Competitor (3) ● Quality of milk ● High-priced

● Strategic place
Osa Milk & Sugar
Industry

4.4.2 Analysis of competitor’s opportunities and threats

Opportunities Threats

● Variety of products ● Customer critics

Buyers have choices Lack of customer service

● Excellent customer ● Competition from the

service competitor
Potential target market Lack of products marketing

● Trendy ● Customer critics

Loyal customers Overpriced products

37
4.4.3 MARKET SHARE BEFORE ENTRY OF BARAQAH DAIRY

Competitors Market Share (%) Market Share/ yearly

(RM)

Farm Fresh 50 8,859,600

Haz Nutrition Sdn Bhd 30 5,315,840

Osa Milk & Sugar 20 3,543,840

Industry

TOTAL 100 17,719,200

4.4.4 MARKET SHARE AFTER ENTRY OF BARAQAH DAIRY

Competitors Market Share (%) Market Share/ yearly

(RM)

Farm Fresh 40 7,087,680

Haz Nutrition Sdn Bhd 20 3,721,088

Osa Milk & Sugar Industry 10 2,835,072

Baraqah Dairy 30 6,236,390

TOTAL 100 19,880,230

38
4.5 MARKETING PERSONNEL SCHEDULE

Position Number of Task and Responsibilities

Personnel

Marketing 1 1. Interacting with customers,

Manager answering their inquiries, and
providing information about
products or services. This
involves understanding
customer needs and guiding
them towards appropriate
solutions.
2. Receiving and processing
customer orders, including
entering them to the system,
verifying pricing and availability
to Baraqah Dairy’s products.
3. Working towards achieving
individual and team sales
targets, and actively participating
in sales campaigns or
promotions.

4.6 REMUNERATION SCHEDULE

POSITION NO. MONTHLY EPF SOCSO TOTAL

SALARY Contribution Contribution AMOUNT
(RM) (9%) (0.5%) (RM)
(RM) (RM)

MARKETING 1 2,500 225 12.50 2,737.50

MANAGER

TOTAL 2,737.50

39
4.7 MARKETING MIX

Baraqah Dairy involves a marketing mix as a major platform and method for
marketing our dairy products. Marketing mix is a strategic framework that helps
Baraqah Dairy effectively marketing our products. There are four elements that we
focused on to create a comprehensive marketing strategy.

4.7.1 Product Strategy

Products strategy refers to our dairy products such as Original Milk,

Strawberry Milk and Chocolate Milk that we offer to our customers. This
involves products packaging design, quality, packaging and branding. Dairy
products are popular among consumers who are concerned about their health
since many individuals purposefully seek them out for their health benefits.
Our strong product strategy aligns the product offering with customer needs
and business goals. Focusing on product strategy also helps on development
and launch to ongoing management and improvement.

4.7.2 Price Strategy

Pricing decisions can impact profitability, market positioning and

customer perception so that is why Baraqah Dairy’s products are much
compatible with its prices. Pricing also includes factors such as production
costs, competition, market demand, and perceived value. We set the most
common pricing methods including cost-based pricing, market-based pricing,
value-based pricing, and competitive pricing.

4.7.3 Place Strategy

Baraqah Dairy’s products distribution focus mainly in Selangor,

Malaysia. This is why it is important to market our products in a high
population marketplace. This element focuses also on how our dairy products
reach the target market. Our goal in place strategy is to make the product
easily accessible and convenient for our customers. As a location selection,
we decide on the physical locations such as Selangor where the products are
accessible to customers. This includes our retail store locations. We consider
factors such as proximity to the target market, accessibility, competition, and
cost-effectiveness.

40
4.7.4 Promotion Strategy

Promotion strategy in Baraqah Dairy includes major elements such as

advertising, media usage, public relations, and our social media presence.
We want to create awareness of our product’s existance, generate interest,
and persuade customers to purchase and maintain loyalty to our products.

