TABLE OF CONTENTS

1.0 Executive Summary ................................................................................................................ 1 Chart: Highlights ...................................................................................................................... 1 1.1 Mission ..................................................................................................................................... 1 1.2 Keys to Success .................................................................................................................... 2 1.3 Objectives ............................................................................................................................... 2 2.0 Business Climate ...................................................................................................................... 2 3.0 Company Summary ................................................................................................................ 2 3.1 Company Ownership ........................................................................................................... 3 3.2 Start-up Summary............................................................................................................... 3 Table: Start-up ......................................................................................................................... 3 Table: Start-up Funding ........................................................................................................ 4 Chart: Start-up ......................................................................................................................... 5 3.3 Company Locations and Facilities ................................................................................... 5 4.0 Services....................................................................................................................................... 5 4.1 Service Description .............................................................................................................. 5 4.2 Competitive Comparison.................................................................................................... 6 4.3 Sales Literature..................................................................................................................... 6 4.4 Fulfillment ............................................................................................................................... 6 4.5 Technology ............................................................................................................................. 7 4.6 Future Services ..................................................................................................................... 7 5.0 Market Analysis Summary .................................................................................................... 7 5.1 Market Segmentation ......................................................................................................... 8 Table: Market Analysis ........................................................................................................... 8 Chart: Market Analysis (Pie) ................................................................................................ 9 5.2 Service Business Analysis ................................................................................................. 9 5.2.1 Business Participants................................................................................................... 9 5.2.2 Competition and Buying Patterns ......................................................................... 10 5.2.3 Main Competitors ....................................................................................................... 11 5.3 Target Market Segment Strategy ................................................................................. 11 5.3.1 Market Growth............................................................................................................. 11 5.3.2 Market Needs ............................................................................................................... 12 5.3.3 Market Trends.............................................................................................................. 12 6.0 Strategy and Implementation Summary ....................................................................... 13 6.1 Competitive Edge ............................................................................................................... 13 6.2 Marketing Strategy ............................................................................................................ 13 6.2.1 Promotion Strategy.................................................................................................... 13 6.2.2 Pricing Summary ........................................................................................................ 14 6.2.3 Marketing Programs .................................................................................................. 14 6.2.4 Positioning Statement ............................................................................................... 14 6.3 Sales Strategy ..................................................................................................................... 14 6.3.1 Sales Forecast ............................................................................................................. 15 Page 1

Chart: Sales Monthly ........................................................................................................ 15 Table: Sales Forecast ......................................................... Error! Bookmark not defined. 6.3.2 Sales Programs ........................................................................................................... 15 6.4 Strategic Alliances ............................................................................................................. 16 7.0 Management Summary ........................................................................................................ 16 7.1 Organizational Structure.................................................................................................. 16 7.2 Management Team ............................................................................................................ 17 7.3 Personnel Plan..................................................................................................................... 17 Table: Personnel .................................................................................................................... 17 8.0 Financial Plan .......................................................................................................................... 17 8.1 Important Assumptions.................................................................................................... 18 Table: General Assumptions .............................................................................................. 18 8.2 Key Financial Indicators ................................................................................................... 18 8.2 Key Financial Indicators ................................................................................................... 18 Chart: Benchmarks ............................................................................................................... 18 8.3 Projected Profit and Loss ................................................................................................. 19 Table: Profit and Loss ........................................................................................................... 19 8.4 Projected Cash Flow .......................................................................................................... 20 Chart: Cash.............................................................................................................................. 20 Table: Cash Flow.................................................................................................................... 21

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Synergy provides an easy. valuable alternative for its clients. and a flexible work environment with equitable compensation for its founders. will be formed as a company specializing in the representation of meeting planners from all industries.1 Mission It is the mission of Synergy Meeting Planners to be the top producing member of the 360 Degrees meeting planning alliance by providing the highest quality service to our clients. Chart: Highlights 1. The founders have interest in the hospitality industry interning with both domestic and international meeting planners.1.0 Executive Summary Synergy Meeting Planners. on-site management and airline assistance at no cost to the client. and by the complete event planning/airline/cruise assistance offered by 360 Degrees's Resource One at the rate of six percent of gross revenues generated." Synergy is a perfect. Synergy will be compensated by the hotels/resorts. Synergy becomes a time-saving "one-stop shop. paid in commission. Page 1 . as well as recommendations for complete event planning. Synergy will allow the founders to utilize their expertise with meeting planners while working with hotels and resorts across the globe. By providing a total meeting resource including hotel/resort site searches. the industry's largest and finest meeting and conference resource firm thus placing a full service meeting operational division at Synergy's disposal. rate and contract negotiation. no-cost alternative to the hassle of in-house meeting planning. Synergy Meeting Planners will partner with “360 degrees”.

