EXPANSION PLAN 2014-15Northern Illinois

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Disclaimer

Acknowledgements

Executive Summary

Company Overview

Expansion Market Analysis

Competitive Analysis

Plans for Expansion into Crystal Lakes, IL.

Marketing Plan

Human Resources Plan for Expansion Market

Financials for Expansion Plan

Appendix

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Velocity Consulting has prepared this report for the sole use of its Client. The report may not be relied on by any other party without the express written consent of Velocity Consulting,

Velocity has exercised due and customary care in conducting this study, but has not, save as specifically stated, independently verified information provided by others. No warranty, expressed or implied, is made in relation to the contents of this report. Therefore, Velocity assumes no liability for any losses resulting from errors, omissions, or misrepresentations made. This report was prepared at the request of the Client.

Any recommendations, opinions, or findings stated in this report are based on the circumstances, data presented by the client, and facts as presented at the time Velocity performed the work. Any changes in circumstances and facts upon which this report is based, or errors or omissions in the data presented to Velocity may adversely impact any recommendations or findings.

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Acknowledgements Project Manager - John Austin Johanneson

Finance & Accounting Team:– (Manager) Austin Johanneson– Tarrin Beck

Geographic Information System Team:– (Manager) Ryan Lindsey– Matt Hellyer– Richard Ward

Social Media Team:− Tyler Jansma

Marketing Team:– (Manager) Rebecca Baader– Amy Brown– Stephanie Zimmerman– Tarrin Beck

Strategy/Human Recourses Team:– (Manager) Stephanie Zimmerman– Chad Westenberg– Chris Peavy

Advisors:– J.J. Shields

4The project has been carried out under the auspices of Carthage’s A.W. Clausen Center.

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Introduction

Expert Tax Solutions was started in 1999 by founder Russ Eichner in his basement. Since that time, the company has grown and currently has their main office in Racine and a branch office in Green Bay.

With the stable growth and success of his two current offices, Russ expressed an interest and desire to continue the successful growth and look into expansion in other locations in Southeastern Wisconsin and Northern Illinois. Having worked with Velocity Consulting previously regarding marketing and branding, Russ and the Expert Tax Solutions team approached Velocity for a business expansion analysis and model.

Expert Tax Solutions hired Velocity Consulting to develop this expansion plan that would include growing in Southeast Wisconsin and Northern Illinois region.

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Executive Summary• Velocity Consulting was asked to create a expansion business plan that focused on the tax preparer industry in the

Midwest region. Our team looked at the main competitors in the Crystal Lake area that incudes the following:

• During creating the expansion business plan, the team worked to create the following aspects for the company to utilize: prepare a budget, develop a social media plan, reorganize the corporate structure, design a marketing plan, and devise geographic information systems.

Top Line Conclusions• Expert Tax Solutions needed assistance in creating a budget for the potential new location

– The budget was determined based on revenue and the team concluded that 5% of revenue can be directed to advertising.

• Expert Tax Solutions had little, if any, exposure on social media websites such as Facebook, Twitter, and LinkedIn.− In not having a social media presence, Expert Tax Solutions was missing out on an opportunity of free

advertisement that was concluded that one employee/intern could be responsible for. • The team reorganized the corporate structure of the company to correspond with transitioning from a small to a

medium/large business. – During this process, the job titles and duties of each employee were defined to assist in future human resource

activities. • In relation to expansion, Expert Tax Solutions needed a marketing plan to increase brand recognition and attract

customers to their potential new location. − The marketing plan consists of seven major parts including: social media, open houses, radio and print

advertisement, direct mailing and emailing, chamber of commerce membership, and local team sponsorships. • The Geographic Information Systems (GIS) concluded that the ideal area for expansion is in Crystal Lake, Illinois through

the analysis of maps and available data.

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H&R Block James Gioia & Company PC On Site Accounting Examplar Financial Network

Jackson Hewitt Tax Service Joel Shabsin & Associates Miller Verchota, Inc. CPA’s Sansone Accounting & Tax

SMT & Associates, Inc. McDonald Doherty & Co Todd Bacon & Associates Broman & Kosar, Ltd. CPA’s

Caufield & Flood Martin Johnson Tax & Financial

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Executive Summary • Introduction• Recommendations:

– What market, why– Marketing Plan Overview (include total costs) – HR Plan Conclusions – Financials overview with P&L numbers

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COMPANY OVERVIEW

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WCompany OverviewExpert Tax Solutions, established by Russ Eichner in 1999, was started in his basement and has now expanded into an established company with locations in Racine and Green Bay, Wisconsin. The company has a strong customer base that is confined to the Eastern parts of Wisconsin. The company follows three key principles in their work: • Professionalism

– Our firm is one of the leading firms in the area. By combining our expertise, experience and the energy of our staff, each client receives close personal and professional attention.

– Our high standards, service and specialized staff spell the difference between our outstanding performance, and other firms. We make sure that every client is served by the expertise of our whole firm.

• Responsiveness– Our firm is responsive. Companies who choose

our firm rely on competent advice and fast, accurate personnel. We provide total financial services to individuals, large and small businesses and other agencies.

– To see a listing of our services, please take a moment and look at our services page. Because we get new business from the people who know us best, client referrals have fueled our growth in the recent years.

– Through hard work, we have earned the respect of the business and financial communities. This respect illustrates our diverse talents, dedication and ability to respond quickly.

• Quality. – An accounting firm is known for the quality of its

service. Our firm’s reputation reflects the high standards we demand of ourselves.

– Our primary goal as a trusted advisor is to be available to provide insightful advice to enable our clients to make informed financial decisions. We do not accept anything less from ourselves and this is what we deliver to you.

– We feel it is extremely important to continually professionally educate ourselves to improve our technical expertise, financial knowledge and service to our clients.

– Our high service quality and “raving fan” clients are the result of our commitment to excellence.

Much of Expert Tax Solutions’ success can be attributed to their strong “word of mouth” and grassroots marketing for providing great friendly services.

Expert Tax Solutions is looking to expand their business by opening a new location in the Northern Illinois region.

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Products and ServicesExpert Tax Solutions provides the following services:• Tax Planning• Business Services

– Payroll– Business Formation Assistance– Bookkeeping

• Retirement Planning– Budgeting– Income Distribution Planning– 401k Rollovers– Roth/Traditional IRAs– Pension Maximization– Life Insurance

• Business Planning– Succession planning for selling your business– Advising on HSA – Health Reimbursement Plans– Group Disability/Key Person Life Insurance– Group Retirement Plans: SEP, SIMPLE, 401K, Solo 401K, Roth Options

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Based on in-depth discussions with various industry members, the positioning chart (right) was created.

Overall, the majority of the major tax franchise companies are perceived as expensive and have a good reputation. The exceptions to this are Liberty Tax and Instant Tax; both are perceived as being less pricey, but also suffer in terms of reputation.

Smaller independent tax companies seem to have a lower reputation, yet have a broad band for pricing.

Expert Tax Solutions is uniquely positioned: they have the same high reputation as the major players, but with more reasonable pricing. This is the position that Expert Tax Solutions must maintain as they expand.

Expert Tax Solutions also has the following descriptors attached to their name in their current markets of Green Bay and Racine:• Professional• Relaxed atmosphere• Hometown• Friendly• Local • Experts• Caring

The “Relaxed” and “Hometown” descriptors will be key elements in the marketing plan for the expansion markets.

Positioning Matrix

High PricedLow Priced

Good Reputation

Poor Reputation

H&R BlockBMO Harris Bank

Jackson Hewitt

Liberty Tax

Expert Tax Solutions

Instant Tax

Self Prepared

Edward Jones

Smaller Tax Services

Key Observations• Expert Tax Solutions holds a unique position in the

market. It must continue to defend this position.

EXPANSION MARKET ANALYSIS

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Introduction A thorough GIS (Geographical Information Systems) study was conducted by Velocity which included southeastern Wisconsin and northern Illinois to determine the best possible locations for expansion. Some the parameters used included:

– Household income– Population density– Population growth– Traffic patterns– Competitive locations– Competitive estimated sales

The GIS study identified the following cities as potential major opportunities:

– Kenosha, WI– New Berlin, WI– Waukesha, WI– Crystal Lake, IL– Waukegan, IL

After careful analysis, Velocity recommends that Expert Tax Solutions start their expansion in Crystal Lake, Illinois.

This section will focus on the data sets for the city of Crystal Lake. (Note: additional GIS data for the other cities is located in the appendix.)

Recommendations • Based on the GIS study, the best potential city to

expand to is Crystal Lake, IL.• Listed below are specific locations to locate the

business (store front) in Crystal Lake• Road V29 south of Road A46• W Algonquin Road between A48 and

Highway 31.• NOTE: should avoid the competitor

located at the intersection of 31 & V36 (see Competitors Location – Crystal Lakes Map for details)

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Demographics Overview

Financial  Crystal Lake, IL Kenosha, WI

Population 44,900 96,400

Median family income(per year)

$88,562 $58,791

Family purchasing power(annual, cost-of-living adjusted)

$90,926 $58,557

Sales tax 6.50% 5.5%

State income tax rate(highest bracket)

3.00% 6.75%

State income tax rate(lowest bracket)

3.00% 4.60%

Job growth %(2000-2006)

20.25% 9.33%

HousingAverage home price $250,702 $166,941

Average property taxes(2005)

$5,522 $3,585

Education  Crystal Lake, IL Kenosha, WI

Colleges, universities andprofessional schools (within 30 mi)

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Junior colleges andtechnical institutes (within 30

miles)10 8

Test scores reading(% above/below state average)

12.6% -4.6%

Test scores math(% above/below average)

17.0% -9.0%

% students attending public/private

schools (located within town limits)

94.5/5.5 88.1/11.9

Other DemographicsMedian age 34.0 34.1

Completed at least some college(% of residents)

74.0% 51.7%

Married 63.8% 48.4%

Divorced 8.0% 11.4%

Racial diversity index(100 is national average; higher

numbers indicate greater diversity)18.0 71.8

Amount spent on vacations(domestic and foreign, household avg.

per year)$8,140 $6,381

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Key Observations• Note: Kenosha was added as a point of reference. • Clearly Crystal Lake is more desirable in terms of

income, education… than Kenosha.• Note: Kenosha has better demographics than Racine

(home base for Expert Tax Solutions). Income +11.7%, Job growth +145%...