● Official Website/ Social Media

In 2020, Baraqah Dairy will officially be in the market selling

top-notch dairy products but we can’t forget that in 2020 also we’ve
been attacked with the Covid-19. This is a huge reason why we
choose a platform such as social media to promote our products.
During pandemic, social media platforms have become even more
crucial for businesses to connect with our audience and promote our
products. With our social media platform such as Instagram, we
always take advantage of the application’s features such as photo and
video posting. We create posters and also a video promotion and post
it on our Instagram. Instagram is a two-way communication platform.
We can communicate with customers through this application. As an
example, customers can submit their order through direct messages
features in Instagram. We can also ask customers’ satisfaction level
by asking for their feedback.

Through social media platforms Baraqah Dairy also can build

brand awareness. With more people spending time online during the
pandemic, social media provides an effective channel to increase
brand visibility and reach. In summary, social media has become an
essential tool for businesses during the pandemic. It enables effective
communication, brand building, customer engagement, online sales,
and market insights.

41
Our main social media platform, Instagram

42
4.8 MARKETING BUDGET

MARKETING BUDGET

Fixed
Assets Monthly Other
Expenses Expenses Expenses
Particulars (RM) (RM) (RM) Total (RM)

Working Capital

Remuneration - 2,737.50 - 2,737.50

Other Expenditure

Computer Maintenance - - 600 600

Total 2,737.50 600 3,337.50

43
5.0 OPERATION PLAN

The operation plan is a crucial factor to take into consideration in a business. The aim of our
company is to ensure our milk is in its best condition and concurrently satisfy the needs and
wants of our customers. Hence, we have developed a structured operational plan to ensure
the operations of our business function smoothly along with the achievement of our
objectives.

5.1 OBJECTIVES

The followings are our company’s objectives for our operational plan:

1. To ensure the smooth functioning of our operation alongside maintaining the quality
our milk products offered to our customers.
2. To reach the optimization of our customer satisfaction and the contentment of their
expectations towards our ability in providing quality milk products in a timely manner.
3. To attain stability and consistency in the production of our milk products.
4. To ensure the quality of our milk products meet established standards.
5. To ensure the profitability and success of our business.

5.2 PROCESS PLANNING

Our company, Baraqah Dairy, sells milk to our customers through both online and offline
mediums. Through our online medium, customers can simply purchase our products through
our social media platforms namely our accounts on Instagram, Facebook and TikTok. We
keep our website and accounts up to date with information regarding our milk products which
includes the prices, the ingredients we use and the types of milk we offer. Through this
medium, we provide convenience to our customers to enable them to purchase our product
without having to physically come to our store. Customers can purchase our product directly
from our store as well. The activity chart will explain the process of our operation.

44
5.2.1 ACTIVITY CHART

Symbols that are used in our activity chart:

Symbol Types of activities Description

Activities that modify, transform

or give value to the outfit.
Operation

Transport activities occur when

Transportation materials are transported from
one point to another.

Activities that measured

Inspection standard of the-in process.

Used when in- process

material is restrained in a
Delay location waiting.

Used when in- process

materials or finished products
are stored in the storage area.
Storage

45
46
5.2.2 Flow Chart

47
5.3 OPERATION LAYOUT

The layout in the operation of a company is applied based on the product, the process, or
the marketing. The layout of our company is based on the process, which focuses on the
flow production of our product in a sequence of activities.

48
5.4 MATERIAL REQUIREMENT PLANNING

NO MATERIAL PRICE PER QUANTITY SAFETY TOTAL TOTAL

. UNIT STOCK REQUIRE
(5%) MENT

1 Milk RM5/ℓ 700 ℓ 35 ℓ 735 ℓ RM3,675

2 Sugar RM3/kg 100 kg 5 kg 105 kg RM315

3 Cocoa powder RM15/kg 200 kg 10 kg 210 kg RM3,150

4 Strawberry RM30/kg 150 kg 7.5 kg 157.5 kg RM4,725

5 Packaging RM0.20/pcs 5000 pcs 250 pcs 5250 pcs RM1,050

TOTAL PRICE RM12,915

5.4.1 FUNCTION OF MATERIAL

MATERIALS FUNCTION

Sugar Used to sweeten milk

Cocoa powder Used to make chocolate flavoured milk

Strawberry Used to make strawberry flavoured milk

Packaging Used to package milk

49
5.4.2 IDENTIFY SUPPLIER

MATERIALS SUPPLIER

Puchong Goat Farming

Milk Kampung Kandan Dalam Puchong, Bandar

Puchong Jaya, 47100, Selangor

Star Grocer Taman Paramount

Sugar and Cocoa powder Jalan 20/16, Taman Paramount, 46300 Petaling
Jaya, Selangor

Healthy Strawberry Farm, Brinchang

Strawberry Jalan Rumah Persekutuan, Cameron Highland,
39000 Brinchang, Pahang

Hebei Dawoxing Packaging Technology Co.,Ltd.

