Marketing Strategy Business Plan

Thanks for downloading a sample plan
from Bplans.com
A sample plan is a great way to get started, but you cant just print
this plan out and turn it into the bank. Youre still going to have to put
in all your own information and do all of your own financial forecasts.
With Livelan, you can easily use this sample as inspiration and create
your own plan, complete with financial tables and graphs. Youll also
be able to!
" #ave time with linked financial tables $the formulas are built in,
so you dont have to do the calculations%&
" 'enefit from tons of help, advice, and resources.
" resent your plan with confidence, with automatic charts and
graphs corresponding to your financial data.
" Work on your plan anywhere, on any computer.
()or *+ dollars , ended up getting a -uarter of a million dollars of
funding. .hats worth it%/ 0 .odd 1. .ablegate
1lick here to save 2+3 off the first month of Livelan%
Cover Page

.his sample business plan has been made available to users of Business Plan Pro4, business
planning software published by alo Alto #oftware, ,nc. 5ames, locations and numbers may have
been changed, and substantial portions of the original plan te6t may have been omitted to preserve
confidentiality and proprietary information.
You are welcome to use this plan as a starting point to create your own, but you do not have
permission to resell, reproduce, publish, distribute or even copy this plan as it e6ists here.
7e-uests for reprints, academic use, and other dissemination of this sample plan should be emailed
to the marketing department of alo Alto #oftware at marketing8paloalto.com. )or product
information visit our website! www.paloalto.com or call! 9:;++:**<:=2*>.
Copyright Palo Alto Software, Inc., 1!"#$$% All rights reser&ed.
Legal age
1onfidentiality Agreement
.he undersigned reader acknowledges that the information provided by
????????????????????????? in this business plan is confidential@ therefore, reader agrees not to
disclose it without the e6press written permission of ?????????????????????????.
,t is acknowledged by reader that information to be furnished in this business plan is in all respects
confidential in nature, other than information which is in the public domain through other means
and that any disclosure or use of same by reader, may cause serious harm or damage to
?????????????????????????.
Apon re-uest, this document is to be immediately returned to ?????????????????????????.
???????????????????
#ignature
???????????????????
5ame $typed or printed&
???????????????????
Bate
.his is a business plan. ,t does not imply an offering of securities.
Table of Contents
1.0 Executive Summary...............................................................................................................................1
Chart: Highlights..................................................................................................................................2
1.1 eys to Success..................................................................................................................................2
1.2 !b"ectives..........................................................................................................................................#
2.0 Com$any Summary...............................................................................................................................#
2.1 Start%u$ Summary..............................................................................................................................&
Table: Start%u$ 'un(ing.......................................................................................................................&
Chart: Start%u$......................................................................................................................................)
Table: Start%u$.....................................................................................................................................)
#.0 Services..................................................................................................................................................)
#.1 Service *escri$tion............................................................................................................................+
#.2 Technology........................................................................................................................................,
#.# 'uture Services...................................................................................................................................,
&.0 -ar.et /nalysis Summary....................................................................................................................,
&.1 -ar.et Segmentation.........................................................................................................................,
Chart: -ar.et /nalysis 0Pie1...............................................................................................................2
Table: -ar.et /nalysis........................................................................................................................3
&.2 Target -ar.et Segment Strategy.......................................................................................................3
&.2.1 -ar.et 4ro5th..........................................................................................................................10
&.2.2 -ar.et Tren(s...........................................................................................................................11
&.2.# -ar.et 6ee(s............................................................................................................................12
&.# Service 7usiness /nalysis...............................................................................................................12
&.#.1 Com$etition an( 7uying Patterns.............................................................................................1#
&.#.2 7usiness Partici$ants................................................................................................................1#
).0 Strategy an( 8m$lementation Summary...............................................................................................1#
).1 S9!T /nalysis...............................................................................................................................1&
).2 :alue Pro$osition.............................................................................................................................1)
).# -ar.eting Strategy...........................................................................................................................1)
).#.1 Positioning Statement...............................................................................................................1)
).#.2 Pricing Strategy.........................................................................................................................1+
).#.# *istribution Strategy.................................................................................................................1+
).#.& Promotion Strategy...................................................................................................................1,
).& Sales 'orecast...................................................................................................................................1,
Table: Sales 'orecast.........................................................................................................................1,
Chart: Sales -onthly.........................................................................................................................12
Chart: Sales by ;ear..........................................................................................................................12
).) -ilestones........................................................................................................................................13
Chart: -ilestones...............................................................................................................................20
Table: -ilestones...............................................................................................................................20
).+ Com$etitive E(ge.............................................................................................................................20
+.0 -anagement Summary........................................................................................................................21
+.1 !rgani<ational Structure..................................................................................................................21
+.2 -anagement Team...........................................................................................................................21
+.# Personnel Plan..................................................................................................................................22
Page 1
Table of Contents
Table: Personnel.................................................................................................................................22
....................................................................................................................................................................2#
,.0 'inancial Plan.......................................................................................................................................2&
,.1 8m$ortant /ssum$tions....................................................................................................................2&
Table: 4eneral /ssum$tions..............................................................................................................2&
................................................................................................................................................................2&
,.2 ey 'inancial 8n(icators..................................................................................................................2)
Chart: 7enchmar.s.............................................................................................................................2)
,.# 7rea.%even /nalysis........................................................................................................................2+
Chart: 7rea.%even /nalysis...............................................................................................................2+
Table: 7rea.%even /nalysis...............................................................................................................2+
................................................................................................................................................................2+