4. book a gross sales commission of $284.000 by December 31.000 by July 1. Provide timely. will provide a time-saving and valuable event planning service to companies who have a lack of destination/meeting planning knowledge. 3.1. or want to take advantage of our free expert site selection. in strategic alliance with 360 Degrees. Year 3. 3. Start-ups are growing at three times the rate of the national economy. are understaffed or unable to take on the time consuming task of site selection/meeting planning.0 Business Climate Synergy Meeting Planners is a knowledge-based small business start-up. 2. With hotel/resort partners countrywide. meeting industry is strong and Synergy will be a profitable player within the industry. It is sais rightly that "In a knowledge-based economy. completely repay small business loan of $50. 3. 1." These are all excellent indications that the economic foundation is strong for the launch of Synergy. reliable. 2. the best fit for the clients' needs will be found while generating maximum revenue for Synergy.000 by December 31. 4. Page 2 . is the basis of the present and future economy." Cognetics. To To To To book a gross sales commission of $30. book a gross sales commission of $120.2 Keys to Success There are four key elements we will accomplish to succeed: 1. as well as cruise/air/production/program planning partners at Resource One.0 Company Summary Synergy. The Wall Street Journal states "creativity is overtaking capital as the principal elixir of growth. Maximizing revenue potential by offering all commission-based services provided by 360 Degrees Resource One. Utilize the unique expertise of both owners to offer increased value to the client. Selling expertise. 2. turning a program which would have been commission on hotel rooms only revenue into commission on complete program revenue (air. program planning).000 by December 31. Continual and diligent client prospecting.3 Objectives 1. In addition. they go on to say. calls the surging significance of small to mid-sized businesses the economy. Specifically. there are no constraints on growth. stressing the significance of this new segment of businesses. Year 4. money-saving site searches representing only the hotels/resorts which best reflect the clients' needs. Year 2. a business information tracking firm. production/audiovisual. Year 1.

800 Page 3 .1 Company Ownership Synergy Meeting Planners. An additional $50. 3. assets. will have equal shares in the company.6 total Meeting Planning Directories Other Total Start-up Expenses Start-up Assets Cash Required Other Current Assets Long-term Assets Total Assets Total Requirements $50.800 and will be financed by the owners. and loan liability. Table: Start-up Start-up Requirements Start-up Expenses Incorporation Fees Accountant Office Equipment Software Communication Lines 3 per office .2 Start-up Summary Start-up costs are $4. will be a privately held corporation based in Delhi. investment.000 is needed to cover the first six months of client searches. Krishna Verma and Alka Verma. The company is currently in the process of filing for incorporation with the Delhi Corporation Commission.500 $350 $400 $700 $400 $4. The owners.000 $54.3.000 $0 $0 $50.800 $150 $300 $2. The following chart and table outline the assumed distribution of expenses.

000 $0 $50.000 $54.800 Liabilities and Capital Liabilities Current Borrowing Long-term Liabilities Accounts Payable (Outstanding Bills) Other Current Liabilities (interest-free) Total Liabilities Capital Planned Investment Alka Verma Krishna verma Other Additional Investment Requirement Total Planned Investment Loss at Start-up (Start-up Expenses) Total Capital $2.000 $0 $0 $50.000 $4.000 Total Capital and Liabilities Total Funding $50.000 $50.400 $2.000 $54.800 Page 4 .800 $50.800) $0 $0 $50.Table: Start-up Funding Start-up Funding Start-up Expenses to Fund Start-up Assets to Fund Total Funding Required Assets Non-cash Assets from Start-up Cash Requirements from Start-up Additional Cash Raised Cash Balance on Starting Date Total Assets $0 $50.800 ($4.400 $0 $0 $4.

Additionally. Other Services: Synergy will take advantage of the strategic alliance with 360 Degree's Resource One and have available all of the resources of a large meeting company. The selected site is then contracted and a commission is paid by the hotel/resort. Then. the client's specific meeting criteria. Synergy will recommend airline and cruise bookings. and cruise assistance. and fullservice meeting production. First. production. airline. with a second office in Mumbai. and provides recommendations for those which best match the client specifications free to the client. Finally. is searched for date availability and meeting space needs. 2. a selection of sites. budget guidelines and date availability needs are ascertained. are recommended to the client for the program. Synergy will be compensated by 360 Degree by commission on a per program basis. at no cost to the client. Page 5 .3 Company Locations and Facilities The company will be located in Delhi. 4. based on the owners' own expertise. management of hotel room blocks. 4. based on the responses given.Chart: Start-up 3. the appropriate hotels/resorts. offers expert site selections. Site Searches: Synergy. as Synergy is compensated by the hotel/resort.0 Services Synergy Meeting Planners does countrywide hotel/resort searches. The owner's home offices will be linked electronically to ensure real-time communication.1 Service Description Synergy plans to provide two basic services to its clients: 1. Synergy refers clients to Resource One to provide in-depth meeting planning.

