eco guide academy final report

8/2/2019 Eco Guide Academy Final Report

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MAKERERE UNIVERSITY

SCHOOL OF FORESTRY BIODIVERSITY AND TOURISM

DEPARTMENT OF BIODIVERSITY AND TOURISM

BACHELORS OF TOURISM

NAME REGNO SIGNATURE

NAYIGA ROSEMARY 09/U/6264/EVE

NAMBAYO BARBARA 09/U/5943/EVE

NAIGA SHAMIM 09/U/6244/EVE

NAMPEWO CHRISTINE 09/U/6259/EVE

NNASSINDE MARIA SSEWAYA 09/U/6270/EVE

NAKACWA DOREEN 09/U/6247/EVE

NAZZIWA ESTHER RESTY 09/U/6265/EVE

AMOIT RITA 09/U/6204/EVE

NABASSA PENELOPE 09/U/6239/EVE

OKECH COLLINS 09/K/18165/EVE

MAGRETH THOMAS 09/T/17165/EVE

RWAMUKAGA LEILA 08/U/16984/PS

MIGAMBA PEACE JULIET

SSEBUUMA SHAFIK


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TABLE OF CONTENTS

Executive summary.. 3

Our vision..4

Mission..4

Our role..5

Strengths of the company....5

Weaknesses of the company...................................................................5

Opportunities6

Threats..6

Factors for the success of thebusiness.7

Objectives.7

Company history...9

Company and industry profile...10

Market strategy.10

Pricing.12

Distribution

Competitor analysis.......13

Description of management team.....14

Plan of operation17


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Loan proposal..18

Estimated budget expenditure19

Accounting equations for transactions made.19

Statement of financial position..22

Marginal income costing statement....23


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ECOGUIDE ACADEMY.

EXECUTIVE SUMMARY.

INTRODUCTION

Eco guide academy is a professional-field oriented training centre to produce

skilled and knowledgeable tour guides with a touch of professionalism. The boom

of the tourism industry has indicated a vivid gap between visitors and tour

personnel. They dont seem to possess adequate information about their

destinations and services. They dont express themselves eloquently and

articulately. They dont have confidence and what better way is there than to show

confidence, eloquence and skill in the eyes of a tourist! Eco guide academy

believes in professionalism in all services delivery.

In Eco guide academy, we considered this as the business model. Internal

management consisting the management team, marketing departments that will

embark on intensive marketing and publicity, instructors who are well exposed in

the field with adequate skills and confidence, financial controllers who will expose

the assets and liabilities of the academy in both the short and long run. The

mission and vision of the eco guide academy both project long term ventures that

will require commitment, dedication and sacrifice to allow kick off of the business

and growth. The academy plans on numerous branches of training centers in

almost all locations of tourist attractions and natural resources with major

emphasize on remote and natural attractions.


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The functional structure/ management team is part of the internal competitive

advantage that is fully qualified with skills and training in the said field. Our team

doesnt only have the knowledge but also the strong commitment and dedication

will make this project a practical dream that will eventually cut across national

borders. Each member of our team has been allocated the position that best spells

out his personality and uniquely fits with his or her skills and qualifications.

With the market already studied and identified, marketing strategies have been

devised and polished to achieve the projected vision of the business. The financial

managers have thus projected the companys finances over a period of 5 years

from the start date. With the 10 million investments, after a period of 2 years, eco

guide3 academy should be in position to generate 6 million annually (we are a

small firm that is still new). We intend to focus only on 60% of our intended

investment in capital and maintain the 40% as owners equity which will cover any

other business.

The academy is willing to start on loan repayment after the first business/economic

year and it will be in position to pay 10% of the debt annually at the interest rate of

2% p.a. since ours is a service company, we intend to make it as tangible as

possible, so, alongside the training centre is a fully stocked information centre on

books, maps and a gadget shop. This is where we intend to make our first shilling

and thus this explains our strategic location so as to capture those ill-equipped

tourists for our first shilling.

OUR VISION

To become a professional learning field academy for professional tour guides.


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Disagreements among the staff members staff which affects the performanceof the company.

Absenteeism and late coming of some companys members which delaysdecision making.

OPPORTUNITIES

Located near tourist destinations thus being accessible to both tourists andthe trainees for carrying out field work.

The uniqueness of the tourist destinations, the un spoilt wilderness, and thespecial combination of both nature and rich culture acts as a training and

practical field for trainees

Partnership with the stakeholders like the ministry of tourism wildlife andheritage, tour companies and the local community who control the tourism

development process.

Local community participation in the decision making process of thecompany since they are the hosts of tourism destinations.

