Business plan for ssc

1. Business Concept

Executive Summary

SSC - Surveying Services Company - is a newly formed business in the field of Real Estate. The company has been created in order to provide first class and quality surveying services in the UK. In particular, the company plans to provide the following services to its customers:

a. Project Management

b. Homebuyers Reports

c. Building Surveys

SSC will balance quality, competitive prices and a positive atmosphere for all of its customers. Key priorities include excellent customer service, professional delivery of services and generally an uncompromised attention to all different factors that lead to the financial success and prosperity of the company. In terms of sales, these are projected to besubstantial in the first year and growingmoderately by year three. The business concept of the firm intends to provide up-to-date and accurate surveying methods to our customers.

The need for the company has emerged after careful planning and research of the market. Market research has enabled us to identify a considerable opportunity for profit within the industry of Real Estate, in particular surveying sector. Even though, world economies, including the UK economy, go through hard financial times we have decided to launch SSC to fill in a gap in the market relating to innovative, informed, modern and professional surveying services. It is believed that our new business offers something unique at competitive prices that people want. Unique in the sense not of inventing something which does not exist but doing something that already exists differently and more efficiently. For example, the use of modern technologies, as well as the latest developments in the field of surveying, that our business intends to employ, have urged us to create SSC.

The overall mission of SSC is to provide high-quality surveying services to its customers as well as maintaining a professional business environment for our employees. SSC's project management services, homebuyers' reports and building surveys are committed to reflect the rapid advancements in the field of surveying and technology. Our company is dedicated to a peace of mind and hassle free services from which our customers can benefit. In doing so, one of our main priorities is to maintain the highest level of customer satisfaction, driven by a value-based marketing. Within the company we will strive to work as a professional, cohesive and harmonious team focused on fulfilling our mission. Just as customer satisfaction is a central part of SSC's success, so is employee satisfaction.

Following our mission statement, we have set three business objectives relating to sales and profit. These have carefully been planned so to be concrete and measurable. Therefore, the company's objectives are:

  1. Substantial sales inyear oneandgrowingsteadily throughyear three
  2. Netprofit/sales to be positive by the second year
  3. Moderate gross margin and improving over the span of the three years

In order to meet these objectives, it is necessary to establish some success keys. Without these keys, it would be difficult to share the vision of the company with employees and customers, thus objectives would be harder to accomplish. Therefore, SSC have devised the following keys to success:

  1. Professional services at competitive prices
  2. Maintaining open communication between the company and its customers
  3. Use of modern technologies and overly qualified individuals

1.1. Services

As outlined above, SSC will provide three main services: project management, homebuyers' reports and building surveys.

A: Project Management

In an ever challenging market, projects are critical to business success. The responsibility of our company's project management team is to diminish the risk of failure while at the same time to maximise the value that projects will bring to our potential clients' businesses, regardless of size or complexity.

In order to make this happen, a level of expertise is necessary that is a result of years of experience. Project managementrefers to having a thorough understanding of development practice and keen knowledge of the market's position. When merging knowledge with technical skills, that are also needed, it is more likely to achieve the goals set. Therefore, using the company's expertise will reduce any possible risks and reap rewards.

The primary challenge of the project management team is to meet all project goalsand objectives successfully, while identifying project constraints, including scope, time, andbudget. The second, and sometimes more ambitious, challenge of the company is tooptimisetheallocationand integration of inputs necessary to meet pre-defined objectives.

Controlling

Throughout the lifecycle of the project our aim is to tackle with each aspect of it, including managing risk and scope, project control, planning and design.

Delivering

We build a programme based on your business needs, either for individual projects or as part of a wider brief.Theexperience of our project management team and the sophistication of our working practicesbring you constant benefits, with more certainty over costs and confidence about quality as well as fewer delays and most importantly, improved value. Some of the above information was gathered from http://www.echarris.com.

