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8/7/2019 Business Plan - Grey Matter
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1
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nmqwertyuiSTATEMENT OF AUTHENTICITY
I certify that this assignment is the result of my/our own work and does not exceed the word count noted below.
Num ber of words: 7960
Signed: -
B usiness Plan Grey Matter
GLO BA L BU SINESS STR A TEGY 2
4/12/2011
Sahil A huja
806-968-772
Su bmitted to: A rminda Gonzalez -Dumpierrez
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Table of Contents
1. Executive Summary.42. Company Overview.5
2.1. Company Ownership 2.2. Company Locations 2.3. Mission 2.4. Keys to Success 2.5. Startup Cost
3 . Services..83.1. How to run a successful seminar
3.2. The steps for an effe ctive seminar
3.3. Our Seminars
3.4. Their Seminars 3.5. Fulfillment
3.6. Future Services
4. Operations..1 3 4.1. IT E quipment 4.2. Communi cation 4.3. Customer Service & Support 4.4. Produ ction
5. Market Analysis.16
5.1. Target Market Segment Strategy 5.2. Market Needs 5.3. Market Growth 5.4. Competition and B uying Pattern 5.5. Competitor A nalysis 5.6. Competitive Comparison
6. Business Model and Porters Five Forces2 3 7. Strategy and Implementation...25
7.1. Value Proposition 7.2. Competitive Edge 7.3. Marketing Strategy 7.4. Positioning Strategy 7.5. Pricing Strategy 7.6. Marketing Programs 7.7. Sales Strategy 7.8. Strategi c A llian ces 7.9. Milestones
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8. R isk Analysis..299. Future Expansion Strategy... 30
9.1. Expansion Strategy 9.2. B alance Score card
10 . Web Plan Summary... 3 1
10.1. We bsite Marketing Strategy 10.2. Development R equirements
11. Management Summary. 3 211.1. Management Team 11. 2. Wage Sla b 11.3. Management Team Gaps
12. Financial Plan. 3 412.1. Key Finan cial Indicators
13 . Appendix. 3 614. Bibliography...46
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1. Executive Summary
B usiness seminar companies came into existen ce couple of decades ago and since then have been
in demand by organizations, individuals, small businesses and MNCs. Every year thousands of
people pay to attend meetings, workshops, seminars, etc. around the world. Finan cial figures of such seminar/ conferen ce companies in past few years have shown how lucrative this business is
and recent study has also shown that the barriers to entry are low in this sector as hardly any
seminar/ conferen ce company has a fixed hold on the market.
Grey Matter is a unique organization that delivers the expertise, resour ces and specialist skills
that ensure your event is a success. You'll gain the dedicated focus you need to manage each
complex element of the event management process. Leaving you free to focus on your core
responsi bilities.
Since the finan cial crisis in 2007 the growth of almost every industry has slowed down, but when
we talk a bout seminars the demand has remained almost constant. It is primarily due to the high
demand of cost effe ctive measures of doing business by companies and for that they are sending
employees to workshops and seminars to seek the knowledge from other industry experts. In
Canada 5,000 seminars were organized in 2009 with attendan ce exceeding 200 ,000 .
R ecent studies have shown that in seminar industry people mainly remem ber the seminar but not
the name of the company, whi ch is good news for a new entrant like Grey Matter in the market
as it will give us an equal opportunity like other esta blished players in the North A meri can
market. Grey Matter is hoping to get an investment of $60 ,000 from Dragons Den for which it is
willing to offer 25% stake of the company. We are expe cting to start making profits by the
second year and the R eturn on Investment is assumed to tou ch 24% by the third year.
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2. Company Overview
Grey Matter is a seminar company that offers a com bination of its own seminars, along with the
software, and managing seminars for others. Seminar is, generally, a form of academi c
instru ction, either at an academi c institution or offered by a commer cial or professional organization. It has the function of bringing together small groups for recurring meetings,
focusing each time on some particular su b ject, in which everyone present is requested to actively
participate. Increasingly, the term "seminar " is used to descri be a commer cial event (though
sometimes free to attend) where delegates are given information and instru ction in a su b ject such
as property investing, other types of investing, Internet marketing, self -improvement or a wide
range of topics, by experts in that field.
2.1.Company Ownership
Grey Matter is a sole proprietorship owned by Sahil A huja, founder and president with a 50%
stake in the company and rest 50% is expe cted from Dragons Den.
2.2.Company Locations
Grey Matter will be located in Downtown Toronto, Ontario, Canada and by the second year the
company will open a small offi ce in the New York City, U SA . The reason is to have a glo bal
presen ce and huge customer demand for such servi ces in U SA .
2.3 .Mission
Grey Matter offers seminars in business and related su b ject areas that offer their participants an accelerated learning environment including both tools and the know -how to use them.
This is a focused educational experien ce that short -cuts normal business schools with the
fundamental knowledge required, in a practical setting.
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Grey Matter is a seminar company that offers a com bination of its own seminars, along with the
software, and managing seminars for others.
Our Mission: To provide our customers with the information and insights they need to sustain a
valua ble competitive advantage.
Our Vision: We will ena ble our people to produ ce innovative, inspirational and indispensa ble
produ cts and servi ces that will be actively sought by our clients.
2.4.Keys to Success
R epeat business with corporate customers.
Seminar -oriented sales and marketing to generate people in the seats.
Leveraging on sales and marketing allian ces.
2.5.Startup Cost
Startup Expenses
Grey Matter
Sources of Capital
Owners' InvestmentSahil A huja 50% $ 60 ,000Dragons Den 50% 60,000Total Investment $ 120,000
Startup Expenses
Capital Equipment ListFurniture $ 1,000Equipment 5,000Fixtures 500
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Other 1,000Total Capital Equipment $ 7 ,500
Location and Admin ExpensesR ental $ 1,5 00
U tility deposits 200Legal and accounting fees 500Prepaid insuran ce 500Sialaries 7,500Other 800
Total Location and AdminExpenses $ 11, 000
Advertising and PromotionalExpensesA dvertising and Promotion $ 5,000We bsite 8,000Printing 1,5 00Travel/entertainment 5,000
Total Advertising/PromotionalExpenses $ 19,500
R eserve for Contingencies $ 5,000
Working Capital $ 77 ,000
Summary Statement
Sources of CapitalOwners' and other investments $ 120,000Total Source of Funds $ 120,000
Startup Expenses
Capital equipment 7,500Location/administration expenses 11, 000A dvertising/promotional expenses 19,500Contingen cy fund 5,000Working capital 77,000Total Startup Expenses $ 120,000
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3 . Services
10 .1. How to run a successful seminar
Seminars provide a cost -effe ctive way to reach a qualified audien ce with a targeted message. The
impa ct of a seminar lies in its timeliness, its relevan ce to customer needs, and its call to action. Seminars can be:
y Informative - Seminars tend to be viewed by attendees as an opportunity for them to
o btain information a bout produ cts or solutions they are considering pur chasing. Plus,
seminars add the kind of quality and value that can lead to further pur chases.
