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! ALY!DRY!FRUITS!COMPANY!!

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Prepared by: Waqas Hamidi

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TABLE OF CONTENTS!

EXECUTIVE(SUMMARY!.................................................................................................................................!VI!

INTRODUCTION!................................................................................................................................................!1!

BACKGROUND!.................................................................................................................................................!2!

SWOT(ANALYSIS:(STRENGTHS,(WEAKNESSES,(OPPORTTUNITIES,(THREATS!.................................!3!

STRENGTHS!..............................................................................................................................................................!3!Flexibility)of)Aly)as)a)small)company!...............................................................................................................!3!Location)of)Aly)in)the)capital)area!....................................................................................................................!3!High8quality)product!...........................................................................................................................................!3!Availability)of)the)product!...................................................................................................................................!4!Reliability)issue!...................................................................................................................................................!4!Aly’s)owner)has)proper)education,!...................................................................................................................!4!Background)and)language)skills!.......................................................................................................................!4!Brand!....................................................................................................................................................................!4!Memorability!.......................................................................................................................................................................!4!Loyalty!.................................................................................................................................................................................!4!Familiarity!...........................................................................................................................................................................!5!Premium7image,7premium7price!......................................................................................................................................!5!For7consumers,7less7risk!..................................................................................................................................................!5!

WEAKNESSES!............................................................................................................................................................!5!

Competitors)in)Afghanistan)market!..................................................................................................................!5!Popularity!.............................................................................................................................................................!5!Limited)target)group!.............................................................................................!Error!%Bookmark%not%defined.!

OPPORTUNITIES!........................................................................................................................................................!6!Affordable)price!...................................................................................................................................................!6!Job)opportunities!................................................................................................................................................!6!

THREATS!...................................................................................................................................................................!7!Alternative)products!............................................................................................................................................!7!Economic)condition!............................................................................................................................................!7!Security)condition!...............................................................................................................................................!7!

MARKETING(PLAN!...........................................................................................................................................!7!

TARGET7MARKET!......................................................................................................................................................!7!PRODUCT!..................................................................................................................................................................!8!SELLING7PRICE!..........................................................................................................................................................!9!MARKETING7STRATEGY!.............................................................................................................................................!9!MARKETING7MIX!.......................................................................................................................................................!11!(Product)!............................................................................................................................................................!11!8)(Price)!..............................................................................................................................................................!11!8)(Promotion)!.....................................................................................................................................................!12!8)(Place)!..............................................................................................................................................................!12!

ORGANIZATIONAL(STRUCTURE:!...............................................................................................................!13!

FINICIAL(PROJECTION!...................................................................................................................................!1!

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PRO7INCOME7STATMENT!...........................................................................................................................................!1!BALANCE7SHEET:!......................................................................................................................................................!1!PROJECTED7CASH7FLOW:!.........................................................................................................................................!1!RATIOS:!.....................................................................................................................................................................!1!SUMMARY7OF7FINANCIAL7STATMENT:!.......................................................................................................................!1!

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EXECUTIVE SUMMARY Aly Dry Fruits Company could benefit financially and expand across Afghanistan. In Afghanistan Majority of people are busy in agriculture and most of their income comes from agriculture product. Dry fruits exports are famous since several decades ago, but people inside Afghanistan consumes nuts more than what exported outside. Aly Dry Fruits Company collected information from different sources such as online websites and survey. Our research revealed the following:

•7 Packaging of dry fruits is a new business in Afghanistan and could be benefited financially from trading it inside of Afghanistan.

•7 SWOT analysis focuseson strengths, weaknesses, opportunities and threats of Aly Dry Fruits Company in Afghanistan.

Recommendations are:

•7 Aly Dry Fruits Company will make a memorable brand for its customers inside the Afghanistan.

•7 Packaging of dry fruits creates value or adds value to Afghani product as well as it will improve the quality that satisfies the customer.

•7 Aly Dry Fruits Company should start its operating first in capital and within one year of

operation it could expand to the major cities around the country.

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INTRODUCTION

The Aly Fruit Company is going to introduce the Afghan dry fruits in a new packages and tastes that defined the main value of afghan dry fruits. Dry fruits are selling in kilos and do not have any special packages. The purpose of product packaging is to protect the product from damage. Product packaging not only protects the product during transit from the manufacturer to the retailer, but it also prevents damage while the product sits on retail shelves. How a product is packaged may be what attracts the consumer to take a look on the product as is sits on store shelves. For this reason, many companies conduct extensive research on color schemes, designs and types of product packaging that is the most appealing to its intended consumer. As we mentioned the dry fruit in Afghanistan is selling in kilo and packaging of a simple plastic.

