Professional Documents
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Business - Plan - For Computer Tutor
Business - Plan - For Computer Tutor
EasyCOMP
Executive Summary
EasyCOMP (EC) is in the process of being formed as a sole proprietorship owned and operated by self. This plan is written as a guide for starting and managing this new business and will also serve as the basis for a separate, detailed marketing plan. Following is a summary of the main points of this plan.
Just because we live in a computer age doesn't mean that everyone is computer-savvy. That's where the computer tutor comes in. A computer tutor teaches individuals how to best use their computer programs and the Internet, typically at the owners house(classroom environment) and also at client's location. Fluency in several popular computer applications, such as different components of Microsoft Office, is imperative for this home based business idea.
EC will Teach School Going children how to perform basic tasks on a personal computer. Give personal lessons on basic MS office software applications and operating systems. Provide telephone support for software tasks and problems. The job of the personal computer instructor will be to help users learn the language of computer operations and make use of software as a part of their educational curriculum. The objectives of EC are to generate a profit, grow at a challenging and manageable rate, and to be a good citizen. The mission of EC is to provide personal ,simple to understand, and reliable technical assistance to school going children The job of the personal computer instructor will be to help users learn the language of computer operations and make use of software as a part of their educational curriculum The keys to success for EC are marketing and networking, customer care , responsiveness and quality, and generating repeat customers. The initial primary service offered will be hourly technical aid, although retainer contracts and projects will be considered in the future growth. The local market for this business, while not new, is wide open for new and expanding tutoring firms. An initial financial analysis of the viability of this venture shows outstanding promise and results. Several sources note that the computer tutoring business is easy to start, requires little up-front capital, and has the potential to be quite lucrative in today's high tech world.
In conclusion, this plan projects rapid growth and high net profits over the next three years. Implementing this plan, in conjunction with a comprehensive and detailed marketing plan, will ensure that EasyCOMP rapidly becomes a profitable venture for the owner.
1.1 Objectives
The objectives of this business plan are: To provide a written guide for starting and managing this computer tutoring business; a strategic framework for developing a comprehensive tactical marketing plan. The intended audience is the owner of this business only; this plan is not intended to obtain financing from outside sources. The scope of this plan is to provide detailed monthly projections for the current plan year, and yearly summaries for the following two years.
The objectives of EasyCOMP are: Profit - To generate sufficient profit to finance future growth and to provide the resources needed to achieve the other objectives of the company and its owner. (Net profit of at least 30% of sales in first year). Growth - To grow the business at a rate that is both challenging and manageable, leading the market with innovation and adaptability. Citizenship - To be an intellectual and social asset to the community and environment.
1.2 Mission
EasyCOMPs mission is simple and straightforward: Purpose EC exists to T to provide personal, simple to understand, and reliable technical assistance to school going children. EC sells solutions & results! One-on-one training. A personal coach/mentor /guide to the wonderful school going kids kid to help him achieve the desired success in school. Vision Make Computers the BEST friend for very school going kid. By providing personalized training and response, informed expertise, and consistently simple to understand but high quality knowledge, EC generates enough satisfied repeat customers to provide a stable retainer base. This generates sufficient profit to provide a comfortable living for the owner. Mission - Is to provide school going children with personalized ,customized training and program instruction - classroom or online remote - in order to improve personal productivity and achieve the desired success in school.. The short term objective is to start this company quickly and inexpensively, with a minimum of debt. The long term objective is to grow the company into a stable and profitable entity that the owner can easily and comfortably manage. Marketing Slogan - "We make Computers your best friends. Lets start playing with them "
Company Summary
EasyCOMP will be a start-up venture with the following characteristics: EC will initially be a sole proprietorship. The goal will be to start the venture as inexpensively as possible, with no debt financing. EC will be a home office start-up, utilizing one studio room in the owner's home.
ECOMP
Services
Easy COMP will offer a one on one personal computer tutoring service to the school kids and also will be made avl at their door step ,flexible to accommodate varied timings, learning structure is made easy and customized per students requirements and above personal attention is given to guarantee success. EC will offer 5 main services , as sources for Revenue.
3.2 Fulfillment
The fulfillment of services for EC is provided by the owner. The ultimate deliverable is the owner's and his teams expertise to make simple the Computer lessons , coupled with an innovative and customized teaching methods with an open mind and ease of communication that will result in the customer's complete confidence in immediate and lasting results.
Of course, EasyCOMP fits into the largest group as a sole proprietorship . The primary reason that customers would buy from EasyCOMP rather than competitors is the existing relationships that exist. Customer loyalty and satisfaction are the way to success for small service businesses such as this. Differentiation is created by : -Flexible Payment Terms. -Raising convenience factor. personal door to door Services -Lowering perceived risk for learning computers by personal attention and remote help.Payment post evidence of success. Value add by a) Offering professional COmputer maintainance Services ,professional COmputer repair with quick turnaround time. b)Providing service at Flexi Timings c) Customizing course to suit student's learning interests and capacity.
3.4 Technology
Technology is, of course, vital to the success of EC. It is imperative that the owner stay up-to-date on the latest technological developments in the computer industry. In addition, it will be important to devote a reasonable portion of each year's revenues toward upgrading the equipment and software used by EC in its normal operations.