y Controlled - The location, timing, and su b ject matter of a seminar are all planned in
advan ce. This gives you the time to plan your approa ch and develop precise messages to
present to your audien ce.
y Solution -driven - U nlike a produ ct demonstration, which focuses on produ ct features, a
seminar should concentrate on the benefits your solutions can deliver. Time is spent
identifying the audien ces needs and on how the produ ct benefits provide a solution to
meet those needs.
y A ctiona ble - Seminars should provide key produ ct takeaway messages to the audien ce,
and close with a clear c all to action or next step, motivating attendees to pur chase or evaluate produ cts.
10 .2. The steps for an effective seminar
Following these steps will help ensure that your seminar is successful:
1. D efine your goal
Its important to consider your business o b jective for hosting a seminar it will keep you
focused on your ultimate goal. You can start by asking yourself the following questions:
y What are we trying to accomplish with this seminar?
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y Do I have a strong message and clear value to deliver to my customers?
y A m I prepared to follow up interested customers and take on new business?
y How will I measure the effe ctiveness of the time and money invested in this seminar?
2. Choose a topic
Once you have identified your business o b jective, its important to pick an appropriate topic.
Keep the following in mind:
y Promote your strengths. Make sure youre presenting a topic aligned with your core
competen cies as a technology provider.
y Keep your audien ce in mind. Tailor the su b ject to their business issues and needs.
y Convey your message clearly and well.
3 . D evelop your content
The content of your seminar will be the most critical aspe ct of hosting an effe ctive event.
Identify and target the appropriate audien ce - I ts critical your seminar is relevant to the audien ce
at hand. You should consider varia bles such as:
y Customer size (in terms of both employees and computer desktops)
y Customer location
y Verti cal industries
y B usiness needs
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You then need to determine your mailing list quantities and sour ces. Work backwards from your
target num ber and quality of attendees; calculate how many invitations youll need to send to
reach that goal. R emem ber to allow for some drop -off. A pproximately 25% of the people who
register for your seminar wont actually attend.
Your own data base may be the best sour ce of data. Even if it needs some cleaning to qualify the
relevan ce of the seminar content to the customer (conta ct data can churn up to 20% a year), this
has the advantage of improving the accuracy of communi cations for this and other campaigns.
The location, timing, and su b ject matter of a seminar are all planned in advan ce. This gives you
the time to plan your approa ch and develop precise messages to present to your audien ce.
The list of customers who attend your event is extremely valua ble. A fter your seminar, each
attendee should receive a thank you note reminding them of your offerings and conta ct
information. You should also consider customers that were una ble to attend or failed to attend on
the day.
10 .3 . Our Seminars
Our own seminars are:
B usiness Planning
What is business plan?
Writing a business plan
U sing a plan
Marketing Planning
What is marketing plan?
Writing a marketing plan
U sing a plan
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Entrepreneurship
How to start your own business
B usiness start -ups in general
Managing the start -up company
Finan cing a new business.
Developing a We b strategy
A successful We b business
A successful store
Hundreds of affiliates
We b revenues
We b profits.
10 .4. Their Seminars
We understand the burden that planning and implementing an event can place on an
organization. Months of planning and proje ct management can drain valua ble time and
resour ces.
Our remit is to deliver ease of management through a single point of conta ct, com bined with best
allo cation of budget resour ces through our professional negotiations with suppliers.
We can provide this with no additional cost impli cations to an organization.
With Grey Matter youll gain:
Sole project focus
R ealisti c allo cation of budget and improved negotiation powers with suppliers
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A single point of conta ct to work with
A defined project plan, with critical path maps
A dhesion to times cales
Proje ct management implementation
Event logisti cs
Co -ordination of event marketing and pu blicity
A dditional resour ces to manage event administration
We already enjoy relationships with suppliers, our clients can gain from this and we will earn our
fees from contra cts with suppliers. The costs to the business are the same as they would pay without our help and they will therefore save a considera ble amount of their own time.
10 .5. Fulfillment
Grey Matter presentations will only be given by true experts, either Sahil A huja himself or
su bstitutes with proven track record, academi c background, and practical business experien ce.
They must be good speakers and good seminar leaders. We cannot afford to have anything but
the best.
We cannot afford to compromise quality with second -rate delivery. A lways the best equipment,
always well prepared, well rested, and well delivered. This is vital.
10 .6. Future Services
We will remain aware of new technologies that might lead to new servi ces, such as the online
seminar or video/C D seminar that can be packaged and made availa ble to our clients.
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4. Operations
4.1. IT equipment
Grey Matter would need the latest IT system for its operations as almost all of the work will be
done through computers such as sending emails, maintaining data base, creating brochures of
seminars, etc. Company will spend ample amount of money on buying new systems with a
strong server to hold all the information.
4.2. Communication
Grey Matter will get a corporate conne ction from Vonage whi ch runs on VOIP and will allow us
to call anywhere in North A meri ca and 60 countries in the world on a single monthly bill
payment system that is far cheaper than using any normal corporate package from B ell, R ogers,
etc.
4.3 . Customer service and support
Company will make sure that it provides the best possi ble customer support for smooth running
of seminars and after sales feed back system whi ch will help us in improving for future events
and retaining them for future seminars. This will be backed by our intera ctive we bsite whi ch will not only provide information a bout our upcoming events, but will also guide interested clients to
register or to make suggestions for future.
4.4. Production
The produ ction department of any seminar company is its back bone. If you cant create a good
topic then it does not matter how strong sales and marketing team you have, the seminar will fail
for sure. Our experien ced produ ction team will remain in constant tou ch with industry experts
that will usually visit our seminars as speakers to produ ce such events that are asked by the
clients.
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R unning a successful seminar takes a good deal of planning, so it pays to start early. The
timeline below includes some key milestones you will need to hit if you are going to be fully
prepared.
