AS Business Coursework

Contents Page

Introduction to Business Plan 

Company name                 Page 3

Service Provided         Page 3

Mission Statement        Page 4        

Business Objectives                 Page 4

Legal Form                        Page 4

Stakeholders                        Page 5

Legislation        Page 6

Insurance                         Page 6

Marketing                        Page 7

Financial Sources                Page 8

Monitoring Quality                Page 9

Operating days and times        Page 9

Market Background

Market Research                Page 11

Local Suppliers                Page 11

Consumer Research -

Questionnaire                Page 12

Results        Page 14

          Overall Outcome        Page 21

          Sales        Page 22

Initial Research

Premises needed                  Page 22

Letter of Agreement                Page 24

Map of School                        Page 25

Equipment (location/cost)        Page 26

                Cash Register                Page 26

                Table and Chair        Page 27

                Refrigerated Units        Page 27

                Transport                Page 28

                Total Expenditure         Page 28

Stock (location/cost)                Page 29

Staff Skills                            Page 30

Financial Resources

Profit and Loss                        Page 31

Balance Sheet                        Page 32

Cash flow                        Page 33

Breakeven                        Page 36

Usage of ICT                        Page 37

Future Development                Page 40

Appendix                        Page 41

Scrumptious School Smoothies

Introduction to Business Plan

Company name:

Scrumptious School Smoothies

I chose the name ‘Scrumptious Smoothies’ for numerous reasons; firstly it states the service provided by the business – ‘Smoothies.’ It is a remember-able name containing alliteration. The name Scrumptious Smoothies has not been used by any other businesses according to Google search engine, ,  and in the phonebook of BT on the date of 21st March 2007. Neither of the search engines or telephone directory businesses resulted in any companies with the likeliness of scrumptious in the name.

I then looked on  to see if any other businesses were called Scrumptious Smoothies and the feedback was negative, no other companies had taken the name so I reserved the name for £29 so this stops other companies having the name     .  

Service Provided:

With research, it was identified that there was a gap in the market for a smoothie selling service business on the premises of Emmbrook School therefore I will sell a variety of flavoured smoothies at competitive prices.

Primarily the idea of a smoothie selling business stemmed from the idea that the school does not offer any other drinks apart from water or orange juice and with Wokingham being an affluent area of Reading potentially the business would receive custom as the children would be able to afford to purchase luxury drinks that are healthy. The average house prices of the area consist to be the minimum of £200,000. Around the Wokingham area  does not support any smoothie companies therefore no competitors are locally situated.  

I will apply for licences from the council and health and safety for food licence to assure customers of the highest quality and standards so they feel safe in purchasing smoothies from the business.


Mission Statement:

Scrumptious School Smoothies aim to provide a refreshing, mouth watering, and healthy drink for School students at fair competitive prices.

Business Objectives:

  • Maximize profitability in order to breakeven
  • The business needs to be profitable to succeed long term. I would be able to then consider expansion, as well as be able to make the company more efficient. I will also be able to be more lenient with my money.

  • To maintain the quality of products
  • It is vital that customers are happy with the quality of their products. I would run regular checks to make sure customers are happy and an analysing of faulty products would be recorded. Any staff would always be trained so that health and safety requirements are met. Also the business has to go by certain regulations such as the food safety act, this ensuring the smoothies are served safely and hygienically. Breaking these rules could result in the business being closed down.

  • To expand the business and open up at least 3 more stalls in different schools in 2 years to improve brand awareness
  • Expanding the business will improve profitability and create more brand awareness to more students across the local area.

I believe that my business objectives, if met, will result in my business being successful.  

The objectives cover the financial status of what the business should reach when breaking even however this may take longer than a year depending on the amount of sales received but it is a major fact I need to cover otherwise the consequences of debt will result.

The objectives take into consideration the health of the customer by offering quality smoothies and also set a target of enlarging the company to create more profit and make the brand more aware.

Legal Form:         

Sole trader

A sole trader is one person that runs a business; all financial risks are taken by that person and all that person’s assets are taken as risks. A sole trader is a person who trades by himself/herself without the use of a company structure or partners and bears alone full responsibility for the actions of the business.

I’m choosing to become a Sole trader due to the limited number of other options that being a partnership, a limited company and being self employed. However becoming a sole trader minimizes decisions being made; only I will make them and there will be no disputes between other owners or other stakeholders in the business. I can also have complete control of the business and accounting affairs. However I do understand that I have to take full responsibilities for any liabilities should anything go wrong.

According to  being a sole trader is a quick way of setting up a business, after informing the government agencies of my plans I can start trading straight away.

In order to become a sole trader I need to complete the CWF1 Form and return it to the Inland Revenue.

The form was from  

Registering the company using  only cost £49.


I have stated the main groups of people that I believe will be interested in my business.

I myself am a major stakeholder to my business; I will be very aware of what is happening and want to know the success.

The bank will be highly interested in my business plans and actions if I decide to take out a loan as to whether I could pay back the money or not.

Local competitors will be interested in the business, however these will be limited as the only businesses operating on the school grounds will be concerned, these would be the Vending Machine companies as they aimed to provide healthy drinks and the school canteen as they also provide beverages.

The local government will be concerned upon the business as the increased capital coming from businesses in the surrounding area can be spent through the council on the local community and town.

The Students, Teachers and Parents of the school proposed to operate in will be very significant stakeholders, they will be involved in the business as they will be the customers, they will be generating the sales which will produce the income to the company. They will require knowing whether the business is achieving sales to know whether the business will still be operating. However the local community may take an interest as they potentially could be new customers when new children start school.

Suppliers will be interested in how well sales are acting as the more sales I make the more stock I will need to purchase.


I need to consider and take into account the legislation set by local governmental authorities about gaining a licence due to the Heath and safety and environment policy.

After researching on the Internet with the help of    was advised that I follow certain regulations in maintaining a clean, tidy safe working environment and recycling any wastage produced and should be aware of visits from local authorities.


Using the following link helped me to identify the type of insurance I need in order to cover Scrumptious Smoothies -


The business requires –

Public liability insurance, to insure my legal liability to pay damages to members of the public when activities of the business corrupt in such a way or covering the legal fees, costs and expenses as a result of accidents.


Product Liability Insurance, as I sell products this type of insurance will allow for me from product faults and damages.

Money Insurance, this will be required to protecting the money that’s in the business when travelling to and from school.

Goods in transit cover, this will allow smoothies being insured when travelling against loss or damaged.

Stock cover will insure the businesses equipment it owns (for example the refrigerator) as well as the stock it owns at that specific time.


After using an insuring quoting system on the Internet from    I will purchase insurance that covers all of the above insurance sections. The insurance costs £10.93 per month which is £131.25 a year.

Also in the future if I decide to employ any other workers I will need to purchase employers liability insurance, as this will cover myself against claims from other employees who may be injured at work

Join now!


The business will require advertising; I am capable of producing posters and leaflets on Microsoft publisher or Microsoft word on the computer. This will reduce costs. I will set out an allowance a month for new advertising to refresh last months.

I will create 1200 leaflets to give to each pupil of the school and each teacher, as these are the only potential customers. I also will create posters to erect around school.

I will never need to set up my own website unless I expand out of school however I may in time wish ...

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