THREATS

Stereotypes as ladies may not buy the idea having a belief that tour guidingis only meant for men.

Negative attitudes towards education on tour guiding since it has not been inexistence.


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Increasing effectiveness of competitors like PROTS in Tanzania, touroperators in Uganda.

Global economy causing inflation and currency is losing it value making ithard to raise enough income from students tuition and also gadget hire.

FACTORS FOR THE SUCCESS OF THE BUSINESS

Cooperation, determination, commitment and hard work of the companysmembers.

Our academy is field based making our academy more practical as studentsacquire more practical skills.

We get funds from donors thus sustaining our academy financially andoperationally.

OBJECTIVES

GENERAL OBJECTIVE

To provide professional and practical tour guides with adequate informationabout the tourism sector

SPECIFIC OBJECTIVES

To improve the image of tourism through training tour guides boththeoretically and practically.

To provide advanced knowledge and tactics about tour guiding. To provide useful equipment for tour guiding


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To provide skills and confidence among tour guides.

COMPANY HISTORY

We began our discussions as a group in our first academic year (2009/2010) when

we had just joined the university. Since then, we have managed to keep our

friendship together even though we have different personalities and most of the

time we do coursework and other class assignments together. This has made us

realize the importance of teamwork hence we have learnt how to stand each other

quit well and support each other through thick and thin.

This has made us realize that teamwork is important for the success of any

business venture when we were given this project by Deus our Entrepreneur

lecturer, we sat down as a group and came up with so many ideas which were all

constructive, some of the ideas we each came up with include Sports, butterfly

rearing , Chameleon rearing by Nnassinde Maria Sewaya , tourism gadgets by

Nazziwa Esther Resty, developing MUK as tourism destination Naiga Shamim,

fish pond by Amoit Ritah, Beach by Nabaasa Penelope, Airport by Nakacwa

Doreen, Information Resource Centre , Earthworm keeping by Nampewo Christine

, Bird keeping by Migamba Peace, Mountain biking by Nayiga Rosemary, political

history by Nambayo Barbara and industrial tourism by Okech Collins until we

finally decided to do a training school where Nakacwa Doreen and Nnassinde

Maria came up with the name ECOGUIDE ACADEMY came from ecotourism


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which conserves the natural environment, all the members in the group were in

favor of the ideal so we took it up and started this wonderful project.

COMPANY AND INDUSTRY PROFILE

Tourism is the worlds largest industry in the world. Uganda is endowed with

plentiful natural and cultural resources which can be basis for very lucrative

tourism industry creating employment and generating income. In the Lonely planet

magazine Uganda was voted as the best destination in the world 2011/2012;

however Uganda is competing on the world market and to penetrate that market it

is necessary to provide quality services. To achieve the quality services there is

need for trained persons therefore professional tour guiding has a great role in the

tourism industry because of the fact that from time to time tourists arrive in the

country and in doing so, they are left in the care of the tour guide many of which in

Uganda are not trained and lack practical skills. On the other hand tourists arebecoming more sophiscated and understand that they need value for their money.

We then came up with the idea of a tour guiding institution because of the rising

need of the industry and the tourists themselves.

Name: Eco Guide Academy Report Name date: 15th October 2011 Location: Uganda Primary category: S4 and S6 leavers and already existing persons under

trained guides.


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Secondary category: Tourism students interested in the field work.Abusiness strategy is designed to assess clients needs, develop a product or

service to meet those needs, communicate to the customer the attributes of

the products and services, establish distribution channels to make products

available to consumers and to ensure that the company makes a profit.

It looks at who, where, what, goals, how, why, and the challenges of thebusiness.

WHO- Eco Guide Academy. We need to have the knowledgeable and educated members of the

community concerning tourism and Tour Guiding in particular areas of the

country. These can help our students locate these places and provide

information which we shall make more practical while in the field.

WHAT (the product) Training school for professional Tour Guides. GOAL. To produce professional and practical Tour Guides with adequate

information about the tourism sector.

WHERE. We shall have branches in areas near tourism destination in thecountry in order to ease our field work.

HOW. We shall provide field equipment for field work with the help fromfunding from the Government and the ministry of Tourism Wildlife And

Heritage.

WHY. We realized that there was a missing gap of well trained Tour Guidesin the country and therefore came up with the idea to improve on Tourism as

a sector.


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MARKET STRATEGY

Customer knowledge. We are going to study our customers both final

consumers and the trade through continuous marketing research and

intelligence gathering

Long term outlook. Take time to analyze an opportunity and prepare thebest product, commit our academy for the long run to make our academy a

success.

Quality strategy. Design products of above- average quality. Oncelaunched, the product is continuously improved.