,.& Pro"ecte( Profit an( =oss.................................................................................................................2,
Chart: Profit -onthly.........................................................................................................................2,
Chart: Profit ;early............................................................................................................................22
Chart: 4ross -argin -onthly............................................................................................................22
Chart: 4ross -argin ;early...............................................................................................................23
Table: Profit an( =oss........................................................................................................................23
................................................................................................................................................................#0
,.) Pro"ecte( Cash 'lo5........................................................................................................................#1
Table: Cash 'lo5...............................................................................................................................#1
Chart: Cash.........................................................................................................................................#2
,.+ Pro"ecte( 7alance Sheet...................................................................................................................##
Table: 7alance Sheet..........................................................................................................................##
................................................................................................................................................................##
,., 7usiness >atios................................................................................................................................#&
Table: >atios......................................................................................................................................#&
,.2 'inancial >is.s an( Contingencies..................................................................................................#)
Table: Sales 'orecast...................................................................................................................................1
......................................................................................................................................................................1
Table: Personnel...........................................................................................................................................2
......................................................................................................................................................................2
Table: 4eneral /ssum$tions........................................................................................................................#
......................................................................................................................................................................#
Table: Profit an( =oss..................................................................................................................................&
......................................................................................................................................................................)
Table: Cash 'lo5.........................................................................................................................................+
Page 2
Table of Contents
......................................................................................................................................................................,
Table: 7alance Sheet....................................................................................................................................2
Page #
Cambri(ge Strategy 4rou$
9.+ C6ecutive #ummary
Last year the doors to ;<;,+++ new businesses opened in the Anited #tates for the first time.
Dost of these businesses were created by entrepreneurs who envisioned an opportunity to
develop a new product or service, and pursued that vision in search of independence and
financial reward. While these visionaries started with solid ideas to form the foundation of their
new ventures, most do not have many of the skills necessary to transform their ideas into
reality. Additionally, the scarcity of talent in todayEs market makes it e6tremely difficult for
small business owners to attract and retain those skills.
TA'()T *A'+)T
.he 1ambridge #trategy Froup $1#F&, L.L.1. is dedicated to providing marketing and
management consulting services to small and emerging businesses looking for opportunities to
increase their potential for success. Anlike traditional management consulting firms that focus
on analyGing problems for large customers, 1#F works e6clusively with small business clients to
develop concrete, practical, short:term action plans that will start moving their businesses in
the right direction. .he 1ambridge #trategy Froup takes advantage of the small business
ownersE need for marketing and management skills, the scarcity of those skills in the market,
and the lack of any major competitor owning the concept of Hsmall business consulting.H
*A,A()*),T
.he 1#F management team brings a broad range of industry e6perience and training from both
energetic small firms and e6perienced industry leaders.
Iohn '. Fordon, C6ecutive Birector! Iohn has worked in marketing, business development, and
corporate strategy for a number of small and large firms, including CD1 1orporation, ,'D
1orporation, and Larscom, ,ncorporated. IohnEs participation on the 5orth 1arolina 1ouncil for
Cntrepreneurial Bevelopment, plus his e6perience providing consulting services to small
businesses, catalyGed the formation of the 1ambridge #trategy Froup.
.odd B. JucGaj, Danaging Birector! .odd has worked in ,nternet consulting, Web
designKdevelopment, financial services, and media publications for a variety of companies,
including a 'ig )ive consulting firm, ,ntegrated ,nformation #ystems ,nc., #unAmerica
#ecurities ,nc., and the )oothills #entinel. .odd currently functions as an e6perienced analyst
for a 'ig )ive consulting firm, working with )ortune 9++ and )ortune e:2+ firms to solve their
business and technology issues.
'en #. 1ordell, Danaging Birector! 'en has worked in business development, account
management, systems engineering, marketing, and product development positions at Life#erv
and L5C 1o. $formerly B1 #ystems&. 'en currently functions as a corporate strategy specialist
at Life#erv, discovering and developing merger, ac-uisition and strategic partnership
opportunities.
-I,A,CIA. S/**A'0
.he market for 1ambridge #trategy FroupEs services is enormous. ,nitially, the three founding
members intend to work part:time on this venture while maintaining full:time positions with
other corporations. As we determine how best to enlarge our operations, we will consider
e6panding the business as defined in our strategy.
Page 1
1hart! Mighlights
9.9 Jeys to #uccess
A5,NAC5C## L) #C7O,1C#
.he 1ambridge #trategy Froup is focused specifically on helping small and emerging businesses
ma6imiGe their potential for success. We combine 'lue 1hip training with small business
e6perience and local presence. We differentiate ourselves in the following ways!
9. -oc1s on small 21siness. We place our best people on small business customers. Lur
mission is to help small businesses of today become the leading corporations of tomorrow.
1ambridge #trategy Froup will attempt to own the words Hsmall businessH in the minds of
our potential clients.
*. Cost"effecti&e personal interaction with local cons1ltant presence. ersonal
interaction provides small businesses with a level of comfort not available with remote
consultants. .here may be many occasions where the small business founders may ask the
consultant to simply Hstop by,H to react to a new development, or to answer a -uestion.
While this local presence and personal interaction is highly valued, business owners are
often unable to afford the cost associated with bringing consultants to them from other
areas.
P. A di&erse network of cons1ltants and alliance partners. #olving the uni-ue problems
that face small businesses today demands a wide range of skills and e6periences. 'y relying
on a nationally distributed talent base coordinated to work together remotely, 1ambridge
#trategy Froup will be able to bring together the skills re-uired by a particular client without
incurring the e6pense of physically bringing all of the individuals together. ,n the book, 22
Immutable Laws of Marketing, authors Al 7ies and Iack .rout note that being first in the
customerEs mind is more important than being the overall leader. ,n the world of small
business, this is particularly true. With ;<;,+++ small businesses starting each year, there is
a significant opportunity for a consulting firm such as 1ambridge #trategy Froup to become
Page 2
the HfirstH consulting firm dedicated e6clusively to small businesses in the minds of a
number of these potential clients.
9.* Lbjectives
.he firm has very small capital re-uirements. Any capital that the firm obtains will be used to
promote the Hsmall business focusH of the firm and cover basic operational costs. )or the firm to
realiGe its full potential, the founders would re-uire compensation e-uivalent to full:time
employment while pursuing initial clients and creating a backlog of work re-uests. .his would
most likely need to cover at least one yearEs salary for each of the three managers.
Additionally, funding for initial marketing projects would help to ensure that the firm could
establish a claim to the Hsmall business consultingH concept in the target market. ,n e6change
for the funding, 1#F would provide an e-uity stake to the funding company. ,deally, we would
like to work with the funding company to help its other clients succeed.
*.+ 1ompany #ummary
B/SI,)SS 3)SC'IPTI4,
1ambridge #trategy Froup is a 5orth 1arolina:based consulting firm that responds to
entrepreneursE need for practical business and marketing services to turn their innovative ideas
into successful business ventures. .hrough interaction with a number of aspiring entrepreneurs,
the founders of the 1ambridge #trategy Froup discovered a ready market of clients who were
eager to take advantage of the foundersE skills, understanding, and insight into their
businesses. .he 1ambridge #trategy Froup is e6clusively focused on small businesses. Lur goal
is to own the idea Hsmall businessH or Hsmall business consultingH in the minds of our target
