Description of a business

Table of content

Acknowledgement

First and foremost I will like to thank god for giving me the strength and abilities to finish this principle of business school based assessment. I give my gratitude to my principle of business teacher for helping me in the completion of this project. I thank my fellow family members for their never ending patience.
I give thanks to everyone who helped me in the completion of this project. Without all your constant supervision it would not have been possible. Thanks to everyone who had faith in me and the listening hear that each and every one of them gave.

Introduction

The owners decided to business area of baking to encourage and promote healthy and enjoyable pasties to customers at an affordable price. This business venture will entail all the details of the establishment of JJs Bakery. The bakery will be established to cater for the demand of customers while obtaining a profit. All the expectations and desires of establishing and operating the business will be entailed.

Description of a business
The name of the business is JJ’s bakery. This is a partnership operated by Josephine and Jody Ann Hernández. Partnership is a legal form of business operation between two or more individuals who share management and profits. This venture is being established to cater to the needs of individuals who want to indulge in sumptuous baked products without having to worry about consuming a large amount of calories; as all our ingredients are as natural and healthy as can be. Our baking menu will include various pastries that will be designed to satisfy all the needs of our customers. Some of these products include breads, cakes, doughnuts, patties, muffins, cookies, pies, tarts, rolls and buns
The aim of JJ’s bakery is to provide products at a competitive price to meet the demands of middle to higher class consumers. We will always thrive for the best taste and quality possible and within reach with the best chefs that we can afford for optimum satisfaction of our customers.

Mission statement

JJ’s bakery is being established with the intention of always providing products of the greatest possible quality and value to our consumers. In doing so we strive to gain and hold the respect, trust and loyalty of our customers while achieving sufficient profit to finance our company and its growth.
It was not just our qualifications in baking and pastry that have led us to this venture but also our passion for baking. We aim to fill the niche for healthy pastries that everyone can enjoy even the diabetics. Our mission is to provide low calorie products, but sweetened that it will satisfy the taste buds of our valued customers.
We will always place the needs of our customers first with the aim of pleasing them at the utmost of our abilities. We will provide services that are efficient and optimum to all the needs and demands of our customers. There will always be someone to serve the customers with patience an encouraging smile.

Justification of location

Choosing a business location is perhaps the most important decision an entrepreneur will make. This requires precise planning and sufficient research. It involves looking at demographics, assessing your supply chain, investigating the competition, staying on budget, understanding government laws and taxes.
With this in mind we have decided to locate our business at the Barbican Shopping Centre, 29 East Kings House Road St Andrew. It was analysed that this will be an ideal location due to the fact that there is no business of such nature in the vicinity. This will be a great advantage for the bakery due to the fact that there will not be any nearby competitors to worry about, especially since this will be a new business venture.
Subsequently this shopping centre is home to a massive supermarket that will bring about more customers to our bakery. Secondly this location will be relatedly safe due to the fact that it has a twenty four hour security.
This location will be optimum for the bakery for several reasons, these include
Transport access There is a main road exactly in front of the shopping centre; this will be an advantage for both employees and customers to travel to and from the business. The customers will easily be able to locate the business and the bakery will easily be noticeable by the customers. There will also be adequate parking facilities for the customers. The roads are perfect which will also make it accessible for the transportation of our raw materials. This will also help in the transportation service the bakery will offer.

Market pull
This location is the heart of where business activities take place; most of the working class will have to visit this location to obtain the products and services they require. This location is heavily populated with young and working class families. This will provide increase opportunity for potential customers to buy our products.
Environment
JJs bakery will always be marketing the healthiest products, in the healthiest environment possible. There is an adequate drainage system and waste materials can easily be taken away for proper disposal without affecting any other businesses.

Selection of appropriate labour

Labour is the physical and mental contribution of human efforts combined to form the creation of goods and services. JJ’s bakery will be employing about ten employees. These employees will be vital to the efficient operation of the business. The types of labour necessary include:
Professional
i. Manager: the Bakery department manager is generally in charge of all components of the bakery department. They often hire, train, and evaluate staff, as well as develop new bakery items.

ii. Supervisor: Supervises and coordinates activities of workers engaged in mixing, dividing, moulding, and proofing of dough, and in baking, slicing, and wrapping of bread, pastries, and other bakery products: Examines dough and batter for specified consistency.

Skilled workers iii. Main chef: The pastry chef is primarily responsible for creating desserts, but he or she can also be assigned to other tasks in the kitchen.

iv. Assistant chef: Assistant pastry chef support head pastry chefs in the daily tasks of a pastry kitchen or bakery.

v. Cashier: cashier is required to serve the customers and collect the money paid for the products. They are expected to keep the money checked in a register and answer all the customers’ queries about the products offered.

vi. Security guard the security guard is in charge of securing the property, assets or people. They are always on watch for impending crime, fire or disorder. Then taking actions to report or resolve the current problem.

Semi-skilled vii. Driver: they will be in charge of the on time delivery of the products. They are expected to always know the location of where the product is to be delivered.

viii. Counter clerk: they are Responsible for selling goods or services at a business. Checks out customers, scans items, answers questions, handles warranty information, and provides a receipt.

Unskilled ix. Cleaner: they are in charge of keep up with the immaculate appearance of the business. They are in charge of all the cleanings that are required.

All these workers are necessary and important because they are vital for the efficient function and development of the business. They provide services that will influence the effectiveness of the business. They are mandatory to help enhance the day to day operation of the business.

