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HEPHZIBaH Music City Missional Business Plan

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HEPHZIBaH Music City Missional Business Plan

Introduction

Three main districts comprise the Kathmandu Valley of Nepal: 1) Kathmandu District, 2) Bhaktapur District, and 3) Lalitpur District. The Kathmandu valley is a rapidly growing metropolis. The population of the valley has doubled in the last 16 years and continues to expand at an annual growth rate of 7% per year. Currently the Kathmandu Valley is home to nearly 3 million people. Rural to urban migration is a major contributor of the population growth. People migrate to the city looking for better educational and employment opportunities that will improve their standard of living. It is estimated that 60% of those currently residing in the valley are migrants from rural villages. Seventy percent of the population is between the ages of 15 and 59.

The church in Nepal is a mere 60 years old, yet its growth has been and continues to be exponential. Christian leaders in Nepal report more than 8500 churches countrywide with over 1.8 million Christians. The Kathmandu Valley alone is home to over 300,000 Christians. Despite the growth of Christianity, Nepal still remains predominately Hindu. According to the 2011 census report, 81.3% of its inhabitants are Hindu and 9% Buddhist. The influence of Hinduism and Buddhism is evident in the many temples, religious symbols, and cultural traditions seen throughout the valley. Nevertheless, the influence of Hinduism and Buddhism, particularly in the Kathmandu Valley, is beginning to weaken. Growing numbers of valley residents are now second-generation urbanites that represent a rising middle class in Nepal. This generation is being significantly impacted by globalization. The increasingly typical young Nepali adult living in the Kathmandu Valley has many more choices than did the generations before him. Exposure to western ideals and worldview, higher education, professional employment, rising disposable income, and the mounting temptation of consumerism (among many other factors) is resulting in the secularizing of a generation.

As evident in Western culture, the progressive effect of secularism over many generations is the demoralization of culture. However, the initial effect is openness to new ideas, combined with a longing for purpose. The Holy Spirit is using the forces of globalization in Nepal to create a spiritual openness among new generations,

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particularly in the urban centers. The fields are ripe for harvest, but they require new methodology and fresh strategies, combined with traditional approaches to reach this new generation with the Gospel of Jesus Christ—strategies that contextualize the Gospel message for the marketplace, and demonstrate its power in concrete, practical, and relatable ways. HEPHZIBaH Music City is more than a business plan. It is a holistic missional strategy for transforming Nepal through its youth. HEPHZIBaH Music City is a business enterprise with multiple missional business units: 1) Agency Instrument Sales, 2) Music School, 3) Music Production, 4) Music Event Promotion, and 5) Concert Hall Rental. Each business unit naturally facilitates the kind of relationships that are ideal for making disciples of Jesus.

Our Vision

We see Nepal transformed for the glory of God by reaching its youth with the Gospel of Jesus through the medium of music.

Our Slogan

Ignite the passion for music within you! Our Mission

The mission of HEPHZIBaH Music is:

• To use music as a medium for reaching the Nepali youth with the Gospel of Jesus and mobilizing them to the Great Commission.

• To be the leading music company in Nepal by providing a complete offering of music products and services in one location—instrument and sound system sales, music instruction, music production, music event promotion, and jam room and concert hall.

• To provide an example of professionalism in the Nepali music industry through an unwavering commitment to biblical values, reliable service, and dedication to excellence.

• To raise the quality of music produced in Nepal towards the favorable reputation of Nepali music professionals in the global music industry.

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Our Values

Gospel Witness: Gospel witness motivates all of our business endeavors (Mark 16:15).

Prayer: Prayer precedes everything we do (James 5:16b).

Excellence: Excellence is our only standard (Colossians 3:23).

Reliability: We commit ourselves to friendly and reliable service. Our customers can count on us to come through (Matt 5:37).

Professionalism: Our brand is distinguished by professionalism (Colossians 3:23). Background

Eliya Pradhan was born into a Hindu family from a remote village of far west Nepal. By God’s grace Eliya became a Christian when he was thirty years old. After completing a bachelor’s degree in theology from a Bible school in India, God gave Eliya a burden for the children of Nepal. Eliya’s burden inspired him to launch the first ever indigenous children’s ministry in Nepal and Nepali speaking regions of India and Bhutan. With the unanimous blessing from leaders of the emerging church in Nepal, Eliya founded Nepal Christian Children Education Fellowship (NCCEF) in 1984. The mission of NCCEF is to win the children of Nepal for Christ, and to help them grow spiritually, morally, and socially (Matt 18:14). Today NCCEF is evangelizing children and youth from unreached people groups, and training, equipping, resourcing and mobilizing local churches with children and youth ministry strategies in 55 of the 75 districts of Nepal.

