WebDesPix Ltd Context of BCS 2010 like ducks to water Company Slogan Slide 2 Background Formed in 1999 by 3 Computer Science graduates from Bristol University. Tom, Dee and Ali decided to start their own business designing websites. Note Internet businesses were already in place by 1999, but this was the height where it really took off. This means that WebDesPix started in the market at the right time. Slide 3 Background I still act as the non-executive Chair of the company. We could run the company from anywhere in England but, as we were all from different parts of the country, it was easier to locate where they had studied. John (Toms father) Slide 4 Background Started with 8000 initial capital raised from Tom, Dee and Alis families. Ali left the company after 2 years. Tom and Dee bought her out and now own 50% of the shares. Tom and Dee intend to give John (Toms father) their shares. Started WebDesPix with 8000 They each have equal share in the company All of the shares will then be owned by a single share holder one of the original investors. Slide 5 Background It is company policy to re-invest profits. The company has never had a bank loan but uses an overdraft facility. Companies can choose what they do with their profits. They can share them with their employees (profit-sharing), with the shareholders (dividends) or to re-invest within the company. This can be to expand, reduce debt or borrowing, upgrade their equipment or even just to reduce risk during a difficult financial climate. Many businesses will take out a bank loan to pay for new equipment or to extend their premises. This will be agreed with the bank and paid back, with interest, within a certain time. Instead of a bank loan WebDesPix have an overdraft facility. This means that they can borrow money from their bank account by spending more than they have. The limit of the overdraft will be agreed in advance and must not be exceeded. Interest rates on overdrafts are higher than that on loans, but the size of the overdraft will vary. Slide 6 Company Objectives - 2009 Consolidate following two years of sustained growth (15% on turnover per annum) Market all products on-line Increase use of e-commerce in its own website and those it designs for other companies Continue trading in a competitive market where anyone can be a web designer All companies have to grow, however, with this growth comes risk. Deciding to consolidate growth reduces the risk to the company. It slows down the growth and aims to secure the companies position. Web orientated companies tend to market (advertise their products) heavily online. To do this they target specifically where and when they want their adverts to appear. E-commerce is the fancy title given to the ability to market and sell products over a website. This gives companies the chance to sell all over the world (increasing their market) Reduce expenditure (having product information and brochures online for customers to download reducing printing costs Number of sales staff can be reduced as the information is online instead Back in 1999, when the company was just starting, web development as an industry was also starting. Currently, Web development and the art of designing websites is being taught as early as Primary School. Slide 7 Business Today Web design is still the core of the business Budget Package - 800 Professional Package - 1000 Executive Package - 1500 New services include: Electronic newsletters Domain registration Hosting Search engine optimisation. Newsletters in an email Selling the addresses for a website. Selling the space the website is stored on. Making websites search engine (e.g. Google) friendly, to increase the number of visits to your website. Slide 8 Branding WebDesPix Ltd Tagline/Slogan of Like ducks to water Slide 9 Work Labour-intensive with relatively low overheads. WebDesPix builds and upgrades its own computers Tom is responsible for Sales and Finance Dee is responsible for Design and Health & Safety Other areas of the business are shared between them. Theyre a company working for a client, what the client wants has to be created. It is not always as easy as it may first appear. Helps to keep overheads down and gives them responsibility for their own machines. Clear departments, means employees know where to go if there is a problem. Slide 10 Work 7 full time employees Two sales assistants Two computer coders Two search engine optimisers One sales assistant 2 part time employees Toms Personal assistant Bookkeeper No-one works from home Office hours are Monday to Friday 0900 to 1730 Working from home will often seem like a good idea. Within a business it makes communication between workers difficult, especially when there will be a lot of communication between the employees and their clients. It also gives WebDesPix a greater control over their employees. Slide 11 Salaries and Benefits All of the full time employees are highly- qualified (a degree in IT) and skilled. The part time employees present monthly invoices for their services. Full time employees receive a monthly bonus based on turnover Health insurance after 6 months employment Free lunch every Friday Use of Wii during their breaks Sales assistants, additional to their salary, receive 12 % commission on their sales Slide 12 Vacancies Advertised on: The company website Regular networking meetings in the Bristol area. Tom and Dee interview new applicants personally 3 month probationary period Current employees train workers as required. A great way of keeping up with industrial trends, finding new employees Slide 13 Communication & Software Main form of communication is email Fax is rarely used Occasionally use video conferencing Company website used for advertising Networking meetings and word of mouth are very important. Sage accountancy used for all financial documents Word, Excel, PowerPoint, Access and Outlook.