BUSINESS PLAN
greetings, we are looking to expand business operations and are looking for investors to help grow our business operations.
420 Express
Hines Creek, AB T0H 2A0, Canada
November 22, 2023
Executive Summary
The Ownership
The Company is structured as a corporation.
The Management
The Company will be managed by Reece Basnett.
The Goals and Objectives
The company aims to accomplish the following goals and objectives: To provide a large selection of cannabis products to our customers, we focus on employee sales and product training to ensure retention of employees and customers. We are looking to expand to more stores to grow our brands trust and reputation, as well as enhance the customers buying experience.
The Product
The company gets all cannabis products from AGLC, we keep our employees trained in new products to ensure customers get the latest and greatest "new products"
Our accessories and clothing comes from local suppliers and wholesalers.
The Target Market
The Company 's target market has the following characteristics:
- Ages: 18-75
- Other: Cannabis connoisseurs or customers with daily aches, pains or sleep issues.
Pricing Strategy
The Company will make use of an economy pricing strategy.
Capital Requirements
The Shareholder's initial investment is valued at $300,000.00.
In addition, the Company will need to obtain a loan in the amount of $200,000.00.
Business Plan - 420 Express
The Company
Business Sector
The Company currently operates in the retail sector.
Company Goals and Objectives
The company aims to accomplish the following goals and objectives: To provide a large selection of cannabis products to our customers, we focus on employee sales and product training to ensure retention of employees and customers. We are looking to expand to more stores to grow our brands trust and reputation, as well as enhance the customers buying experience.
Company Ownership Structure
The Company is structured as a corporation.
Ownership Background
- Shareholder: Reece Basnett
Experience and training: Reece Basnett has founded a couple successful business in various industries including farming and cannabis. He has experience in networking, marketing and entrepreneurship.
Company Management Structure
The Company will be managed by Reece Basnett.
Company Assets
The Company has the following assets:
- Real Property, with an estimated value of $350,000.00.
- Equipment, with an estimated value of $4,500.00.
- Inventory, with an estimated value of $35,000.00.
The Product
The Product
The company gets all cannabis products from AGLC, we keep our employees trained in new products to ensure customers get the latest and greatest "new products"
Our accessories and clothing comes from local suppliers and wholesalers.
Proprietary Rights
Licenced by AGLC.
Marketing Plan
The Target Market
The Company 's target market has the following characteristics:
- Ages: 18-75
- Other: Cannabis connoisseurs or customers with daily aches, pains or sleep issues.
Location Analysis
only business in town and for 160kms north, 40 kms south. looking to expand operations to key locations in busy centers.
Established Customers
Most established customers are local cannabis connoisseurs or other locals.
Pricing
The Company will make use of an economy pricing strategy.
Other pricing information: A rewards program offering special discounts to qualified customers. We gather there email and phone number to be notified about inventory updates or weekly specials.
Advertising
The Company will promote the business through:
- Online channels (website, Google ads, etc.)
- Email marketing (newsletters, brand story, etc.)
- Other: Getting a website going and using keyword advertising would be key to growing online market share and brand loyalty.
The annual budget for advertising is: $10,000.00.
SWOT Analysis (Strengths/Weaknesses/Opportunities/Threats)
Strengths
Staff training, rewards program and marketing advantages.
Weaknesses
We need an investor to help with initial money to expand our business operation and to ensure there is a large selection of products for our customers to choose from.
Opportunities
There is an opportunity to expand the business by opening outlets in different busy areas. More customers can likely be reached by adding more selection and faster delivery options. Lastly, tapping into more media coverage will increase brand awareness for the company.
Threats
Business competition.
Operations
Daily Operations
All employees show up for there scheduled shifts. (10am to 8-11pm) before open the staff places product on display and cashes in the till. Once the store opens the staff will ensure the customer has the best buying experience through knowledge and experience. Inventory will be counted before open, or closed depending on staff availability.
Operational Facilities
We want to focus on high traffic areas to ensure customers see our brand and can easily navigate the process.
Staffing
The company will have 3-5 person staff including store manager and lead budtender.
Financials
Capital Requirements
The Shareholder's initial investment is valued at $300,000.00.
In addition, the Company will need to obtain a loan in the amount of $200,000.00.
Other financial information: The capital will cover initial permits, insurance or licenses and rents and furnishings in the building. The capital will also be used to get a large inventory selection in house. Any unused amount will be saved to increase marketing budget and to the development of new locations.
420 Express
Actual and Projected Income Statement:
For the year ending the 31st day of December: (CAD - Canadian Dollars)
| 2024
$
Revenues: |
Gross Sales: | 645,551.00
Less Cost of Goods Sold: | (412,354.00)
Gross Profit: | 233,197.00
|
Expenses: |
Sales and Marketing | 5,000.00
Research and Development | 0.00
Insurance | 4,500.00
Legal and Professional Services | 600.00
Bookkeeping | 3,600.00
Rent | 26,000.00
Utilities | 12,000.00
Repairs and Maintenance | 1,500.00
General Office | 320.00
Entertainment | 0.00
Licences | 500.00
Salaries and Benefits | 95,000.00
Bank Fees | 500.00
Interest | 0.00
Miscellaneous Expenses | 0.00
Total Expenses: | 149,520.00
NET INCOME (Before Tax): | 83,677.00