Business Plan Master Assignment Example | Topics and Well Written Essays - 2000 words

Business Plan Master - Assignment Example The reason for having chosen Ireland is that in Ireland many hardware and software manufacturers are located and Ireland is considered somehow the European "Silicon Valley". Profits4U's primary targets are large hardware and software corporations such as HP, IBM & Microsoft. The next target will be the medium-sized companies in multimedia and software, areas that have great development potential. Profits4U's goal is to be positioned as a trustful sales & marketing company. Profits4U's competition is mostly the sale and marketing in - house departments. An indirect competitor could be some management consulting firms such as Arthur Andersen etc. but as mentioned these companies are indirect competitors since they are generalists and they do not implement niche marketing. In addition, due to their sheer size, in many cases their projects are executed by junior consultants and not by their senior personnel. Profits4U in terms of price will be positioned as a brand name company meaning that its prices will be quite high. The high prices can be justified due to Profits4U expertise in sales & marketing and more specifically in sales & marketing of software and hardware product. Mrs. Clara Bauer and the rest of the management team are former executives of high tech companies specialized in sales and marketing. The management is consisted of 3 partners aiming to reach 5 partners. AccoAccording to the company's estimations the profits will reach the $65,000 by the third year 3 with a net profit margin of 6%. Profits4U plans to ask for bank loan of $130,000 t and ask for an additional one of $50,000 in order to invest it in long-term assets by 2010. There is no anticipation of cash flow problems. 1.1 Mission To provide hardware and software manufacturers a first class solution to business development on a national and international level. The competitive advantage of Profits4U is its expertise, confidentiality, professionalism and contacts. Profits4U can be combined with the internal sales and marketing people and at the same time be a cheaper way to develop new markets. It can be a real alternative to internal resources and it offers senior practical experience, know-how, contacts, and confidentiality. The customers should know that working with Profits4U is an efficient, economical and more professional way to develop new business rather than working solely with internal staff. The focus will be business development in the European and Latin American markets. 1.2 Keys to Success 1. Excellence in sales and marketing. 2. Generate new sales leads. 3. Provide apart from sales expertise market research and project consulting. 1.3 Objectives 1. The sales turnover should be $550,000 in 2009 and $1 million in 2011. 2. The desired gross profit margin will be higher than 70%. 3. The desired net income will be more than 5% of sales by 2011. 2.0 Start-up Summary The initial expenses (among them legal costs, logo design, stationery and related expenses are included) are estimated to reach $18,350. The short term assets (office,furniture etc.) are estimated to reach $32,000 and have as start up cash the amount of $25,000 . The details are included in the following table. Start-up 3.0 Services 3.1 Competitive Comparison The competition comes in several forms: 1. In - house sales and marketing personel. The competitive advantage of Profits4U is that the managers of the internal departments do not