Final Bussiness Draft

Section 4
Team 5
Fall 2019
Business Plan
Chameleon Virtual Solutions, L.L.C
Chameleon creates virtual reality systems for businesses to assist with employee training.
Savannah Baldwin baldwisl@dukes.jmu.edu
Sarah Gotthold gotthose@dukes.jmu.edu
Vincent Hoang hoangvn@dukes.jmu.edu
Elizabeth Hunter hunte2em@dukes.jmu.edu
Matthew Kapusta kapustmd@dukes.jmu.edu
Thomas Knupp knupptj@dukes.jmu.edu
Lunden Steckline steckllk@dukes.jmu.edu

Executive Summary
[Chameleon Virtual Solutions]
[Savannah Baldwin]
[56 Middlesex Turnpike Burlington, MA 01803]
Phone: [(804)-836-4826]
E-mail: [baldwisl@jmu.edu]
Business Description: Chameleon Virtual

Management: Solutions is an L.L.C that is headquartered in
Titles: General Manager, Marketing Manager, Boston, Massachusetts. Chameleon delivers low-
and Reginal Operations Manager cost virtual training systems for businesses
throughout the United States. The goal of
Industry: Chameleon is to provide virtual reality
51121 Software publishing in the U.S. technologies for companies that will implement
54151 Consulting through IT software the training and orientation programs for their
54161 Management consulting in the U.S. employees.
Services: Our company provides training
programs to retailers, manufacturers, and private
Number of Employees: 49
education institutions priced at $22,000,
respectively. Each service will cost us $4,929.50
Amount of Financing Sought: in labor hours, travel costs, and facilitated goods
$5,700,000 (Oculus headsets cost an average of $300 each).
Our projected sales volume is 562 units.
$700,000 from Personal Investments Competitive Advantage: At Chameleon, our
$5,000,000 from Venture Capital competitive advantage is cost leadership, our
ability to create low-cost systems that effectively
Investment Sources: satisfy our customer's needs.
Venture Capital and Personal Investments Markets: Our primary target markets are
manufacturing, retail companies, and private
Use of Funds: Employee salaries, rent and universities on the East and West coast with
utilities, marketing, equipment, materials, plans of expanding into the Midwest. There are
transportation and accommodation expenses over of 3,999 retail companies, 885 private
universities, and 303,536 manufacturing
Product/service selling price: $22,000 companies on the East Coast. On the West
Cost, there are 2,940 retail companies, 304
private universities, and 211,112 manufacturing
companies (List of manufacturing, 2019).
Distribution Channels: We will be selling our service directly and indirectly to our customers on the East
and West Coast through sales associates and our website, respectively.
Competition: Our direct competitor is STRIVR. They are currently providing virtual training technologies
for companies and sports teams. STRIVR is a dominant competitor in the market with customers across the
United States. Other competitors include Viar360, Next/Now, AVR Spot, and Jasoren who provide VR
training programs across multiple industries.
Financial Projections (Unaudited):

2020 2021 2022 2023 2024
Revenue: $4,928,000 $13,816,000 $20,042,000 $43,230,000 $55,373,000
EBIT: ($501,872) $3,826,800 $6,551,955 $19,753,066 $27,746,843
Elevator Pitch
The days of lengthy mind-numbing lecture-style training is coming to an end. In a 2017 study carried out by
the National Training Laboratory, virtual reality learning had a retention rate of 75% compared to only a 5%
retention rate from lecture-style learning (Masie, 2017). At Chameleon Virtual Solutions, we eliminate the
traditional, laborious task of lecture-style training by creating customized virtual reality systems for companies
across the United States.
Service Description
Chameleon Virtual Solutions provides virtual reality technologies to help businesses implement the training
and orientation of employees. Our company has dedicated templates to expedite our deliverables. In addition,
we purchase headset packages for the virtual systems from Oculus. As a result, we will be able to convert our
client's current training programs into a virtual system as efficiently as possible.
Competitive Advantage
At Chameleon Virtual Solutions, our competitive advantage is cost leadership. We achieve this by creating
simplified templates that our clients choose to best fit their training needs. Through cost leadership, in the
short term, we offer a less expensive system than what our competitors provide. In the long run, we produce
effective virtual reality systems while keeping our prices low.
Value Proposition
The most significant value of Chameleon Virtual Solutions is reducing the risk of traditional training
programs. We offset these current risks with safer, cheaper, and more efficient alternatives through our
virtual systems.
3
Business Strategy
We are committed to creating virtual systems at a low cost that will result in an efficient alternative to
traditional training procedures. The templates differentiate our operational decisions by providing a structural
base for each training program. The templates selected will vary depending on the company's training
requirements and will be further customized specifically to their needs.
Business Location
Cha e e headquarters is located outside of Boston in Burlington, Massachusetts with a satellite office in
Los Angeles. Due to the close proximity of innovative companies (General Electric, TJX, Paramount) and
private universities (MIT and Stanford) we are able to interact with our customers for face-to-face meetings
and installations.
Outsourcing
We will be outsourcing our headsets from Oculus, a trusted Virtual Reality technology company. It cost
Oculus 2.5 million dollars to produce the first market-ready headsets (Nealing, 2018). In order to avoid these
costs from producing the VR headsets in-house, we will purchase our headsets directly from Oculus.
Financial Performance
Chameleon witnessed a positive gross profit over each year we were in service. Net income was negative for
year 2020 but steadily increased in the following years. As we expand our company internationally, we expect
our sales to grow.
4
Exhibit 1: Organizational Chart
General Manager
1 FTE
Marketing Manager Accountant IT Specialist* HR Associate Web Developer

1 FTE 2 FTE 4 FTE 1 FTE 1 FTE
Talent Recruiter
1 FTE
Customer Service
Sales Associate* Marketing Associate
Representative*
5 FTE 4 FTE
5 FTE Regional Operations Regional Operations
Manager, Boston Manager, LA
1 FTE 1 FTE
Administrative Administrative
Assistant, Boston Assistant, LA
1 FTE 1 FTE
Onsite Support
Software Developer Media Arts Designer
Technician
4 FTE 5 FTE
3 FTE
Onsite Support
*There will be 3 Sales Associates allocated to the Boston HQ and 2 Sales Software Developer Media Arts Designer
Technician
Associates allocated to the LA office. 3 Customer Service Representatives 3 FTE 3 FTE
2 FTE
will also be allocated to the Boston HQ and the other 2 will be allocated
to the LA office. The IT Specialists will be distributed evenly amongst the
two locations. There will be 3 teams in Boston and 2 teams in LA. A team
consists of 1.5 media arts designer and 1.5 software developer, on
average.
5
Exhibit #2: Employee Costs Chart
CHAMELEON VIRTUAL SOLUTIONS LLC 2021 (BY END OF YEAR TWO)