Line extension strategy. Produce brands in several sizes and forms tosatisfy varying consumer preferences

Brand extension strategy. Use strong brand names to launch new products Multi- brand strategy. The art of marketing several brands in the same

product category. For example produce brands that meet different consumer

wants and that compete against specific competitors brands.

Heavy advertising. Make as many of these advertisements about yourproduct to attract a larger market.

Competitive toughness. We are going to out compete new competitivebrands and prevent them from gaining a foot hold in the market.

PRICING

Student charges: 530,000 @3months


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Gadgets Time/ duration Charges

Hired gadgets

Mountain climbing 24hrs 10,000shs

Nature walks 24hrs 15,000shs

Bungee jumping 24hrs 10,000shs

Maps 24hrs 6,000shs

Books 24hrs 10,000shs

Gadgets for sale

Mountain climbing 100,000

Nature walks 80,000

Bungee jumping 100,000

Maps 11,000

Books 5,000- 40,000

Guides for hire will range from 50,000-150,000


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Destination Duration Charges (UgShs)

National parks/ Reserves 24hrs 60,000

Forest reserves 24hrs 50,000

Mountain sites 24hrs 80,000

Cultural/ historical sites 24hrs 100,000

COMPETITOR ANALYSISExisting competitors,

Tour companies like Great lakes safaris. Education institutions likeNkumba University, among others who offer skills in tour guiding.

STRENGTH OF THE COMPETITORS

The popularity they have gained because of their long time existence in thefield of tour guides training. They offer additional courses on top of the he

tour guiding skills.

WEAKNESSES OF THE COMPETITORS

Many of them are not accessible; they are located far from thedestinations.

They do not provide practical skills because they lack the equipment.

POTENTIAL COMPETITORSIn the long run, tour companies may and education institutions may acquire some

of the skills that we offer and improve or diversify the products or services that

they offer.


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DESCRIPTION OF MANAGEMENT TEAM

GFTG

ST s

PRINCIPAL

HUMAN

RESOURCE

ACCONTS/

BURSAR

INSTRUCTORS

VICE PRINCIPAL

DIRECTOR

PUBLIC

RELATIONS

MARKETING

MANAGER

SECRETARY

STORESMANAGER

LIBRARIANSECURITY


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Director. The biggest share holder in the company. Has the final say in the

decisions made in the company. Directs the work of the company that is to say

gives the general direction of the company and also approves and introduces new

products.

Principal /manager. Monitors, motivates and controls the companys activities to

make sure the set goals and objectives are accomplished. Coordination and

supervision of other employees, protection of the companys assets and records to

ensure the growth of the company.

Vice Principal. In the absence of the principal, the vice must be in position to take

charge of her duties. In addition she is to help the principle in making sure the

company goals and objectives are attained, ensure growth of the company and also

the values and principles are upheld.

Accounts / Bursar. Responsible for all company finances, receipting and giving

out of money in the company. She is also in charge of balancing the books of

accounts, and interpreting them. Also enforcing financial policies like taxes.

Human resource. In charge of recruitment and selection of employees, welfare,

employee training, salaries and dismissal / demotion and promotion of employees.

Instructors. These are well trained personnel who will be in charge of training and

guiding the students in their training, they will also be in charge of the practical

field lessons.

Public relations. Is in charge of keeping a good image of the company to its

different publics. This she will do through media representation and other

diplomatic function.


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Stores manager. In charge of the equipment ensuring they are well kept and

maintained, their numbers delivering them and ensuring those rented are returned

in their right numbers and safely.

Sales manager. Increasing awareness of the companys products and services,

ensuring the right kind of advertisement is used for the right target markets to

increase the companys sales.

Librarian. The librarian is in charge of organizing and maintaining the books in

the library, providing consultation services about the literature in the library to the

clients updating the books and literature with rising innovations.

Secretary. In charge of all forms of registration, management of companys

information, in the company, biodata and that of its clients typing documents and

receiving clients, offering information to clients who may need it.

Kitchen management. She is to provide meals to the students and the staff; these

include breakfast, lunch and evening tea.

Security. With the rising terrorism threats there will be need for security. He will

be in charge of visitor registration, checking people coming in, and take of the

general security of the company.

PLAN OF OPERATION

Form of ownership. The company is limited by shares because its formation was

through the efforts of thirteen group members, thus the best way to reward

individual efforts.


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Decision making. This will be done by all share holders. However, the individual

with the highest shares in the company will make the final decision.

Compensation and benefits. For the clients, the company the company will base

on the guarantee method, a client who withdraws their money 30days afterpayment will be given full refund, within 15days half the payment made, and

below that 2% of half the price. For the staff members, compesation will be made

in form of dividends that will be shared according to the shares held by each

individual member. In the long run the company will provide other incentives like

transport, and other allowances.

