Professional Documents
Culture Documents
I understand that any information provided in this Business Plan is in all respects
confidential in nature, other than information which is in the public domain
through other means. I agree not to disclose any information without the express
written permission of the Owner and ABC Screen Printing, LLC.
Upon request, I will return this document to the Owner and ABC Screen Printing,
LLC.
This Business Plan is not a financing offer. A financing offer is only valid
with an approved Private Placement Memorandum.
___________________ ___________________
Signature Date
___________________
Name (typed or printed)
TABLE OF CONTENTS
EXECUTIVE SUMMARY 1
The Business Concept 1
The Opportunity 2
Operations of the Business 6
Product and Service Offerings 6
THE COMPANY 6
Mission of the Company 6
Company Structure 7
1. Legal Status 7
2. Physical Location 7
3. Intellectual Property 7
Company History 7
GROWTH STRATEGY 8
Business Objectives 8
Targeted Customers 8
Key Initiatives 8
Competition and Competitive Advantages 9
Size of the Market 10
Marketing Activities 11
Sales Strategy 13
CORPORATE MANAGEMENT 13
Management 13
Owner and President: 13
KEY FINANCIAL PROJECTIONS 13
Financial Needs and Use of Funds 13
Assumptions 14
Revenues 14
COS 14
Expenses 14
Cash Flow 15
Projected Profit and Loss 15
Projected Balance Sheets 16
Projected Cash Flow 17
Break Even Calculation 18
Summary of Lender Return and Risk 19
REFERENCES 20
APPENDICES 21
12 Month Projected P & L 21
12 Month Projected Balance Sheet 22
12 Month Projected Cash Flow 23
5 Year Projected P & L 24
5 Year Projected Balance Sheet 25
5 Year Projected Cash Flow 26
ABC Screen Printing
EXECUTIVE SUMMARY
ABC Screen Printing provides free local delivery. The Company offers one of kind
personalized apparel not found in stores and it is currently the only shop of its
kind in Benton County, STATE. As a local business, ABC Screen Printing strives
for complete customer satisfaction. Its level of service isnt offered anywhere else
in the area.
Unique Designs
A typical customer of the Company would be local sports teams. Many of these
sports teams want something that sets them apart from other teams. They want a
design that says this is who we are. These types of customers prefer ABC
Screen Printings business because the Company can offer them one-on-one
service and design a logo to fit their needs. In addition The Company can fulfill
their order in under a week in most cases.
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The majority of local small businesses need a low cost way of advertising by
wearing clothing with their business name on it. Likewise, local sports teams are
seeking custom apparel to distinguish themselves. Other entities such as
government organizations and local churches also seek out unique logo ware
and apparel.
Profitable Growth
ABC Screen Printing expects to gain a profitable market share within a very short
period of time. Determinations have been made for the size of the market,
amounts of budgeted advertising and promotional dollars, the number and kinds
of distribution channels and the competitive landscape.
Projections call for the Company to generate revenues of $50,000 in its next
twelve months. ABC Screen Printing will achieve strong growth over the next
several years, reaching $198,000 in revenues and more than $76,000 of net
income by the fifth year.
The Opportunity
Overview of the Sportswear Industry
Before looking specifically at the decorated apparel industry (screen printing and
embroidery), we should first take a look at the current and projected sportswear
market, the basis for most existing businesses in this sector. In todays recession,
are people still purchasing sportswear at the same rate and will they still continue
to make purchases over the next five to six years?
The ways in which the current recession will impact consumers' interest in
playing sports, working out or getting regular exercise and buying the gear to
participate forms the cornerstone of a 2009 report from just-style.com on the
active sportswear and athletic footwear market. The report looks at how the
current recession will affect consumers desire to play sports, work out, or get
regular exercise. This would also trickle down to whether or not people will still
support their local, regional and national sports teams by purchasing logo wear,
including screen printed and embroidered items.
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The report, Global Market Review of Active Sportswear and Athletic Footwear
Forecasts to 2016 (2009 edition), looks at whether consumers of sports apparel
and athletic footwear are still active participants in performance considering the
growing uncertainty regarding todays economy.1 The report also asks whether
consumers take part in soft sports, or whether they simply prefer to watch their
favorite sports on television.
In the historic growth phase from 2003-2007, the combined market (sportswear
and athletic footwear) grew from $132.50 billion to $144.91 billion, an increase of
9.4%. According to the report, the athletic footwear market expanded almost
twice as much as the active sportswear sector in terms of dollar value.