market.
C4*PA,0 A,A.0SIS
.he 1ambridge #trategy Froup has identified a real business opportunity that has been
neglected by earlier consulting firms due to its comple6 customer base. 'elow, we have
identified the opportunities and threats in the environment, as well as our particular strengths
and weaknesses that will enable us to succeed!
4PP4'T/,ITI)S A,3 T5')ATS
.he 1ambridge #trategy Froup has analyGed the market and believes that a real opportunity
e6ists to provide services to small businesses. .he following paragraphs describe the
environment in which the company will compete, and the key success factors necessary to
perform well.
4pport1nities 0 .he number of new businesses starting each year in the A.#. and specifically
in the .riangle Area of 5orth 1arolina create a siGeable market. Dany of these businesses are
started by an entrepreneur with a solid idea, but little e6perience in creating the formal
business strategies or marketing deliverables necessary to turn their idea into a successful
business. With recent ,Ls giving back much of their initial valuations, companies are now
being forced to demonstrate profitable business models in order to maintain strong valuations.
Oenture capitalists need to focus on making their e6isting companies successful instead of
simply prospecting for the ne6t great idea. .o accomplish this, founders need to effectively
define and communicate their value propositions. #ince this is not a core competency for many
entrepreneurs, there is an opportunity to provide this skill set through outsourcing
arrangements. Additionally, founders need e6perience in sales and marketing to e6ploit market
opportunities and create early revenue wins. )inally, no business currently e6ists with dominant
mind:share as a Hsmall business consultingH firm.
Page #
Threats 0 'usinesses in the early stages of their life cycles, usually through the Angel funding
stage, tend to have e6tremely tight budgets. Lnce the business reaches the venture:funded
stage, it often has more cash to devote to outsourcing of non:core competencies. 'arriers to
entry in this market are e6tremely low. #uccessful consultants will have to work to earn a few
client successes and then aggressively build a reputation as the Hsmall business consultants.H
'uilding a reputation will re-uire funding. Migh:profile consulting firms could -uickly enter this
market. ,n order to keep costs low, it is assumed that they would begin out of a major office,
leaving the .riangle Area of 5orth 1arolina available. Mowever, low cost of living in the .riangle
Area may facilitate e6pansion. Cstablishing area contacts will be critical to hedge against new
firms entering the area.
*.9 #tart:up #ummary
.he following chart and table show the start:up e6penses for 1ambridge #trategy Froup.
.able! #tart:up )unding
Start-up Funding
Start-up Expenses to Fund $4,650
Start-up Assets to Fund $110,850
Total Funding Required $115,500
Assets
on-!as" Assets #ro$ Start-up $%,000
&as" Require$ents #ro$ Start-up $10',850
Additional &as" Raised $0
&as" (alan!e on Starting )ate $10',850
Total Assets $110,850
*ia+ilities and &apital
*ia+ilities
&urrent (orro,ing $0
*ong-ter$ *ia+ilities $0
A!!ounts -a.a+le /0utstanding (ills1 $500
0t"er &urrent *ia+ilities /interest-#ree1 $0
Total *ia+ilities $500
&apital
-lanned 2n3est$ent
4o"n 5ordon $40,000
Todd 6u!7a8 $40,000
(en &ordell $%5,000
Additional 2n3est$ent Require$ent $0
Total -lanned 2n3est$ent $115,000
*oss at Start-up /Start-up Expenses1 /$4,6501
Total &apital $110,%50
Total &apital and *ia+ilities $110,850
Total Funding $115,500
Page &
1hart! #tart:up
.able! #tart:up
Start-up
Require$ents
Start-up Expenses
*egal $900
Stationer. et!: $100
(ro!"ures $150
2nsuran!e $900
0t"er $4,000
Total Start-up Expenses $4,650
Start-up Assets
&as" Required $10',850
0t"er &urrent Assets $%,000
*ong-ter$ Assets $0
Total Assets $110,850
Total Requirements $115,500
P.+ #ervices
.he 1ambridge #trategy Froup portfolio is designed to provide targeted marketing and
management services to small businesses. )rom helping entrepreneurs define their business
plans to improve their chances for obtaining venture funding, to creating concrete marketing
deliverables to promote their original ideas, the 1ambridge #trategy Froup seeks to help small
businesses at various stages of development. Lur services fall into four major categories.
9. Danagement consulting@
Page )
*. Darket planning@
P. 1ommunication services@
Q. .echnology.
*A,A()*),T C4,S/.TI,(
.he 1ambridge #trategy Froup helps entrepreneurs build a solid managerial foundation from
which the rest of their business can e6pand and grow. We construct organiGational development
blueprints for young firms searching for a solid structure to build upon, and assist in
constructing business plans for fledgling companies to improve their chances of obtaining
venture funding. 1#F offers insights and ideas for how small businesses can discover and
sustain their competitive advantage in todayEs business landscape where a lack of continuous
and constant innovation can be fatal. )urthermore, we offer e6pertise in other areas such as
profit modeling to assist small businesses in their future planning, especially in todayEs market
where heavy emphasis has been placed upon a companyEs ability to show profits rather than
pure growth.
*A'+)T P.A,,I,(
Beciding how to present an innovative idea to the market is critical. We have e6pertise in
turning that idea into a successful business venture. Lur market planning services help small
business founders determine the best messaging for their companies through market and
competitive analysis.
We then take the information gained in our analyses and create an effective marketing mi6
encompassing all of the elements of product or service definition. )inally, we can help our
clients develop a launch plan to give their product or service a good chance at success. When
necessary, we will help to develop marketing or business development partnerships.
C4**/,ICATI4, S)'6IC)S
.hrough our past e6perience in media operations, 1#F provides e6pertise in a variety of
communication formats. 1#F composes professional press releases for the media as well as
business proposals of all types for both clients and partners. )urthermore, with our
understanding of how important company name recognition is to the initial success of small
businesses, we help companies create and establish their image through proven branding
techni-ues. 1#F can also create marketingKsales collateral, business cards, and other business
materials when needed by our clients.
P.9 #ervice Bescription
.he 1ambridge #trategy Froup offers four types of services to help small and emerging
businesses at various stages of their business development. Lur services range in scope from
helping to turn a business strategy into a detailed set of concrete actions and milestones, to
creating websites and writing collateral for businesses lacking marketing e6pertise. .hese
tailored services solve the problem of finding marketing talent while minimiGing costs.
9. *anagement cons1lting7 business strategy, organiGational development, profit modeling,
sustainable competitive advantage identification@
*. *arket planning7 market analysis, value proposition creation, partnership identification,
marketing mi6 development, launch strategies, messaging@
P. Comm1nication ser&ices7 press release development, proposal writing, image creation,
marketingKsales collateral construction@
Q. Technology7 website development, Web hosting, email enablement.
Page +
P.* .echnology
.he 1ambridge #trategy Froup understands the importance of implementing the technological
components of a small business as soon as possible in order to facilitate communication
between the company and its clients, employees, and partners. .herefore, we offer assistance
in email enablement as well as phone and fa6 set:up. 1#F also offers e6pertise in constructing
an ,nternet presence through Web development and Web hosting.
P.P )uture #ervices
ST'AT)(0
.he 1ambridge #trategy Froup has a three:part strategy for managing business growth.
,nitially, 1#F will be based out of the .riangle Area of 5orth 1arolina, which was ranked RP on
the si6th annual listing of Bun and 'radstreetEs H'est 1ities for #mall 'usinessH from
Entrepreneur magaGine.
#tarting from 5orth 1arolina, our three:part growth strategy is as follows!
9. )8pansion of Cons1lting Team7 We will add new consultants in other A.#. and foreign
cities to increase our skill base and provide more Hpoints of local contactH for our clients.
*. Introd1ction of ,ew Ser&ices7 5ew team members will bring new skills and potentially
allow us to offer new services to our small business clients. Lne possible e6ample is helping
small businesses e6pand their operations overseas.
P. )&ol1tion of B1siness 4perations7 While our initial clients will be obtained through our
consultants, ultimately we will create alliances with Oenture 1apital firms. Lur goal is to
work with clients and Oenture 1apital firms to help turn business ideas into successes.
Q.+ Darket Analysis #ummary
.he 1ambridge #trategy Froup intends to enter the market for providing marketing and
management consulting services to new and emerging small businesses. .he sections below
discuss our analysis of the environment, the target market, our competitors, and the company.
.he environment is well suited for the 1ambridge #trategy Froup. While the market for startups
and skyrocketing ,Ls appears to be cooling off, this slowdown provides an opportunity for 1#F
to establish a presence in the small business arena before the ne6t growth period.
Q.9 Darket #egmentation
),6I'4,*),TA. -ACT4'S
.he following factors define the environment in which 1#F hopes to succeed.
9. Physical7 5ew businesses are being formed across the Anited #tates every day. roviding
consulting services to these businesses will re-uire local presence. 5orth 1arolinaEs .riangle
Area has recently been rated as one of the top three metropolitan areas for small
businesses by Bun and 'radstreetEs Entrepreneur magaGine.
*. .egal7 .he creation of the Limited Liability 1ompany has made it very simple for new
businesses to organiGe as formal business entities. Limited Liability 1ompanies are ideal for
small businesses as they avoid the double ta6ation characteristic of 1 1orporations, while
Page ,
providing limited liability for the company members.
P. )conomic7 1urrent economic conditions are continuing to challenge investorsE views
regarding the potential for return. .he market is no longer rewarding entrepreneurs solely
on the strength of their ideas. ,nstead, business owners and Oenture 1apitalists are
e6pected to show profitability before they will be allowed to reap the rewards of their hard
work. While small business owners bring innovative ideas and possibly leadership -ualities