The ADF introducing new brand including a new logotype, label graphics, and label material.The package decorated with a clear label that allows an unfettered view of the fresh nut products within in several sizes.

Packaging

The ADF Company considers the importance of packaging in today Afghanistan market. Sine 2001 Afghanistan enter in new era that it’s economic condition getting better. The standard living of people is increased in major cities such a Kabul, Balkh, Herat, Nangarhar and Qandahar. According to Ryan billions of pounds are spent on packaging food and other items each year around the world. Sixty percent of all packaging is for food products. At the beginning of the 20th century most food was sold loose. It was weighed and measured out and placed in bags or directly into the shoppers bag to carry home.Packaging and advertising were virtually unknown. Today packaging is a massive, lucrative industry and often it is the way the packaging looks that persuades the shopper to buy the product inside it().!Product packaging plays an important role in the marketing mix. Packaging plays an important role as a medium in the marketing mix, in promotion campaigns, as a pricing criterion, in defining the character of new products, as a setter of trends and as an instrument to create brand identity and shelf impact in all product groups.

There are five main reasons for ADF Company to why to develop packaging:!

1-7 To protect a product from damage or contamination by micro-organisms and air, moisture and toxins.

2-7 To identify the product. Packaging is the main way products are advertised and identified.

3-7 Protection during Transport and Ease of Transport. A package should be designed to make it easy to transport, move and lift.

4-7 Stacking and Storage. In supermarkets and shops it must be possible to stack packages so that space is not wasted on the shelves.

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5-7 Printed Information. Information that is useful to consumers and companies such as Supermarkets, is printed on packaging.

BACKGROUND

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Agriculture is an important and leading sector to invest in Afghanistan. In Afghanistan 80% of the population lives in rural areas and 58% of the GDP is generated by agriculture and rural development. After more than 20 years of war, agricultural production and rural infrastructure were left with devastating damages. But after 2001 people found interest to start trade in Afghanistan and invest their money. One of the main sectors in agriculture is dry fruits and nuts. Afghanistan has one the best dry fruit in the market. There were some investments in selling dry fruits inside and outside the Afghanistan. But still this trade needs some major improvements.7777777777777

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SWOT ANALYSIS: STRENGTHS, WEAKNESSES, OPPORTTUNITIES, THREATS

Strengths

The major strengths of Aly Dry Fruits Company in Afghanistan would be the following aspects: Flexibility of Aly as a small company Being as small company has so many advantages. First, the feeling of being a part of a family is an advantage that small businesses have. Employees are treated more like family members, and in many cases they are truly both a family member and a part of the family business. This feeling of family often creates a tremendous amount of energy during projects and tough times. Second advantage is that it will be Close to the Customer. Being close to the customer is important for success in business, and a small business is frequently much closer to the customer than a large one. A small business can meet with the customer more frequently and develop more of a personal relationship than a large company. Customer complaints can be handled faster and on a more personal level in a small company, making long-term customer relations easier and more profitable. The last advantage that a small company or we can say ADF Company has is itslean structure. With fewer employees, a smaller company has less need to lay off associates in hard times and can keep business operating more efficiently. Having fewer layers of management makes decision times much quicker, allowing for flexibility and adaptability that a larger company does not have. Your lean structure means that every employee can be much closer to the business and the customer, allowing for both an understanding of how your company works and increased customer satisfaction Location of Aly in the capital area The company will locate in Kabul city which is has the highest demand for our product. Whether your company is an established, mature business or a start-up, locating in a big city has several benefits. A big city has more workers than a small city or town. The workforce may have more varied skills as well. Also,public transportation means it's easier and less costly for employees to get to work. Big Cities often have a diverse cultural base. Businesses that target a certain segment of customers will do better in a big city that has a larger population of that segment. Businesses that offer a service or product to a narrow niche will find more customers in that niche in a larger population.Financing includes debt, venture capital and private investors. A big city is more likely to have a greater choice of any of those three options. Most investors prefer to invest in companies that are in the same geographic area or within short plane ride. High-quality product Our products will be high quality products because our product would be branded so to keep our reputation we will try our best to choose the best dry fruits and package for customer use and for that we need an important process; we would hire experienced people for that who knows better and more about dry fruits and especially those that we sell.