a full-color brochure describing the business with client testimonials. Online "brochures" will be created to email to clients. Synergy has the advantage over this type of company by offering a more professional service to the client and the buying/full-service power of the 360 Degree alliance. We will also have the distinct advantage of being able to book any hotel/resort worldwide which best fits the clients needs. Small "mom and pop" competitors. competition comes in the form of incentive/meeting houses such as Cox and King. all of which have distinct weaknesses compared to Synergy Meeting Planners: 1. and professionalism of Synergy Meeting Planners. Page 6 . will be provided by 360 Degrees to Synergy. by providing detailed. offer site searches to the client. cruise. First. and Air Partner. as well as a four-1/2 page color insert describing the features and benefits of the site selection service will be provided by 360 Degrees to Synergy.4 Fulfillment We will fulfill the clients' needs by dividing tasks based on the area of expertise of each owner. benefits. such as Associated Luxury Hotels and Thomas Silliman. Housing Solutions. will be used to send customerspecific sales letters and tailored proposals. Request for proposal letters with an area for hotels/resorts to acknowledge payment of commission will also be established. 3. The second type of competitor is the resort representation firm. Cruises. room block management. 4. with our logo is also provided by 360 Degrees. These companies provide a full array of services to the client but are so large that the clients are just numbers to them. which are solely owned and operated by one individual. production. These companies only do site searches for the client and are on retainer with only a few resorts/hotels. The advantage of Synergy is to offer both site selection and full event planning service to the client through the alliance with 360 Degrees Resource One. Shell sales letters and client proposals will be established. knowledgeable interaction with the hotels/resort to match them with client needs. First. by providing professional salesmanship. value. 2. as well as understanding and recommending additional services such as air. etc.4. some of which may not fit the client's needs. each four-1/2 page color. A regular monthly newsletter will be created to email to clients as a reminder of services offered. Letterhead. Synergy has the advantage of offering full service to the client through the alliance with 360 Degrees Resource One as well as the ability to provide personalized service like a small company. describing Resource One. four inserts.3 Sales Literature As part of the benefits of the alliance with 360 Degrees.2 Competitive Comparison There are three categories of competitors. Additionally. All collateral pieces will convey the features. service. customer service and follow-up based on the specific needs of the client. 4. Second.

in the future. Therefore. the two home offices will be linked to ensure both calls and the database can be accessed in both places. Those who have a need for event planning services are companies with a lack of hotel/resort/destination knowledge. no on-site meeting planner.0 will also be used as a client database/trace system. Synergy Meeting Planners will stay on the cutting edge of technology.0 Market Analysis Summary From the past experience of Synergy Meeting Planners' founders. Also. smaller cities. Additionally.to mid-sized companies that are not located in major metropolitan areas (i. 4. combination color printer/fax/copier/scanner.4. respectively. The creation of a website to outline services to clients. small. and a message system which allows callers who receive a message to page an owner for an immediate response. 4. hotel/resort "hotrates/hotdates" website to access discounted rates posted by "partner" hotels. and in general. and/or no time to concentrate on site search details. To include high speed. Software. Other Technology. 2. Utilizing communication advantages such as Caller ID. updated IBM-compatible hardware with modem access. Synergy may offer on-site lead conference management either alone or in conjunction with Resource One. and receive information from clients. Internet Technology. To include Windows 7 with airtel Internet access. call forwarding from office telephones to cellular telephones to ensure every call is answered.6 Future Services Future plans for expansion have been discussed. Hardware. 1. Additionally. and updated telephone with caller ID. access to hotel/resort online database provided by 360 Degrees. 3. Microsoft Works for Windows and Adobe Acrobat Reader to be used to access email and send email information/newsletters (draft letters/proposals). these areas will be targeted. Act! 4. Page 7 . are more receptive to solicitation. strategically focusing on companies who have not been represented by meeting planning firms or utilized meeting planning search firms in the past should bring us new clients. both online and by offering "seminars" to promote the information. rural areas) are not primary targets for other event planning companies and hotel/resort chains. 360 Degrees "intranet" which allows Synergy to communicate with other meeting planners within the 360 Degrees alliance. and include the marketing of materials/books to meeting planners on the "how to's" of event planning and selling those materials.e suburbs. 5.5 Technology Technology is essential to today's meeting planner.