Position Wage Range Second Year Pay Mandatory Payroll Benefits Total cost per Total Costs All
Deductions Position Employees
FICA- $14,307 health-$17,000
FUTA-$42 IRA-$19,200
General Manager $15,000-$342,000 $400,000 + $80,000 bonus = $480,000 $601,608 $601,608
SUTA-$363 *other benefits/
WC-$706 explanations
FICA-$6,082 health-$17,000
FUTA-$42 IRA-$3,180
Accountant (2-FT) $60,000-$70,000 $75,000+$4,500 bonus =$79,500 SUTA-$363 *other benefits/ $165,248 $330,496
FICA-$6,025 health-$17,000
FUTA-$42 IRA-$3,150
Web Developer $60,000-$100,000 $68,000+ $3,750 bonus= $71,750 SUTA-$363 *other benefits/ $164,389 $164,389
FICA-$6,082 health-$17,000
Information Technology Specialist FUTA-$42 IRA-$3,180
$50,000-$85,000 $75,000+$4,500 bonus =$79,500 SUTA-$363 *other benefits/ $165,248 $660,992
(4-FT)
FICA-7,776 health-$17,000
FUTA-$42 IRA-$4,066
Human Resources Associate $50,000-$100,000 $95,000+$6,650 bonus= $101,650 SUTA-$363 *other benefits/ $190,621 $190,621
FICA-$5623 health-$17,000
FUTA-$42 IRA-$2,940
Talent Recruiter $60,000-$85,000 $70,000+$3,500 bonus =$73,500 SUTA-$363 *other benefits/ $158,375 $158,375
FUTA-$42 IRA-$5,328
Marketing Manager $65,000-$140,000 $120,000+$13,200 bonus=$133,200 SUTA-$363 *other benefits/ $225,850 $225,850
$50,000+$1,050 bonus=$51,050 **not including FUTA-$42 IRA-$2,060
Sales Associate (5-FT) $40,000-$55,000 SUTA-$363 *other benefits/ $133,174 $665,870
commission
FUTA-$42 IRA-$2,184
Marketing Associate (4-FT) $40,000-$60,000 $53,000+$1,590 bonus= $54,590 $136,713 $546,852
FICA-$2,758 health-$17,000
Customer Service Representative FUTA-$42 IRA-$1,442
$30,000-$40,000 $35,000+$1,050 bonus=$36,050 SUTA-$363 *other benefits/ $115,275 $576,375
(5-FT)
FICA-$9,278 health-$17,000
Regional Operations Manager FUTA-$42 IRA-$5,328
$85,000-$95,000 $120,000+$13,200 bonus=$133,200 SUTA-$363 *other benefits/ $225,850 $451,700
(2 -FT)
FICA-$3,782 health-$17,000
FUTA-$42 IRA-$1,978
Administrative Assistant (2-FT) $45,000-$50,000 $48,000+$1,440 bonus = $49,440 SUTA-$363 *other benefits/ $130,801 $261,602
FICA-$5,222 health-$17,000
FUTA-$42 IRA-$2,730
Onsite Support Technician (5-FT) $30,000-$50,000 $65,000+$3,250 bonus=$68,250 $152,361 $761,805
FICA-$6,082 health-$17,000
FUTA-$42 IRA-$3,180
Media Arts Designer (8-FT) $50,000-$90,000 $75,000+$4,500 bonus =$79,500 $165,248 $1,321,984
FICA-$7,776 health-$17,000
FUTA-$42 IRA-$4,066
Software Developer (7-FT) $55,000-$90,000 $95,000+$6,650 bonus= $101,650 $190,621 $1,334,347
TOTALS $4,045,040 339,456 $995,174 $2,921,382 $8,252,866
Explanations:
*Benefits: 21 days annual paid vacation, 5 paid personal/sick days (can accumulate), Individual health insurance $17,000, life insurance $50,000
term coverage incudes with health, IRA 4% of annual salary, maternity/paternity leave 12 weeks paid, paid lunch every Friday
**Commissions: sales associates can earn a commission of 5% of net sales 6
Exhibit #3: Market Segmentation and Targeting in Year 1
Priority
Size (# of People or Households
Target Name Growth Projection Description level for Justification for Targeting
in Segment)
targeting
We chose this segment due to the willingness of

CAGR of 33.47% over Private colleges and universities located along
Private Universities 829 Private Universities along the private institutions to try and adapt new technology
the next five years the East Coast with an emphasis on technonlogy 3
along the East Coast East Coast (CollegeSimply, 2019) and teaching methods to better their students
(Wood, 2019) and the modern age of education.
experiences (Wood, 2019).
This segment was chosen due to the benefits that VR

can have on employee training in manufacturing
243,413 Manufactoring Companies processes. These technologies provide a safer and
Manufacturing 98.9% over four years Employee heavy manufacturing companies
along the East Coast (List of more efficient alternative to the training
Companies along (Frost & Sullivan, along the East Coast such as the automobile and 1
manufacturing companies in the manufacturing employees undertake. The large
the East Coast 2018, August) textiles industries.
east coast, 2019) increase in growth projections allow for an endless
amount of opportunity for our company (Cook, A.V.,
Jones, R., Raghavan, A., & Saif, I., 2017, December 5).
3,716 Retail Companies This target was created to establish a simplified

Retail Companies Headquartered along the East Coast 45.7% in the next six Large retail companies Along the East Coast, training process for retail industries. Retail includes
Headquarters along (List of retail companies years (Kenneth looking to improve thier training programs in a 2 a broad range of jobs, opening up great opportunity
the East Coast headquartered in the east coast, Research, 2019, April) more safe and efficient way. for our company to implement our customized
2019)
service (Cook et al., 2017, December 5).
7
Exhibit #4: Market Quantification
Unit Price or
Tot Mkt Potential (# Market Annual Unit Annual $
Year Mkt Growth Projection** Product Weighted
Customers)* Share*** Sales Revenue
ASP
24.7% Manufaturing 7.62% Retail 6.7% Virtual Reality Manufacturing Training Programs.
Private Universities Virtual Reality Retail Service Training Programs. Virtual Reality education programs for
Year 1 247,958 0.444% Private Universities. 224 $22,000.00 $4,928,000
Year 4 1,350,306 1.090% Private Universities. 1,965 $22,000.00 $43,230,000
Year 5 1,681,244 1.230% Private Universities. 2,517 $22,000.00 $55,374,000
* H did de e i e a ke e ial? Ide if ke ce a d a i h calc la i .

