- 1. Introduction - EBD Assignment sample
- 2. THE VENTURE
- 2.1 The Business Concept
- 2.2 Target Market
- 2.3 Distinctive Attributes
- 2.4 Values and Scale of Venture
- 2.5 Feasibility Assessments
- 2.5.1 Industry and Market Feasibility
- 2.5.2 Organisational and Financial Feasibility
- 2.6 Critical Evaluation of Value Chain and Business Model Canvas
- 2.7 Identification and Discussion of Risk Management
- Type Assignment
- Downloads549
- Pages19
- Words4678
1. Introduction - EBD Assignment sample
In today’s dynamic business world, entrepreneurs are highly focusing on the setting up new business not only for their financial benefit but also meet the needs of the people. There are many industries that has been seen the higher level of growth in recent years and cleaning industry is one of them. In UK, the market of cleaning services is expected to reach predictable revenue of US$ 30,058.4 million by year 2030. A compound annual growth rate (CAGR) of 9% is expected of UK’s cleaning services market from year 2025 to 2030. The market of cleaning services generated revenue of USD 15,377.9 million in year 2022. In the cleaning services, floor cleaning was the category that generates largest revenue in the year of 2022 (Grand View Research, 2025). The UK’s cleaning industry is employing above 1.6 million people which highly contributed to the economy (Ashton, 2025). In recent years, the demand of sustainable cleaning services is also increasing because people are now focusing more on eco-friendly services.
Referring to this, the new cleaning company named ‘EliteCleaners’is going to introduced that fulfils the need of UK people. The major reason behind opening the cleaning business is that it will offer greater profitability at the same time fill the market gaps. There are many cleaning businesses but not all businesses offer the sustainable and eco-friendly cleaning services to the people (Abdou et al, 2022). People feel difficulties to find the company that use sustainable cleaning practices and it put pressure on them to utilise ordinary cleaning services. By this business, Elite Cleaners aims to offer eco-friendly services, promote green energy, preserve resources and fulfil the changing needs of the people.
The report is presenting the detailed business plan that involves the business concept, target market, distinctive attributes and core values of business. Further, the business plan will cover the feasibility analysis, organisational feasibility and risk management.
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2. THE VENTURE
2.1 The Business Concept
The new cleaning business will be launched and name of the company is Elite Cleaners. The main office of the company is located at Reading, England where local people can leverage the cleaning services and fulfil their needs.
Services offered by firm
Elite Cleaners offer the large range of cleaning services with different features and provide wide cleaning options to the people. It involves deep cleaning services which include house, office, appliances, mattress, sofa and upholstery. The workers put full efforts to make the house, corporate office or any location clean and attractive (Aithaland Aithal, 2021). Apart from these services, the business also carries out the consultation services where company and client discuss about the services. The target customers can leverage the customisation options and make their living or office space new. The company will charge the different prices according to the cleaning type.
Specialised services
Specialised services involvethe antiviral disinfection and eco-friendly cleaning services.
Antiviral cleaning services: In this, Elite Cleaners will utilise the fogging machine in order to lay down the layer of disinfectant which kills bacteria and viruses (Nilashi et al, 2021). This kind of cleaning leaves a layer of protection behind on each surface that also contributes to health of the people.
Eco-friendly cleaning services: Elite Cleaners provides environment-friendly services to protect the planet (Saleem, Khanand Mahdavian, 2022). The best thing of this business is that it uses green cleaning solutions to clean the home, making sure that the environment is not impacted by the cleaning services, yet, people still get the similar and greater results.
Business structure/legal format
As it is a new company, the legal format of this business is to limited liability company (LLC). It is a most suitable business structure because it offers a higher liability protection along with the tax flexibility (Akeyand Appel, 2021). Limited Liability Company protects the personal assets from the all kind of business debts as well as lawsuits that is essential for the commercial cleaning business.
Place or location
As above mentioned, the physical office of the Elite Cleaners is situated at Reading, England. Customers can contact at the office and book their services according to their budget (Lin et al, 2022). An online website will be also launched where customers can search the services and book online without going anywhere. Through online platform, people who live far from the office or have busy schedule can buy services and save their time and energy.
2.2 Target Market
For new business, selecting a right target market or group is most important to achieve success in the business. Without choosing target customers, the company cannot operate successfully in the market.
