QUESTION- PLEASE READ BUSINESS PLAN. 1) GENERATE BUSINESS MODEL CANVAS OF BUSINESS PLAN. 2) PREPARE SWOT ANALYSIS OF THE COMPANY.

QUESTIONS- Please read business plan than answer the question. 1) GENERATE BUSINESS MODEL CANVAS OF BUSINESS PLAN. 2) PREPARE SWOT ANALYSIS OF THE COMPANY.

Highlights 210.000 Scholarship Assist Executive Summary ScholarshipAssist asists college-bound students with their search for scholarship money. Scholarshipassist is able to increase the award amount for students that have a scholarship or can increase the Kathood of a scholarsh award for those on the border line of receiving one. Scholarshipsest maintains an extenske database of ava ale scholarships and offers each cient individualized consulting 10.000 11 Oross Margin Prot ROOD MODO 330 po Keys to Success ScholarshipAssist has dented three keys to success which it believes will be Instrumental to the neath of the organization. The first is the need to offer significant value to the customers. The second is to maintain a 50% SUCCess rate for securing scholarships or increasing the amount of the scholarship. The third key is to adhere to strict financial controls 10 You Mission The mission of Scholarship Assist is to help thousands of college students rea ze their dream of attending colege by heping them find scholarships ScholarshipAssist will aim to maintain 100% customer satisfaction for a dients. The Market Scholarship Assist has segmented its market into two distinct segments. The first group is sure thing applicants, the market segment that is very likely to receive scholarships. This segment is growing at 10% per year and has 93,000 potential customers. The second group is questionables whose needs will be met by significant increasing their leihood of receiving a scholarship through Scholarship Assists guidance. This group has an annual growth rate of 11% with 112,000 potential people Management Scholarshipssists being lead by Industry veteran Steve Tracker, Steve's educational credentials include a graduate degree in business from Babson College He has worked in the fnancial aid department at Babson College, Fannie Mae, and Pew Charitable Trust Foundation. Having a well seasoned manager will help ensure SUCCess for Scholarshipssist Scholarship Assist has conservatrey forecasted sales of 5172,589 for year to, rising to 5232,503 by year three Profitability increase over the next three years. Through a combination of an innovative business plan in a growing market space and a seasoned manager, ScholarshipASSEI WI quicy ncrease market penetration in a very exciting market space. Objectives Become known as THE resource for scholarship assistance Reach protity by the end of year one . Generale yearly sales of $200.000 within three years Keys to Success Offer significant value to clients by having a comprehensive database of olarships and useful application Information Help at least 50% of the clients secure significant scholarshibs. Maintain strict Enancial controls Company Summary ScholarshipAssist has been founded on the idea that there are a wealth of scholarships available to students that few are aware of. by becoming professionals Inis arena, Scholarship Assist can genezte significant profit white haiping dients make college a reanty. Scholarship est has diosen Boston as its headquarters because of the huge pool of students in town including but not limited 10 Tutts, M.I.T., Harvard, Boston College and the University of Massachusetts Company Ownership ScholarshipAssist is a Massachusetts LLC. with Steve Tracker as the man shareholder Brochures 5850 Start-up Summary ScholarshipAssist will require the following start-up equipmenticenses Consultants $2.000 Assorted office for our work spaces. Induding desk.cher.git computer Computer server with leserner, broedend nemet connecto ex mene Assorted Uniture forthe way Legal consultation for the business organization fomeone/ew of contacts, etc Business consultation service will be felt brederes of consulting som i to marketing Rent $1.000 Startup Research and Development 54.000 345.000 0.000 Expersed Equipment 5700 195.000 Total Startup Expenses 311.350 30.000 3.000 320.000 315.000 310.000 Start-up Accets 95.000 Cash Regled 822.250 edert Orrer Ourent Assets $1.300 Start-up Long-term Assets $10.000 Requirements Totes Asses 333650 Start-up Expences Total Requirements 345.000 Lege 53.000 Need real financiale Stationery etc We recommend using LivePlan as the easiest way to create automatic financials for your own business plan. . Create your own business plan Long-term Lebles 30 start-up Funding Accounts Payable (Outstanding Bils 50 Startup Expenses to Fund 311.350 Omer Ourent Les 30 Step Asses to Fund 832 650 Total Lates 30 Total Funding Required 345.000 Cepite Accett Planned Investment Non cash Assets from Startup $11.200 Investor 545.000 Casa Resisements to co 522 350 One 50 Additional Cash Ralsed 50 Additional Investment Requirement 30 Casa Essence on Starting Dete 322.250 Total Planned investment 345 000 Total Assets 533.650 LOSS Statut Expenses $11.250) Lisbec and Capital Total Capital 533.650 Uables Totes Capital and Letts 533.650 Current Borowing 80 Total Funding 345.000 Services Scholarship Assist offers college scholarship 35sistance to college students. There are many scholarships available that would help make college affordable for most people Unlike loans which require repayment, scholarships are gifts that generally dond need to be repaid. Many scholarships have inita prerequisites as well as performance requirements for the recipient while they are in school receiving ald Some scholarships have in a prerequisites such as financial need, aptitude scholastic performance, ethnicity, association membership, etc. Many of the scholarships also have performance benchmarks that must be met while the