Source: CNN/Money “Best Places to Live” 2007

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EHousehold Income – Crystal Lake

Key Observations• Crystal Lake has higher

household income overall when compared to Waukegan, another potential location.

• While both suburbs harbor some of the ring of wealth around Chicago- made up of professionals and workers who commute to the city- Crystal Lake income levels are far more homogeneous than in Waukegan.

• Waukegan has a wide range of income, which is especially low in the downtown area.

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Population Growth – Crystal Lake Key Observations• Crystal Lake shows more

areas of expected growth than Waukegan, and conversely Waukegan has more areas of expected decline.

• Part of this can be explained by the fact that more developable land is available in the Crystal Lake region, but not in Waukegan.

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Competitors’ Sales – Crystal Lake Key Observations • This map shows the

potential of competitors in northern Illinois by their reported sales volumes.

• Illinois has overwhelming competition in Chicago, but it is sparse in the north and northwest suburbs, where these two potential sites are located.

• Although Waukegan has a natural barrier from the lake, limiting the number of surrounding competitors, Crystal Lake still has fewer potential competitors than Waukegan.

This data is from ArcMapBusiness Analyst

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Competitors Location – Crystal Lake

Key Observations • This map shows Tax Specialists,

Financial Planners, and Attorneys' Offices in the Crystal Lake area and includes an estimated sales volume by each business.

• The Block Groups are symbolized by Median Household Income, which may serve as an indicator for a specific, desired client base.

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Average Daily Traffic – Crystal LakeKey Observations• Since marketing is critical for

success and much business can be gained via “drive by” visibility, traffic data should be used for store placement.

• The areas enclosed in the red dashed line are high traffic and appear to be the best potential for store placement.

Specific Locations– Randall Rd. (Road V29 )

south of Ackman Rd. (Road A46 ).

– W Algonquin Road between IL 31 and Haligus Road (V23).

• NOTE: Avoid site and competition near the intersection of IL 31 and W Algonquin Rd. (seen on previous map).

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Demographics – InfoUSA.com • Demographics from InfoUSA.com:

– Age 30-54– Income $100k - $500,00k– Home Ownership– Single Family Dwelling– Estimated Wealth $135k - $1,85K– Charitable Donor– 10 mile radius around Crystal Lake

• The above demographics results in 2,179 addresses

• Note: Crystal Lake is ideally located between the high density areas around McHenry & Algonquin (each is ~10 miles from Crystal Lake)

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10 Mile Radius from Crystal Lake

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Financial Services downtown Crystal Lake– BMO Harris Bank– Country Financial (William L. Layer) (doesn’t do taxes)– Crystal Lake Bank & Trust (doesn’t do taxes)– Edward Jones & Co. (Danny Hampton)– Home State Bank (doesn’t do taxes)– Team Rhino Lending (doesn’t do taxes)

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• http://www.downtowncl.org/22.html • 101 N. Main St. - First Floor Contact Number: 815-455-4000

– Suite 9: 105 square feet, $219 month– Suite 17: 432 square feet, $598 month– All inclusive rental rates: utilities, building maintenance,

taxes and insurance included– Street parking and parking in back of building– Convenient walking distance to restaurants, bank,

shops and services

• 58-1/2 N. Williams St. Contact Number: 815-444-1797– Second Floor, carpeted office, 2,000+ square

feet, $1,940 month – Street Parking available

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Retail / Office Space Available

COMPETITIVE ANALYSIS

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Competitive Analysis The following tables list potential competitors in both the Kenosha and Crystal Lake areas. Strengths and weaknesses were determined based industry reports, discussions with industry personal and internet searches. (Note Kenosha was added as a point of reference)

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Competitor Kenosha Crystal Lake

Strengths Weaknesses

Liberty Tax Service

X Part of a franchise allows access to company's resources. They also have brand recognition wherever they are located.

Due to the franchise aspects, there is no room for changes in the way the business is ran. In a franchise, the business becomes less personal because there is no guarantee that the same person will complete the clients' taxes each year.

Villani Becker & Larsen

X A firm that stresses its values of professionalism, responsiveness, and quality. With employees from the area, they have a loyal customer base. They also focus on the non-profit sector to assist religious organizations.

This business lists its services in order on their website of payroll, accounting, and then tax services. This probably means that this what they work the most on and may not be as skilled in the tax services.

H&R Block X X Part of a franchise allows access to company's resources. They also have brand recognition wherever they are located.

Due to the franchise aspects, they is no room for changes in the way the business is ran. In a franchise, the business becomes less personal because there is no guarantee that the same person will complete the clients' taxes each year.

Tirabassi Felland & Clark LLC

X They listed their services as tax preparers, accounting services, and estate/financial planning. This means that they believe they are strong tax preparers.

When searching their website, one is unable to click on their homepage to find information about their services and employees. This disallows people to gain information about their company.

Jackson Hewitt Tax Service

X X Part of a franchise allows access to company's resources. They also have brand recognition wherever they are located.

Due to the franchise aspects, they is no room for changes in the way the business is ran. In a franchise, the business becomes less personal because there is no guarantee that the same person will complete the clients' taxes each year.

Specialized Accounting Services LLC (Pleasant Prairie)

X The website is very informative. They also focus on small businesses as well as individual services. The staff has all had many years in the field with degrees from highly respected academic institutions.

Tax services are ranked as the third most popular service that they provide.

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Competitive Analysis

Competitor Kenosha Crystal Lake

Strengths Weaknesses

Professional Accounting Services

X They pride themselves in specializing in both personal and corporate taxes.

The other services that they offer are wide spread and will not allow them to be experts in each of these areas.

Accurate Tax Racine & Kenosha

X As their name suggests, their main business are tax related services. They have a BBB A+ rating.

There is not much information available on the business online for their potential customers to find out about them.

Michael H Parrish CPA

X This firm has tax management services as the first service they have available.

The information available reads like it's more geared to business rather than individuals.

Seymour & Associates

X This firm has tax management services as the first service they have available.

This firm is focused on the business services offered over the individual services offered.

Franz Accounting & Tax Services

X This firm is small, but they want to have that personal touch with each and every one of their clients. Has more than one location.

In the list of services available at this firm, tax preparing is among one of the last services that they offer. They also focus on the business over the individual.

SMT & Associates, Inc.

X Taxes are a major part of their business. They focus on the business over the individual. They also are spread across a number of sectors like healthcare, manufacturing, law firms, and other industries.

Caufield & Flood X They offer a variety of tax services for their clients. They also encourage their customers to refer their friends to their business by gift certificates.

Their focus is on businesses over the individuals. The tax services available are more wide spread to businesses.

James Gioia & Company PC

X This firm is really serious about the tax part of their business. On their home page, it goes into detail right away about which services for taxes that they offer. They also list more services for the individual over businesses.

The listing of only one employee/president of the company makes one believe that this is a one person business. This means that the amount of business that can be taken on is depending on how much work this one person can do. The business is also in a residential area. This may discourage some clients do to its location.

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Competitive Analysis

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Competitor Kenosha Crystal Lake

Strengths Weaknesses

Joel Shabsin & Associates

X With 25 years of experience, the firm will have a very loyal customer base. Also they have more than one location.

Tax services are geared toward small business owners and not towards the individual.

McDonald Doherty & Co

X They value each and every client relationship they have and they view these relationships as a partnership.

Tax services are one of the last services that this firm offers. It focuses its accounting and consulting services more.

Martin Johnson Tax & Financial

X Due to this firms long 44 year span in this area, they are a known business that people can trust and respect since their business has lasted this long. They also focus on the tax services of the individual.

It is unsure about how many employees work at this firm to judge how big of a client base they have.

On Site Accounting

X This firm seems very friendly in regards to customer service and they seem knowledgeable about the services that they do provide.

Tax services are one of the last services that this firm offers. It focuses its accounting and payroll services more.

Miller Verchota, Inc. CPA's

X They highlight their experience by having employee biographies on each one of their employees. They also show their credibility in the community by their involvement with various memberships and chamber of commerce.

Tax services are not one of the top services that they offer. They are more focused on their accounting and auditing service over tax services.

Todd Bacon & Associates

X This firm focuses on the needs of the individual over the needs of the business.

The tax services that they do offer are not their top service.

Broman & Kosar, Ltd. CPA's

X The firm builds its credibility through their want to be a expert and efficient firm and by serving each client to their specific needs.

The business service are the highlight of this firm with tax services the last service that they offer.

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Competitive Analysis

Competitor Kenosha Crystal Lake

Strengths Weaknesses

Examplar Financial Network

X The professional shown in their website exemplifies the amount of professionalism they put into their business.

They do focus on the of the individual, but the tax services are not what their firm focuses on.

Sansone Accounting & Tax

X This firm focuses on the tax services for individuals.

It is unsure about how many employees work at this firm to judge how big of a client base they have.

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Key Observations• There are a total of 23 competitors in the 2 markets. Details are below:

– 10 competitors in the Kenosha market– 13 competitors in the Crystal Lakes market– 2 competitors are in both markets; H&R Block and Jackson Hewitt.

PLANS FOR EXPANSION INTO CRYSTAL LAKES, IL.Marketing, Human Resources & Budgets

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, IL.Introduction • This section contains detailed plans to expand Expert

Tax Solutions into the Crystal Lake, Illinois market. This area was chosen because it is the are that would be best for the company to enter next. The plans include:

– A Marketing Plan• Target Market• Market Needs• Marketing Tactics• Overview of Marketing Budgets• Sponsorship Suggestions• Social Media Plan• Website Analysis

– A Human Resources Plan• Retail Structure• Breakdown of Job Positions• Outsource vs. In-house Positions

– A budget for the expansion

MARKETING PLAN

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TOverview• The marketing plan has 6 major components:

1. Sponsorship of local youth sports teams2. Advertising via radio stations3. Print advertising 4. Open house5. Direct mailing campaign 6. Social media

Target Market:• Individuals/couples 30-65• Income >$60,000• Those people who are tired of dealing with the

“McDonald’s” type franchise tax preparer • Those people who don’t want to go to an “Exclusive &

Stuffy” accounting firmsWith a lack of brand awareness outside of Racine and Green Bay, Expert Tax Solutions must develop brand awareness in Crystal Lake. The intent is to be a mid-sized tax firm that adequately suits the tight-knit communities found in this location. To do so, Expert Tax Solutions must take advantage of the networking resources that may be found through various tactics.

