Entrepreneurial finance final report jee baji

JEE BAAJI
BUSINESS PLAN – TERM PROJECT
ENTREPRENEURIAL FINANCE

SUBMITTED TO: SIR KHURRAM NASIR
SUBMITTED BY: QUDSIA SALEEM
MBA – 2C

TABLE OF CONTENTS

1. EXECUTIVE SUMMARY ………………………………………………………………………………….. 4
2. BUSINESS DESCRIPTION ………………………………………………………………………………… 6
2.1 GENERAL BUSINESS IDEA …………………………………………………………………………………………………………………… 6
2.2 VISION STATEMENT ………………………………………………………………………………………………………………………………. 7
2.3 MISSION STATEMENT …………………………………………………………………………………………………………………………… 7
2.4 OBJECTIVES ………………………………………………………………………………………………………………………………………………. 7
2.5 BUSINESS STRUCTURE …………………………………………………………………………………………………………………………. 7
2.6 OWNERSHIP OF THE COMPANY ………………………………………………………………………………………………………. 8

3. FACILITIES SUMMARY ………………………………………………………………………………….. 8
4. OPERATIONS ………………………………………………………………………………………………….. 9
5. ORGANIZATIONAL STRUCTURE AND ROLES OF TEAM MEMBERS ……………. 10
The CEO (Owner): ……………………………………………………………………………………………………………………………………………….. 10
Marketing and Sales Executive: ……………………………………………………………………………………………………………………….. 10
Accountant:…………………………………………………………………………………………………………………………………………………………….. 11
Client Service Executive: …………………………………………………………………………………………………………………………………….. 11

6. COMPETITORS ……………………………………………………………………………………………… 12
1.
2.
3.

MAID IN PAKISTAN ………………………………………………………………………………………………………………………… 13
SUPERTASKER.PK ……………………………………………………………………………………………………………………………………. 13
MAUQA ONLINE ………………………………………………………………………………………………………………………………. 14

7. MARKETING …………………………………………………………………………………………………. 15
7.1 MARKETING AND SALES STARTEGY: …………………………………………………………………………………………. 15
i. Print advertising: ………………………………………………………………………………………………………………………………………….. 15
ii. Word of mouth ………………………………………………………………………………………………………………………………………………. 15
iii.
Newspaper advertisement ………………………………………………………………………………………………………………………. 16
iv.
Social Media Marketing …………………………………………………………………………………………………………………………. 16
7.2 TARGET MARKET …………………………………………………………………………………………………………………………………. 16

8. SERVICES ……………………………………………………………………………………………………… 17
8.1 CATEGORY OF WORKERS: ……………………………………………………………………………………………………………….. 17
i. CLEANERS …………………………………………………………………………………………………………………………………………………… 17
ii. COOKS ……………………………………………………………………………………………………………………………………………………………. 17
iii.
BABYSITERS …………………………………………………………………………………………………………………………………………… 17
iv.
ELDERLY CARE …………………………………………………………………………………………………………………………………….. 17

9. FINANCIAL FORECAST ………………………………………………………………………………… 18
9.1 INITIAL INVESTMENT AND CAPITAL STRUCTURE …………………………………………………………….. 18
9.2
INCOME STATEMENT……………………………………………………………………………………………………………………. 19
i. Assumptions for income statement…………………………………………………………………………………………………………… 20

9.3
9.4
9.5

NON-CURRENT ASSET SCHEDULE ………………………………………………………………………………………….. 21
DEBT AMORTIZATION SCHEDULE …………………………………………………………………………………………. 21
BALANCE SHEET……………………………………………………………………………………………………………………………… 22

