Miriam BP-1

BUSINESS PLAN
UNIQUE TRAINING AGENCY
NAME: MWANGANGI MIRIAM NGINA
INDEX No.: 1061220170
COURSE: DIPLOMA IN HUMAN RESOURCE MANAGEMENT
UNIT CODE: 2908/108
KENYA COAST NATIONAL POLYTECHNIC
SUPERVISOR NAME: MADAM SUSAN
EXAM SERIES: MARCH SERIES
PRESENTED TO: KENYA NATIONAL EXAMINATION COUNCIL IN PARTIAL FULFILMENT OF THE

REQUIREMENT FOR THE AWARD OF DIPLOMA IN HUMAN RESOURCE
MANAGEMENT
DECLARATION
I hereby declare that the business plan is my original work and that it has not been presented
with award of diploma to any other institution.
NAME: MWANGANGI MIRIAM NGINA
INDEX NO:
SIGNATURE
i
ACKNOWLEDGEMENT
I surely express my heartfelt gratitude to all who supported and wished me well during my
period of researching and completing of my project. My special thanks goes to my lovely
parents and sponsors for their moral and financial support. Also thanks my supervisor who
willingly supervised my work.
ii
DEDICATION
I would like to dedicate this work to my friends and family for their moral support and advice
they gave throughout the course caring and loving parents for their financial support.
iii
Contents
DECLARATION .............................................................................................................................................. i
ACKNOWLEDGEMENT................................................................................................................................. ii
DEDICATION ................................................................................................................................................iii
1.0 EXECUTIVE SUMMARY .......................................................................................................................... 1
1.1 BUSINESS DESCRIPTION .................................................................................................................... 1
1.2 MARKETING PLAN ............................................................................................................................. 1
1.3 ORGANIZATION AND MANAGEMENT PLAN ...................................................................................... 1
1.4 PRODUCTION PLAN ........................................................................................................................... 1
1.5 FINANCIAL PLAN................................................................................................................................ 1
CHAPTER ONE ............................................................................................................................................. 2
1.0 BUSINESS DESCRIPTION ................................................................................................................... 2
1.1 Business name .............................................................................................................................. 2
1.2. Form of business ownership ........................................................................................................ 3
1.3 Product and services ..................................................................................................................... 4
1.4 Justification of business opportunity ............................................................................................ 4
1.5 Entry and growth plan ................................................................................................................... 5
1.6 Business goals and objectives ...................................................................................................... 5
1.7 Business industry .......................................................................................................................... 5
CHAPTER TWO ............................................................................................................................................ 7
2.0 MARKET PLAN ................................................................................................................................... 7
2.1 Customers ..................................................................................................................................... 7
2.2 Market share ................................................................................................................................. 7
2.3 Competitors ................................................................................................................................ 12
2.4 Pricing strategy ........................................................................................................................... 13
2.5 Sales tactics ................................................................................................................................. 13
2.6 Methods of advertisement and promotion ................................................................................. 14
2.7 Distribution strategy ................................................................................................................... 15
CHAPTER THREE ........................................................................................................................................ 17
3.0 ORGANIZATION AND MANAGEMENT PLAN .................................................................................... 17
An organizational structure .............................................................................................................. 17
3.1 Business manager qualification and duties and responsibilities ................................................. 17
iv
3.2 Other personnel, number qualification, duties and responsibilities and salary to be paid ......... 18
3.3 Recruitment, Training and promotion......................................................................................... 19
3.3.2 Training .................................................................................................................................... 19
3.4 Remuneration and incentive ....................................................................................................... 20
3.5 License, permit and by-laws ........................................................................................................ 20
3.6 Support services .......................................................................................................................... 21
CHAPTER FOUR ......................................................................................................................................... 22
4.0 PRODUCTION AND OPERATION PLAN ............................................................................................. 22
4.1 Products, services and design and development ........................................................................ 22
4.2 Production and operational facilities and capacity ..................................................................... 22
4.3 Production and operational process ........................................................................................... 23
CHAPTER FIVE ........................................................................................................................................... 25
5.0 FINANCIAL PLAN.............................................................................................................................. 25
5.1 Pre-operational cost .................................................................................................................... 25
5.2 Estimation of working capital ...................................................................................................... 25
5.3 Projected cashflow statement .................................................................................................... 26
5.4 Proforma cash flow projection for the three years ..................................................................... 30
5.5 Proforma Income statement ....................................................................................................... 31
5.6 Proforma Income statement for the three years ........................................................................ 34
5.7 Proforma balance sheet .............................................................................................................. 34
5.8 Break-even analysis ..................................................................................................................... 35
5.9 Profitability Ration ...................................................................................................................... 36
v
1.0 EXECUTIVE SUMMARY
1.1 BUSINESS DESCRIPTION
The proposed business is a sole proprietorship business called Unique Training Agency. It will be
located at Bamburi in Mombasa. The business will offer services to the people either employees
or employers. The following factors will enable us to conduct business in Bamburi; Adequate
security, social amenities such as hospital, available utilities and infrastructure. The business
will start in the year 2027 and the growth of the business will take place simultaneously. Goals
to be achieved include making profit, creating self-employment.
1.2 MARKETING PLAN