B: Homebuyers Reports

The second service of SSC is the Homebuyers' reports. These reports will be written on the basis of the Red Book - RICS Appraisal & Valuation Manual (www.rics.org), which will enable us to prepare a clear and accurate valuation. The RICS homebuyer service comes in a standard format and will be designed specifically from our company in the most a cost-effective way so as to minimise risk.

In particular, the homebuyer reports focus upon defects and problems which are considered as urgent or significant and thus have an effect on the value of the property. This is different from a building survey. In this case, the surveyor's main objectives are to give guidance on value and to inform the customer on issues such as: making a more accurate judgement whether to purchase or not the property, considering the most reasonable price to buy the property, providing a professional opinion for the defects of the property that may affect its present value or its future resale potential, and taking account of any repairs or replacements the property needs (http://www.surveyline.com).

We believe that this service will provide peace of mind to our customers, as the homebuyers report's objective is to provide a more detailed report than the mortgage valuation. Apparently the former is a more complete service rather than a mortgage valuation, which does not pay such a detailed attention to several issues related to the property.

C: Building Surveys

Whatever the state of the market, the good condition and performance of any building has a huge impact on their investment potential. Our Building Surveying team can furnish you with confidence that your property assets are efficient and effective. Although it is very difficult to control the market we will make our best so any property investments are technically sound and achieving their scope.

A building survey is considered as the most comprehensive and costly type of survey. It is principally suggested for older buildings (75 years and upwards), however, it is suitable for any type of building, such as those constructed of irregular materials such as timber, or for properties being subjected in alterations or extensions (http://www.home.co.uk)

The surveyors will come up with any matter that the property assets need in terms of:

  1. Necessity of repair
  2. Advising on the condition, risks and potential of your building right through its life cycle
  3. Space use or an opportunity to create more
  4. Meet the safety standards
  5. Maintenance costs

The surveyor will check the property thoroughly, looking at everything that is visible or easily accessible to examine the soundness of the structure, its general condition and all major or minor faults. More specialist surveys can also be carried out on aspects such as foundations, damp proofing, or tree roots, either by a specialist within the firm of surveyors or by an independent specialist surveyor.

The report you receive will be extremely exhaustive and very long, as surveyors are legally obliged to inform you of all the findings of the survey. We will advise our customers not to be put off if it seems that endless defects are listed - every house has some defects - as surveyors tend to show the worst case scenario for anything they discover. Customers will be provided with a list of prices for repairs and maintenance work. This will be saving time and money to our customers as SSC will recommend the most appropriate estimates for each case.

A full structural survey normally takes much longer than the one or two hours required for the homebuyer's report. The survey report can also take a long time to produce, so this is a much lengthier process than for a homebuyer's report. You will probably have to wait up to two weeks after the inspection for the report, for which there is no standardised reporting format. A buildings survey costs anything up to £1,000, again, depending on the price of the house (http://www.home.co.uk).

SWOT Analysis

SWOT analysis is a quick and effective way of finding out how workable our business idea is by analysing its internal Strengths and Weaknesses (S and W) and matching these to its external Opportunities and Threats (O and T). Putting these facts and ideas into one place will allow us to see the

bigger picture clearer (Figure 2). In this section, we provide an outline of SSC's main strengths and weaknesses as well as opportunities and threats.

Strengths

  • Innovative services that distinguish the company from others
  • Strategic placement of stores in the market
  • Good quality of organisational structure within the company
  • Advanced technological use in terms of specialised map systems

Weaknesses

  • New company
  • High running costs. Necessity of finding ways to reduce high running costs
  • Staff might lack of experience in some aspects of services
  • Large bank overdraft

Opportunities

  • Expansion to new markets - establishment of a new branch in Newcastle
  • Introduction of new innovative services is always considered as an upgrade stage of services for the company. This will open new pathways to gain larger market share
  • Possible acquisition of some smaller competitors in the market. Such act will increase the range of customers and have an impact on market share ratio in the overall market structure
  • Funding could be used from many sources in order to increase income flow within the business. European Union, or UK government for example can provide funding for investments in a particular project that promotes European community

