BSBMGT617 Business Plan Version 1 Done.doc - Business Plan...

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Business Plan 2021 - 2022 Ozhouse Clean
Executive Summary Ozhouse Clean is based in Melbourne and offers professional, residential cleaning services, including regular home cleans, as well as spring cleans. The company was established in 2005 and is a family business. Currently target customers are consumers located in the greater Melbourne area. Target customers are people who want a professional, trustworthy and immaculate cleaning service. Pricing reflects that of competitors. The company employs 15 cleaners, all of whom are part-time contract staff working between 10 and 15 hours a week. The company currently has approximately 70 regular clients, based around Melbourne inner city. These clients require regular home cleaning, either weekly or once every two weeks for 3 to 6 hours. A standard hourly rate of $40 is charged. Staff receive an hourly rate of $25 per hour. The cost of the products provided to staff for cleaning, including equipment and ongoing supplies such as cleaning products, works out to be approximately an additional $2 per hour on top of the rate paid to staff. The company is also considering whether it may be wiser to move to employing a number of full-time, permanent cleaning staff. This is partly because there is a high turnover of casual staff and little loyalty to the company. Staff costs for employing a full-time cleaner is $55,000 per year, including superannuation payments. All ongoing cleaning supplies are currently purchased from Total Cleaning Supplies in Melbourne. However, as this company does not currently offer environmentally friendly products for use in cleaning, a different supplier needs to be identified. It is estimated that the purchase of these products will be an additional $10,000 per month. The products cost doubles the amount of the non-environmentally friendly products. Sales revenue for the company for the financial year ending 2019 is $360,000 with a gross profit margin of $40,000. Labour costs are a significant part of the business, representing 70% of total costs. Average debtor days are currently 40 days. 2 | B S B M G T 6 1 7
Currently, marketing is via a website, but a large proportion of the company’s work comes through word of mouth from existing customers. Social media is not used currently to market the business. The new business plan will need to reflect different ways of marketing, especially to attract commercial customers. The company understands that in this period of growth and expansion, it needs clear plans. While it has developed an operational priorities plan, the information in the plan is limited and is for the upcoming year only. Vision Ozhouse is constantly working to establish ourselves as the most respected and sought-after contract cleaning and facilities support service in Australia.

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