Fucheng County Industrial Park, Hengshui City,
Packaging
Hebei Province

50
5.5 MACHINE AND EQUIPMENT PLANNING

ITEM QUANTITY PRICE PER UNIT TOTAL COST (RM)

(RM/UNIT)

Pasteurized Machine 1 RM9,000 RM9,000

Milk Mixing Tank 1 RM7,000 RM7,000

Freezer 3 RM300 RM900

TOTAL PRICE RM16,900

5.5.1 LIST OF MACHINE SUPPLIER

MACHINE SUPPLIER

Pasteurized Machine Wenzhou Ace Machinery Co.,LTD

Milk Mixing Tank No.545, Jinhai 3rd Avenue, Wenzhou

Economic-Technological Development
Freezer
Zone, Wenzhou, Zhejiang, China

51
5.6 LOCATION

Target location: Shah Alam, Selangor

Specific Physical Store: Jalan Tengku Ampuan Zabedah

Rent per month:

Deposit rent:

Reason choose:

● Strategic place of public area.

● Near to public transport such as buses.
● Near to RHB Bank.

5.7 BUSINESS AND OPERATION HOUR

Business hour= 8 hours (9 a.m - 5 p.m.)

Operation hour= 8 hours (8 a.m - 5 p.m.) rest (1 p.m. - 2.00 p.m.)

Working days= 6 days per week (Closed every Friday)

5.8 OPERATION PERSONNEL SCHEDULE

5.8.1 POSITION AND NUMBER OF PERSONNEL

POSITION NO. OF PERSONNEL

Operation Manager 1

Worker 5

5.8.2 SCHEDULE OF TASK AND RESPONSIBILITIES

POSITION TASK AND RESPONSIBILITIES

● Manage all activities related to the production of

Operation Manager
goods and services of the company.
● Oversee budgeting, reporting, planning and

52
 auditing.
● Manage the production line of the products which
includes supplying, mixing, packaging and
delivering the products.

● Transporting raw milk and raw material such as

sugar and flavours material from the supplier to the
raw material storage room.
● Pasteurise the milk and transfer it to a mixing
Worker machine to mix ingredients such as sugar and
flavour materials.
● package the milk into the milk cartons that have
been prepared in the packaging area and transfer
them all to the freezer to maintain the quality of the
milk.

5.9 REMUNERATION SCHEDULE

MONTHLY EPF SOCSO TOTAL (RM)

POSITION QUANTITY SALARY CONTRIBUTION CONTRIBUTION
(RM) (RM) (RM)

Operation 1 RM2500 RM150 RM5 RM2655

Manager

Worker 5 RM1500 RM100 RM5 RM8025

TOTAL RM10,680

53
5.10 PERMITS/LICENCES REQUIREMENT

In order to open a business with a physical store in Malaysia, one must register to apply for
the Business Premise Licence provided by the government.

NO. TYPES OF LICENCES PRICE STATUS DESCRIPTION

1 Billboard License RM100 Permanent

2 Food Premise Licence RM500 Permanent

3 SSM Registration RM100 Permanent

4 Bank Registration RM150 Permanent

5 Fire Extinguisher Licence RM60 Renew in every 10 years

TOTAL RM910

5.11 OPERATIONS OVERHEAD

NO. OVERHEAD COST (RM)

1. Repairs and maintenance RM1500

2. Utilities RM2000

TOTAL RM3,500

54
5.12 OPERATIONAL BUDGET

PARTICULAR FIXED MONTHLY OTHER PRE-OPER TOTAL

ASSETS EXPENSES EXPENSES ATION
EXPENSES (RM) (RM) (RM)
(RM)