person is receiving the ad such as a certain grade point average, avoiding academic probation, etc Both of these segments, if they are going to rey on outside hep to attempt to secure a scholarship, will generally use a career services person, ether at their high schod or at the college to help assist them with this process While the career services can be helpful, the students must be aware of the fact at the career service person helps a lot of different people thereby malding the time they can spend with each student fairly small. Additionary, the person has no financial Incentive in securing a scholarship and they have a limited amount of time to commit 10 each student Each organization that offers scholarships have their own requirements and these requirements are at the discretion of each organization There are thousands of scholarships avanable nat the potentia applicants are not aware of. This is where Scholarshi Assist offers value. Their two primary service are There are no direct competitors for this type of service. Each career service department maintains a list of possible scholarships, however, is not exhaustvenor updated often. There are a few websites that maintain a list of possible scholarships These sts can be helpful, however the clients do not receive any indivdual attention or consulting for which scholarships to apply for and how they can strengthen their application Market Segmentation ScholarshipAssist has segmented the market into two distinct segments: Sure thing customers These people are key to secure some sort of scholarship for a variety of reasons. This group is using ScholarshipAssista services as a way of increasing the amount that they would receive from a scholarship or the number of scholarships that they receve. Demographic information is as follows: if their ke nood of getting a scholarship is based on academic performance, his segment has SAT scores of >1100 If their kelihood of getting a scholarship is need based, their household Income is $30,000. . Are tiny sophisticated regading the college education process Are detay going to college but would like to minimize the expense of their as as . . Provide the cent with a list of possible scholarships from Scholarshipssists master database that would be the most likely options. This database sa Collection of many different available scholarships, a list that Scholarship Assist nas spent countless hours researching and continually updates Increase the likelihood that the client receives a scholarship for each one that they apply to. By leveraging ScholarshpAssists inowledge of how scholarsip recipients are chosen and passing this nformation on to liscients, increases the strength of its clients applicaton Scholarshipssist is also able to offer Individua zed suggestions Specific to the different scholarships ScholarshipAssist fee structure is based on an incentivized performance compensation mode where it gets paid if it successfully helps the client realize the scholarship. This is the proper te model because it forces Scholarship Assist to perform and it encourages many potential customers to sign up since payment is contingent on them geting money, a win-win situation Questionables This market segment is trying to make college a reantyy secuting a scholarship The category is called questionables not because they are questionable about going 10 school, but because they are on the borderline for receiving a scholarship. This group is therefore using the ScholarshipAssists services to secure a scholarship thereby maiding a college education affordable. Demographic information is as to ONE Market Analysis Summary ScholarshipAssist has denied to customer segments that it will attempt to convert to customers. The first segment are sure thing customes, those that are ey to get a scholarship genera y due to their dircumstances, whether economic or performance based. The second market segment is the questionables who are on the fringe for getting a scholarship but need scholarshipsis help if they are need based applicants, their household income is> 550,000 SAT scores of 1000 Recognize that they need help in securing a scholarship. They may or may not have spent time doing research on their own Market Analysis (Pie) Dune Things Orontes While Scholarships It Wibe using the same media outlets forts advertising campaign, it will have different ads a lored for different segments. One set of ads emphasizes the ability for Scholarsh Assist to secure arger amounts of assistance for each student. These ads will appeal to students who are highly ikely to get a scholarship and will be lured to use Scholarship Assist through the prospect of Increased grant aid Service Business Analysis There is not a large industry built around scholarship assistance curenty. This can be explained by the fact that much of the help comes from career service counselors whether at the college of high school level. They do an adequate job, especially in ght of the limited time and resources that they have. Within the last four years the Industry has seen the emergence of several firms that offer a database of available scholarships on the Internet. These firms are more a list of resources as opposed to a company that offers Individualized assistance Competitionand Buying Patterns ScholarshipAssist does not have any direct competition, however, there are several different companies worlding in the same space Guidance school counselors. While these people do not charge for the offered services, they are hired by the school or district to 35561 ne Kos, they do provide similar services to what Scholarship does internet-based databases. There are several firms that offers lists of scholarships via their website Individual consultants. There are some consultants That offer their services one on