This chapter shows the potential of the customers’ market share. The business will have various
types of customers such as online learners’ customers, individual learners and corporate clients.
The business will have competitors such as Upendo Training Agency, Grace Training
Organization and Kenya Medical Training. The business will use the following pricing strategy
Cost- plus pricing, Valve - based pricing. Sales tactics such as follow through your promises,
product knowledge will be used in the business. The business will use the following types of
Methods of advertisement; online advertising, social media promotion. The following methods
of promotion will be used in the business; Digital marketing content, online learning platform.
The business will use direct distribution strategy.
1.3 ORGANIZATION AND MANAGEMENT PLAN

The chapter gives the organization structure, managers and their qualification, recruitment
training and promotion, it tells how the business acquires it license and permit and where the
business got support services.
1.4 PRODUCTION PLAN

The production facilities are equipment needed in the business together with their prices,
capacity has explained. This operational production plan it explain different production facilities
required for the successful of the business in terms of steps to be followed during services
deliveries. The production rate will be determined from the arrival of the customers. Different
steps of production on process are also explained.
1.5 FINANCIAL PLAN

The financial plan in the business helps to study the progress of the business. It shows the
business potential and capabilities geared towards profitability.
Pre-operational cost
Working capital
Projected cash flow
Proforma balance sheet
Break even analysis
Profitability ratios
Desired financial and proposed capitalization
The business intends to start its operation on the year 2027 with a capital of 800,000
1
CHAPTER ONE
1.0 BUSINESS DESCRIPTION
1.1 Business name

The business name will be Unique Training Agency. The reason for choosing this name is
because the service which will be offered in the organization will be Unique than all other
organizations.
The Organization will offer four types of training which include;
1) Job training
2) Training for promotion
3) Induction training
4) Refresher training
The training service will increase the knowledge and skills of the employees for doing particular
job.
The location area of the organization will be in Bamburi in Mombasa, the reason for choosing
Bamburi are as follows;
1) Growth potential
2) Available utilities and infrastructure
3) Social amenities such as hospital
The organization will have the following conducts.
Portal Address Unique Training Agency
P.O Box 36-202 Mombasa
Email Address Uniquetraining86@gmail.com
Mobile number 0707910902
2
UNIQUE
TRAINING
AGENCY
MOMBASA BAMBURI ROAD
BAMBURI COMFORT HOMES

PLOTS
1.2. Form of business ownership

The organization will operate under sole proprietorship as a form of business ownership.
The reason for choosing the organization to operate under sole proprietorship is because I will
be owner of the organization.
The following are advantages of sole proprietorship
 All profits I will enjoy alone

 There is maximum privacy
 It's easy to change legal structure later if circumstances change I can easily wind up my
business
 Establishing and operating the organization is simple
 Quick decision making
The following will be duties of the manager
 To organize learning and development events

 To provide career development support
 To manage the employee onboarding process
 To build and maintain relationship
 To improve living standard of employees
3
 To solve problem to the stuff
The following will be characteristics of the employees
 Hardworking
 Problem solver
 Goal oriented
 Good planner
 Information seeker
1.3 Product and services
1.3.1 Product
The organization will have the following products
 Equipment
 Papers
 Raw materials
 Car maintenance
 Consultation
 Computers
1.3.2 Services
The following are services which will be offered by the organization to attract more customers
 To offer discounts
 Free WIFI
 Podcast quest for course promotion
 Deliver a training strategy
 Free parking
 Free security
1.4 Justification of business opportunity

The following are factors which will make the organization to operate effectively
 Adequate security _ there will be enough security in the organization to protect

employees and the organization
 Competition _In bamburi there are other organizations which will make competition
with the organization and this will make the organization to work more effective
 Availability of raw materials_ there will be enough raw materials in the organization and
also in Bamburi
 Infrastructure _ There is good infrastructure in area where organization is located
4
 Social amenities _social amenities such as hospital are there in Bamburi.
1.5 Entry and growth plan
1.5.1 Entry plan

The year of starting the organization will be 2027 and the organization will operate under sole
proprietorship. In order to start the organization the manager intends to advertise through
giving business cards, placing posters around the premise and away from the same. Advertising
through television, radio, magazines and newspaper.
1.5.2 Growth plan

The organization will be expanded by having new branches in other areas. Within a period of
five year will have branches in Nairobi, Kisumu, Nakuru and Kitui.
The training will be done online in five years after expanding the organization and opening new
branches. One will be able to learn through online and the organization will offer free
computers and WIFI to the trainees. The organization will also operate internally with 30_40
years.
1.6 Business goals and objectives
1.6.1 Business goals

The organization intends to achieve a number of goals both long and short term. The following
will be goals
 To make profits
 To create self-employment
 To maximize utilization of each achieved skills
 To extend his business after five years and open branches
 To enhance leadership skills and abilities
1.6.2 Business objectives

The organization intends to achieve a number of objectives and the following will be objectives
 To import to new entrants basic knowledge and skills

 To assist the employees to function more effectively in their presents position
 To build up a second line of competent officers and prepare them as a part of their
career progression to occupy more responsible position
 To be a Manager
1.7 Business industry