to their organiGation, they will need to rely upon skills from other disciplines, including
marketing, to succeed.
Q. Social7 According to a #mall 'usiness Administration report, A.#. small business is at an
all:time high (The Facts About mall Business! "###$ Hinterest in owning or starting a small
business has broken new records Sbetween 9<<P and 9<<;T.H While recent stock market
corrections may have frightened a segment of potential entrepreneurs, the opportunity for
financial reward keeps many small business owners diligently chasing their dreams.
2. Technological7 7ecent advances in technology have greatly enhanced the ability for
distributed teams to work together on common projects. .he proliferation of the ,nternet
facilitates data sharing and communication. Ooice:over:, technology reduces the cost of
conversation between 1#F members working across the country.
With these conditions in mind, 1#F will concentrate on initially building clients in the 5orth
1arolina area before e6panding into other areas. We will be concentrating on all businesses that
employ less than 9++ individuals. 1#F will not segment its market to any greater degree since
the company wants to build clients as -uickly as possible. .herefore our market analysis chart
below reflects this initial strategy.
1hart! Darket Analysis $ie&
Page 2
.able! Darket Analysis
Market Analysis
;ear 1 ;ear 9 ;ear % ;ear 4 ;ear 5
-otential &usto$ers 5ro,t" &A5R
S$all +usinesses in ort"
&arolina
5< 150,000 156,'50 16%,804 1'1,1'5 1'8,8'8 4:50<
0t"er 0< 0 0 0 0 0 0:00<
Total 4:50< 150,000 156,'50 16%,804 1'1,1'5 1'8,8'8 4:50<
Q.* .arget Darket #egment #trategy
.he target market is defined by the customer needs that create the market, the structural
forces that govern operation within the market, and the attractiveness of the market based on
strategic value, market siGe, market growth, and potential for profit. Cach of these areas is
described below.
ST'/CT/'A. -ACT4'S
articular market forces affect the ability of the 1ambridge #trategy Froup to succeed. .hese
forces are identified below!
9. B1yer Power7 With almost <++,+++ new businesses starting each year, there is ample
demand for consulting services. ,f any particular business chooses to work with another
consulting firm, there are still a large number of firms that can be targeted by 1#F. 'uyers
have power in this market, but the siGe of the market makes it unlikely that buyer power
will have any significant negative impact on the consulting firm.
*. Threat of Con&entional Competitors7 5o other conventional competitor owns the idea of
Hsmall business consultingH in the minds of todayEs business owners. A number of high:
profile management and marketing consulting firms e6ist, yet most of these firms have a
reputation for being e6pensive and much too theoretical for small business owners who
have practical, short:term concerns. #till, there is potential for these firms to open distinct
teams of consultants focused on this market place. .hese teams would have particular
strength in an area where the competitors already have an established consulting presence,
such as the major A.#. cities. 'y beginning our efforts in the .riangle Area of 5orth
1arolina, 1ambridge #trategy Froup will e6ploit an area that has a very strong market of
small businesses, yet does not have many high:profile competitor offices outside of ta6
specialists. 5o smaller competitor has emerged in this area.
P. S1pplier Power7 #uppliers have minimal power over a consulting firm. .he
www.cambridgestrategy.net website A7L as well as all of the 1ambridge #trategy Froup
email addresses are owned by 1#F. Lur Web:hosting provider can be changed -uickly in
the event of any disruption of service. 1#F intends to work with third party alliance partners
to fulfill client projects. )or e6ample, 1#F is in the process of entering into an agreement
with a Web development firm. .his supplier will provide website development for the
www.cambridgestrategy.net website in e6change for first right of refusal for future client
projects. 1ontractual stipulations have given the Froup legal remedies to terminate the
contract due to cost, -uality, or time issues with the supplier. 'y crafting supplier contracts
in a careful manner, we hope to limit our e6posure to risk due to suppliersE power.
Q. Threat of S12stit1tes7 otential substitutes are a very real threat. Oenture 1apitalists
could add more consulting services to their portfolio in order to have more points of contact
Page 3
with the new business. Additionally, non:profit groups such as the 1ouncil for
Cntrepreneurial Bevelopment offer basic business plan services, primarily focusing on pre:
Angel businesses. 1ambridge #trategy Froup intends to form relationships with each of
these potential substitutes. 'y working with Oenture 1apitalists, 1#F is able to provide a set
of core competencies in marketing and business strategy that complements the O1s funding
and business model assessment competencies. Also, by becoming more involved with the
1ouncil for Cntrepreneurial Bevelopment and other non:profit organiGations, 1#F will gain
access to a number of firms who will be potential prospects for marketing consulting once
they receive their initial funding.
2. Threat of ,ew )ntrants7 .his threat is significant as there are very few barriers to entry
in a consulting market. 1onsulting firms do not normally have significant intellectual
property that can be patented, and the re-uirements for creating these firms are minimal.
)ortunately, the siGe of the new business market should sustain a number of firms in this
area. .he 1ambridge #trategy Froup will focus on gaining ownership of the idea Hsmall
business consultingH in the mind of the market. 'y owning that idea, 1#F will minimiGe its
e6posure to new consulting firms with similar targets. Lwning this idea is an e6pensive task
that will have to start locally and move from one city to another as the company e6pands.
Q.*.9 Darket Frowth
According to recent research from the A.#. #mall 'usiness Administration office, a record
number of new small businesses opened their doors in 9<<;. .his record was broken again in
9<<< as the overall small business market grew 9.23. .he growth of the market is not nearly
as important to the 1ambridge #trategy Froup as its siGe. 1#F will need to focus on how to
capture the most out of the e6isting market, even if it declines in siGe, before thinking about
e6panding. otentially, the low growth may dissuade some competitors from entering the
market, providing the 1ambridge #trategy Froup with an opportunity to capture market: and
mind:share before more competitors enter.
*A'+)T ATT'ACTI6),)SS
.he 1ambridge #trategy Froup is entering the market for small business marketing and
management consulting services. .he growing number of small businesses in the Anited #tates,
particularly in the .riangle Area of 5orth 1arolina, constitute an enormous potential client base
that demands the skills provided by the 1ambridge #trategy Froup.
9. Strategic 6al1e7 .he small business consulting market is a strategic, and available,
segment for the 1ambridge #trategy Froup. Dany companies are able to get customers to
associate a particular concept or idea with their firm. .o date, there is no clear association
for Hsmall business consulting.H Lver time, the 1ambridge #trategy Froup will attempt to
capture this association.
*. *arket Si9e7 .he siGe of the market is an important factor. While the large number of small
businesses starting each year will make it difficult to gain significant share of the market in
the near term, it does help to ensure that there will be initial customers available to the
1ambridge #trategy Froup.
P. Potential for Profit7 .he potential for profit in this segment is very high. .he operating
costs re-uired to address this segment are minimal, allowing a majority of service revenue
to be turned directly into profit. While the barriers to competitive entry may be fairly low, no
clear leader has gained the mind:share of the potential client market. Additionally, based on
the overwhelming siGe of the market and the distributed nature of the potential clients, it is
unlikely that any competitor will be able to dominate the market in the near future.
Page 10
*arket Attracti&eness S1mmary
-actor :eight Score :eighted Score
#trategic Oalue .P <.+ *.=
Darket #iGe .P <.+ *.=
Darket Frowth .9 2.+ +.2
otential for rofit .P <.+ *.=
Total: ;.>
Q.*.* Darket .rends
I,3/ST'0 BAC+('4/,3
.he industry is ideal for the emergence of a firm such as the 1ambridge #trategy Froup. .he
following facts were listed in a 5ovember 9<<< report published by the A.#. #mall 'usiness
Administration!
,n 9<<;@ ;<;,+++ new businesses opened in the Anited #tates : the most ever.
,nterest in owning or starting a small business has broken new records over the last five
years and part:time entrepreneurs have dramatically increased.
)rom 9<<Q to 9<<;, about 99.9 million net new jobs were added to the economy. According
to 1ognetics, ,nc., virtually all were generated by small firms with fewer than 2++
employees. Dicrobusinesses with 9:Q employees generated >+.* percent of the net new jobs
over this period@ firms with 2:9< employees contributed another 9;.P percent.
Lf the Q.2 million workers in high:technology occupations $scientists, engineers, computer
programmers, and analysts&, P=.< percent worked in small firms in 9<<>.
)irms were started for very traditional reasons. Cntrepreneurs had a clear perception of an
opportunity to develop a business through a new product, coupled with a desire for both
independence and financial reward.
.he marketing strategy most fre-uently cited by respondents was either to be the first to
the market with a new product or to find a market niche and develop it. .hese companies
much less fre-uently wait for a market to develop.
Additionally, the fact that the stock market has been slowing during the past year will likely
take some of the glitter off of the small business market. .his will allow the 1ambridge #trategy
Froup to establish a market presence and prepare to grow during the ne6t period of rapid
investment.
Page 11
Q.*.P Darket 5eeds
Within the small business market, there are a number of segments, each with distinct
objectives, resources, and needs.
C1stomer
Segmentation
42;ecti&es 'eso1rces ,eeds
*icro"
21sinesses
<1 " = people>
5ot funded
Bemonstrate viability
of business plan.
,nitial ideas. reliminary
business plan. )ew people.
5o budgets.
Melp formulating business
plan to gain investor interest
in idea. 'usiness strategy.
Angel funded
Fain second round of
funding to start
e6ecuting fully. )ind
resources.
Nualified ideas. )irst level
business plan. )ew people.
#mall budgets.
Befined roadmap and
milestones. 1reation of initial
messaging.
Oenture funded
'egin e6ecuting
against business plan
in pursuit of revenue
and profit.
Befined productKservice.
'asic messaging. )ew