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Availability of the product We will always try our best to have our products available for our customers on time and we can do it through having warehouse for our products and we will produce more because there would chance of increasing sales through having more orders from customers. So it is important for us to have warehouse and keep our products in it. Reliability issue We will be reliable to our customers; for example, if a customer after ordering a higher amount will then changed his mind and wanted half of the order we will still be reliable and give them the amount they want and we will not complain or say you need to take all because you ordered because we don’t want to lose customers; we want to gain customers because one of our goal is gaining customers. Aly’s owner has proper education, One of the advantages that the ADF Company has that its owner as well as it staff are qualified people. These lead to the company to add value beyond the role. They tend to approach the job differently. They can think beyond the role and see other issues and possibilities. The qualified employee has had a larger role, they have an ability to expand their responsibilities. They can provide higher productivity, and grow opportunities that are not being currently planned. Qualified employees can help you develop and grow opportunities that have not been addressed before. Language skills Language is also important in business in order to attract customers we need to know the language that our customers are more comfortable with and both we and our customers should have an understandable communication with each other in order to make them feel they are buying the best quality product. The national languages in Afghanistan is Dari and Pashto. !

Brand The first strength of ADF would be that its name and brand which is introduce new Afghan nuts packages.What are the benefits that ADF Company would acquire by its branding?Branding is the process of creating distinctive and durable perceptions in the minds of consumers. A brand is a persistent, unique business identity intertwined with associations of personality, quality, origin, liking and more. Here’s why the effort to brand your company or yourself pays off.

Memorability

A brand serves as a convenient container for a reputation and good will. When you provide qualified producer nuts then you sell it as kilo without packaging it is hard for customers to go back to what store they bought the product. ADF Company packaging provides memorability which give a clear destination to the customer which will buy a higher quality product.

Loyalty

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When the people have a positive experience with a memorable brand, they are more likely to buy that product again than competing brands. It creates loyalty for the ADF Company if we insist on providing what our customers want.

Familiarity

ADF Company branding will also effect on non-customers too. When customers are entering in stores and buying nuts they encounterADFCompany identity sufficient times may become willing to recommend you even when they have no personal knowledge of your products.

Premium image, premium price

Branding can lift what you sell out of the realm of a commodity, so that instead of dealing with price-shoppers you have buyers eager to pay more for your goods than for those of competitors. For example, think of some people's willingness to buy the currently in brand of bottled water, versus an unlabeled bottle of the same stuff filled from the office water cooler.

For consumers, less risk

When someone feels under pressure to make a wise decision, he or she tends to choose the brand-name supplier over the no-name one.

Weaknesses

The major weaknesses of ADF Company in Afghanistan fall into following categories:

Competitors in Afghanistan market Dry fruits are famous product in Afghanistan and it has been in business more than decades. Many people in Afghanistan involved in business of dry fruits but there is not a famous brand that trade Afghanistan nuts in special packaging. In Afghanistan workplace competition is not always positive. It can create unhealthy rivalries that result in workers resenting one another, which is especially true if one person or team always wins the competitions. If ADF Company has successful operation it will be estimated that the competitors would make security problems for the owner and it staff. Also, they could threaten our supplier to stop supplying us. They can price the product lower to stop people to buying our product.!

Popularity Since it is the starting of our company, we have a lot works to do. One main problem or weakness ADF Company would have at the beginning would be its popularity. Because no one will know and like us till they taste our product and see our brands on market and I am sure we will get popular very soon than any other companies because I believe in our company’s brand.

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Fewer Customers As Aly dry fruit company would be opening newly so it would have rare customers and if we keep our quality and have beautiful package then i am sure that our customers will increase and after that customers will not be our weakness.

Opportunities

By launching it in Afghanistan it would create opportunities such as jobs.

Affordable price We will offer a good price so people could buy it and as i see in place that we are starting our business, almost all the people have job or do businesses so we will have no hard problem on buying our products. Job opportunities Creating new jobs would be the first opportunity Afghan people would benefit from ADF Company. Although ADF Company is a small company, but it could a small unemployment people which reduce the unemployment rate in Afghanistan. According to the figure9, unemployment rate has increased by 6% from year 2009 to 2011(Trading Economics).