one to cients, but they are priced out of the range of most students. Students are general price sensitive. This means that they will often forgo a service provider of chose the least expensive one ScholarshipAssist's fees are billed on a contingency basis, they are only paid if they perform Market Analysis Potential customers Growth Sure Things 10% 93,095 102,405 112.549 123.914 136,305 10 Questions bites 11% 112.343 124,139 137.174 151,377 167,493 10 Total 10.27% 205,441 226,347 249.523 275.491 303,795 20 Need real financials We recommend using LivePlan as the easiest way to create automatic financials for your own business plan. Strategy and Implementation Summary Scholarship Assists strategy will be based on raising awareness of its services well as educating prospective cients on the effectiveness of its services. The effectiveness of Scholarshipssists services is its competitive edge. It has the ability Decause of a variety of factors, including edensive research, and industry insight, to Show people the money. The marketing campaign will educate students about the services offered, both the edensive database as well as the individualized counseling. The sales strategy wil be based on the conversion of qualified ads into customers based on ScholarshipAssist effecuveness of getting scholarships for students who would not otherwise get any awards or ncreasing the award amount for those that would otherwise receive something less Create your own business plan Target Market Segment Strategy Sales Forecast The first few months we fany son terms of sales. This forecast is normal for TNO reasons. The first is the fact tnat Scholarshipssia is a start-up organization an It takes time to build awareness, goodwill, and a cient base for the business. The second explanation is the process for applying for scholarshipsis seasonal. It is not untl April or May that students become more aggressive in securing plans for college The revenue stream that ScholarshipAssist receives is based on a percentage of the scholarship that is received by the student Scholarshipsist will receive a 6% commission on the money that it obtains for the students. This will have a positive Impact on sales as there is a direct incentive to raise as much money for each student ScholarshipAssist beleves these sales forecasts 10 be reasonably conservate based on several tactors. The first actor is the tact that Sosion has a very large student population with so many different colleges and universities, some edremey desirable for people to attend. This provides ScholarshipAssist with a huge market. The second factor is that as students become increasingly more busy with extracurricular activities and work, they have less and less time to spend on the college entrance process. With less time and more money (the last two years has seen the highest percentage of students working in over 30 years) students were Willing to pay someone else to accomplish tasks that they once had the time and desire to do Sales Morthy Competitive Edge ScholarshipAssists competitive edge is ts effectiveness to either secure scholarships for students or to increase the amount that the student would otherwise be able to do. Scholarshipassists effectiveness percentage & forecasted to be 60% and has been in limited number trials). This will be accomplished due to their extensive research that is completed on an ongoing basis as wel as its wealth of Industry knowledge. It is the industry Inowledge detailed in the Management Summary section that allows to be so effective, it knows how the industry works and what needs to be done to win scholarships for students To develop good business Strategies, perform a SWOT analysis of your business. Its 235y with our tree guide and template. Learn how to performa SWOT analysis Marketing Strategy Scholarship Assists marketing strategy is a strategic progam designed to raise awareness among the two different sfudent target groups regarding the services offered by Scholarshipssist and how valuable it could be 10 the students. This will certainly be a changing task since the services that ScholarshipAssist offers are a relatively new service offering. In the past the students got this type of help, best of lower quality and specificity from career Counselors provided by the schools The marketing effort wat ze both advertisements and a word of mouth grassroots campaign to accompash their goals. The advertisements will be placed in severa local magazines whose readership is similar to Scholarshipsset's target demographic. The basic message that wil be communicated is simply put that students can get tar larger awards for scholarships they use ScholarshipASSIIS help. Prominent in the advertisements will be its claim that Scholarships at has a 60% success rate in helping secure scholarships or securing more out of a scholarship than if the student proceeded alone. The grassroots campaign wiley on two efforts: 1) a referral system, 2) student representatives that are cheerleades for the service. This should be effective since the students are mading the pitch to their peers and they already have a trust relationship with these people so what they say holds moreweight Sales Strategy ScholarshipAssists sales campaign will have the objective of mading conversions of quaited leads into paying customers. The target customers aquared lead if they recognize the need for the services and have to some degree sought out help from ScholarshipAssist. The conversion process should not be that thout for two main reasons. The first reason is its high success rate. The success rate would be even higher but for the reality that some students are not meet the criteria for scholarships -ether they do not have the scholastic ab it or economic actors are not in their favor. The second issue that