people. 'udgets and
objectives to meet.
Darketing deliverables. #ales
strategies. 1ommunication.
Dore peopleKresources.
Small
21sinesses
<! " #$$>
5ot funded
Bemonstrate viability
of business plan.
,nitial ideas. reliminary
business plan. eople. 5o
budgets.
Melp formulating business
plan to gain investor interest
in idea. 'usiness strategy.
Angel funded
Fain second round of
funding to start
e6ecuting fully.
Nualified ideas. )irst level
business plan. eople. #mall
budgets.
Befined roadmap and
milestones. 1reation of initial
messaging.
Oenture funded
'egin e6ecuting
against business plan
in pursuit of revenue
and profit.
Befined productKservice.
'asic messaging. eople.
'udgets and objectives to
meet.
Darketing deliverables. #ales
strategies. 1ommunication.
C6perience, resources.
.he 1ambridge #trategy Froup will initially target the funded segments of the small business
market to ensure that its bills will be paid. As 1#F becomes more sophisticated, it will consider
performing work for e-uity.
Q.P #ervice 'usiness Analysis
C4'P4'AT) -IT
.he 1ambridge #trategy Froup is poised to take advantage of the trends identified above. 'y
combining the marketing and management e6perience, small business focus, and local
presence in key markets, the 1ambridge #trategy Froup will help the growing number of small
businesses increase their chances for success.
.he 1ambridge #trategy Froup is a Limited Liability 1ompany designed to offer limited liability
to the members. 1#F is incorporated in 5orth 1arolina where it will initially focus its operations.
Page 12
.he rapidly growing .riangle Area of 5orth 1arolina, which includes 7aleigh, Burham, 1hapel
Mill, and 7esearch .riangle ark, was recently ranked RP on the list of large metropolitan areas
in Bun and 'radstreetEs Entrepreneur magaGineEs si6th annual listing of the H'est 1ities for
#mall 'usinesses.H 1#FEs initial address is in 1hapel Mill, 5orth 1arolina. Mowever, with
consultants distributed across the nation, 1#F can easily e6pand its target client base to
encompass other regions through the use of e6isting and tested technology. 1urrently, our
consultants live in or near hoeni6, AU@ 1hicago, ,L@ and 'oston, DA in addition to 1hapel Mill,
51.
Q.P.9 1ompetition and 'uying atterns
1ompetitors to the 1ambridge #trategy Froup fall into four categories!
9. Segment 'i&als7 #egment 7ivals offer the e6act same services as the 1ambridge #trategy
Froup. .hese firms must focus e6clusively on small businesses and offer marketing andKor
management strategy services. While the market is certainly large enough to sustain
multiple segment rivals, the 1ambridge #trategy Froup will attempt to ensure that its name
is well known in all its target markets.
*. *arket 'i&als7 .here are a number of available Darket 7ivals who compete with the
1ambridge #trategy Froup while having slightly different business focuses. C6amples of
market rivals include start:up focused branches of 'ig )ive 1onsulting )irms, Danagement
1onsulting )irms, and Oenture 1apitalists who also provide business services. .he
1ambridge #trategy Froup will attempt to compete with these firms by demonstrating its
focus on Hsmall business consulting.H
P. (eneric 'i&als7 Feneric 7ivals represent alternative solutions. .he main alternative to
outsourcing work to a consulting firm is performing the work in:house. .he 1ambridge
#trategy Froup will attempt to demonstrate the value of outsourcing marketing and
management work to a consulting firm in order to $9& utiliGe the core competencies of the
consulting firm and $*& reduce the costs associated with hiring full:time employees.
Q. Str1ct1ral 'i&als7 #tructural 7ivals are the forces inherent in the market through which
the firm must operate. .hese forces were described in the previous section entitled .arget
Darket Analysis.
Q.P.* 'usiness articipants
A number of other firms will compete with the 1ambridge #trategy Froup. Bue to the siGe of
the available market, it will be e6ceptionally difficult for any of these competitors to gain
significant market share. Mowever, it will also be difficult for the 1ambridge #trategy Froup to
control the market.
2.+ #trategy and ,mplementation #ummary
.he 1ambridge #trategy Froup has outlined a three:stage strategy for e6panding its services
and operations. As 1#F e6pands its offerings, it will constantly focus on finding new ways to
help small businesses become more successful.
9. )8pansion of Cons1lting Team7 As the e6isting team gains e6perience working together
across time Gones, 1#F will add new consultants who bring various skill sets to the
company. We will open up additional offices in other cities and states to provide more
Page 1#
Hpoints of local contactH for our clients.
*. Introd1ction of ,ew Ser&ices7 5ew team members will bring new skills and potentially
allow us to offer new services to our small business clients. Lne possible e6ample is helping
small businesses e6pand their operations overseas.
P. )&ol1tion of B1siness 4perations7 While our initial clients will be obtained through our
consultants, ultimately 1#F will evolve to create alliances with Oenture 1apital firms in order
to help the companies that they have funded become successful.
2.9 #WL. Analysis
.he following diagram summariGes how our #WL. analysis defines the Jey #uccess )actors of
the market and Bistinctive 1ompetencies of the 1ambridge #trategy Froup.
Strengths :eaknesses
3istincti&e
Competencies
#kills in marketing,
communications
Local presence in major
market
#mall 'iG focus
Cntrepreneurial
relationships
)ounders working full:
time jobs
Little e6perience in
accounting
)ew people initially
limit serviceable
market
Large company skills
#mall biG e6perience
)ocus on #mall 'iG
Food relationships
Asing technology to
reduce client costs
4pport1nities Threats +ey S1ccess -actors
Large R of businesses
starting in Anited #tates
'usiness growth in
.riangle Area, 51
Lack of marketing skills
)ocus on profit
#mall budgets
Low barriers to entry
Well funded
competitors
5eed for local
presence
1ore strengths in
marketingKstrategy
Local presence
#mall 'usiness focus
Oenture 1apital
relationships
ST'),(T5S A,3 :)A+,)SS)S
.he 1ambridge #trategy Froup has a number of strengths that will enable it to favorably
compete in this market. ,ts weaknesses are addressable and will be improved over time.
Strengths 0 .he founders of the 1ambridge #trategy Froup have a broad background in
marketing and communications that can easily be leveraged by a number of small business
companies. .he founders combine the training and knowledge gained at large firms such as
,'D, CD1, and #unAmerica with small business work e6perience at a number of technica and
consulting firms. 1#F has a local presence in the .riangle Area of 5orth 1arolina, which has
recently been rated as the RP metropolitan area for small businesses in the A.#. by Bun and
'radstreetEs Entrepreneur magaGine. 'y using the latest technology to communicate among
consultants and work together on projects, 1#F will be able to minimiGe its costs and fees
charged to its customers. 1#F will stay focused on small businesses in an effort to own the
category name. 1#F also participates in the 5orth 1arolina chapter of the 1ouncil for
Cntrepreneurial Bevelopment.
:eaknesses 0 1urrently, the founders of 1#F all have full:time positions in consulting,
business development or marketing strategy. All are working for 1#F as a second job,
preventing 1#F from taking full advantage of the opportunities available. ,n order to minimiGe
out:of:pocket costs, 1#F is only concentrating on businesses in the .riangle Area of 5orth
Page 1&
1arolina. With consultants in 1hicago, ,L@ hoeni6, AU@ and potentially 'oston, DA@ ortland,
L7@ and London, Cngland, the opportunity to e6pand into other high:growth areas is available,
but will re-uire additional resources. 1#F also does not have e6tensive skills in accounting and
intends to find a lead accountant to either work on staff or as an outsourced contractor to
provide services. With only three to four founders, 1#F is unable to handle more than one or
two projects at a time. .his will be addressed as 1#F becomes more comfortable with their
projects, and is ready to e6pand the siGe of the team.
3istincti&e Competencies 0 .he distinctive competencies for the 1ambridge #trategy Froup
are!
Local presence and contacts in the .riangle Area of 5orth 1arolina with opportunities for
e6pansion into other major markets@
1ore competencies in marketing, strategy, consulting, and communication@
Dinimal fi6ed costs which will allow us to keep prices low while remaining profitable@
)ocus on small businesses@
Large company skill and small business e6perience.
2.* Oalue roposition
)or small and emerging businesses looking for opportunities to increase their chance at
success, 1#F offers a set of services designed to improve overall business e6ecution. Anlike
traditional management consulting firms that concentrate on helping large clients identify
problems, 1#F focuses e6clusively on working with small businesses to implement concrete,
practical, short:term actions designed to start moving their business in the right direction.
3I--)'),TIA. A36A,TA()
.he 1ambridge #trategy Froup will create a value proposition based on the following differential
advantage ideas!
)ocus on helping small businesses to start moving in the right direction@
ractical, actionable, short:term marketing and business strategy help@
Local presence for availability and minimiGation of costs@
'road skill base combining )ortune 2++ training with small business e6perience.
2.P Darketing #trategy
.he Darketing Di6 defined below e6plains the value that we will bring to our clients as well as
the channels, communication, and costs that will be associated with our services.
2.P.9 ositioning #tatement
.he 1ambridge #trategy Froup provides much needed skills and e6perience to small business
founders to help their businesses start moving in the right direction. Lur services are tailored
specifically to the uni-ue needs of small and emerging businesses and focus on practical, short:
term actions that can improve overall business e6ecution. With a shortage of available talent
plus the typical budget pressure usually associated with small businesses, our services provide
a cost:effective alternative to obtaining highly:skilled marketing and strategy resources.
Page 1)
.he 1ambridge #trategy Froup will position itself as the leading marketing and management
consulting firm focusing e6clusively on small businesses. .he diagram below summariGes our
positioning!
2.P.* ricing #trategy
.o simplify billing to clients, the 1ambridge #trategy Froup will work on a fi6ed pricing
structure. 1#F will determine the standard pricing structure for each deliverable based on
hourly estimates and fees. .his will be e6pressed to the client as a per:deliverable fi6ed price in