Fixed asset

Machinery RM16,900 - - - RM16,900

and
equipment

Working capital

Remuneration - RM10,680 - - RM10,680

Raw materials - RM12,915 - - RM12,915

Permit and - RM910 - - RM910

licence

Utilities - RM2000 - - RM2,000

Other expenses

Repairs and - - - RM1500 RM1,500

maintenance

Pre-operation

TOTAL RM44,905

55
6.0 FINANCIAL PLAN

6.1 Financial Budget

Financial planning is essential for any business because it enables continuous

analysis of short- and long-term planning. Thus, the business could ensure that sufficient
funds are available not only for business operations, but also for various other purposes,
including the purchase of long-term assets, daily expenditures, etc. As a result of effective
financial management, the company was able to secure sufficient funds to cover all of its
processes and operations. In addition, the importance of financial planning is evident when it
comes to protecting the investor and business partner from any risk that could result in a
loss; without proper financial management in balancing costs, the investor and partners will
be at risk. Altogether, financial planning will assure the timely availability of business
financing, in addition to identifying the sources of financing.

Regarding Baraqah Dairy Products, our business financial planning consists of the following
statement, which is derived from the administrative budget, the marketing budget, and the
operation budget. Consequently, our business financial management is are based on:

● Project Implementation Cost & Sources of Finance

● Pro-Forma Cash Flow
● Pro-Forma Income Statement
● Pro-Forma Balance Sheet

56
 ADMINISTRATIVE BUDGET

PARTICULARS FIXED MONTHLY OTHER TOTAL

ASSETS EXPENSES EXPENSES

(RM) (RM) (RM) (RM)

Fixed assets

Office Furniture and fittings 3,660 3,660

Office Equipment 2,600 2,600

Working capital

Remuneration 13,687.50 13,687.50

Utilities 3,000 3,000

Premise rental 2,800 2,800

Office supplies 400 400

Stationeries 20 20

Other expenditures

Course attended 2,000 2,000

Medical allowances 500 500

Pre-operations

Deposit (rent, utilities, etc) 3,000 3,000

Business registration & 1,000 1,000

licences

Other pre-operations 500 500

expenditure

Total 6,260 19,907.50 7,000 33,167.50

57
 MARKETING BUDGET

Fixed
Assets Monthly Other
Expenses Expenses Expenses
Particulars (RM) (RM) (RM) Total (RM)

Working Capital

Remuneration 2,737.50 2,737.50

Office supplies - -

Other Expenditure

Computer Maintenance 600 600

Pre-Operations
Other Pre-Operations
Expenditure - -

Total 3,337.50

58
 OPERATIONS BUDGET

PARTICULAR FIXED MONTHLY OTHER PRE-OPER TOTAL

ASSETS EXPENSES EXPENSES ATION
EXPENSES (RM) (RM) (RM)
(RM)

Fixed asset

Machinery 16,900 - - - 16,900

and
equipment

Working capital

Remuneration - 10,680 - - 10,680

Raw materials - 12,915 - - 12,915

Permit and - 910 - - 910

licence

Utilities - 2,000 - - 2,000

Other expenses

Repairs and - - - 1,500 1,500

maintenance

Pre-operation

TOTAL 44,905

59
6.2 Project Implementation Cost & Sources of Financing

BARAQAH DAIRY

PROJECT IMPLEMENTATION COST & SOURCES OF FINANCE

Project Implementation Cost Sources of Finance

Requirements Cost Loan Hire-Purchase Own Contribution

Fixed Assets Cash Existing F.

