Business Plan Ginger Packets

South Africa Option 1.

TABLE OF CONTENTS
EXECUTIVE SUMMARY
Rio Tenco Vision and Mission Statement Business Description Curriculum Vitae of Director Purpose Statement Brand Description

PRODUCTS & SERVICES

Products Supply and Distribution Product Description and Specification Product and Pricing System

TRAINING GRID MARKET ANALYSIS

General Statement Market Size and Trends The Competition

FINANCIAL PLAN
Market and Business Opportunity Financial Highlights

HUMAN RESOURCES AND JOB CREATION

Agreements and Contracts

STATISTICS AND ACTUALS

Research Active Areas Cost per Region Agent Requirements
The Gingerbeer People Copyright of this owned by Rio Tenco Distributors (PTY) LTD and all rights thereto are strictly reserved in total. No part of this publication may be re-progressed or photocopied, recorded or kept by any information storage and retrieval system without the written permission from Rio Tenco Distributors (PTY) LTD.

Rio Tenco Group of Companies Copyright

EXECUTIVE SUMMARY
Rio Tenco Vision and Mission Statement ; To establish and grow Rio Tenco as the largest supplier and distributor of Ginger Beer in Africa. To become a household name for Ginger Beer to the lower income group, through the excellence of service providers, a dynamic infrastructure, loyal and knowledgeable employees, a quality product, managed by a dedicated and efficient Company and Agency network. Business Description ; Rio Tenco Group of Companies is a dynamic business established in 1999 by Mr Petrus Jacobus Buys. Rio Tenco Group of Companies specializes in the manufacturing of a unique fine brewed Ginger Beer and ready to mix Ginger Beer Powder packets.

PETRUS BUYS AGENCY OWNER / MANAGING DIRECTOR

Curriculum Vitae of Director; He completed his higher education in the Northwest Province whereafter he finished his tertiary studies (THED) at The Potchefstroom College of Education. He specialized in senior education and training and taught for a period of five years, whereafter he made a career change and went into farming for the next ten years. Upgrade and maintenance of second hand agricultural equipment was his specialist field until 2002, when he established and expanded Rio Ginger to become a leader in the Ginger Beer market in Africa. Purpose Statement ; This business plan intends to highlight most if not all the relevant information, which is paramount to the successful operation of the Rio Tenco business and concept. Rio Tenco expressly reserves the right, in its sole and absolute discretion, to amend or vary or add to the business plan, without liability for any losses, claims, damages or expenses incurred by any party. While all reasonable care has been taken in preparing this document, Rio Tenco, or its members, officers, employees, agents or advisors make no representation, or give any warranties, express or implied, or accept any responsibility of liability as to the accuracy, sufficiency or completeness of the information made available in this business plan. Nothing contained in this business plan is, or shall be replied on as, a warranty or representation, whether to the past, present or the future, inducing or purporting to induce any interested party to participate in the proposed transaction. Accordingly, the Rio Tenco, its attorneys, subsidiaries, associated, officers, agents or employees accept no responsibility in respect of the accuracy, reliability, sufficiency, or completeness of the business plan or for any errors, omission or statements in the business plan or any liability resulting from its use. The prospective agents attention is drawn to the fact that the success of the business venture undertaken by him in terms of this business plan depends to a large extent upon his own business ability. The content of this business plan is strictly private and confidential in nature and is intended for the exclusive use of the addressee only. Such information may not be disclosed under any circumstances, save as is agreed with Rio Tenco. Any person or persons other than the addressee may not act upon the document and any information contained in this document. It may not be reproduced, in whole or in part, for any purpose other than as contemplated in this business plan.

Rio Tenco Group of Companies Copyright

Brand Description ; Rio Tenco Group of Companies supplies an affordable and market related product to the consumer and client. We infiltrate the low-income bracket market throughout South Africa and this proven unique recipe of raw and final product has been tried, tested and eagerly accepted in the market. As a trademark, the brand Rio Tenco and the intellectual property related thereto enjoys the required protection and will also ensure that the commercial potential of the brand is exploited to the fullest extent, thereby contributing towards the vested interests of both Rio Tenco and the prospective agent, to achieve and maximize profits in a transparent relationship.

PRODUCTS AND SERVICES

Products ; Rio Tenco Group of Companies has only got one product in their product line. This is a 500g ginger beer powder packet where to one just add luke warm water, leave it for 24-36 hours and then have the final own brewed product of ginger beer. Supply and Distribution ; The ginger concentrate gets manufactured at the Rio Tenco factory outlet. On an order of more than 80 packs (11.5kg per pack) the order will be delivered to the branch at no cost. Lessor amounts can be ordered, but then the concentrate needs to be fetched from the factory. The agent then mixes the concentrate with brown sugar and packs it into 500g sachets. These sachets then get packed into bulk form with 10 sachets per pack. These bulk packs then gets delivered by the agent to the wholesalers and retailers who then sells it to the end users, namely the customers. Product Description and Specification ; This is a proven unique recipe of raw and final product that is available in 500g sachets at a minimal cost has a great taste and no complications the following day. Product and Pricing System ; Manufacturing price excluding VAT Please call for more information.

