Executive Summary

Firatoli card retail is one of mobile card selling enterprise w/c is intended to sell mobile cards to many mobile and computer EVDO
users at a time by using direct selling and or through network. The enterprise aims is to ease the mobile card challenges faced by the
people who live without telecom service shops in the town and around rural areas.
Current method to buy mobile card in our country requires individuals to travel an average of some miles to the nearest shops and
kiosks and buy their mobile card by paying minimum about 5Etb per cards. In addition to the travel time, they need to wait for
unlimited time to avail the service.
From my market observation, I understand that the most of Bishoftu population using manual card filling system and most of young
people use internet service around the hotels and café and most of which is un-beneficiary. Most of these people have an active mobile
SIM card and there has been a tremendous growth in mobile card usage in the bishoftu and rural areas of Ethiopia.

Firatoli card retail directly addresses the service problem encountered by this massively expanding mobile SIM users and computer
user community. End users of Firatoli card retail will be all the mobile SIM and computer EVDO users living in the bishoftu city and
rural areas and the target market customers are the SIM Card users and who would then provide the card selling services for the end
users to easily access their mobile card locally on a regular basis.

Firatoli card retail offering allows SIM users to gain fast mobile card and to save incremental cost by providing mobile card selling
and filling services and it can also be a route to entrepreneurship for small start-ups in the bishoftu areas.
Given the location to the target customers, Firatoli card retail primary sales and distribution channel will be through direct sales agents
(i.e. feet on the street approach) and by small leasing kiosks in the Bishoftu city.
Based on the business market size and opportunities in Bishoftu, the sales projection for the first year will be 20 units in which each of
units included 5 Birr, 10 Birr, 30 units in which included 15 Birr 25 Birr and 50 Birr, 10 units of cards in which included 100 Birr and
500 Birr the second year Fratoil card retail expect that each unit will increased in 10%, 20% and 30% respectively. Cards generating
 Birr 49,400 in revenues and the business seeking initial investment of Birr 50,000 among this 10,000 of which contributed by the
owner and remainder will be secured by proposed microfinance.
I have already sold two day functional prototypes and have received highly positive feedback.
Over three years of operations, Firatoli card retail is expected to grow and capture a significant market share to generate a cumulative
net income of Bir 10,750 . At that point, the business may be sold as a going concern to a bigger automatic card filling machines and
mobile data and wifi service provider.
Mission Statement
The enterprise Mission is to provide a unique and fast card selling experiences. I will strive to achieve this goal by: 1) by providing
different unit items incorporating ease access at reasonable prices, and 2) I will be mindful of the well being of my customers treating
each and everyone with dignity and respect.
Business Objectives
The primary objectives of the business plan for Firatoli card retail are below:
 To be the premier card selling enterprise in Bishoftu
 To provide enough accessibility at reasonable prices with exemplary service
 To create job for myself and to society
 To modernize card filling system.
Guiding Principles
 Being Mindful of my Customers
 Gratitude
“An attitude of gratitude” shown to my customers, suppliers and stakeholders – because without their input, service, labor and time,
my business would not be here without them!
My Service
Provide the warm and friendly selling service expected from me and creating formal and comfortable environment which will make
the customers satisfied and want to return again and again.
 Keys to Success
 Repeat business. Every customer who comes in once should want to return, and recommend me. Word–of–mouth marketing is a
powerful ally.
 Hire most skilled and experienced sales manager after 1st year and offer training to keep the selling on top of his/her game, and pay
top wages to ensure they stay with me.
 Location. Convenience is essential to me; I need to be close to my market because I am not trying to get people to travel to reach
me.
 A variety of units offerings with a suitable theme, reasonably priced to establish credibility, but not so high as to limit buyers.
 Start-up costs are not high in my business

 Access to inputs is easy

 Utilizing patents is not an option

 I will consider reducing price if there are any new competitors

 Adding new service features such as capabilities to fill EVDO etc.

 Partnership with mobile network operators

 Direct sales to government bodies (e.g. state or local government agencies) in order to promote young enterprise and alleviate poverty.

