PRESENT ATI ON OF GROUP OF COM PANI ES

Name
LTD.
Adres the
Ph
on
e
Fax
Email
Ar ea of
activity

Tur nover at
group level in
2013
Number of
employees
Position on
the market

Relevant
elements of
the
Organization'
s work
performance

Interproiect Consul ting LTD. and Dana Consul ting

Mrs. El ena str., no. 55, Sector 2, Bucharest
+ 40 21 210 08 11
+ 40 21 38 06 227
offi ce @ ipconsul ting.
Cod CAEN: 7022-consul ting activities for business and
management.
The mai n branches of the services offered are the following:
-conducti ng feasi bili ty studies i n industry and not onl y;
-preparation of val uation reports
enterprises, real estate and
chattels;
-execution of ci vil and industrial construction projects.

450,0
00 lei
5

[ 1]

Average for the type of busi ness they represent (consulting

servi ces); However the sea away
from the large companies in the
field.
- The company has resisted the
impact of the financi al crisis in the
period 2008-2013 and al though
turnover has decreased
substantial ly during the period
2010-2011 today is a return to the
values of turnover i n 2009.
- The services offered by the group
or di versified and the number of
cl ients has i ncreased in the
context of the financial crisis
through which we pass. Through
this he was able to return to the
2009 turnover without l arge
numbers of empl oyees or
operating expenditure.
Note that in the context of a
request for consul ting services
limited price assessment
reports have been downsi zed

y
about five times i n the last 4 years.

Table Of
Contents

(I ). GROUP DESCRI PTI ON 3

I I . VI SI ON and OBJECTI VES 5
I I I . ENVI RONM ENTAL ANALYSI S 6
I V. CUSTOM ER ANALYSI S 7
V. ANALYZE COM PETI TORS 9
VI . POTENTI AL COM PETI TI VE ANALYSI S 11
VI I . M ARK ETI NG STRATEGY 19
BI BLI
OGRAPHY

I.

The Group

The Group is represented by Interproiect Consulting LTD. and

Dimand Consulting, two companies with the same shareholders who are
individuals, organized as limited liability companies, both of which are
IMMs. They
opted for this organization because of economic
considerations related to the profit taxation for romanian companiesin.
The Group is essentially a family business her success being
based on the 25 years of experience the founders have in the field of
consulting services, technical audit and technological engineering.
With all the dificulties of the current period the Group has managed
to maintain a positive dynamic balance, result-oriented being constantly
preoccupied to resolve in due time the problems her clients have.
Services offered
The servi ces ofered by the two compani es in the group are the
following:
feasibility studies for financing new i nvestments or developments;
determination of guarantees/feasibility studies to obtain bank loans;
privatisation/selling of stock companies, in accordance with the
methodology laid down by governmental bodies;
fi xing the amount of the contribution i n ki nd to capi tal or increase
the soci al capi tal ;
valuati on for financial reporting;
determi ne the value of real estate and movables to selli ng through
auction, fuzi onari, li quidations, spi n-ofs, l ease, partiti on, etc.;
determi ne the value of the property: know-how, l icenses, patents
desi gn of i ndustrial and ci vil constructions;
geotechni cal studies;
preparing documentati on of environment protection and PSI
The main areas of structure techni cal expertise and eval uation
includes:
constructi ons;
industry;
agricul ture and forestry;
Commerce and servi ces;
Personal
The Group has a number of permanent employees: 5 3 accredited
assessors ANEVAR, an architect and an accountant accredited
BUSINESS MANAGEMENT
To fi ll the need for the reali zation of works contracted the Group col
laborates with speci alists from several fiel ds, engineers and
architects, as well as members of the fol lowing professional associ ati
ons:
Body Authorized Accountants of Romania;
National Assessors Asotiatia in Romani a;

The National Union of Insolvency Practitioners i n Romania;

General Associ ation of engineers in Romani a;
General Associ ation of Constructors of Romani a;
Research insti tutes and desi gn.
Expert Body techni ques

Scheme 1. Gr oup
Organization Chart
Amenities
Companies in
the Group also owns an Ofice, whi ch accomodates all permanent
employees wi th adequate computers and a number of car tri ps
required 3.
Evolution of turnover
Turnover fell considerably in the l ast five years i n the context of the
international financi al crisis whi ch has led to the decrease in the
number of permanent employees.