TRAINING GRID
Service Provider Rio Tenco +2753 948 1312 Content & Schedule Day 1 Product, mixture. Show staff how it is done in practice Day 2 Let staff handle production with assistance from A-team. The A-team observe and sees to it Duration 2 days Venue,day time On Site, To be determine d Method Handson Who to attend All personnel

Event Description

Rio Tenco Group of Companies Copyright

MARKET ANALYSIS
General Statement ; The company started 7 years ago, literally from scratch and is proud to be in the position of having 50 active distributors across the country. These distributors distribute brewed beer from their own premises and are earning a very good income through this process. The process and dynamic infrastructure to distribute the home brewed packets has been established and implemented in 2005. Statistics show that Rio Tenco has grown in excess of 100% per annum and this could be allocated to the stringent strategic management and an exceptional product. Strengths: This unique recipe of raw and final product has been tried, tested and eagerly accepted in the market. The product is very much affordable and this paves the way to accommodate and infiltrate the low-income bracket market. Weaknesses: Although market research shows that the product is eagerly accepted in the market, this product is a new concept and thus have no real track record over a period of twelve months or more. The infrastructure is in place and thoroughly tested, but slight hick ups may still occur. Market Size and Trends ; There are over 45 million South Africans in this land. A huge number of them fall into the low income bracket market. This is exactly the market we aim to infiltrate. We supply them with a very tasteful product at a highly affordable price. The fact is that if they can afford it, they will buy it and the value added is that there are no complications the following day, plus they strongly believe that ginger is medicine. The Competitors ; Competitor Weakness: None of the competitors products got the exceptional taste of our product. Lots of time and energy has gone into the final formula which is a highly kept secret that we believe is a huge part of the competitive advantage we will have over our competitors. Our packaging is very attractive and forms a huge part of the marketing plan of our brand and this has not been established by most of our competitors. Price wise everybody is market related and very competitive. Most competitors infiltrate the grain sorghum line, which does not affect us that much.

FINANCIAL PLAN
Market and Business Opportunity ; We have divided South Africa in 20 regions with population count the main criteria. Each region consists of not less than 500 000 people falling into our criteria of the low income bracket market. Due to the fact that this is a new concept, not much competition is present and the infrastructure, branding, marketing and strategy of these competitors is not developed as good as ours. We do not see ourselves as having a comfort zone or monopoly due to the fact that competition is minimal at this stage, but rather as the pioneers and market leaders in our field by the time more and more competitors start entering the market. We will set the standards, lead the way and be the household name in the ginger beer powder packet market.

Rio Tenco Group of Companies Copyright

Financial Highlights ; Rio Tenco has grown in excess of 100% per annum and on a very conservative projected cash flow statement reaches break even within 18 months which in comparison to other brands, is magnificent.

HUMAN RESOURCES AND JOB CREATION

Agreements and Contracts ; The agreements and contracts consist of: The Business Agreement The Offer to Purchase The Product Supply Agreement

STATISTICS AND ACTUALS

Research ; Large amounts of these 500g ginger beer powder packets were taken to several areas in South Africa for research purposes with distribution done by ourselves or by people actively brewing ginger beer in their specific area. The packets were distributed to individuals and sjebeens around Southern Africa. Due to the huge demand for this product, we decided to sell this concept. Active Areas ; Due to distribution restriction we cannot sell our product across Southern Africa. Should there be an agency in each of these areas, sales could be thousands of packets per week. Cost per Region :( Normally 2 regions per province) This will include the following: * Restricted region. * Contracts & agreements. * 10 x 11.5 kg concentrate. * Blender * 25 000 small printed bags. * 2 500 baler bags. * Sealing machine. * 1 x electronic scale. * Packaging shute. * Personnel clothing. * 250 x Business posters. * 3 x mixture bins & measuring cups. * Initial Training. * 4 Overalls. * 4 T-shirts. * 50 Caps. * Business signage board * Table & chairs * 200L liquid beer for promotions * 4 x Invoice books & 1 order book

Rio Tenco Group of Companies Copyright

Agent Requirements ;
An agent should have the following in place: * Building + 60 m2 * Vehicle (LDV) * Personnel + 2 people * Tables & chairs for factory * Bookkeeping system

Rio Tenco Group of Companies Copyright