BU121 StudentToGo New Venture

Providing a modern

way to travel and

plan for your

everyday needs.

Christie FelkerPhil EversonDaniyal KhanSteve Wu Ha Ram Kim

Integration As A Business Model

Increases Entry

Points


Makes Data Transfer

Easier and Faster


What People Want

Providing a modern way to travel and

plan for your everyday needs.



• Interactive•Harmonized• Al-

encompassing Database Service

The S

olu

tion

A Focus On Integration

Bus Routes

Train Schedules

Taxi Information

Public Transportation

How

We Inte

gra

te

Partnerships With Transportation Companies

Technological Partnerships With Transportation Companies

Start Up Integration

What’

s The

Part

ners

hip

User Requests Ticket

Per Ticket

StudentToGo System

Transportation

Company

Student To Go Issues Itinerary and Compatible Tickets

User Pays StudentToG

o

Student To Go Pays

Transportation

Company

Targ

et

Mark

et

Value Proposition

Efficiency

•Pricing Strategies•Sales Strategies•Distribution

Strategies






The Competitors


Natural Barriers


Competitive

Advantage





Management

Phil Everson

Vice President Of

Marketing

Management

Christie Felker

Human Resource

Specialist

Management

Daniyal Khan

Director of Information

Technology

Management

Ha Ram Kim

Executive of Finance

Management

Steve Wu

Chief Of Operations





Fixed Cost Estimation (monthly)

Telephone 50.12

Internet 58.70

Flyers 127.67

Web ads 678.00

Salaries 12,500.00

Business cards 7.67

Office Supplies 37.67

Insurance 183.33

Website Registration 2.00

Total $13,645.15

Setup Costs (excluding monthly costs)

Computer 1,356.00

Machine 339.00

Website setup 113,000.00

Legal Fees 4,800.00

Ontario Business Licenses

132.50

Total 119627.5

Cost Approximations

Making Purchases

5% Discount

Through

Partnerships

Break Even Analysis

Break-Even Analysis

Dollars Ratio

Fixed Costs $13,645.15

Variable Costs 0.95x 0.95

Variable Revenue x 1

Break-even sales (in $)

x = 13715.15333/(1-0.95) $272, 903.00

Contribution Margin

1x-0.95x 0.05x

Note: Since we have many different products for sell, we use x instead of a fixed price to represent the variable revenue.

Sales Estimation

Estimated Average Revenue (by mon.)

Target Market (total # of post-secondary students in GTA)

528,872

% Target Market Expected to get 0.01

% students using public transport. 0.54

Avg. spending on public transport. 63.10

Dependence of user on our service 0.25

Estimated Average Revenue (by mon.) $45,051.96

Assumption on Estimated Sales

Assume that the

revenue increase by

0.5% monthly along

with the advertising

effort's.

Cash

Budget

• Assume a minimum balance of $5000 at the end of every month.

• We are able to break even in 9 months!

• Note: we did not include legal fees and fees on Ontario business license since we assume that we will have paid them off before we open the business.

Jan, 1st yr Feb, 1st yr Mar, 1st yr April, 1st yr

May, 1st yr

June, 1st yr

July, 1st yr Augest, 1st yr

Stept., 1st yr

Net Sale 0.00 45,051.96 47,304.56 49,669.79 52,153.28 54,760.94 57,498.99 60,373.94 63,392.63

Collections

100% of Sale 0.00 45,051.96 47,304.56 49,669.79 52,153.28 54,760.94 57,498.99 60,373.94 63,392.63

Total Receipts 0.00 45,051.96 47,304.56 49,669.79 52,153.28 54,760.94 57,498.99 60,373.94 63,392.63

Net Purchases

95% of next month sale 42,799.36 44,939.33 47,186.30 49,545.61 52,022.89 54,624.04 57,355.24 60,223.00 0.00

Payments

20% this month purch 8,559.87 8,987.87 9,437.26 9,909.12 10,404.58 10,924.81 11,471.05 12,044.60 0.00

80% following month 0.00 34,239.49 35,951.47 37,749.04 39,636.49 41,618.31 43,699.23 45,884.19 48,178.40

Total Disbursements for Purch. 8,559.87 43,227.36 45,388.72 47,658.16 50,041.07 52,543.12 55,170.28 57,928.79 48,178.40

Cash Budget

Beg. Cash Balance $130,000.00

$5,000.00 $5,000.00 $5,000.00 $5,000.00 $5,000.00 $5,000.00 $5,000.00 $5,000.00

Add: Receipts 0.00 45,051.96 47,304.56 49,669.79 52,153.28 54,760.94 57,498.99 60,373.94 63,392.63

Total Cash Available $130,000.00

$50,051.96

$52,304.56

$54,669.79

$57,153.28

$59,760.94

$62,498.99

$65,373.94 $68,392.63

Less: Disb. for Purch. $8,559.87 $43,227.36

$45,388.72

$47,658.16

$50,041.07

$52,543.12

$55,170.28

$57,928.79 $48,178.40

Selling & Admin. 13,669.82 13,286.82 13,286.82 13,669.82 13,286.82 13,286.82 13,669.82 13,286.82 13,286.82

Interest 0.00 59.52 107.53 155.35 205.14 252.56 299.73 348.80 395.43

Dividends 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

Capital Expenditures 117,055.00 0.00 0.00 136.00 0.00 0.00 136.00 0.00 0.00

Taxes

Total Disbursements $139,284.69

$56,573.70

$58,783.07

$61,619.33

$63,533.03

$66,082.50

$69,275.83

$71,564.42 $61,860.65

Cash Excess / (Deficiency) (9,284.69) (6,521.74) (6,478.51) (6,949.55) (6,379.76) (6,321.56) (6,776.84) (6,190.48) 6,531.98

Cash Budget





Mile

stones

• Completion of Web Site and Database Development3 Weeks

• Agreement with Travel Companies3 Weeks

• Web Site Launch

• Product Display at University’s/CollegesOn-Going

• Hiring Additional EmployeesAs Needed

• First Sales & Transporting Consumers

• Profitability1 Year

We Want Your Help!

$13,000 For Start Up





Underl

ying M

agic • A Niche Market

• No Direct Competition

• Directly Customer Meeting Needs

• Minimal Start-Up Cost

• Next To No Ongoing Expenses





Education

BU121 StudentToGo New Venture