Segmentation, targeting and positioning (STP) analysis
Segmentation
Elite Cleaners choose the customers according to different segmentation such as; demographic, geographic, psychographic and behavioural.
Demographic: Under this segment, the company targets the people according to their age, income, occupation, family, economic situation, marital status and gender (Nilplengsangand Pankham, 2024). Elite Cleaners targets the younger, middle age and old age people who prefer commercial cleaning services. The company will sell the services to the working people and have busy schedule. Further, families will be also targeted by the firm.
Geographic: Business that chooses geographic segmentation divides the customers according to location, region and place. The new business targets the customers who live in the Reading, England (Adl, 2023). The company will target both residential and corporate offices in this location. People who live in the urban and suburban areas will be targeted by the company. Elite Cleaners tailors the cleaning services according to individual needs of the urban and suburban areas.
Psychographic: In this segmentation, the company targets the people according to psychographic factors such as; values, lifestyles as well as attitudes. The new cleaning business targets the busy professionals who often prefer the online services (Chowdhury, 2023). People who like the eco-friendly services and sustainable services are targeted through providing environment-friendly cleaning options. Further, the company selects the groups who prefer commercial cleaning or deep cleaning for their residents or offices.
Behavioural: Elite Cleaners targets the customers on the basis of the previous buying history, preferred cleaning services as well as frequency of cleaning needs. The company pays attention on people and offices more that book cleaning services frequently.
Targeting
Elite Cleaners targets both men and women of age group 22-60. Families, working people and old aged who need cleaning services will be main customers of the firm. The business will target the medium income and price-sensitive people through offering reasonable services. Residential house owners will be targeted audience of the firm who want regular cleaning to maintain their home (Thomasand George, 2021). Corporate offices which require maintaining a clean workspace will be customers of the firm. The company will also target the upper-class people who require specialised services. Elite Cleaners targets the people who are highly conscious about the environment and prefer only sustainable and eco-friendly products and services.
Positioning
Elite Cleaners offer a bespoke, eco-friendly and affordable cleaning services for clients who value flawless standards. The company helps the customers to elevate their living and office spaces (Luthfiandana et al, 2024). The company specializes in the deep cleaning and eco-friendly cleaning solutions that contribute to save the planet.
2.3 Distinctive Attributes
Distinctive attributes refer to the unique features which separate one concept and thing from the other concept of the similar type. Elite Cleaners also has some unique features that set the business apart from the other cleaning businesses in the country.
Unique selling points
The unique selling points for a cleaning business are given below:
Sustainable and eco-friendly solutions:Elite Cleaners uses the biodegradable, non-toxic and green cleaning solutions which are safe for both customers and environment. The company will use the renewable energy and proper waste management techniques to save natural energy and reduce waste. The firm implements the practices that minimise the water usage.
Customised cleaning plans: Elite Cleaners performs a site survey to find the unique cleaning demands of the clients. The firm majorly focus on the designing cleaning schedule which aligns with the priorities of the client (Singh et al, 2022). The organisation allows the customers to add additional services like disinfection services and offer flexibility to them.
Advanced cleaning services: The new business invests in modern, advance and high-efficiency cleaning technologies that can be useful to enhance the quality as well as speed of the service. Real-time service tracking tools and encapsulation carpet cleaning solutions will be used in cleaning. Electrostatic sprayers will be also utilised to cover surfaces better, making sure hard-to-reach areas are appropriately disinfected.
Convenient and affordable: Elite Cleaners gives the choice to the customers to book their services either from physical office or online platform. Both affordable and premium services are available for the clients (Cullenand De Angelis, 2021). The business offers 24/7 customer services and tries to solve the customer queries within 15 minutes. The website will be user-friendly that help customers to easily find the services.
2.4 Values and Scale of Venture
Core values
The core values and principles of Elite Cleaners will reflect in its business operations. The company complies with the following core values:
Integrity and trust: The business maintains the honesty and transparency with clients and customers by making sure that all services are provided as promised (Barchiesiand Colladon, 2021).
Quality service: The major focus will be on service quality so that customers do not switch to other companies.
Customer-centric approach: Elite Cleaners will always listen to their customers and never avoid their concerns and needs (Tafsir, 2021).
Environment protection: Sustainable products and renewable solutions will be utilised to protect environment and society.
Reliability: Tasks and activities will be completed on time with accuracy to meet expectations of client.
