Investment proposal for Prep and Bakery Oy
Rogdakis, Thomas (2023)
2023
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2023120634805
https://urn.fi/URN:NBN:fi:amk-2023120634805
Tiivistelmä
This thesis was commissioned by a bakery company named Prep and Bakery and its purpose is to suggest an investment proposal for the company. Prep and Bakery Oy is a relatively small company that was established in 2015. The company has been producing pita bread of different sizes, as well as pizza dough for various restaurants. The investment proposal was created in order to help the company find the right machinery, give a better understanding of the capital that needs to be invested and to determine how long it would take for this plan to be profitable. The author of this thesis has been working in Prep and Bakery Oy for 6 years as an assistant to the production manager and has a good understanding of its operations, vision, and long-term goal.
This thesis project is a functional study and was conducted through qualitative research. The author has divided the thesis into two major sections. In the first section, the thesis discusses the theoretical part of the study, consisting of capital budgeting, investment process and factors affecting the investment evaluation. The author has had the opportunity to interview the owners of the company as well as a possible customer in a structured and semi-structured manner. The interviews and discussions conducted during this project were continuous and regular to find the most suitable and affordable machinery that matches the needs of the company and owners. There was not a certain budget set by the owners, however, and since the company is relatively small, the investment proposal had to be realistic and affordable.
The investment proposal was presented to the production manager in 2023 and at the end of the thesis process it was discussed at the board meeting among the owners.
The investment proposal includes recommendations for new machinery that could be purchased by the business. Moreover, there is an explanation as to how the different machines work and the reasoning behind the selected machines. In addition, the author has presented a variety of different products that can be produced with the machinery proposed as well as a payback period estimation and net present value.
This thesis project is a functional study and was conducted through qualitative research. The author has divided the thesis into two major sections. In the first section, the thesis discusses the theoretical part of the study, consisting of capital budgeting, investment process and factors affecting the investment evaluation. The author has had the opportunity to interview the owners of the company as well as a possible customer in a structured and semi-structured manner. The interviews and discussions conducted during this project were continuous and regular to find the most suitable and affordable machinery that matches the needs of the company and owners. There was not a certain budget set by the owners, however, and since the company is relatively small, the investment proposal had to be realistic and affordable.
The investment proposal was presented to the production manager in 2023 and at the end of the thesis process it was discussed at the board meeting among the owners.
The investment proposal includes recommendations for new machinery that could be purchased by the business. Moreover, there is an explanation as to how the different machines work and the reasoning behind the selected machines. In addition, the author has presented a variety of different products that can be produced with the machinery proposed as well as a payback period estimation and net present value.