Business plan for the opening of a new bank branch in Diarra, Western Australia
Re: opening of new bank branch in the area of Dianellaa, Western Australia
Please find attached a detailed report regarding the possibility of the opening of a new branch in Diarra which has seen substantial population and commercial growth over the last few years. The report includes details on the opportunities which may unfold for the bank as well as some statistics and predictions for population and income growth in the area for the foreseeable future.
I hope you will consider this report and await your decision
Business plan for the opening of a new bank branch in Dianella, Western Australia
This report deals with the possibility of the opening of a new bank branch in the area of Dianella, Western Australia. The area has seen considerable population and economic growth over the years and can be said to be a goldmine of opportunity for the bank to establish its presence in the area since there are no real banks at the moment operating there. The report includes several population statistics, median income levels, potential for growth as well as financial and investment opportunities for the area. It is concluded that the bank would be missing a substantial opportunity for growth if it did not open a branch in the area which is absolutely crucial for its continued success to remain a national and prominent name.
Banks require constant exposure and interaction with new customers if they are to survive in today’s competitive environment. Population growth in new areas is one way to attract new customers and a branch network which has attractions for the local populace is also extremely important to be able to maximize business. The area of Dianella in Western Australia has expanded considerably over the years and this has resulted in a considerable business opportunity to be able to open a branch which should potentially be extremely successful in gaining new business both on the retail side as well as on the investment side of the business. The bank would be ill advised if it did not consider this considerable business opportunity to open a branch in the area which is absolutely ripe for further expansion.
The area of Dianella – phenomenal growth and scope for much more
Dianella has expanded incredibly over the past years and apart from that there are substantial numbers of white collar families in the area with large spacious houses and comfortable roads which are purely residential. Over 3000 people now populate the area and their occupations range mainly in the high tech services industry, the legal and medical professions as well as other well paid jobs. There are a substantial number of young families who could be excellent targets for investment opportunities especially in their children. Apart from the personal aspect, there is also a thriving business community in the rea with no less than 100 business establishments varying from small shops to large department stores and other services which have considerable patronage. All in all, the growth in the area over the last five years has been nothing short of phenomenal and thus this presents the bank with a considerable business opportunity for expansion by opening a new branch in the area.
The average median income of a family in the area is around AUD 50,000 per annum which is more than enough to provide an opportunity to save money. Recent research undertaken by a corporate firm in the area has revealed that 65 percent of the population have a wealthy and affluent background while only 5 per cent are living below the poverty line. Financial institutions in the city are plentiful although they are chiefly focused on small financial transactions, money lending and cash withdrawals. This could be a huge opportunity for the bank to tap into the substantial business opportunities available, especially in the services area which is flourishing at a very fast rate.
The area is expected to continue growing substantially and as population numbers increase, there is the possibility of new construction projects for residential units. There are a number of contractors in the area who have already undertaken several projects with some success and are looking to build further blocks of apartments and other similar housing projects and who lack financing arrangements in the town. Recent interviews with some of the contractors has revealed that most of them have to travel to Perth to make arrangements for loans and other financing, a not inconsiderable cost for travel and a waste of precious and valuable time. A full fledged bank branch in the area would offer substantial opportunities for the lending sector of the bank and facilitate commerce for contractors and other businessmen.
There are also several establishments who import their goods from Western Europe or the United states but these lack the facilities to make payments or wire transfers abroad as there is still no fully fledged banking office in the area. Again, this is a substantial opportunity for the bank’s foreign exchange department to attract new business and to flourish in this area.
Summary – a huge opportunity for expansion and financial success
Basically, the city of Dianella is a huge opportunity for the bank to begin expanding its services in this area. There is a young, thriving and relatively successful financial community working and living there, wealthy and affluent families with an above average median income and these are always important potential customers. The initial investment required to construct a branch should not be too onerous and on the whole this may be financed at competitive rates or even in agreement with one of the building contractor’s operative in the area. Apart from this opportunity, staffing levels at the branch can also be recruited from the pool of young talent available in the area which also provides an opportunity for links to potential customers through their families.
The business community is also an important target for this operation. Since there are already a substantial number of companies and operatives in the area, the possibility of providing financing as well as other investment schemes is rather too good to let one pass by. In fact with the area expected to double in size within the next five years, the bank can get seriously involved in housing projects, retail projects and other similar opportunities which could provide a huge boon to business.
Another area which is perhaps overlooked but which could also prove to be a gold mine is the investment arm of the bank. Young wealthy couples with substantial income and disposable cash can be persuaded to invest some of it in financial instruments or investment schemes which can be extremely profitable and lucrative for the bank. The potential growth which is coming up in the area is not only a huge business opportunity but makes a substantial case for continued expansion in the area. Perhaps after the opening of one branch, the waters could also be tested for the opening of another in the long run especially after a few years of banking experience and a better grasp of the financial needs of the community in the area.
In my opinion, the area of Diarra in western Australia is a considerable business opportunity and the opening of a new bank branch there is a matter of some urgency. Apart from being the first large bank to establish our presence there, the customer base is extremely affluent and poytential for income is more than substantial. There is also scope for financing lucrative housing investment in the area especially with the new projects which are coming up and the foreign exchange area of the business is something which is completely untouched. The bank can also get involved in some corporate social responsibility projects to boost its name in the area and thus attract substantial further business in this manner. Obviously everything depends on the correct timing with all this but the substantial potential of the area is surely not to be overlooked.