8 to 10 weeks prior to the event
y Finalize topic.
y B egin creating event content.
y Che ck availa bility for guest speakers.
y Start collating your target list.
y Design your invitations. Define and begin creation of event giveaways
y B ook stands and backdrops.
7 weeks
y Continue working on content.
y Determine the registration process for attendees (online, e-mail, telephone)
y Complete the design / produ ction of your invitations.
6 weeks
y Finalize the content.
y Create event collateral (company brochures, produ ct overviews, etc.)
y Mail your invitations.
y A rrange food and beverages as appropriate.
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4 weeks
y A nalyze registration data and invite more attendees if appropriate.
y Create event evaluation form.
y Che ck your event giveaways will be delivered on time.
2 weeks
y Send an invitation reminder at the end of the week.
y Visit the venue and ensure that all the audiovisual equipment is working properly.
y Secure a registration ta ble for check -in and collateral.
1 week
y R ehearse your presentation 7 to 8 times.
y Create badges with the name and company name for all attendees.
y Consolidate all your collateral.
Day of event
y A rrive early.
y Che ck all equipment at least one hour prior to event.
y Wel come all your guests as they enter the seminar room.
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5. Market Analysis
Seminar is, generally, a form of academi c instru ction, either at an academi c institution or offered
by a commer cial or professional organization. It has the function of bringing together small
groups for recurring meetings, focusing each time on some particular su b ject, in whi ch everyone present is requested to actively participate. Increasingly, the term "seminar " is used to descri be a
commer cial event (though sometimes free to attend) where delegates are given information and
instru ction in a su b ject such as property investing, other types of investing, Internet marketing,
self -improvement or a wide range of topics, by experts in that field.
There are several separate markets for our seminar:
Corporations with interest in improving the planning of groups or individuals either
inside the corporation or related to the corporation. The most o bvious are the larger
corporations that market through separate channel entities, such as distri butors selling to
dealers, manufa cturers selling through dealers.
Owners and managers of smaller - or intermediate -sized businesses.
Individuals looking to either start their own businesses or improve their business planning
skills and knowledge.
The market for produ cing seminars for others includes just a bout every business in Statesville.
10 .1. Target Market Segment Strategy
Many businesses, particularly larger companies, hold annual conferen ces and seminars,
which bring together delegates from national and international branches. These events typi cally include spee ches by guest speakers, and often feature evening entertainment for
the delegates. B usinesses also arrange conferen ces and seminars for team -building,
training and management development purposes.
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Many businesses are now focusing on building staff and client loyalty, and boosting
morale, by holding regular corporate hospitality events. These often take the form of
entertainment days, where staff and / or clients may engage in group games and activities.
Traditionally, these took the form of participation -based sports, such as paint -balling and
survival courses; however, businesses are increasingly tailoring hospitality events to cater for all employees and clients. Events may consist of optional team games, or may allow
delegates to enjoy golf, fishing or other sporting activities.
Manufa cturing and retail businesses may choose to host or participate in trade
exhi bitions, produ ct laun ches, sales and marketing conferen ces, and produ ct
demonstrations. These trade exhi bitions, which bring buyers and sellers into dire ct
conta ct, are a key element of the events industry, and range from large, national
consumer events such as the annual Ideal Homes exhi bition, to smaller -scale private trade
exhi bitions and seminars.
You may be approa ched by politi cal parties or MPs who wish to organize a conferen ce,
seminar or lecture. A cademi c institutions also host and take part in special lectures and
conferen ces.
Professional industries, such as the health care, pharma ceuticals, education, science,
finan ce, sales and marketing sectors, regularly attend conferen ces and conventions. Equally, sectors that command a large sales for ce, such as fast -moving consumer goods
(FMCG) businesses, often arrange conferen ces, as this can be a good way for sales
representatives from the field to meet and network. Trade asso ciations may also organize
an annual conferen ce for their mem bers - see www.taforum.org for a dire ctory of these.
Charities, societies and amateur clu bs may approa ch you to help them organize an annual
conferen ce, de bate, fundraising event or dinner. These organizations may be working
with a limited budget, but may still choose to enlist the help of a professional events organizer. Similarly, student groups who are organizing fundraising events, de bates or
lectures may also approa ch you for guidan ce.
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Multinational companies and international asso ciations may organize regular conferen ces
for their workers and mem bers. These are usually held in major cities, and tend to be
handled by large, national events management companies.
Finally, advertising and pu blic relations (PR ) agen cies are often asked to organize
promotional events and produ ct laun ches on behalf of their clients, and may outsour ce
some aspe cts of this work to an independent events organizer.
For the corporate market we need to focus on specific companies with spe cific opportunities.
They should all be companies that work with independent channel points, because these are the
most likely buyers. Channel development or channel marketing is the main jo b area for the first
push. For small and medium businesses we need to focus on organizations that can lever our
market offering: the A meri can Management A ssociation, for example, the A ICPA , trade
asso ciations and industry asso ciations and perhaps some magazine pu blishers.
A ccording to datamonitor, total num ber of corporate seminars held in Canada in 2009 exceeded
5,000 . This figure has remained constant since 2007 majorly due the bu bble burst in the finan cial
market around the world. Seminar market is expe cted to grow at a slow pace of 1.2% for the next
two years, but there are many new areas that can be explored such as oil and gas, go green, etc.
that are expe cted to grow at a rapid pace. With average attendees in one seminar is 40, we can
assume that 200 ,000 people attended seminars in Canada in the year 2009 .
Grey Matter has some focused areas/industries that will be targeted and that is assumed to be
15% of the total size for the first year that will bring the total to 30,000 . In the second year Grey
Matter will target potential clients in U SA whi ch will increase by three times to 90,000 . Seminar
industry average shows that 4-5% of total people conta cted attend the seminar which makes this
industry very attra ctive if you have good upcoming seminars in the pipeline.
10 .2. Market Needs
The underlying need is accelerated learning:
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Developing businesses is not a skill people normally include in standard curricula for standard
education, it is a skill considered ad-hoc, a specialized skill developed and exer cised for a
specialized task.
Those who don't have time for academi c learning may still need to develop businesses and our
seminars give them a chance to gain familiarity in a few hours. Com bined with business
software, they can move forward and redu ce the fear, break the pattern of procrastination, and
move ahead with their planning.
In some market niches, seminars may serve their participants as continuing education required by
professional licensors. This could be true for CPA s, for example, or attorneys.