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Eliya’s three sons grew up around the ministry of NCCEF. It is no coincidence that all are gifted musicians. God’s divine plan has been evident. In 1999, as a natural development of NCCEF’s ministry to children and youth, they founded Hephzibah (Isa 62:4). Hephzibah is the first-ever Christian rock band in Nepal. The vision of Hephzibah is to evangelize the children and youth of Nepal using the medium of music. Over the past fifteen years Hephzibah has evangelized thousands of children and youth. Hephzibah’s ministry has not only resulted in the salvation of children and youth all over Nepal, and parts of India and Bhutan, but it has also been a catalyst for mobilizing hundreds of worship leaders in Nepali churches. Churches all over Nepal worship Jesus by Hephzibah’s praise and worship songs. Additionally, the ministry of Hephzibah has inspired dozens of Christian musicians and bands. With the help of local churches, Hephzibah promotes and performs Gospel concerts throughout Nepal and parts of India. Churches all around Nepal invite Hephzibah to present Gospel concerts for the purpose of evangelizing the youth in their region. Hephzibah released its fourth album in January of 2017. Today Hephzibah continues to be one of the most popular indigenous Christian rock bands in Nepal and in the Nepali speaking regions of India and Bhutan.

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Twelve years ago, the members of NCCEF and Hephzibah began to envision an enterprise where youth could be mobilized as Christian musicians and worship leaders through instrument instruction, music education, a jam room and concert hall for musicians to meet, form bands and perform, and a recording studio for music production. Due to lack of financial and human resources, plans were set aside. In 2013, Paul Clayton shared his God-given vision for HEPHZIBaH Music City, as described in this business plan, with the staff of NCCEF. After hearing the vision, they realized that God had raised up an advocate to confirm Hephzibah’s vision, campaign for its resourcing, and to partner with them in its implementation.

Now is the time to act on the vision. The members of Hephzibah have all matured as musicians, professionals and ministers of the Gospel. Their education, experience, and favor with the youth of Nepal have fully prepared them for the vision of HEPHZIBaH Music City. Rising young musicians from all over Nepal are now requesting that Hephzibah provide instrument instruction, music education, music production, and an outlet for using their music as a medium for reaching others with the Gospel of Jesus Christ. God has prepared NCCEF and Hephzibah for such a time as this (Esther 4:14)!

HEPHZIBaH Music City Team

Administrative Director

Benjamin Pradhan

• Age: 33

• Ethnicity: Nepali Newar

• Marital Status: Married

• Address: Sunakothi -8, Lalitpur, Nepal

• Cell Phone: (+977) 9841210209

• Education: o Higher Secondary Level: CBSE, India. o Bachelor of Business Administration: Sikkim Manipal University, Nepal. o Master’s in Business Administration (HRM Major): Sikkim Manipal University,

Nepal. o Various music related courses.

• Work Experience: o Current Administrator of NCCEF from 2007.

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o Co-founder of Hephzibah band and involved in the music industry for more than 18 years.

o Currently serving on many music event-organizing committees.

Director of Music School

Joseph Pradhan

• Age: 34

• Ethnicity: Nepali Newar

• Marital Status: Single

• Address: Sunakothi -8, Lalitpur, Nepal

• Cell Phone: (+977) 9813412000

• Education: o Higher Secondary Level: CBSE, India. o Bachelor of Theology: Asian Evangelical Theology Seminary, India. o Master’s in Ministry: Asian Evangelical Theology Seminary, India. o Guitar instruction from various institutes.

• Work Experience: o Current Project Coordinator and Training Coordinator for NCCEF from 2009. o Co-founder of Hephzibah Band and involved in the music industry for more

than 18 years. o Guitar teacher for various institutes.

Director of Music Production

Prabhudas Pradhan

• Age: 31

• Ethnicity: Nepali Newar

• Marital Status: Married

• Address: Sunakothi -8, Lalitpur, Nepal

• Cell Phone: (+977) 9841286453

• Education Qualification o Higher Secondary Level: CBSE, India o Bachelor of Business: Tribhuwan University, Nepal. o Master’s in Business Administration (HRM major): Sikkim Manipal University,

Nepal. o Various sound engineering related courses.

• Work experience o Current Financial Coordinator of NCCEF from 2009.

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o Co-founder of Hephzibah Band and involved in the music industry for more than 18 years.

o Sound Engineer for Hephzibah recording studio.

Director of Event Promotion

Ruben Ghale

• Age: 30

• Ethnicity: Nepali Newar

• Marital Status: Single

• Address: Dhobighat, Lalitpur Nepal

• Cell Phone: (+977) 9841852400

• Education: o Higher Secondary Level: HSEB, Nepal o Bachelor of Business: Tribhuwan University, Nepal o Masters of Business Administration, Purbanchal University, Nepal

• Work experience o Current Marketing Analyzer for MicroMax Mobile Company. o Involvement in church ministry. o Member of Hephzibah, Acoustic Guitarist. o Currently serving on many event-organizing committees.