Figure 9

UNEMPLOYMENT

Source:World Bank !

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Threats

ADF Compnay would face many external threats such as alternative product, poor encomic condition, security and threats from competitors.

Alternative products If the ADF Company pricing strategy is not what the market bear, people will buy product at sufficient price. We must be careful about our pricing.

Economic condition Upon decades of war, Afghanistan’s economy was shattered. Afghanistan’s economy levels gradually drop till 1992 and went down between 1995 and 2001. Afghanistan economic condition is always corrupt because of government policy. The first threat from economical perspective is exchange rate. Afghanistan currency is not stable always. It could affect the people purchasing power.

Security condition As everyone knows, security is the basis for starting business in any soceity. If the security condition of a city or country is not good, investors will not spend their money because of risking to loose their money. Also, security condition has negative effect on employment. If investors do not invest their money due security reason in Afghainstan, the unemployemnt rate woul increase. It cause the purchasing power of the people reduce. When people do not have strong purchasing power, they will not buy our products instead they care about the products that they need to survive.

MARKETING PLAN Target Market Aly Dry Fruit Company is establishing with the aim of covering whole Afghanistan through the retailers’ chain. In the first phase, Aly dry fuite Company will cover the five biggest provinces of Afghanistan with its product including Kabul, Herat, Nangarhar, Kandahar, and Balkh. Aly Dry Fruit Company is planning to extend its operation to whole Afghanistan in the second phase of the company development. Aly dry fruit Company will reach their customers through retail shops and super markets.

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Product

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Almond. We have variety of Almond that could be found in our northern provinces.

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Walnut. Walnut could be found in Kapisa, Parwan and Panjshir provinces.

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Dry Fig.

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Raisin. Raisin is a popular product among Afghanistan dry fruits exported to foreign countries. It also use in large quantity inside the Afghanistan. It made by drying the grapes. The best grapes are in Kapisa, Parwan provinces.

10%

16%

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30%

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Survey!of!Most!Wanted!Dry!Fruit!in!Kabul

Dry!Apricot

Almont

Pistachio

Raisin

Walnut

Dry!Fig

Other!Dry!Fruits

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PISTACHIOS. Afghani pistachio is one of the best in the world. Even in the market the value of Afghan pistachios is more than Iranian and other varieties. Pistachios mostly found in the north provinces of Afghanistan.

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DRY APRICOT.

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Selling price

Name of the fruit/nut Selling price of the product ($/Kg)

Dried apricots 4.9

Raison 2.3

Figs 5.3

Pistachio 11.5

Almond 10.1

Walnut 8.8 !

The products are packed in colorful plastic bags of 100, 250 and 500 grams. !

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Marketing Strategy Aly dry fruit Company believes good marketing strategy is an important factor in the product development. We will reach our customers through advertising in television; radios, social media and website. We will be actively participating in the trade shows, which is one of the effective media in marketing.According to statistical data 57% of all goods exported from Afghanistan in the year 2002 were dried fruits. Approximately 75% (34,310 tons) of dried fruits were represented by raisins (Including red, green, black, and other types of raisins), 17% (8,060 tons) by nuts (including almond, walnut, pistachio, apricot nut.) and 8% (3,503 tons) by other dried fruits and berries (including dried apricot, cherry, fig, berries, damson.) (www.csoaf. net) 03 February 2009

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According to the Custom of Office and Central Statistics Office of Afghanistan export of dried fruits has increased significantly from the year 2002 to 2008. Afghanistan had exported in excess of 100,000 tons of dry fruits in the year 2008. Almost a third of the exported products went to Pakistan. (www.cso-af.net) 03 February 2009

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Thousand Tons Million US Dollar Saudi Arabia 2, 56 3, 56 Iran 1, 00 1, 50 Pakistan 33, 24 40, 26 India 17, 80 23, 80 Commonwealth countries 30, 60 27, 00 Other countries 18, 14 26, 00 TOTAL 103, 34 122, 12

“Exports of dries fruits from Afghanistan by countries (Year 2008)”

We will have a new company with different style of doing business. Therefore, the company’s choice of strategy is very important for the future of company.

There are three different types of marketing strategies:

- Growth strategy

- Competition strategy

- Profitability strategy (http://en.wikipedia.org/wiki/Marketing_strategy)

Based on the information obtained and objectives set for this marketing plan it was decided to choose the competition strategy out of the three types of strategies presented above.