Threats

  • Recession
  • Existing large firms in the market
  • Upcoming competitors
  • High running costs - general rise in prices (inflation), rising bank charges, staff wages

Key strengths of SSC are undoubtedly its services provided in a unique manner within the market structure. Most of them require special expertise and advanced knowledge so as the services are efficient. One reason behind this is the multifaceted mapping systems that give exact grid analysis and require extensive control. The right implementation of these services will increase the company's value and reputation. Another aspect that gives the company a competitive advantage is the strategic position of the head branch that gives the opportunity to deal with any task in a quicker and more efficient way in the region of London. This will result from the intellectual planning of the organisational company management.

However, the company will also have some weaknesses that need careful examination and implementation of solutions to achieve efficiency. Being a new company needs a certain amount of time to stabilise in the surveying market. Therefore, we expect to experience high running costs where the need to reduce them gradually will be absolute. A problem that might occur is, to some extent, a relative lack of experience from our surveyors. This is due the method of employment the company intends to utilise. We tend to hire surveyors after completing their Master's degrees, therefore maintaining higher expectations from them. They might be lower paid than a professional, already established, surveyor but their ambition to progress gives them a cutting edge advantage that lies in the policies of the company.

Opportunities arise from the strategic planning of the company's management. In particular, the potential establishment of a branch in Newcastle will enable expansion to nearby regions, such as Wales and Ireland. Although not much activity exists near Newcastle area, many opportunities emerge beyond the borders of UK which was the key judgment of opening the particular branch. Another opportunity considered by a company is the acquisition of some smaller competitors with key businesses in the market. Therefore, the company keeps seeking further opportunities for capital maximisation. Firstly, the introduction of a new innovative service and secondly the potential funding from external factors so as to increase income flow of the business. An example we can give is the funding supplied by the European Union to companies that deal with public given projects.

Despite the abovementioned opportunities, threats exist and challenge the company's limits. One of the greatest threats which is not our company's threat but a worldwide threat is economic recession. Recession that runs wild since 2008 has a massive impact on the amount of investment and development for countries like UK. This lack of investment forces companies to reduce their activities. Therefore, cutting costs are needed to survive during this difficult period. Our clients belong to this group of companies and we should find ways to tackle this problem in order to keep our sufficient client range keep expanding. Furthermore, recession affects the company internally. Running costs of our company maybe rise due to inflation that was triggered by recession along with bank charges and staff wages which are generated to rise as well. Last but not least, we must always keep our eyes on upcoming competitors that might be thinking either to join our market or to tackle our services, or even our price strategies. In such case the company will experience problems in terms of its efficient running.

Business Structure

SSC will be incorporated as a Private Limited Company. Liability is defined as limited because the maximum the owners can lose is the money they have invested in the business. The company will be managed by one single individual that holds all the company's shares.

There are 3 main shareholders who put the initial capital of £350,000 as follow: Shareholder 1 (director): 40%, Shareholders 2 and 3: %30 each. A loan of £50000 is asked based on capital with £3000 monthly rate estimated.

The span of control and hierarchy is designed to start from top and go down to the bottom, thus a top down approach. Each department will be run by a general manager who will have the necessary qualifications for succeeding the highest standards that the company expects. A master degree will be a mandatory element for the position. The manager will coordinate a group of surveyors who will be responsible to carry out the tasks appointed by the particular manager.

In addition, the branch will have an appointed Accounting and IT Department tackling issues that lie to the range of responsibility. First, Accounting and Finance department will be responsible for providing all financial documents and reports to the central finance department. Second, IT department will deal with any problems that arise from electronic equipment in the store.