Assets

Land & Building

Office furniture & fittings 3,660 1830 1830

Office equipment 2,600 2000 600

Machinery and equipment 16,900 8450 8450

Working 1 month
Capital s

Administrative 19,907.50 19000 907.50

Marketing 2,737.50 2000 737.50

Operations 26,505 17670 8835

Pre-Operations & Other 6,600 3300 3300

Expenditure

Contingencie 10 11,396 5698 5698

s %

TOTAL 90,306 59,948 30,358

60
6.3 Loan Schedules

BARAQAH DAIRY

LOAN & HIRE-PURCHASE AMMORTISATION SCHEDULES

LOAN REPAYMENT SCHEDULE

Amount RM 59,948

Interest Rate 5%

Duration (yrs) 5

Method Baki Tahunan

Year Principal Interest Total Payment Principal Balance

- - 59,948

1 11,989.60 2,997.40 14,987 47,958.40

2 11,989.60 2,397.92 14,387.52 35,968.80

61
3 11,989.60 1,798.44 13,788.04 23,979.20

4 11,989.60 1,198.96 13,188.56 11,989.60

5 11,989.60 599.48 12,589.08 -

62
 6.4 Depreciation Schedules

BARAQAH DAIRY

DEPRECIATION SCHEDULES

Fixed Asset Office Furnitures and Fittings Fixed Asset Office Equipment

Cost (RM) 3660 Cost (RM) 2600

Method Straight Line Method Straight Line

Economic Life (yrs) 5 Economic Life (yrs) 5

Annual Accumulated Annual Accumulated

Year Depreciation Depreciation Book Value Year Depreciation Depreciation Book Value

- - 3660 - - 2600

1 732 732 2928 1 520 520 2080

2 732 1464 2196 2 520 1040 1560

3 732 2196 1464 3 520 1560 1040

63
 4 732 2928 732 4 520 2080 520

5 732 3660 - 5 520 2600 -

Fixed Asset Machinery and Equipment

Cost (RM) 16900

Method Straight Line

Economic Life (yrs) 5

Annual Accumulated

Year Depreciation Depreciation Book Value

- - 16900

1 3380 3380 13520

2 3380 6760 10140

3 3380 10140 6760

64
4 3380 13520 3380

5 3380 16900 -

65
 6.5 Pro-Forma Cash Flow

BARAQAH DAIRY

PRO FORMA CASH FLOW STATEMENT

MONTH Pre-Opera 1 2 3 4 5 6 7 8 9 10 11 12 TOTAL YEAR 2 YEAR 3

tions YEAR 1

CASH INFLOW

Capital (Cash) 30,358 30,358

Loan 59,948 59,948

Cash Sales 116, 116, 116, 116, 116, 116, 116, 116, 116, 116, 116, 116,4 1,396,800 1,494,57 1,644,03
400 400 400 400 400 400 400 400 400 400 400 00 6 3.60

TOTAL CASH 90,306 116, 116, 116, 116, 116, 116, 116, 116, 116, 116, 116, 116,4 1,494,57 1,644,03
INFLOW 400 400 400 400 400 400 400 400 400 400 400 00 1,487,106 6 3.60

CASH OUTFLOW

66
Administrative
Expenditure

13, 13, 13,6 13,6 13,6 13,6 13,6 13,6 13,6 13, 13,6 13,68
Remuneration 687 687 87.5 87.5 87.5 87.5 87.5 87.5 87.5 687 87.5 7.50 164,250 175,747. 193,322.
.50 .50 0 0 0 0 0 0 0 .50 0 50 25

3,0 3,0 3,00 3,00 3,00 3,00 3,00 3,00 3,00 3,0 3,00 3,000
Utilities 00 00 0 0 0 0 0 0 0 00 0 36,000 38,520 42,372

2,8 2,8 2,80 2,80 2,80 2,80 2,80 2,80 2,80 2,8 2,80 2,800
Premise rental 00 00 0 0 0 0 0 0 0 00 0 33,600 35,952 39,547.2
0

400 400 400 400 400 400 400 400 400 400 400 400
Office supplies 4,800 5,136 5,649.60

20 20 20 20 20 20 20 20 20 20 20 20
Stationeries 240 256.80 282.48

Marketing
Expenditure

Remuneration 2,7 2,7 2,7 2,73 2,73 2,73 2,73 2,73 2,73 2,7 2,73 2,737 32,850 38,664.4
37. 37. 37. 7.50 7.50 7.50 7.50 7.50 7.50 37. 7.50 .50 35,149.5 5
50 50 50 50 0