Director of Media and IT

Abinash Shrestha

• Age: 32

• Ethnicity: Nepali Newar

• Marital Status: Single

• Address: Harisiddhi, Lalitpur, Nepal

• Cell Phone: (+977) 9841366882

• Education: o Higher Secondary Level: CBSE, India. o Bachelor of Engineering in Electronics and Communication, Purbanchal

University. o Diploma course in video editing and animation, Maya Institute. o Various sound engineering related courses.

• Work experience o Current Technical Coordinator and Trainer for NCCEF from 2009. o Involved in the music industry for more than 18 years.

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o Member of Hephzibah Band, Sound Engineer. o Part-time Live Sound Engineer teacher in various institutions.

Potential

Sovereign’s Capital, a missional business capital fund focusing on Southeast Asia, projects that over the next ten years the middle class in emerging markets will grow from 2 billion people spending $6.9 trillion to over 4 billion people spending $20 trillion. Nepal is one of those emerging markets with a growing middle class. The Nepal music industry presents an ever-increasing opportunity to contend for the disposable income of Nepal’s growing middle class. And Kathmandu is the heart of the Nepali music industry. According to one source, dozens of albums are being released each week. The explosion of produced music is driving the demand for instruments, instruction, production expertise and capacity, and promotional outlets for expression. The music industry in Nepal is under-represented in the public market. Demand for music products and services far exceeds the current supply. In addition to the opportunity for spiritual renewal communicated in the introduction of this business plan, a significant economic potential exists for a well-planned music business with the right team. Music is a powerful medium around which to build a strategy for evangelism. It has the remarkable ability to transcend barriers to the Gospel. But a missional music business creates the ideal context for a sustainable indigenous disciple-making movement. The target customer of HEPHZIBaH Music City is between the ages of 12 and 35 years old. The total estimated population of this age group in the Kathmandu Valley is roughly 1.5 million. Currently, there are only a handful music schools and recording studios, even fewer music event promoters and concert halls, particularly for Christian musicians. The economic potential for HEPHZIBaH Music City is noteworthy, but unlike typical secular music businesses, HEPHZIBaH Music City will strive to maximize the potential of multiple bottom lines, rather than just one: 1) Spiritual Awakening, 2) Economic Viability, 3) Social Justice, and 4) Environmental Stewardship.

1. Spiritual Awakening

• Increasing rural to urban migration.

• Break down of ethnic barriers preventing the flow of the Gospel across people groups.

• Secularization of a generation creating openness and longing for purpose.

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• Evangelization of mass numbers of Nepali youth.

• Ideal context for natural relational connections.

• Ideal context for demonstrating biblical values.

• Discipleship through marketplace strategies in partnership with the local church.

• Mobilization of new believers to the mission of God in Nepal.

2. Economic Viability

• Expanding middle class with increasing disposable income in the emerging market of Nepal.

• Rapidly growing industry that is under-represented in the public market.

• Experienced, well-respected team, and pioneers in the Nepal music industry with a loyal customer base containing pent-up demand.

• Sustainable indigenous ministry through viable business.

3. Social Justice

• Equal opportunity for employment regardless of social status.

• Equal opportunity for music services regardless of social status. HEPHZIBaH Music City will offer something for everyone.

• Partner with the local church in compassionate care outreach to the poor and oppressed.

4. Environmental Stewardship

• HEPHZIBaH Music City will provide a clean, safe, and pollution free environment for its customers. The missional business will support the efforts of NCCEF to teach children the importance of planting trees. NCCEF conducts tree-planting programs with children that teach them to plant 10 new trees for every tree that is harvested.

Marketing Strategy

The primary competitive advantage of HEPHZIBaH Music City is the ability to provide a complete offering of music products and services in one location.

Product Strategy

Agency Instrument Sales

• Guitars

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o Acoustic o Electric o Bass

• Violins

• Drums

• Keyboards

• Mixing Consoles, Amps, Speakers

• Accessories

A co-branding strategy between Hephzibah, HEPHZIBaH Music City, and a locally owned, Christian instrument retailer will be pursued to facilitate agency sales of instruments to music students, production clients, and church benefactors of HEPHZIBaH Music City.

Music School

• Guitar Classes

• Bass Guitar Classes

• Key-Board Classes

• Drum Classes

• Violin Classes

• Video Classes

Music Production

• Music Recording

• Music Production

• Post production

• Video Editing

Event Promotion

• Music Events

• Music Festivals

• Music Concerts

• Music Competitions

Income sources from Event Promotion include ticket sales, limited merchandise sales and corporate/church sponsorships.

Concert Hall Rental

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• Music Events

• Music Festivals

• Music Concerts

• Music Competitions

Cost savings will be realized in Event Promotion when HEPHZIBaH Music City music events are held at the HEPHZIBaH Music City concert hall.