1. EXECUTIVE SUMMARY
The pace of life is getting fast and life in cities like Karachi is getting busy every passing day and
in the middle of this chaos putting out time for home chores and other homebased commitments
is hard to manage. For that purpose, we are launching an online maid service with the name of
“JEE BAJI” to provide helping hands to those who are in search of maids/helpers who can provide
assistance in managing their domestic tasks and prove to be savior for them.
We are entering in this untapped market of online maid service to fulfill the rising needs of our
target market. Jee Baji has a larger potential for growth in comings years by looking at the
increasing demand of maid service in the city. Jee Baji will provide its service to all of its target
market ranging from a babysitter for an infant, cook and helper for home chores to an elderly care
service.
The venture total estimated value is 2,000,000 in which the capital structure is 50% equity based
and 50% will be raise form capitalists.
Recruiting, training, and deploying maids to conduct chores in and around the house will be the
foundation of our basic service offering. Although our objective in opening a maid services agency
is to provide only the services listed above, we will not rule out diversification (other services) as
long as it does not interfere with our core services.
We are committed to excellence and ethics at Jee Baji, which is why we have decided to launch
our own maid service. We are confident that our ideals and the high quality of service we provide
will carry our maid service business to new heights and attract the type of clients that will make
the business profitable.
We will work hard to build strong business relationships with our clients, providing them with
exceptional value for their money and reasons to use our services again and again. Our corporate
goal is to provide safe and secure maid service to our target market and pushing them to switch
towards hiring online maid service to cut the hassle of arranging one on their own which is the
ongoing trend in Karachi.

We understand that in order to become the number one choice in our city, we must continue to
provide our clients with trustworthy and hardworking maids, and we want to do so. In the maid,

nanny, caretaker, and cook positions, we will apply the most up-to-date training and screening
processes.

We are ready to go above and above to hire some of the best individuals available, and we have
put in place processes and procedures to ensure that we are at the top of our game whenever it
comes to trust, quality, and complete provision of services.

2. BUSINESS DESCRIPTION
2.1 GENERAL BUSINESS IDEA

Jee Baji is an online app based service to hire maids for household work. Jee Baji is an ultimate
solution to all the individuals in search of maids for domestic work related help. With Jee Baji
working professionals in middle of their busy schedule will have an advantage of easy
availability of maids for their home chores.
This online service will also act as a relief package for working mothers of infants to call a nanny
for their baby in just on click and can continue with their busy schedule in the office.
Further, Jee Baji will also provide trained
individuals for elderly care service so that
senior citizen or people with physical
disabilities can acquire professional service
for themselves and avoid being treated as a
burden to their family members in some cases.
In contrast, this app will allow women associated with home chores services get work according
to their availability of time and have security of their job which currently they don’t have
working on their own.
On the other hand, the higher
demand of maids in Karachi
would be easily fulfilled with
this mobile-based application,
as this huge metropolitan city
with the population of more
than 16m and concerning the
fact that half of its population is

related to some kind of professional activities the demand of worker for domestic work help is
high. Looking at the current scenario the situation clearly tells us that the potential growth for
this business is very high as we would be the first to offer this kind of service in an online
platform. Another element for its success would that people are willing to give extra money
when it comes to security of their house and with our provided maids they can a have a sigh of
relief.
2.2 VISION STATEMENT
Our vision is to become the best maid service agency in the entire city of Karachi through an
online platform and other major cities when we launch there.
2.3 MISSION STATEMENT
Jee Baji’s mission is to deliver all domestic cleaning services to customers in an ecologically
friendly, entirely reliable, and professional way. We exist to attract in and keep clients.
Everything else will come naturally if we follow this principle. Our services will exceed our
consumers’ expectations.
2.4 OBJECTIVES
The following are Jee Baji’s goals for the first five years of operation:
•

To establish an online service-oriented business whose primary purpose is to exceed
customer expectations.

•

By providing greater service, we will be able to increase the number of clients every
year.

•

At least 30% of the leads who contact us for more information use Jee Baji on a daily
basis.

2.5 BUSINESS STRUCTURE
We understand that the success of every business is determined on the basis on which it is built,
which is why we have chosen to develop our maid services agency on solid ground.

We plan to establish a maid services firm in Karachi that will set the bar for maid, nanny, and
elderly care services. We want to establish a company with a dedicated workforce that will go all
out to ensure that our clients are delighted and that their money is well spent.
We recognize that achieving all of our goals will require a firm with the right staff and structure,
which is why we will be putting structures and processes in place to enable us deliver
exceptional services. We are only expected to hire more than what is required to run a standard
maid service business to increase in the quality of our service offerings. We will have a variety
of workers to manage Jee Baji’s varied service offerings.
Professionals and skilled people will be employed by Jee Baji to fill the following positions:
•

CEO/Manager (owner)

•

Accountant / Cashier

•

Marketing and Sales Executive

•

Client Service Executive

•

Maids, Cook and Nanny

•

Driver

2.6 OWNERSHIP OF THE COMPANY
Jee Baji will run as a sole proprietor, manage by Qudsia Saleem with 50% equity and 50% debt
from bank loan, until we attract good investment opportunity for the business.

