Business Plan- Financials

The Zen House Financials
MT499P: Bachelors Capstone in Management
Unit 5 Assignment

 
The Zen House Financials
The Zen House will incur many costs when beginning its start. First and foremost, The Zen House will have to develop an online website, as it is strictly an online business. Price ranges for websites range from semi-DYIs at around $40 a month to professional serviced web pages that go up into $50,000. The Zen House will employ a mid range site and will pay a fee of around $500. Aside from that, The Zen House will have other in-house office equipment cost to begin. They are:
 Home office equipment:
o Computer Set-Up (computer, printer, fax, scanner, software) - $1500
o Web Site Set-Up - $500
o File Cabinet - $400
o Desk and Chair - $250
o Physical Mail Supplies (envelopes, stamps, marketing material) - $300
 Total = $2950
In addition, The Zen House will also have to purchase supplies to develop its products. These costs include:
 Plant Supplies:
o Pots (small, medium & large) - $1000
o Soil/Gravel - $300
o 1-2 yr old starter plants - $3000
o Aluminum Wire - $150
o Fertilizer - $200
o Rooting Gel - $250
o Cloning Gel - $250
 Total = $5150
We then move on to asset costs, which we reviewed previously as well. These include assets that will allow the business to operate in its usual manner. They are:
Assets
 2 x Green House (30’x15’) - $20
 2 x Timed Watering System - $800
 Leaf Trimmers - $20
 Branch Cutters - $35
 Root Trimmers - $30
 Trunk Splitter - $30
 Wire Cutters - $20
 Trunk Press - $25
 Root Rake - $20
 Total = $3380
• Sub Total = $11,480.
After The Zen House determines the cost it takes to start its business, it will then analyze the amount it will charge for its products. For simplicity’s sake, The Zen House will categorize its bonsai in two main categories –Indoor & Outdoor – and then sub-categories for each – Flowering & Non-Flowering. These will then be priced out mainly by the age of the... [continues]

Read full essay