Scale of the business
At the beginning, the business will start at small scale and gradually change into medium scale business. Elite Cleaners will follow the systematic plan. The company will offer residential and office cleaning and deep cleaning (Bashir, Alfalihand Pradhan, 2022). In start-up phase, Elite Cleaners focus on some areas instead of whole town. After that, in growth phase when a company establishes successfully, the company will increase their services such as; anti disinfected and environment-friendly services. The firm will hire more workers and operate business in other areas as well.
Location
Primarylocation of this business is England, UK where Elite Cleaners opens physical office. The company also operates their business from online platform to stay relevant in the market. The company will initially run locally to make a large base of loyal customers. Once, the company gains success in the Reading, Elite Cleaners will open offices in other regions in the England.
Stakeholders
There are several stakeholders who help the business to operate effectively and successfully in the competitive cleaning services market.
Employees: Elite Cleaners will hire the cleaning staff who carry out their work through using excellent skills and knowledge (Kujala et al, 2022). They contribute in the success of the company by completing work on time and meeting client’s needs and individual demands
Investors: They will invest their money in business and help the Elite Cleaners to execute their plan effectively. Investors take high interest in the business because they expect profit from business over specific time in exchange of capital.
Customers: They play a crucial role in the business and help to increase sells. Customers spend their money and buy services from the company (Attanasio et al, 2022).
Government agency: Government authorities regulate the overall business operations. They make sure that the company complies with relevant rules and regulations and does not use any unethical practices.
2.5 Feasibility Assessments
2.5.1 Industry and Market Feasibility
Industry and market feasibility analysis assist the Elite Cleaners to determine how they will develop and identify the possible barriers. Porter’s five forces is one of the best tools that help to evaluate the competitive intensity as well as profitability in the UK cleaning sector.
Porter’s five forces
Bargaining power of the suppliers: The companies that operate under the cleaning industry are highly dependent on the suppliers for raw materials. But there are numerous suppliers in the country who supply the cleaning related materials and tools (Paksoy, Gunduzand Demir, 2023). Elite Cleaners has opportunity to negotiate with the suppliers and choose supplier who offer best prices. However, for getting sustainable and eco-friendly materials or components, the company requires putting extra efforts and making strong with suppliers who source materials ethically. Thus, the impact of these forces is low to moderate for the new business.
Bargaining power of the customers: There are several cleaning companies in the England that offer excellent cleaning solutions to the customers. The customers have considerable bargaining power as they can switch to the other cleaning service firm if they are not satisfied with the one cleaning service company. But Elite Cleaners will offer the both reasonable and premium services and wide range of choices that prevent the customers to choose other company. Therefore, the impact of the buyer’s bargaining npower force is high to moderate.
Threat of substitution: Cleaning industry in the UK faces the substitution threat because of in-house cleaning services that may be more cost-effective for the people. Customers can select to clean their homes at own level or hire the personal cleaner (Dutta,2025). However, when customers want deep cleaning and any kind of specialised cleaning services, then they have to contact with the cleaning companies because they have no other choices. Therefore, for Elite Cleaners, threat of substitution is also moderate.
Threat of new entry: In the cleaning industry, barriers to entry are relatively low and it also does not require high level of knowledge and experience. A new company can also set up the business with little investment. This means the new firm can easily enter into the market and operate business successfully. Though, there are few problems to enter the sector like requirement for specialised equipment, skilled workers as well as cleaning supplies that can make it complex for the new company to enter into the market. So, it can be said that this force is moderate for the Elite Cleaners.
Competitive Rivalry: There is the intense rivalry in the UK’s cleaning market. There are several well-established and popular cleaning companies in the country that offer similar services with unique features. Ecosse Roof & Building Cleaning, Buggy Pitstop, Fantastic Services, Miss Maid, Go Cleaners and Maid2 Clean are some top companies in the UK that can give tough competition to the Elite Cleaners (Trustpilot, 2025). Thus, the impact of competitive rivalry is high for the new business.