TOTAL 12 MONTH MARKETING BUDGET = $13,593 See Financials for Expansion Plan for a breakdown of the budget

Market Needs & Overall Approach For the first year, this plan will focus on 2 main objectives:

1. Build Brand Awareness. Since Expert Tax Solutions is new to the Crystal Lake area, their brand awareness is essentially zero.

2. Create a Strong Brand Image. Expert Tax Solutions wants to continue their “friendly, hometown” image that has been developed in their existing markets of Racine and Green Bay.

The overall approach to the plan is to create 3 distinct marketing waves, each will a different purpose:

– Wave #1 is focused on creating awareness for Expert Tax Solutions. This wave culminates with an Open House in the new facility. This is all about networking and making connections in the community.

– Wave #2 is focused on reinforcing and building more awareness via radio, print and direct mail campaign. It is focused on reinforcing and building more awareness for Expert Tax Solutions through these traditional media forms and through social media. This wave will continue to get the company out into the community

– Wave #3 is focused on creating the “Friendly Hometown” image via local sponsorship of baseball teams & park banners.

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SOverview of Marketing TacticsListed below is an overview about the various marketing tactics and some rationale: Social Media• Social media will benefit Expert Tax Solutions by

allowing for a more interactive relationship between the firm and its customers. In addition, using various social media outlets will allow users to “share” pages and information, which will serve as low-cost means of advertisement.

Open House Event• An open-house night of the opened locations that

allows the community to enter and experience the atmosphere of the firm. Giveaways may also be used as a promotional technique at this event. This will be a great opportunity to start the networking opportunities.

Radio Advertising• Crystal Lake heavily utilizes radio as a means of

community outreach. The station WZSR-FM STAR 105.5 and WWYW FOX 106 have sixty miles of coverage in the Northwest suburbs of Illinois. With over 287,000 weekly listeners- many of which suit the sought-after.

• The radio spots must be unique and reflect the brands image of “friendly & hometown”

Direct Mail / E-Mail• InfoUSA.com provides targeted addresses for a

relatively low cost. • The email campaign will be predominantly run and

managed by an intern. Based on purchased lists, direct email campaigns will keep consumers up-to-date with offers and events hosted by Expert Tax Solutions.

Print Advertising • The Northwest Herald is the only daily newspaper

published in McHenry County. Reaching 278,000 homes weekly, it offers a “Local Business Showcase” section that will increase brand awareness and interest in the community. Ranked 1st in circulation and advertisement presentation, the newspaper also reaches 1.2 million online monthly visitors.

The Crystal Lake Chamber of Commerce • Provides a business network that many businesses

use. Meeting every Tuesday between 7:30 and 8:30 in the morning, businesses convene and present one another with referrals (the preferred method of business for Expert Tax Solutions). With a small annual fee of $394, referral groups will be developed. In order to avoid competing directly with other tax firms, there is only one business category per network group.

Sponsoring a youth sports team. • This will allow company information to be printed on

the back of uniforms and-depending upon the specific league- allow for signage to be placed at events. Depending upon the level of sponsorship and the length of time, prices of sponsoring a team may range anywhere between $200 to $600. In addition to the advertisement on uniforms, hosting events such as pizza parties for the team will improve brand awareness throughout the community.

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Marketing Tactics – Details October ($7,719)• Move in new space in beginning of month. • Hire a social media intern from a local college

– In the first year, it would be best for the position to be unpaid. As years progress and the marketing budget increases, hiring an intern for pay will be more feasible.

– This should be done during May/June when students are looking for summer internships.

• Join Crystal Lake Chamber of Commerce to begin networking TOTAL COSTS = $394

– Estimated cost: $394 (6-15 employees) per year.

• Radio Spots TOTAL COSTS = $1,600 – Build brand awareness of Expert Tax Solutions

with a 1 week campaign that begins in late September (may mention Open House) 4 spots per day (2 in each drive time) = 20 spots x $80/spot = $1,600.

• Note: Social Media Campaign costs nothing and should be an on going endeavor. Details for the social media campaign are found later in this section.

October (cont.)• Hold an Open House in late October.

– Children are settled in school– Held before the elections– Weather is still ok.– TOTAL COST OF EVENT + Marketing =

$5,725 (breakdown below)

• Actual Open House Event TOTAL COSTS = $1,500– Assumes 100 guests @ $15 each for food &

drink.– Print and direct mail campaigns will be used to

promote the Open House (details below)– The radio spots should help to lay the foundation by

creating some brand awareness. The following campaigns will focus more on the Open House Event.

• Direct Mail Campaign TOTAL COSTS = $4,175– Purchase list from InfoUSA $400– Printing ($1.20 x 2,220 = $2,775)– Postage ($0.45 x 2,220 = $1,000)– Note, printing could be less depending on piece

sent

• Print Campaign TOTAL COSTS = $50– 1 Full Page Color ad x 2 days = $50

• Based on rates similar to the Kenosha News

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November ($350)• Follow-up calls/meetings with Open House guests.• Cold calling• Continue social media campaign• Sponsor a winter sports team TOTAL COSTS = $300

– Crystal Lake Park District boys after school basketball

• Print Campaign TOTAL COSTS = $50– 1 Full Page Color ad x 2 days = $50

• Based on rates similar to the Kenosha News

December ($0) • Cold calling• Activities hindered by Christmas Holiday.January ($1,600)• Begin 2nd wave of marketing because people are

starting to think about taxes with the beginning a new year.

• Radio Spots TOTAL COSTS = $1,600– Continue to build brand awareness of Expert Tax

Solutions with a 1 week campaign that begins in late January. 4 spots per day (2 in each drive time) = 20 spots x $80/spot = $3,200.

• Cold callingFebruary ($50) • Print Campaign TOTAL COSTS = $50

– 1 Full Page Color ad x 2 days = $50• Based on rates similar to the Kenosha

News

March ($1,844)• Print campaign continues• Direct mailing Campaign (if needed) TOTAL COSTS =

$1,844– Purchase list from InfoUSA $400– Printing ($0.20 x 2,220 = $444) (Not at deluxe are

the Open House Invite) – Postage ($0.45 x 2,220 = $1,000)– Note, printing could be less depending on piece

sent• Cold callingApril ($130)• Print Campaign TOTAL COSTS = $50

– 1 Full Page Color ad x 2 days = $50• Based on rates similar to the Kenosha

News• Cold calling• Radio Spots TOTAL COSTS = $80

– Continue to build brand awareness of Expert Tax Solutions with one independent advertisement run during the month. (During drive time) = 1 spots x $80/spot = $80

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Marketing Tactics – Details

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May-September ($1,900)• 3rd wave of marketing begins. Lower costs and

continuous (i.e. banners, team sponsorships…) • This wave is focused on build a “friendly/hometown”

brand image. • Crystal Lake Baseball TOTAL COSTS = $650

– Sponsorship of 1 Little League team– League sponsorship

• Crystal Lake Slam Girls Fastpitch Softball TOTAL COSTS = $750

– League/team sponsor• Crystal Lake Park District Lippold Banner Program

TOTAL COSTS = $500• Cold Calling

Velocity recommends an aggressive marketing budget during the first year. In doing so, the business will experience greater returns.

Maintaining constant ties with the community through sponsorships and open house events will provide the added benefit of buzz marketing throughout the community, which will also work towards increasing foot traffic.

In allocating a large marketing budget in the first year, Expert Tax Solutions will quickly become a part of the consumer’s evoked set with the repetition that is being used through a variety of mediums.

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Marketing Tactics – Details

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ECrystal Lake Baseball LeagueCrystal Lake Baseball (CLB) was founded in 2010 by members of Crystal Lake National Little League with the goal of providing a single source youth baseball organization in Crystal Lake, Illinois. CLB is a not for profit Illinois (501c3) corporation operating an educational baseball program run solely by volunteers. Scholarships are available upon request for families in need.

• The league is divided into 4 age divisions:– Majors (ages 11-12)– Triple A (ages 9-10)– Double A (ages 7-8) – Single A (Rookies ages 4-6)

• The league has approximately 25 total teams.• Contact Steve Mok (815) 526-2337 or Megan Mok

(815) 526-2338– May also be reached via email:

sponsorship@clbaseball.com

• Velocity recommends Expert Tax Solutions sponsor the following items in red (right)

– 4 Team Sponsorship – one team in each division (Total $1,600)

– Platinum League Sponsorship $1,000

– TOTAL Cost $2,600

• Sponsorship Price Packages– Team Sponsorship: Sponsor one team at a cost

of $400 per team. The business name will be printed on the back of team uniforms

– Banner Sponsorship: For $300, Expert Tax Solutions will receive a 3ft x 6ft banner with custom text and graphics that are displayed around the baseball complex

– Team and Banner Sponsorship Combo: For $575, both the banner and uniforms with the sponsor name will be provided

– Silver Sponsorship: $500 will give the company presence on the sponsor wall on the concession stand and includes a custom banner

– Gold Sponsorship: $750 will provide all the benefits of the silver sponsorship as well as the company name and logo on one of the tournament team’s banners. The banner will be displayed at every game the team plays in

– Platinum Sponsorship: For $1000 all of the benefits of the silver and gold sponsorships as well as an additional tournament team banner listening and a commemorative plaque to display at your business

– General Scholarship Fund: Donations offered to families that are unable to pay the full fee to play baseball. The requested donation for a scholarship is $150. In addition to any of the sponsorship benefits above, al sponsors will receive a custom logo and link to their website on the league’s sponsor page.

