TouchUp Inc

TouchUp Inc.

Business PlanJesus Aguirre

Jaguirre2@eiu.edu(708) 473-9068

Cary Fisher cnfisher@eiu.edu

(708) 299-2639

Corey Fishercjfisher@eiu.edu(708) 299-2635

Joey Re’jare@eiu.edu

(815) 954-3361

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“The Indesign for Shoe Design”.

2027 W. North Ave.Chicago IL 60647(708) 299-2635November 28, 2015

Dear Financial Investors,

We are a shoe repair service that will be in the Chicago area to help college students and others help repair and customize some of the favorite shoes. The name of the shoe repair service is “TouchUp Inc.”. TouchUp Inc. will be located on 2027 W. North Ave. in the upper division of Chicago, IL. This letter is a formal is a formal offer for you to invest in our company. We have done extensive market research and know that without a doubt, our company will prove to be huge success fast.

The service company, “TouchUp Inc.” is founded by four highly educated individuals here on the great campus of Eastern Illinois University. My colleagues and I have always had a passion for fashion and for design. We thought for in the near future that the baby boomers in the generation that we need to attract, so why not provide a service that is a lost arch in the different cities as in Chicago, IL. My colleagues and I are involved in many different organizations and have leadership roles that will help contribute to the success for our service. By investing $120,000.00, you would be providing us with our total capitalization that is required for the startup of TouchUp Inc.

We will be gracious and honored to have you pair up with a new, but lost arch service that many do not know about. Even though we are looking to target high school and college kids, the service that TouchUp Inc. will be providing will benefit anybody that need shoe repairs or who is looking to improve the quality on their shoes without buying new ones.

After completing a more thought out financial and market research, our forecast shows TouchUp Inc. to be a successful service company due to the lack of knowledge about this type of service in the Chicago area. We are looking to hire 8 new employees and have my colleagues and I participate in some of the hard work as well. We also bought a building, so we will not be responsible for paying rental costs.

Additional information, professional history, financial, and market research can be found in the enclosed resumes and throughout the business proposal. For additional questions, comments, or suggestions can be reached on our one of the owners, Corey Fisher primary phone which is (708) 299-2635 until further notice.

Thank you for your time, and we look forward to a great partnership and success in the further.

Sincerely,

Jesus Aguirre

Cary Fisher

Corey Fisher

Joey Re

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Table of ContentsSections: Pages:

Executive Summary 4

Company Description 5

Company Background 6

Vision & Mission Statement 7

Industry Analysis 8-9

Location 10

Materials……………………………………………………………………………………………....11-12

Key Personnel & legal Documents…………………………………………………………………………………………...........13

Market Strategy……………………………………………………………………………………………......14-17

Balance Sheet………………………………………………………………………………………………………18

Income Statement……………………………………………………………………………………………........19

Appendix-Jesus Aguirre Resume………………………………………………………………………………………………...20-21

Appendix-Cary Fisher Resume………………………………………………………………………………………………...22-23

Appendix-Corey Fisher Resume………………………………………………………………………………………………...24-25

Appendix-Joey Re’ Resume……………………………………………………………………………………………………26

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Executive SummaryTouchUp Inc. is a company that services in cleaning, repairing, and customizing shoes from boots, gym shoes, and even dress shoes to your likeliness. TouchUp Inc. is looking to target to college students and high school students in the upper-division in the Chicago, IL. Some examples are Colombia College, Robert Morris College, Brother Rice Highs School, Julian High School, etc. After doing research, there aren’t a lot of shoe design and repair shoe companies in the upper-division of Chicago, IL, so my colleagues and I thought this would be a great opportunity to build on a service that is lost.

Our company is looking to repair: heels on shoes, which can be either leather or rubber and that will be starting at $10-$40 to replace depending on how severe it can be. The soles on the shoes can either whole or half to replace, which will can range from $40-$80 to replace. The insoles/foot beds, the cost of the insoles will start at $20 and it will increase depending on if you decide to buy a new insoles or get them replaced professionally. The welts are the material attached to shoe upper in to which the sole is attached and that will start at $15 and will increase depending on the type of welt you decide to purchase. We will also look at replacing the sole protectors, which is a thin piece of rubber that goes over leather sole to make it lust longer and that will start at $15 as well. The shoe stretch will be replaced starting at $15 and increase up depending how far you want your shoe to be stretched to. The most important service that TouchUp Inc. service in is cleaning, shining, and dying shoes, which will also start at $15.

To start this company, TouchUp Inc. are seeking a loan of $120,000.00 from investors that will be essential to our company in the Chicagoland area. There is no time table in which we will need the loan, since my colleagues and I are still looking to hire 8 employees, looking at furniture for our building, and the minor details that will benefit our company for the future. We are looking to have everything finished and decided by the summer of 2016, so hopefully by August 2016, TouchUp Inc. will be in business and ready to open up. We are deciding August of 2016, because we are looking to target those students that will be entering school and colleges in the beginning of the fall semester.