Aly dry fruit company has to compete with the companies present already in the market in order to find its own popularity and sell the products successfully.

The marketing strategy will continue to identify the needs of the market and communicate with customers in the most effective and positive manner possible. Aly will be constantly working on improving its services through developments and changes in its structure and implementation. Quality and efficiency are the two main objectives of these changes.

Customer analysis

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Customer relationship is one of the key components of each organization’s activities. It is a fact that the customers pay the salary to the company’s employees, managers and the owner. Any company primarily has to focus on its customers.

Things that each and every company needs to know about its customers are knowledge about their demands, wants, needs, expectations and behavior. It is essential for the company to be able to identify and also satisfy wants and needs of its customer.

As people want healthy style of living and pure nature, we believe that the business idea of providing dried fruits and nuts has very good potential to succeed in the market.

Marketing mix

The marketing mix consists of four Ps: (Product)

The first “P” of the marketing mix is product. It is the physical product or service that offered to the customer. Some of the aspects included into the product decision are packaging, appearance, function, warranty. (http://www.graphics.com/article-old/marketing-using-4ps-product-price-place-and-promotion)

The products that are examined in this business plan include raison, figs, pistachio, almond, walnut and dried apricot. The list is demonstrated for the issue of the business. Some new products might be added in the future depending on the situation.

- (Price)

The next “P” of marketing mix is price. The most important factors to be considered when setting a price for the product are profit margin and the pricing response of competitors. (http://www.graphics.com/article-old/marketing-using-4ps-product-price-place-and-promotion)

There are some methods to set the price:

- Based on expenses

- Based on customer demand

- Taxes

- Based on competitors’ prices

- What is the maximum price?

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- What is the minimum price?

(http://www.graphics.com/article-old/marketing-using-4ps-product-price-place-and-promotion) - (Promotion)

The last “P” of the marketing mix is promotion. “Promotion decisions are those related to communication and selling to potential customers. It is useful to know the value of a customer in order to determine whether additional customers are worth the costs of acquiring them.”

www.quickmba.com

As the number of potential customers for Aly is very limited at first, the company intends to contact them one by one and offer its products. The company will have very limited finances and will not be able to use expensive marketing tools.

- (Place)

The next part of the marketing mix that will be analyzed is place. Place or placement is about how to reach the product to the final customers. It includes facilitating function.

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1.( Organization plan

ORGANIZATIONAL STRUCTURE:

The organizational structure of the Aly dry fruit is as bellow; Abdullah is responsible for all the product, marketing development and operation of the company because he has many years of experience working in a project and has a good management and he would also be the CEO of the company, while Chief financial officer would be Abdul Shokor because he is majoring in finance and has worked at bank and would be responsible for all the financial transactions and relationship with the investors interested in the company. Both Abdullah and Abdul Shokor will be responsible for all the operation of the business and new expansion and development opportunities. The following organizational structure shows the Aly dry fruit Company hierarchy structure:

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1!ton!=!907.185!kgs!

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CEO,!Waqas

Operation!Officer,!Izhar

Sales!Officer,

Marzia

Machine!Engineer,!Abdullah!

Chief!Marketing!Officer!Marzia

Finance!Officer,Nasir

Chief!Financial!Officer!Abdullah

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FINICIAL PROJECTION Pro Income Statment

!2015% 2016% 2017% 2018% 2019%

Revenue% 881,795! 1,835,342! 2,890,103! 4,331,462! 6,090,262!COGS% 592,082! 1,232,342! 1,940,563! 2,908,364! 4,089,312!Gross%Margin% 289,713! 603,000! 949,541! 1,423,098! 2,000,950!OP%costs:%

! ! ! ! !Salary% 57,600! 100,800! 129,600! 144,000! 156,000!G&A% 12,000! 24,000! 36,000! 48,000! 60,000!Electricity% 14,400! 28,800! 43,200! 57,600! 72,000!EBIT% 205,713! 449,400! 740,741! 1,173,498! 1,712,950!Dep% 8,000! 46,000! 69,500! 102,000! 145,000!Income%after%Depreciation% 197,713! 403,400! 671,241! 1,071,498! 1,567,950!TAX% 39,543! 80,680! 134,248! 214,300! 313,590!Net%Income% 158,170! 322,720! 536,993! 857,198! 1,254,360!