• More sponsorship details may be found on their website: http://www.clbaseball.com/sponsor

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Crystal Lake Slam Girls Fastpitch Softball • Slam Fastpitch is a highly competitive softball

organization in the Northern Illinois area that develops players into elite athletes and compete at the highest level of competition.

• The organization's goal is to teach solid fundamental softball skills by utilizing the knowledge of past and present college players and exposing the teams to drills and exercises used at some of the best softball programs in the country.

• The Slam fields 3 teams in Under 10, Under 12 and Under 14 Divisions.

• Contact Jack Gross at SlamSoftball@aol.com

• Velocity recommends Expert Tax Solutions sponsor the following item in red (right)

– Home Run Package $750

– TOTAL Cost $750

• Sponsorship Price Packages– Single Package: For $100, the sponsor’s name

will be listed on the team website– Double Package: For $300, the sponsor’s name

will be featured on the team banner and the sponsor’s name will be listed on the team website

– Triple Package: For $500, Expert Tax Solutions will have their name featured on a team banner, will have their name listed on the team website, and will receive a recognition plaque

– Home Run package: $750 or greater, the sponsor will have their name and business logo on team banners, will have a link dedicated to their business website on the team’s web page, will have the sponsor’s name listed on the team website, and will receive a recognition plaque

• Sponsorship Commitment form may be found on their website: http://www.slamfastpitch.org/index.php/sponsorship/sponsors-form

• Velocity does not recommend in first year of operation

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Crystal Lake Centennial • Crystal Lake is celebrating their centennial during

2014. Several local business are sponsors. Most notably is Miller-Verchota CPA (they are a Bronze Sponsor - $1,00-$1,999)

• However, Velocity recommends NOT to sponsor this event for the following reasons:

– High costs– Limited exposure– 1 chance sponsorship, no continuity – The program has already started and will end in

Dec 2014.

– TOTAL Cost $0

• Bronze Sponsor: $1,000-$1,999– Listed as Crystal Lake Centennial Bronze

Sponsor on all facility and event signage, email, and website.

– Will receive two tickets to ticketed centennial events

• Silver Sponsor: $2,000-$4,999– Listed as Crystal Lake Centennial Silver Sponsor

on all facility and event signage, email, and website.

– Will receive four tickets to ticketed centennial events

• Gold Sponsor: $5,000-$9,999– Listed as Crystal Lake Centennial Gold Sponsor

on all media releases, advertising, facility and event signage, email, and website

– Will receive six tickets to ticketed centennial events

• Presenting Sponsor: $10,000 and up– Listed as Crystal Lake Centennial Presenting

Sponsor on all media releases, advertising, facility and event signage, email, and website

– Will receive ten tickets to ticketed centennial events

• Sponsorship may be tax deductible since the donation is being made to the City of Crystal Lake

• Additional questions and informational requests may be sent to centennial@crystallake.org

– May also be reached by phone at (815) 459-2020, ext. 3663

• http://www.crystallake100.org/documents/sponsor.pdf– The form will be sent to Penelope M. Johns of

the Crystal Lake Centennial Committee 38

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Crystal Lake Park District Sponsorship • The Crystal Lake Park District offers several different

opportunities to provide sponsorship, including: – The Crystal Lake Half Marathon– Summer Concerts and Movies in the Park– Safety Town– Senior Programs– The Chili Open Golf Classic– Hound Town Halloween Bash– Miss Crystal Lake Pageant– Ads in the Crystal Lake Park District Brochure– And many other opportunities

• These events attract hundreds of people in the community and surrounding areas.

• Velocity recommends Expert Tax Solutions sponsor the following item in red (right)

– Lippold Banner Program $500

– TOTAL Cost $500

• The district also offer the Lippold Banner Program– The Lippold Park Boncosky Softball Complex is

a hub of softball action and extra events 7-days a week, from April 1-December 1. During the summer and fall, men's, women's, and co-rec softball teams take the field and play for family, friends, and other spectators from the community and surrounding areas. In addition, many community organizations utilize Lippold Park for its certified 5K race course throughout the competitive running season. Cost $500

• Running between January and March, the park district sponsors youth basketball leagues for boys between grades 4 and 6.

– The goal of the Boys After School basketball program is to help participants develop basic individual basketball skills and team concepts whole having fun in a low-pressure environment.

– The program includes a 5 game season– Team jerseys are included in sponsorship fees

• Sponsorships can be customized for a wide range of financial contributions. For more information about Sponsorships, call or email Jacqui Weber at (815) 459-0680, ext. 214.

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Crystal Lake Park District• The Crystal Lake Park District sponsors programs for

children year-round• Running between January and March, the park district

sponsors youth basketball leagues for boys between grades 4 and 6.

• The goal of the Boys After School basketball program is to help participants develop basic individual basketball skills and team concepts whole having fun in a low-pressure environment.

– The program includes a 5 game season– Team jerseys are included in sponsorship fees

For more information about Sponsorships, call or email Jacqui Weber at (815) 459-0680, ext. 214

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Direct Mail Campaign – Mailing List • Demographics of mailing list from

InfoUSA.com:– Age 30-54– Income $100k - $500,00k– Home Ownership– Single Family Dwelling– Estimated Wealth $135k - $1,85K– Charitable Donor– 10 mile radius around Crystal Lake

• The above demographics results in 2,179 addresses

• The cost for the mailing list is $392.22

• Note: Crystal Lake is ideally located between the high density areas around McHenry & Algonquin (each is ~10 miles from Crystal Lake)

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10 Mile Radius from Crystal Lake

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Radio Advertising

• Here is a list of all radio stations serving the Crystal Lake region.

• Note: there are no radio stations located in Crystal Lake.

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Radio Advertising WZSR-FM STAR 105.5

• WZSR STAR 105 (a hot adult contemporary station) is one of the top radio stations in the Crystal Lake region and has one of the strongest signals in the area.

• Artist on their playlist include:– Kelly Clarkson, Pink, Jason Mraz, – Lady Gaga, Katy Perry, Train, – Maroon 5, Rihanna, Daughtry, – Bruno Mars, Adele, Nickelback – Taylor Swift & more

• The demographics seem well-matched

WZSR advertising manager quoted the following base rates (of course everything is negotiable)

– ~$50 - $80 per 60 second spot depending on day part.

• More information can be found at (www.star105.com) or call: 815-459-7000

• Velocity recommends Expert Tax Solutions discuss a radio buy with WZSR. If the buy is large enough, they will provide additional promotional packages (i.e. live broadcast from your location during the open house, provide radio personalities at the open house…)

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Radio Advertising WWYW-FM THE FOX 103.9• WWYW (a Classic Rock station) is one of the top radio

stations in the Crystal Lake region and has one of the strongest signals in the area.

• Artist on their playlist include:– Led Zeppelin, Aerosmith, Van Halen, – Guns N Roses, Foreigner, Pink Floyd, ZZ – Top, Rolling Stones, Bon Jovi, The Doors, – Def Leppard, Pearl Jam, Eric Clapton, – Lynyrd Skynyrd , Journey, Cheap Trick, – The Who, Boston, Tom Petty and more

• The demographics are similar to STAR. Below are some small differences:

– WWYW has more listeners, more white collar, better educated.

– WWYW listeners have higher income and more intuitive business & financial knowledge.

WWYW does not post their rates. However, based on their listenership, the rates should be similar to STAR. (~$50 - $80 per 60 second spot depending on day part)• More information can be found at

(http://www.rockthefox.com/) or call: 815 – 459 – 7000

• Velocity recommends Expert Tax Solutions discuss a radio buy with WWYW. If the buy is large enough, they will provide additional promotional packages (i.e. live broadcast from your location during the open house, provide radio personalities at the open house…)

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Northwest Herald (www.shawsuburbanmedia.com)• Only DAILY Newspaper published in McHenry County

(Crystal Lake)• Offers a ‘Local Business Showcase’• 278,000 suburban households weekly• Daily newspapers rank 1st in circulation & ad

presentation• Online, 1.2million monthly visitors• Community oriented

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Overview Costs

• “You Pick” Package (buy 3 days get 1 free)– ¼ Page Color ad x 4 days = $540– Full page ~$650 per day

• Velocity recommends 8 days with ¼ page ads to promote the Open House Event = $1,080

• TOTAL COST = $1,080

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Social Media Tactical PlanOverall Goals:• Increase awareness of Expert Tax Solutions• Encourage consumer interaction• Have entire team on LinkedIn

Other Notes:• The social media plan can commence immediately since it is not directly tied

to the expansion into Crystal Lakes.

Plan for LinkedIn• LinkedIn is a professional network where you can

connect with colleagues, other businesses, share intellectual articles and endorse one another’s skills

• Use LinkedIn to differentiate and spotlight individual strengths and specialty areas

• When expanding, use to find potential employees• Post similar articles as Facebook so customers who

are not on Facebook can see the same information• Let people know you have a LinkedIn account by:

– Including it in your email signature– Send an email to customers inviting them to join

you– Link with community and customer LinkedIn

accounts– Add a link to your LinkedIn page on your website

Objective: • Establish business page• Create network with entire team on LinkedIn• Post 2-3 times per month

Key Metrics: – Number of connections– Number of updates

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Plan for Twitter On Twitter, success is measured by the number of impressions and the percentage of feedback (retweets, replies, favorites) that a tweet receives and followers that the account receives.

Include Expert Tax Solutions’ website on Twitter profile.

Tweets are a maximum of 140 characters so make them sound exciting and include a picture because it automatically shows up; photos have the highest interaction rates.

Use action words to tell people what to do (retweet, follow)Tag (@) other accounts to increase interaction and strategically use hashtags to get more impressions.

Make sure your location is enabled and shown.

Let people know you have a Twitter account by:– Including it in your email signature– Send an email to previous customers inviting

them to follow you– Follow community and customer Twitter

accounts– Add a link to your Twitter page on your website

Objectives:• Create Twitter handle• Gather followers• Post 2-3 times a weekKey Metrics: • Followers• Retweets• Favorites

Plan for FacebookOn Facebook, success is measured by the number of impressions and the percentage of feedback (comments, likes, shares) than an update receives.