In the large corporation context, there are additional market needs. Companies that market
through channel partners need three things related to business plans:
1. B usiness information from the channel partners a bout business conditions, plans,
proje ctions, and business programs.
2. Consisten cy of num bers, definitions, business models, fore casts, and analysis.
3. U seful realisti c planning.
4. Occasions suita ble for regular meetings with events --such as business plan seminars --
that can attra ct independent small businesses to attend those meetings. They use the
meeting to announ ce new produ cts, marketing programs, etc. Meetings are often held in
attra ctive vacation locations so channel partners can com bine business with vacations.
10 .3 . Market Growth
We have no indication of market growth in this pulverized and diffuse market. No statisti cs are availa ble. What we do know is that there is growth potential, and plenty of potential market.
The seminar business is very diverse. It ranges from the high end, colleges and universities and
some consulting companies offer serious multi -day seminars in planning and strategi c planning
for hundreds and even thousands of dollars.
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The seminar business is also very diverse. It ranges from high -end seminars lasting more than a
day and costing more than $1,000 to free sales pitches intended to draw would be entrepreneurs
for the purpose of selling produ cts.
10 .4. Competition and Buying Patterns
A t the high end, colleges and universities and some consulting companies offer serious
multi -day seminars in planning and strategi c planning for hundreds and even thousands
of dollars.
There are also very serious seminar offerings from organizations such as the A MA , A ICPA , etc. These tend to cost a bove $500.
U seful seminars are offered as well by SB DCs, smaller colleges and universities,
community colleges, and even high school night school programs. Many of these are free,
or close to free.
There are also related seminars offered by vendors of get -rich-quick schemes and multi -
level marketing programs. These unfortunately add noise to the market; confuse potential
participants between real values and thinly disguised sales pitches.
10 .5. Competitor Analysis:
Competitors Strengths Weaknesses USP R eviews Accessibility Customer
Base
Marcus
Evans
Presen ce
in 40
countries
More stress
on
conferen ces
and
hospitality
events
S ponsors of
Soccer clu bs
Fair Offices in
major cities
in North
A meri ca
Good
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AMA Huge
customer
base
Limited to
training
seminars
only
Technologi cally
advan ced with
live video
training
glo bally
Fair 24/7 online
availa bility
Excellent
Skillpath Widest
range and
largest
num ber
of
seminars
in Canada
Too
diversified
CEU and CPE
credits received
on attending
training
seminars
Excellent Office in
every
provin ce in
Canada
Good
Seminar
Canada
Canada
specific
seminars
Lack of
glo bal
experien ce
U p to date
trainings for
Canada only
companies
Fair Only by mail Fair
The way this business is positioned, we should try to work with our main competitors, instead of
compete with them. A MA , A ICPA , and business schools could be co-sponsors and allies rather
than competitors.
Competitors such as Mar cus Evans and Seminar Canada will not pose as dire ct threat to Grey
Matter, as Mar cus Evans as a company is too diversified and focuses on expensive conferen ces
and their main earning department is The Hospitality Group (THG). On the other hand, Seminar
Canada is restri cted to companies and individuals who look for solutions only in Canadian local
market.
U SP for few companies could not be determined sue to lack of information on their respe ctive
we bsites. The analysis is qualitative and based on personal o bservation of the material whi ch was
readily availa ble and also due to lack of quantitative material. Other competition would be
business plan consultants, and in a sense all low -end business plan seminars.
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10 .6. Competitive Comparison
B usiness plan seminars run from free seminars intended to sell produ cts or servi ces to high -end
seminars sponsored by the A meri can Management A sso ciation and similar organizations.
We don't feel that the market is well covered. For a broader view of competition, we look at both
other seminars and other competing offerings of similar tools and know -how:
B ooks.
Magazine articles.
Classes in local junior colleges, night school, business schools.
Stand -alone software.
Low -end, often free entrepreneurial seminars. Some are offered by Small B usiness
Development Centers (SB DCs) for little or no money.
Professional seminars for $100 or more.
We understand the signifi cant commer cial investment an organizations event represents, which
is why our experien ce and specialist skills ensure they get the out come they planned.
With expertise in the industry Sahil A huja has a particular understanding of the specialist
technical demonstration requirements needed to support events for IT and High Tech
organizations.
We bring together experts in the field of A V, multi -media, stand and set design to create the best
show case for their message. We'll also take on the burden of the administration and co-
ordination of internal sponsors and external suppliers, to ensure an integrated adheren ce to the
event proje ct plan.
What's more, we'll help define event o b jectives and create the right com bination of elements to
ensure their event achieves its aims. We offer an independent viewpoint on how to communi cate
best with their delegates or audien ce.
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6. Business Model and Porters Five Forces
Money Outflow Money Inflow
S
E
M
I
N
A
R
S
A) Other Expenses
R ent Inventory Cost Internet/ Telephone Seminar room booking Flight tickets and hotel
room booking for speakers
1. Investment
Own Investment Dragons Den
2. Cash
Sale of Seminar tickets Sale of software tools S ponsors of seminar
D ) Staffing (Salaries/Wages)
B) Marketing
A dvertisement Promotions
- Offline (B anners/ Newspapers)
- Online (Internet)
C) Taxes/Legal expensesand Insurance
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Porters Five Forces:
Bargaining power of suppliers: B argaining power of suppliers is low as for Grey Matter
suppliers will be the hotels where the seminars will be held. A ll major cities have plenty of hotels
with best facilities needed for seminars. Furthermore, when a 2 day seminar will be held in a
hotel, Grey Matter will also book many rooms at the same place apart from the conferen ce room
which will give us the bargaining power.
Bargaining power of buyers: B argaining power of buyer depends on the topic of your seminar.
If the seminar is unique and based on the latest topic whi ch is in demand then the bargaining
power will remain low and if in case any competitor will hold a similar seminar during that
period then the bargaining power of buyer will be high.
Threat of new entrants: The market has low entry barriers and so far in the North A meri can
market hardly any company has fixed market share. Everything depends on your produ ction and
sales team on how you are a ble to find a good seminar topic and how well the sales and
marketing team is a ble to reach the right client.
Threat of substitutes: The only threat of a su bstitute for Grey Matter is if the targeted
companies try the in-house conferen ces and training whi ch is usually not cost effe ctive, so the
threat of su bstitutes is low.
R ivalry among competitors: Direct competition with other seminar companies is extremely
high. A lot depends on how quickly you are a ble to hold a seminar on a hot topic in the market.
