I/ The Executive Summary: An outline of 3BK
3BK is a start-up in the hi-tech field. As a company, and as individuals, we value integrity, honesty, openness, personal excellence, constructive self-criticism, continual self-improvement, and mutual respect. We are committed to our customers and partners and have a passion for technology. We take on bigchallenges, and pride ourselves on seeing them through. We hold ourselves accountable to our customers, shareholders, partners, and employees by honoring our commitments, providing results, and striving for the highest quality.
The product we plan to market is called the “Dudebox™”. It precedes the upcoming generation of mp3 players using the combination of Bluetooth technology, so as to usewireless earphones (which we intend to design and sell separately), and modern aesthetics, therefore marking the dawn of a new era in the music and technology industry. One of its major specificities lies in the possibility for different people to listen to the music or any other audio file of their own choice using the same Dudebox™ at the same time, thanks to the Bluetooth technology.
We targetpeople in age of making an appropriate use of an mp3 player, ie people aged 12+.
Our main competitors are the leaders in the digital environment : Apple (iPhone/Ipod), Microsoft (Zune), Creative, Archos, Phillips, Samsung, RCA, Sony, SanDisk, Coby, Cowon America.
Therefore, prospects for the first fiscal year may seem gloomy but we are confident in our communication operation at the launch ofthe product. By the end of the first year following the launch of the Dudebox™, we expect to conquer 15% of the market share. Since our product will pave the way for the new mp3 players generation and make current players look obsolete, we expect that this future situation will create a need on the market, rising our market share exponentially, as long as our rivals do not launch a similar product.In terms of investments, we are looking for the major players on the IT sector : companies interested in our product and sharing our values, other companies which would like to own a trustworthy branch in the music industry.
Why is 3BK a sound investment? It is the opportunity to invest in a young, dynamic and trustworthy company which holds strong values and has adopted a human approach, basedon a close relationship with the customers, seen more as a community to satisfy as a whole rather than individual consumers. This mentality is exemplified through the range of products and services we offer : they are meant to gather people with a common passion. We may promote hi-tech products of the future, but only you have the opportunity and the leverage to promote the company of the future.Risks of the product :
Safety health risks due to electromagnetic waves (however, this is to minimize since we are surrounded by waves everywhere today : Wifi, cell phones network…)
The Dudebox™ should not be let into the possession of children, who might swallow it.
At full power, the prolonged listening can damage the ear of the user.
Appendix A andB
3BK requires equipment to operate. The major start-up cost will be equipment and store space for which as business partners we will invest personal funds of $10,000 each which makes $40,000 revenue. Initial start-up costs are estimated around $30,175 including $75 of business licensing and permits and $100 of registration fees (legislation of California), $10,000for rent deposits and $20,000 for computer and office equipment.
Regular monthly expenses are estimated at $11,833 and miscellaneous start-up costs relating to administration will also be covered by our capital injection and cash-flows from operations. Wages are budgeted to be $57,600 per year.
3BK will generate $929,505 in its first year of operation, with an estimated...