should make the conversion relatively easy is the fact that the students Use ScholarshipAssist's services fiskfree-they pay nothing unless they are awarded a scholarship. The agreement 6 not exclusive meaning the students are free to ut ze other services and they do not have to pay for Scholarship Assist's services unless they perform $14.000 312.000 $10.000 30.000 Sure Things Questoties 6.000 1000 Sales by Year Babuni Direct cost of sins $12.457 $24.162 $39235 13 Need real financiale 1.210.000 1100.000 190.000 Sure Things Oestions We recommend using LivePlan as the easiest way to create automatic financials for your own business plan 110.000 DO 0.000 Create your own business plan Milestone VET Yew 2 1 Completion of business plan 2 Profitability: Monthly revenue exceeding 515,000 Sales Forecast Milestones Sales Milestone Start Date End Date Budget Manager Department Sure Things 545,454 $19.990 $121,095 Completion of business plan 1/12003 215 2003 50 Steve Strategic Cwestionables S42.735 $82.699 $111.410 Profitabu 11 2003 9.30 2003 50 Steve Operations Total Sales $99.192 $172359 5252,505 Monthly rey 515,000 11 2003 21.2004 50 Steve Operations Direct Cost of Sales Year 1 Year 2 Totals 50 Sace Things $6,504 $12.355 $16.954 Web Plan Summary Questionables $5.953 $11,378 $13,597 ScholarshipASSISWI have a website as a way to disseminate information to prospective customers. A website is a very cost effective means for broadcasting information because it allows people to browse the material at their own le sue at Whatever time is convenient for them. It also lows them to answer their questions without much help from ScholarshipAssist. Without the website the company would De overwhelmed with phone cass requiring more and more hours of Steve: operations, marketing, some financials, business development. Researcher this position will be responsble for the development and maintenance of the scholarship database. Account manager (2): these position are responsble for the bulk of Interactions between ScholarshipAssistand Cilents. These employees we ensure the complete satisfaction of the clients, servicing them n any way needed. Scholarshipssist employees. The site will present people with a list of offered services, case studies of helped clients, and accomplishments of the frm. Website Marketing Strategy ScholarshipAssist wel anare of the fact that just because a company has a website does not mean that is any value since nobody might be visiting t. With this in mind, Scholarshi Assist we work hard to increase traffic on the site. All of the printed material that Scholarship Assist uses will make reference to the site and encourage Visitors. Scholarshipsist was be di gent in website submission. This extremely important so that if a student is looking for these types of services but is nottam ar With Scholarshipssst specifically, they will be hooked up with ScholarshipAssist. Development Requirements Development of the site will be handed by M.LT. computer science students who are generally quite effective, yet work at below market rates Personnel Plas Steve $24,000 $30,000 $40,000 Research $16,500 $22.000 $26.000 Accover anager $13.500 $22.000 $26.000 Accort Macages $13.500 $22.000 $26.000 Total People 4 Tota: Pawon 567.300 596,000 $115,000 Management Summary Steve Tracker, the founder and president brings a wealth of skills and experience to the leadership role at ScholarshipAssist Steve received his undergraduate and graduate (M5A) degrees at Sabson College in Wellesley. After his schooling. Steve went to work at Babson in their financial aid department for two years, Aner Babson he went to work for Fannie Mae. Al Fannie Mae Steve was a project manager in the risk assessment group. In this group, Steve was instrumenta in developing formula5 10 35 sess the landing risk for lants Through networking contacts, Steve received a fantastic offer to come and work at the Pen Charitable Trust Foundation, the second largest scholarship fund in the USA was quite an honor to receve an offer at such a well respected organization that he immediately accepted the job. Steve spent six years at Pen learning every detail regarding how Pen selected recipients for their scholarships Alle four years at Pen, Steve had a seed planted in the back of his mind that some day soon he would like to start his own venture. With this in mind Steve continued to work hard at Pew.learning everything he could while networking at the same time. After 14 months, Steve daan to work on a business plan for a company that leveraged his intricate knowledge regarding scholarship awards. Need real financials We recommend using Livepian as the easiest way to create automatic financials for your own business plan Create your own business plan Financial Plan Personnel Plan ScholarshipAssist has forecasted the need for a total of four employees for the first couple of years. The following bullets indicate the different employees. Please review the foowing chart for financial Information regarding the personnel pian The following sections will outline Important financial Information Important Assumptious The following table details important Financial Assumptions Break even Analysis 110,000 General Assumptions 0.000 Plan Month 1 2 4000 12.000 Cureat Interest Rate 10.00% 10.00% 10.00% 12.00 Long-term Ideas: R. 10.00% 10.00% 10.00% (DOC 1.DOC 99 Tax Rate 30.00% 30.00% 30.00% 100 312.000 36.000 310.000 100 120.000 12200 0 0 0 Break-eres Analysis Need real financials Monthly Revenue Baksies 59,460 We recommend using UrePan as the easiest way to create automatic tranciats for your own business plan. Assumption: Average Percent Variable Cost Create your own business plan Break-even Anahis The Break-even Analysis is shown below Estimated Monthly Fxed Cost SS.136 Projected Profit and Loss The following