a -uote. 1lients can determine which deliverables they would like to purchase. 1#F will charge
the -uoted price even if we have underestimated hours, to maintain credibility with budget:
conscious small businesses. ricing structure will be based on V<+Khour multiplied by the
number of hours that it would take our most e6perienced consultant to finish the project. ,f less
e6perienced consultants participate on the project, it will likely take more time@ however, the
price of the deliverable to the client will not change.
,n time, 1#F may consider a cash:and:e-uity arrangement, or potentially all e-uity for specific
projects. 'efore we can begin with this stage of pricing, we will need more e6perienced finance
and accounting skills to determine proper e-uity stakes that should be re-uested, etc.
Additionally, 1#F will offer cost:effective Web:hosting services that will provide ongoing
revenue streams. ,t is anticipated that most clients will sign:up for our one:year contracts
re-uiring minimal accounting.
2.P.P Bistribution #trategy
Lur initial focus will be in the .riangle Area of 5orth 1arolina. .he .riangle Area was recently
rated RP in Bun W 'radstreetEs Entrepreneur magaGine list of the best metropolitan areas for
small business. Lnce we secure our first client successes, we will e6pand to other regions where
we already have a consulting presence, such as hoeni6, AU and 1hicago, ,L. Lur locations and
focus will e6pand as we add new consultants to our talent pool.
Page 1+
2.P.Q romotion #trategy
We will use a number of relationships to promote the 1ambridge #trategy Froup.
.hrough participation in the 5orth 1arolina 1hapter of the 1ouncil for Cntrepreneurial
Bevelopment, we will make contacts with key Oenture 1apitalists, small business founders, and
small businesses resources in the area. Lnce we have helped our first few clients, we will then
e6plore relationships with local newspapers. articipating in local chambers of commerce will
also help us to get increased e6posure. ,n every method of communication, we will constantly
reinforce our differential advantage!
)ocus on helping small businesses start moving in the right direction@
ractical, actionable, short:term marketing and business strategy help@
Local presence for availability and minimiGation of costs@
'road skill base combining )ortune 2++ training with small business e6perience.
2.Q #ales )orecast
-I,A,CIA. -4')CASTS
.he *++9 ,ncome )orecast model below demonstrates our initial test of the business concept.
We have been conservative in our estimates of e6penses, project siGe, project number, and
income!
.he short:term *++9 ,ncome )orecast e6pects the 1ambridge #trategy Froup to complete a
total of four client projects, averaging 2+ hours each during *++9. As we move into the Long:
term ,ncome )orecast we assume that we have started working on more substantial projects
identified by both Oenture 1apital firms and their sponsored companies.
.he *+ projects averaging *++ hours each listed in *++* represents appro6imately two person:
years of work. Mowever, additional time must be included for finding new clients and building
Oenture 1apitalist relationships. )or this forecast to become a reality, it will re-uire either! $a&
additional consultants to join the firm or $b& some members of 1#F to work full:time on group
activities. 5ote that HprojectsH are not synonymous with Hclients.H Any given client may re-uire
multiple projects from 1#F.
Bue to the low overhead associated with consulting, the 1ambridge #trategy Froup should be
profitable in its first year of operations. .he revenue potential of 1#F is gated solely by the
founders need to provide a constant income while filling the pipeline of the firm. .he revenue
figure in year *++P represents less than five person:years of consulting work and could easily
be e6ceeded by a larger, fully:committed team.
.able! #ales )orecast
Sales Forecast
;ear 1 ;ear 9 ;ear %
Sales
&onsulting -ro8e!ts $18,000 $950,000 $450,000
0t"er $0 $0 $0
Total Sales $18,000 $950,000 $450,000
)ire!t &ost o# Sales ;ear 1 ;ear 9 ;ear %
Page 1,
&onsulting -ro8e!ts $9,%40 $46,800 $'',990
0t"er $0 $0 $0
Subtotal Direct Cost of Sales $9,%40 $46,800 $'',990
1hart! #ales Donthly
1hart! #ales by Year
Page 12
2.2 Dilestones
*I.)ST4,)S A,3 SC5)3/.)
.he milestones and schedule outlined below combine 1ambridge #trategy FroupEs corporate
strategy and e6ecution plan. #uccessful implementation will realiGe the financial projections
discussed above.
4B?)CTI6)S
.he 1ambridge #trategy Froup is positioning itself for steady, sustainable growth. )orming
long:term, strategic partnerships with Oenture 1apital firms in the .riangle Area of 5orth
1arolina will further the mission of 1#F by filling the sales pipeline with targeted small
businesses. An established Oenture 1apital relationship will also open up new resources to 1#F,
materially impacting operations and service offering. 5ew clients will be sought when Froup
resources are available to provide the highest level of consulting service. 1#F strives to achieve
9++3 client satisfaction in all projects undertaken@ conse-uently, a significant percentage of
clients and projects will be generated from e6isting clientele. 5ew consultant recruiting and
hiring will always be driven by client needs. Feographic and service offering e6pansion will
leverage e6isting client needs.
S1mmary
#teady growth@
Oenture 1apital firm partnership@
9++3 1lient satisfaction@
7epeat clients@
Logical e6pansion of both services and locations.
*A?4' *I.)ST4,)S
.hese milestones demarcate the growth of 1ambridge #trategy Froup and serve as a progress
report of how well 1#F is e6ecuting its strategy, vision, and business model.
,ncorporation! established 1ambridge #trategy Froup as a going concern@
1ommunication infrastructure! enable team email addresses, etc.@
1reate website! communicates FroupEs vision and value proposition@
)irst clients! validates business model and market need@
#trategic 7elationship with Oenture 1apital firm! deepens sales pipeline, e6pands resources
and strengthens position within small business community@
)irst employees! further business model validation demonstrating that demand has
e6ceeded the resources of 1#FEs management@
#ervice e6pansion! signifies client satisfaction and demand for greater breadth of service@
Feographic e6pansion! demonstrates regional and national need for small business:focused
consulting services.
SC5)3/.)
.he schedule below plots the 1ambridge #trategy FroupEs e6ecution timeline. 'y combining
1#FEs strategy and objectives with our milestones and e6ecution schedule, the financials
discussed above will be realiGed.
Page 13
1hart! Dilestones
.able! Dilestones
Milestones
=ilestone Start )ate End )ate (udget =anager )epart$ent
2n!orporation 1>1>9009 %>%1>9009 $0 A(& =ar?eting
&o$$uni!ation 2n#rastru!ture 1>1>9009 %>%1>9009 $0 A(& =ar?eting
0perating Agree$ent 1>1>9009 %>%1>9009 $0 A(& @e+
@e+site 4>1>9009 6>%0>9009 $0 A(& @e+
&lients '>1>9009 19>%1>9006 $0 A(& )epart$ent
Full-Ti$e @or?>(usiness 10>1>900% 19>%1>9006 $0 A(& )epart$ent
Aenture &apital -artners"ip 4>1>9004 6>%0>9004 $0 A(& )epart$ent
Bire E$plo.ees 4>1>9004 19>%1>9006 $0 A(& )epart$ent
5eograp"i! Expansion 4>1>9005 6>%0>9005 $0 A(& )epart$ent
Ser3i!e 0##ering Expansion '>1>9004 C>%0>9004 $0 A(& )epart$ent
Totals $0
2.> 1ompetitive Cdge
.he 1ambridge #trategy Froup is focused specifically on helping small and emerging businesses
ma6imiGe their potential for success. We differentiate ourselves in the following ways!
9. -oc1s on small 21siness7 Lur mission is to help small businesses of today become the
leading corporations of tomorrow. 1ambridge #trategy Froup will attempt to own the words
Hsmall businessH in the minds of our potential clients.
*. Cost"effecti&e personal interaction with local cons1ltant presence7 We will target
new regions with local consultants, allowing us to personally interact with small businesses
without needing to bring consultants to the region.
Page 20
P. A di&erse network of cons1ltants and alliance partners7 'y relying on a nationally
distributed talent base coordinated to work together remotely, we will be able to bring
together a variety of skills to meet the needs of our clients.
+ey S1ccess -actors7 After e6ploring the opportunities and threats that permeate this
market, the following Jey #uccess )actors emerge as the re-uirements to be successful at
providing marketing and management consulting services to small businesses.
Local presence in a strong small business market@
Affordable pricing structureKminimal costs@
1lear value proposition, communicated into target market@
1ore competencies in marketing and strategy@
7ecognition as leading Hsmall business consultantsH or, no other firm claiming that title@
Oenture 1apitalist relationships.
>.+ Danagement #ummary
.he company is organiGed as a manager:managed Limited Liability 1ompany. ,nitially, we will
have three members with e-ual e-uity stakes in the company making all voting decisions. An
e6ecutive director who is one of the managers will be identified to run meetings and provide
some form of order to ongoing discussions. Additionally, we will hire consultants as needed to
help our clients. 1onsultants will be paid on a per:deliverable basis.
>.9 LrganiGational #tructure
.he structure of the company is defined below. Lnly managers have voting rights in the
company while all members are given e-uity stakes. 1onsultants have neither an e-uity stake
nor voting rights. .hey are compensated for the work they perform on behalf of the firm.
C6ecutive director managers@
Danaging director $*&@
Dembers@
rincipal consultants@
Danaging consultants@
#enior consultants@
5on:managers@
1onsultants.
>.* Danagement .eam
.he 1#F management team brings a broad range of industry e6perience and training from both
energetic small firms and e6perienced industry leaders.
Iohn '. Fordon, C6ecutive Birector. Iohn has worked in marketing, business development, and
corporate strategy for a number of small and large firms, including CD1 1orporation, ,'D
1orporation, and Larscom, ,ncorporated. IohnEs participation on the 5orth 1arolina 1ouncil for
Cntrepreneurial Bevelopment plus his e6perience providing consulting services to small
businesses catalyGed the formation of the 1ambridge #trategy Froup, L.L.1. Iohn also functions
as the O of marketing, and serves on the board of directors for the )rame 7elay )orum, a
high:tech industry organiGation whose members include 1isco #ystems, A.W., 5ortel 5etworks
Page 21
and many other industry leaders. Iohn is a magna cum laude graduate from the Aniversity of
5otre Bame and holds a 'A degree in hilosophy and 1omputer Applications.
.odd B. JucGaj, Danaging Birector. .odd has worked in ,nternet consulting, Web
designKdevelopment, financial services, and media publications for a variety of companies,
including a 'ig )ive consulting firm, ,ntegrated ,nformation #ystems, #unAmerica #ecurities,