Sources of fixed and working capital

An entrepreneur will have to have a number of ways to obtain the necessary amount of money to start up a business. They should have an outline of the requirements for the start-up of the business.

Fixed capital is defined as assets or capital investments that are needed to start up and conduct a business, even at a minimal stage. These assets are considered fixed in that they are not used up in the actual production of goods and service, but have a reusable value. This fixed capital includes building, vehicles, machineries and other equipment.

Working capital id defined as raw materials, money and other items that are used up in the day to day operation of the business or the goods that are constantly being used up in business. The total capital that will be obtained from personal savings will be 1.5 million dollars, contribution from parents and family members and a loan from the National commercial Bank in the sum of two million dollars will also be obtained to finance the establishment of the business.

Role of the entrepreneur

As the owners of JJs bakery the planning and management will be determine by both of us sharing ideas and desires for the business. We will be in charge of providing the goods and services for the business for the potential customers.

Acquiring the necessary tools such as the machinery and equipment will be the responsibility of us the owners. The vision and future of the business will always be targeted and at the top priorities of the owners. Together we will look determine the short and long term goals of the business.

In organizing the success of the venture, we will ensure that goals will be accomplished by ensuring that tasks will be clearly defined and adequate resources put in place for the valued workers.

As entrepreneurs we will have the responsibility of ensuring that the business can be properly established with the limited resources available. The entire decision making and loses will solely be made and managed by us the owners.
We will ensure that the customers are always pleased and that the business is operated at the highest standards and the rules and regulations are always followed by our employees.

In addition to this, the owners will spend more working hours ironing out the details, finalizing the business plans, meeting with loan officers interviewing applicants, ironing out any problems that may arise and a host of other activeties

Type of production

Production is the process of employing labour, capital and other inputs to produce goods and services available to customers. With this being said, JJs bakery will be engaged in the secondary and tertiary stage of production. In the secondary stage the use of raw materials such as sugar, flour, wheat and spices will be used to be converted into finish products. In the tertiary stage, this refers to all the services that will be offered to the customers. The bakery will provide an on time delivery services for the wholesalers and retailers that will buy our products. In addition to this, JJs bakery will provide special catering services to customers for special occasions such as wedding, birthday party and others. The bakery will also provide take-out orders whereby a customer can call and place their order and they will have the option of requesting the product to be delivered to them.

Level of production

Demands at the bakery production level need to reflect changing consumer requirements. Bakery equipment and processes need to be flexible enough to cope with a variety of modes of operation that match a continually changing marketplace, whilst balancing variables such as cost of raw ingredients, energy, minimising waste and conforming to the appropriate regulatory requirements.
JJ’s bakery will be able to provide a wide variety of pastries to meet the varying demands of the consumer. All-encompassing product are backed up by service, support, and most importantly the bakery will know how to obtain the resources needed to produce consistently high quality products on time every time. The bakery will indulge in the domestic level of production, the products are made locally. In the home country, and is sold in the local market. Human and natural resources are employed and the whole economy is dependent upon what it can produce from these resources. JJs bakery will provide products that will supply and satisfy the demands of our customers.
The bakery will benefit from this level of production due to the fact that it will not depend on imported raw materials which in turn, will also decrease the cost of productivity. JJs bakery will utilize local skills and talents in the production of our products. This will also provide employment for workers which will enable effective production.

Quality control measures

Use of technology

In the baking industry quality and time should always be at the fore front of all priorities. The bakery should be able to produce on time products, with efficient quantity and at the best quality. The implementation of technology will enable speedy production which in turn will cater for the customers’ demands. When accounting is taken into consideration, this can be simplified by computers. It will be easy to keep a record of how much is being produced and how many products are sold. There will be cash registers that will also keep record of sold goods. There will be security cameras to enhance protection and security. Temperature sensors will also be established in the production process. In doing this the temperature which is required to bake the products will be recorded and set. In a bakery certain humility will be needed, this will be established also by temperature monitors. This will help to eliminate any fire accidents due to the fact that the temperature will always be monitored. Precise temperature is also mandatory in order to enhance preservation and freshness of the pastries.

linkage

JJs bakery will be involved in both forward and backward linkages. Forward linkage exists when the development of an industry leads to the growth of other industries that uses its output as input. JJs bakery will retail goods and provide services to customers. The bakery will also be engaged in backward linkage. This occurs when one industry has to depend upon another industry that is not directly related to in for inputs to its operation. With this in mind, JJs bakery will have to depend on the producers of our raw materials in order to make our products. The bakery will benefit from forward linkage because there will always be an outlet for the product.

Potential growth

JJs bakery will always have a window open for potential growth. The bakery will always strive to produce the best quality products and in doing so there will be a steady demand for our products. This would result in the increase of production and as a result of this more machinery equipment would have to be bought and more workers would have to be employed. An expansion would have to then take place to facilitate the growing development of the business. This would also result in more capital being injected into the business, hence reducing the cost of loans from financial institutions. In addition to this, the structure of the business would also change to cater for an addition of a semi restaurant area where our customer will have the opportunity to order a meal in a comfortable environment. The location of the business would also have to be altered to provide accommodation for this addition. The bakery will conduct research on how these features can be established and how the customers would respond to these changes before establishing them. All these factors will solely depend on the demands of the customers.

Bibliography

www.carlongpublishers.comview_book_details.php?id213 www.investopedia.com...workingcapital www.investopedia.com...fixedcapital www.investopedia.com...government_regulation.asp