). resort destinations which can range from the top ten company executives to several hundred sales personnel. the window for incentive travel is between three months and one year due to the "qualification" imposed by the company on the personnel to attend the meetings (i.5. to company presidents.221 3. meeting sales quotas.918 4.979 3. This market segment's meetings are typically mid-range to low budgeted events (usually due to the diverse economic status of the members and the need to avoid excluding any attendees due to costs).00% 0.204 59.000 54. Usually. Association Associations.000 3.188 15.750 3.863 3.078 58.000 77.1 Market Segmentation Some potential client profiles are as follows: Corporate In the corporate segment. to administrative assistants. teachers. must typically have a specific number of meetings per year.098 3. The potential customer is typically an on-site meeting planner.011 56. They plan group incentive trips to.00% 2.000 83.e. an association will have a few board meetings and one or more large conventions/trade shows per year.606 3.493 15. or fraternal organization officers.000 81. Thus. military personnel.00% 3.848 15. pastors. hitting budget. generally. etc. Social/Military/Educational/Religious/Fraternal (SMERF) This market segment. sometimes referred to by its acronym SMERF. the executive director or the entire board.391 Year 2 Year 3 Year 4 Year 5 CAGR 3. Typically. internal corporate meeting decision makers range from designated meeting planners. The corporate window for event planning can be as little as one month to as long as several years.300 3. the decision makers can vary from office to office. These potential customers are planning corporate group (10 or more rooms) meetings which range from small board to national sales meetings and can range from one to several hundred meetings per year. Incentive Incentive planners are a subgroup of the corporate segment specializing in reward-based highend group travel. Again. Table: Market Analysis Market Analysis Year 1 Potential Customers Corporate Incentive Association SMERF Total Growth 3% 2% 3% 0% 2.934 16.000 79.236 4.250 15. according to their by-laws.69% 53. the association planner's calendar is set years in advance. represents events which are planned by designated individuals who may be somewhat unfamiliar with meeting planning. such as social committee members.69% Page 8 .000 75.00% 2.

Synergy Meeting Planners. 5.2 Service Business Analysis Synergy is a meeting planning resource firm. Due to the strategic alliance with 360 Degrees.Chart: Market Analysis (Pie) 5. Inc. Disadvantage: These companies have retainer agreements with specific hotels nationwide and represent only those firms to the potential client. We will have the challenge of establishing ourselves with customers as a "client advocate." not a hotel/resort representative.2. will be instantly recognizable to meeting professionals as part of the hospitality industry's largest and finest meeting and conference resource firm.1 Business Participants The business presence in the third party portion of the meeting industry breaks down largely as follows: National Representation Firms Advantage: These companies associate themselves with a small number of properties and are able to sell them in detail to the client. as well as large and small site search firms. housing. but a hotel/resort advocate. The client does not have the advantage of objectivity with these companies because they are paid by the hotel. and on-site program administration. Page 9 . These firms do not act as a client advocate. Additionally. consist of firms who represent a small group of specific hotels/resorts. Third party companies. many times a client may be offered specific properties on their list that "come close" to the client's needs and that property is not a correct fit for the program. and mega meeting/incentive "houses." which provide full services including airfare. and separate ourselves from the mega-firms by the quality of personal service we offer. They are often very attentive about their properties and can offer solutions nearly instantly with this understanding of the limited number of properties. as they are commonly referred to by hotels and resorts.

Disadvantage: These companies are so small and independent.2. conscientious advocate on all fronts. factual information. ethical behavior is paramount. Integrity. Leverage. but may want to incorporate into a meeting.      Page 10 . from airfare to post-program follow-up. Personal Service. they do not have any leverage/buying power with hotels/resorts and lack a network of associates to offer any other information than what is presented by the hotel/resort salesperson to the clients." Objectivity. Overall. The client will have many contacts for different services within the company. They want personalized service. Planners want to rely on expert advice regarding "new" and upcoming technical opportunities that they may not be aware of. or just get more "bang for their buck. Planners want the correct solution for their unique situation. Planners need personal trusting relationships. Technical Knowledge. they offer very little "custom" service for the client. 5. Planners need an independent third party to cut through the hotel/resort's sales pitch and present clean. Intellegence. Providing the exact customer-specific information needed in the time constraints given by the customer. most do not have the knowledge to offer the correct assistance to the client. Planners are choosing that route for various reasons. Planners are buying knowledge. or understand extensively. These companies often advocate the "preferred" vendors with whom they do more business than the actual client. there are several reasons why certain companies are chosen over others:     Timely follow-up. Disadvantage: Many of these firms have become so large that the individual sales contact does not even remember which program from which client he/she may be working on at a given time. Advocacy. Planners need a tenacious. not cookiecutter responses that may not fit their immediate needs. Customers rely on organizations with buying power to stretch a small budget. the Professional Convention Management Association reports a rising trend to use third-party services. Potential customers do not want to feel like they are one of many other clients. A resort may follow-up to propose a better offer for the customer. in the competitive atmosphere of third-party companies. Timely follow-up is always a concern when utilizing a very large company. They are finding that mergers within the hotel/resort industry are creating a more profit and less serviceoriented business climate. Custom Solutions.2 Competition and Buying Patterns As previously mentioned. Third-party planning companies are chosen to provide expert advice/recommendations. Additionally.Mega Meeting/Incentive Houses Advantage: These companies offer full service. Disadvantage: These companies are so large. These companies are limited to site searches and can offer no other event planning assistance/value to the client. reasoning and decision-making ability. Honest. and the sales contact does not have the time or care to do any more than provide the initial information to the client. and offer the leverage and buying power of a large company because they have "preferred" vendors with whom they do large volume. National Site Search Firms Advantage: These companies offer a time saving service to the client and are able to research any hotel/resort worldwide. Small Site Search Firms Advantage: These companies can offer good customer service and timely follow-up to the client.