! ! ! ! ! !! ! ! ! ! !Tax!rate! 20%! 20%! 20%! 20%! 20%!

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Balance Sheet:

Aly$Dry$Fruit$Company$Balance$Sheet$308Dec815$

$ $ $ $ $ $ $Current$Assets$ $ $ $ $ $

$ Cash$ $ $ $ $10,000$$ $$ Accounts$Receivable$ $ $88,180$$ $$ Inventory$ $ $ $403,067! $$ Pre8Paid$Expenses$ $ $1,000$$ $$ Total$Current$Assets$ $ $ $502,247$$$ $ $ $ $ $ $

Fixed$Assets$ $ $ $ $ $$ Building$ $ $ $100,000$$ $ $

$ Equipment$ $ $60,000$$ $ $$ Gross$Fixed$Assets$ $ $160,000$$ $$ Less$Accumulated$Depreciation$ $ $8,000$$ $$ Net$Fixed$Assets$ $ $ $ $152,000$$$ $ $ $ $ $ $

Total&Assets& $ $ $ $ $654,247&&$ $ $ $ $ $ $$ $ $ $ $ $ $

LIABILITIES$AND$OWNERS$EQUITY$ $ $ $Liabilities$$$ $ $ $ $ $

$ Current$Liabiliities$ $ $ $ $$ Accounts$Payable$or$short$term$notes$payable$

$ $40,000$$ $ $

$ Total$Current$Liabilities$ $ $40,000$$ $$ $ $ $ $ $ $

Long$Term$Liabilities$ $ $ $ $$ Long$term$Notes$Payable$ $ $160,000$$ $

Total&Liabilities& $ $ $ $200,000&&$ $ $ $ $ $ $

Owner's&Equity& $ $ $ $ $454,247&&$ $ $ $ $ $ $

Total&Liabilities&and&Owner's&Equity& & & $654,247&&

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Projected Cash Flow:

Aly$Dry$Fruit$Company$Cash$Flow$!! 1! 2! 3! 4! 5! 6! 7! 8! 9! 10! 11! 12!

Cash!flow!from!Operations:! !! !! !! !! !! !! !! !! !! !! !! !!

Net!earnings! 6,581! 7,210! 7,870! 8,841! 9,880! 10,992! 19,488! 12,691! 14,160! 24,440! 16,627! 19,390!

Additions!to!cash:! !! !! !! !! !! !! !! !! !! !! !! !!

Depreciation! 500! 500! 500! 500! 500! 500! 500! 500! 1000! 1000! 1000! 1000!

Decrease!in!AR! 0! 0! 0! 0! 0! 0! 0! 0! 0! 0! 0! 0!

Increase!in!AP! 0! 0! 0! 0! 0! 0! 0! 0! 0! 0! 0! 0!

Increase!in!Taxes!Payable! 0! 157! 165! 243! 260! 278! 2,124! K1,699! 367! 2,570! K1,953! 691!

Subtractions!from!Cash:! !! !! !! !! !! !! !! !! !! !! !! !!

Increase!in!Inventory! 0! 1,094! 1,149! 1,689! 1,807! 1,933! 14,775!K

11,820! 3,250! 17,878!K

13,587! 4,806!

Net!Cash!from!Operations! 7,081! 8,961! 9,684! 11,272! 12,447! 13,703! 36,887! K328! 18,778! 45,888! 2,087! 25,887!

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Cash!flow!from!investing:! !! !! !! !! !! !! !! !! !! !! !! !!

Equipment! K30000! 0! 0! 0! 0! 0! 0!K

30000! 0! 0! 0! 0!

Land!K

100000! 0! 0! 0! 0! 0! 0! 0! 0! 0! 0! 0!

Total!K

130000! 0! 0! 0! 0! 0! 0!K

30000! 0! 0! 0! 0!

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Cash!flow!from!financing:! !! !! !! !! !! !! !! !! !! !! !! !!

Notes!Payable! 4167! 4167! 4167! 4167! 4167! 4167! 4167! 4167! 4167! 4167! 4167! 4167!

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Cash!flow!for!Aly!Dry!Fruit!K

118,753! 13,128! 13,851! 15,439! 16,613! 17,869! 41,053!K

26,162! 22,944! 50,054! 6,254! 30,054!