Operations
Expenditure

67
Cash Purchase

Utilities 2,0 2,0 2,00 2,00 2,00 2,00 2,00 2,00 2,00 2,0 2,00 2,000
00 00 0 0 0 0 0 0 0 00 0 24,000 25,680 28,248

Permit and 910 910 910 910 910 910 910 910 910 910 910 910 10,920
license 11,684.40 12,852.8
4

10, 10, 10,6 10,6 10,6 10,6 10,6 10,6 10,6 10, 10,6 10,68 128,160
Salaries, EPF & 680 680 80 80 80 80 80 80 80 680 80 0 137,131.
SOCSO 20 150,844.
32

Other Expenditure 3,1 3,100 3,317 3,648.70

00

Pre-Operations

Deposit (rent, 3,000 3,000

utilities, etc.)

Business 1,000 1,000

Registration &
Licenses

Repairs and 1,500 1,500

maintenance

68
Other 500 500
Pre-Operations
Expenditure

Fixed Assets

Purchase of Fixed 23,160

Assets - Others

Loan Repayment:

Principal 11,9 11,9 11,9 11,9 11,9 11,9 11,9 11,9 11,9 11,9 11,9 11,98 143,875.2
89. 89. 89.6 89.6 89.6 89.6 89.6 89.6 89.6 89. 89.6 9.60 0 153,946. 169,341.
60 60 0 0 0 0 0 0 0 60 0 46 11

Interest 2,9 2,9 2,99 2,99 2,99 2,99 2,99 2,99 2,99 2,9 2,99 2,997 35,968.80 38,486.6
97. 97. 7.40 7.40 7.40 7.40 7.40 7.40 7.40 97. 7.40 .40 2 42,335.2
40 40 40 8

Tax Payable 0 0 0 0

TOTAL CASH 29,160 54, 51, 51,2 51,2 51,2 51,2 51,2 51,2 51,2 51, 51,2 51,22 623,764 661,007.
OUTFLOW 322 222 22 22 22 22 22 22 22 222 22 2 48 727,108.
18

69
CASH SURPLUS 61,146 65,1 65,1 65,1 65,1 65,1 65,1 65,1 65, 65,1 65,17 863,342 833,568. 916,925.
(DEFICIT) 62, 65, 78 78 78 78 78 78 78 178 78 8 52 42
078 178

BEGINNING CASH 124, 130, 130, 130, 130, 130, 130, 130 130, 130,3 894,714. 978,071.
BALANCE 61, 156 356 356 356 356 356 356 ,35 356 56 52 42
146 6

ENDING CASH 124 130, 130, 130, 130, 130, 130, 130, 130 130, 894,714.5 978,071. 924,488
BALANCE 61, ,15 356 356 356 356 356 356 356 ,35 356 61,14 2 42
146 6 6 6

70
6.6 Pro-Forma Income Statement

BARAQAH DAIRY

PRO-FORMA INCOME STATEMENT

Year 1 Year 2 Year 3

Sales
885,960 930,258…. 1,023,283.
… 80

Less: Cost of Sales 3,000 4,000

Production Cost 391,439 430,582.90 473,641.1

9

Opening stock 3,660 3,843 4,026

Less: Ending Stock 3,000 4,000 5,000

398,099 441,425.90
486,667.1
9

Gross Profit
487,861 488,832.10 536,616.6
… 1

Less: Expenditure

Administrative Expenditure 238,890

255,612.30 281,173.5
3

Marketing Expenditure
32,850 35,149.50 38,664.45

Other Expenditure
3,100 3,317 3,648.70

Business Registration & Licences 1,000

Other Pre-Operations Expenditure

500 500 500

71
Interest on Loan 2,997.40 2,397.92 1,798.44

Depreciation of Fixed Assets 23,160 23,160 23,160

Operations Expenditure 163,080 174,495.60 191,945.1

6

Total Expenditure
465,577.4 494,632.32 540,890.1
0 0

Net Profit Before Tax 22,283.60 5,800.22 4,273.49

Tax 0 0 0

Net Profit After Tax 22,283.60 5,800.22 4,273.49

Accumulated Net Profit 22,283.60 23,397.78 25,737.56

72
6.7 Pro-Forma Balance Sheet

BARAQAH DAIRY

PRO-FORMA BALANCE SHEET

Year 1 Year 2 Year 3

ASSETS

Non-Current Assets
(Book Value)