Chart 1. The financial crisis has made their pr esence felt in

our countr y in the past five year s has been felt at the level
of the group. Source: balance at 31 December each year .

I I . Vi sion
and
objectives
The vision which led to the formation of the Group was i nspi red by the
image consultant business that, at the request of a cl ient, legal or
natural person may through his expertise or people you know to come up
with the best advice and innovative solutions for every kind of problem
occurred in the operation of a business.
Short-term goals are to maintain upward trend turnover as wel l as
maintaining and expanding customer base.

Medium-term objectives are expanding the types of services ofered

to cl ients by addi ng a by assessor accredi tation of financial assets to
the personnel structure, which will allow for a new market, that of
evaluation of shares l isted on stock exchanges. It also wants to
increase the number of permanent employees which will al low for the
involvement of more easily in large scal e proj ects.
Long term is intended to recognize a part of the Group's employees
as European Assessor recogni zed European Recognised Val uer-REV.
In this way you wil l be abl e to access the market of the European
Union and wil l be able to access a new customer segment, that of mul
tinational s

III.
Environmental
Analysis Gr oup
Any enterpri se i s a complex system, which i s in close interacti on
with the external envi ronment or environment in which i t operates. At
the same time the contemporary economy and watched the whole
environment is characterized by a "turbulent", forcing such hi gh
companies to adopt fl exibl e management, able to react quickly to
changes. It has been shown i n practice that, over time, firms have been
able to preintampine or to anticipate major changes in the
environment, so they can capi tali ze on emergi ng opportuni ties and to
avoid negati ve i nfluences have survived or have even managed to
create a number of competiti ve advantages, which allowed them to
quickl y develop.
Based on these considerations, before you proceed to the
elaboration of any strategic pl an, the company's management to i denti
fy and anal yse the factors careful ly in the external environment that
infl uences or may infl uence the activi ties and results of the company.
The most i mportant factors that can infl uence the development of the
Group are:
economi c
lawyers
policies
The economic factors the most important aspect is represented by
the home market of consulting servi ces. This market has experi enced a
signi ficant contraction of the fi nanci al crisis at the beginni ng of 2008 by
reducing demand for advice on closing of many compani es.
Furthermore, the fi nal assessment reports and feasi bili ty studi es has
dropped drastically due to l ack of li quidity and a fall i n the profit margin
of the companies. The reali zation of projects of industrial and ci vil
coonstructii was virtuall y stopped in Romani a due to the lack of funds
for investment.
In the context of i mmovabl e property price col lapse as banks have
become reluctant to grant loans and the amount of the guarantees
required in supply of credit has increased.
Forei gn di rect investment fel l drastical ly, forei gn investors prefer to
turn to other markets safer. Market contracti on can be deduced easily
from
the evolution of foreign direct investment in Romania extracted from data
provi ded by the Nati onal Bank of Romania

Chart 2. The evolution of for eign dir ect investment in

Romania.
Source: " National Bank of Romania"
Legal and policy Factors are related i n Romania, a country
characterized by the mul tipl icity of normative acts amending the tax
code changes di ctated by the needs of the State with respect to the
collection of taxes to the budget, be it local or strengthened. This
resulted i n the removal of potenti al foreign investors and even some of
those i nterns. All thi s has led to an increase in demand but consul ting
services by setting up obl igativitatii for reval uati on of tangi ble financial
reporting of companies under the sanction of substanti al enl argement
of local taxes. For exampl e recently was i ntroduced mandati ng the
construction of special val ues declari i (pol e tax) for taxati on by the
Roman State
Manageriali Factors are very i mportant and the Group chose to invest
i n training staff or to respond more easi ly to market turbul ences.
I V.
Customer
Analysis

The Gr oup 's clients are i n general Romani an l egal persons owned
and/or strain.
Our most i mportant clients are represented by l egal entiti es
with foreign capi tal or mixed approxi mately 40% of turnover in the year
2013, fol lowed by budgetary i nstitutions with an intake of
approximately 30% of the turnover.
Companies wi th local capital have a share of
20% of the turnover corresponding to the year
2013. Indi vidual s are starti ng to take a share
of the revenue structure noted i n 2013.
Noti ce the important growth of the proporti on of the turnover made
by legal entities with forei gn capital and i ndividuals in 2013 compared
with 2007.