Likewise. In the Convene Magazine 8th Annual Market Survey. incentive and SMERF market segments are conservatively estimated to grow at a rate of three percent. expositions.5% occupancy reported in 1997. and three percent. Growth within the corporate. In a study by Deloitte & Touche. and remain flat. over $100 billion is spent annually on meetings. two percent.2. After ascertaining a potential customer by prospecting. conventions. Page 11 .3 Main Competitors Synergy's competitors include: Note: All competitors names have been removed for confidentiality. To increase the success of prospecting. 5. These lists will be compiled utilizing resources available to Synergy Meeting Planners including. Meeting Planners International Directory. etc. association. meetings and incentive travel is listed as the twenty-second largest contributor to the gross national product.1 Market Growth The growth potential in the meetings industry is strong. the Official Meeting Planners Guide. All indicators seem to predict growth within the meeting planning industry.2% per year. 89% of meeting professionals reported flat or increased meeting attendance expected for 1999 versus 1998. according to the Convention Liaison Council. respectively over the next few years.9-4. but not limited to. We must consistently bring in new customers to use our site selection service and who we can potentially upsell our other alliance services. Executive Women International Resources.3. and always remember to upsell the additional client services to add value to our services for the client and increase possible revenues.5. we must create targeted lists which fit the criteria of a future client. Currently. versus the average of 64. PriceWaterhouseCoopers reported that upscale and full-convention hotels recorded over 70% occupancy in 1999. 5.3 Target Market Segment Strategy Prospecting is the key to success. we must follow though with efficient site recommendations based on the exact client needs. This spending is expected to grow between 2. according to MeetingNews.

3. high technology and e-commerce industries. They are looking for external cost-effective ways to plan company meetings. financial.3 Market Trends The market for site selection firms is growing as companies are utilizing outside providers for event planning services instead of paying permanent in-house employees.5. messaging.    5. Companies and SMERF organizations who have administrative staff (i. and incentives and customer events. the following situations may exist. They want buying power with hotels/resorts. such as the pharmaceutical. including email. as the meeting planning duties will typically fall to one or two individuals or another company member unfamiliar with meeting planning. Those employees responsible for meeting planning want you to communicate with them on their terms. Page 12 . a need to outsource some of the work associated with that increase. telephone. hotel room block management. incentive. These clients are receptive to the time-saving aspect of Synergy's services and expertise. Additionally. largely due to the success of these industries in the current bullish economy. Meeting Planners who are searching a new area and have little or no knowledge about that area will appreciate the expert knowledge of their exact meeting location and needs provided by Synergy.) take on the responsibilities of event planning will find that utilizing the services offered by Synergy will enhance their image within their own company by presenting expert meeting information to their boss/event committee. and social/military/educational/religious/fraternal (SMERF). there is a rising trend toward utilizing third party services-from 47% in 1997.2 Market Needs Our target potential clients have a need for assistance in meeting planning/hotel/resort/destination expertise. onsite production. According to the 1999 American Society of Association Executives and Professional Convention Management Association's Housing Trends Study. etc. corporate. They have a need for a "silent" partner (Synergy Meeting Planners) which will make them "look" better to their company. creating a need for the services offered by Synergy:  Companies and SMERF organizations who have "downsized" and/or eliminated their event planning department are prime prospects. preferential treatment with their dates/patterns. knowledge of all destinations worldwide. and paging options. Within the target marketing segments. Meeting Planners who need to concentrate on internal meeting content and have little or no time to complete the time consuming task of site selection and/or airline coordination.3. association. marketing coordinator. etc. executive secretary. More meetings are being planned by key corporate industries. cellular telephone. They require whichever mode of communication is most comfortable for their busy schedule. Thus. associations are seeing an increase across the board in membership participation making industry meetings larger and more complex. to an estimated 61% by 2001. fax. They range from secretarial level to company president and have the same information gathering and time-saving needs for different reasons. They are looking for no-cost time saving options to allow them to prioritize other company tasks for which they are responsible. automotive. medical.e. and efficiency in the presentation of site search findings.

