Project proposal to construct, establish and run a purpose built

and fully equipped school in Addis Ababa, Ethiopia

The First of its Kind

Feasibility Study
February 2015
 Riverside International School

Contents

Introducing the
project……………………………………………………………………..…1
Education in Ethiopia….
………………………………………………………………….…..1
Mission and Vision……………………………..
………………………………………….….2
Educational approach….
…………………………………………………………………..….3
Our goals………………..
………………………………………………………………………....3
Ownership……………………………………………………………………
………………..….4
Completion of Construction and Project Start-
up……………………………..…4
Rendered Services……………..
…………………………………………………………….…5
The
Team…………………………………………………………………………
………….……5

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 Riverside International School
The School………………………………………………………………..
………………….……6
Special
Features………………………………………………………………………
……..…..7
Budget…………………………………………………….
………………………………..……….9
Financial analysis………………….
…………………………………………………..………10
Construction…………………………………………………………………
…………..………11
Preliminary 3D
Designs…………………………………………………………...…….….12
Conclusion……………………………………………………………………
…………………..15

Introducing the project

Over the past decade, Ethiopia has attained high economic growth. The country has
emerged as one of Africa’s most exciting new markets and the fastest-growing economy
on the continent. Thus, the economic status of the society is rapidly changing from
educating their children in good schools to the entertaining themselves in expensive
resorts.

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 Riverside International School
This project aims at launching a first rate, all inclusive school from preparatory to high-
school level in Addis Ababa, Ethiopia. The project has been studied in relation to similar
ventures anticipating to create better quality education.
As the majority of the schools are not well equipped and don’t provide excellent
education currently, many parents need schools that can provide the exceptional
education required. These parents are capable of paying even what’s considered very
large amount for good quality education in Ethiopia.
This project aims to provide the institution and outstanding education to the craving
citizens of Ethiopia and make revenue at the same time.

Education in Ethiopia
Ethiopia faces many historical, cultural, social and political obstacles that have restricted
progress in education for many centuries. There is a need to change the importance of
education in the country's social structure, and children should be encouraged and
required to attend school and become educated.
Since the mid-1970s there have been a drastic loss of professionals who leave the
country, mostly for economical reasons. Many educated Ethiopians seek higher salaries
in foreign countries thus many of those who manage to finish higher education emigrate
from Ethiopia creating an endless shortage of qualified professionals in every sector of
the country. As of 2006, there are more Ethiopia-trained doctors living in Chicago than in
the entire country.
Thus, the need for educational institutions and educated human resource is now vital.
However, there are only few international schools with the right facility and equipment to
provide education to the large community in Addis Ababa. There are more than five
million people currently living in the city and most are looking for outstanding schools
with money being no object.
This project provides a solution to this problem by presenting an outstanding idea1 of
building all- inclusive school that accommodate to 1,000 students from pre-kindergarten
to high-school level.

Mission

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 Riverside International School
Riverside International School prepares students to understand, contribute to, and succeed
in a rapidly changing society, and thus make the world a better place. We will ensure that
our students develop the competencies essential for success and leadership in the
emerging creative economy. We will also lead in generating practical and theoretical
knowledge that enables people to better understand our world and improve conditions for
local and global communities.

Vision
We are and will be a school where design and social research drive approaches to studying
issues of our time, such as democracy, care for others, urbanization, technological change,
economic empowerment, sustainability, migration, and globalization. We will be the
preeminent intellectual and creative center for effective engagement in a world that
increasingly demands better-designed objects, communication, systems, and organizations to
meet social needs.

Our vision aligns with shifts in the global economy, society, and environment, which
animate our mission and our values:

 Creativity, innovation, and a desire to challenge the status quo, both in what
and how we teach and in the intellectual ambitions of the School itself
 Social engagement, orienting students' academic experience to help them become
critically engaged citizens dedicated to solving problems and contributing to the
public good.

2
Educational Approach
We will fulfill our mission by extending Riverside International School's legacy as an
academic community, lively and responsive to change, that:
 Focuses on and engages with critical contemporary issues

 Prioritizes humanity and culture in designing systems and environments to

improve the human condition, an approach that draws on design thinking and the
liberal, creative, and performing arts

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 Riverside International School
 Places project-based learning at the center of the educational experience
 Promotes the capital of Africa - Addis Ababa and its connectivity to African
nations

Our Goals
The Strategic Plan breaks our goals into five broad categories:
• Puts student success first. We will become a more student‐centered school; academically
rigorous and focused on outcomes; with strong, integrated support services, especially advising
and career services.