Manufacturing Companies
East Coast West Coast Midwest Total Mkt Potential by Year
Year 1 243,413 (found in Exhibit - - 243,413
3)
Year 2 243,413 x 1.247 = 303,536 169,296 x 1.247 = 211,112 - 514,648
Year 3 303,536 x 1.247 = 378,509 211,112 x 1.247 = 263,257 - 641,766
Year 4 378,509 x 1.247 = 472,001 263,257 x 1.247 = 328,281 429,018 x 1.247 = 534,985 1,335,267
Year 5 472,001 x 1.247 = 588,586 328,281 x 1.247 = 409,367 534,985 x 1.247 = 667,126 1,665,079
Retail Headquarters
Year 1 3,716 (found in Exhibit 3) - - 3,716
Year 2 3,716 x 1.0762 = 3,999 2,732 x 1.0762 = 2,940 - 6,939
Year 3 3,999 x 1.0762 = 4,304 2,940 x 1.0762 = 3,164 - 7,468
Year 4 4,304 x 1.0762 = 4,632 3,164 x 1.0762 = 3,405 4,287 x 1.0762 = 4,613 12,650
Year 5 4,632 x 1.0762 = 4,985 3,405 x 1.0762 = 3,665 4,613 x 1.0762 = 4,965 13,615
Private Universities
Year 1 829 (found in Exhibit 3) - - 829
Year 2 829 x 1.067 = 885 285 x 1.067 = 304 - 1,189
Year 3 885 x 1.067 = 944 304 x 1.067 = 324 - 1,268
Year 4 944 x 1.067 = 1,007 324 x 1.067 = 346 971 x 1.067 = 1,036 2,389
Year 5 1,007 x 1.067 = 1,075 346 x 1.067 = 369 1,036 x 1,067 = 1,106 2,550
To find the total market potential of each year, we added the total market potential in each segment by year. For
example, in Year 2 we would add 514,648 (from the manufacturing segment) + 6,939 (from the retail segment) + 1,189 (from the private university segment) to get
the total of 522,776 potential customers for that year.
To find our total market potential in Year 1, we found the initial size of target markets along the East Coast in the manufacturing, retail, and private university sectors
from Exhibit 3 and added them together. For Year 2 through Year 5, we calculated the total by multiplying the market growths for manufacturing, retail, and private
universities by their previous years market potential and added the products together. In years 2 and 3, we added an office in the West Coast which increased out
potential customers substantially as seen in the calculations. Years 4 and 5 were approached the same way as previous years, however, we expanded our business
again, into the Midwest which increased the number or potential customers. Adding the number 1 in front of all the growth potentials for each sector makes
calc la ion mo e effec i e a he calc la o kno he add he ma ke g o h o he p e io ea ma ke po en ial.
** Actual market or market potential. How did you determine the growth projection(s)? Identify key sources and assumptions.
Our growth projections were found from Exhibit 3 as well. Our manufacturing statistic was found from a report by Frost & Sullivan that forecasted virtual reality "to
increase by 98.9% between 2017 and 2021" (2018, August). We had to divide the statistic by four since the forecast was four years. This gives us, .989/4 = 0.247 or
24.7%. Another report we found, by Kenneth Research, gave us the retail growth statistic which forecasted augmented reality to increase by 45.7% from 2019-2025
(2019, April). The growth every year was calculated by .457/6 = 0.0762 or 7.62%. Lastly, for the private university sector, we found an article written by Laura Wood
(2019) that established the growth of virtual reality to be 33.47% over the next 5 years. Our annual market growth was found by .3347/5 = 0.067 or 6.7%.
*** How did you determine your market share? Indicate key sources and assumptions.
We determined market share by dividing our yearly revenue with the virtual reality software market revenue for that same year. To do this we used Statista.com
(Shanhong, 2018).
**** How did you determine your unit forecast? Indicate key sources and assu i h calc la i !
To determine unit forecast we used average unit pricing. We have calculated our average price per unit to be $22,000. The calculations for year 1 were [224 *
$22,000] = $4,928,000, The calculations for year 2 were [628 * $22,000] = $13,816,000, The calculations for year 3 were [911 * $22,000] = $20,042,000, The
calculations for year 4 were [1,965 * $22,000] = $43,230,000, The calculations for year 5 were [2,517 * $22,000] = $55,374,000.
Fcst by
month Units Revenue ($)
Jan '20 19 $418,000
Feb 19 $418,000 Break Even:
Mar 18 $396,000
Apr 19 $418,000 Variable Cost: $3,868.00 : Headset cost, travel cost, labor cost
May 19 $418,000 Fixed Cost: $3,040,133
Jun 18 $396,000 x = number of units sold
Jul
Aug
19
19
$418,000
$418,000
22,000(x) = 3,040,133 + 3,868(x) 8
Sep 18 $396,000 Break Even Point = 168 projects / units
Oct 19 $418,000
Nov 19 $418,000
Dec 18 $396,000
Exhibit #5: Positioning/Competitive Analysis
Positioning Statement: The major competitors for Chameleon Virtual Solutions include STRIVR, Viar360,
Next/Now, AVR Spot, and Jasoren. These companies provide services with a range of prices and lead times. Our
competition builds highly customizable products from scratch for each of their customers, an expensive and time-
consuming process. STRIVR, our leading competitor, charges their customers an average of $35,000. A customer
will wait a month before receiving their product from STRIVR. On the other hand, Viar360 leases the platform for
their customers to create their own virtual reality programs starting at a monthly rate of $500. They boast that they
have a quicker and cheaper VR solutions, but the typical customer experience would suggest otherwise. Viar360 (as
well as AVR Spot, Next/Now, and Jasoren) typically costs customers between $28,000-$35,000. They also have an
average estimated lead time of 2 weeks to 2 months.
Strengths: Chameleon Virtual Solutions creates quality training programs for our customers in a timely manner at
a lower price point. The use of templates expedites our process of implementing the software into the headsets. A
major strength of our company is our employees. We pay above the industry average and offer excellent benefits,
attracting the best talent.
Weaknesses: As a startup company, Chameleon may not appear as credible to potential customers when in
comparison to our competitors. This is another potential barrier when hiring our staff due to our lack of
experience as a business.
Opportunities: There is an increasing need for better employee training programs in companies. Chameleon
offers a service that directly resolves this issue. There is a lack of competition along the East coast, which is where
our headquarters is located.
Threats: Chameleon's West Coast office is located in an area where STRIVR has a heavy influence, as they are
located in Menlo Park. Our competitors are well-established and have big name customers that can sway potential
clients. A possible, but unlikely, threat is the change in customer preference away from non-traditional
technologies such as virtual reality.
9
Exhibit #6: Marketing Mix
Service Branding
Just like a Chameleon changes colors to adapt to their surroundings, Chameleon Virtual Solutions enables companies to invest
in their employees and their vision with our custom virtual reality training services. Our slogan, "Adapting to your
surroundings" reflects our mission of helping companies improve their employee training and remain up to date in a fast-paced
technological world. Our branding strategy is a family branding approach. Each headset will be repackaged with our logo and
name on it to promote awareness of our company. Within the market we are in the Introduction stage of our service life cycle.
Pricing
2020 2021 2022 2023 2024
Unit Variable Cost: $ 300.00 $ 300.00 $ 300.00 $ 300.00 $ 300.00
Wholesale Price: $ 3,868.00 $ 3,868.00 $ 3,868.00 $ 3,868.00 $ 3,868.00
Retail Price: $ 22,000.00 $ 22,000.00 $ 22,000.00 $ 22,000.00 $ 22,000.00
We are using a negotiated based pricing strategy. The retail price reflects the average total prices for each VR training program
which varies with the amount of complexity when customizing the template. The unit variable cost is the average cost of the
VR headsets obtained from Oculus. The wholesale price is a combination of the cost of an average of five headsets used per
program at an average of $300 each (Oculus, 2019), the travel costs per project and the labor hour cost from the employees
directly work on the product (media arts developers, software developer and onsite support technician), calculated from their
annual salary and the amount of time spent on the developing the product, with an average time of four days and five and a half
hours for each project.
Distribution/Location Strategy
Chameleon Virtual Solutions uses an exclusive and direct method of distribution. Once the program is completed, the onsite
support technician personally delivers and demonstrates the training program to the client. In order to minimize travel costs
and maximize client relationships, Chameleon has an office in each region for convenient access to our target market of
manufacturers, retailers, and private universities.
Promotion/Strategy
(in thousands of $)
2020 2021 2022 2023 2024
Total IMC Budget: $334.5 $824.5 $2,078.5 $3,643 $4,155
Advertising Exp: $300 $750 $2,000 $3,500 $4,000
Sales Promo Exp: $28 $62 $66 $124 $136
PR Exp: $6.5 $12.5 $12.5 $19 $19
In order to create awareness and educate companies on the benefits of VR training, Chameleon will run print advertisements in
Wired (Wired Media Group, 2016), Bloomberg Businessweek (Bloomberg Media Group, 2019) and Harvard Business Review
to target manufacturing and retail businesses. We will be an exhibitor at ITEXPO in Fort Lauderdale in which we will reach
over 6,700 attendees and have a social reach of 15,000 (Boulanger, 2018). We will also present at Training magazine's training
conference and expo (Training Magazine) and other conferences around the United States which is included in our PR
expenses. Chameleon will also directly visit potential clients and demonstrate our service with a sample manufacturing, retailing
or university training experience. Our budget increases each year to reach our new target markets during our expansion.
# of Salespeople: 2 5 7 13 16
(50K Salary + 5%
Compensation Method: commission)
The sales associates visit potential clients with a sample of our VR service to bring awareness of the technological advances in
training services. We will exercise typical sales techniques like cold calling, along with our face-to-face business visits to sell our
virtual solutions. Each year our sales team will grow to meet our expanding demand for our service. Chameleon offers our sales
associates a 5% commission rate as an incentive for bringing in as many clients as possible.
10
Exhibit #7: Flow Chart
Create Order
Film & Process