Figure 3. Structure of turnover by type of client in 2007

Source: inter nal documents of the Gr oup

Graph 4. Structure of turnover by type of client in 2013

Source: inter nal documents of the Gr oup
Clients existi ng are at a rate of 60% and cl ients at a rate of 40% gai
n cl ients in last 2 years. Customer service was guaranteed by the seri
ousness and professional ism of employees and employees of the Gr
oup, ti mel iness commitments and last but not l east the correct pri ces
charged and the avail abil ity of management companies to negotiate

the dn of the group.

Old Clients they have been lost are represented mainly by
compani es that have entered bankruptcy and budgetary institutions
that were ori ented to companies that practice very low prices cannot
be sustained under the increasing pri ces of oil and other commoditi
es that have a large share i n the expenses of the group.
New customers they have been drawn are represented mainly by
companies with foreign capi tal and joi nt that had switched over to the
pri ces average, ditching the consul ting services industry, large
compani es that have prohibitive prices in certain si tuations.
To establish a positi ve growth rate i n the number of cli ents indivi
duals wishing to be better informed about the evolution of real estate
prices in the context of real estate market of buyers that register since
the beginning of 2009.

V. analysis of
competitors
Competi tors Group can be divi ded into 3 main categories:

Large companies and/or multinational (Ernst and Young, PwC, KPMG,

Del oitte, Dainty etc.)
Medium-si zed companies
Smal l compani es or indivi duals authorized
The si ze of the market val ue of the consultancy is hard to estimate,
but i t i s esti mated that it was situated in 2012 between 200-300 mil
lion euros, the tendency i n recent years l owering.
Since 2008 the number of companies owning the code which relates
to the servi ces of consultant CAEN management fell in each year, on
the one hand because i t failed to cope with the demands of the
increasingly dificult market, and on the other hand that have shi fted,
changing and fi eld of acti vity.
At the moment there are about 6,000 compani es in Romani a that have thi
s code CAEN.
In general, the demand for consulting servi ces i s determined by a
range of factors, the economic si tuation of the markets but al so the
degree of education of cl ients being important elements. Surel y the
uncertai nty l eads to l imi tation of overal l budgets, one of the pl aces
in which it owns bei ng cut, including consulti ng services.
While mul tinationals which are big consumers of their servi ces
adjusted budgets in l ine wi th the directions outlined by the company
mama, which typical ly afects a shortlist of vendors, l ocal players
shall take decisions quickly, being guided by an immediate reduction in
costs, without consi dering the impact on potenti al benefi ts.
A start-up for a specialist consulti ng company detul is dificul t
right now because the market is very wel l di vided and very l imi ted so
that substantial ly reduces the list of potential new competitors.
In the context of competi tion shown above is referred to as the
emphasis has been placed i n recent years on reducing pri ces of
consulti ng services. Interesti ngly, in this game they entered both recipi
ents of services as wel l as consultants who made ethics and principles
rebate professional standards
and began an accel erated race to reduce prices.

Chart 5. Consultancy market in Romania, 2012.Source: statisti cal

data for the AMCOR

VI . Analysis of the potential competitive

Financial competitiveness
Companies wi thin the group have been characteri zed in the past 2
years of good economic performance. Bel ow we present the main
economic i ndicators regi stered by 31 December 2013:
Interproi ect Consulti ng SRL
ANALYSI S OF ECONOM I C I NSTRUM ENTS AND SOURCES
FIXED ASSETS (AI)
19
CURRENT ASSETS (AC)
TOTAL ASSETS (AT)
TURNOVER (CA)
SOCI AL CAPITAL (CS)
THE RATE OF I MMOBIL
THE ROTATI ON OF THE
ASSET (AS/AT)
CASH AVAI LABI LI TY
CASH AVAIL ABI LI TY
CURRENT ASSETS
TOTAL ASSETS
ASSURANCE L EVEL:
CURRENT ASSETS,%
TOTAL ASSETS,%

32
52
25
1,0
0,3
0,4
9
263.
326.
524.