Post mostly photos, not just long texts; videos and links get low interaction rates. Also post interesting articles relating to your business.

Use action words to tell people what to do (share, post this on your friend’s wall).

Share touching instances from the office or community and ask questions so the community can share their own thoughts. Write on community pages, get rapport going.

Let people know you have a Facebook page by:– Including it in your email signature– Send an email to previous customers inviting them

to like the page– Ask community pages to promote your page on

theirs– Invite customers to like your page– Include Expert Tax Solutions’ website in posts.– Add a link to your Facebook page on your website

Objectives: • Add cover photo• Fix profile photo• Gather Likes• Post 2-3 times a weekKey Metrics: • Followers• Retweets• Favorites 47

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• Expert Tax Solutions has pictures on their website that are by no means representative of their end goals.

• The website features very generic nature images. In addition, these images are banners at the top of the web page

• Other Tax groups, such as H&R Block, supply much larger pictures that depict professional individuals working and working with clients as well as imagery related to savings.

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• Other websites- such as JG Tax Group (Left)- offer verbatim recommendations from other consumers

• Expert Tax Solutions offers nothing of the like. To do so would make the firm appear more credible

• The “meet our staff” portion found on the Expert Tax Solutions website gives that personal feel that is not found in larger firms: Do not change. Based on the tabs that the tax firm is interesting in having for their page design, this syncs well.

• Other websites have sections that offer consumers self-help tips such as better money management. Expert Tax Solutions, on the other hand, provides some tools-such as calculators- under the assumption that consumers will know how to use them. They should incorporate some more of those DIY links.

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• Expert Tax Solutions should add links to the bottom of their main page that lead towards social media such as the Facebook and twitter.

• In placing their major values on the main page, Expert Tax Solutions is providing consumers with a transparency that many other tax firms lack. Company culture is immediately evident, which helps draw in their target market. This should be kept on the home page.

Additional Observations• Lacks the professionalism that one will find on other

websites. Overall “look and feel” of the website looks as if it came from a template.

• Much like other websites, the main page leaves close to no room for scrolling. This is better for holding viewer interest because it avoids providing too much information on a single page that viewers have to filter through

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HUMAN RESOURCES PLAN FOR EXPANSION MARKET

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Introduction To prepare this particular portion of the expansion plan, the Human Resources team interviewed current employees at the Racine, WI office to get a more detailed idea of their daily activities and their overall role. The team also researched existing roles at Expert Tax Solutions’ competitors to determine similarities and differences between the roles.

The following report includes a Retail Structure Model and equivalent position descriptions, as well as the beginning recommendations for a corporate level office, if and when Expert Tax Solutions reaches such level of growth.

Based on industry knowledge, human resources expertise, and research, the following recommendations have been made:

-Implement the following structure at the new Crystal Lake location.

-Gradually move to a similar structure at the current Racine and Green Bay locations to maximize efficiency and minimize cost.

-Consider this and other corporate level model structures, which ideally would begin forming with 3-5 retail locations

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Expert Tax Solutions General Retail Structure

Office Manager

Senior Tax Preparer

Tax Preparer

Seasonal Tax

Preparer

Bus. Dev. & Client Coord

Seasonal Client Coord

RationaleThe creation of this particular retail model is unique to Expert Tax Solutions based on the services they offer, the roles and duties of current employees, and researching competitor's retail structures.

• The Office Manager is ultimately responsible for overseeing the success of this individual location, keeping up to date with local trends, and communicating with the corporate office.

• The Senior Tax Preparer should be considered the expert tax preparer. They are to be knowledgeable of all tax practices, industry trends, and oversee and advise Tax Preparers and Seasonal Tax Preparers. They should also be capable of performing and specialty tax preparations Tax Preparers are not experienced with or qualified for.

• The Tax Preparer role is simply a less managerial version of the Senior Tax Preparer. They perform all of the same tax-oriented duties, but do not oversee other employees.

• The Business Development and Client Coordinator works in close capacity with the Office Manager to maintain and gain new clientele, as well as assist with administrative office duties as necessary. This is a unique role to Expert Tax Solutions.

This Retail location can and is expected to run as an independent business with the exception of performing legal Human Resources functions, company-wide marketing plans, and anything else the Corporate Office deems as a corporate function.

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Below is the recommended structure for the Crystal Lake operation.

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Position Title: Office Manager

Static Full-Time:

Job Description:The role of the Office Manager is to maintain a staff of 7-10 employees on a daily basis, manage day-to-day office operations, and ensure overall performance and expectations of employees are met. Additionally, the Office Manager is responsible for the growth and development of the office and employees by exemplifying excellent leadership.  Job responsibilities include:• Preparing necessary operational reports on daily,

monthly, quarterly, and yearly basis• Network, recruit, assess, and hire qualified candidates • Supervising, training, and coaching all employees • Maintaining unique company culture and propelling

company mission and values on a daily basis • Supervising all employees, including maintaining

working relationships with seasonal staff during off season

• Review/reconcile daily budget, including maintaining office payroll

• Developing professional relationships with clients and staff

• Setting office goals and driving employee performance to meet and exceed goals

• Maintaining expectations as put forth in employee handbook

• Working with Business Development & Client Coordinator to establish and maintain local marketing

• Acting as an overall knowledgeable resource for staff and clients

• Preparing accurate and complete tax returns for clients as needed

• Other duties as assigned 

Minimum Qualifications:  EDUCATION: Bachelor’s degree in business or other related field, OR an equivalent combination of education and experience as determined by hiring manager.

SKILLS AND EXPERIENCE: • 2-3 years of supervisory or management experience in

a customer service environment• 2-3 years of bookkeeping, tax preparation, or

accounting field experience highly encouraged • Past demonstration of leadership skills• Strong verbal and written communication skills and

customer service skills• Ability to function well under stress and in a fast-paced

environment• Past demonstration of professional flexibility • Team player attitude as demonstrated by previous

team oriented experiences• Strong problem solving and analytical skills, and strong

organizational skills• Computer literate and proficient with Microsoft Office

programs

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Position Title: Senior Tax Preparer

Static Full-Time: Job Description: The role of the Senior Tax Preparer is to provide clients with accurate and complete tax returns while utilizing a high degree of ethics and integrity. Senior role designation assumes the responsibility of managing and leading several junior level tax preparers, as well as having a working knowledge and skill set of accounting based practices.  Job responsibilities include: • Basic tax preparation and tax planning, including but

not limited to: estate planning and succession planning• Small Business Accounting Services, including bank

reconciliations, income statements, balance sheets, general ledgers, and general consultations

• Communicating with IRS as necessary based on Enrolled Agent (EA) status

• Maintaining unique company culture and propelling company mission and values on a daily basis

• Developing professional relationships with clients and staff

• Conducting tax research as necessary and remaining knowledgeable and current of dynamic tax laws

• Supervising several lower level direct report tax preparers

• Acting as a resource for clients and employees as necessary

• Demonstrating leadership within the office setting and inspiring a high quality work ethic

• Planning, organizing, and preparing journal entries • Other duties as assigned

Minimum Qualifications:  EDUCATION: Bachelor’s degree in accounting, business or other related field, OR an equivalent combination of education and experience as determined by hiring manager.  SKILLS AND EXPERIENCE: • 4-5 years experience in tax industry and/or accounting

services• Enrolled Agent (EA) Status • Knowledge of US GAAP• Proficiency in use of tax preparation software, tax

research, Microsoft Office, and QuickBooks• Previous leadership/supervisory experience • Strong verbal and written communication skills and

interpersonal skills• Strong problem solving and analytical skills• Ability to work independently; is self-directed, results-

oriented and demonstrates initiative• Ability to function well under stress and in a fast-paced

environment• Team player attitude as demonstrated by previous

team oriented experiences•  

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Position Title: Business Development & Client Coordinator

Static Part-Time:  Job Description: The role of the Business Development & Client Coordinator is to maintain relationships with office clientele while marketing and recruiting for additional clientele on a regular basis. The Business Development and Client Coordinator is responsible for office and client management, as well as the growth and development of the retail location sales, and in turn, the overall business.  Job responsibilities include:• Preparing necessary reports on daily, monthly,

quarterly, and yearly basis• Maintaining unique company culture and propelling

company mission and values on a daily basis • Developing professional relationships with clients and

staff• Working with Office Manager to establish and maintain

local marketing • Developing a secure knowledge of the client base and

local demographics • Acting as an overall knowledgeable resource for staff

and clients• Up keeping administrative duties as necessary,

including answering phones, maintaining schedules, managing tax pick up/drop off and assembly, etc.