Media (2.5/per
week) B1
Headsets
Customize
Template
(5/per week) F1 Q1
Load & Test Continue

Program Issues Found Development
(10/per week) (10/per week)
F2 Q2
No Issues
Pack Devices Finished

(80/per week) Goods Delivery and Demo Send Invoice
F3 (5/per week) Q3 (40/per week)
For each major quality step:

Quality What is measured? How often? How will you ensure quality?
Step
Q1 The headsets functionality Whenever we receive an By doing an early check of the equipment so that we can
and quantity. order. take issues up with the vendor if need be.
Q2 The f a f a e When we finish By checking for functionality and an errors so that we
functionality. developing the product. can continue developing if needed.
Q3 Customer satisfaction. When we deliver the We will demo the product and get feedback. If there are
product. any issues we will amend the product.
For each critical failure point:
Failure Point Brief description How will you prevent this failure? How will you recover if this failure occurs?
F1 There is the potential that we By checking our orders when we We will check our headsets and contact the
receive an incorrect order or receive them. vendor to replace any faulty products.
defective products.
F2 The program might not work as By checking the software for We will continue developing the software to
intended. functionality and errors. correct any errors.
F3 When the customer sees the By demoing the product for the We will continue to develop the software to fix
finished product, they might not c e e e e e e he their concerns or any errors that appear.
think it suites their needs. Or it needs with an error free product.
might not work properly.
11
Operations Exhibit 8: Quality Assurance
Indicate the Why is this dimension important, given your Identify the Quality
Dimensions of industry & target market? Step(s) on the Process
Quality on Flowchart / Service
which you will Blueprint to which this
focus. corresponds.
Serviceability Since we are in such a new market with few competitors, it Q3
is important for us to emphasize excellent customer
service when consulting with customers on how our
services work. Not too many businesses are aware of using
virtual technology as a training resource, so we will focus
on this dimension when the installation consultant
provides the customer with a demo on our VR training
solutions to ensure a proper understanding of navigating
oneself through the headset.
Reliability It is important for our customers to trust our services, Q1, Q2
knowing that it will not break or freeze on them anytime.
A reliable service will generate positive reviews and
comments, which will then give us more credibility when
working with other businesses and consumers.
Use the space below to describe any additional Proactive Quality Assurance Plans that are
not connected to a specific activity on your Process Flowchart / Service Blueprint.
We will hire graduates from prestigious schools such as Harvard, MIT, and Boston College, as well as
young professionals from the northeastern and western region. All employees will be trained to
perform to our standards of quality. Managers and supervisors will be overseeing the development
process, marketing, and operations.
Describe any reactive quality assurance plans. Include a recovery plan should a customer
receive poor quality goods and/or services.
For unsatisfied customers, we will ask for their feedback on what we can improve or what they want
d e d ffe e a d he ec f g e he ga be e ee he c e eed .
If you will utilize a quality/process improvement methodology, indicate which:

☐ NA ☒ TQM ☐ Six Sigma ☐ ISO ☐ Benchmarking
☐ Other (specify what):
Note: You will not use all of them; only those with highest relevance.
Provide a specific explanation of how your chosen quality methodology relates to your
business and how it will be applied:
As time goes on and we get more feedback from customers, we will use that feedback to make small
changes and improvements in our system to achieve more effective services and better customer
satisfaction. Since we are competing in such a new industry, it is important for us to really listen to
what our customers say about our services and to improve on it as needed.
12
Operations Exhibit 9B: INVENTORY & SUPPLIER SELECTION FOR FACILITATING GOODS
Item(s) Supplier Reason for selecting this supplier Supplier Frequency of System of Mode(s) of
Name & lead replenishment Management Transportation
Location time (in (in days)
days)
Oculus Go Oculus If there are any issues that arise from shipping the goods, we 2 days As needed Fixed Order ☒ Highway ☐ Rail
Menlo Park, can directly deal with the issue with Oculus themselves instead based upon Interval ☐ Waterway ☒ Air
CA, USA of a middleman reseller. demand.
Oculus Quest Oculus Same reasoning as the Oculus Go. 2 days As needed Fixed Order ☒ Highway ☐ Rail
Menlo Park, based upon Interval ☐ Waterway ☒ Air
CA, USA demand.
SUMMARY OF RESOURCES AND THEIR SHIFT PATTERNS
Types of resources used Total hours required # of operating # of full time (FT) resources # of part time (PT) resources Shift pattern(s)
per week (for each days/week required required
type of resources)
Year 1
General Manager 40 5 1 0 Mon-Friday 9am-5pm
Marketing Manager 40 5 1 0 Mon-Friday 9am-5pm
HR Associate 40 5 1 0 Mon-Friday 9am-5pm
Regional Operations Manager 40 5 1 0 Mon-Friday 9am-5pm
Accountant 80 5 2 0 Mon-Friday 9am-5pm
Web Developer 40 5 1 0 Mon-Friday 9am-5pm
IT Specialist 80 5 2 0 Mon-Friday 9am-5pm
Talent Recruiter 40 5 1 0 Mon-Friday 9am-5pm
Sales Associate 80 5 2 0 Mon-Friday 9am-5pm
Marketing Associate 80 5 2 0 Mon-Friday 9am-5pm
Customer Service 80 5 2 0 Mon-Friday 9am-5pm
Representative
Administrative Assistant 40 5 1 0 Mon-Friday 9am-5pm
Onsite Support Technician 80 5 2 0 Mon-Friday 9am-5pm
Development Team* 240 5 6 0 Mon-Friday 9am-5pm
Year 5
General Manager 40 5 1 0 Mon-Friday 9am-5pm
Marketing Manager 40 5 1 0 Mon-Friday 9am-5pm
HR Associate 40 5 1 0 Mon-Friday 9am-5pm
Regional Operations Manager 120 5 3 0 Mon-Friday 9am-5pm
Accountant 120 5 3 0 Mon-Friday 9am-5pm
Web Developer 40 5 1 0 Mon-Friday 9am-5pm
IT Specialist 240 5 6 0 Mon-Friday 9am-5pm
Talent Recruiter 40 5 1 0 Mon-Friday 9am-5pm
Sales Associate 640 5 16 0 Mon-Friday 9am-5pm
Marketing Associate 240 5 6 0 Mon-Friday 9am-5pm
Customer Service 640 5 16 0 Mon-Friday 9am-5pm
Representative
Administrative Assistant 120 5 3 0 Mon-Friday 9am-5pm
Onsite Support Technician 640 5 16 0 Mon-Friday 9am-5pm
Development Team* 1920 5 48 0 Mon-Friday 9am-5pm
*One development team consists of at least 1.5 software developer and 1.5 media arts designers, on average. There will
be two dedicated media arts designers and software developers who will be able to work in between teams. Chameleon
Virtual Solutions will be open Monday through Friday from 9am 5pm. Employees are required to work 40 hours a
week. In Year 1, the Regional Operations Manager is in the Boston HQ. By Year 5, one Regional Operations Manager
will be in the Boston HQ, another in the LA office, and the third one in the Chicago office. The same applies with the
Administrative Assistants.
13
Exhibit #10: Capacity
Demand Capacity Utilization Hours of Bottleneck name How will you manage /adjust the bottleneck to ensure
(per week) (per week) (%) Operation and description you can appropriately serve or supply your customers?
(per week)
At the end of Year 1 4.48 7 64% 40 B1 Filming and We will start with 2 media arts designers in two teams. We
Processing Media also will have another Media arts designer that can work
between the teams.
At the end of Year 2 12.56 17.5 71.77% 40 B1 Filming and We will add 8 media arts designers (5 for our East Coast
Processing Media office, and 3 for our West Coast)
Processing Media office, and 5 for our West Coast)
Processing Media office, 6 for our West Coast, and 6 for our Midwest)
At the end of Year 5 50.34 56 89.89% 40 B1 Filming and We will add 25 media arts designers (9 for our East Coast
Processing Media office, 8 for our West Coast, and 8 for our Midwest)
Show your calculations for the following parameters at the end of Year 1.
Hours of Demand/month Demand/week Capacity/month Capacity/week Utilization
operation/week
8 hours * 5 days = 40 224 customers per 18.667 customers per 7 projects per week (1 team = 3.5 projects/week) 4.48/7 = .64 or 64%
hours/week year/12 months = 18.667 month/4 weeks = 4.48 * 4 weeks = 28 2 teams = 7 projects/week
customers/month customers/week projects/month
Additional resources (beyond your bottleneck) must be allocated appropriately to support operations. Identify which resources have a significant impact on capacity
at start up and describe why these are appropriate amounts of resources at start up.
Determining the right amount of media arts designers needed on a project is critical. A team consists of one media developer, and one software engineer. We will also have additional
media arts designers that will work between teams to help facilitate quicker development. We will have 2 teams at startup (3 software developers, and 3 media developers) to meet our
initial demand, as well as developing a library of scripts, program templates, and media to use for future projects.
Describe adjustments you will make as resource requirements vary with time. Be specific regarding which key resources (beyond your bottleneck) will be adjusted,
when and how. If you will make multiple adjustments, explain each.
I a e ha e a e a ae de e de a e de e g e e ce ha e ca e ed e ce e he f e. A , e add f ae
developers, sales associates, and onsite technicians as we grow to keep up with our demand.
How will you manage seasonality? If your organization does not have seasonal demand, please check this box: ☒NA
14
Exhibit #11: Income Statement
Chameleon Virtual Solutions

Pro Forma Income Statement
Date Ending Date Ending Date Ending Date Ending Date Ending
2020 % 2021 % 2022 % 2023 % 2024 %
Sales Revenue (1) $ 4,928,000 100.00% $ 13,816,000 100.00% $ 20,042,000 100.00% $ 43,230,000 100.00% $ 55,374,000 100.00%
COGS (2) 336,000 6.82% 942,000 6.82% 1,366,500 6.82% 2,947,500 6.82% 3,775,500 6.82%
Gross Profit $ 4,592,000 93.18% $ 12,874,000 93.18% $ 18,675,500 93.18% $ 40,282,500 93.18% $ 51,598,500 93.18%
General and Administrative Expenses