3. FACILITIES SUMMARY
Jee Baji’s start-up costs include equipment required for office (see below), marketing costs,
software development cost, vehicle, office rent. Uniforms and stationary cost.
Office equipment includes two computers, workstations, keyboards and mouse which would cost
almost 250,000. Additional landlines and furniture will also be required amounting 10,000 and
200,000 respectively. Marketing costs are used to create business cards and pamphlets for

20,000. Further online advertisement cost would require monthly 15000. Software development
cost of 200,000 for the mobile based app of the business. Office setup will require a place for
rent for monthly 20,000 in gulshan and vehicle rent 25,000. Uniforms are used to convey
professional image will cost for 30 workers initially will cost 45,000. Also, stationary and other
cost 15,000 Salaries expense, software maintenance cost.

4. OPERATIONS

Trainer

Service
s
Village /
Slums

Opportunities

NGOs /
NPOs

Company

Marketing/promotions

Customer

Feedback
ck
Help
Desk/Enquiry

The Operations of the company will execute in the above manner mentioned. Firstly, we will
recruit the maids and nannies from places like NGOs and NOPs we will hire the workers
according to their future roles as nanny, maids or cook, we will also tap personal contacts for the
job for interested candidate. After hiring process we will then send them to the trainer for their
training which will be done by the owner herself in the initial days of the business after
sometimes we will hire a proper trainer for the trainees. The training will be given according to
the jobs i-e; English language of the nanny must be improved due to their interactions with kids,
the cook must know about the personal hygiene and should know how to cook the food. After the
training process we will send the maids to their assigned locations of the clients according to the
slots decided by the management team. Then our Client Service Executive will get the feedback

from the clients who availed the services and send their feedback and concerns to concerned
team to resolve them through workers training.
Jee Baji’s marketing team will ensure the maximization of sales and customer satisfaction
through different online and offline marketing tactics, for offline marketing we will print
pamphlets and vehicle advertisement on public transportation. Further, online advertisement will
be done through YouTube ads and Facebook ads. For a complete customer satisfaction a
marketing survey and data from client service team will be taken and will act as a customer
advocate for their genuine concerns.

5. ORGANIZATIONAL STRUCTURE AND ROLES
OF TEAM MEMBERS
This part of the section will provide complete understanding of how the whole management team
will work to achieve the organizational objectives.
The CEO (Owner):
•

Responsibilities include giving business direction.

•

Developing, conveying, and implementing the organization’s vision, mission, and overall
strategy for running the business.

•

Prices must be set, contracts must be signed, and salaries must be paid by the owner.

•

Signing cheques and paperwork on behalf of the company is the responsibility of the
owner. Also, assesses the organization’s success.

•

In charge of overseeing the organization’s day-to-day operations. Responsible for
ensuring the organization’s HR and administrative responsibilities function smoothly.

•

Providing orientation and training to new team members

Marketing and Sales Executive:
•

Identify, prioritise, and contact new clients and business opportunities, as well as
negotiate fees and rates in accordance with the policies of the organisation.

•

In charge of conducting market research, conducting market surveys, and conducting
feasibility studies.

•

Supervising implementation, advocating for customer demands, and communicating with
clients are all responsibilities of the executive.

•

Develop, implement, and evaluate innovative strategies for increasing sales.

•

Keep track of all customer interactions and information.

•

Assist Jee Baji in increasing sales and growth.

Accountant:
•

Responsible for the organization’s financial reporting, budgeting, and financial
statements.

•

Financial analysis, accounting reports, and development budgets are sent to management.

•

Financial forecasting and risk analysis are my responsibilities.

•

For the organization, performs cash management, general ledger accounting, and
financial reporting.