The business will be under training industry
5
As the only organization with deep ties to learning professional the business of learning
profession . Training industry servers as an expert and trusted resource for the profession.
6
CHAPTER TWO
2.0 MARKET PLAN
2.1 Customers
The organization will have the following types of customers
2.1.1 Online learners customers

With the growth of online education customers in the organization will access training content
through digital platforms.
2.1.2 Individual learners

Are people seeking training for personal development. The organization will train such
customers.
2.1.3 Corporate clients

Are companies that purchases training service for their employees. They often have specific
training needs related to their industry.
2.2 Market share

The organization aims at securing the largest market share in the market. There will be 70,000
customers population. The following are competitors of the organization
 Upendo Training Organization

 Kenya Medical Training Organization
 Grace Training Organization
Upendo Training Organization ten years in the market share with 30,000 customers
Kenya Medical Training Organization five years in the market share with 20,000 customers
Grace Training Organization three years in the market share with 15,000 customers
Unique Training Agency one year in the market share with 5,000 customers
70,000 customers represent 100%
1)First year 2027 market share calculation for upendo Training Organization
70,000 customers _100%
30,000 customers _?
30,000 customers ×100% ÷70,000=42.8%
7
=43%
2) First year 2027 market share calculation for Kenya Medical Training Organization
70,000 customers_100%
20,000 customers_?
20,000 customers ×100%÷70,000 customers
28.5%
=29%
3) First year 2027 market share calculation for Grace Training Organization
15,000 customers_?
15,000 customers ×100% ÷70,000 customers
=21%
4) First year 2027 market share calculation for Unique Training Agency
5,000 customers_?
5,000 customers × 100% ÷70,000
=7%
Presentation of the market share 2027
8
Shares
Upendo
Kenya Medical
Grace
Unique
Second year 2028 market share calculation for upendo Training Organization
25,000 Customers
25,000 customers _?
25,000 customers × 100%÷ 70,000 customers
35.7%
=36%
Second year 2028 market share calculation for Kenya Medical Training Organization with
15,000 customers
15,000 customers _?
15,000 customers ×100% ÷70,000 customers
=21%
Second year 2028 market share calculation for Grace Training Organization with 10,000
customers
10,000 customers _?
9
10,000 customers ×100% ÷ 70,000 customers
= 14%
Second year 2028 market share for Unique Training Agency with 20,000 customers
20,000 customers _?
20,000 customers × 100% ÷ 70,000 customers
=29%
Shares
Upendo
Kenya Medical
Grace
Unique
Third year 2029 market share calculation for upendo Training Organization with 10,000
customers
10,000 customers _?
= 14%
Third year 2029 market share calculation for Kenya Medical Training with 15,000 customers
70,000 customers × 100%
15,000 customers _?
10
=22%
Third year 2029 market share calculation for Grace Training with 10,000 customers
70,000 customers ×100%
10,000 customers _?
= 14%
Third year 2029 market share calculation for Unique Training Agency with 35,000 customers
35,000 customers _?
=50%
Shares
Unique
Kenya Medical
Upendo
Grace
11
2.3 Competitors
Within the location there are competitors under the field of training. The following are
competitors in the location
 Upendo Training Organization
Is the organization located in Bamburi.
It trains employees
2. Kenya Medical Training
Is the organization located in Bamburi which trains customers about medical
3. Grace Training Organization
Is located in Bamburi which trains employees
Competitors Strength Weakness
Upendo Training  Strategic  Small number of

location staff
 Well-advertised  Lacks modern
technology
Kenya Medical  Has been in the  Low profits due to

field for long its nature
time
Grace Training  Free parking  Lack online

 quality service services
 Does not offer
many services
The following are advantages which organization will take on weak areas of the competitors
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 The organization will offer online learning
 Opening of branches in other locations in order to capture more customers
 The organization will use modern technology
 There will be free WIFI in the organization in order to access online learning
2.4 Pricing strategy

The following will be methods of pricing that the organization will consider to come up with the
best price
1. Cost plus pricing
The organization will use this method to ensure that all costs are covered and provides a
predictable return on investment.
2. Value - based pricing
Set prices based on the perceived value of the training to the employees and the organization.
Consider the benefits, skills acquired and potential career advancement resulting from the
training.
3. Tiered pricing
Offer different training packages or levels of training with varying prices. This will allow the
organization to cater to a broader range of budget and needs.
4. Subscription models
Offer subscription based access to training content, where organization will pay a recurring fee
for ongoing access to a library of course.
5. Volume discount
Provide discount for organization that enroll a large number of employees in training programs.
6. Freemium model
Offer some basic training content for free and charge for premium.
7. Pay - per - use
Charge organization based on the number of training accessed by their employees.
2.5 Sales tactics

The organization will use the following sales tactics to ensure that services are useful to
customers.
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1. Follow through on your promises
The organization will follow all the promises had promised to the customers.
2. Product knowledge
The organization will ensure employees have a deep understanding of the services.
3. Effective communication
Train in active listening, clear communication and building rapport with customers.
4. Time management
The organization will help employees prioritize tasks and manage their time effectively.
5. Customer understanding
The organization will teach the employees to listen and understand the customer's needs and
pain point.
6. Handling rejection
The organization will equip them to handle rejection and not be discouraged.
7. Continues learning
The organization will encourage ongoing learning and staying updated on industry trends.
8. Sales tools and technology
Familiarize employees with relevant sales tools and technology.
2.6 Methods of advertisement and promotion
2.6.1 Methods of advertisement

