Blueprint of Jewelry Business

1. Business Plan
of
“Friends Jewelry Store”

2. Team Members
Name ID
Himel Rafsun 3-20-44-004
Md. Mehedi Al Hasan Rakib 3-20-44-014
Farhan Fuad Hasan 3-20-44-057

3. Introduction
Friends Jewelry Store, which is to be located in the Bashundhara City
Shopping Mall in Panthapath, Dhaka, is a new business. We will offer a great
selection of gold jewelry in various designs, colors and sizes. Our jewelry
will include bracelets, necklaces, earrings and rings etc. All of the pieces will
be custom designed. The store will stock a wide selection of jewelry and will
offer a service to make custom pieces for shoppers while they wait or shop in
the mall. All sales for the business will be through this mall store mostly.

4. Business Objectives
To create a product-based store whose goal is to exceed customer's
expectations in design styles, quality and customer service.
To develop a sustainable merchandising unit that sells gold and
customized jewelry to meet the needs of the professional and outgoing
woman.
To increase the number of products Friends Jewelry Stored by 20%
each year.
To introduce a minimum of three new designs monthly.

5. Start-Up Summary
Showroom & Outlets
Furniture and Interior Tk. 10,00,000
Rent Tk. 5,00,000
Packaging and Stationary Tk. 5,00,000
Cash Required Tk. 10,00,000
Others Tk. 10,00,000
Total requirement -------------------------------- Tk. 40,00,000

6. SWOT Analysis
Strengths
Strong relationships with suppliers that offer credit arrangements,
flexibility, and response to special requirements.
Excellent and knowledgeable staff, offering personalized customer
service. The jewelry store sets itself apart from the competition by
providing customized jewelry designs while the customer waits.
Great retail space with an attractive, inviting atmosphere.
The owners keep overhead low by purchasing directly from India,
Brazil, and China and self-creating the majority of the merchandise.

7. SWOT Analysis
Weaknesses
Less Access to additional operating capital.
Revenues in the industry are seasonal; the majority of revenues are
earned during the Eid Festivals.

8. SWOT Analysis
Opportunities
Increase in standard of living of target market.
Addition of other jewelry related products and services.

9. SWOT Analysis
Threats
Local and emerging competitors.
Sales tied to economic growth. Meaning customers will only buy
jewelries if the economic conditions are suitable.

10. Products
Our current offerings will be as following:
Ring
Necklace
Churi
Bracelet
Earring
Chain
Bangles
Nose pin

11. Services
One-on-One Customer Support
Professional Post-Purchase Services

12. Market Research
Industry Analysis
The jewelry industry of Bangladesh has dropped down due to rise in price of U.S.A dollars, less
consumption as purchase ability has also decreased. Specially, Gold jewelry sales dropped by more
than 50 percent in the past 3 years. This huge fluctuation of prices has been occurred due to sudden
rise in U.S.A dollars which has also increased prices in international markets of gold jewelry.
Nowadays, without any marriage ceremony, any special occasions customers don’t purchase Gold,
especially the middle class. Whereas, other jewelries such as, mainly silver and Gold-Plated materials
sales are increasing for customers alternatives demand. Small Gold Jewelry makers and traders are
now more emphasizing to produce jewelries of other materials as demands pushing them. Some of
them are importing jewelries from other countries also. Trends of Bangladeshi jewelries are moving
from gold to gold-plated jewelries mainly because of rise in price. Now, the international market of
price has increase, which has influenced the local jewelers to increase the price.

13. Main Competitors
Amin Jewelers
Diamond World
Al-Amin Jewelers
Apan Jewelers
Venus Jewelers Bangladesh
Sultana Jewelers Ltd
Gitanjali Jewelers.

14. Market Needs
The jewelry we will market will meet the needs of woman who are
looking to dress up their outfit with quality gold jewelry. The jewelry
will be suitable for both formal and informal events.

15. Market Growth
Gold jewelry has been one of the fastest growth areas. In today's society,
the majority of gold jewelry is still Friends Jewelry Stored to women,
and it doesn't look like that fact will be changing any time soon.
However, as the interest in this jewelry grows with women, it seems that
men are not far behind in finding interest in such items as well.

16. Sales Forecast

17. Production Plan
Product Sourcing
Raw jewelry making supplies will be sourced from countries such as India,
Brazil and China. The owners of the business have contacts in these countries
for purchasing quality gold and supplies not only at wholesale prices, but also
providing credit arrangements and flexibility in payment terms. This in turn
provides some flexibility in the owners’ day to cash flow requirements.
Orders of supplies which are small in size and weight will be air shipped;
whereas, larger and heavier orders will be shipped LCL (Less than a
Container Load). All products and supplies will be stored at the owners’
residence. While custom designs will be made on site while the customer
waits, the standard selection of premade designs will be made at the owners’
residence.

18. Production Plan
Inventory Management
In order to run the business successfully approximately TK. 6,00,000 in
inventory is required. This inventory will be stored at the owners’ residence.
The owner will utilize bins to store and organize jewelry supplies. Final
jewelry products will be kept at the store. Since this is a small business with
limited inventory, all inventories will be managed in a spreadsheet.