•

Development and management of financial systems and policies are the responsibilities
of an accountant.

•

Payroll administration.

•

Ensuring that all tax laws are followed

•

Jee Baji’s financial dealings are handled by this person.

•

Serves as Jee Baji’s internal auditor.

Client Service Executive:
•

Clients and guests are greeted in person or over the phone, and questions are answered or
directed.

•

Provides the online order details to the management to provide the clients a timely
services. Manages the manager’s administrative responsibilities in an efficient and timely
manner.

•

Ensures that all client interactions (email, walk-in centre, SMS, or phone) give the client
with a tailored, high-quality customer service experience.

•

When speaking with clients on the phone, takes advantage of every opportunity to
capture their interest in the company’s offerings.

•

Stays up to date on any new information about the organization’s services, promotional
activities, and so on in order to provide accurate and helpful information to clients when
they make inquiries.

THE CEO/ MANAGER

Marketing and
Sales Executive

Accountant

Client Service
Executive

Staff

Staff

Staff

6. COMPETITORS
The competition of online maid services in Pakistan and particularly in Karachi is not much as
there are very less number of businesses offering the maid service online. There are some local
agencies working in this industry but they lack in securing customer satisfaction and the need for
security and their word of mouth is restricted to some particular area.

1. MAID IN PAKISTAN
The main purpose of Maid in Pakistan is to humanize the existence of domestic workers and to
secure the households. Maid in Pakistan caters to the Karachi audience offers more services than
Mauqa Online and seems to be have more options in terms of hours as well – they offer full time,
day time, and part time help. They do not have an app though, just a website that ask you for
details on what you are looking for.

App: No
Verified staff: Yes
Trained staff: Yes
Locations: Karachi

2. SUPERTASKER.PK
This is a Lahore-based service provider that comes with an
app for both android and iOS phones. Supertasker.pk seems
to be formatted differently. You need a service, you post that
task with its descriptions and it goes onto a message board,
then there is a bid for your task. You read the reviews of the people bidding and select one and
hire him/her. Once your task is complete you pay COD or online through Supertaskers.pk. The
list of much more diverse, you name a task and they have category for that; and in case it is not
listed then you can post for what you are looking for and someone will get back to you.

•

App: Yes

•

Verified staff: No (since
anyone can be a tasker the
reliance is upon reviews)

•

Trained staff: No
(Supertask itself does not
train the staff)

•

Locations: Lahore

3. MAUQA ONLINE
Started by a husband and wife duo, Muhammad Mustafa and
Suniya Sadullah, it provides a number of services with Rs.
300/hour. You can hire a cook, cleaner/maid, babysitter, or care
for elderly people. The service is available in Lahore, Islamabad,
and Rawalpindi.

App: Yes
Verified staff: Yes
Trained staff: Yes
Locations: Lahore, Islamabad, Rawalpindi

7. MARKETING
7.1 MARKETING AND SALES STARTEGY:
Customer’s satisfaction and quality services will be the foundations of Jee Baji’s marketing
approach. We will work hard to develop a loyal consumer base. We wish to increase revenue by
using the output of our jobs and referrals from happy customers. We understand how satisfied
consumers promote business growth, particularly in industries such as residential cleaning.

To attract customers, Jee Baji plans to use the following marketing
i. Print advertising:
Send introductory letters and our pamphlet to corporate organisations, households, and relevant
parties in and around Karachi to introduce our maid services agency.

ii. Word of mouth
Make use of our friends and relatives to spread the word about our company. Post details
regarding our maid service as well as the services we offer on bulletin boards in areas like

libraries, colleges, universities and local restaurants and tea shops to spread the word about our
business.

iii. Newspaper advertisement
Place a modest or classified advertisement regarding our maid service and the services we
provide in the newspaper or a local publication.

iv.
Social Media Marketing
Our service industry business can connect with new leads via social media marketing. We may
market our business on a variety of sites, including Facebook, Instagram and Google search
engines. These platforms will allow Jee Baji to connect with new leads for its service industry
firm.

Apart from email marketing, one of
the few marketing tactics that
allows us to get to know our leads
by making it easy to see who is
interested in our items is social
media marketing. We will develop
a relationship with those leads if
we use social media marketing.

