A Commercial Plan Of The A Project

The business plan is developed through the finance projects A, in order to adequatelyprovide project information for the relevant creditors. The plan will carry out through debtfinancing to raise some funds for the operation of the project; at the same time, the businessplan developed for corporate A project will analysis planning, marketing strategies, costcontrol and financial analysis of the project et al. it provides the necessary reliable basis forthe successful operation of the project.The plan made a detailed analysis of the competitive environment through MichaelPorter’s Five Forces model of competition analysis and SWOT analysis of A project. Analysisshowed that: A project has a regional advantage, environmental advantages and agglomerationadvantages, but also the price disadvantage faced by potential entrants and existingcompetitors which pose a threat. However, competition can be differentiated to play upstrengths and avoid weaknesses. In general, it will do more good than harm.This article will also take fund-raising plans and financial indicators as the focus ofanalysis. In the plan, T expects a total investment of1388,800,000yuan, of which15.8million yuan will be used to purchase of project land, and the remaining as operating costsfor the project. The company plans to raise417,000,000yuan, and the remaining we willresort to the banks and other creditors financing, and rents of shopping center of T and theproceeds of a sewage treatment plant will provide as collateral security. After calculation, ifthe project develops successfully, the Internal rate of return is above18%, much higher than8%, so the project is economically viable. Through sensitivity analysis and risk analysisshowed that income, which is the main factors related to the sales price. The marketingchanges in the status of the project have a great impact on profits; the major factor impact theproject risk is as follow: the market risk, management risk and failure risk. By takingappropriate measures, in general, the risk is controllable, can not pose a threat to the project.After detailed analysis of the effects of various parameters related to the business plan,we conclude that, the project has merits with high return, short-cycle, and risk controllable. Sothe investment is feasible.