The organization will use the methods of advertisement to create awareness of its services so
as to attract more customers.
1. Online Advertising
The organization will use digital channels such as social media, Google and banner ads on
relevant websites to reach a broad online audience.
2. Email marketing
14
The organization will send targeted email campaign to existing contacts and potential trainees
to inform them about upcoming training program.
3. Social media promotion
The organization will use platforms like Facebook, Twitter, LinkedIn and Instagram to create
post events and sponsored content to engage with audience and promote training.
4. Word of mouth
The organization will encourage satisfied past participants to refer others and leave positive
reviews or testimonials that can be shared on website and social media
5. Video marketing
The organization will create promotional videos and share them on platforms like YouTube and
social media.
2.6.2 Methods of promotion
The organization will use the following methods of promotion to attract clients and learners.
1. Digital marketing
The organization will utilize online channels such as social media, email marketing and pay per
click advertising to promote training programs.
2. Content on online learning platform
The organization will publish training course on online learning platforms like Udemy LinkedIn
learning to tap into their existing users bases.
3. Community involvement
The organization will engage with local community through workshops, free seminar or
charitable activities to build the organization reputation and trust.
4. Analytics and data driven marketing
The organization will use analytics tools to attract the effectiveness of promotional efforts and
adjust strategies accordingly.
2.7 Distribution strategy

The organization will use the following direct distribution strategy
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Producer consumer
The organization will offer it's services directly from producer to consumer without middlemen.
16
CHAPTER THREE
3.0 ORGANIZATION AND MANAGEMENT PLAN
An organizational structure
Board of Directors
Managing Director
Teaching staff manager Finance Manager Administration and
Human Resource manager
Teachers, Mentors and counsellors Support staffs
3.1 Business manager qualification and duties and responsibilities
3.1.1 Qualification
The manager of the organization will have the following qualification
 Should have a degree

 The manager should have leadership experience
 Effective communication skills
 Must be a Kenyan citizens
3.1.2 Duties and responsibilities

The organization manager will have the duties and responsibilities
17
 Identifying training needs
 Organizing learning and development events
 Manage training budget
 Manage the employee onboarding process
 Assess career development support
3.2 Other personnel, number qualification, duties and responsibilities and salary to
be paid
Personnel Number Qualification Duties and responsibilities Salary to be
paid
Managing di- 2  Five years of working  To create relation- 60,000

rectors experience ship with our cli-
 Higher education level ents
 Be a Kenyan citizen by  To monitor and
birth evaluate the cen-
ter effectiveness
 Responsibilities for
provision of over-
all guidance and
leadership of the
stuff
Finance man- 3  Be a Kenyan citizen by  To provide finan- 60,000

ager birth cial services to
 Working experience of center
five years  Collect money be-
 Bachelor degree in ac- half of the center
counting  Implement budget
provisions
 Work with exter-
nal auditors
Administration 4  Bachelor degree in hu-  To promote sprit 60,000

and Human man resource manager of team work
resource man-  Working experience of among employees
ager five years  To undertakes
 Be a Kenyan citizen human resource
planning
18
 To ensure good
learning atmos-
phere prevails
 To seat in the in-
terview panel
Teaching staff 6  Be a Kenyan citizen  In charge of cur- 30,000

 Working experience of riculum planning
three years  Teachers supervi-
sion
 Head of examina-
tion
 Address teachers
and students is-
sues
3.3 Recruitment, Training and promotion
3.3.1 Recruitment
The organization will follow the below steps to conduct recruitment of the organization
1. Advertising the post and giving the necessary information Application

2. Application review- The organization manager receives application to shortlist candi-
dates based on qualification and experience.
3. Interview - shortlisted candidates are interviewed often in multiple rounds to access
skills, cultural fit and motivation.
4. Assessment - Organization will use test to evaluate specific skills.
5. Selection - The best candidate will be selected based on interview performance, as-
sessment and overall fit.
6. Offer - the selected candidate is presented with a job offer including details on compen-
sation and benefits.
7. Backgrounds check - the organization manager will check candidates background and
references must be included.
8. Onboarding - Once accepted the new hire undergoes onboarding to integrate the organ-
ization.
3.3.2 Training
The organization will use the following training methods to employees
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 On the job training
The organization will offer on the job training where learners will learn while performing tasks
within the work environment.
 E- learning
The organization will offer online training where learners will be able to learn online
 Role playing
The organization will offer role playing where acting and scenarios to develop interpersonal and
communication skills.
3.4 Remuneration and incentive
3.4.1 Remuneration
For one to be remunerated in the organization will be required to have met the following
Level of education - one should be of higher education level
Experience - one should have five years of working experience
All the staff in the business will be under a permanent basis and will therefore paid by means of
monthly salary.
3.4.2 Incentive
The following are examples of incentives which will be found in the organization
Salary increment
Taking employees to vacation
Flexible schedule and the ability to work from home
Additional paid time off
Professional and career development
3.5 License, permit and by-laws
3.5.1 License
The Unique Training Agency will be operating in Mombasa county. The business will have trade
license which will be given by the county office at cost of 200.
20
3.5.2 Permits
The business will get its permit from Mombasa county. It will be renewed at 2,000 of one year.
3.5.3 By laws
The organization will have some of rules to be adhered by employees so as to ensure smooth
running of the organization and achieve organizational goals and objectives. The following will
be rules
 Reporting on time
 Respecting one another
 Respecting one another
 Dressing appropriately
 Use of company assets
 Safety
 Issuing employing warning
 Filling grievance
3.6 Support services