0 Strategy and Implementation Summary Synergy. with our strategic alliance with 360 Degrees. We will utilize the marketing materials offered by 360 Degrees as a foundation. while national site search firms are limited to just finding a destination for the customer. We will concentrate on complete client trust and strive to exceed client expectations. 6. Overall. yet. 6. Synergy has the freedom and ability to present any hotel/resort as a solution to the customer. proposals.1 Promotion Strategy Synergy will consistently ask clients for referrals and will keep in contact with customers by direct mail to update clients with new information and reasons to utilize our services. and several national industry events per year.2 Marketing Strategy The owners' 2 years experience in the industry will bring a wealth of contacts with whom to build a network of referrals. we are not restricted to a few retainer hotels/resorts. the 360 Degrees quarterly newsletter. and build upon the quality letters.com. Third. We will be able to market like a small company with big company clout. as well as offer assistance with airfare and cruises. offer the services of a big company to our clients. national partnership marketing with hotels/resorts.1 Competitive Edge There are several competitive edges that Synergy Meeting Planners has over its competitors. we have the ability to help with all aspects of the meeting. Synergy will offer the best of both worlds--small-company service with big company expertise.com. We will commit to a consistent "review and change" process by which we can anticipate the needs of the marketplace and implement change to stay competitive. We will benefit from the national marketing efforts of 360 Degrees. which will ultimately cultivate repeat business and increase referrals. follow-up. and attention to detail. Page 13 . Web marketing such as HotDateHotRates.2. First. FirstOptionHB. over national representation firms. Second. such as the Industry Summit. through our alliance with 360 Degrees's Resource One. such as national advertising.com. With aggressive prospecting.6. We will develop our niche market--those clients needing a "silent partner" to save them time and offer intelligent solutions--by targeted sales and service. although small search firms can only offer limited knowledge and service. 6. Fourth. 360 Degrees. our alliance with 360 Degrees allows us access to over 180 associates and databases detailing the experiences at each destination. HBMeet-Market. we can offer the services of a big company but are still small enough to offer great customer service to the fastest growing segment of businesses--small-to mid-sized. will offer the great customer service of a small company. Synergy will exceed the needs of the four target market segments.com. newsletters and reminder cards.

we must have incredible follow-up and personalized customer service. advocacy. can offer objective solutions to the client's custom meeting needs. and custom solutions of a small company while offering the leverage. therefore. one percent commission on $10 million would translate to $100.8% 6. 6. we will re-evaluate our position based on meeting/exceeding our sales forecast and will make adjustments for the next six months accordingly. Synergy can provide the timely follow-up. To ensure future sales. and intelligent assistance with site searches and meeting planning.6.2. The total commission for the company will break down as follows: Booking Revenue $1 million $1 million-$2 million $2 million-$3 million $3 million-$4 million $4 million-$5 million $5 million-$6 million $6 million-$7 million $7 million-$8 million $8 million-$9 million $9 million-$10 million Synergy's Commission 6% 6.2.2% 6.2 Pricing Summary Synergy Meeting Planners will offer its services free of charge to the client. 6. technical and meeting destination knowledge of a big company. honest.6% 6. combined with it's no-cost service to the client. for example.3% 6.3 Marketing Programs Our marketing programs for the first five months of operation are listed in our milestones chart. and organizations who need time-saving. associations. From the property in which the client books the meeting. At the end of the five months. We must create so much value in our service that planning a meeting without us would be viewed by the client as a mistake. All other national marketing efforts will be handled by 360 Degrees. Synergy will receive a 10% of total rooms revenue commission. Page 14 . So it does add up significantly as our revenue numbers grow.4 Positioning Statement For those companies. Unlike the national representation firms.1% 6.5% 6. Between three and four percent of this commission will go to 360 Degrees in return for the services described herein. reliable. will assist in closing sales.9% Over $10 million 7% Although it does not seem like a large jump. integrity.4% 6.3 Sales Strategy The features of Synergy. We must stress to the client that our commission will not increase the price paid by the client to the hotel/resort and ensure the hotels/resorts utilized are consistent with this promise.7% 6. Synergy is not on retainer with specific hotels/resorts and.2.000 for Synergy. we intend to get the word out with direct mail. 6. Specifically.