• Builds our academic programs and quality as a school with core strengths in design and social
approach. We will be the intellectual and creative center for this approach. We will lead in
innovation, making project‐based, socially engaged learning our focus.

• Elevates global education by building on our highly international student body and academic
culture, by providing our students with opportunities to explore global issues through design and
social research, and by developing global student markets.

• Positions our external profile by differentiating our identity and emphasizing our distinctive
programs and learning opportunities. We will modify and build our brand around our core values
and greatest strengths, and explore and develop new initiatives to extend The New School’s
profile.

• Improves our infrastructure to support our academic aims. We will provide the best service
possible to all of our constituents; strengthen and diversify our financial base by improving
efficiency, increasing fundraising, and developing new revenue sources; bring our campus
together in Greenwich Village to both improve efficiency and foster collaboration; and improve
our technology infrastructure and operations.
The goals in the Strategic Plan will shape both our work and our investments in the coming years.
The progress and success of the Strategic Plan will be assessed through a range of identified
metrics focused on results rather than inputs. 3

The business also aims at bringing more job openings for a lot of Ethiopians who want to
pursue their careers at a printing firm.

Ownership

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 Riverside International School
The firm is owned by two share holders with equal share levels and decision making
ability. These two members are to form a private limited company to make this project
happen.
The details are to be presented in the agreement form of private limited companies. The
parties are expected to:
The financier
 Invest financially on the project
 Put inputs for the business
 Have equal ownership with the partner

The partner
 Dedicate certain time for the company
 Set up the school physically and technically
 Employ a headmaster that controls the departments of marketing, administration,
curriculum and results
 is in charge of recruitment and termination of employments in communication
with the manager
 Divide the net profit equally after expenses by the end of each year
 Call for new premise, services and office supplies acquisition
 Involve in the day-to-day activity of the school
 Sign cheques and approves payments
 Is in charge of the Completion of Construction and Project Start-up

4
Completion of Construction and Project Start-up
The project is to be finalized in two-years time, once the land is available. The school
starts enrolling students as soon as all facilities are functional and staffing is done.

Project frontrunner

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 Riverside International School
The project will be led by Mr. Ashenafi Nigussie who has good experience with schools
and is the person that initiated this project.

Rendered Services
The services rendered are as follows:
 Provision of education to kindergarten students
 Provision of education to elementary students
 Provision of education to high-school students
 Summer school program
 Transportation service to students /school bus/
 Library service
 Cafeteria service
 Provision of books and educational materials

The Team
The team for this project includes the following:

 Principal (one)  Janitors (four)

 Office Assistant (one)  Assistant teachers – kg (six)
 Receptionist (one)  Nurse (one)
 Accountant (one)  Warehouse head (one)
 Librarian (one)  Resources center head (one)
 Kindergarten head (one)  Teachers’ library personnel (one)
 Elementary head (one)  Drivers (two)
 High-school head (one)  Maintenance (one)
 Teachers (twenty)  Gardner (one)
 Security (four)  Computer instructors (two)

The School 5

As mentioned previously, the school that is aimed to be built and organized is the first of
its kind which is fully equipped. The school meets the demands of the students and the
standards of an international school by constituting the following.

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 Riverside International School
The equipments we plan to acquire are the following:
 Classrooms – KG (6)  Administration offices (5)
 Classrooms – Elementary (16)  Arts room (1)
 Classrooms – High school (8)  Library (1)
 Sport field (1)  Teachers’ resource center (1)
 Green area (1)  Clinic (1)
 Playground (1)  Audio-video room (1)
 Basketball court (1)  Warehouse (1)
 Cafeteria (1)  Computer room (1)
 Laboratory (1)  Parking area
 Staff lounge  Music Room
 Reception area (1)

Equipments to be purchased:
 School Bus (1)  Stretcher
 Photocopy machine (1)  First aid materials
 Computers (20)  Black boards
 Televisions (1)  White boards
 CD players  Teaching aids
 DVD players  Laboratory equipments
 Chairs for students  Dividers
 Tables for students  Carpets
 Playground equipments  Curtains
 Shelves  Stabilizers
 Office tables  Books & other teaching materials
 Office chairs  Musical instruments

Special Features
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The following make the school special and unique that the other schools in Ethiopia

Our Small Class Size

The school follows a cross-curricular approach using a small class format with an
exceptional student-to-teacher ratio. The individual attention that each student receives
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 Riverside International School
makes a huge difference in allowing our students to reach their full potential. By keeping
our total enrolment low and having the freedom to focus on each student's abilities, we
will be able to nurture and coach personalized learning strategies, and do so in a
supportive engaging atmosphere with a unique community spirit.