7.2 TARGET MARKET
Households, facilities managers, hospitals, hotels, and government entities will profit from our
service offering. They cut across a wide range of economic areas. The people and organisations
for whom our maid service agency is developed are listed below:
•

Households

•

Managers of facilities

•

The Government

•

Residential areas

•

Hotel

•

Medical centre (Hospitals)

8. SERVICES
We will have 50 workers estimated to provide services in all the categories mentioned below.
8.1 CATEGORY OF WORKERS:
i.

CLEANERS

Maids would mainly assign for cleaning the households and helping in different domestic related
work.
Per hour charges: 400/-

ii. COOKS
The cook would be responsible for cooking food items which we will train them for to their
assign location.
Per hour charges: 400/-

iii. BABYSITERS
We will hire trained nurses and qualified women for this category because of their close
exposure to the children, we will ensure with our training session that must know English
language and basic etiquettes of interaction.
Per hour charges: 500/-

iv.
ELDERLY CARE
In this category we will provide workers who can assist senior citizen and give them a good care
for themselves.
Per hour charges: 400/-

9. FINANCIAL FORECAST

9.1 INITIAL INVESTMENT AND CAPITAL STRUCTURE

Initial Investment
Software development
Fixed assets
Launch/promotion and other operational use
Cash in Hand
Total investment

400,000
460,000
920,000
1,780,000
420,000
2,200,000

Capital Structure
D/E RATIO
Debt
Equity
Common shares issued at
No.of shares issued

50%
1,100,000
1,100,000
10
110,000

Assumptions:
Fixed Assets:
1. 2 Computers = 250,000
2. furniture = 200,000
3. landline = 10,000
Marketing, promotional and operational cost

business cards and pamphlets = 20,000
online advertisement cost = 15000 monthly- 180,000
rent per month = 30,000 – 360,000
uniforms = 45,000
vehicle rent monthly = 25,000 – 300,000
stationary cost- 15,000

9.2

INCOME STATEMENT

Income Statement

1

2

43,200

54,000
25%
425
22,950,000
92,000
80,000
22,778,000

3

4

5

70,200
30%
425
29,835,000
92,000
80,000
29,663,000

91,260
30%
425
38,785,500
92,000
80,000
38,613,500

120,463
32%
425
51,196,860
92,000
80,000
51,024,860

11,780,000

396,000
10%
66,000
10%
220,000
330,000
11,748,000
10%
189,000
5%
12,949,000

435,600
10%
72,600
10%
242,000
363,000
12,922,800
10%
198,450
5%
14,234,450

479,160
10%
79,860
10%
266,200
399,300
14,215,080
10%
208,373
5%
15,647,973

527,076
10%
87,846
10%
292,820
439,230
15,636,588
10%
218,791
5%
17,202,351

EBIT
Interest
EBT
Tax
Net Income

6,408,000
88,000
6,320,000
1,074,400
5,245,600

9,829,000
73,000
9,756,000
1,658,520
8,097,480

15,428,550
56,800
15,371,750
2,613,198
12,758,553

22,965,528
39,303
22,926,224
3,897,458
19,028,766

33,822,509
20,408
33,802,101
5,746,357
28,055,744

No. of shares

110,000

110,000

110,000

110,000

110,000

48

74

116

173

255

Dividend payout ratio
Dividend
DPS

20%
1,049,120
10

20%
1,619,496
15

25%
3,189,638
29

25%
4,757,191
43

30%
8,416,723
77

Addition to R.E

4,196,480

6,477,984

9,568,915

14,271,574

19,639,021

No. of hours
growth percentage of worker on a yearly basis
Avg. price per hour
Revenue
Depreciation
Software amortization
Operating costs:
Office Rent
yearly % increase
software maintenance expense

425
18,360,000
92,000
80,000
18,188,000
360,000
60,000

Promotions
Transportation Cost
Salaries

200,000
300,000
10,680,000

Power and utilities

180,000

EPS

i.