Month 12 Page 15 . Please note the plan outlines the quarterly nature of corporate sales (our major segment) and tends to be lower during the beginning of a quarter (January through March would be one quarter) and heavier toward the close of the quarters. The rest of the forecast is figured with the same reasoning.000.3.000 commission which is 6% of $50. we intend to qualify our customers utilizing industry directories such as the Meeting Planners Guide and other relevant resources. Example: To achieve a $3.3. At the end of the five months.000 commission in month one. however.1 Sales Forecast Our sales forecast in the appendix of this plan details our anticipated commissions. we do anticipate that that commission will slowly and steadily increase over time. 75 rooms for four nights at a rate of $175 actualized in August. follow-up with telephone solicitation and personal letters and perform future follow-up in the form of friendly direct mail and telephone calls. Specifically. We anticipate no referral commission at first. for example. create planner specific letters and proposals based on each segment's different needs.000 in rooms revenue or approximately one contract at. we will re-evaluate our position based on meeting/exceeding our sales forecast and will make adjustments for the next six months accordingly.6. Chart: Sales Monthly Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 6. This would yield a $3.2 Sales Programs Our sales programs for the first five months of operation are listed in our Milestones chart. This is a very conservative estimate based on the actual history of sales of one of the owners. we are anticipating closing $50.

We will rely on Resource One to outsource any upsold services such as air/meeting development/program administration/destination management/production/on-site negotiations. Access to over 210 partners in 50 offices who can assist with any questions/need for destination information. Expensive. 3. With the knowledge of all aspects of event planning. from initial hotel contact to final hotel billing.0 Management Summary The owners of Synergy Meeting Planners have over 2 years of experience in the hospitality industry. we offer a solid base of information from which the customer can draw. By utilizing the "permission marketing" of 360 Degrees. No introduction or start-up advertising is necessary. The founders of Synergy have worked with many potential planner customers already on the resort side and have demonstrated competence in meeting site selection and planning. Page 16 . While both will decide on major company matters. housing/hotel block assistance to the customer and prospection/lead generation assistance to Synergy if needed. the day to day operation will be divided into two major sections: 1. site selection and upsell of additional services. full-color collateral material. 5. prospecting. This alliance will allow Synergy access to many helpful items: 1. Synergy is immediately recognized as the country's largest meeting and conference resource firm. etc. sales and contract negotiations. Resource One will provide additional revenue to Synergy by offering "large company" services such as airline reservations. full production company capabilities. Hotel/resort contact.4 Strategic Alliances We will form a strategic alliance with 360 Degres Performance Group. recommendations. Access to the 360 Degrees intranet which provides detailed hotel/resort information and site information which can be provided to the clients in minutes. 7. 2. Client contact. Synergy will earn commission on this outsourcing and it will provided at no charge to Synergy. letterhead and business cards in any quantity needed. 2. Administrative work will be divided equally as necessary among the owners with a part-time administrative staff position becoming available as soon as deemed appropriate by both owners to free the owners for direct client/hotel/resort contact. 7. Uniquely.6.1 Organizational Structure The two owners will divide the responsibilities of the business. 4.

as director of catering/conference services. Krishna Verma. has taken on the sales role within the company.000 per owner per month to cover existing living expenses. We feel our dividends from growth will supplement our income in year two and three. In year one. which requires ongoing education.840 8. By year five. Alka Verma. certified meeting professional. has taken on the service role within the company. The detailed monthly personnel plan for the first year is included in the appendix.000 $48.3 Personnel Plan The table below outlines our payroll for the owners over the next three years.000 0 $96.8% in fiscal year 2012 and again a modest 4.920 0 $105. publication of articles in industry journals and public speaking engagements. This leaves no expertise out and provides a solid foundation for Synergy.2 Management Team Synergy is committed to sales and service.0 Financial Plan As a service or knowledge-based corporation. As indicated on the following charts and tables. Synergy will grow to need fewer funds over time to maintain growth. we are planning on a modest salary of $4.400 $50.7. This salary will increase a modest 4. Her education includes the designation of CMP. will begin with very little start-up costs. Krishna Verma’s education includes a bachelor of science in aeronautical engineering with a minor in mathematics. Synergy will be completely debt-free and working with nearly the same overhead as it did on day one. Synergy Meeting Planners.800 Year 3 $52.920 $52. Table: Personnel Personnel Plan Year 1 Krishna Verma Alka Verma Total People Total Payroll $48. Inc.400 0 $100. Page 17 .8% in fiscal year 2013. Alka Verma.000 Year 2 $50. 7. and one long-term loan to allow the owners the ability to establish the company.

we assume our strategic partner. and Operating Expenses. Gross Margin. Table: General Assumptions General Assumptions Year 1 Plan Month Current Interest Rate Long-term Interest Rate Tax Rate Other 1 10.42% 0 Year 2 2 10.00% 10.42% 0 8.00% 10. A monthly outline of the important assumptions is included in the appendix.00% 25.00% 25. 360 Degrees's positioning within the industry will continue to grow. in the Key Financial Indicators chart which follows. Overall.00% 10.8. Additionally. Chart: Benchmarks Page 18 .00% 25. We expect sales to grow steadily over the next three years while our gross margin remains unchanged and our operating expenses only rise slightly over the next three years. we are assuming the forecasted business climate as outlined in the Business Climate Section will remain steady. three Benchmarks: Sales.2 Key Financial Indicators Synergy shows.1 Important Assumptions The following table of General Assumptions outline our conservative general assumptions on an annual basis.00% 0 Year 3 3 10.