Nos of computer facilities and teaching methods of ICSE /CBS board Schools. Computers labs, Computers/Student. Frequency of Computer Teaching sessions. Nos of Household with school going children and having Computers. High Income Families ( Level#1 ,High Profile Societies) Nos of pvt computer classes for tutoring school going children in the Vicinity. Computer consultants who perform repairs and upgrades so that I can make recommendations to my clients when necessary; in return, I should expect these consults to refer clients who are seeking instruction. Fees charges and methods of tutoring by these private classes. Textbooks the student are using and becoming familiar with the subject matter I will be covering. In some school districts I have worked closelythough informally with guidance, counselors, teachers, and administrators. Made them aware of my resume and references and asked them to recommend me to parents who seek help for their children, as appropriate.
No of Societies Avg Familes/society Total familes 40% Familes with min School kid 40% Offer to join 15% One to One 20% Balance for Tutions
25 75 1875 750 112.5 Class room Enviormnment 22.5 High Income Families 90
No of Estimated Customers
3:15 4:30 6:15 7:30 to to to to 4:15 5::30 7:15 8:30
Tutions#1 Tutor21 10 10 10 10 10 10
Tutions#2 Tutor3 10 10 10 10 10 10
Frequency
Nos
80 8 40 208000
Monthly Rate
Total
Total/Month
Under Computers - Software & Services there were 88 total listings. Thirteen of those were large companies such as [NIIT ], [EDUCOMP], and [BrightKIDS] ,4 were specialists in computer eductaion Under Pvt tutors there were 45 total listings. About half had larger listings and/or company names that implied larger size.
The conclusion is that while there a fair number of competitors in the geographic area, they are widely specialized and widely sized. None exist near to the locality where I plan to have these Tutoring classes
2. Growell Information India Pvt. Ltd Top strength - Longevity and experience, someone who has been in the business locally a long time. Primary weakness - Slow response and an unwillingness to take on new customers.
3.Computer Kids Top strength Excellent teaching staff. Good Facilities /Enviornment Primary weakness Focusses on Multimedia , Games No school curriculum
While larger companies tend to look for College going students, Corporates, the home business/small business owner tends to favor the personal relationship that can develop with the smaller tutoring firm. Several parents of school going children very much preferred having a tutoring class nearby to their homes (child safety) and dealing with a person they knew through prev references and who existed in the nearby locality. This leads to another very important buying pattern. Customers who have established a relationship with a computer tutor tend to stay very loyal as long as the service and results remain acceptable. This will be critical to the success of a new company like EC.
128
140
2010
2011
2012
3,397,476.11 3,235,691.53
2,941,537.76
2010
2011
2012
5.7 Milestones
The milestones listed in the table below outline primarily the tasks needed to develop this business plan and get the start-up business to opening day. The milestones table in the marketing plan will be a more comprehensive listing of the tasks involved in promoting and sustaining EC's business. Milestone Research the right business Test assumptions Determine the right business Prepare personal financials Decide on target customers Know the industry Decide on location Select business name Secure location Establish business contacts Expand information base Establish good information flow Research demographic info Establish financial objectives Establish pricing strategy Establish sales forecast Determine capital needs Prepare marketing plan Prepare balance sheet Prepare for opening Check all systems Opening final prep Totals Start Date 10/01/2010 09/02/2010 24/02/2010 09/02/2010 24/02/2010 24/02/2010 24/02/2010 24/02/2010 24/02/2010 11/03/2010 10/04/2010 11/03/2010 24/02/2010 10/04/2010 25/04/2010 10/04/2010 10/04/2010 10/05/2010 10/05/2010 09/06/2010 09/07/2010 24/07/2010 Days reqd 30 15 7 10 15 15 15 15 15 30 30 30 45 15 30 30 30 30 30 30 15 15 End Date 09/02/2010 24/02/2010 03/03/2010 19/02/2010 11/03/2010 11/03/2010 11/03/2010 11/03/2010 11/03/2010 10/04/2010 10/05/2010 10/04/2010 10/04/2010 25/04/2010 25/05/2010 10/05/2010 10/05/2010 09/06/2010 09/06/2010 09/07/2010 24/07/2010 08/08/2010 Budget 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 10,000.00 0.00 0.00 5,000.00 15,000.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 30,000.00 Manager Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner Owner
Break-even Analysis
Total Sales Variable Operating Expenses (Minus) Contribution Margin (Equals) Calculate Contribution Margin Percentage (Contribution Margin / Total Sales)
Total Fixed Costs
0.85
940,350.00
1,106,294.12 11
INCOME STATEMENT:
EasyCOMP
Income Statement
INCOME Cash Sales Total Gross Income TOTAL NET INCOME
OPERATING EXPENSES Salaries and Wages Owner's Compensation+ Salaries Payroll Taxes Employee Benefits Total Salaries and Wages Business Expenses Advertising & Promotion Legal Fees Maintenance & Repairs Printing Supplies Taxes & Licenses Telephone & Internet Travel & Entertainment Utilities Vehicle Expenses Total Business Expenses TOTAL OPERATING EXPENSES Net Income Before Taxes Less Income Taxes NET PROFIT/LOSS
72,000.00 26,000.00 13,000.00 13,000.00 26,000.00 2,600.00 42,250.00 65,000.00 26,000.00 6,500.00 292,350.00 1,312,850.00 2,649,187.76 1,059,675.10 1,589,512.65
79,200.00 28,600.00 14,300.00 14,300.00 28,600.00 2,860.00 46,475.00 71,500.00 28,600.00 7,150.00 321,585.00 1,490,935.00 2,914,106.53 1,165,642.61 1,748,463.92
83,160.00 30,030.00 15,015.00 15,015.00 30,030.00 3,003.00 48,798.75 75,075.00 30,030.00 7,507.50 337,664.25 1,677,769.25 3,059,811.86 1,223,924.74 1,835,887.12