Post on 14-Jan-2016
description
Richard Arsenault CEO
AES
Opportunity Thanks to organizations like NFTE there are young
entrepreneurs starting businesses across America.
Mission Statement Arsenault Entrepreneur Services is a business for
young entrepreneurs. AES offers an array of services such as web site design, creation, maintenance, and domain name registration.
AES
Type of BusinessServiceAES will create and maintain websites
for it’s clients.AES will provide domain name
registration and maintenance.
Legal StructureLimited Liability Corporation (LLC)Provides protection for my personal
assets.
AES
Qualifications
I am currently taking an entrepreneurship class.
I understand my customer’s needs.
I have the knowledge to run this business
AES
Market Analysis Industry Name Web site services.
NFTE Students in Eastern, MA
300 NFTE Entrepreneurship students in Eastern Massachusetts.
Potential Market Size
Target Market
Total Population
300
15-30
300
5-10% of full class size in total entrepreneurship classes. I think I can handle this small percentage now and will move to raise it later.
AES
6AES
•Presence
•Advertising
•Awareness
•Sales online
•Functionality
•Customer needs
By Location In the greater Boston area.
By PopulationYoung entrepreneurs and start-up businesses
By PersonalitySomeone unfamiliar with creating web sites.
By BehaviorNFTE students and others who are starting their own
businesses.
By IncomeAny income range.
AES
AESEmagine AlekiaFactors
GoodQuality of Product//Service
Price
Location
Brand/Reputation
Unique Knowledge
Good High quality
unknown $799-$1499 $100
Has websites for different businesses
types.
Has flash animations.
Targeting young
entrepreneurs.
Chelsea Chelsea Boston
Good Very good Emerging
AES
AES
Product Promotion People Price Place
Web site design,
creation, and
maintenance.
Facebook, NFTE network,
and entrepreneur-
ship incubators.
Start-up businesses.
$100 for one basic web site.
Home office.
Purchase Retention
AES offers reasonable prices and unique services to interest clients in my services.
AES will use small business incubators, as well as the NFTE network.
AES offers a program that lets the client know when their domain name is about to expire so I can renew it.
Long Term ( 6 months-1 year)
Current & Short Term (1 month -6 months)
Awareness
I will attend the NFTE conferences and distribute brochures.
Client referrals and testimonials on my web site.
Maintenance discount for referrals from current clients.
$15 0$20
Monthly cost, by phase: Awareness Purchase
Retention
AES
Definition of One Unit
One web site and domain name.Cost of Sales Per Unit
Direct Labor(Labor Cost per Hour)
Time to make 1 unit Direct Labor Cost Per Unit
$10 2 hours $20
Total Direct Labor Per Unit $20
Material Description Cost/Total Quantity Cost Per Unit
Domain name $12 $12
Total Material Cost Per Unit $32
Total Other Variable Costs Per Unit 0
Cost of Sales Per Unit $32
AES
Definition of One Unit One website and
domain name
Selling Price per Unit$
100
Direct Labor per Unit (if applicable) $ 20
Materials per Unit (if applicable) $ 12
Total COGS per Unit $ 32
Total Other Variable Expenses per Unit 0
Total Cost of Sales $ 32
Contribution Margin $ 68
AES
Type of Fixed Cost Monthly
Cost Entrepreneurial Stipend 0
Insurance $50
Salaries of Employees 0
Advertising $15
Interest 0
Depreciation 0
Utilities (internet and phone)
$40
Rent $50
Other Fixed Costs 0
Total Monthly Fixed Costs
$155
AES
AES
School Business Work Free Time
25 hours 35 hours 30 hours 78 hours
0123456789
June July Aug Sept Oct Nov Dec Jan Feb Mar Apr May
Uni
ts S
old
Total Units
Full Capacity
Break-Even Units
AES
Selling Price Per Unit $ 100
# of Units Sold 42
Total Sales $ 4,200
Total COGS $ 1,344
Other Variable Expenses 0
Total Variable Expenses $ 1,344
Gross Profit $ 2,856
Yearly Fixed Operating Expenses $ 1,860
Other Operating Expenses/Unforeseen
$ 50
Total Fixed Operating Expenses $ 1,910
Profit before Taxes $ 946
Less Estimated Taxes @25% $ 237
Net Profit $ 709
AES
Start-up Investment
Item Where Will I Buy This? Cost
Business Registration
Chelsea City Hall $ 25
Cell phone Verizon $75
Web design software
Amazon $ 383
Computer Already own 0
Total Start-Up Expenditures $483
Cash ReservesEmergency Fund $ 100
Reserve for Fixed Expenses $ 465
$1,048Total Start-Up Investment
AES
…on Sales
…on Investment67.6%
Annual Net Profit
Start-Up Inv.
$709
$1,048= $.68
16.8%
Annual Net Profit
Total Sales
$709
$4,200=
$0.17)
AES
Source Amount Equity
Personal Savings$800
I will retain 100% equity of my business with this financing strategy.
Relatives/Friends[graduation gifts]
$113
Award
[CHS business plan competition]
$75
Totals: $1,048
AES
AES will donate 5% of our annual profits to the Make-a-Wish Foundation.
AES
I plan on using my business to help me pay
for college.
I will further my knowledge of web site design.
Attending Wentworth College in September.
Business
Personal
• As my business grows, I will rely on referrals and the NFTE network to expand my customer base.
Sh
ort
Term
Lon
g T
erm
I plan to operate this business through college.
AES
Thank you for your consideration of
Arsenault Entrepreneur
Services
AES