714 $44. however.736 $11.808 $1.06% Page 19 .994 $1. With relatively low operating expenses. We have offered a detailed monthly outline of income in the appendix. this grows to over $170.890 $264 $264 $0 $0 $109.600 $0 $5.416 100.756 $169. We show a conservative first year with approximately $120.750 $0 $0 $0 $284. and over $280.531 4.59% $100.000 in commissions.800 $0 $0 $6. our net profits nearly quadruple in the second year.000 $4.680 $11.78% $105.250 100.800 $264 $264 $0 $0 $108.994 $169.250 $0 $0 $0 $171.934 $3.000 in 2013.316 $61.305 $1. Table: Profit and Loss Pro Forma Profit and Loss Year 1 Sales Direct Cost of Sales Other Total Cost of Sales Gross Margin Gross Margin % $120.750 100.143 25.403 $1.077 $14.00% Year 3 $284.3 Projected Profit and Loss Synergy's projected income statement is shown in the following table.416 $0 $0 $0 $120.098 $1.840 $0 $0 $6.00% Expenses Payroll Sales and Marketing and Other Expenses Depreciation Sales Telephone Cost Service Telephone Cost Sales On-line Service Service On-line Service Payroll Taxes Other Total Operating Expenses Profit Before Interest and Taxes EBITDA Interest Expense Taxes Incurred Net Profit Net Profit/Sales $96.000 in 2012.751 $125.794 $42.449 44.680 $4.985 $264 $264 $0 $0 $114.844 $5.8.934 $61. and almost double in the third.00% Year 2 $171.

A detailed monthly cash flow analysis is provided in the appendix. Synergy's cash balance is healthy. Chart: Cash Page 20 .000.4 Projected Cash Flow As demonstrated by the Projected Cash Flow Chart below.600) with our cash balance at $28.8.800. Significant to note. Our net cash flow for fiscal year 2011 is -($21. with our projected cash flow being negative for our first few months and then a slow recovery during the remainder of the year. in year one our long-term borrowing repayment will amount to over $12.

750 Additional Cash Spent Sales Tax.Table: Cash Flow Pro Forma Cash Flow Year 1 Cash Received Year 2 Year 3 Cash from Operations Cash Sales Subtotal Cash from Operations Additional Cash Received Sales Tax.416 $120.524 $100.822 $0 $0 $0 $169.306 $105.800 $26.070 $0 $0 $0 $12.891 $114.822 $0 $0 $0 $125.192 $0 $0 $0 $12.069 $0 $0 $0 $0 $0 $0 $0 $120.229 $157.822 $0 $0 $0 $140.859 $191.122 $76.524 $112. HST/GST Received New Current Borrowing New Other Liabilities (interest-free) New Long-term Liabilities Sales of Other Current Assets Sales of Long-term Assets New Investment Received Subtotal Cash Received Expenditures Expenditures from Operations Cash Spending Bill Payments Subtotal Spent on Operations $96.000 $16.840 $51.750 Year 3 $120.250 Year 2 $0 $0 $0 $0 $0 $0 $0 $284.250 $284. HST/GST Paid Out Principal Repayment of Current Borrowing Other Liabilities Principal Repayment Long-term Liabilities Principal Repayment Purchase Other Current Assets Purchase Long-term Assets Dividends Subtotal Cash Spent Net Cash Flow Cash Balance $0 $0 $0 $12. VAT.416 Year 1 $0 $0 $0 $0 $0 $0 $0 $171.930) $45.128 $31. VAT.250 $171.506 $127.416 $171.750 $284.346 ($4.050 Page 21 .

SHAHEED SUKHDEV COLLEGE OF BUSINESS STUDIES UNIVERSITY OF DELHI ENTREPRENUERSHIP TERM PAPER “BUSINESS PLAN.SYNERGY MEETING PLANNERS” Submitted by: Barkha Verma (8119) BBS-3 Finance B Page 22 .

Neha my Entrepreneurship teacher for extending her valuable time and continuous support in completing this project. The classroom teachings provided by her were extremely beneficial and guided us in making the project.ACKNOWLEDGEMENT It gives us immense pleasure to thank and extend our gratitude to Ms. Page 23 .

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