Our Safe Haven

Our students interact, not only with each other but also with people of
all ages. Our school will be a place of friendship and esteem, where
students feel safe from bullying and negative peer pressure. Our
students will have daily interaction between different age groups and
work closely together on academic projects and artistic initiatives. Our learning
environment will be caring and enriching as will the relationships between the students
themselves. Our school is the ideal center that is welcoming and safe place with a
beautiful huge grassy yard, safe playground items and lots of space to run and play.

Our Academic Excellence

By providing individual academic and personal support and attention to
each student, we will consistently achieve an excellent academic
record. Compared with other school systems, we will have more daily
instruction in English and French with bilingual teachers. Unlike
traditional French immersion, our math, sciences and other core subjects are taught in
English which allows for full comprehension and accelerated learning. Every student's
work will be reviewed and graded with detailed report cards provided each term. All
teachers have university degrees, experience working in other private schools and
international teaching experience. Our students will be prepared to enter higher
educational institutions as inspired and confident individuals - academically, emotionally
and creatively.
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Our Extra-Curricular Activities

Nothing builds the confidence of children and youth more quickly than
direct involvement in the performing arts. The school holds at least
three plays or musicals a year. Our students will be working together as
a close-knit team to successfully perform a challenging feature-length
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 Riverside International School
production. The school incorporates a large visual arts focus into the curriculum. We see
an important part of our vocation as developing the innovation and creativity within each
of our students. We also provide several extra activity programs such as developing skills
in different software programs, swimming with the presence of our staff, Music and arts,
including voice and piano lessons, which can be included during after school hours. We
plan to invite professional artists regularly to visit for talks and performances, and we
attend shows as a school numerous times each year.

Our Students

We will acknowledge each and every student and as we are proud to

have them as part of our school family. Their academic, athletic and
artistic talents will be improved with the teachers with many years of
experience. Respectful, positive attitudes are awarded. Our students
will be encouraged to have a global perspective and awareness as is apparent during our
weekly school discussions. Watching our students’ inquisitive natures, compassion and
social awareness blossom will be a constant reminder to us of why we plan to do this
project.

Our Scholarships

Functioning in Ethiopia, we need to provide free scholarships for

selected students that are good at their studies but require the assistance

of an institution. We plan to register several students free of charge for

their education from grade 1 to 12. By this, we hope to create more citizens productive

citizens.

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Budget

The financial plan for the project is stated below. The management plans to buy the
property and construct a purpose built compound that has three divisions for

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 Riverside International School
kindergarten, elementary and high school. The budget also includes project startup costs.
The prices given below include taxes allotted by the Ethiopian government.
No. Items Quantity Unit price Amount
1 All Architectural Design - - 200,000.00
2 Property 1 6,000,000.00 6,000,000.00
3 Fencing 500,000.00
4 Construction Cost (phase 1 & 2) - - 7,000,000.00
5 Furniture and equipments - - 1,000,000.00
6 Project startup - - 500,000.00
Total ETB 15,200,000.00
Total USD 760,000.00

The proposed amount, in comparison with the potential of the business is not that
immense. In the long run, the education sector, which is always vital in all walks of life,
is very much profitable for people involved in it. The property and equipments also have
very good resale value and are lucrative in the years to come. The profit analysis is
shown below that gives a more detailed understanding of the business.

Current School Fees in other Similar International Schools per Student

No. School Annual ETB Annual USD
1 Sandford International School 180,000.00 9,000.00
2 Andinet International School 110,000.00 5,500.00
3 Lycee Guebre-Mariam French School 200.000.00 10,000.00
4 Greek School 150,000.00 7,500.00
5 ICS 260,000.00 13,000.00
6 Addis International School 120,000.00 6,000.00

The new school that is to be established will have an average school fee system.

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Financial Analysis

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 Riverside International School
The following tables show the financial analysis for expenses, income and profit of the school
on a monthly basis. However, the amounts may vary from one year to another as enrollment
of children may not be the same. All amounts stated hereunder are in Ethiopian birr and USD.