• Ensuring outstanding client and customer service• Supporting employees on an as-needed basis with

communications, scheduling, and project work• Other duties as assigned

Minimum Qualifications: EDUCATION: Associate’s degree in business or other related field, OR an equivalent combination of education and experience as determined by hiring manager.  SKILLS AND EXPERIENCE: • 1-2 years of administrative and organizational

experience• Previous experience with sales and marketing a plus• Knowledge of marketing strategies and ability to

implement them in a local setting • Strong verbal and written communication skills and

interpersonal skills• Ability to function well under stress and in a fast-paced

environment• Past demonstration of professional flexibility • Team player attitude as demonstrated by previous

team oriented experiences• Computer literate and proficient with Microsoft Office

programs •  

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RPosition Title: Tax Preparer

Static Full-Time:  Job Description: The role of a Tax Preparer is to provide clients with accurate and complete tax returns while utilizing a high degree of ethics and integrity. Tax Preparers are also expected to complete other tax related work as assigned, and work with clients to provide individual guidance and advising as necessary. Job responsibilities include: • Basic tax preparation and tax planning, including but

not limited to: estate planning and succession planning• Conducting tax research as necessary and remaining

knowledgeable and current of dynamic tax laws • Assisting Senior Tax Preparer with small business tax

projections and other small business taxation work as necessary

• Willingness to work towards Enrolled Agent (EA) status if requested

• Maintaining unique company culture and propelling company mission and values on a daily basis

• Developing professional relationships with clients and staff

• Acting as a resource for clients and employees as necessary

• Other duties as assigned

Minimum Qualifications: EDUCATION: Associate’s degree in business or other related field, OR an equivalent combination of education and experience as determined by hiring manager.  SKILLS AND EXPERIENCE:•  1-2 years experience in tax industry• Proficiency in use of tax preparation software, tax

research and Microsoft Office• Strong verbal and written communication skills and

interpersonal skills• Strong problem solving and analytical skills• Ability to work independently; is self-directed, results-

oriented and demonstrates initiative• Ability to function well under stress and in a fast-paced

environment• Team player attitude as demonstrated by previous

team oriented experiences•  

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Position Title: Seasonal Tax Preparer

Seasonal Full-Time:  Job Description: The role of a Tax Preparer is to provide clients with accurate and complete tax returns while utilizing a high degree of ethics and integrity. Tax Preparers are also expected to complete other tax related work as assigned, and work with clients to provide individual guidance and advising as necessary. Job responsibilities include: • Basic tax preparation and tax planning, including but

not limited to: estate planning and succession planning• Conducting tax research as necessary and remaining

knowledgeable and current of dynamic tax laws • Maintaining unique company culture and propelling

company mission and values on a daily basis • Developing professional relationships with clients and

staff• Acting as a resource for clients and employees as

necessary• Working efficiently and effectively to provide while-you-

wait tax preparations or drop-off tax preparations as assigned

• Other duties as assigned

Minimum Qualifications: EDUCATION: Associate’s degree in business or other related field, OR an equivalent combination of education and experience as determined by hiring manager.  SKILLS AND EXPERIENCE: • Proficiency in use of tax preparation software, tax

research and Microsoft Office• Strong verbal and written communication skills and

interpersonal skills• Strong problem solving and analytical skills• Ability to work independently; is self-directed, results-

oriented and demonstrates initiative• Ability to function well under stress and in a fast-paced

environment• Team player attitude as demonstrated by previous

team oriented experiences

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Position Title: Client Coordinator

Seasonal Part-Time: Job Description: The role of the Client Coordinator is to maintain relationships with office clientele during the tax season while supporting the office staff as needed. The Client Coordinator is most responsible for office and client management. Job responsibilities include: • Maintaining unique company culture and propelling

company mission and values on a daily basis • Developing professional relationships with clients and

staff• Acting as an overall knowledgeable resource for staff

and clients• Up keeping administrative duties as necessary,

including answering phones, maintaining schedules, managing tax pick up/drop off and assembly, etc.

• Ensuring outstanding client and customer service• Supporting employees on an as-needed basis with

communications, scheduling, and project work• Other duties as assigned

Minimum Qualifications:   EDUCATION: High school diploma or equivalent.   SKILLS AND EXPERIENCE: • 1-2 years of administrative and organizational

experience• Strong verbal and written communication skills and

interpersonal skills• Ability to function well under stress and in a fast-paced

environment• Past demonstration of professional flexibility • Team player attitude as demonstrated by previous

team oriented experiences• Computer literate and proficient with Microsoft Office

programs •  

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Retail Level Structure Corporate Level Structure

There are many options for a corporate office structure. This is only one suggestion based on basic necessities for 3-5 retail locations. Ideally a corporate structure would begin implementation with between 3 and 5 retail locations.

Office Managers at each location are expected to be the contact-person between corporate and each retail office. Basic, general duties of the corporate office would include employee payroll, legal contracts, legal processing of new hires and terminations, and company-wide marketing ventures.

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Office Manager

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FITSOutsource vs. In-house Payroll Why to Outsource Free Up Your Time• Payroll processing by hand is a time-consuming

process. Outsourcing payroll can free up staff time to pursue more important value-added and revenue-generating activities. Inc. magazine recently identified the #1 task for small business to outsource is payroll, along with most accounting tasks

Reduce Costs• The direct costs of processing payroll can be greatly

reduced by working with a payroll provider. Our research indicates that a small business with 10 employees will typically spend $2,600 per year in direct labor costs associated with payroll.

Avoid IRS Penalties• According to the IRS, 40 percent of small businesses

pay an average penalty of $845 per year for late or incorrect filings and payments. Most national payroll services provide a tax guarantee, ensuring that customers will incur no penalties because the providers take responsibility for penalties when they do occur. In many instances, this cost-saving immediately justifies outsourcing payroll

Alleviate Pain• Manual payroll is a headache in the best case and a

nightmare in the worst case. Business owners who outsource payroll eliminate a tiresome source of personal pain.

Offer Direct Deposit• Providing direct deposit is difficult if a company doesn't

use an outside payroll service. Increasingly, small businesses recognize that employees want direct deposit. Not having to make a trip to the bank is an important convenience for them. More importantly for business owners, direct deposit eliminates time-consuming and error-prone paper handling and the need to reconcile individual payroll checks every month.

Avoid Technology Headaches• A constant question for small business owners is

whether they have the latest version of their payroll software and the most recent tax tables installed on their computer. Using the wrong tax tables can result in stiff penalties. Outsourcing payroll removes those headaches and keeps payroll running smoothly

Leverage Outside Payroll Expertise• Most business owners and controllers don't have time

to keep up with constantly changing regulations, withholding rates, and government forms. By outsourcing payroll, a small business can take advantage of expertise that was previously available only to big companies.

Avoid Payroll Knowledge Walking Out the Door• If your bookkeeper or controller gets a new job, they

will walk out the door with their knowledge of the payroll process and how you do it. Using an outside service eliminates that business risk.

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Overall Customer Satisfaction Rating for each Payroll program

• We compared ten different outsourcing companies and decided to provide the data for the best rated and trusted sources, ADP and Intuit Online Payroll +.

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Top Company Pricing for Outsourcing Payroll

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Intuit Online PayrollPayroll features• Instant paychecks or use free direct deposit• Federal and state payroll tax forms completed for you

(Enhanced only)• Free support from payroll experts• Run payroll online or on your mobile phone (iPhone and

Android)• Built–in payroll calculator for instant tax calculations• Electronically file and pay taxes• Pay employees and contractors• Email reminders• Ability to print year–end W–2s (with Intuit Online Payroll

Enhanced version

• $25/month + $1.50/employee (10 employees)= $40. Include Online Time Log at $3/month per employee.

 • $70/month time-tracking included (10 employees)• $40/month basic (10 employees)

• Pros: Affordable; simple setup; easier for payroll beginners; live tech support by phone

• Cons: Fewer features than ADP RUN; no 24/7 help 

ADP• ADP has a complete program that includes more

features than Intuit Online Tax. However, most features are not necessary for our operation at current level.

• Price is for 15 Employees ** Only price fix on website • $284/month for 15 employees• $341/month for 15 employees WITH time tracking

enabled.

• Pros: More employee payment methods; mobile access for employer and employees; live 24/7 phone help

• Cons: More expensive and complex to set up than Intuit Online Payroll

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What we recommend• Intuit Online Payroll delivers what most small

businesses need: help with automating the payroll basics. Its economical and user-friendly service is great for anyone without prior payroll experience. RUN, by contrast, costs much more and could improve its documentation.

• That said, RUN is a fine choice if you have enough money in the budget to afford its higher fees. Although RUN offers more features for midsize companies, we recommend Intuit Online Payroll for the majority of small and medium-size businesses due to its ease of use and affordability.

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FINANCIALS FOR EXPANSION PLAN

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• The finance team goal was to develop a marketing budget that would create a positive return on customers.

• This is the advertising dollars spent per customer in the last four years. Velocity would recommend that an increase in the total advertising dollars spent related to the amount of revenue by 4% making a annual budget 5%.

• From the increase budget this will help gain new customers and increase the revenue growth.

• The 82% growth is due to the merger of the Green bay location.

2010 2011 2012 20131% 1% 1% 2%

Advertsing Dollars 4,495.90$ 2,468.77$ 5,977.63$ 11,653.23$ Spent Per Customer 5.00$ 2.47$ 5.43$ 5.83$

Marketing Budget Actual based off Revenue Recommend

2013 2000 82%2012 1100 10%2011 1000 11%2010 900

Customer % Change

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Future Customers

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2015 2016 2017 20188% 2,587.31$ 3,248.38$ 3,401.92$ 4,764.14$ 5% 4,410.19$ 5,537.02$ 5,798.73$ 8,120.70$ 3% 4,366.09$ 5,481.65$ 5,740.74$ 8,039.49$ 2% 5,749.59$ 7,218.63$ 7,559.82$ 10,586.99$

Marketing Budget Recommended Velocity

• Velocity was able to come up with a prediction based on the prior knowledge of the company growth in customers on a conservative level and based off of Expert Tax Solutions goal of reaching a thousands customers.

• We believe that the customers will increase at a constant rate until around a customer base of 900.

• We recommend that Expert Tax Solutions first year of budget of $4410.19 will be highlighted in red below.

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• The financial statements that follow this slide have been made forecasted based on the number of customers

• The cost per customer if based off the forecasted customers starting in 2015; 200,300,450,625,800

• The projected net income for the follow years are below.