Business Descrption
Fratoli card retail private enterprise is for the Bishoftu and around is immediate focus one of the areas in Oromia region, Ethiopia.
Large numbers of people living in Bishoftu and around rural un-telecom shoped areas to buy their mobile cards. Mobile Card is
essential for them in the sense that it’s the only device for them to connect to the external world. They use mobile cards for business,
keeping in touch with their families and friends and even banking. Most of people in the Adea woreda except Bisoftu City is located in
rural areas are farmers; they organize collection for their goods, call different suppliers and customers to find out where they can get
the best price etc. However, once the card runs out of balance, quite unfortunately there is no easy way to fill card the SIM because
they live in un-telecom areas. The only option then is to travel some miles, what in most of the cases is just walk, to the nearest
telecom shop town and get the SIM card from the kiosks by paying a fee. This is extremely inconvenient resulting in waste of time
and effort and loss of opportunity. Often the nearest telecom station town is too distant to get the card on a regular basis and keep it
balanced on always.
Fratoli card retail enterprise aims to tackle this issue by offering mobile card facility in the Bishoftu area and around rural areas. It
doesn’t require manually card shredding and hence can be applied anywhere. The target customers are the SIM and EVDO users in
and around the un-telecom station areas. The entrepreneur can generate revenue by offering fast card selling facility to the local
people. The concept has been field-tested in my protype card selling at Rift valley University Bishoftu Campus dated on Feb. 2018
and feedbacks have been very encouraging.

Legal Ownership
The Fratoli card retail private enterprise will be owned by Biru Bayisa. I began my card retailing service at the age of 15 working in a
quick-selling service operation and I earned my 1StDegree in Accounting from Bahirdar University; this all situation contribute me to
start my business as a retailer and entrepreneur.
Legal Form
The Fratoli card retail private enterprise will be organized as a sole proprietorship, wholly owned and operated by myself. The Fratoli
card retail private enterprise will be registered in the Regional state of Oromia and Bishoftu city administration.
Start-Up Summary
The cost to start the business will be Br 50,000. The majority of the expenses will be purchasing mobile card and required inventory
from the suppliers. The location requires some kiosks and shop build-out and renovation and will require approximately 30 days to
complete.
Br 10,000of the start-up costs will be funded by the owner. My source of funds is a combination of liquid assets, primarily from my
existing selling business and my families.
 INDUSTRY ANALYSIS
Analysis of competitors
 Hello cash has brought several cards filling system by using network and some private Banks in Ethiopia.
 M-birr has also provided card filling system through network and by working some private Bank. But their systems have limited
availability – exists in prime locations, supports only one of Banked customer’s, they have limited feature to fill mobile card, they are
limited by network facilities, they don’t have direct selling system.
 I distinguish my service by innovation and extra features
 I focus on a unique segment
 I have low fixed costs and small number of competitors
 Market is growing fast and has no leader
 Low exit costs
Future outlook and trends
Environment has changing in a hurry and technological innovations also has boosted very fatly. To survive in the competitive world
my business future outlook is choice less alternative. Thus, Fratoil card retailing enterprise future plans will be to provide selling services for
Oromia region and beyond the region in Ethiopia by expanding customer base and by creating loyal distributers throughout the country. This
could potentially become a large portion of gross sales. I am targeting Year 2 and at that point, a sales agent would be hired to directly market the
products for daily delivery or distributing function.

THE MARKET SEGMENTATION

Fratoil card retailing enterprise focus on Bishoftu and surrounding rural areas in Adea woreda which has a territory of 580,000 km2
and a population of nearly million residents ( data). It has the largest agricultural product area specially Teff and other crops in the
Easten Shewa and the service industry specially natural beautiful areas and natural lakes availability may concerned as primarily
 driven for the tourist sector. Over millions of this population use mobile phones and 12.5 million mobile users live in the un-electrified
rural areas.
Fratoli card retail enterprise addresses the product to the people in the town and rural areas, they have no, or limited, card supply and
have relatively low disposable income and they have families and business contacts across the country and beyond.
Fratoli card retail enterprise have a plan to expand to other parts of Oromia Regions and other regions in Ethiopia if the venture in this
area is successful. The business market segment are mobile and computer owners in Bishoftu or/and people who want to start their own
businesses
Suppliers
Because of my years of experience combined with other existing card selling business, I may have not many suppliers but by my
striving and competency I will have established relationships with qualified suppliers. These suppliers can provide reasonably priced
products, delivered according to the schedule. They will be:- Ethio telecom.
Assessment of Risks
 Threat of new entrants will be reduced by first mover advantage
 It is difficult to enter the market
 Customers may not have strong service loyalty

Products and Services

This enterprise aims to provide local shops in Bishoftu and rural un-telecom areas with a system that charges mobile card using direct
selling and network. It is composed of a ussd coding system that converts card numbers into air balance. A simple mobiles and computers
adopt systematic card numbers to levels suitable for charging mobile cards. It stores extra air balance that is not used during the filling.
From technical point of view Fratoli card retail enterprise system has the following specifications:
• Efficiency: it uses multi-channeled direct selling and automatic filling, which have high efficiency for selling and satisfying customers
with reasonable cost.
 • Robustness: it works in both day and night at every condition. My system is included as air card storage. Its size is chosen in proportion
with the size of the market and the intended purpose.
• Maintenance free: My system may not be required maintenance because most of time I use network based filling system.
• Affordable: the selling price of the system is within easy reach of us
TARGETED CUSTOMER BASE
Fratoli card retail private enterprise direct customers are the mobile Card and computer Evdo users in the Bishoftu and around rural
areas and individuals who want to start their own businesses. With Fratoli card retail private enterprise, entrepreneurs will be able to
generate continuous revenue and improve their financial and social position by working together as an agent and retailers.
As 2012 the Ethiopian Telecommunications Corporation reports there were 20.524 million mobile users in Ethiopia. That they fill mobile card to their
mobile for day to day activities and their phones are getting mobile card by ethio telecom shops and my shops using Fratoli card retail.