table with indicate Projected Proft and Loss. Profit Monthly Gross Margin Monthly 1.000 33.000 312.000 12.000 10.000 11.000 50 000 (1) 12.000) ( (54 DO 30 More More Profit Yearly Mr Wor) Mor More? Morett More O More 12 Gross Margin Yearly 130.000 130.000 110.000 3100,000 $160,000 140.00 $120.000 3100.000 000 0.000 340.000 320.000 05 110.000 (120) ot Vw Yew 2 Yew Pro Forma Profit and Loss Sales and Marcoming and Other Expansss 54.200 $5.500 $6.000 Sales $59.192 SI 2.55e $232.505 Depreciation $2,004 $2,004 $2,004 Deact Cost of Soins $12.457 $24.162 $ $32.331 Rest $7.200 ST.100 $7.200 Oder Costs of Sales go SO 50 $2.400 52.400 $2,400 Total Cost of Sales $22.451 Insurance $2,400 $2.400 5145,426 $10,125 Gross Margie 514.400 Stk. Tos $17.700 Payroll Taxes $199,957 Other 51,500 $5.00% $1.500 $1.500 Gross Margit SS.COM $5.00 Total Operating Expres $97.629 $131.704 $157,504 Expenses 596.000 (520,924) Pavou 567.300 $118.000 $15.722 Profit Before Latest Tees 542 453 EBITDA (518.920) $18.726 $44,457 121.000 318.000 Interest Expense 30 SO 30 312.000 Taxes incurred 50 55,017 $12.736 Net Can Flow 39.000 M.DE Cash Balance $9.000 Net Profit ($20,924) $11,706 $29,717 (33.000 Net Profit Sales -23.46% 6.78% 12.78% Meret Morth 3 More 5 More More More 11 M2 M M Myth & More 10 12 Projected Cash Flow The following table and chat will indicate Projected Cash Flow Pro Forms Cash Flow New Long-term Liabilities 50 $0 30 Cash Received Sales of Other Current Assets $0 30 50 Cash from Operations Sales of Long-term Assets $0 $0 539.192 $172.589 SO Cuh Sales SO Nes Investment Received SO 5232503 Subtotal Cush from Operations Subtotal Cash Received 389,192 $122.389 $232,308 $59.192 $ 3172.589 5232.508 Expenditures Year 1 Year 2 Additional Cash Received Year 3 Sales Tax, VAT, HST OST Received , 50 30 $0 Expenditures from Operations New Current Borrowing $0 50 50 Cash Spending $67.300 396,000 $118,000 New Other Liabilities interest free 50 50 50 Bill Payments $36,201 $62,122 581.151 Subtotal Spent on Operations 3103,701 3153.122 $199.151 Subtotal Cash Spent $103,701 $159.122 $199.151 Additional Cash Spent Net Cash Flow ($14,509) $14467 $33,357 Sales Tax, VAT, HST GST Paid Out , 30 50 50 Cash Balance 57.841 $22.305 555,665 Principal Repayment of Current Borrowing 50 50 50 Projected Balance Sheet The following table will indicate the Projected Balance Sheet Pro Forma Balance Sheet Other Liabilities Principal Repayment 30 $0 Long-term Liabilities Principal Repayment 30 $0 50 Assets Purchase Other Current Assets 50 50 50 Current Assets Purchase Long-tam Assets $0 $0 $0 Cash $7.341 $22,303 $55,665 Dividends $0 30 50 Other Current Assets $1.300 $1,300 $1,300 Total Current Assets 59.141 $23,608 356.965 Current Borrowing 50 50 30 30 Other Current Liabilities 30 50 Long-term Assets 55.168 Subrotal Current Liabilities $10.000 56,804 $4,411 $10,000 Long-term Assets $10.000 Accumulated Depreciation $2.004 54.00 36,012 Long-term Liabilities $0 50 $0 Total Long-term Assets $7.996 $3,992 $3,988 Total Liabilities $4,411 $3.168 $6,804 Total Assets $17,137 $29,600 360953 Paid-in Capital $45.000 $45.000 $45.000 Liabilities and Capital Year 1 Year 2 Year 3 Retained Eamins (511350) (532.274) (520,568) Eating ($20.924) $11,706 $29,717 Current Liabilities $4411 55.165 Accounts Payable Total Capital $12,726 524,432 36.804 354.149 ratios are Total Liabilities and Capital 317,137 $29,600 560.953 Percent of Total Assets Net Worth $24432 $12,726 7599 354.149 439% Other Current Assets 2.13% 35.03% Need real financials Total Current Assets 53 34% 79.76% 93.46% 55.79% 46.66% Long-term Assets 20.24% 6.34% 44 21% We recommend using LivePlan as the easiest way to create automatic financials for your own business plan Total Assets 100.00% 100.00% 100.00% 10000% Create your own business plan Business Ratios Current Liabilities 25.74% 17.46% 11 16% 25.11% The following table indicates important Business Ratos for both Scholarship Assist as well as the industry as a whole. Please note that any material variances between Scholarship Assists ratios and the industry rations can be explained by the fact that the Long-term Liabilities 0.00% 0.00% 22.00% Total Liabilities 25.74 17.46% 11 16% Ratio Analysis 47 11% Net Worth 32 54% 55.84% 74.26% 52.89% Sales Growth 0.00% 93 30% 34.72% 8.15% Percent of Sales Total Debt to Total Assets 25 74% 17.46% 11.16% 5992 Sales 100.00% 100.00% 100.00% 100.00% Pre-tax Return on Net Worth -164.42% 68.45% 78.40%. 616% Gross Margin 36.00% 56.00% 8600% 10000% Pre-tax Return on Assets -122 10% 56.50% 69.65% 15.38% Selling General & Administrative Expenses 109 465 79.22 73.22% 77.99% Additional Ratios Year 1 Year 2 Year 3 Advertising Expenses 0.00% 0.00% 0.00% 185% Net Profit Margis 6.78% a Profit Before Interest and Taxes 23 46% 9.69% 13.26% 335% Rerum on Equity -164.42% 4791%. 34.85% Msin Ratios Activity Ratios Current 207 437 837 173 Accounts Payable Turnover 921 12.17 12.17 za Quick 207 457 837 130 Payment Days 27 28 26 Total Asset Tumover 520 5.33 3.81 Current Debt Total Assets 26%. 