19. Production Plan
Warehousing and Fulfillment
Since jewelry and jewelry supplies tend to be small items a warehouse
is not required for the business. All supplies will be warehoused in the
owners’ basement, final jewelry products will be kept at the store in the
mall

20. Marketing Plan
Market Segmentation
Particulars Urban Area Sub Urban Area Rural Area
Age16-25 ******** **** **
Age 26-35 (Our Focus) ********** ******** ******
Age 36-45 ***** ***** ****

21. Marketing Plan
Positioning:
We will position our jewelry to be of high quality with designs that
inspire conversation. We will be known for not only quality and trendy
designs, but primarily for our service. We will be knowledgeable of
design trends and will offer advice on how to accent specific outfits with
specific jewelry pieces. The Jewelry Store will be centrally located in a
high shopping crowded area of the Dhaka City and easily accessible for
customers. Our store will reside the middle of one of the corridors
thereby, having high visibility.

22. Marketing Plan
Pricing
Category Price Per Gram
22-Karat gold 6100 tk
21-Karat gold 5830 tk
18-Karat gold 5080 tk
Traditional gold 4195 tk

23. Marketing Plan
Marketing Channels
Physical Shops
Social Media Marketing
Influencer Marketing

24. Marketing Plan
Sales Strategy
Targeting our marketing efforts more effectively.
Developing product offers that will increase sales.
Training and developing sales representatives in order to effectively
service the customer.
Increasing awareness of our Jewelry Store within the jewelry retail
consumer marketplace.
Developing future sales opportunities that allow for continued growth
of the business.

25. Marketing Plan
Sales Programs
Our sales staff will be trained not only on our products but also on
fashion design principles and the active engagement of customers. They
will be paid based on commissions with a small base salary. The sales
staff will be empowered to offer discounts on our jewelry; however,
they will have pre-defined discounts they can offer and their
commission rate will change based on the discount level.

26. Marketing Plan
Strategy Pyramid:
Strategy: Be the jewelry fashion consultant expert
Tactics: Build awareness of our fashion consultation service
Offer the highest level of fashion consultation service
Programs: Display banner in our store advertising this free service
Develop a tagline, which promotes this service
Develop printed articles and worksheets for our customers
Educate all staff on fashion design principles

27. Marketing Plan
Unique Selling Proposition (USP)
The Jewelry Store will offer personalized fashion consulting to our
customers with onsite custom jewelry making service. We will
demonstrate our extensive knowledge in gold, clothing/jewelry color
combinations and current fashion design trends. We will offer advice on
how to dress for specific occasions and which jewelry goes best with
which clothing. If we don’t have the right piece of jewelry to meet their
needs we will be able to design and create that piece while they wait.
We will be the one source people turn to when they need advice on how
to dress and how to accent with jewelry.

28. Organizational Plan
Marketing
Manager
Owners
CEO
GM
Assistant Manager
&
Cashier
Human Resource
Manager
CFO
Service Staff
CHIEF ,
PRODUCTION &
PERSONNEL
CHIEF SALES &
MARKETING

29. Legal Plan
Partner’s Name Number of Shares Percentage
Md. Mehedi Al Hasan Rakib 500 33.33
Himel Rafsun 500 33.33
Farhan Fuad Hasan 500 33.33

30. Financial Plan
Income statement
Description FY-2022 (TAKA) FY-2023 (TAKA) FY-2024 (TAKA)
Sales 31,44,080 49,93,520 60,52,720
Direct Cost of Sales 4,71,600 749040 907920
Total Cost of Sales 4,71,600 7,49,040 9,07,920
Gross Margin 26,72,480 42,44,480 51,44,800
Expenses
Payroll 22,00,000 25,92,000 25,92,400
Sales marketing & Other expenses 4,16,000 96,000 96,000
Rent & Utilities 48,000 48,000 48,000
Insurance 96,000 96,000 96,000
Payroll Taxes 3,30,000 3,88,800 3,88,800
Depreciation 74,880 74,880 74,880
Total Operating Expenses 31,64,880 32,95,680 32,95,040
Profit Before Interest and Tax (4,92,400) 9,48,800 18,49,760
EBIT (4,17,520) 10,23,680 19,24,000
Tax Incurred 0 2,37,200 4,70,160
Net profit (4,92,400) 7,11,600 13,79,600
Net Profit/sales -15.66 14.25 22.79

31. Financial Plan
Balance Sheet
Description FY-2022(TAKA) FY-2023(TAKA) FY-2024(TAKA)
Assets
Current Assets
Cash 2,74,320 707440 1984160
Accounts Receivable 527680 835760 1015920
Inventory 88400 140400 170160
Total Current Assets 890480 1586000 3170240
Long Term Assets
Equipments 224000 224000 224000
Accumulated Depreciation 74880 149760 224000
Total Long Term Assets 149120 74240 0
Total Assets 1039600 1760240 3170240
Liabilities
Current Liabilities
Accounts Payable 128000 137040 167360
Total current liabilities 128000 137040 167360
Capital
Paid-in Capital 1520000 1520000 1520000
Retained Earnings (11600) (608400) 103200
Earnings (492400) 711600 1379600
Total Capital 911600 1623200 3002800
Total Liabilities & Capital 1039600 1760240 3170240
Net Worth 911600 1623200 3002800

32. Financial Plan
Projected Break-even Analysis
Total monthly fixed cost 2,60,000 tk
Variable cost per unit 14,500 tk
Sales price per unit 20,000 tk
Anticipated unit sales per month 80 units