The following support services will help the organization to run its services effectively
3.6.1 Banking services

The business will open its bank and account at Kenya Commercial Bank which will provide
services such as checking and savings account, providing credit and debit card.
3.6.2 Insurance services

This is a thing providing protection against a possible eventually. The risk that will be covered
by the insurance are as follows personal risk, property risk and liability risk. The name of the
insurance service will be Unique insurance service.
3.6.3 Consulting services

The business will be consulting services under the Education services which will be getting it's
advice from.
3.6.4 Legal services

These are services that will be given by the lawyers when the organization has a case in court
which will be related to law issues.
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CHAPTER FOUR
4.0 PRODUCTION AND OPERATION PLAN
4.1 Products, services and design and development
4.1.1 Products
The products will be bought from suppliers.
The products will be available for customers whenever they need them.
Products will be bought in bulk and kept in store.
4.1.2 Services
For the organization to continue offering services for customers attraction, the services will be
varied in one way or another so that each customers who will come to the organization will be
attracted for free Wi-Fi, free parking and this will make more customers to like the organization.
4.1.3 Design and development

The business will have the following creativity activities
 Brainstorming- organization will encourage group discussion to generate a multitude of

ideas.
 Role playing - explore different perspectives and scenarios to enhance problem solving
skills.
 Reverse thinking
The organization will have the following innovation
 Virtual reality training

 Social learning platforms
 Data analytics for performance tracking.
4.2 Production and operational facilities and capacity

First table representing production and operational facilities and capacity
Facilities Amount
Furniture 48,000
Computers 30,000
Rooms 40,000
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Total 118,000
Second table representing production and operational facilities and overheads expenses
Overheads expenses Amount
License 3,000
Permit 2,000
Advertisement 10,000
Total 15,000
4.3 Production and operational process

The process of conducting business activities will be as follows
The business will use new method of technology like online services and advertising our
programs on television and radio.
The business will use an idea generation for its productivity process in the organization.
Screening the documents of trainees to get the qualified trainees for the productivity of the
organization.
Employing qualified trainees for better services in the organization and have well equipped
materials to serve more clients for more profits.
The production process maybe affected as follows
Lack of capital in the business would led to the collapse of the business
The maintenance of the equipment may be costly for the organization
23
Business premise layout
Human Resource Manager Office Accounts Office
Office
Entrance Stores
Reception Registration Training rooms
Office Office
Exit
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CHAPTER FIVE
5.0 FINANCIAL PLAN
Over view
This chapter will deal with all the financial plans to be put into practice aimed at the achievement of
Unique Training Agency.
It's shows the business potential and capabilities geared towards profitability
 Pre- operational cost

 Working capital
 Project cash flow
 Proforma balance sheet
 Break even analysis
 Profitability ratios
 Desired financial and proposed capitalization
The business intended to start it's operation in the year 2027 with a capital of 800,000
The amount will be raised as follows
 Own saving -150,000

 Bank loan from KCB - 75,000
 Loan from sacco -500,000
 Contribution from friends and families 75,000
5.1 Pre-operational cost

Are expected cost to be met before the business comes into operation
ITEM COST
License 3,000
Permit 2,000
Furniture 48,000
Computers 30,000
Rooms 40,000
Total 133,000
5.2 Estimation of working capital

Is the remaining amount of capital after meeting the pre- operational cost
25
Working capital= Invested capital - pre-operational cost
800,000- 133,000= 667,000
Working capital is 667,000
5.3 Projected cashflow statement

Cashflow existence in any business plan is justified as it helps the business anticipate when there will be suppliers and deficits of the funds hence
taking the necessary measures
26
5.3.1 Proforma cashflow for the first year 2027
DETAILS JAN FEB MAR APR MAY JUN JULY AUG SEP OCT NOV DEC TOTAL
Opening cash 667,000 722,000 780,000 838,000 904,000 972,000 1,028,000 1,053,000 1,153,000 1,229,000 1,335,000 1,442,000 12,123,000
Sales 150,000 152,000 154,000 156,000 158,000 159,000 160,000 161,000 162,000 163,000 164,000 165,000 1,904,000
Total cash in- 817,000 874,000 934,000 994,000 1,062,000 1,131,000 1,188,000 1,214,000 1,315,000 1392,000 1,499,000 1,607,000 14,027,000
flow
Expenses
Salary 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 600,000
Electricity bill 5,000 4,000 6,000 5,000 5,000 3,000 2,000 6,000 6,000 2,000 2,000 3,000 49,000
Purchases 10,000 15,000 20,000 15,000 15,000 25,000 5,000 10,000 10,000 5,000 3,000 5,000 138,000
Advertisement 10,000 10,000 5,000 5,000 5,000 10,000 3,000 -- -- -- 2,000 50,000
Fuel 15,000 10,000 10,000 10,000 10,000 10,000 70,000 15,000 20,000 -- 3,000 173,000
License 3,000 3,000 3,000 3,000 3,000 3,000 3,000 -- -- -- -- -- 21,000
Permit 2,000 2,000 2,000 2,000 2,000 2,000 2,000 -- -- -- -- -- 14,000