• Due to the nature of a small business it is difficult to project common problems that can happen each year,

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Net Other Income (1,997.26)$ (3,152.26)$ (10,376.08)$ (16,660.37)$ (21,325.27)$ Net Income (1,636.11)$ 18,170.54$ (2,066.63)$ 32,219.77$ 41,241.30$

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2015 2016 2017 2018 2019

Ordinary Income/Expense

Income

1040.Com Income -$ -$ -$ 94.85$ 121.41$ Accounting Services -$ -$ -$ -$ -$

Payroll Prep 34.44$ 570.54$ 18,606.48$ 17,096.25$ 21,883.20$ Personal Property Tax -$ -$ 112.50$ 637.50$ 816.00$ Accounting Services - Other8,600.89$ 16,563.36$ 21,332.25$ 17,732.81$ 22,698.00$

Total Accounting Services 8,635.33$ 17,133.90$ 40,051.23$ 35,466.56$ 45,397.20$ Consulting

Tax Consulting -$ 51.00$ 343.64$ 2,403.13$ 3,076.00$ Consulting - Other -$ 225.00$ 1,744.77$ 801.56$ 1,026.00$

Total Consulting -$ 276.00$ 2,088.41$ 3,204.69$ 4,102.00$ Referral Programs -$ -$ -$ 31.25$ 40.00$ Reimbursed Expenses -$ -$ (26.59)$ -$ -$ Returned Check Charges -$ -$ 10.23$ -$ -$ Software Income - Drake -$ -$ 36.82$ 9.38$ 12.00$ Tax Services

Corporate Taxes 16,287.61$ 17,829.90$ 26,333.18$ 31,002.01$ 39,682.58$ Individual Taxes 44,721.38$ 86,559.62$ 105,345.78$ 116,253.13$ 148,804.00$ Tax Examinations -$ 15.00$ 122.73$ 37.50$ 48.00$ Tax Services - Other 2,225.51$ -$ -$ -$ -$

Total Tax Services 63,234.50$ 104,404.53$ 131,801.69$ 147,292.64$ 188,534.58$ Uncategorized Income -$ -$ -$ -$ -$

Total Income 71,869.84$ 121,814.43$ 173,961.78$ 186,099.36$ 238,207.18$ Cost of Goods Sold

CitiFinancial 7,129.08$ 9,617.63$ 12,833.34$ 4,440.56$ 5,683.92$ Cost of Goods Sold -$ -$ -$ -$ -$

Incorporation Fees -$ -$ 832.50$ 56.25$ 72.00$ Tax Fees and Penalties 1,063.32$ 1,242.24$ 1,556.09$ -$ -$ Tax Folders and Forms -$ -$ 925.46$ 1,141.64$ 1,461.30$ Tax Guides/Published Materials -$ -$ -$ 350.81$ 449.04$ Cost of Goods Sold - Other 2,015.57$ 300.00$ 3,329.17$ 155.52$ 199.07$

Total Cost of Goods Sold 3,078.89$ 1,542.24$ 6,643.22$ 1,704.23$ 2,181.41$ Total COGS 10,207.98$ 11,159.87$ 19,476.56$ 6,144.79$ 7,865.33$

Gross Profit 61,661.86$ 110,654.56$ 154,485.22$ 179,954.57$ 230,341.85$

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Expense

Advertising 4,495.90 2,468.77 5,977.63 11,653.23 24,595.53 999.09$ 740.63$ 2,445.39$ 3,641.63$ 4,661.29$ Ask My Accountant 5,000.00 108.00 5.00 0.00 5,113.00 1,111.11$ 32.40$ 2.05$ -$ -$ Automobile Expense 0.00 0.00 0.00 454.99 454.99 -$ -$ -$ 142.18$ 182.00$ Bank Service Charges

Bank Fee 13.90 25.00 815.77 2,150.07 3,004.74 3.09$ 7.50$ 333.72$ 671.90$ 860.03$ Credit Card Processing 1,270.46 1,423.33 1,632.20 2,907.83 7,233.82 282.32$ 427.00$ 667.72$ 908.70$ 1,163.13$ Bank Service Charges - Other 10.00 38.85 288.18 548.39 885.42 2.22$ 11.66$ 117.89$ 171.37$ 219.36$

Total Bank Service Charges 1,294.36 1,487.18 2,736.15 5,606.29 11,123.98 287.64$ 446.15$ 1,119.33$ 1,751.97$ 2,242.52$ Cash Discounts 0.00 0.00 0.00 1,031.00 1,031.00 -$ -$ -$ 322.19$ 412.40$ Cleaning 0.00 80.00 0.00 0.00 80.00 -$ 24.00$ -$ -$ -$ Continuing Education Tax Class 0.00 0.00 1,737.00 2,558.00 4,295.00 -$ -$ 710.59$ 799.38$ 1,023.20$ Contributions

Charity 427.50 50.00 845.00 1,467.40 2,789.90 95.00$ 15.00$ 345.68$ 458.56$ 586.96$ Contributions - Other 180.00 715.00 475.00 350.00 1,720.00 40.00$ 214.50$ 194.32$ 109.38$ 140.00$

Total Contributions 607.50 765.00 1,320.00 1,817.40 4,509.90 135.00$ 229.50$ 540.00$ 567.94$ 726.96$ Dues and Subscriptions 294.45 1,521.85 1,361.92 661.00 3,839.22 65.43$ 456.56$ 557.15$ 206.56$ 264.40$ Fuel 0.00 0.00 1,186.70 1,689.21 2,875.91 -$ -$ 485.47$ 527.88$ 675.68$ Insurance

Disability Insurance 853.57 1,951.88 2,563.00 2,014.25 7,382.70 189.68$ 585.56$ 1,048.50$ 629.45$ 805.70$ Liability Insurance 1,276.00 0.00 0.00 0.00 1,276.00 283.56$ -$ -$ -$ -$ Work Comp 0.00 0.00 0.00 -543.00 -543.00 -$ -$ -$ (169.69)$ (217.20)$ Insurance - Other 1,357.25 3,293.75 6,770.50 4,655.81 16,077.31 301.61$ 988.13$ 2,769.75$ 1,454.94$ 1,862.32$

Total Insurance 3,486.82 5,245.63 9,333.50 6,127.06 24,193.01 774.85$ 1,573.69$ 3,818.25$ 1,914.71$ 2,450.82$ Interest Expense

Loan Interest 9,682.82 10,302.63 9,911.60 5,389.24 35,286.29 2,151.74$ 3,090.79$ 4,054.75$ 1,684.14$ 2,155.70$ Interest Expense - Other 0.00 0.00 2,575.00 6,437.50 9,012.50 -$ -$ 1,053.41$ 2,011.72$ 2,575.00$

Total Interest Expense 9,682.82 10,302.63 12,486.60 11,826.74 44,298.79 2,151.74$ 3,090.79$ 5,108.15$ 3,695.86$ 4,730.70$ Janitorial/Trash 0.00 1,200.00 0.00 0.00 1,200.00 -$ 360.00$ -$ -$ -$ Landscape Maintenance 637.27 1,001.20 0.00 0.00 1,638.47 141.62$ 300.36$ -$ -$ -$ Licenses and Permits 0.00 0.00 -10.00 245.00 235.00 -$ -$ (4.09)$ 76.56$ 98.00$ Meals & Entertainment 0.00 0.00 2,599.50 4,636.50 7,236.00 -$ -$ 1,063.43$ 1,448.91$ 1,854.60$ Miscellaneous 0.00 0.00 0.00 105.00 105.00 -$ -$ -$ 32.81$ 42.00$ office equipment -$ -$ -$ -$ -$

Reimbursment expense - 0.00 110.78 0.00 0.00 110.78 -$ 33.23$ -$ -$ -$ office equipment - Other 1,089.42 276.01 985.52 1,715.41 4,066.36 242.09$ 82.80$ 403.17$ 536.07$ 686.16$

Total office equipment 1,089.42 386.79 985.52 1,715.41 4,177.14 242.09$ 116.04$ 403.17$ 536.07$ 686.16$

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Office Supplies 2,736.42 470.01 2,590.16 7,475.95 13,272.54 608.09$ 141.00$ 1,059.61$ 2,336.23$ 2,990.38$ Payroll Expenses 197,511.42 223,299.91 210,706.69 267,748.37 899,266.39 43,891.43$ 66,989.97$ 86,198.19$ 83,671.37$ 107,099.35$ Personal Use 0.00 0.00 4.93 0.00 4.93 -$ -$ 2.02$ -$ -$ Postage and Delivery

Reimbursment of postage 0.00 23.36 0.00 0.00 23.36 -$ 7.01$ -$ -$ -$ Postage and Delivery - Other1,320.00 0.00 1,330.88 1,848.69 4,499.57 293.33$ -$ 544.45$ 577.72$ 739.48$

Total Postage and Delivery 1,320.00 23.36 1,330.88 1,848.69 4,522.93 293.33$ 7.01$ 544.45$ 577.72$ 739.48$ Professional Development 160.00 150.00 0.00 0.00 310.00 35.56$ 45.00$ -$ -$ -$ Professional Fees

Computer Support 0.00 0.00 0.00 3,320.00 3,320.00 -$ -$ -$ 1,037.50$ 1,328.00$ Consulting 6,956.41 7,940.00 31,855.00 9,412.50 56,163.91 1,545.87$ 2,382.00$ 13,031.59$ 2,941.41$ 3,765.00$ Legal Fees 936.00 1,320.00 7,939.00 1,632.22 11,827.22 208.00$ 396.00$ 3,247.77$ 510.07$ 652.89$ Professional Fees - Other 0.00 0.00 1,981.01 0.00 1,981.01 -$ -$ 810.41$ -$ -$

Total Professional Fees 7,892.41 9,260.00 41,775.01 14,364.72 73,292.14 1,753.87$ 2,778.00$ 17,089.78$ 4,488.98$ 5,745.89$ Reconciliation Discrepancies 0.01 -0.01 -125.59 404.86 279.27 0.00$ (0.00)$ (51.38)$ 126.52$ 161.94$ Referral Program 0.00 0.00 60.00 1,085.00 1,145.00 -$ -$ 24.55$ 339.06$ 434.00$ Reimbursement Expense

Advertising 0.00 0.00 50.00 0.00 50.00 -$ -$ 20.45$ -$ -$ Continuing Education 0.00 0.00 125.00 0.00 125.00 -$ -$ 51.14$ -$ -$ Office Supplies 0.00 0.00 7,625.98 519.68 8,145.66 -$ -$ 3,119.72$ 162.40$ 207.87$ Postage 0.00 0.00 360.00 5.42 365.42 -$ -$ 147.27$ 1.69$ 2.17$

Total Reimbursement Expense 0.00 0.00 8,160.98 525.10 8,686.08 -$ -$ 3,338.58$ 164.09$ 210.04$ Rent 31,100.00 27,950.00 36,071.00 42,708.50 137,829.50 6,911.11$ 8,385.00$ 14,756.32$ 13,346.41$ 17,083.40$ Repairs