Salaries and Wages $ 2,053,739 41.67% $ 3,613,879 26.16% $ 4,369,474 21.80% $ 7,178,222 16.60% $ 8,358,075 15.09%
Payroll Tax Expenses 174,956 3.55% 326,704 2.36% 402,153 2.01% 674,944 1.56% 787,717 1.42%
Employee Benefits and Retirement 1,911,224 38.78% 3,711,739 26.87% 4,611,590 23.01% 7,838,152 18.13% 9,187,194 16.59%
Commissions Expense (7) 236,500 4.80% 662,200 4.79% 962,500 4.80% 2,075,700 4.80% 2,658,700 4.80%
General Insurance Expense (5) 1,594 0.03% 3,188 0.02% 3,188 0.02% 4,782 0.01% 4,782 0.01%
Depreciation Expense (3) 0.00% 20,568 0.15% 36,923 0.18% 44,837 0.10% 67,322 0.12%
Rent Expense 121,344 2.46% 232,344 1.68% 232,344 1.16% 332,344 0.77% 332,344 0.60%
Travel, Meals, and Entertainment 173,600 3.52% 486,700 3.52% 706,025 3.52% 1,522,875 3.52% 1,950,675 3.52%
Website Expense 750 0.02% 750 0.01% 750 0.00% 750 0.00% 750 0.00%
Advertising and Promotion Expense 334,500 6.79% 824,500 5.97% 2,078,500 10.37% 3,643,000 8.43% 4,155,000 7.50%
Fees & Licenses (4) 1,000 0.02% 13,090 0.09% 13,090 0.07% 13,165 0.03% 13,165 0.02%
Office Expense 72,665 1.47% 69,538 0.50% 49,508 0.25% 112,163 0.26% 75,433 0.14%
Utilities Expense 12,000 0.24% 24,000 0.17% 24,000 0.12% 36,000 0.08% 36,000 0.07%
Total General & Administrative Expenses $ 5,093,872 $ 9,989,200 $ 13,490,045 $ 23,476,934 $ 27,627,157
Earnings Before Interest and Taxes $ (501,872) -10.18% $ 3,826,800 27.70% $ 6,551,955 32.69% $ 19,753,066 45.69% $ 27,746,843 50.11%
Interest Expense 50,999 1.03% 45,219 0.33% 33,700 0.17% 21,470 0.05% 8,485 0.02%
Earnings Before Taxes $ (552,871) -11.22% $ 3,781,581 27.37% $ 6,518,255 32.52% $ 19,731,596 45.64% $ 27,738,358 50.09%
Income Tax Expense 0.00% 0.00% 0.00% 295,974 0.68% 416,075 0.75%
Net Income (Loss) $ (552,871) -11.22% $ 3,781,581 27.37% $ 6,518,255 32.52% $ 19,435,622 44.96% $ 27,322,283 49.34%
Operational Cash Flow $ (501,872) $ 3,847,368 $ 6,588,878 19,501,607 27,397,962
Free Cash Flow $ (384,373) $ 4,457,910 $ 7,125,457 21,191,662 28,457,490
Statement of Retained Earnings
Beginning Balance of Retained Earnings $ - $ (552,871) $ 3,228,710 $ 9,746,965 $ 29,182,587
Net Income (Loss) (552,871) 3,781,581 6,518,255 19,435,622 27,322,283
Dividends to Stockholders - - - - -
Ending Retained Earnings $ (552,871) $ 3,228,710 $ 9,746,965 $ 29,182,587 $ 56,504,870
15
Exhibit #12: Balance Sheet

Pro Forma Balance Sheet
As of Inception Date Ending Date Ending Date Ending Date Ending Date Ending
Date % 2020 % 2021 % 2022 % 2023 % 2024 %
ASSETS
Current Assets
Cash and Cash Equivalents $ 6,700,000 100.00% $ 5,854,635 92.45% $ 8,932,964 87.67% $ 14,877,463 89.35% 32,625,935 89.72% 58,961,586 92.60%
Accounts Receivable (9) - 0.00% 410,666 6.48% 1,151,333 11.30% 1,670,166 10.03% 3,602,500 9.91% 4,614,500 7.25%
Inventory 0.00% 3,000 0.05% 7,500 0.07% 10,500 0.06% 19,500 0.05% 24,000 0.04%
Total Current Assets $ 6,700,000 0.00% $ 6,268,301 98.98% $ 10,091,797 99.04% $ 16,558,129 99.44% $ 36,247,935 99.68% $ 63,600,086 99.89%
Fixed (Long-Term) Assets

Machinery and Equipment 0.00% 64,497 1.02% 118,194 1.16% 150,592 0.90% 219,889 0.60% 241,489 0.38%
Total Gross Fixed Assets $ - 0.00% $ 64,497 1.02% $ 118,194 1.16% $ 150,592 0.90% $ 219,889 0.60% $ 241,489 0.38%
Less: Accumulated Depreciation (8) - 0.00% 0.00% 20,568 0.20% 57,491 0.35% 102,328 0.28% 169,650 0.27%
Net Fixed Assets $ - 0.00% $ 64,497 1.02% $ 97,626 0.96% $ 93,101 0.56% $ 117,561 0.32% $ 71,839 0.11%
Total Assets $ 6,700,000 100.00% $ 6,332,798 100.00% $ 10,189,423 100.00% $ 16,651,230 100.00% $ 36,365,496 100.00% $ 63,671,925 100.00%
LIABILITIES AND STOCKHOLDERS' EQUITY

Liabilities
Current Liabilities
Accounts Payable (10) 0.00% 3,000 0.05% 7,500 0.07% 10,500 0.06% 19,500 0.05% 24,000 0.04%
Accrued Salaries, Wages and Commission (12) 0.00% 280,231 4.43% 459,761 4.51% 559,316 3.36% 899,538 2.47% 1,044,035 1.64%
Accrued Payroll Taxes and Benefits 0.00% 83,433 1.32% 161,222 1.58% 200,513 1.20% 340,459 0.94% 398,923 0.63%
Total Current Liabilities $ - 0.00% $ 366,664 5.79% $ 628,483 6.17% $ 770,329 4.63% $ 1,259,497 3.46% $ 1,466,958 2.30%
Long-Term Liabilities
Loan Payable $ 1,000,000 14.93% $ 819,005 12.93% $ 632,230 6.20% $ 433,936 2.61% $ 223,412 0.61% $ 97 0.00%
Total Liabilities $ 1,000,000 14.93% $ 1,185,669 18.72% $ 1,260,713 12.37% $ 1,204,265 7.23% $ 1,482,909 4.08% $ 1,467,055 2.30%
STOCKHOLDER'S EQUITY
Common Stock (11) 5,700,000 85.07% 5,700,000 90.01% 5,700,000 55.94% 5,700,000 34.23% 5,700,000 15.67% 5,700,000 8.95%
Retained Earnings 0 0.00% (552,871) -8.73% 3,228,710 31.69% 9,746,965 58.54% 29,182,587 80.25% 56,504,870 88.74%
Total Stockholders' Equity $ 5,700,000 85.07% $ 5,147,129 81.28% $ 8,928,710 87.63% $ 15,446,965 92.77% $ 34,882,587 95.92% $ 62,204,870 97.70%
Total Liabilities and Stockholders' Equity $ 6,700,000 100.00% $ 6,332,798 100.00% $ 10,189,423 100.00% $ 16,651,230 100.00% $ 36,365,496 100.00% $ 63,671,925 100.00%
16
Exhibit #13: Cash Flow Statement