Total cash out- 95,000 94,000 96,000 90,000 90,000 103,000 135,000 61,000 86,000 57,000 57,000 61,000 1,025,000
flow
Net cash 722,000 780,000 838,000 904,000 972,000 1,028,000 1,053,000 1,153,000 1,229,000 1,335,000 1,442,000 1,546,000 13,002,000
27
5.3.2 Proforma cash flow projection for the year 2028
Opening 1,546,000 1,638,000 1,740,000 1,833,000 1,939,000 1,999,000 2,113,000 2,231,000 2,346,000 2,455,000 2,574,000 2,694, 25,108,
cash 000 000
Sales 166,000 167,000 168,000 169,000 170,000 171,000 172,000 173,000 174,000 175,000 176,000 177,00 2,058,0
0 00
Total cash 1,712,000 1,805,000 1,908,000 2,002,000 2,109,000 2,170,000 2,285,000 2,404,000 2,520,000 2,630,000 2,750,000 2,871, 27,166,
inflow 000 000
Expenses
Salary 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 600,00
0
0
Purchases 5,000 10,000 20,000 5,000 3,000 4,000 2,000 5,000 3,000 3,000 2,000 10,000 72,000
Advertisement 5,000 -- 2,000 2,000 -- -- -- -- 5,000 -- 2,000 2,000 18,000
Fuel 5,000 3,000 -- 5,000 50,000 -- -- -- -- -- -- 3,000 66,000
License 3,000 -- -- -- 3,000 -- -- -- 3,000 -- -- 3,000 12,000
Permit 2,000 -- --- -- 2,000 -- -- -- 2,000 -- -- 2,000 8,000

Total cash out- 74,000 65,000 75,000 63,000 110,000 57,000 54,000 58,000 65,000 56,000 56,000 73,000 806,00
flow 0
Net cash 1,638,000 1,740,000 1,833,000 1,939,000 1,999,000 2,113,000 2,231,000 2,346,000 2,455,000 2,574,000 2,694,000 2,798, 24,421,
000 000
28
5.3.3 Proforma cash flow projection for the year 2029
Opening cash 2,798,000 2,853,000 2,920,000 2,962,000 3,030,000 3,109,000 3,156,000 3,229,000 3,316,000 3,399,000 3,424,000 3,542, 37,80
000 8,000
Sales 178,000 179,000 160,000 150,000 165,000 169,000 170,000 172,000 175,000 178,000 175,000 180,00 2,051,
0 000
Total cash in- 2,976,000 3,032,000 3,080,000 3,132,000 3,195,000 3,278,000 3,326,000 3,401,000 3,491,000 3,577,000 3,649,000 3,722, 36,85
flow 000 9,000
Expenses
Salary 55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,0005 55,000 55,000 55,000 55,000 660,0
00
0
Purchases 45,000 50,000 25,000 40,000 20,000 60,000 30,000 25,000 30,000 40,000 45,000 50,000 460,0
000
Advertisement 5,000 -- 5,000 -- 3,000 -- 5,000 -- -- -- -- 10,000 28,00
0
Fuel 10,000 5,000 10,000 5,000 3,000 5,000 5,000 3,000 5,000 5,000 5,000 5,000 66,00
0
License 3,000 -- -- -- -- -- -- -- -- -- -- 3,000 6,000
Permit 2,000 -- -- -- -- -- -- -- -- -- -- 2,000 4,000

Total cash out- 123,000 112,000 98,000 102,000 86,000 122,000 97,000 85,000 92,000 103,000 107,000 130,00 1,257,
flow 0 000
Net cash 2,853,000 2,992,000 2,982,000 3,030,000 3,109,000 3,156,000 3,229,000 3,316,000 3,399,000 3,474,000 3,542,000 3,592, 38,60
000 2,00
29
5.4 Proforma cash flow projection for the three years
Details Year 2027 Year 2028 Year 2029
Opening cash 12,123,000 25,108,000 37,808,000
Sales 1,904,000 2,058,000 2,051,000
Total cash inflow 14,027,000 27,166,000 36,859,000
Expenses
Salaries 600,000 600,000 660,000
Electricity bill 49,000 30,000 33,000
Purchases 138,000 72,000 460,000
Advertisement 50,000 18,000 28,000
Fuel 173,000 66,000 66,000
License 21,000 12,000 6,000
Permit 14,000 8,000 4,000
Total cash inflow 1,025,000 806,000 1,257,000
Net cash 13,002,000 24,421,000 38,602,000
30
5.5 Proforma Income statement
5.5.1 Proforma Income statement for the first year 2027