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7. Strategy and Implementation
The main thrust of strategy is to lever our identifi cation with businesses to offer seminars with
real content and real value that will be useful to the participants. We understand the underlying
needs and give the customer what they really need.
10 .1. Value Proposition
In the corporate market: our clients get channel development programs that increase the quality
of channel information, enhan ce the businesses of channel partners, and improve the attendan ce
of programmed meetings, at a price commensurate with real value offered.
In the mainstream market: our clients get accelerated learning in a few hours with software to
take home that vastly increases the value and likelihood of success.
Our strategy is simple. Well undertake an initial consultation to determine the o b jectives for the
event. Well dis cuss potential themes, projected delegate out comes, technical and presentation
requirements and even review how to promote the event.
Our comprehensive report will provide venue recommendations, audien ce profiles, and options
for the shape and format of the event. Well also outline how to achieve maximum impa ct within the allo cated event budget.
Well also examine how to measure ROI and provide recommendations for final event
evaluation.
With Grey Matter a customer will get a strategi c, stru ctured approa ch to event delivery:
Initial consultation and event briefing
Consultation R eport, incorporating recommendations on event style, location and venue
Planning schedule, outlining key phases, check points and critical path plan
Proje ct Management of event implementation
Post event R eport
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Delegate follow -up
Event evaluation and assessment of future opportunities
10 .2. Competitive Edge
Our most important competitive edge is the intimate link with the business software. While other
seminars may offer their parti cipants content, we offer them both know -how and tools to use that
know -how. They walk out of the seminar with a much higher likelihood of actually using it.
10 .3 . Marketing Strategy
Target market for Grey Matter has been mentioned a bove as MNCs, Large organizations,
Individuals, politi cal parties, etc. and the marketing strategy for each segment will be customized
accordingly.
The best way to market a seminar is by reaching the potential clients at the right time and
providing them with benefits that they can get with attending a parti cular seminar. For large
companies its a bout how they can benchmark themselves in the market they operate in and/or
finding a solution for a pro blem that the whole industry is facing at any point. For individuals its
the best way to network with people of their own industry whi ch could result in jo b offers,
business deals, etc.
Our marketing strategy is based on making our value proposition known to the potential market
(through conta cts, selling, leverage with allies, and the we bsite) and focusing on the market
needs of the main potential clients. With a qualified and dedicated team we will reach out to all
potential clients via telephone and e-mails to get the best possi ble attendan ce to the seminar.
10 .4. Positioning Statement
For companies marketing through channels, our business seminars provide better planning, better
business information, and higher attendan ce at planned meetings. For entrepreneurs wanting to
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develop a business, our seminars give them an accelerated head start that enhan ces knowledge
and redu ces fear. U nlike normal seminars, ours come with software included so participants will
be much more likely to actually develop that plan, not just think a bout it.
10 .5. Pricing Strategy
Our seminars should be priced a bove the medium, but not so high as to rule out participation
from entrepreneurs. We aim for $500 per participant in the mainstream seminars, and $4,000 per
day in the corporate market.
10 .6. Marketing Programs
The we bsite.
Email newsletter list.
A llian ces with key organizations including SB DC, Cham bers of Commer ce, SCORE ,
A ICPA and A MA .
10 .7. Sales Strategy
We need to be a ble to offer schedules and agendas off of our we bsite, from whi ch we can
register clients as easily as possi ble. We should also set up a toll-free num ber to take
registrations, pro ba bly through an answering servi ce until the sales and marketing manager is on
board.
10 .8. Strategic Alliances
Strategi c allian ces will be critical to this business. We need to develop allian ces with
entrepreneurial we bsites, SB DCs, A ICPA , A MA , and others.
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10 .9. Milestones
We bsite plan
We bsite implementation
R ecruit marketing person
Sales conta cts and networking
Initial marketing
First corporate seminar
Second corporate seminar
First seminar for another business
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8. R isk Analysis
R isks Mitigation Plan
External- R ecession
Strong tie-ups with sponsors
Internal- Technologi cal o bsolen ce
Constant upgrading with reserve funds for technologi cal advan cement
R isk analysis is a formal process of determining risks and developing a plan to deal with them.
For Grey Matter to run smoothly, it is important to cover these internal and external risks that
can affe ct any business seminar company. One of the external risks is R ecession whi ch can
dire ctly affe ct sales and could even lead to closure of business. This is why Grey Matter will
keep strong tie-ups with its sponsors of the seminars so that if such a situation arises then the
company will have an option to cut down on the prices of the seminar tickets for full participation and get all the costs covered from the Platinum, Gold and Silver S ponsor packages.
Grey Matter relies heavily on technology, such as its we bsite and high speed internet for sales of
tickets and providing live streaming of seminars to delegates who cannot travel. B est measures
will be taken to regularly upgrade all systems, including a year round contra ct with a tech
support company to manage the we bsite and other online related servi ces.
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3 0
9. Future Expansion Strategy
10 .1. Future Expansion Strategy:
Grey Matter aims at becoming a known and respe cted seminar company in the North A meri can market in next three years. Following steps will be taken to reach that mark:
y O pen a new offi ce in NYC, U SA by the end of second year y R each an average of 40 seminars per year by 2013 y Sales and marketing team size to reach 30 by third year
10 .2. Balance Scorecard:
Summary: This is Grey Matters balanced score card showing its o b jectives whi ch the company will attain in next five years.
Strategic Areas of Focus
Strategic Objectives PerformanceMeasures
Initiatives
Customer y Increase Market Share
y Improve B rand Image
y Market Share y B rand A wareness
y Cheaper Seminar Tickets
y Social Media and Cold Calling
Financial y Increase R evenue y
Decrease cost
y R evenue y
O perating Costs
y S ponsors y
Sale of Seminar and Software Tickets
Learning andGrowth
y Enhan ce use of technology
y Improve R esear ch for Produ ction of
New Seminars
y Technology Gap A nalysis
y Total Num ber of A pproved Seminars
y Online Order and Pur chasing O ptions
y Service Training
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10 . Web Plan Summary
A s with so many similar businesses, the we bsite is a critical part of the marketing plan.
Potential clients expe ct it. The we bsite will be used to generate leads and to close sales through
reinfor cement and information.
10 .1. Website Marketing Strategy
The main we bsite marketing strategy is sear cher placement. We depend on careful sear cher
strategies with the main sear chers. Placement is critical. There is no budget for banner
advertising.