In the current recession phase, the combined market was expected to fall from
$144.91 billion in 2007 to $142.13 billion in 2009. However, in the recovery
phase, from 2009-2012, the combined market for active sportswear and athletic
footwear is forecast to move from $142.13 billion to $153.52 billion. Growth will
accelerate each year, rising to 3.6% in 2012. In particular, the market for active
sportswear will grow from $53.87 billion to $57.78 billion.
From 2012-2016, the combined market is expected to grow from $153.52 billion
to $163.55 billion in the period after the London Olympics. As for the future of
active sportswear and athletic footwear after the recovery from the current
recession, the report indicates that the sports clothing and footwear industries
are excellent businesses to be in.
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ABC Screen Printing
There are many opportunities for a screen printing business to thrive in Benton
County and the surrounding area. The local economy is driven by agriculture and
manufacturing, but also sees a lot of its residents commuting to jobs and school
within about a 30-mile radius, which includes CITY, West CITY and Purdue
University. 5,6
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The area workforce located within a 30-mile radius includes a big pool of workers
with great jobs skills located in CITY and West CITY. Because of Purdue
University, there is a large base of college-educated workers. Currently the
number of commuters out of the county is partially balanced by commuters into
the county, who account for 15% of the local workforce.
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ABC Screen Printing
Print advertising
Direct mail
Referrals
Web site
The Company will buy its products and ingredients from reliable vendors. It
currently has over 100 suppliers of quality products to choose from.
Screen printing
Sporting goods
Promotional goods
Blank apparel
Banners
Decals
THE COMPANY
Mission of the Company
ABC Screen Printing will provide quality screen printed and embroidered apparel
in a timely manner at a competitive price. We will continually provide the best and
latest products on the market. Our services will be sought after for their reliability
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ABC Screen Printing
and excellence. We will treat each customer with respect and we will be known
for our outstanding customer service.
Company Structure
1. Legal Status
ABC Screen Printing is a Limited Liability Corporation
organized in the state of STATE in 2008. The Company is
owned by Mr. John Doe (100%).
2. Physical Location
The Company will operate out of a new building at the owners
property. The Company will build suitable business space to
support its operations. It will provide easy access to
customers/employees with ample free parking.
3. Intellectual Property
ABC Screen Printing maintains a website at YOUR-WEBSITE
to market its services. There is no other proprietary intellectual
property owned by the Company.
Company History
ABC Screen Printing is a young and growing business venture. The Company
started with one customer and a shoestring budget less than two years ago and
has grown to over 300 customers. The Company has provided goods to
governmental agencies and has achieved an A rating from the BBB.
In addition, the owner has performed extensive research to determine the market
viability and operational challenges of this type of business. Questions that were
addressed include:
What is the market opportunity (is there a need for the business)?
What type of competition is there?
Can the targeted market support the business?
What types of customers will the business attract?
Are there suitable facilities in the area?
How much funding is needed?
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ABC Screen Printing
GROWTH STRATEGY
Business Objectives
The Company is planning on strong growth in the next twelve months. It plans on
achieving the following objectives:
In succeeding years, ABC Screen Printing will continue to grow its business and
will achieve these objectives:
Targeted Customers
ABC Screen Printing has identified a clear and substantial target market.
Targeted customers will include:
Schools
Businesses
Church groups
Government
Organizations
Individuals aged 5 to 95
The Company will target these types of customers within the Central STATE
area.
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ABC Screen Printing
Key Initiatives
ABC Screen Printing has developed the following key initiatives to achieve its
growth goals:
With the proper financing and adherence to this business plans objectives, the
Company believes it can complete these initiatives and achieve success.
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(123) 123-1234
ABC Graphics
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(123) 123-1234
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(123) 123-1234
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123 Any Street
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ABC Graphics
123 Any Street
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ABC Screen Printing
The Company believes that it can compete effectively in this market. Several
factors driving its competitive advantage include:
Highest quality
Free delivery
One on one customer service
!00% satisfaction guarantee
Competitive prices
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ABC Screen Printing
Marketing Activities
ABC Screen Printing will implement various marketing efforts to attract
customers including:
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ABC Screen Printing
ABC Screen Printing will buy lists of names that match its
targeted customer profile. It will send direct mail pieces
(postcards, letters, etc.) to these names to attract them as
customers. The Company will use commercially available list
brokers to obtain the names.
Print advertising
The Company will take out ads in local publications that are
matched to its targeted audiences.
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