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Ratios:

Liquidity( Current(Ratio( Current(assets/Current(liabilities( 13(

(The!company!is!liquid!because!it!can!pay!5!times!its!current!liability!with!its!current!assets!

(Quick(Ratio( Current(assets9Inventory/Current(liabilities( 2(

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The!company!is!liquid!because!it!can!pay!all!of!its!current!liability!with!its!current!assets!if!we!take!out!our!inventory!

(On(average(it(shows(that(the(company(is(more(liquid(

!! ! ! !Profitability( Return(on(Equity( Net(income/Equity( 34.8%(

(On!each!dollar!of!equity!the!company!have!44.6%!of!profit!

!(

Return(on(Investment( Net(income/Total(Investment( 24.18%(

(On!each!dollar!of!equity!the!company!have!44.6%!of!profit!

!(

Profit(margin( Net(income/Sales( 17.9%(

(On!the!sales!the!company!have!17.9%!of!profit!

!(

Gross(margin( Gross(profit/Sales( 32.9%(

(Just!by!taking!out!the!COGS!we!get!to!32.9%!of!profit!

!(

EBIT(margin( EBIT/Sales( 23.3%(

(If!we!take!our!all!of!our!OP!expenses!and!COGS!still!we!have!23.3%!of!profit!

!(

Return(on(Assets( Net(income/Assets( 24.2%(

(On!each!dollar!of!asset!the!company!have!24.2%!profit!

!(

On(average(it(seems(the(company(is(in(profit(and(the(profit(would(be(growing((

!! ! ! !Leverage( Debt(to(Assets( Total(liabilities/Assets( 30.6%(

(The!company's!debt!covers!45.9%!of!assets!

!(

Debt(to(Equity( Total(Liabilities/Equity( 44.0%(

(The!company's!debt!covers!84.7%!of!Equity!

!(

Assets(to(Equity( Assets/Equity( 144.0%(

(The!company's!Assets!is!184.7%!more!than!its!Equity!

!(

Leverage(shows(that(they(can(pay(their(debt(through(their(asset(very(easily(and(they(have(more(assets(

! ! ! !

Turnover(

Asset(turnover( Sales/Assets( 1.35(

The!company's!sales!shows!that!they!can!turn!their!assets!1.35!times!!!Inventory(turnover( COGS/Inventory( 1.47(

The!company!can!turn!its!inventory!into!cash!1.47!times!according!to!its!COGS!!On(average(it(seems(that(the(company's(turnover(condition(is(also(better(

!

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17!

Summary of Financial Statment:

ALY DRY FRUIT COMPANY HAS 24.18 % OF RETURN IN INVESTMENT WHICH SEEMS THAT THE COMPANY IS IN GOOD CONDITION.

IN OUR FINANCIAL MODEL PROJECTION WE HAVE ASSUMED THAT OUR SALES WILL INCREASE IN TWO CATEGORIES FIRST YEARLY BASIS BECAUSE WE WILL EXPAND OUR COMPANY TO BRANCHES AND SECOND THAT IN A YEAR OUR SALES WILL INCREASE MORE IN THREE SPECIFIC PERIODS BOTH EIDS AND NEW YEAR.

ACCORDING TO THAT WE ALSO NEED TO INCREASE OUR MACHINES FOR MORE PRODUCTION.

ACCORDING TO OUR ASSUMPTION WE CAN BUY OTHER MACHINES THROUGH OUR OWN COMPANY’S PROFIT THAT WE GAIN.

THE PROFIT MARGIN OF OUR COMPANY IS 17.9%.

OUR DEBTS ARE NOT TOO MUCH AND OUR TURNOVERS ARE ALSO FOR SHORT TERM.

OUR DEBT IS ALSO NOT TOO MUCH SO WE CAN PAY OUR DEBTS ON TIME.

SO IT SEEMS THAT THE COMPANY’S OVERALL CONDITION IS BETTER.

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18!

References!

Trading!Economics.!(n.d.).!AFGHANISTAN)UNEMPLOYMENT)RATE.!Retrieved!January!15,!2014,!from!tradingeconomics:!http://www.tradingeconomics.com/!!

(http://en.wikipedia.org/wiki/Marketing_strategy)

(http://www.graphics.com/article-old/marketing-using-4ps-product-price-place-and-promotion)!

www.quickmba.com

“Exports of dries fruits from Afghanistan by countries (Year 2008)”

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