The second main promotional strategy is the we bsite allian ce. We will need to esta blish
affiliations with key related sites, offering valua ble content in return for strategi c placement.
10 .2. D evelopment R equirements
The we bsite will be mainly information, emphasizing event schedules, agendas, qualifi cations and online registration. The most complex portion of it will be the online form for registration.
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11. Management Summary
This is a small company with three employees in the management team: founder, sales and marketing manager, and produ ction manager. Grey Matter will hire few more people in the sales and produ ction team to work under the department heads.
11.1. Management Team
Sahil Ahuja , 28, is the founder of Grey Matter and prior to his post graduate certifi cate at Hum ber has worked in a seminar company for more than 4 years in different departments including produ ction, sales and marketing. His knowledge in seminar business covers oil and gas, finan ce, and IT industry which is backed by his bachelor degree in Software engineering and a masters degree in Finan ce A ccounting and Management from U niversity of B radford, U K.
This strong experien ce will help the company in the initial stage of targeting the right industries and his leadership skills will help the company in developing a strong team with all necessary training that would be required by a new employee.
Gibril George , 34, is the sales and marketing manager of Grey Matter and has been in the event and seminar industry for 10 years. He has worked with some of the big companies like Mar cus Evans, IQPC in the past and has brought along a huge data base of clients whi ch is crucial for the company. He has managed teams of more than 50 people and is a great motivator, leader and a
successful salesman. He will be responsi ble for hiring as most of the jo bs offered in the end of first year will join Gi bril on the floor.
Elina Gordon , 32, will head the produ ction department for Grey Matter. Her strong relations with several industry experts will let the company enjoy the privilege of having them as speakers for its seminars. Her previous work involved resear ching new topics, writing detailed programs, acquiring industry experts to speak and then briefing sales, sponsorship and marketing teams. She holds a master degree in marketing from U niversity of Leeds.
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11.2. Wage Slab
Position Wage and commission Total Income
Head e-marketing/ A dministration
$2,500 basic plus 10% commission on sponsorship
$30,000 plus 10% commission on sponsorship
Head of Sales $2,000 basic plus 5% commission on team sales
$24 ,000 plus 5% commission on team sales
Head of Produ ction $3,000 basic plus $20 per delegate
$36,000 plus $20 per delegate
Sales Team $1,5 00 basic plus 10% commission on sales
$18,000 plus 10% commission on sales
11. 3 . Management Team Gaps
This business plan depends on finding the right sales and marketing person. This is a full -time jo b with a good future. Grey Matter believes that equal opportunity in employment for all sections of society is a component of its growth and competitiveness. It further believes that inclusive growth is a component of growth and development of the country
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12. Financial Plan
The finan cial plan depends on initial investment of $60 ,000 from the founder plus $60 ,000 from
Dragons Den for whi ch they will be offered 25% stake in the company. The rest of the finan cial
plan is reasona bly conservative, but there does have to be money at risk.
12.1. Key Financial Indicators
1. Income Statement: The income statement for the first year shows a loss of $12,270 . In the
first year of its operations Grey Matter would need to invest in equipment, we bsite, licensing and
a lot of money will be put into advertising and promotion for the company. In the second and the
third year proje ctions Grey Matter is making profits as it is assumed that the num ber of seminars condu cted will increase by 25% and the company would not need to spend the similar amount of
money on advertising as in the first year. It is also assumed that the cost of holding a seminar
will redu ce due to strong tie-ups with hotels as they will receive regular business. See appendi ces
for monthly Income Statement (P&L S tatement) for 2011 and a three year Income Statement.
2. 12 Month Cash Flow Statement: Cash flow statement shows the amount of cash that Grey
Matter has at the beginning and covers all fixed expenses that the company will bear during the
finan cial year. A s mentioned in the plan earlier that it takes more than a month for a seminar company to produ ce an event, so the sales for the first month will be $0. The cost of organizing a
seminar for the first year will remain almost constant at 40.1% and it is assumed that over the
year Grey Matter will manage to have total sales of $250,255 with a cost of $100,525. Cash flow
statement will show a strong surplus as it is a bsolutely essential for a servi ce industry to keep a
considera ble amount of cash in hand.
3 . Sales Forecast: With no sales in the first month Grey Matter will start slow with only 1
seminar in the second month, but the company will grow strongly during the first year of its operation with assumed 26 seminars by the 12th month. A part from seminar sales the company
will also sell software tools that will help the clients in getting the right solution for the pro blems
that the particular industry would be facing at that time. It is assumed that a single corporate
event would go for $4,000 and for a standard event participants will be charged for individual
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tickets. Sahil A huja will be responsi ble for closing deals of sponsors for the seminars that are
categorized as Platinum, Gold and Silver ($10K, $5K and $3K) and it will attra ct business
solution providers to network with other participants and will also get a chance to speak at the
event. A ll calculations are provided in detail in the appendi ces.
4. Balance Sheet: Proje cted balan ce sheet for the year ending 2011 shows the total assets of
$371,485 which includes the remaining cash of $113, 730 out of the initial investment of $120K.
The cash figure has gone down due to our assumption that the company will bear losses in the
first year whi ch is quite common for new businesses irrespe ctive of the industry.
5. Break Even Analysis: B ased on all assumptions it is calculated that to breakeven Grey Matter
would need to reach the sales level of 484 ,286 . Calculating through the figures in the breakeven
analysis ta ble in the appendi ces we can assume that the company will tou ch the breakeven point
in mid of second finan cial year (2012).
6. R eturn on Investment ( R OI): R eturn on investment is calculated by dividing Net Income by
B ook Value of A ssets. B elow are the proje cted ROI for three finan cial years:
2011 ($12,270 )/$162,000 = -0 .076
2012 $12,864 /$171,700 = 0 .075
2013 $46,199/$188,415 = 0.24
This indicates that even though the ROI for the first year is in negative, Grey Matter will start
earning in the second year and with ROI of 0.075 and strong growth is assumed for the third year
as well taking ROI to 0.24.
These assumptions are reasona bly made, but still manage to come up with a strong 24% ROI b y
the third year whi ch shows that Grey Matter will be a profita ble company to invest. Please refer
to the appendix section for all finan cial statements.