Sales 150,000 152,000 154,000 156,000 158,000 159,000 160,000 161,000 162,000 163,000 164,000 165,000 1,904,000
purchases 10,000 15,000 20,000 15,000 15,000 25,000 5,000 10,000 10,000 5,000 3,000 5,000 138,000
Gross profit 140,000 137,000 134,000 141,000 143,000 134,000 155,000 151,000 152,000 158,000 161,000 160,000 1,766,000
Expenses
Salary 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 600,000
Advertisement 10,000 10,000 5,000 5,000 5,000 10,000 3,000 -- -- -- 2,000 50,000
Fuel 15,000 10,000 10,000 10,000 10,000 10,000 70,000 15,000 20,000 -- 3,000 173,000
License 3,000 3,000 3,000 3,000 3,000 3,000 3,000 -- -- -- -- -- 21,000
Permit 2,000 2,000 2,000 2,000 2,000 2,000 2,000 -- -- -- -- -- 14,000

TOTAL 85,000 79,000 76,000 75,000 75,000 78,000 130,000 51,000 76,000 52,000 54,000 56,000 887,000
Net Profit 55,000 58,000 113,000 171,000 237,000 305,000 361,000 386,000 486,000 106,000 107,000 110,000 885,000
Net profit B/D -- 55,000 113,000 171,000 237,000 305,000 361,000 386,000 486,000 562,000 668,000 775,000 4,119,000
Net profit C/D 55,000 113,000 171,000 237,000 305,000 361,000 386,000 486,000 562,000 668,000 775,000 885,000
31
5.5.2 Proforma Income statement for the year 2028
Sales 166,000 167,000 168,000 169,000 170,000 171,000 172,000 173,000 174,000 175,000 176,000 177,00 2,058,00
0 00
Purchases 5,000 10,000 20,000 5,000 3,000 4,000 2,000 5,000 3,000 3,000 2,000 10,000 72,000
Gross profit 161,000 157,000 148,000 164,000 167,000 167,000 170,000 168,000 171,000 172,000 174,000 167,00 1,986,00
0 0
Expenses
Salary 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 600,000
Advertisement 5,000 -- 2,000 2,000 -- -- -- -- 5,000 -- 2,000 2,000 18,000
Fuel 5,000 3,000 -- 5,000 50,000 -- -- -- -- -- -- 3,000 66,000
License 3,000 -- -- -- 3,000 -- -- -- 3,000 -- -- 3,000 12,000
Permit 2,000 -- --- -- 2,000 -- -- -- 2,000 -- -- 2,000 8,000

Total 69,000 55,000 55,000 58,000 107,000 53,000 52,000 53,000 62,000 53,000 54,000 63,000 734,000
Net profit 92,000 102,000 93,000 106,000 60,000 114,000 118,000 115,000 109,000 119,000 120,000
104,00 1,252,00
0 0
Net profit B/D 885,000 977,000 1,079,000 1,172,000 1,278,000 1,338,000 1,452,000 1,570,000 1,685,000 1,794,000 1,913,000 2,033,
000
Net profit C/D 977,000 1,079,000 1,172,000 1,278,000 1,338,000 1,452,000 1,570,000 1,685,000 1,794,000 1,913,000 2,033,000 2,137,
000
32
5.5.3 Proforma income statement for the year 2029
DETAILS JAN FEB MAR APR MAY JUN JULY AUG SEP OCT NOV DEC TO-
TAL
Sales 178,000 179,000 160,000 150,000 165,000 169,000 170,000 172,000 175,000 178,000 175,000 180,000 2,05
1,00
0
Purchases 45,000 50,000 25,000 40,000 20,000 60,000 30,000 25,000 30,000 40,000 45,000 50,000 460,
0000
Gross profit 133,000 129,000 135,000 110,000 145,000 109,000 140,000 147,000 145,000 138,000 130,000 130,000 1,59
1,00
0
Expenses
Salary 55,000 55,000 55,000 55,000 55,000 55,000 55,000 55,0005 55,000 55,000 55,000 55,000 660,
000
00
Advertisement 5,000 -- 5,000 -- 3,000 -- 5,000 -- -- -- -- 10,000 28,0
00
Fuel 10,000 5,000 10,000 5,000 3,000 5,000 5,000 3,000 5,000 5,000 5,000 5,000 66,0
00
License 3,000 -- -- -- -- -- -- -- -- -- -- 3,000 6,00
0
Permit 2,000 -- -- -- -- -- -- -- -- -- -- 2,000 4,00
0
Total 78,000 62,000 73,000 62,000 66,000 62,000 67,000 60,000 62,000 63,000 62,000 80,000 797,
000
Net profit 55,000 67,000 62,000 48,000 79,000 47,000 73,000 87,000 83,000 75,000 68,000 50,000 794,
000
Net profit B/D 2,136,000 2,192,000 2,259,000 2,321,000 2,369,000 2,448,000 2,495,000 2,568,000 2,655,000 2,738,000 2,813,000 2,881,00
0
Net profit C/D 2,192,000 2,259,000 2,321,000 2,369,000 2,448,000 2,495,000 2,568,000 2,655,000 2,738,000 2,813,000 2,881,000 2,931,00
0
33
5.6 Proforma Income statement for the three years
Details Year 2027 Year 2028 Year 2029
Sales 1,904,000 2,058,000 2,051,000
Purchases 138,000 72,000 460,000
Gross profit 1,766,000 1,986,000 1,591,000
EXPENSES
Salaries 660,000 660,000 660,000
Electricity bill 49,000 30,000 33,000
Fuel 173,000 66,000 66,000
Advertisement 50,000 18,000 28,000
License 21,000 12,000 6,000
Permit 14,000 8,000 4,000
Total 887,000 734,000 797,000
Net profit 885,000 1,252,000 794,000
5.7 Proforma balance sheet