We will be in business the beginning or in late of August of 2016, so will are looking to repay the loan over the next 3 years at the cost of $40,000.00. As TouchUp Inc. are in business, we are looking to pay the loan in full by August of 2019. TouchUp Inc. are looking to change the shoe design industry drastically. Our motto is “The InDesign for Shoe Design”.

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Company Description

TouchUp Inc. is an independent shoe repair company that is in the downtown area of Chicago,

IL. We specialize in shoe customization, shoe repairs, shoe polishing and many more. We

wanted to attract college students and kids so that they can create their own pair of customized

shoes and also bring out their true creativity on a pair of new shoes or on a pair of used shoes

that they already have. TouchUp Inc. focuses on bringing out someone’s inner creativity and

displaying that on a pair of shoes whether they are boots or a pair of gym shoes, if you want

something unique that no one else will ever have, Touch Inc. is the place to go to for just that.

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Company Background

TouchUp Inc. was founded and created by Cary Fisher, Corey Fisher, Joey Re’ and Jesus

Aguirre, four Eastern Illinois University students who decided to offer something very unique in

the Chicago area. We wanted people to have various options and resources to ever take

customizing something to the next level and with our company we were able to. The founders

saw that there is a niche for customizing things and shoes is no exception, especially since other

people are marketing and advertising their services through social media. The company repairs

shoes, polish shoes, customizing shoes and offer other services depending on the shoe. This

company makes is different and unique from other shoe repair shops that are around the Chicago

are, because their offering services that has never been offered such as shoe customization at

reasonable prices.

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Vision and Mission Statement

Our Vision:

To provide and offer high quality work and customization/ repairs of shoes to college

students and kids around the inner city and downtown area of Chicago, IL. We hope to expand

our company so that we can provide our services to many more colleges and kids in other cities.

Our Mission:

Provide high quality work with fast and convenient services to college students and kids

around the Chicago area that gives them the ability to display their creativity on their own pair of

customized shoes. Repairing shoes by polishing them and ‘touching” them up are essential.

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Industry Analysis

The shoe repair industry is a multi-million-dollar industry, but the shoe customization

industry is a new industry that’s not exposed as of right now. The shoe repair industry has

decreased in sales from 2008 to 2013. As of two years ago, the shoe repair industry in the United

States had revenue of 330 million dollars. Lower than 2008’s annual revenue of 333.32 million

dollars in revenue. This industry is not an industry that people are into meaning that value shoe

repairing and they actually repair their shoes. Most individuals would just buy a new pair of

shoes or repair it themselves, before paying someone to repair it for them. We are focusing on

more than just shoe repairing, we all expanding our company to customization of the shoes and

polishing of the shoes, two services most shoe repair shops does not offer.

The shoe customization market and industry is very new and fresh to the scene, but we

feel like this is a market that many teenagers and young adults would pursue an interest in,

especially young adults in college. Shoe customization consists of creatively designing a shoe

displaying what you wanted on the shoe. Shoe polishing is self-explanatory; it’s just polishing a

shoe with various products so that your shoe looks or at least appears to be brand new. Repairing

the shoe will just consist of polishing them and also bring them back to life such as putting new

shoe strings on them and also crossing over to a customization on them. We plan on marketing

our company anyway possible so that Chicago knows that our company is here to stay.

We plan on growing our company by market sales and revenue sales. We want to

introduce our company to college campuses, because they’re going to be our biggest attraction

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and our most loyal customers. We expect our company to grow in steps, but we do realize that

this industry is not a need, it is a necessity. We want to be innovative in what we do, but we also

want specialize in customization than shoe repairing for the simple fact that most people buy a

new pair of shoes then getting them repaired, so customizing them brings a new target market

with a high demand for customized shoes for college students and teenagers.

One of the advantages on our company is that we’re not trying to be like any other

company, we’re the only company that offers other services than just shoe repairing. We decided

that if we expand our services more, other shoe repair shops with see us as competition soon as

we our company introduces itself. One disadvantage that our company will have straight out of

the gate will be the low demand for something like this. Not a lot of people knows about nor

cares about shoe customization and as I said earlier, most individuals polish their own shoes. It

will be a low demand for what our company offers, but we are very hopeful that once people see

our work and what our employees can do, that’ll definitely be pleased and satisfied enough to

want a pair of their own customized shoe whether it’s a winter boot like Timberland’s or a gym

shoe such as Nike. After looking at the pros and cons of starting our own shoe

repair/customization company, we all felt like this is something that can really evolve into

something more and innovative within the next 5 years, it’ll just need to take some time to do so.