1994 119. na Acid Test 207 457 Debt Ratios 837 701 Sales Net Worth 206 Debt to Na Worth 429 035 021 0.13 0.00 0.00 Current Lisb to Lisb Dividend Payout 1.00 100 100 0.00 11 Liquidity Ratios Appendix Net Working Capital 34.730 $18.440 $50.161 $ na Sale Forecast Interest Coverage 0.00 0.00 0.00 Sales 0% $0 Sure Thing 30 $575 Additional Rates $2.132 53.323 $4.234 $4959 $5.234 $5.565 $5.989 36.343 $7.767 019 Assets to Sales 012 026 Questionables 03 0% $0 $0 SBOS 31.261 33,057 $3.893 54390 $4,815 33.120 55,310 55,836 57,146 Total Sales 50 SO 51,686 54,093 $6,380 58.129 59,579 510,049 $10,685 $11.499 $12.179 $14913 Steve 09. $2.000 $2,000 $2,000 $2,000 $2.000 $2,000 $2,000 $2.000 $2.000 52.000 52.000 52.000 Research 0% $0 $1300 $1,500 $1,500 $1.500 $1.500 $1,500 $1,300 $1300 $1,500 $1,500 $1,500 Direct Cost of Sales Month Month Month Month Month Month Month Mouth Month Month Month 1 3 5 6 8 10 11 Monta 12 $0 50 $1,500 Account 0% 30 Manager $1.500 $1,500 $1,500 $1,500 $1.500 $1,500 $1,500 $1,500 Sure This 50 SO $123 $293 $465 5593 5698 5733 $719 3558 $1,087 50 30 50 SO Questionables 0% 30 $113 3121 $717 3275 $428 $545 $643 5674 $917 31,000 51,500 51.500 51.500 $1,500 51.500 31.500 31.500 51.500 $3.500 Account Manager SO 50 Subtotal Direct Cos of Sales 5236 5573 $393 $1,139 $1341 $1,407 51.496 51.810 $1,705 52,083 1 2 2 4 4 4 4 Total People Need real financials Total Payroll $2.000 $3,300 $3,500 $6,500 36.500 $6.500 $6.500 56.500 $6.500 $6,500 56.500 $6,500 We recommend using LivePlan as the easiest way to create automatic financials for your own business plan, General Assumptions Create your own business plan 1 1 2 3 4 5 6 8 9 9 10 11 Plan Month 12 Personnel Plan 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% Total Cost of Sales 50 50 $236 Current Interest 5573 5193 51,133 $1,341 51,407 51,496 $1,510 51,705 52093 Gross Narer 50 50 $1.450 $3.520 55,437 56.901 58.233 55.642 39,189 39339 510,474 $12,325 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 1000% 10.00% Lengte Interest Rate Cross Nargis 0.00% 0.00%. 36.00% 36.00% 36.00% 36.00% 36.00% 36.00% 56.00% 56.00% 36.00% 56.00% Tax Rate 30.00% 3000% 3000% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% Expenses Other 0 0 0 0 0 0 0 0 0 0 Payroll $2,000 $3.500 $3,500 $6,500 36,500 56,500 56,500 56,500 56,500 56,500 56,500 $6,500 Pro For Profit and Loss 3350 $350 3350 5350 $350 3550 3350 $350 $350 Sales and Marketing ud Other Expenses 5350 5350 Sales $0 $0 $1,656 $4,093 $6.390 $5,129 $9,579 $10,049 $10,685 $11,499 $12,179 $11.913 Depreciation $162 $161 $167 $167 $167 $167 $169 $167 $167 $161 $ $167 $167 Direct Cost of Sales 50 50 5236 5573 $893 $1.133 51341 51,407 51.496 51.610 $1,705 52.088 Rei 5600 $600 5600 3600 5600 5600 5600 5600 5600 $600 5600 5600 Other Costs of Sales $0 SO 30 50 $0 50 $0 50 $0 $0 50 SO 5200 5200 $200 $200 5200 $200 $200 5200 $200 $200 $200 5200 Insurance 5200 5200 5200 5200 $200 $200 5200 5200 5200 5200 5200 5200 Net Profit ($3,967) ($5,692) ($4,242) (55,622) ($3,455) (52,151) ($904) ($500) $47 $747 $1,332 $3,683 Payroll Tazas 15% $300 5525 5525 5975 3975 3975 59759975 5975 $975 5975 5975 Net Profit Sales 0.00% 0.00% 251 65% 5729% -26 46% -9.44% 97% 0.44% 6.50% 1093% 24.70% % Other $150 $150 5150 $150 3130 3150 3150 3150 3130 5150 5150 OSTS 5150 Pro Forma Cash Flow Total Operating Expenses 53,967 $5,692 55692 $9,142 $9,142 $9,142 39,142 $9,112 39,142 $9,112 99,142 59142 Cash Received Profit Before Interest and Taxes (53.967) (35.692) (34242) (55,622) (33,655) (52,151) (3904) (5500) 547 $741 $1,332 33,633 Cash free Operations EBITDA (53.800) 35525) (34,075) (55,455) (53,483) ($1.994) (3737) (5333) 3214 $914 $1,499 53,850 Cash Sales 30 50 514913 51,686 34.093 56.380 38.129 59.519 510.049 310.685 511,499 $12.119 $0 Interest Expert 05 30 30 $14913 $0 0$ $0 0$ 30 30 30 $0 30 $0 $1,686 34,093 36380 33,129 $9,579 $10.049 $20,685 $11.499 $12.179 Subtotal Cash from Operations Taxes incurred 05 SO 05 50 30 30 SO $0 50 50 50 50 Additional Cash Received + 0.00% $0 30 30 50 30 $0 $0 30 $0 50 50 SO Sales Tax, VAT HST GST Received Subtotal Cast 50 $0 51,656 54,093 56,380 58,129 $9.579 $10.049 $10,585 511,499 $12.179 50 50 30 50 SO 30 30 30 50 New Current Borrowing 50 30 30 Expenditures Month Mouth Mouth Month Month Month Mouth Month Mount Month Montb 11 Month 10 $0 30 $0 50 50 50 30 50 50 50 50 50 New Othe Liabilities interest Erar) Expenditures from Operations 50 $0 50 30 30 30 30 50 50 50 30 30 New Long Liabilities Cash Spending $2,000 $3.500 55.500 56.500 56.500 56,500 $6.500 $6,500 56.500 56,500 $6.500 56,500 Bill Payments $60 $1,903 52,033 52.287 33,059 53.376 53,620 93.913 33,335 59.975 54,093 $4.193 $0 $0 $0 $0 $0 30 $0 $0 $0 $0 Sales of Other Current Assets $0 SO Sabtotal Spest on Operations 2,060 35308 35,333 $8,78% 59,559 59.874 $10,120 510.318 510.385 510,495 $10585 $$ 510,693 $0 $0 $0 $0 SO $0 $0 SO $0 50 Sales of Lasten Asses SO SO Additional Cash Spent $0 30 50 New Investant Invest Received 50 50 $0 50 50 50 30 50 SO SO 30 SO SO $0 SO 50 $0 $ 30 30 $0 30 Sales Tax, VAT. HST GST Paid Out Subtotal Cash Spont $2,060 $5308 35,533 58.737 59,559 $9,976 $10,120 $10,318 510.385 510,475 310,555 $10 693 30 30 50 50 30 30 SO $0 30 50 30 ($2.060) ($5,305) ($3,847) (54,694) (53,179) (51,747) ($541) ($269) $300 $4.220 Net Cash Flot $1,024 $1.591 30 Principal Repayment of Current Borrowing Cash Balance 520.200 $14953 511,135 50.442 $3.263 $1.516 5973 $700 31.000 52.030 $3.621 37.841 $0 $0 $0 50 $0 SO $0 SO $0 50 $0 50 Other Liabilit Principal Papaymart Need real financials We recommend using LivePlan as the easiest way to create automatic financials for your own business plan 50 50 50 $0 50 50 $0 SO 30 50 50 50 Long-term Liabilities Principal Repayment Create your own business plan $0 $0 SO $0 $0 SO $0 SO 30 Purchase Other Current Assets $0 50 30 Pro Forma Balance Sheet Assets $0 $0 SO 30 $0 50 $0 50 $0 SO Purchase Long to Assets 50 SC Starting Balance Current Total Long 10,000 59.333 59.666 term Assets $9.499 59,332 59.165 58.993 53.331 33.564 58.497 58.330 53.163 $7.996 $22,350 $20,290 $14,983 $11.135 $6442 $3,263 $1,516 5975 $706 $1,006 $2.030 $2,030 $3,621 $7,841 Total Assets 533,550 $31,423 $25949 $21.934 $17,074 313,728 $11.314 $11,106 $10,670 $10,803 $11,660 $13,084 $17,137 $1.300 $1,300 $1,300 $1,300 $1,300 $1,300 31,300 31,300 $1,300 $1,300 $1,300 31,300 1,300 $1,300 Other Current Asseta Lisbilities asd Capital Month 1 Month 2 Month 3 Month Months Month 6 Month 7 Month 3 Month Month Month Mouth Moathi 12 11 523,550 $21.596 516,283 512,435 57.742 54563 32,816 52.275 32.006 32,306 32,306 33.330 54.921 59.141 Total Curret Assets Current Lisbilitis Accounts $0 