Land & Building

Office furniture & fittings 2,928 2,196 1,464

Office equipment 2,080 1,560 1,040

Machinery & equipment 13,520 10,140 6,760

18,528 13,896 9,264

Other Assets

Deposit 3,000 3,000 3,000

Current Assets

Stock of Raw Materials 12,915 12,915 12,915

Cash Balance
623,764 661,007.48 727,108.18

639,679 676,922.48 743,023.18

TOTAL ASSETS 658,207 690,818.48 752,287.18

Owners' Equity

73
Capital 30,000 30,000 30,000

Accumulated Profit 22,283.60 23,397.78 25,737.56

Long-Term Liabilities

Loan Balance 47,958.40 35,968.80 23,979.20

TOTAL EQUITY & 100,242 89,366.58 79,716.76

LIABILITIES

74
6.8 Financial Performance

BARAQAH DAIRY

FINANCIAL RATIO ANALYSIS

Year 1 Year 2 Year 3

LIQUIDITY

Total Cash Inflow 1,487,106 1,494,576 1,644,033.

60

Total Cash Outflow 623,764 661,007.48 727,108.18

Surplus (Deficit) 863,342 833,568.52 916,925.42

PROFITABILITY

Sales 885,960… 930,258…. 1,023,283.

80

Gross Profit 487,861… 488,832.10 536,616.61

Net Profit Before Tax 22,283.60 5,800.22 4,273.49

Profit After Text 22,283.60 5,800.22 4,273.49

Accumulated Profit 22,283.60 23,397.78 25,737.56

SAFETY

Fixed Assets 23,160 23,160 23,160

75
CONCLUSION

In a nutshell our business plan lays into a detailed strategy for creating a successful
company in the market. We are well-positioned to achieve considerable growth and
profitability through rigorous market research, thoughtful product/service creation, targeted
marketing initiatives, and a solid financial foundation.

We are in a leadership position in the sector because of our distinctive value

proposition and in-depth knowledge of consumer demands and preferences. We are
confident in our capacity to respond to shifting market trends and stay ahead of the
competition by utilising emerging technologies and encouraging innovation.

Additionally, the wide combination of talents and expertise that our seasoned and
committed team brings to the table ensures effective operations and the provision of
high-quality goods and services. Within our company, we are dedicated to promoting a
culture of cooperation, professionalism, and ongoing development.

We are looking for both short-term success as well as long-term viability with a strong
business plan and an emphasis on sustainability. We strive to have a good effect on the
environment and the communities we serve by properly managing resources, reducing
waste, and emphasising ethical practices.

In conclusion, our company plan is a road map for success that is based on creativity,
customer-centeredness, and ethical entrepreneurship. With effective execution and the help
of important stakeholders, we are optimistic that our company will prosper and meet its
financial and strategic goals.

76
APPENDICES

The partnership agreement

77
Our product

78
Loan Bank

79
BUSINESS MODEL CANVA (BMC)

BARAQAH DAIRY

KEY KEY VALUE CUSTOMER CUSTOMER

PARTNER ACTIVITIES PROPOSITION RELATIONSHIP SEGMENTS

Local Dairy 1- Milk 1- High-Quality 1- Personalised 1- Students

Farmers Processing Dairy Products Customer 2- Kids
2- Product 2- Wide Flavour Service 3- Men
Development Range 2- Engaging 4- Women
3- Quality 3- Local And Through Social 5- Athletic
Control Sustainable Media Person
4- Marketing 4- Healthy And 6- Working
And Branding Natural People
5- Sales And 7-Children
Distribution

KEY CHANNELS
RESOURCES

1- Production 1- Online Sales

Facilities
2- Skilled
Workforce
3- Brand
Reputation

COST STRUCTURE REVENUE STRATEGY

1- Raw Materials 1- Raw materials

2- Packaging 2- Packaging
3- Production Expenses 3- Production expenses
4- Marketing 4- Marketing and advertising
5- Distribution and logistics

80