Proforma balance sheet
Unique Training Agency
Balance sheet as at 1st January 2027
Fixed asset Sh. Capital Sh.

Furniture 48,000 Own savings 150,000
Computers 30,000 Contribution from friends and 75,000
family
Rooms 40,000
118,000 75,000
Current asset Sh. Liabilities Sh.

License 3,000 Bank loan KCB 75,000
Permit 2,000 Loan from SACCO 500,000
Advertisement 10,000 575,000
Cash in hand 667,000
682,000
800,000 800,000
34
5.8 Break-even analysis
It is appoint where the business will either be making profit or loss
Total revenue = Total expenditure
Items Amount
Purchases 138,000
Electricity bill 49,000
Fuel 173,000
Total 410,000
i. Total margin contribution = sales – total variable cost

1,904,000 – 416,000
= 1,494,000
ii. Contribution Margin percentage = Total contribution x 100%

Sales
1,494,000 x 100%
1,904,000
78.4%
=78.4%
iii. Total fixed cost

Items Amount
Salaries 600,000
License 21,000
Miscellaneous 25,000
Total 646,000
iv. Break-even point = Total fixed cost x 100%

Contribution margin Percentage
646,000 x 100%
78%
=828,205
35
5.9 Profitability Ration
5.9.1 Gross profit percentage

Gross profit x 100%
Sales
1,766,000 x 100%
1,904,000
92.75%
=93%
5.9.2 Return on equity

Net profit x 100%
Initial capital + net profit
885,000 x 100%
800,000 + 885,000
885,000 x 100%
1,685,000
52.5%
=53%
5.9.3 Return on sales

Net profit x 100%
Sales
885,000 x 100%
1,904,000
46.48%
46%
5.10 desired Financing

Desired financing = Pre-operational cost + working capital
133,000 + 667,000
= Ksh.800,000
5.11 Proposed Capitalization

Source of raining capital
Own savings 150,000
36
Loan from KCB 75,000
Loan from SACCO 500,000
Contribution from families and friends 75,000
800,000
37

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BUSINESS PLAN

UNIQUE TRAINING AGENCY

NAME: MWANGANGI MIRIAM NGINA

INDEX No.: 1061220170

COURSE: DIPLOMA IN HUMAN RESOURCE MANAGEMENT

UNIT CODE: 2908/108

KENYA COAST NATIONAL POLYTECHNIC

SUPERVISOR NAME: MADAM SUSAN

EXAM SERIES: MARCH SERIES

PRESENTED TO: KENYA NATIONAL EXAMINATION COUNCIL IN PARTIAL FULFILMENT OF THE

NAME: MWANGANGI MIRIAM NGINA

1.2 MARKETING PLAN

1.3 ORGANIZATION AND MANAGEMENT PLAN

1.4 PRODUCTION PLAN

1.5 FINANCIAL PLAN

1.0 BUSINESS DESCRIPTION

1.1 Business name

The Organization will offer four types of training which include;

2) Training for promotion

2) Available utilities and infrastructure

3) Social amenities such as hospital

The organization will have the following conducts.

Portal Address Unique Training Agency

P.O Box 36-202 Mombasa

Email Address Uniquetraining86@gmail.com

Mobile number 0707910902

MOMBASA BAMBURI ROAD

BAMBURI COMFORT HOMES

1.2. Form of business ownership

The following are advantages of sole proprietorship

 All profits I will enjoy alone

The following will be duties of the manager

 To organize learning and development events

The following will be characteristics of the employees

1.3 Product and services

1.4 Justification of business opportunity

 Adequate security _ there will be enough security in the organization to protect

1.5 Entry and growth plan

1.5.1 Entry plan

1.5.2 Growth plan

1.6 Business goals and objectives

1.6.1 Business goals

1.6.2 Business objectives

 To import to new entrants basic knowledge and skills

1.7 Business industry

2.0 MARKET PLAN

2.1.1 Online learners customers

2.1.2 Individual learners

2.1.3 Corporate clients

2.2 Market share

 Upendo Training Organization

70,000 customers represent 100%

70,000 customers _100%

30,000 customers ×100% ÷70,000=42.8%

20,000 customers ×100%÷70,000 customers

15,000 customers ×100% ÷70,000 customers

5,000 customers × 100% ÷70,000

Presentation of the market share 2027

70,000 customers _100%