Working schedules. Working days will Monday to Saturday 8am-6pm. Sunday

9pm -12noon. We will also have weekly meetings on Fridays 4pm to review

performance for the previous week and set targets for the next week. We also willhave board meetings twice a year to discuss the companys performance, another

issues that may rise up however abrupt meeting maybe held in case of

emergencies.


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ECO GUIDE ACADEMY

PO Box 5234,

KAMPALA.

UGANDA.

To Muhwezi Deus Kamunyu

College of agriculture and environmental sciences

Makerere University

Po Box 7062

Kampala

RE: APPLICATION FOR ALOAN TO START ABUSINESS.

On behalf of Ecoguide academy we request for a loan of ten million shillings to

facilitate our business venture.

Our company deals in training of tour guides, safety equipment rental to tourists

and information centre for information provision. The loan will be used in the set

of the project, purchasing of equipment and facilitation of other company

activities. Our collateral security is the transfer of ownership. It will give us great

pleasure if our request is granted.

Yours faithfully

Nambayo Barbara.

Director, Eco guide Academy.


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Estimated Budget for Ecoguide Academy for the month ended 31st

October

2011

Equipment 1,500,000

Stock 1,500,000

Rent 60,000

Furniture 1,500,000

Computer/Photocopier 1,500,000

Salaries 1,420,000

The loan payment will be made in intervals of 500,000 per month for a period ofone year. Our income will be gotten from fees paid by the students, renting of

safety equipment, and also from the information centre facilities as the charges are

stated in the pricing.

ACCOUNTING EQUATIONS FOR EACH TRANSACTION MADE FOR

ECOGUIDE ACADEMY FOR THE MONTH ENDED 31ST

OCTOBER 2011

i. Ecoguide Academy started the business with 10 million shs cashAssets = Liabilities + owners equityCash 10,000,000 = - + capital 10,000,000

ii. Used business cash to buy furniture at 1,500,000shsAssets = Liabilities + owners equity

Furniture 1,500,000 = - + capital 10,000,000

Cash 8,500,000

10,000,000 10,000,000


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iii. The Academy buys equipment of 1,500,000 using business cashAssets = Liabilities + owners equity

Furniture 1,500,000 = + capital 10,000,000

Equipment 1,500,000

Cash 7,000,000

10,000,000 10,000,000

iv. The Academy purchases machinery at 1,500,000 using the business cashAssets = Liabilities + owners equity

Furniture 1,500,000 + capital 10,000,000

Machinery 1,500,000

Equipment 1,500,000

Cash 5,500,000

10,000,000 10,000,000

v. Buys stock of gadgets and library books at 1,500,000Assets = Liabilities + owners equity


Machinery 1,500,000

Equipment 1,500,000

Stock 1,500,000

Cash 4,000,000

10,000,000 10,000,000


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vi. The Academy will buy office stationery at 400,000Assets = Liabilities + owners equity


Machinery 1,500,000

Equipment 1,500,000

Stock 1,500,000

Stationery 400,000

Cash 3,600,000

10,000,000 10,000,000

vii. The Academy will purchase 2 company vans on credit at 15,000,000Assets = Liabilities + owners equity

Motor van 15,000,000 loan 15,000,000 capital 10,000,000

Furniture 1,500,000

Machinery 1,000,000

Equipment 1,500,000 25,000,000

Stock 1,500,000

Stationery 400,000

Cash 3,600,000

25,000,000 25,000,000


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STATEMENT OF FINANCIAL POSITION

ASSETS Shs Shs Shs

NON CURRENT ASSETS

Motor van 15,000,000

Machinery 1,500,000

Equipment 1,500,000

Furniture 1,500,000 19,500,000

CURRENT ASSETS

Stock 1,500,000

Stationery 400,000

Cash 3,600,000 5,500,000

TOTAL ASSETS 25,000,000

EQUITY AND LIABILITY

Capital 10,000,000 10,000,000Owners Equity Liabilities

Noncurrent liabilities

Loan 15,000,000 15,000,000

Total liabilities 25,000,000


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MARGINAL COSTING INCOME STATEMENT FOR THE PERIOD

ENDED 31ST

OCTOBER 2011

Student sales (530,000*30) 15,900,000 20,900,000

Sales of equipment and gadgets (25,000*20) 5,000,000

Less marginal cost of production

Direct material 19,400,000

Direct labor 1,420,000 20,820,000

Gross contribution 80,000

Less fixed costs

Rent 60,000 60,000

Net profit 20,000

eco guide academy final report

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