London office, the headquarter for decision making within the company, will be enhanced with a general manager who will be in charge of departments and reporting to the executive manager. The responsibility of the executive manager will be to deal with supplying analysis concerning financial reports, employees' data, sale forecasts and operational reports at any time to the chief executor. Executive manager is a position that requires high standards of knowledge and experience as this person will be the second in command after the chief executive.

The reason behind establishing the headquarter in London is the financial entity of the area. London, as a capital of UK, has approximately 2/3rds of the whole economy investment levels of the country. Furthermore, there is more skilled labour that gives the company a wider choice in terms of labour force. A surveying company is only as good as the surveyors are.

Finally, two separate departments will exist in the central offices. The first one will be the Human Resources department that will deal with any problems concerning the staff. In case of a conflict arising within a branch, the Human Resources department will have direct contact with the manager of the particular branch in order to resolve the issue. The second department will be the Marketing department that will be responsible for any prospective clients and responsible to produce an attractive public image of the company for future development.

Leadership Structure

As stated above each department will have one manager. However, a special position will be in place in order to link management and leadership. It should be noted that management and leadership are not the same thing as each of them has different tasks.

On the one hand, management is seen as a technical activity dealing with problem solving and fixing. A manager is responsible for his own department and deals with issues that arise in the department. If his actions are wrong or result to a mistake the responsibility lies to him. He must be therefore very careful in the way he runs his department. On the other hand, leadership is seen as a visionary process, inspiring followers to take part in the journey to a desirable future. Therefore, a leader exhibits traits such as intelligence, foresight, energy, charisma, self-confidence, emotional stability, good interpersonal skills and assertiveness. This person in our company will be the chief executor.

Staff Structure

One of the most challenging tasks of SSC will be organising the people who perform its work; that is staff. However, it is necessary to assign roles to everyone in the new company as individuals can become specialists at a specific job. In each service provided by the company two surveyors will be responsible. Therefore, the company will employ six surveyors plus two employees specialised in each department of Accounting and Finance, IT and Human Resources. At SSC, due to the fact that people will be working in different locations yet working towards a common objective, Sexton (1970:23) has argued that ‘there must be a plan showing how the work will be organised. The plan for the systematic arrangement of work is the organization structure. Organization structure is comprised of functions, relationships, responsibilities, authorities, and communications of individuals within each department'.

The proposed staff structure for SSC is line structure (Figure 1). This is defined by its clear chain of command, with final approval on decisions affecting the operations of the company still coming from the top down. We have chosen this particular structure as it is applicable in small organisations where the chief executive can easily provide information and direction to subordinates, thus allowing decisions to be made quickly (Boone and Kurtz, 1993).

Market Research

According to RICS (www.rics.org), surveying is probably the broadest of all the professions.When you consider that everything connected to the built environment, land and property represents 70% of global wealth you start to get a better idea of just how important surveyors are to maintaining our lifestyles, protecting the planet and unlocking the value of land and mineral reserves from the earth. As it becomes apparent, surveying is a well established business market with great potential.

RICS have identified eight surveying specialisms within the property group. These are: Commercial Property, Residential Property, Valuation, Arts & Antiques, Dispute Resolution, FacilitiesManagement, Machinery & Business Assets, Management Consultancy.

Real Estate agencies and other related companies that offer similar services to us will be our main competitors. In order to gain a clearer picture of the market primary research will be conducted, by employing a survey questionnaire and telephone survey. The findings of the primary research will be complemented with secondary data available on the internet.

This research will form the basis of our business plan. Once we know our service and our competitors and customers inside out, we will be closer to understanding how to make our business a success. Also, the research will enable us to focus on our services price. In order to set competitive pricing to our services we need to know the prices our competitors charge and what our customers consider as reasonable pricing.

In terms of secondary data, we will visit our competitors' shops and websites. Moreover, through the internet we can find customers' comments and reviews on the services we provide that can provide us with valuable insights into what our potential customers like or do not like about our competitors. Therefore, market research through primary and secondary sources is essential in increasing the likelihood to get things right.