and the )oothills #entinel. .odd currently functions as an e6perienced analyst for a 'ig )ive
firm, working with )ortune 9++ and )ortune e:2+ firms to solve their business and technology
issues. .oddEs broad range of e6periences, from designing Web solutions to composing front:
page articles for a local hoeni6 newspaper, allows 1ambridge #trategy Froup, L.L.1. to
interface with a wide client base and offer a broad range of solutions. Me holds a 'achelor of
Arts degree from the Aniversity of 5otre Bame and a Daster of #cience in ,nformation
Danagement from AriGona #tate Aniversity.
'en #. 1ordell, Danaging Birector. 'en has worked in business development, account
management, systems engineering, marketing, and product development positions at Life#erv
and L5C 1o. $formerly B1 #ystems&. Me currently functions as a corporate strategy specialist at
Life#erv, discovering and developing merger, ac-uisition and strategic partnership
opportunities. 'enEs diversity of e6perience and interest are leveraged in guiding the 1ambridge
#trategy Froup and its clients to success. Me holds a 'achelor of )inance and 1omputer
Applications degree with honors from the Aniversity of 5otre Bame.
>.P ersonnel lan
A36IS4'0 B4A'3
.he 1ambridge #trategy Froup may create an advisory board to bring insight into new areas
including consulting management, finance and accounting, venture capital, and local media.
.he )ounders of 1#F have a number of contacts that could certainly provide useful guidance in
our future operations. We will determine the value and compensation for the advisory board in
future discussions.
*A,A()*),T C4*P),SATI4,
Danagers will be compensated on the profit of the firm based on e-uity percentages.
1onsultants will be paid according to the deliverables that they create. 1urrently, manager
e-uity is divided as follows!
*anager )@1ity Stake
Iohn Fordon, C6ecutive Birector PP 9KP3
'en 1ordell, Danaging Birector PP 9KP3
.odd JucGaj, Danaging Birector PP 9KP3
.able! ersonnel
Personnel Plan
4o"n 5ordon $%0,000 $%0,000 $50,000
Todd 6u!7a8 $%0,000 $%0,000 $50,000
(en &ordell $%0,000 $%0,000 $50,000
0##i!e =anager $0 $%0,000 $%5,000
0t"er &onsultants $0 $0 $'5,000
Total -eople % 4 6
Page 22
Total Payroll $C0,000 $190,000 $960,000
Page 2#
=.+ )inancial lan
S/**A'0 4- -I,A,CIA.S
.he market for the 1ambridge #trategy FroupEs services is enormous. #uccess in this market
will be limited only by the amount of time and effort that 1#F spends on finding new clients and
managing growth. #ince none of 1#F members are able to work full:time on this project, early
growth will be stifled by lack of commitment. Mowever, if 1#F is able to generate substantial
work in a pipeline, the members will then consider working for 1#F full:time. .his will also force
1#F to obtain stronger accounting, legal, and financial skills than it currently has available.
=.9 ,mportant Assumptions
-I,A,CIA. ASS/*PTI4,S
'elow is a list of assumptions that define the short:term business model!
*++9 will be spent preparing and learning how best to approach clients and building
relationships with O1s@
All managers will hold full:time positions with other companies@
We will focus on business opportunities in 51 until we create sufficient revenue to open
foreign LL1Es in other states@
*++9 financial model represents only three managers@
All revenue is realiGed when a project is finished@
,f model proves true in *++9, we will invest more heavily in *++*.
.able! Feneral Assumptions
General Assumptions
-lan =ont" 1 9 %
&urrent 2nterest Rate 10:00< 10:00< 10:00<
*ong-ter$ 2nterest Rate 10:00< 10:00< 10:00<
Tax Rate %0:00< %0:00< %0:00<
Other 0 0 0
Page 2&
=.* Jey )inancial ,ndicators
.he following chart shows the planned benchmarks for 1ambridge #trategy Froup.
1hart! 'enchmarks
Page 2)
=.P 'reak:even Analysis
.he following table and chart is the break:even analysis for 1ambridge #trategy Froup.
1hart! 'reak:even Analysis
.able! 'reak:even Analysis
Break-even Analysis
=ont"l. Re3enue (rea?-e3en $10,%16
Assu$ptionsD
A3erage -er!ent Aaria+le &ost 1%<
Estimated Monthly Fixed Cost $8,C'5
Page 2+
=.Q rojected rofit and Loss
.he following table and chart show the projected profit and loss for 1ambridge #trategy.
1hart! rofit Donthly
Page 2,
1hart! rofit Yearly
1hart! Fross Dargin Donthly
Page 22
1hart! Fross Dargin Yearly
.able! rofit and Loss
Pro Forma Profit and Loss
Sales $18,000 $950,000 $450,000
)ire!t &ost o# Sales $9,%40 $46,800 $'',990
0t"er -rodu!tion Expenses $0 $0 $0
Total &ost o# Sales $9,%40 $46,800 $'',990
5ross =argin $15,660 $90%,900 $%'9,'80
5ross =argin < 8':00< 81:98< 89:84<
Expenses
-a.roll $C0,000 $190,000 $960,000
Sales and =ar?eting and 0t"er Expenses $9,0CC $96,000 $46,'00
)epre!iation $0 $0 $0
*eased Equip$ent $0 $0 $0
Etilities $8CC $9,000 $9,000
2nsuran!e $1,900 $9,500 $9,500
Rent $0 $19,000 $19,000
-a.roll Taxes $1%,500 $18,000 $%C,000
0t"er $0 $0 $0
Total 0perating Expenses $10',6C8 $180,500 $%69,900
-ro#it (e#ore 2nterest and Taxes /$C9,0%81 $99,'00 $10,580
E(2T)A /$C9,0%81 $99,'00 $10,580
2nterest Expense $0 $0 $0
Taxes 2n!urred $0 $6,810 $%,1'4
et -ro#it /$C9,0%81 $15,8C0 $',406
Page 23
et Profit!Sales -511:%9< 6:%6< 1:65<
Page #0
=.2 rojected 1ash )low
.he following table and chart are the projected cash flow figures for 1ambridge #trategy.
.able! 1ash )low
Pro Forma Cash Flo
&as" Re!ei3ed
&as" #ro$ 0perations
&as" Sales $4,500 $69,500 $119,500
&as" #ro$ Re!ei3a+les $11,988 $158,C8% $%19,C1'
Su+total &as" #ro$ 0perations $15,'88 $991,48% $495,41'
Additional &as" Re!ei3ed
Sales Tax, AAT, BST>5ST Re!ei3ed $0 $0 $0
e, &urrent (orro,ing $0 $0 $0
e, 0t"er *ia+ilities /interest-#ree1 $0 $0 $0
e, *ong-ter$ *ia+ilities $0 $0 $0
Sales o# 0t"er &urrent Assets $0 $0 $0
Sales o# *ong-ter$ Assets $0 $0 $0
e, 2n3est$ent Re!ei3ed $0 $C,000 $C,000
Su+total &as" Re!ei3ed $15,'88 $9%0,48% $4%4,41'
Expenditures ;ear 1 ;ear 9 ;ear %
Expenditures #ro$ 0perations
&as" Spending $C0,000 $190,000 $960,000
(ill -a.$ents $18,85' $106,419 $1'6,C65
Su+total Spent on 0perations $108,85' $996,419 $4%6,C65
Additional &as" Spent
Sales Tax, AAT, BST>5ST -aid 0ut $0 $0 $0
-rin!ipal Repa.$ent o# &urrent (orro,ing $0 $0 $0
0t"er *ia+ilities -rin!ipal Repa.$ent $0 $0 $0
*ong-ter$ *ia+ilities -rin!ipal Repa.$ent $0 $0 $0
-ur!"ase 0t"er &urrent Assets $0 $4,000 $0
-ur!"ase *ong-ter$ Assets $0 $4,000 $0
)i3idends $0 $0 $0
Su+total &as" Spent $108,85' $9%4,419 $4%6,C65
et &as" Flo, /$C%,06C1 /$%,C9C1 /$9,54C1
Cash "alance $14,'81 $10,859 $8,%0%
Page #1
1hart! 1ash
Page #2
=.> rojected 'alance #heet
.he following is the projected balance sheet for 1ambridge #trategy Froup.
.able! 'alance #heet
Pro Forma Balance Sheet
Assets
&urrent Assets
&as" $14,'81 $10,859 $8,%0%
A!!ounts Re!ei3a+le $9,91% $%0,'9C $55,%1%
0t"er &urrent Assets $%,000 $',000 $',000
Total &urrent Assets $1C,CC% $48,581 $'0,616
*ong-ter$ Assets
*ong-ter$ Assets $0 $4,000 $4,000
A!!u$ulated )epre!iation $0 $0 $0
Total *ong-ter$ Assets $0 $4,000 $4,000
Total Assets $1C,CC% $59,581 $'4,616
*ia+ilities and &apital ;ear 1 ;ear 9 ;ear %
&urrent *ia+ilities
A!!ounts -a.a+le $1,681 $C,%'C $15,008
&urrent (orro,ing $0 $0 $0
0t"er &urrent *ia+ilities $0 $0 $0
Su+total &urrent *ia+ilities $1,681 $C,%'C $15,008
*ong-ter$ *ia+ilities $0 $0 $0
Total *ia+ilities $1,681 $C,%'C $15,008
-aid-in &apital $115,000 $194,000 $1%%,000
Retained Earnings /$4,6501 /$C6,6881 /$80,'C81
Earnings /$C9,0%81 $15,8C0 $',406
Total &apital $18,%19 $4%,909 $5C,608
Total *ia+ilities and &apital $1C,CC% $59,581 $'4,616
et #orth $18,%19 $4%,909 $5C,608
Page ##
=.= 'usiness 7atios
'usiness ratios need to be e6plained. .he industry standards are for the business consulting
industry. Mowever, there are some deviation between 1#F and the standards that reflect our
focus on small businesses. )irst of all, 1#F e6pects that its sales level will remain high as its
seeks to establish itself and e6pand into new regions. )urthermore, the company e6pects to
have a much higher current and -uick ratio as it will need large amounts of cash to handle our
e6pansion. )inally we will keep our advertising costs high to fuel our growing clientele.
.able! 7atios
!atio Analysis
;ear 1 ;ear 9 ;ear % 2ndustr. -ro#ile
Sales 5ro,t" n:a: 1988:8C< 80:00< 8:60<
-er!ent o# Total Assets
A!!ounts Re!ei3a+le 11:0'< 58:44< '4:1%< 94:40<
0t"er &urrent Assets 15:01< 1%:%1< C:%8< 46:'0<
Total &urrent Assets 100:00< C9:%C< C4:64< '4:C0<
*ong-ter$ Assets 0:00< ':61< 5:%6< 95:10<
Total Assets 100:00< 100:00< 100:00< 100:00<
&urrent *ia+ilities 8:41< 1':84< 90:11< 49:80<
*ong-ter$ *ia+ilities 0:00< 0:00< 0:00< 1':90<
Total *ia+ilities 8:41< 1':84< 90:11< 60:00<
et @ort" C1:5C< 89:16< 'C:8C< 40:00<
-er!ent o# Sales
Sales 100:00< 100:00< 100:00< 100:00<
5ross =argin 8':00< 81:98< 89:84< 0:00<
Selling, 5eneral F Ad$inistrati3e Expenses 5C8:%9< '4:C9< 81:1C< 8%:50<
Ad3ertising Expenses 4:CC< ':90< 6:60< 1:90<
-ro#it (e#ore 2nterest and Taxes -511:%9< C:08< 9:%5< 9:60<
=ain Ratios
&urrent 11:8C 5:18 4:'1 1:5C
Gui!? 11:8C 5:18 4:'1 1:96
Total )e+t to Total Assets 8:41< 1':84< 90:11< 60:00<
-re-tax Return on et @ort" -509:61< 59:54< 1':'5< 4:40<
-re-tax Return on Assets -460:%5< 4%:1'< 14:18< 10:C0<
Additional Ratios ;ear 1 ;ear 9 ;ear %
et -ro#it =argin -511:%9< 6:%6< 1:65< n:a
Return on Equit. -509:61< %6:'8< 19:49< n:a
A!ti3it. Ratios
A!!ounts Re!ei3a+le Turno3er 6:10 6:10 6:10 n:a
&olle!tion )a.s 5' %9 4' n:a
A!!ounts -a.a+le Turno3er 11:C9 19:1' 19:1' n:a
-a.$ent )a.s 98 18 94 n:a
Total Asset Turno3er 0:C0 4:'5 6:0% n:a
)e+t Ratios
)e+t to et @ort" 0:0C 0:99 0:95 n:a
Page #&
&urrent *ia+: to *ia+: 1:00 1:00 1:00 n:a
*iquidit. Ratios
et @or?ing &apital $18,%19 $%C,909 $55,608 n:a
2nterest &o3erage 0:00 0:00 0:00 n:a
Additional Ratios
Assets to Sales 1:11 0:91 0:1' n:a
&urrent )e+t>Total Assets 8< 18< 90< n:a
A!id Test 10:58 1:C0 1:09 n:a
Sales>et @ort" 0:C8 5:'C ':55 n:a
Di$idend Payout 0:00 0:00 0:00 n:a
=.; )inancial 7isks and 1ontingencies
-I,A,CIA. 'IS+S
7isks to the 1ambridge #trategy Froup in its current plan are minimal. While operating the firm
as a second job, the only e6penses incurred by it are basic in nature and include the creation of
email accounts, business cards, a website, and other basic communications mechanisms. .here
are few ongoing e6penses that are not directly related to revenue generation, and therefore
intrinsically profitable. ,f a Oenture 1apital firm elects to fund the 1ambridge #trategy Froup by
providing salaries to the founders of the firm, that firm risks the loss of its salaries if 1#F is
unable to build an ongoing client base.
'IS+S A,3 *ITI(ATI4, P.A,S
7isks to the 1ambridge #trategy Froup in its current plan are relatively minimal. Lrganic
growth does not depend on capital market to remain viable. .he small business space is largely
unattractive to 'ig )ive and other larger consulting organiGations. Biscussed below are risk
areas and 1#FEs response to these forces!
Ind1stry Competitors
