g will be used to determine what should be the breakeven point in units as well as in sales so that the business can attain minimum revenue of zero profit. Using the information related to production and distribution, certain estimations will be done. This will require the use of cash budget, forecasted income statement and forecasted balance sheet will be developed.
A plan is also framed to develop a consortium of small number of investors interested in developing a new energy drink, wherein a discussion related to financial issues will be carried out. Hence after conducting the required financial analysis, a properly planned ‘pitch’ of the project will be developed. It will aim to convey the required information to the potential investors in a systematic manner and convince them for investing.
The intended drink is set to combine the best of a health and a soft drink. Not only will it have the replenishing quality of a soft drink but will also address the energy requirements of its consumers. This energy drink will be available in a ready-to-drink form.
This drink is named ‘My Drink’ in an attempt to bring every section of the population under its fold. To keep the product eco-friendly, it will be available in tetra packs made up of bio-degradable material. Initially only 250ml tetra packs will be launched in the market but later on sizes varying from 400ml, 1000ml and 1500ml will be launched according to the demand. Though the product will now be introduced in a single continental flavour, in future the company might introduce certain flavours like orange, lemon, vanilla, strawberry, chocolate, mix fruit and so on.
The company has decided to take the help of a distributing firm until it has gained pertinent knowledge about the market operations. This is because investing in developing personal distribution, in the initial days, is not only risky but also results in high investment cost. It has also been decided to hire a distributer who will take the