Marketing Plan - 4Ps

Product

Project Management

Project management includes the development of a project plan which includes:

  1. Defining and confirming the goals and objectives of the project
  2. Identify the tasks and in what way goals will can be achieved
  3. Enumerate the resources needed
  4. Determine the budgets and timelines for project's completion

Projects usually follow major phases and stages including feasibility studies, client's objectives and responsibilities, project brief, programme control, contractor delivery, town planning processes, project planning, implementation, evaluation and support/maintenance.

Homebuyers Report

The RICS Homebuyer Service includes:

  1. An inspection of the property
  2. A report based on the inspection
  3. A valuation, which is part of the report

The inspection

The surveyor inspects the inside and outside of the main building and all permanent outbuildings, but does not force or open up the fabric. This means that they will not

remove carpets, floor coverings or floorboards, furniture, remove the contents of cupboards, remove secured panels or undo electrical fittings.

If necessary, the surveyor will carry out parts of the inspection when standing at ground level from public property next door. The surveyor always uses equipment such as a damp meter, binoculars and torch, a ladder for flat roofs and for hatches no more than three metres above level ground (outside) or floor surfaces (inside) if it is safe to do so.

The surveyor produces a report of their inspection for the use of the client only. In the case that the client decide not to act on the advice in the report, he therefore acts at his own risk. The report focuses on matters that, in the surveyor's opinion, may affect the value of the property if they are not dealt with. The report is in a standard RICS format and includes the following sections:

  1. Introduction to the report
  2. About the inspection
  3. Summary of the condition ratings
  4. About the property
  5. Outside of the property
  6. Inside of the property
  7. Services
  8. Grounds (including shared areas for flats)
  9. Issues for your legal advisers
  10. Risks
  11. Valuation

L Surveyor's declaration

In terms of the valuation process, the surveyor gives his opinion on the market value which according to RICS appraisal is the estimated amount a property on the date of the valuation, between a willing buyer and a willing seller, in an arm's length transaction after the property was properly marketed wherein the parties had each acted knowledgeably, prudently and without compulsion. He finally undertakes the reinstatement cost at the time of their inspection.

Building Surveys

Our company building surveying has all the skills and services needed to keep buildings running efficiently and effectively at every stage of their life. When undertaking a building survey the surveyor will firstly examine the site, to identify any visually problems with the boundaries. He will give advice if the presence of any trees represents a threat to the stability of the building.

He will come along with the examination of chimney pots and stacks, soffits, roof coverings, gutters and downpipes. We will further examine at all internal and external walls to see if there is any current evidence of settlement or subsidence.

A Damp Test is also necessary to be carried out to all accessible ground floor areas. This can give an indication on surfaces that are not usually inspected, as there are fixed floor coverings, of whether subfloor timbers are at risk from dry or wet rot problems. If there are obvious problems here he may recommend specialist reports.

The report always conclude with a schedule of repairs - if is needed - on a separate page which can be handed to a building contractor to obtain a quotation for any works necessary before the exchange of contracts on the property.

http://www.surveyline.com/Valuations-Homebuyer-Reports-and-Building-Surveys.html

Price

Pricing Strategy

When the company starts running in the market penetrating price strategy will be adopted. The reason behind it is very simple and straightforward. We need to charge lower prices than anyone at that existing moment for the purpose of gaining more clients. Clients are not aware of our presence and something is needed to shift the market balance to us. Although in the short term our profits might be very low even to a point where we made mid-ends, in the long run is possible to gain more market share. The long run effect is exactly the reason for the adoption of the penetrating price strategy as we acquire the necessary number of clients in order to survive in the market. At this point of time after the acquisition of more clients and the improvement of our service into unique pathways we might decide to change our strategy to cost plus pricing. In such case, the actual price will be established by the inputting of the actual cost of the services, after adding the profit we needed.