Pro Forma Statement of Cash Flows
Date Ending Date Ending Date Ending Date Ending Date Ending
2020 2021 2022 2023 2024
Cash Flows From (For) Operations
Net Income $ (552,871) $ 3,781,581 $ 6,518,255 $ 19,435,622 $ 27,322,283
Depreciation - 20,568 36,923 44,837 67,322
Changes in Current Assets
Accounts Receivable (410,666) (740,667) (518,833) (1,932,334) (1,012,000)
Inventory (3,000) (4,500) (3,000) (9,000) (4,500)
Changes in Current Liabilities

Accounts Payable 3,000 4,500 3,000 9,000 4,500
Accrued Salaries and Wages 280,231 179,530 99,555 340,222 144,497
Accrued Payroll Taxes and Benefits 83,433 77,789 39,291 139,946 58,464
Net Cash Flow From (For) Operating $ (599,873) $ 3,318,801 $ 6,175,191 $ 18,028,293 $ 26,580,566
Cash Flow (For) From Investing Activities

Fixed Asset Purchases (64,497) (53,697) (32,398) (69,297) (21,600)
Short Term Investments - - - - -
Long Term Investments - - - - -
Net Cash Flow (For) From Investing $ (64,497) $ (53,697) $ (32,398) $ (69,297) $ (21,600)
Cash Flow From (For) Financing Activities

Long Term Debt $ (180,995) $ (186,775) $ (198,294) $ (210,524) $ (223,315)
Issuance of Common Stock $ - $ - $ -
Net Cash Flows From (For) Financing $ (180,995) $ (186,775) $ (198,294) $ (210,524) $ (223,315)
Net Change in Cash $ (845,365) $ 3,078,329 $ 5,944,499 $ 17,748,472 $ 26,335,651
Beginning Cash Balance $ 6,700,000 $ 5,854,635 $ 8,932,964 $ 14,877,463 $ 32,625,935
Net Change in Cash $ (845,365) $ 3,078,329 $ 5,944,499 $ 17,748,472 $ 26,335,651
Ending Cash Balance (13) $ 5,854,635 $ 8,932,964 $ 14,877,463 $ 32,625,935 $ 58,961,586
17
Exhibit #14: Financial Statement Notes
Income Statement Notes

1. Sales revenue for the year ending in 2020 is based on sales of 224 units at an average price of
$22,000. Sales revenue for the year ending in 2021 will increase by 180.36% to 628 units due to
expanding to the West Coast. For the year ending in 2022, our sales will increase by 45.06% to 911
units due to the addition of two more teams. For the year ending 2023, we will be increasing sales by
115.69% to 1,965 units. In this year we expand to the Midwest, leading to an increase in our market
potential. Therefore, increasing demand substantially. For the year ending in 2024, we will be
increasing sales by 28.09% to 2,571 units, with a total of 16 teams.
2. Included in our Cost of Goods Sold are the costs of our headsets, of which we purchase and
give to each client. Each training program requires an average of five headsets at average cost of
$300 each. Our inventory includes an extra set of headsets for each team.
3. The depreciation expense for our equipment was calculated using the straight-line method
(Asset Works, 2019).
4. Our fees and licenses reflect the cost of having an LLC in each respective state (Massachusetts,
California, and Illinois). Our income tax expense is zero from year 2020 to 2022 because
Massachusetts and California d e e LLC to pay income tax. Illinois e e a LLC
pay 1.5% of their income which is reflected in years 2023 and 2024 (Steingold).
5. Based on quotes from different companies, our General Insurance Expense was calculated
using the average insurance costs for startup technology businesses and IT consultant companies
(Insureon, 2019).
6. Our commissions' expense is 5% of sales for each salesperson on top of their starting salary of
$50,000.
7. Our rent expense is the yearly rent of our office buildings in each state we are located.
Balance Sheet Notes
8. Accumulated depreciation for our equipment was found using useful lives of 5 and 10 years for
computers, and Audio and Visual Equipment, respectively (Asset Works, 2019). Equipment includes
computers, cameras, scanners and the developer's headsets.
9. All of our sales are made and obtained through accounts receivable, and these accounts
receivable will be collected on no more than one month after the initial sale is made.
10. Included in our accounts payable are the commissions' expense, the general insurance expense,
the travel meals and entertainment expenses, the website expense, the advertising and promotion
expense, the fees and licenses, the office expenses, and the utility expense. All expenses can be
found in the income statement (Loopnet, 2019).
11. We will have an initial investment of $700,000 from the founders of the company, along with
$5,000,000 of investment from Venture Capitalists. This number is represented under common
stock financed in our company. (Venture Capital, 2019) We received a bank loan of $1,000,000 with
a 6% interest rate which is reflected in our long-term debt.
12. Accrued salaries, benefits, taxes and commission payable accounts show two weeks of pay that
the company still owes at the time of the balance sheet.
Cash Flows Statement Notes
13. The ending cash balance is positive and steadily increased each year from 2020-2024. In 2020,
our expenses exceeded our sales thus causing a negative cash flow for operating activities. In the
following years, we have a positive net cash flow from operating activities. We experience a negative
net cash flow for investing and financing activities each year we are in service.
18
Exhibit #15: Financial Ratios

Financial Ratios Table
Date Ending Date Ending Date Ending Date Ending Date Ending Industry Average
2020 2021 2022 2023 2024 Ratios
Liquidity Ratios
Current Ratio 17.10 16.06 21.49 28.78 43.36 1.26
Quick Ratio 17.09 16.05 21.48 28.76 43.34 0.98
Operating Cycle 33.68 33.32 33.22 32.83 32.74 62.76
Leverage Ratios
Debt/Equity 0.23 0.14 0.08 0.04 0.02 1.26
Times Interest Earned -9.84 84.63 194.42 920.03 3,270.11 5.86
Asset Management Ratios