Expense Analysis/Monthly
No. Category Unit of Mt. Quantity Unit Price Total ETB Total USD
1 Employee salary Number - - 400,000.00 20,000.00
2 Supplies - - - 200,000.00 10,000.00
3 Utility - - - 50,000.00 2,500.00
4 Fuel /for vehicle & generator/ Liters - - 20,000.00 1,000.00
5 Advertisement & social - - - 50,000.00 2,500.00
6 Accommodation for Number - - 200,000.00 10,000.00
foreign staff
7 Other costs - - - 50,000.00 2,500.00
Total monthly expense 970,000.00 48,500.00
Total annual expense 9,700,000.00 485,000.00

Other Expense/Annually
No. Category Unit of Mt. Quantity Unit Price Total ETB Total USD
1 Air tickets - - - 200,000.00 10,000.00
2 Summer school - - - 300,000.00 15,000.00
Total 500,000.00 25,000.00

Total estimated annual expense

Ten Million Two Hundred Thousand Birr |10,200,000.00|
Equivalent to 510,000.00 USD

Income Analysis/Monthly
No. Category Unit of Mt. Quantity Unit Price Total ETB Total USD
1 Kindergarten students Per student 150 3,000.00 450,000.00 22,500.00
2 Elementary students Per student 480 4,500.00 2,160,000.00 108,000.00
3 Scholl bus service Per student 500 500.00 250,000.00 12,500.00
4 Tutorials Per student 200 400.00 80,000.00 4,000.00
Total monthly income 2,940,000.00 147,000.00
Total annual income 29,400,000.00 1,470,000.00

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Other Income/Annually
No. Category Unit of Mt. Quantity Unit Price Total ETB Total USD
1 Summer school Per student 300 3,000.00 900,000.00 45,000.00
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 Riverside International School
2 Educational materials Per student 720 1,500.00 1,080,000.00 54,000.00
/elementary & high school/
Total 1,980,000.00 99,000.00

Total annual income

Thirty One Million Three Hundred Eighty thousand birr |31,380,000.00|
Equivalent to 1,569,000.00 USD

Profit Analysis
No. Category Annually USD
1 Total annual expense 10,200,000.00 510,000.00
2 Total annual income 31,380,000.00 1,569,000.00
3 Estimated Net income 21,180,000.00 1,059,500.00

The Estimated Total Net Income is 21,180,000.00 ETB annually.

Construction
Phase I
Phase one of the total construction includes the kindergarten where kids of the youngest
age enroll in the program. This facility is a two story building that contains 6 classrooms.
Building type: Ground plus two
Completion time: six months
Number of classrooms: 6 classrooms, bathrooms, resource center, video room and
playground

Phase II
Phase two of the total construction includes the elementary school where kids of the
elementary level enroll in the program. This facility is a four story building that contains 16
classrooms.
Building type: Ground plus four
Completion time: one year
Number of classrooms: 16 classrooms, bathrooms, resource center, video room, teachers’
lounge, library, arts room, green area, music room and playground
11

Phase III

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 Riverside International School
Phase three of the total construction includes the high-school where teenagers of this level
attend and enroll in the program. This facility is a four story building that contains 12
classrooms.
Building type: Ground plus four
Completion time: one year
Number of classrooms: 12 classrooms, bathrooms, resource center, video room,
warehouse, auditorium library, basketball court, parking area, computer room,
administration offices, teachers’ lounge, library, arts room, green area, music room and
hang-out area

 The completion time and details of all construction are provided by Fasil Giorgis
architects, an accredited architecture agency in Addis Ababa, Ethiopia.
 The budget stated in this proposal is to cover for phases one and two of the project.
 The financial analysis is based on the completion of phase one and two of this
project.
 It is intended that phase three to be constructed and be ready for service after the
completion of phase one and two. The finances gained will be used to construct
phase three in discussion with the partner and the financier.

Preliminary 3D Designs 12

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 Administration Offices

Riverside International School

The following is the 3D designs from various angles. This design can be changed or
modified according to the new property to be acquired.

Phase I - Kindergarten Phase III - High school

Phase II - Elementary

3D Designs from different angles

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 Riverside International School

Top Right View

The Compound

Basketball Court

14
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 Riverside International School
Conclusion

The amounts may vary as stated above on a monthly basis but one can see the profit
making capability of this business. The property, fully completed and located in the city of
Addis Ababa is estimated at 2,200,000.00 USD which is more than double the primary cost
to purchase and construct it. The project will also create many job opportunities for fellow
Ethiopians contributing its share to the nation’s development.

Moreover, the individual behind this project has been in the business and it should be
acquainted that it was made sincerely and won’t fail to achieve the goals.

Giving priority to this project will benefit the owners as it is feasible to acquire more than
the income mentioned above. Positive results are guaranteed for a period of just a year and
the starting capital will be doubled in a year starting from the time the organization
commences functioning completely. Ownership of such property is also another value as
the property market is booming in the capital Addis Ababa. After all construction is
complete, the property has already reached double its primary investment.

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