Assumptions for income statement

per da y worker hours = 5
fi rs t yea r no. of workers = 30
no of da ys weekl y= 6
straight line depreciation of 5 years 460,000/5= 92,000
amortization on straight line method 200,000/5 = 40,000

monthly rent of 30,000 with 5% increase yearly

30,000

software maintenance per year 60,000 with 10% yearly increase

60,000

marketing and promotions yearly cost 200,000 with 10% yearly increase

200,000

Transportation cost monthly 25,000 and 10% increase yearly

25,000

assuming 30 workers (20,000 to 20 workers and 25,000 to 10 worker) 10% increase, So yearly 7,800,000
salaries to managemet monthly 240,000, so yearly

2,880,000

owner = 100,000
ma rketing a nd s a l es executive = 60,000
a ccounting = 50,000
cl i ent s ervi ce executive = 30,000
power and utilities per month 15,000 wit 5% increase yearly

180,000

tax rate =

17%

9.3

NON-CURRENT ASSET SCHEDULE

Non-Current Asset Schedule
PPE
Beginning of year BV
Depreciation charge for the year
Year end BV

1

2

460,000
92,000
368,000

368,000
92,000
276,000

Software
Beginning of year BV
Amortization charge for the year
Year end BV

400,000
80,000
320,000

320,000
80,000
240,000

9.4

3

4

5

276,000
92,000
184,000

184,000
92,000
92,000

92,000
92,000
–

240,000
80,000
160,000

160,000
80,000
80,000

80,000
80,000
–

4
491,293
275,502
39,303.45
236,199
255,095

5
255,095
275,502
20,407.56
255,095
0

DEBT AMORTIZATION SCHEDULE

Debt Amortization Schedule
1M with 8% interest rate and end of year payment
Face
1,100,000
Rate
8%
Tenor (yrs)
5
Annual interest and principal repayment
275,502

Beginning of period
Annual payment
Interest payment
Principal repayment
End of period balance

1
1,100,000
275,502
88,000
187,502
912,498

2
912,498
275,502
72,999.83
202,502
709,996

3
709,996
275,502
56,799.65
218,702
491,293

9.5

BALANCE SHEET

BALANCE SHEET
Assets
Current Assets
Cash
Other assets
Accounts Receivable

4,590,000
183,600
3,672,000
8,445,600

5,737,500
229,500
4,590,000
10,557,000

7,458,750
298,350
5,967,000
13,724,100

9,696,375
387,855
7,757,100
17,841,330

368,000
320,000
688,000

276,000
240,000
516,000

184,000
160,000
344,000

92,000
80,000
172,000

9,133,600

11,073,000

14,068,100

18,013,330

23,550,556

183,600
202,502
2,741,022
3,127,124

229,500
218,702
2,555,520
3,003,723

298,350
236,199
2,609,542
3,144,091

387,855
255,095
1,998,806
2,641,756

511,969
2,299,566
2,811,535

709,996
709,996

491,293
491,293

255,095
255,095

0
0

0
0

Common equity
Retained earnings

1,100,000
4,196,480
5,296,480

1,100,000
6,477,984
7,577,984

1,100,000
9,568,915
10,668,915

1,100,000
14,271,574
15,371,574

1,100,000
19,639,021
20,739,021

Total Liabilities and Equity

9,133,600

11,073,000

14,068,100

18,013,330

23,550,556

Balance check
AFN

2,741,022

2,555,520

2,609,542

1,998,806

2,299,566

4

5

Non-current Assets
PPE
Software

Total Assets
Liabilities and Equity
Current Liabilities
Accounts payable
Short-term loan
Notes Payable
Non-current liabilities
Long-term debt

3

12,799,215
511,969
10,239,372
23,550,556
–

Non-Current Asset Schedule
PPE
Beginning of year BV
Depreciation charge for the year
Year end BV

1

2

460,000
92,000
368,000

368,000
92,000
276,000

276,000
92,000
184,000

184,000
92,000
92,000

92,000
92,000
–

Software
Beginning of year BV
Amortization charge for the year
Year end BV

400,000
80,000
320,000

320,000
80,000
240,000

240,000
80,000
160,000

160,000
80,000
80,000

80,000
80,000
–

10. REFRENCES
•

3 Online Services/Apps That Provide Domestic Help in Pakistan

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