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Appendix
SALES FOR
ECAST
MONTH1
MONTH2
MONTH3
MONTH4
MONTH5
MONTH6
MONTH7
MONTH8
M
UNIT SALESCorporateEvents 0% 0 1 0 2 0 0 0 0 Corporateunits 0% 0 15 2 30 5 5 5 5 StandardEvents 0% 0 0 1 0 2 2 2 3 Participants 0% 0 0 15 0 30 35 35 75Other 0% 0 0 0 0 0 0 0 0 TOTAL UNITSALES 0 16 18 3 2 3 7 42 42 8 3
UNITP R ICES
MONTH1
MONTH2
MONTH3
MONTH4
MONTH5
MONTH6
MONTH7
MONTH8
M
CorporateEvents $4,000.00 $4 ,000.00 $4 ,000.00 $4 ,000.00 $4 ,000.00 $4 ,000.00 $4 ,000.00 $4 ,000.00 $4Corporateunits $90 .00 $90 .00 $90 .00 $90 .00 $90 .00 $90 .00 $90 .00 $90 .00 $9StandardEvents $0.00 $0 .00 $0 .00 $0 .00 $0 .00 $0 .00 $0 .00 $0 .00 $0Participants $495.00 $49 5.00 $49 5.00 $49 5.00 $49 5.00 $49 5.00 $49 5.00 $49 5.00 $4
Other $0.00 $0 .00 $0 .00 $0 .00 $0 .00 $0 .00 $0 .00 $0 .00 $0
SALESCorporateEvents $0 $4 ,000 $0 $8 ,000 $0 $0 $0 $0 $8Corporateunits $0 $ 1,35 0 $180 $2 ,700 $4 50 $450 $450 $450 $4
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StandardEvents $0 $0 $0 $0 $0 $0 $0 $0 $0 Participants $0 $0 $7 ,425 $0 $ 14,850 $17,325 $17,325 $37,125 $3Other $0 $0 $0 $0 $0 $0 $0 $0 $0 TOTALSALES $ 0 $5, 3 50 $7,6 0 5 $1 0 ,700 $15, 300 $17,775 $17,775 $ 3 7,575 $4
D IR ECTUNIT COSTS
MONTH1
MONTH2
MONTH3
MONTH4
MONTH5
MONTH6
MONTH7
MONTH8
M
CorporateEvents 0.00% $500.00 $ 500.00 $ 500.00 $ 500.00 $ 500.00 $ 500.00 $ 500.00 $ 500.00 $ 5Corporateunits 0.00% $75.00 $7 5.00 $7 5.00 $7 5.00 $7 5.00 $7 5.00 $7 5.00 $7 5.00 $7StandardEvents 0.00% $2,000.00 $2 ,000.00 $2 ,000.00 $2 ,000.00 $2 ,000.00 $2 ,000.00 $2 ,000.00 $2 ,000.00 $2Participants 0.00% $100.00 $ 100.00 $ 100.00 $ 100.00 $ 100.00 $ 100.00 $ 100.00 $ 100.00 $ 1Other 0.00% $0.00 $0 .00 $0 .00 $0 .00 $0 .00 $0 .00 $0 .00 $0 .00 $0
DI
R ECTCOST OF
SALESCorporateEvents $0 $ 500 $0 $ 1,000 $0 $0 $0 $0 $ 1Corporateunits $0 $ 1,125 $150 $2 ,250 $375 $375 $375 $375 $3StandardEvents $0 $0 $2 ,000 $0 $4 ,000 $4 ,000 $4 ,000 $6 ,000 $6Participants $0 $0 $ 1,500 $0 $ 3,000 $ 3,500 $ 3,5 00 $7 ,500 $7Other $0 $0 $0 $0 $0 $0 $0 $0 $0 SUBTOTALD IR ECT
COST OFSALES $ 0 $1,625 $ 3 ,65 0 $3 ,25 0 $7, 3 75 $7,875 $7,875 $1 3 ,875 $1
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PR O FO R MA P R OFIT AN D LOSS 2 0 11
MONTH1
MONTH2
MONTH3
MONTH4
MONTH5
MONTH6
MONTH7
MONTH8
MO
SALES $ 0 $5, 3 50 $7,6 0 5 $1 0 ,700 $15, 300 $17,775 $17,775 $ 3 7,575 $49,D irect Cost of Sales $0 $ 1,625 $3,650 $3,250 $7 ,375 $7,875 $7,875 $13, 875 $18OtherProductionExpenses $3,000 $ 500 $0 $0 $0 $0 $0 $0 $0 TOTAL COSTOF SALES $ 3 ,000 $2,125 $ 3 ,65 0 $3 ,25 0 $7, 3 75 $7,875 $7,875 $1 3 ,875 $18,
Gross Margin ($3,000) $3,225 $3,955 $7,450 $7 ,925 $9,900 $9 ,900 $2 3,700 $ 31
EXPENSESPayroll $7,500 $7 ,500 $7 ,500 $7 ,500 $7 ,500 $7 ,500 $7 ,500 $7 ,500 $7 ,5
Sales andMarketing andOther Expenses $5,000 $4 ,000 $2 ,500 $2 ,500 $2 ,500 $2 ,500 $2 ,500 $2 ,500 $2 ,5D epreciation $0 $0 $0 $0 $0 $0 $0 $0 $0 Utilities $200 $200 $200 $200 $200 $200 $200 $200 $200 Insurance $500 $0 $0 $0 $0 $0 $0 $0 $0 R ent $1,5 00 $ 1,5 00 $ 1,5 00 $ 1,5 00 $ 1,5 00 $ 1,5 00 $ 1,5 00 $ 1,5 00 $ 1,5Payroll Taxes 15% $1,1 25 $1,1 25 $1,1 25 $1,1 25 $1,1 25 $1,1 25 $1,1 25 $1,1 25 $1,1Website $8,000 $0 $0 $0 $0 $0 $0 $0 $0
TOTALOPE R ATINGEXPENSES $2 3 ,825 $14, 3 25 $12,825 $12,825 $12,825 $12,825 $12,825 $12,825 $12,825
Profit BeforeInterest andTaxes ($26 ,825) ($11,1 00) ($8 ,870) ($5,3 75) ($4 ,900) ($2 ,925) ($2 ,925) $10,875 $18EBIT D A ($26 ,825) ($11,1 00) ($8 ,870) ($5,3 75) ($4 ,900) ($2 ,925) ($2 ,925) $10,875 $18
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Taxes Incurred $0 $0 $0 $0 $0 $0 $0 $0 $0
NET P R OFIT ($26,825) ($11,1 00 ) ($8,87 0 ) ($5, 3 75) ($4,9 00 ) ($2,925) ($2,925) $1 0 ,875 $18,
Profit and Loss Projection ( 3 Years)Grey Matter
20 11 % 2 0 12 % 2 0
Sales $ 250,255 100.00% $ 312,819 100.00% $ 391,02
Cost of Sales 100,525 40.17% 128,255 41.00% 156,41
Gross Profit $ 149,730 59.83% $ 184,564 59.00% $ 234,61
Operating ExpensesSalary (Office &Overhead) $ 90 ,000 35.96% $ 99 ,000 31.65% $ 108,90