Building Repairs 0.00 4,656.33 1,185.00 1,691.17 7,532.50 -$ 1,396.90$ 484.77$ 528.49$ 676.47$ Computer Repairs 272.86 19.50 807.01 0.00 1,099.37 60.64$ 5.85$ 330.14$ -$ -$ Equipment Repairs 0.00 373.11 0.00 79.13 452.24 -$ 111.93$ -$ 24.73$ 31.65$ Repairs - Other 0.00 0.00 0.00 275.00 275.00 -$ -$ -$ 85.94$ 110.00$

Total Repairs 272.86 5,048.94 1,992.01 2,045.30 9,359.11 60.64$ 1,514.68$ 814.91$ 639.16$ 818.12$ Security 847.55 263.00 502.50 493.60 2,106.65 188.34$ 78.90$ 205.57$ 154.25$ 197.44$ Software 0.00 0.00 4,748.41 10,365.19 15,113.60 -$ -$ 1,942.53$ 3,239.12$ 4,146.08$ Subcontractor 0.00 0.00 1,200.00 276.00 1,476.00 -$ -$ 490.91$ 86.25$ 110.40$ Taxes

Property 87.19 193.18 0.00 11.73 292.10 19.38$ 57.95$ -$ 3.67$ 4.69$ UI 0.00 166.80 75.65 0.00 242.45 -$ 50.04$ 30.95$ -$ -$ Taxes - Other 60.00 0.00 286.11 0.00 346.11 13.33$ -$ 117.05$ -$ -$

Total Taxes 147.19 359.98 361.76 11.73 880.66 32.71$ 107.99$ 147.99$ 3.67$ 4.69$ Telephone 3,491.21 3,285.64 3,443.39 5,465.72 15,685.96 775.82$ 985.69$ 1,408.66$ 1,708.04$ 2,186.29$ Travel & Ent

Entertainment 0.00 0.00 1,350.00 200.00 1,550.00 -$ -$ 552.27$ 62.50$ 80.00$ Meals 0.00 0.00 143.64 0.00 143.64 -$ -$ 58.76$ -$ -$ Travel 0.00 0.00 98.74 1,210.56 1,309.30 -$ -$ 40.39$ 378.30$ 484.22$ Travel & Ent - Other 0.00 0.00 67.39 4,640.65 4,708.04 -$ -$ 27.57$ 1,450.20$ 1,856.26$

Total Travel & Ent 0.00 0.00 1,659.77 6,051.21 7,710.98 -$ -$ 679.00$ 1,891.00$ 2,420.48$

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Utilities

Cable/Dish 655.28 861.10 1,138.32 784.20 3,438.90 145.62$ 258.33$ 465.68$ 245.06$ 313.68$ Gas and Electric 2,225.54 1,495.50 148.88 1,363.04 5,232.96 494.56$ 448.65$ 60.91$ 425.95$ 545.22$ Water 904.75 438.04 0.00 0.00 1,342.79 201.06$ 131.41$ -$ -$ -$ Utilities - Other 0.00 300.00 1,829.92 6,294.20 8,424.12 -$ 90.00$ 748.60$ 1,966.94$ 2,517.68$

Total Utilities 3,785.57 3,094.64 3,117.12 8,441.44 18,438.77 841.24$ 928.39$ 1,275.19$ 2,637.95$ 3,376.58$ Total Expense 275,853.18 297,772.52 357,318.54 419,438.21 1,350,382.45 61,300.71$ 89,331.76$ 146,175.77$ 131,074.44$ 167,775.28$

Net Ordinary Income 1,625.19 71,076.00 20,312.00 156,416.42 249,429.61 361.15$ 21,322.80$ 8,309.45$ 48,880.13$ 62,566.57$ Other Income/Expense

Other Income

Interest Income 12.31 0.43 6.03 0.00 18.77 2.74$ 0.13$ 2.47$ -$ -$ Other Income 0.00 260.00 4,186.21 1,970.00 6,416.21 -$ 78.00$ 1,712.54$ 615.63$ 788.00$

Total Other Income 12.31 260.43 4,192.24 1,970.00 6,434.98 2.74$ 78.13$ 1,715.01$ 615.63$ 788.00$ Other Expense

Draw

Advisor Expenses 0.00 0.00 0.00 4,257.17 4,257.17 -$ -$ -$ 1,330.37$ 1,702.87$ Cash Draw 0.00 0.00 0.00 12,990.00 12,990.00 -$ -$ -$ 4,059.38$ 5,196.00$ FCE Holdings 0.00 0.00 0.00 515.00 515.00 -$ -$ -$ 160.94$ 206.00$ Ow ner Draw - Russ 9,000.00 10,000.00 29,494.00 22,336.00 70,830.00 2,000.00$ 3,000.00$ 12,065.73$ 6,980.00$ 8,934.40$ Draw - Other 0.00 0.00 62.00 15,185.00 15,247.00 -$ -$ 25.36$ 4,745.31$ 6,074.00$

Total Draw 9,000.00 10,000.00 29,556.00 55,283.17 103,839.17 2,000.00$ 3,000.00$ 12,091.09$ 17,275.99$ 22,113.27$ Other Expenses 0.00 767.95 0.00 0.00 767.95 -$ 230.39$ -$ -$ -$

Total Other Expense 9,000.00 10,767.95 29,556.00 55,283.17 104,607.12 2,000.00$ 3,230.39$ 12,091.09$ 17,275.99$ 22,113.27$ Net Other Income -8,987.69 -10,507.52 -25,363.76 -53,313.17 -98,172.14 (1,997.26)$ (3,152.26)$ (10,376.08)$ (16,660.37)$ (21,325.27)$

Net Income -7,362.50 60,568.48 -5,051.76 103,103.25 151,257.47 (1,636.11)$ 18,170.54$ (2,066.63)$ 32,219.77$ 41,241.30$

APPENDIX

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Competitor’s Sales – Wisconsin • Milwaukee’s presence is

seen again in the Wisconsin map, making those two locations less than ideal.

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Additional Information about GIS mapsLocational Cannibalism-• This map employs the use of drive-time buffer rings in order to quickly illustrate the areas which are most likely to make

up the client base, if a branch were located in each of the specified cities. It is important to note that while Kenosha is experiencing growth and is a preferred site location, its close proximity to Racine means that the two locations would likely pull business from each other, and the same is the case for Oak Creek. This also explicitly shows that locations closer to the lake limit their reachable client base by nearly 50%.

Competitor’s Sales per Employee-• These maps utilize the drive-time rings again to show the areas which the location branches would affect, now in respect

to the locations of possible competitors, which are symbolized by sales per employee. This method of symbolization will draw attention to competitors with high sales and a potentially low number of employees, meaning that the competitor possibly has a personal hold on the area which makes them more affective. The Illinois map shows room for newcomers, while the Wisconsin map indicates that Milwaukee will have a great affect as a base of competitors.

Competitor’s Sales-• Again using the drive-time rings to show affected areas by a potential location, these maps look at competitor’s sales,

without respect to employee number. Because of this, it is likely that those competitors with the highest sales, most likely have a number of employees to attain those sales, but it may also indicate that their clientele is more upper echelon than the target class for this project. Illinois has much competition in Chicago, but it is sparse in the north and northwest suburbs, where the two sites are located, however, Milwaukee’s presence is seen again in the Wisconsin map, making those two locations less than ideal.

Income Dot-• The drive-time rings are now used to show the households in each location’s area of influence. Representing multiple

households, each dot indicates the locations of families and their income as of 2011. Since the target demographic is families, these maps show where those families are clustered, along with their income, which is indicative of the level of tax firm they may choose, if they use one at all. The Wisconsin map shows lower income in and around Milwaukee, which could mean that the population does not make enough to warrant a tax firm. A lower income could indicate lower education however, which might result in the population seeking out aid with completing their taxes. The Illinois map shows higher income in many places, but that Crystal Lake is not as densely populated with families as its neighboring suburbs.

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Additional Information about GIS mapsAverage HH Income-• The drive-time rings in these maps show which block groups will be included in the serviced area of the possible firm

location. Each block group is symbolized by which income bracket its average falls into, with darker block groups being wealthier. The Illinois map shows high income that the firm is likely to draw from, aside from in Waukegan itself. The Wisconsin map shows low income in Milwaukee and directly in Waukesha, but higher income elsewhere. The low income and high competition in Milwaukee may mean that west of Milwaukee is not a market to break into and expect success.

Population Change-• The drive-time rings now show the expected population change, by block group, for the year 2016. This is showing

whether the client base for each possible location is expected to shrink or to grow in the next few years, which could play largely into the branch’s success. Crystal Lake and its surrounding area is growing rapidly, but Waukegan is losing population, especially along the lake, which is important, considering the limitations in client base the lake already creates. New Berlin and the outskirts of Waukesha are expected to dwindle, but the expected growth in the heart of Waukesha might mean that an expanse to its suburbs will follow this trend.

Population Dot Density-• These maps show the representative population in the drive-time rings, to show the size of the client base of each

location. Chicago is the main center of population in Illinois, but Waukegan and Crystal Lake are both hubs of the north and northwest suburbs. Milwaukee again shows its influence, as the population expands to absorb the small population of New Berlin. Waukesha stands out as a densely populated area as well, but is a satellite to the larger base of Milwaukee.

Population of Demographics-• These maps show the areas in which the requested demographic (Age 35-65, Income $50k-100k) is most populous,

along with a 20 minute drive-time network, accurate to roads and posted speeds, to show more closely which areas would be affected by a new location. Crystal Lake, Waukegan, and Illinois in general have more of the target demographic present than Waukesha and New Berlin, making Illinois a more desirable market.

Shopping Center Size• These maps bring back the drive-time rings to show affected areas, and introduce shopping centers which are indicative

of expendable income in the area. Milwaukee has a large presence yet again, but west of New Berlin is barren. The north and northwest suburbs in Illinois have more shopping centers per location, as well as many leading into Chicago, showing much more wealth in the area.

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