Inventory Turnover 112.00 125.60 130.14 151.15 157.31 56.75
Receivables Turnover 12.00 12.00 12.00 12.00 12.00 6.48
Fixed Asset Turnover 76.41 141.52 215.27 367.72 770.81 5.63
Profitability Ratios
Gross Profit Margin 0.93 0.93 0.93 0.93 0.93 0.69
Operating Profit Margin -0.10 0.28 0.33 0.46 0.50 0.03
Return on Assets -0.09 0.37 0.39 0.53 0.43 5.93
DuPont Analysis
Net Profit Margin -0.11 0.27 0.33 0.45 0.49 1.45
Total Asset Turnover 0.78 1.36 1.20 1.19 0.87 1.31
Equity Multiplier 1.23 1.14 1.08 1.04 1.02 2.26
Return on Equity -0.11 0.42 0.42 0.56 0.44 4.30
19
Exhibit 16: Financial Analysis
1) Our Current Ratio has a trend of large increases year by year (apart from year 2) due to us
making a large enough profit where it is not a problem to pay off our short-term obligations.
Although our ratio is extremely high compared to the industry average, we plan on
expanding our business even further (perhaps even internationally) after year 5 to make the
most out of our assets because we are currently using our assets in an inefficient manner.
2) Our Operating Profit Margin steadily increases year by year due to an increase in demand.
The two biggest spikes in demand happen during year 2 and year 4, where we open offices in
Los Angeles and Chicago, respectively. By opening these offices, this gives our business
more exposure nationally and allows us ample opportunities to sell our services around the
country.
3) S ce b e de head e a a eeded ba ed de a d e a , e ca
efficiently sell our inventory related to the level of demand we receive. The number of
headsets our clients request will be the exact number of headsets we will order from Oculus,
resulting in our extremely high Inventory Turnover ratio.
4) We have a fixed Gross Profit Margin throughout all five years of our business due to our
demand directly relating to both our Sales Revenue and Cost of Goods Sold. This ratio is
also well above the industry average due to us outsourcing our headsets from Oculus (which
has an average price point of $300) compared to our competitors, who typically outsource
their headsets from companies such as HTC (which has an average price point of $500-
$600).
5) Our Net Profit Margin is below the industry average due to us utilizing a cost leadership
strategy. We pride ourselves in keeping our virtual solutions cheaper than our competitors.
Although below the industry average, we are still making exponentially increasing profits
year after year (with the exception of year 1).
DuPont Analysis on ROE

1.6
1.4
1.2
0.8 Net Profit Margin
0.6 Total Asset Turnover

Equity Multiplier
0.4
0.2
0
2020 2021 2022 2023 2024
-0.2
20
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Final Bussiness Draft

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Final Bussiness Draft

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Section 4

Savannah Baldwin baldwisl@dukes.jmu.edu

Sarah Gotthold gotthose@dukes.jmu.edu

Vincent Hoang hoangvn@dukes.jmu.edu

Elizabeth Hunter hunte2em@dukes.jmu.edu

Matthew Kapusta kapustmd@dukes.jmu.edu

Thomas Knupp knupptj@dukes.jmu.edu

Lunden Steckline steckllk@dukes.jmu.edu

Business Description: Chameleon Virtual

Financial Projections (Unaudited):

across the United States.

client's current training programs into a virtual system as efficiently as possible.

effective virtual reality systems while keeping our prices low.

requirements and will be further customized specifically to their needs.

our sales to grow.

Marketing Manager Accountant IT Specialist* HR Associate Web Developer

CHAMELEON VIRTUAL SOLUTIONS LLC 2021 (BY END OF YEAR TWO)

We chose this segment due to the willingness of

This segment was chosen due to the benefits that VR

3,716 Retail Companies This target was created to establish a simplified

* H did de e i e a ke e ial? Ide if ke ce a d a i h calc la i .

Film & Process

Load & Test Continue

Pack Devices Finished

For each major quality step:

If you will utilize a quality/process improvement methodology, indicate which:

Chameleon Virtual Solutions

General and Administrative Expenses

Operational Cash Flow $ (501,872) $ 3,847,368 $ 6,588,878 19,501,607 27,397,962

Free Cash Flow $ (384,373) $ 4,457,910 $ 7,125,457 21,191,662 28,457,490

Statement of Retained Earnings

Beginning Balance of Retained Earnings $ - $ (552,871) $ 3,228,710 $ 9,746,965 $ 29,182,587

Net Income (Loss) (552,871) 3,781,581 6,518,255 19,435,622 27,322,283

Ending Retained Earnings $ (552,871) $ 3,228,710 $ 9,746,965 $ 29,182,587 $ 56,504,870

Chameleon Virtual Solutions

Fixed (Long-Term) Assets

LIABILITIES AND STOCKHOLDERS' EQUITY

Chameleon Virtual Solutions

Changes in Current Liabilities

Cash Flow (For) From Investing Activities

Cash Flow From (For) Financing Activities

Net Change in Cash $ (845,365) $ 3,078,329 $ 5,944,499 $ 17,748,472 $ 26,335,651

Beginning Cash Balance $ 6,700,000 $ 5,854,635 $ 8,932,964 $ 14,877,463 $ 32,625,935

Net Change in Cash $ (845,365) $ 3,078,329 $ 5,944,499 $ 17,748,472 $ 26,335,651

Ending Cash Balance (13) $ 5,854,635 $ 8,932,964 $ 14,877,463 $ 32,625,935 $ 58,961,586

Income Statement Notes

Chameleon Virtual Solutions

Asset Management Ratios

DuPont Analysis on ROE

0.8 Net Profit Margin

0.6 Total Asset Turnover

October 7, 2019, from LoopNet website: https://www.loopnet.com/Listing/200-Wheeler-

2019, from Communications of the ACM website:

Infotainers website: https://tradeshowinfotainer.com/blog/top-tech-trade-shows/

compensation historical listing (pp. 342 348). Retrieved from

Bureau of Labor Statistics. (2019b). Occupational employment statistics. Retrieved from

Chicago website: https://loopchicago.com/do-business/invest/hq-in-the-loop/

CollegeSimply website: /colleges/private-colleges/

from technology to opportunity. Tech Trends 2018. Retrieved from https://www2.

2019, from https://www.insureon.com/technology-business-insurance/cost

EDLUND, A. W. (2019, October 23). 20191024_met_edu_awe06. Retrieved November 10, 2019,

from Richmond Times-Dispatch website: https://www.richmond.com/met-edu-

November 10, 2019, from VHIL website: https://vhil.stanford.edu/pubs/2018/experience-