2.5.2 Organisational and Financial Feasibility
Organisational feasibility
|
Posts |
No. of Personnel |
Roles and Responsibilities |
|
Operations manager |
1 |
Operation manager is responsible for supervising the everyday business operations and manage finance related activities (Springand Unterhitzenberger, 2022). The manager makessure that each department comply with the safety rules to avoid any kind of incident in the workplace. |
|
Human resource manager |
1 |
HR manager is liable for hiring the skilled candidates for the company. Human resource manager also organises training sessions in the company so that cleaning staff can learn about sustainable practices and advance cleaning tools. |
|
Marketing manager |
1 |
The role of marketing manager is to design, develop and apply the marketing campaigns and advertisements. The managers will also supervise the marketing activity track the performance of campaigns (Gong et al, 2023). Different social media platform will be used for marketing and promotion of new business. |
|
Cleaning staff |
5 |
Cleaning staff members perform their duties and tasks every day and make sure that they provide quality services that meet the expectations of the clients. |
|
Support staff |
3 |
They will provide help to main cleaning staff in dusting, mopping and manage the waste (Landstad et al, 2022). Support staff will also contact with the client during cleaning services. |
|
Customer representative |
1 |
Customer representative attends the call of customers and response positively to the customer’s doubts. They regularly check the service availability so that the company does not lose their clients. |
Financial feasibility
Following table indicates diverse sources of funds through which financial needs will be fulfilled:
|
Sources |
Amount |
|
Retain earnings |
120000 |
|
10% Bank loan |
80000 |
|
Total |
200000 |
From the above table, it has identified that firm is able to manage adequate capital structure which maintain its overall risk and return. For identifying financial feasibility of selected business idea, below is the expected P&L statement for three consecutive years:
|
Particulars |
I year |
II year |
III year |
|
Revenue |
120000 |
150000 |
220000 |
|
COGS |
55000 |
80000 |
130000 |
|
Gross profits |
65000 |
70000 |
90000 |
|
Less: expenses |
51500 |
52600 |
53800 |
|
Utility |
7000 |
7500 |
8000 |
|
Machinery & equipments |
16000 |
16000 |
16000 |
|
Marketing cost |
5000 |
5100 |
5300 |
|
Technology maintenance |
3500 |
3500 |
3500 |
|
Wages& Salaries |
8000 |
8000 |
8000 |
|
Rent |
4000 |
4500 |
5000 |
|
Interest |
8000 |
8000 |
8000 |
|
Net Profit |
13500 |
17400 |
36200 |
|
11% |
12% |
16% |
From the above table, it has identified that firm’s profits is expected to increases over year which indicate higher viability of the business entity. Moreover, organization is able to earn a significant amount of profits which aids in easily covering all expenses and ensures long term stability of the organization. In addition to this, organization is able to reduce per unit cost of product over years which help in managing overall profitability of business entity.
2.6 Critical Evaluation of Value Chain and Business Model Canvas
Value chain
Value chain refers to the strategic procedure which can boost profit margins and give a competitive advantage for firms of all sizes. The components of value chain in relation with new cleaning business are explained below:
|
Primary Activities |
Secondary Activities |
|
Inbound logistics: Source cleaning supplies from ethical suppliers |
Infrastructure: Rented place for physical office and vehicles |
|
Operations: Delivery of services, including transportation(Jonkar, 2023) |
Technology development: Online platform and invest in data analytics technology |
|
Marketing and sales: Carrying out marketing activities everyday |
Human resource management: Recruitment, training and managing relations with employees |
|
Service: 24/7 customer service and response within 15 minutes |
Procurement: Acquiring raw materials, warehousing and supply |
From value chain analysis, it has identified that the strategies of the company are excellent but Elite Cleaners can improve its service category. Although, the company offers 24/7 customer service but they should response to queries of the customers quickly. In order to source the sustainable materials and components, the company should make partnership local the suppliers (Awan, Sroufeand Bozan, 2022). This approach not only helps to get sustainable materials but also contributes in making strong relationship with suppliers which can be helpful in crisis time. Elite Cleaners needs to invest more on advance technologies like artificial intelligence and enterprise resource planning (ERP) solutions to improve the effectiveness of the business.