'ig )ive consulting firms have e6tensive resources in both monetary and personnel. ,f they
choose to enter the small business consulting market, the 'ig )ive firms could bring to bear
their name recognition, consulting staff, and financial clout to drive smaller firms out of the
market. Additionally, venture capital firms could choose to e6pand their internal service offering
and more actively manage portfolio companies. With tight public markets, the motivation for
'ig )ive consulting firms to seek out small growth firms as clients has substantially declined.
Without a public appetite for ,Ls, growing firms cannot easily e6change services for e-uity.
Without an e-uity payment option, small firms cannot readily afford the services of the 'ig )ive
firms. Oenture capital firms are generally focused on portfolio money management and business
plan evaluation. 1#F seeks to partner with venture capital firms and offer a service of higher
-uality at a lower price than they could produce internally. As previously mentioned, with
almost ;++,+++ new businesses starting every year, new demand for small business consulting
services is continually created.
*anagement
1#FEs management is relatively ine6perienced. C6perienced management will be needed if
1ambridge #trategy Froup is to grow into a multi:million dollar enterprise. 7elationships with
veteran business contacts will be sought and leveraged to provide additional, valuable insight
as 1#F grows. ,ts strategy focuses on steady, organic growth that will allow management to
accurately measure the needs of management and then seek out candidates as needed.
Page #)
.ocationA.ack of Clients
.he .riangle Area of 5orth 1arolina could become a less attractive city for small businesses.
Froup resources have a local presence in other business hubs $hoeni6, AU and 1hicago, ,L& to
limit the reliance on any single geographic area to produce an entrepreneur:friendly
atmosphere.
.a2or *arket
5ational unemployment levels are currently near historical lows. .he economic boom has
created a great demand for human capital, especially technology skills. .he recent economic
cooling has made talent more affordable across the board. Additionally, Froup management will
leverage an e6tensive network to find and hire the best talent when the client demand for
additional skills and resources is warranted. 1lient )inancial #tability #mall businesses fail
almost as -uickly as new ones start. 1onse-uently, small business can present a poor credit
risk to suppliers. 'y working with venture capital:backed firms, 1#F targets clients with means
while minimiGing delin-uent accounts.
Page #+
/$$en(ix
.able! #ales )orecast
Sales Forecast
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Sales
Consulting Projects 0% $0 $0 $0 $1500 $1500 $1500 $3000 $3000 $3000 $1500 $1500 $1500
!ther 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
"otal Sales $0 $0 $0 $1500 $1500 $1500 $3000 $3000 $3000 $1500 $1500 $1500
#irect Cost o$ Sales Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Consulting Projects $0 $0 $0 $260 $260 $260 $260 $260 $260 $260 $260 $260
!ther $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Direct Cost of Sales $0 $0 $0 $260 $260 $260 $260 $260 $260 $260 $260 $260
Page 1
/$$en(ix
.able! ersonnel
Personnel Plan
%ohn &or'on 0% $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500
"o'' (uc)aj 0% $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500
*en Cor'ell 0% $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500 $2500
!$$ice Manager 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
!ther Consultants 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
"otal Peo+le 3 3 3 3 3 3 3 3 3 3 3 3
Total Payroll $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500
Page 2
/$$en(ix
.able! Feneral Assumptions
General Assumptions
Plan Month 1 2 3 4 5 6 7 8 9 10 11 12
Current ,nterest -ate 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00%
/ong0ter1 ,nterest -ate 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00%
"a2 -ate 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00%
Other 0 0 0 0 0 0 0 0 0 0 0 0
Page #
/$$en(ix
.able! rofit and Loss
Pro Forma Profit and Loss
Sales $0 $0 $0 $1500 $1500 $1500 $3000 $3000 $3000 $1500 $1500 $1500
#irect Cost o$ Sales $0 $0 $0 $260 $260 $260 $260 $260 $260 $260 $260 $260
!ther Pro'uction 32+enses $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
"otal Cost o$ Sales $0 $0 $0 $260 $260 $260 $260 $260 $260 $260 $260 $260
&ross Margin $0 $0 $0 $1240 $1240 $1240 $2740 $2740 $2740 $1240 $1240 $1240
&ross Margin % 0.00% 0.00% 0.00% 82.67% 82.67% 82.67% 91.33% 91.33% 91.33% 82.67% 82.67% 82.67%
32+enses
Pa4roll $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500
Sales an' Mar5eting an' !ther
32+enses
$175 $175 $177 $174 $174 $176 $174 $174 $176 $174 $174 $176
#e+reciation $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
/ease' 36ui+1ent $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
7tilities $65 $65 $67 $78 $78 $78 $78 $78 $78 $78 $78 $78
,nsurance $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100
-ent $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Pa4roll "a2es 15% $1125 $1125 $1125 $1125 $1125 $1125 $1125 $1125 $1125 $1125 $1125 $1125
!ther $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
"otal !+erating 32+enses $8965 $8965 $8969 $8977 $8977 $8979 $8977 $8977 $8979 $8977 $8977 $8979
Pro$it *e$ore ,nterest an' "a2es 8$89659 8$89659 8$89699 8$77379 8$77379 8$77399 8$62379 8$62379 8$62399 8$77379 8$77379 8$77399
3*,"#: 8$89659 8$89659 8$89699 8$77379 8$77379 8$77399 8$62379 8$62379 8$62399 8$77379 8$77379 8$77399
,nterest 32+ense $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
"a2es ,ncurre' $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
;et Pro$it 8$89659 8$89659 8$89699 8$77379 8$77379 8$77399 8$62379 8$62379 8$62399 8$77379 8$77379 8$77399
Net Profit/Sales 0.00% 0.00% 0.00% 0515.80% 0515.80% 0515.93% 0207.90% 0207.90% 0207.97% 0515.80% 0515.80% 0515.93%
Page &
/$$en(ix
Page )
/$$en(ix
.able! 1ash )low
Pro Forma Cash Flow
Cash -ecei<e'
Cash $ro1 !+erations
Cash Sales $0 $0 $0 $375 $375 $375 $750 $750 $750 $375 $375 $375
Cash $ro1 -ecei<a=les $0 $0 $0 $0 $38 $1125 $1125 $1163 $2250 $2250 $2213 $1125
Su=total Cash $ro1 !+erations $0 $0 $0 $375 $413 $1500 $1875 $1913 $3000 $2625 $2588 $1500
:''itional Cash -ecei<e'
Sales "a2 >:" ?S"@&S" -ecei<e' 0.00% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
;eA Current *orroAing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
;eA !ther /ia=ilities 8interest0$ree9 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
;eA /ong0ter1 /ia=ilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales o$ !ther Current :ssets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales o$ /ong0ter1 :ssets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
;eA ,n<est1ent -ecei<e' $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Su=total Cash -ecei<e' $0 $0 $0 $375 $413 $1500 $1875 $1913 $3000 $2625 $2588 $1500
32+en'itures Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
32+en'itures $ro1 !+erations
Cash S+en'ing $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500 $7500
*ill Pa41ents $549 $1465 $1465 $1478 $1737 $1737 $1739 $1737 $1737 $1739 $1737 $1737
Su=total S+ent on !+erations $8049 $8965 $8965 $8978 $9237 $9237 $9239 $9237 $9237 $9239 $9237 $9237
:''itional Cash S+ent
Sales "a2 >:" ?S"@&S" Pai' !ut $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Princi+al -e+a41ent o$ Current *orroAing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
!ther /ia=ilities Princi+al -e+a41ent $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
/ong0ter1 /ia=ilities Princi+al -e+a41ent $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Purchase !ther Current :ssets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Purchase /ong0ter1 :ssets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Page +
/$$en(ix
#i<i'en's $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Su=total Cash S+ent $8049 $8965 $8965 $8978 $9237 $9237 $9239 $9237 $9237 $9239 $9237 $9237
;et Cash BloA 8$80499 8$89659 8$89659 8$86039 8$88259 8$77379 8$73649 8$73259 8$62379 8$66149 8$66509 8$77379
Cash Balance $99801 $90836 $81871 $73268 $64444 $56707 $49343 $42018 $35781 $29167 $22518 $14781
Page ,
/$$en(ix
.able! 'alance #heet
Pro Forma Balance Sheet
:ssets Starting *alances
Current :ssets
Cash $107850 $99801 $90836 $81871 $73268 $64444 $56707 $49343 $42018 $35781 $29167 $22518 $14781
:ccounts -ecei<a=le $0 $0 $0 $0 $1125 $2213 $2213 $3338 $4425 $4425 $3300 $2213 $2213
!ther Current :ssets $3000 $3000 $3000 $3000 $3000 $3000 $3000 $3000 $3000 $3000 $3000 $3000 $3000
"otal Current :ssets $110850 $102801 $93836 $84871 $77393 $69656 $61919 $55680 $49443 $43206 $35467 $27730 $19993
/ong0ter1 :ssets
/ong0ter1 :ssets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
:ccu1ulate' #e+reciation $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
"otal /ong0ter1 :ssets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
"otal :ssets $110850 $102801 $93836 $84871 $77393 $69656 $61919 $55680 $49443 $43206 $35467 $27730 $19993
/ia=ilities an' Ca+ital Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Current /ia=ilities
:ccounts Pa4a=le $500 $1416 $1416 $1420 $1679 $1679 $1681 $1679 $1679 $1681 $1679 $1679 $1681
Current *orroAing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
!ther Current /ia=ilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Su=total Current /ia=ilities $500 $1416 $1416 $1420 $1679 $1679 $1681 $1679 $1679 $1681 $1679 $1679 $1681
/ong0ter1 /ia=ilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
"otal /ia=ilities $500 $1416 $1416 $1420 $1679 $1679 $1681 $1679 $1679 $1681 $1679 $1679 $1681
Pai'0in Ca+ital $115000 $115000 $115000 $115000 $115000 $115000 $115000 $115000 $115000 $115000 $115000 $115000 $115000
-etaine' 3arnings 8$46509 8$46509 8$46509 8$46509 8$46509 8$46509 8$46509 8$46509 8$46509 8$46509 8$46509 8$46509 8$46509
3arnings $0 8$89659 8$179309 8$268999 8$346369 8$423739 8$501129 8$563499 8$625869 8$688259 8$765629 8$842999 8$920389
"otal Ca+ital $110350 $101385 $92420 $83451 $75714 $67977 $60238 $54001 $47764 $41525 $33788 $26051 $18312
"otal /ia=ilities an' Ca+ital $110850 $102801 $93836 $84871 $77393 $69656 $61919 $55680 $49443 $43206 $35467 $27730 $19993
Net Worth $110350 $101385 $92420 $83451 $75714 $67977 $60238 $54001 $47764 $41525 $33788 $26051 $18312
Page 2

Marketing Strategy Business Plan

Enviado por

Dados do documento

Direitos autorais

Formatos disponíveis

Compartilhar este documento

Compartilhar ou incorporar documento

Opções de compartilhamento

Você considera este documento útil?

Este conteúdo é inapropriado?

Direitos autorais:

Formatos disponíveis

Marketing Strategy Business Plan

Enviado por

Direitos autorais:

Formatos disponíveis

Thanks for downloading a sample plan

Você também pode gostar