51.740 51.958 $2.136 $2946 $$ $3,256 $3.493 $3.689 $ $3,753 33,039 33949 $4.941 $4,411 Payable Long- Assets 50 so 0 30 50 50 30 50 50 30 50 50 SO Current Borowing Lonster Assets $10.000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 510.000 $10.000 $10,000 $10,000 $10,000 $10.000 30 30 50 30 30 SO 50 30 SO 50 30 $0 50 $167 3501 5668 3333 Accumulated 50 Depreciation 51,002 $1.169 31.336 31.303 51.670 $1.837 $2.004 Other Current Liabilita $0 51.740 $1959 $2.136 $2.946 $3,256 $3,493 $3,699 $3,753 $3.839 33,949 $4,041 $4411 $33,650 $91,423 525949 $21.934 $17,074 313,728 $11.814 $11.106 $10,670 $10.303 $11,660 $13,084 $17.137 Subtotal Current Liabilitis Total Latitis and Capital 50 $0 30 Longte 50 Liabilities 50 30 50 30 50 50 30 50 30 Net Worth $33,650 $29,683 523991 $19.749 $14.127 $10.472 51391 $7.417 6917 56,964 37.711 99,043 $12.726 0 51.740 Total Liabilitis 51.953 32,156 $2.946 53.256 53,493 53.689 33.753 53.839 33.049 53.949 54.041 54.411 $45.900 345,000 $45.000 $45.900 545.000 $45,000 $45,000 345.000 $45.000 $45.000 $45,000 $45.000 345.000 Pad-an Capital Retained Eating (311.350) 311350) ($11.350) (511350) (311350) ($11.350) ($11.350) ($11.350) 511350) (311350) (511350) (511350) (311350) Earnings 50 (53.967) (59.859) (513.901) (519.523) (523.178) (525329) (526.235) (526,733) ($26.486) (525.939) 524.807) (320.924) Total Capital 333.850 529,653 $23.991 $19.749 514.127 310,472 58.321 57.417 56.917 56,964 $7,711 59,043 $ $12.726 Scholarship Assist Executive Summary ScholarshipAssist assists college-bound students with their search for scholarship money. ScholarshipAssist is able to increase the award amount for students that have a scholarship or can increase the likelihood of a scholarship award for those on the border line of receiving one. Scholarship Assist maintains an extensive database of available scholarships and offers each client individualized consulting. Keys to Success Scholarship Assist has identified three keys to success which it believes will be instrumental to the health of the organization. The first is the need to offer significant value to the customers. The second is to maintain a 60% success rate for securing scholarships or increasing the amount of the scholarship. The third key is to adhere to strict financial controls. The Market Scholarship Assist has segmented its market into two distinct segments. The first group is sure thing applicants, the market segment that is very likely to receive scholarships. This segment is growing at 10% per year and has 93,000 potential customers. The second group is questionables whose needs will be met by significantly increasing their likelihood of receiving a scholarship through Scholarship Assist's guidance. This group has an annual growth rate of 11% with 112,000 potential people. Management Scholarship Assist is being lead by industry veteran Steve Tracker. Steve's educational credentials include a graduate degree in business from Babson College. He has worked in the financial aid department at Babson college, Fannie Mae, and Pew Charitable Trust Foundation. Having a well seasoned manager will help ensure success for Scholarship Assist. Scholarship Assist has conservatively forecasted sales of $172,589 for year two, rising to $232,508 by year three. Profitability will increase over the next three years. Through a combination of an innovative business plan in a growing market space and a seasoned manager, Scholarship Assist will quickly increase market penetration in a very exciting market space. Highlights $240,000 $210,000 $180,000 $150,000 Sales $120,000 11 Gross Margin $90,000 Net Profit $60,000 $30,000 $0 Year 1 Year 2 Year 3 1.1 Mission The mission of Scholarship Assist is to help thousands of college students realize their dream of attending college by helping them find scholarships. ScholarshipAssist will aim to maintain 100% customer satisfaction for all clients. 1.2 Objectives . Become known as THE resource for scholarship assistance. Reach profitability by the end of year one. Generate yearly sales of $200,000 within three years. . 1.3 Keys to Success . Offer significant value to clients by having a comprehensive database of scholarships and useful application information. Help at least 60% of the clients secure significant scholarships. Maintain strict financial controls. . Company Summary Scholarship Assist has been founded on the idea that there are a wealth of scholarships available to students that few are aware of. By becoming professionals in this arena, ScholarshipAssist can generate significant profit while helping clients make college a reality. ScholarshipAssist has chosen Boston as its headquarters because of the huge pool of students in town including but not limited to Tufts, M.I.T., Harvard, Boston College, and the University of Massachusetts. 2.1 Company Ownership Scholarship Assist is a Massachusetts L.L.C. with Steve Tracker as the main shareholder. 2.2 Start-up Summary Scholarship Assist will require the following start-up equipment/expenses: . Assorted office furniture for four work spaces, including desk, chair, light, computer; Computer server with laser printer, broadband Internet connection, fax machine; Assorted furniture for the waiting room; Legal consultation for the business organization formation, review of contracts, etc.; Business consultation - this service will be a fairly broad area of consulting from HR to marketing. . Start-up $45,000 $40,000 $35,000 $30,000 $25,000 $20,000 $15,000 $10,000 $5,000 $0 Expenses Assets Investment Loans Start-up Requirements Start-up Expenses Legal $3,000 Stationery etc. $300 Brochures $350 Consultants $2,000 Rent $1,000 Research and Development $4,000 Expensed Equipment $700 Total Start-up Expenses $11,350 Start-up Assets Cash Required $22,350 Other Current Assets $1,300 Long-term Assets $10,000 