80,7
50,3
0
ANALYSI S OF THE
L OANS AND SIMI LAR
0
SUPPL IERS AND SIMIL AR 7.24
CL IENTS-CREDI TORS
0
OTHER DEBTS
54.3
TOTAL
61.6
43
CAPI TAL ANALYSI S
EQUI TY CAPITAL
462.
MEDIUM-TERM L OANS
0
PERMANENT CAPI TAL
462.
SHORT-TERM DEBT
61.6
TOTAL DEBT
61.6
TOTAL L IABIL ITIES
524.
FINANCIAL AUTONOMY
100
DEGREE OF
11,7
NAME

A. ASSETS
I. Fixed Assets
1. f ixed assets
2. land and f ixed
3. intangibl e f ixed
4. f inancial f ixed
T
II. current assets
1. raw materi als,
2. semi-f inished
3. Production in the
4. A nimals
5. goods and
6. prepayments and
7. obli gati ons
8. monetary Facili
9. investment
10. Clai ms and settl
Tota
T
B. DEBT
1. loans and simil ar
2. Suppliers

Ac
co
un
tin
g
Co
rre
cti
on
s
Th
e
co
rre
cte
d
val
ue
s
0
196.
0
0
196.
0
0
0
0
847
0
263.
0
63.1
327.
524.
0
7.24

7
7

0
7

0
27
0
0
27
0
0
0
0
84
26
0
63
32
60
0
7.

3.
4.
5.
6.

Creditors
divi dends paid
Other settl ement
prepayments and
TOTA
CORRECTED

54.3
0
0
61.6
462.

Dana Consulting LTD.

ANALYSI S OF
SOUR
FIXED ASSETS (AI)
CURRENT ASSETS
TOTAL ASSETS (AT)
TURNOVER (CA)

54
0
0
0
61
53

0
7
0
191.
191.
0

SOCI AL CAPITAL (CS)

THE RATE OF I MMOBIL
THE ROTATI ON OF THE
ASSET (AS/AT)
CASH AVAI LABI LI TY
CASH AVAIL ABI LI TY
CURRENT ASSETS
TOTAL ASSETS
ASSURANCE L EVEL:
CURRENT ASSETS,%
TOTAL ASSETS,%

3
0,
0,
0
85.4
191.
191.

44,6
44,6
8
ANALYSI S OF THE
L OANS AND SIMI LAR
0
SUPPL IERS AND SIMIL AR 0
CL IENTS-CREDI TORS
0
OTHER DEBTS
23.6
TOTAL
23.6
68
CAPI TAL ANALYSI S
EQUI TY CAPITAL
167.
MEDIUM-TERM L OANS
0
PERMANENT CAPI TAL
167.
SHORT-TERM DEBT
23.6
TOTAL DEBT
23.6
TOTAL L IABIL ITIES
191.
FINANCIAL AUTONOMY
100
DEGREE OF
12,3
NAME

A. ASSETS
I.
Assets
2. Fixed
land and
f ixed
3. intangibl e f ixed
4. f inancial f ixed
T
II. current assets
1. raw materi als,
2. semi-f inished
3. Production in the
4. A nimals
5. goods and packagi
6. prepayments and
7. obli gati ons
8. monetary Facili ties
9. investment
10. Clai ms and settl
Tota
T
B. DEBT
1. loans and simil ar
2. Suppliers
3. Creditors
4. divi dends paid
5. Other settl ement
6. prepayments and
TOTA
CORRECTED

Ac
co
un
tin
g
Co
rre
cti
on
s
Th
e
co
rre
cte
d
val
ue
s
0
0
0
0
0
0
0
0
0
0
0
85.4
0
105.
191.
191.
0
0
23.6
0
0
23.6
167.