Payroll (taxes etc.) 13,5 00 5.3 9% 14,850 4 .75% 16,33
A dvertising 28,000 11.1 9% 30,800 9 .85% 33,88
We bsite 8,000 3.20% 2,500 0 .80% 2,50
A ccounting and Legal 500 0 .20% 500 0 .16% 50R ent 18,000 7 .19% 19,800 6 .33% 21,78
Telephone 1,500 0 .60% 1,650 0 .53% 1,81U tilities 2,000 0 .80% 2,100 0 .67% 2,20
Insuran ce 500 0 .20% 500 0 .16% 50
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Interest - 0 .00% - 0 .00%Depre ciation - 0 .00% - 0 .00%
Other expense (specify) - 0 .00% - 0 .00%Total Expenses $ 162,000 64 .73% $ 171,700 54.89% $ 188,41
Net Profit Before Tax (12,270 ) 12,864 46 ,19Income Taxes - -
Net Profit After Tax (12,270 ) 12,864 46 ,19Owner D raw/D ividends - -
Adj. to R etainedEarnings $ (12,270 ) $ 12,864 $ 46 ,19
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PR O FO R MA CASH FLOW 2 0 11
MONTH1
MONTH2
MONTH3
MONTH4
MONTH5
MONTH6
MONTH7
MONTH8
CASHR ECEIVE D
Cash fromOperations
Cash Sales $0 $ 5,35 0 $7 ,605 $10,700 $ 15,3 00 $ 17,775 $17,775 $37,575
SUBTOTALCASH F R OMOPE R ATIONS $ 0 $5, 3 50 $7,6 0 5 $1 0 ,700 $15, 300 $17,775 $17,775 $ 3 7,575
Additional CashR eceived
Sales Tax, VAT,HST/GSTR eceived 0.00% $0 $0 $0 $0 $0 $0 $0 $0 $
Sales of OtherCurrent Assets $0 $0 $0 $0 $0 $0 $0 $0 $
Sales of Long-term Assets $0 $0 $0 $0 $0 $0 $0 $0 $
New InvestmentR eceived $0 $0 $0 $0 $0 $0 $0 $0 $
SUBTOTALCASHR ECEIVE D $0 $5, 3 50 $7,6 0 5 $1 0 ,700 $15, 300 $17,775 $17,775 $ 3 7,575
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EXPEN D ITU R ESMONTH
1MONTH
2MONTH
3 MONTH
4MONTH
5MONTH
6MONTH
7MONTH
8
Expendituresfrom Operations
Cash Spending $7,500 $7 ,500 $7 ,500 $7 ,500 $7 ,500 $7 ,500 $7 ,500 $7 ,500
Sales andMarketing andOther Expenses $5,000 $4 ,000 $2 ,500 $2 ,500 $2 ,500 $2 ,500 $2 ,500 $2 ,500
Cost of Sales $0 $ 1,625 $3,650 $3,250 $7 ,375 $7,875 $7,875 $13, 875
Insurance $500 $0 $0 $0 $0 $0 $0 $0 $
R ent $1,5 00 $ 1,500 $ 1,5 00 $ 1,500 $ 1,500 $ 1,5 00 $ 1,500 $ 1,5 00
Payroll Taxes 15% $1,1 25 $1,125 $1,1 25 $1,125 $1,125 $1,1 25 $1,125 $1,1 25
Total CapitalEquipment $7,500 $0 $0 $0 $0 $0 $0 $0 $
SUBTOTALCASH SPENT $2 3 ,125 $15,75 0 $16,275 $15,875 $2 0 ,000 $20 ,500 $20 ,500 $26,5 00
NET CASHFLOW ($2 3 ,125) ($1 0 ,400 ) ($8,67 0 ) ($5,175) ($4,7 00 ) ($2,725) ($2,725) $11, 0 75
CASHBALANCE $96,875 $86,475 $77,8 0 5 $72,6 30 $67,9 30 $65,2 0 5 $62,48 0 $73 ,555
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Breakeven Analysis
Cost D escription Fixed Costs ($) Variable Expenses (%)
Salaries 90,000 10.0
Payroll Taxes 13,5 00 10.0
Supplies 500 0.0
Equipment 5,000 5.0
A dvertising and Promotion 28,000 10.0
We bsite 8,000 5.0
A ccounting and legal 500 0.0
R ent 18,000 10.0
Telephone 1,5 00 10.0
U tilities 2,000 5.0
Insuran ce 500 0.0
Contingen cy Fund 2,000 0.0
Total Fixed Expenses$
169,500
Total Variable Expenses 65.0
Breakeven Sales level = 484286
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Balance Sheet (Projected)Grey Matter
Projectedas of 03/31/ 2012
Assets
Current AssetsCash in bank $ 113, 730A ccounts receiva ble 250,255 Other current assets -Total Current Assets $ 363,985
Fixed AssetsEquipment $ 5,000Furniture & fixtures 1,000
(LESS accumulated depre ciation on all fixed assets) -
Total Fixed Assets (netof depreciation) $ 6,000
Other AssetsIntangi bles $ -Deposits -Goodwill -Other 1,500Total Other Assets $ 1,500
TOTAL Assets $ 371,485
Liabilities and Equity
Current Liabilities
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A ccounts paya ble $ 100,525 O perating Expenses 148,500Taxes paya ble 13,5 00
Notes, short -term (due within 12 months) -Current part, long -term de bt -Other current lia bilities 1,230Total CurrentLiabilities $ 263,755
Long-term D ebtB ank loans paya ble $ -
Notes paya ble to stockholders -LESS : Short -term portion -Other long term de bt -
Total Long-term D ebt $ -
Total Liabilities $ 263,755
Owners' EquityInvested capital $ 120,000R etained earnings -
beginning R etained earnings -current (12,270) Total Owners' Equity $ 107,730
Total Liabilities &Equity $ 371,485
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