Total Assets $33,650 Total Requirements $45,000 Need real financials We recommend using LivePlan as the easiest way to create automatic financials for your own business plan. Create your own business plan Start-up Funding Start-up Expenses to Fund $11,350 Start-up Assets to Fund $33,650 Total Funding Required $45,000 Assets Non-cash Assets from Start-up $11,300 Cash Requirements from Start-up $22,350 Additional Cash Raised $0 Cash Balance on Starting Date $22,350 Total Assets $33,650 Liabilities and Capital Liabilities Current Borrowing $0 Long-term Liabilities $0 Accounts Payable (Outstanding Bills) $0 Other Current Liabilities (interest-free) $0 Total Liabilities $0 Capital Planned Investment Investor 1 $45,000 Other $0 Additional Investment Requirement $0 Total Planned Investment $45,000 Loss at Start-up (Start-up Expenses) ($11,350) Total Capital $33,650 Total Capital and Liabilities $33,650 Total Funding $45,000 Services Scholarship Assist offers college scholarship assistance to college students. There are many scholarships available that would help make college affordable for most people. Unlike loans which require repayment, scholarships are "gifts that generally do not need to be repaid. Many scholarships have initial prerequisites as well as performance requirements for the recipient while they are in school receiving aid. Some scholarships have initial prerequisites such as financial need, aptitude/scholastic performance, ethnicity, association membership, etc. Many of the scholarships also have performance benchmarks that must be met while the person is receiving the aid such as a certain grade point average, avoiding academic probation, etc. Each organization that offers scholarships have their own requirements and these requirements are at the discretion of each organization. There are thousands of scholarships available that the potential applicants are not aware of. This is where ScholarshipAssist offers value. Their two primary services are: Provide the client with a list of possible scholarships from ScholarshipAssist's master database that would be the most likely options. This database is a collection of many different available scholarships, a list that Scholarship Assist has spent countless hours researching and continually updates. Increase the likelihood that the client receives a scholarship for each one that they apply to. By leveraging ScholarshipAssist's knowledge of how scholarship recipients are chosen and passing this information on to its clients, it increases the strength of its clients application. Scholarship Assist is also able to offer individualized suggestions specific to the different scholarships. Scholarship Assist fee structure is based on an incentivized performance compensation model where it gets paid if it successfully helps the client realize the scholarship. This is the proper fee model because it forces ScholarshipAssist to perform and it encourages many potential customers to sign up since payment is contingent on them getting money, a win-win situation. Market Analysis Summary Scholarship Assist has identified two customer segments that it will attempt to convert to customers. The first segment are "sure thing" customers, those that are likely to get a scholarship generally due to their circumstances, whether economic or performance based. The second market segment is the "questionables who are on the fringe for getting a scholarship but need Scholarship Assist's help. Both of these segments, if they are going to rely on outside help to attempt to secure a scholarship, will generally use a career services person, either at their high school or at the college to help assist them with this process. While the career services can be helpful, the students must be aware of the fact that the career service person helps a lot of different people thereby making the time they can spend with each student fairly small. Additionally, the person has no financial incentive in securing a scholarship and they have a limited amount of time to commit to each student. There are no direct competitors for this type of service. Each career service department maintains a list of possible scholarships, however, it is not exhaustive nor updated often. There are a few websites that maintain a list of possible scholarships. These lists can be helpful, however the clients do not receive any individual attention or consulting for which scholarships to apply for and how they can strengthen their application. 4.1 Market Segmentation Scholarship Assist has segmented the market into two distinct segments: Sure thing customers These people are likely to secure some sort of scholarship for a variety of reasons. This group is using ScholarshipAssist's services as a way of increasing the amount that they would receive from a scholarship or the number of scholarships that they receive. Demographic information is as follows: . . If their likelihood of getting a scholarship is based on academic performance, this segment has SAT scores of >1100. If their likelihood of getting a scholarship is need based, their household income is >$30,000. Are fairly sophisticated regarding the college education process. Are definitely going to college but would like to minimize the expense of their education as much as possible. . . Questionables This market segment is trying to make college a reality by securing a scholarship. The category is called questionables not because they are questionable about going to school, but because they are on the border line for receiving a scholarship. This group is therefore using the Scholarship Assist's services to secure a scholarship thereby making a college education affordable. Demographic information is as follows: If they are need based applicants, their household income is >$50,000. SAT scores of