7
7

0
7

0
7

0
76
0
0
76
0
0
0
0
0
85
0
10
19
26
0
0
23
0
0
0
23
24

From the data presented are a large amount of cash avai labi lity rel ati
ve to turnover which gives a smooth fi nancial independence. Also notice
that the share capital is over 2/3 of the total resources, so companies
are characterized by good financial health, wi th a guarantee i n front of
potenti al creditors.

Chart 6. The shar e of total

expenditur e and net profit on
tur nover. Source: inter nal
documents
Tr ade competitiveness
Although the fi nanci al heal th of the companies is a good one it
must be said that the turnover of the Group il process in the compani
es with average turnover for consulti ng services market at great di
stance from the maj or players.
Evoluti on of turnover is one stabl e with a slight uptrend for the past
two years.
The number of services ofered is a bi g one with a good demand
among potenti al customers.
The company is very good among the Group's clients but sufers
from Chapter General notoriety because the promoti on of services
and the name or i s made with a budget through the channels of
networking cli ent managers and staff of the group.
The Group had no choi ce and had to reduce pri ces for the services
provided in order to keep the attention of traditional cl ients and wi n
new
clients.

Chart 7. Price evolution of the assessment reports. Sour ce:

internal documents
Technical competitiveness
The techni que used in consulti ng i s a modern and adapted to
the needs of the group. However, greater emphasi s should be
placed on i nvolvement and promoti on in the onli ne environment.
M anagerial competitiveness
Profil e leaders is mixed: the one with a rich experi ence and a very
good network and young wi th a great capacity for synthesi s and anal
ysi s, wel l trai ned but with a personal network l ess developed.
From the organi zational point of view, the company has opted for
a structure with a mi nimum permanent staff going on outsourci ng
non- essential in the work of the Group's promotion and negoti ati on
of contracts.
The most i mportant asset of a company is consul ting the human
component as at a rate greater than 90% end resul t, the final product
ofered for sale in this case, i s the mirror of professional ism, capaci
ty for anal ysi s and synthesis of consultants.
SWOT Analysis

Strengths
financial good health
the absence of the online environment
flexible structure
very little advertising budget
wide
range of
servi ces

Weak points

the inabi lity to deal

with bi g projects due
to lack of permanent
staff

managers wi th experience and dynamic

the relatively small number of clients not
compromising quali ty
observance of deadlines
Oppor tunities
the sli ght i ncrease
Open the EU market
the di
sappearance of a
large number of
consulting
compani es on the
market

Risks
economic instabi lity

VII.M
arketi ng
strategy
To meet the objecti ves of the Group and taki ng into account the
results of the SWOT anal ysi s there are the fol lowing conclusions
regarding the marketing strategi es to be followed.
1. theshort and medi um term it ai ms to establish a department of onli
ne promotion.
It will be a company separate from the present law and wil l provi de
a number of standard services at very low pri ces.
Your target market wi ll be those who are seeking the lowest prices
for val uati on reports (e.g.: banks, other financial i nstitutions).
The promotion campaign wi ll be done i n the onl ine environment

by l aunchi ng viral messages (such as "ratings at the l owest

prices") and by placing i n the top three results of the search engi
ne "Google".
2. it wi ll conti nue to i nvest i n the traini ng of permanent staff by
attending courses and speci alized seminars for acquiring
those credential s which are missi ng from the ofer of services
to the group.
3. in order to be able to engage i n far-reachi ng projects i t has in
mind in the first phase of coll aboration agreements i n the form of
partnership agreements with other companies as a consultant
4. last but not l east to be thought a system intergation centuri es
(possi bly by ofering discounts)

Bibliog
raphy
1. annual reports of the National Bank of Romania
2. documents and internal stati stics ANEVAR (Nati onal Association of
Valuers in Romani a)
3. Stati stics AMCOR (Association of Management Consulting
Companies in Romani a)
4. internal documents (reports and balance sheets) Interproiect
Consulting SRL and Dana Consul ting LTD.

5. The marketing of Prof. Dr. Nicholas Pop

[
1 The gross turnover 2013
]