THE NEED BEING SERVED

There is more than one need being served here.
 First - I aim to tackle the lack of telecom card supply issues affecting the recent increased use of mobile card users in the area. Fratoli
card retail private enterprise provides people with affordable way to balance their mobile in their local area.
 Second - by providing a simple device to fill mobile card I encourage people to become entrepreneurs and to start their own businesses
(be agents and distributing services in kiosks and shops). I might in fact create jobs and help to reduce the level of unemployment in
these areas.
 Third - as much important as business side of this project is its social side. I do help people to stay connected. For many of them
mobile card is the source of information and the only tool they have to communicate with people across the country and beyond.

MARKETING STRATEGY
Marketing strategy is important to raise the product awareness and scale up the market share at the product launching stage, making
the business more profitable and sustainable in the long run. The objective of Fratoli card retail private enterprise marketing strategy is
to create a new card selling systems which could satisfy mobile users’ need of filling their mobile by using the systematic card filling
system through networks, with the benefit of extremely low cost. In addition, marketing strategy will be properly designed with the
emphasis on features of automatically card filling system and sustainable service. Mobile users are expected to be more beneficiary to
price conscious because of rural poverty and low disposable income.
Apart of the distribution strategy that product will be sold via direct sales and personal communication channels, Fratoli card retail
private enterprise will engage with a variety of media entities including newspapers and radio broadcasting agencies which will help
Fratoli card retail private enterprise advertise its product.
Radio broadcasting with local dialects is a popular way in which people living in rural areas receive information and news every day.
Product leaflets and posters will be produced for direct sales force or distribution partners to help them better explain and demonstrate
the product functionalities and commercial terms in front of the customers. Furthermore, the enterprise will design an enterprise web
portal which has friendly interface between the enterprise and other constituents including customers and potential users.

Sales projection
Fratoil card selling enterprise will adopt direct sales distribution strategy and a sales force will be formed and be responsible for direct
sales my targeted customers. After first year Sales team will work on contract basis and basic pay plus commission will be the
remuneration structure for them.
Revenue For the year ended one For the year ended two

sales Unit Total No-of buyer Amount(Br Unit(Q Total No of buyers Amount(Br

5birr 20 35 3500 5birr 22 40 4400

10birr 20 32 6400 10birr 22 34 7480

15birr 30 20 9000 15birr 36 22 11880

25birr 30 12 9000 25birr 36 13 11700

50birr 30 5 7500 50birr 36 7 12600

100bir 10 4 4000 100br 13 5 6500

500bir 10 2 10000 500bir 13 3 19500

total 150 110 49400 178 124 74060

 Financial Plan

Firatoli mobile card retail enterprise

Proforma income statement
Revenue For year ended one For year ended two

Sales 49400 74060

Expenses
Cost of merchandise 30500 33400

Selling expense 2300 7520

Advertising expense 1950 2200

Website expense 500 1520

Operating expense 4120 3020

Professional fee - 2530

Utilities 2930 2000

Salary expense - 14000

Tax and interest expense - -

Other expenses 4510 2000

Total expenses 46810 68190

Operating income(loss) 2590 5870


Asset
Cash ………………… 49400
A/R …………………..450
Inventory………………150
Total current asset ………50000
Fixed asset-------------------0
Total Asset ----------------50000
Firatoli mobile card retail enterprise
Balance Sheet
For the date ended Feb. 2018
Liabilities
A/payable ……………………0
Short terms Borrowing……….40000
total current liabilities-------------40000
Long term liabilities…………..0
Total Liabilities……………………….40000
Owner equity……………………...10000
Total owners equity and ………………..50000
 Firatoli mobile card retail enterprise
statement of cash flow
For the date ended Feb. 2018
Cash flow from operating activities for first year for the second day
Cash received from buyers 49400 1700
Cash paid to supplier 30500 525
Cash paid to general and administrative 16310 45
Tax paid 0 0
Net cash provided by operating activities. 2590 1220
Cash flow from investing activities
Purchase of land and equipment - -
Cash flow from financing activities
Net borrowing 50000 1400
Net increase in cash 52590 2620
Cash at beginning of the month - -
Cash at end of the month 52590 2620