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Location

Address: 2027 W. North Avenue Chicago, IL 60647

Listing ID: 19482319 Location: Wicker Park $38/SF/Year 3,000 SF/Retail 1 Year Cost: $114,000.00 Monthly Cost: $9,500.00

Details: As Listed Below

Bi-level space with exposed brick Hardwood floors 2 bathrooms 1 parking spot located in the rear

Store Hours: As stated below

10 AM – 8 PM Open 6 Days a Week Closed on Sunday

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Key Personnel & Legal Documents`````````````

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Key Personnel & Legal Documents

Staffing: Stated Below

12 employees ( 8 new employees)$9.25/hourPlus Compensation of Sales2% for 1st year5% for 2nd year7% for 3rd year

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Market and Target Customer: The market that we are looking to enter as

a business is the shoe repair and shoe retail market. Many middle aged kids,

mainly college students and athletes, want to wear and keep up with the

best sneaker trends. As a business, we plan on appealing to the kids who

want or have the best sneakers available. We want to bring the best

available shoes, whether it be a rare pair of sneakers or a popular brand

name, to people who don’t have access to them.

Target Customer: Middle aged adults aged 18-25,

who want to keep their shoes looking in pristine

condition, or who wants to have the best sneakers

available.

Chicago’s Demographics:

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25-34 Years of Age18.41%

35-44 Years of Age14.96%

45-54 Years of Age11.41%

Competition and Competitive Advantage: Beings we have decided to

locate our business in downtown Chicago, and Chicago being the big city it

is, there are many shoe repair businesses already in business. However, we

plan to distinguish ourselves apart from all the other shoe repair businesses.

One business that is located in the city, and is very well known, is Excellent

Shoe Repair. Although they have a large customer base, some customer

reviews have indicated that it sometimes gets too busy and the job isn’t

completed on the date given by the workers. Another competitor we found

was a shop called Gus New Quality Shoe Repair. Although the service here is

good, it’s known to be somewhat pricey for basic shoe repairs. What is going

to set us apart from all of these competitors would be the slightly different

niche in the market that we plan to enter. Not only do we plan to clean and

repair shoes better than our competitors, we plan to buy used shoes from

customers at a price that we value, and clean them up to brand new and

then resell them. Our location is also very ideal for sales. Being located in

Chicago allows us to appeal to many different types of customers. Were

located in an area where foot traffic is very common, so advertising such as

flyers are necessary for our business. One advantage we have over our

competitors, is appealing to customers that are interested in the Michael

Jordan brand of shoes, known as Jordan’s. Jordan’s have a new pair of shoes

released to the public every Saturday. However, these shoes can be

sometimes, if not most of the time, extremely difficult to purchase because

of the large customer base who wants them. As a business we will

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encourage people to sell us their shoes, no matter what condition, so we can

resell them to the customers who want them. Our main focus for

advertisement would of course be social media; Facebook, Twitter,

Instagram; but also word of mouth is a key advertisement strategy when

pertaining to the shoe business. We will create a strong relationship with our

customers that most of our other competitors don’t have time for.

Sales Plan: In order to increase our sales and outcompete our competitors,

we are going to use social media and word of mouth as our main platform.

We will make sure that we appeal to the market by participating in lots of

promotions, and also appealing to the overall culture of Chicago. We will

send out fliers to local college campuses around our location, as well as

newspapers ads, and direct mail to people’s houses. We will also make

sneakers available to college athletes at a discounted price to put our name

in the market more. We will hand out fliers to the business section of our

location, as many businessmen and woman need their businesses shoes

cleaned, polished, or repaired. By doing this we will also help build our

clientele, as we will create client relationships with our customers.

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Growth Plan: In order to grow and expand in our market, we need to have

an established name between our customers, and also the surrounding

markets. Once we have established, we believe our customer base will grow

because there are no other companies that do what we do.

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Customer Base Growth Plan

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Years

Customers in thousands

Touch Up Inc.

Balance Sheet

End of 2015 End of 2018 End of 2020

Assets

Cash $78,000 $84,000 $96,000

Accounts Receivable 94,800 97,200 103,200

Supplies 6,000 4,200 6,000

Inventory 3,600 3,600 4,800

Equipment 8,000 4,000 4,000

Building 114,000 108,000 108,000

Total Assets $304,400 $301,000 $322,000

Liabilities

Accounts Payable $84,600 $88,200 $93,000

Notes Payable 72,000 69,000 60,000

Owner’s Equity $147,800 $143,800 $169,000

Total Liabilities & Equity $304,400 $301,000 $322,000

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Touch Up Inc.

Income statement

Year of 2015 Year of 2018 Year of 2020

Revenue

Repair Revenue 109,200 114,000 118,800

Sales Revenue 6,537 7,200 7,800

Total Revenue $115,737 $121,200 $126,600

Expenses

Rent 114,000 108,000 108,000

Salaries & Wages 6,000 6,000 6,200

Supplies 4,000 2,200 2,220

Insurance 3,000 3,000 3,000

Utilities 2,820 2,820 2,820

Total Expenses $129,820 $122,040 $122,240

Net Income ($14,083) ($840) $4,360

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