Promotion Strategy

• Print– Poster campaign in partnership with local churches.

• PR stunts– Engage music enthusiasts in promotional events.

• Virtual– Website, Facebook, YouTube, etc.

• Word of Mouth— Obvious competitive advantage plus friendly and reliable service, unique from typical Nepali businesses, and extensive local church network.

• Music Events— Concerts and festivals

Price Strategy

• Value Pricing– HEPHZIBaH Music City will offer something for everyone. Pricing will be competitive, and provide additional value through bundling products and services, and by going the extra mile (Matt 5:41).

Place Strategy

A significant element of HEPHZIBaH Music City’s marketing strategy will be the location. Kathmandu is arranged in three districts: 1) Kathmandu, 2) Bhaktapur, and 3) Lalitpur. Lalitpur is a growing western tourist hub, attracting hotels and guesthouses, restaurants, shopping, and entertainment. Many of Nepal’s higher secondary and university educational institutions are also located in Lalitpur. The many secular attractions and professional industries associated with them draw the targeted demographic of HEPHZIBaH Music City. In recent years, the Chinese government has invested in the infrastructure of the Kathmandu Valley with the construction of Ring Road. Ring Road forms a perimeter around all three districts, allowing easy inter-district access.

• HEPHZIBaH Music City will be strategically located in Lalitpur, just off of Ring Rd.

• The location will be conveniently located near public transit routes.

• The location will be highly visible.

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• The location will have an aesthetic appeal that communicates professionalism and excellence.

S.W.O.T. Analysis

Strengths

• Established, respected and popular band (Hephzibah—16 years and 4 albums).

• Extensive network of NCCEF local church partners.

• Rapidly expanding music industry in Nepal.

• Increasing number of second-generation urbanites that have disposable income.

• Efficient, knowledgeable, experienced, and professional team members.

Weaknesses

• New brand requiring time for recognition and acceptance.

• Capital required versus time needed for ROI.

• One step removed from market entry point without retail instrument sales.

Opportunities

• Rapid growth of the Kathmandu Valley.

• Expanding disposable income of the growing middle class.

• Introduction of an exciting new brand with a unique range of services integrated for rapid recognition and acceptance.

• Evangelize second-generation urbanites.

• Mobilize Christian musicians to the Great Commission in Nepal.

• Multiply disciples of Jesus through marketplace relationships.

• Capitalize on pent-up demand created by Hephzibah.

• Viable business with a sustainable ministry focus.

Threats

• Oppressive governmental rules and regulations.

• Emerging competition.

• Political instability.

• Poor stewardship of resources/funds. Competition

High Threat Competition

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• ABC Entertainment— Instrument sales, recording studio, and event promotion, Kathmandu district.

• DEF Conservatory— Recording studio and music school, Lalitpur district.

• GHI Concerts— Concert hall.

Medium Threat Competition

• ABC Studio— Recording studio, Kathmandu district.

• DEF Studio— A/V studio, Katmandu district.

• HIJ Music—Recording studio, Kathmandu district.

• KLM Studio— Recording studio, Kathmandu district.

Low Threat Competition

• Various other small recording studios and music schools. *Names have been altered for the purpose of publishing on the internet.

Financials

A complete financial plan is available to all potential investors upon request.

Conclusion

HEPHZIBaH Music City is a natural next-step for the ministry of NCCEF. It builds on the 15-year music experiences and favor of Hephzibah. It strives to capitalize on the economic and spiritual harvest mounting among the emerging middle class of Nepal’s urban centers. It has the potential to provide sustainability for the ministry of NCCEF and Hephzibah. It recognizes that the workers for evangelizing the unreached areas of Nepal are in the urban harvest (Lk 10:2). It desires to win the youth of Nepal for Christ and then mobilize them to His Great Commission. HEPHZIBaH Music City acknowledges the new things that God is doing, through globalization and urbanization, towards the redemption of people from every nation, all tribes and peoples and languages (Rev 7:9), and joins forces with Him.

Envision with us the potential impact of HEPHZIBaH Music City in Nepal… thousands of youth won to Jesus for the glory of God—disciples made in Bible Discovery Groups led by local churches, and through intentional disciple-making strategies that

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capitalize on natural connections made in the marketplace—compassionate care demonstrated to the poor and oppressed in partnership with the local church—passionate disciples mobilized to the Great Commission in the unreached regions of Nepal—financial and human resources generated for self-sustaining, indigenous Gospel ministry.

We see Nepal transformed for the glory of God by reaching its youth with the Gospel of Jesus through the medium of music.

* Please click the following link for the HEPHZIBaH Music City Case Statement

Video: https://www.youtube.com/watch?v=BJp6bGavmFE&feature=youtu.be