Business Canvas Model
|
Key Partners Suppliers of cleaning materials and tools Information technology firms |
Key Activities Scheduling and handling the consultation process Offering cleaning services Managing relationship with suppliers, workers and investors Marketing and promotion |
Value Proposition Sustainable and environment-friendly cleaning options Chemical free products Affordable prices Customisable cleaning options |
Customer Relationship Offer customise services 24/7 customer services Regular feedback from customers (Razabillah et al, 2023) |
Customer Segments House owners Elderly people Corporate offices Working people |
|
Key Resources Equipment and machinery Technical resources Financial resources Human resources Marketing resources |
Channels Company website Digital marketing Partnership with local offices |
|||
|
Cost Structure Labour cost Transportation expenditures Cleaning equipment and tools Advertisement cost |
Revenue Streams Cleaning service charges Specialised cleaning solutions Subscription plans for regular customers |
As per business canvas model, the company has developed the excellent business model that can help in achieve business goals. However, the company can focus more on their customer segments and include other groups like retail stores and renters. If the Elite Cleaners includes other customer segments, then it will increase the revenue sources and profitability of the business. The company can also offer the referral programs which is a kind of marketing strategy. Through referral programs, the firm can incentivise the consumers to share a business with their network for rewards (Jin et al, 2022). This strategy takes benefits of word-of-mouth technique that helps to gain more new customers and establish loyalty. The company must pay attention on marketing because if the company does not focus on marketing, then they can face the problems to grab the attention of customers and increase awareness about the new business. Through making these changes, the firm can successfully set up and execute the business in competitive UK market.
2.7 Identification and Discussion of Risk Management
Setting up new business is not easy process and there are several risks that may be faced by the Elite Cleaners throughout the execution process of the business. The possible risks with impact and mitigation strategies are mentioned below:
|
Risks |
Description |
Likelihood |
Mitigation strategies |
|
Regulation compliance issues |
If the company fails to comply with the relevant laws and regulations then they may can face the legal problems, which in turn damage the reputation and image of the company in the market. |
Medium |
Elite Cleaners must make sure that each and every person who is associated with the company like employees, suppliers, investors etc. follow the rules properly (Noccoand Stulz, 2022). |
|
Staffing issues |
As it is new business, Elite Cleaners will face the hiring issues. Candidates think twice before applying for the job in the new company. The company may face problems to carry out the business activities in absence of skilled and experienced workers. |
Medium |
The risk can be reduced through making the excellent human resource strategies. The company needs to use the online job portal to attract potential candidates. The firm should stay true to their promises after hiring employees as it helps to increase their trust towards the firm. |
|
Data breaching |
Elite Cleaners offers services from online platforms, so there is a high chance that they may face the data breaches issues (Lee, 2021). Data violence not only impacts the business but also creates problems for the company. |
High |
The issue of data breach can be resolved through applying the robust security system. The enterprise also needs to perform audit on regular basis and update the software regularly to prevent the hackers from misusing confidential information. |
|
Technical faults |
The company may encounter the technical faults and errors that can interrupt the business operations. Because of network issues and technical faults, customers can also feel difficulties to search and buy the services on the platform. |
Medium |
To mitigate the risk, the firm needs to focus on proactive planning and maintenance of technological tools and software. It is essential to keep the software updated in order to prevent the vulnerabilities and make sure optimal performance. |
|
Financial issues |
Ineffective cash flow management and unforeseen costs can create financial challenges (Dvorsky et al, 2021). If the new business will be not able to meet their short-term financial obligations,then it can also create challenges for the business. |
Medium to low |
Elite Cleaners should apply the robust financial management system in order to make sure that the firm can handle its cash flow as well as expenditures carefully and effectively. |
3. CONCLUSION
As per above report, it is concluded that new business needs to pay attention many aspects and things to operate successfully in the competitive business environment. The report was based on the establishment of new cleaning company named Elite Cleaners in UK. The reason behind choosing the cleaning business is that UK cleaning industry has seen substantial growth in recent years. After Covid-19 pandemic the demand of the commercial cleaning services has been increased. It has analysed from market and industry research that the cleaning business would achieve higher profits of they execute the strategies as planned. The company would offer the large range of the services, including floor cleaning, deep cleaning, antiviral and eco-friendly cleaning services. The best thing of this business is that it would use advance technologies and sustainable and chemical free cleaning solutions to clean surface and delicate things. The major target group of the Elite Cleaners involves residential home owners, offices and working people. Further, the firm targets the people who look eco-friendly and budget-friendly services. It has identified that the new business might face tough competition from well-established players and they can prevent the firm to make large base of customers. In addition, the business would need a substantial amount to buy the equipment, resources and tools and execute the business strategies in an effective manner. Different funding sources such as; bank loans, government grants and angel investors would be utilised to raise the fund for the business venture. It is estimated that the company generate the 11% in first year, 12% in second year and 16% in third year. It can be said that the cleaning business would achieve success and could expand the business in the future.
4. REFERENCES
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