Volume discounts and wholesale pricing

A decrease in thepricefor a service maybe occurred when clients acquire a particularly large quantity of services. In such case the company offers a volume discount to entice clients to conduct business with the seller (the company). Although the volume discount reduces theprofitof the company making on each individual product, it allows making a large sale quickly and receiving the proceeds from it in short order.

Price discrimination

The price discrimination applies to our innovative services. Our products are described as diversified. Each service is a unique assessment which is based on different criteria used with a different method. Therefore, product diversification has an effect on the price charge of every service.

Place (Distribution)

The head office will be in London where our clients can easily come and find us even if they can contact with us with phone or email. Furthermore the head office will be in a main street of London so people can easily recognize us. With the right outside decoration the office will advertise our enterprise too. Even if we providing services in the local area our customers could be split all over the world but knowing that the enterprise head office is in London gives us prestige and reliability. Of course people can not only find us direct but with some other ways. They can find us from our website, or from catalogues we will make to expose our services.

The head office will be the main distribution channel used to get us to our customers. An advantage of this would be the contact we will gain by meeting customers face to face. With this contact we can easily detect market changes that occur and adapt to them. We will also have complete control over our services we offer to our customers, the range of the services, how it is sold, and at what price.

At the first stage of our business we will have intensive distribution so we will be in position to serve every customer so we can gain as more market share as we can.

At the third year we will prefer the selective distribution which narrows distribution to a few but strong businesses. With this option, it will be easier to establish relationships with customers.

Promotion

To promote our company we will use several ways including the following.

  1. Web advertisement in popular estate agent websites (i.e www.rightmove.co.uk)
  2. Advertisements to business press (i.e financial times). We want a part of the promotion strategy to be targeted to potential clients (construction companies, government etc.)
  3. Radio advertisements which are relatively inexpensive ways to inform potential local customers about our business. Mid-to-late week we believe that is the best time to run our radio advertisements.
  4. After we become strong in the local area we will make television advertisements which allow access to regional or national audiences, but may be more expensive than other options.
  5. Furthermore we will have direct mail and printed materials, including newspapers, consumer and trade magazines, flyers, and a logo, to explain what, when, where, and why people should buy from us. We will also send letters, fact sheets, contests, coupons, and brochures directly to new or old customers on local, regional, international levels. This king of mass advertising targets individual clients.

What's more our company web site will provide useful information to interested consumers and clients. We will also have password-protected areas which allow users to more intimately interact with us. In addition we will collect detailed customers information so we can e-mail them about new services etc.

Finally a good public relations program it is a very important component for our wellness and includes being a good neighbour, and being involved in the community with some charities, evens etc.

Marketing proposal

Marketising the business successfully is crucial in getting it off the ground. In this section we will present our views and ideas on the best way to promote SSC to our potential customers. Our plan includes advertising and marketing so as to spread the word. We intend to use a variety of mediums to achieve our goal. These include:

  • Word of mouth: we will encourage friends, family and existing customers to recommend our company
  • Leaflets/brochures/business cards: our main priority is to have have information pieces about our company
  • Notices: creation of promotional cards to stick in shop windows, on notice boards
  • Website: These days, most people use the Internet to find services. It will be easier and cheaper for our company to update a website than printed promotional items. We can also advertise on other sites to encourage people to click through to our website. Also, having a website will enable us to reach a wider audience through facebook and google personalised advertising, etc.
  • Local newspapers and trade magazines: we intend to promote SSC with advertisements and editorial coverage, as people can be really supportive of their local businesses. Moreover, advertisements in trade magazines can be ideal for a small, well-defined business audience, but can also be expensive.

Cash flow

SSC as a new company will invest some capital at the beginning in order to get the market (advertisement, labour and equipment) and will show some negative numbers for the first months of operations. This will be normal and expected, since the expenses will be covered from the invested capital while the company will follow a growing path. Next an analytic monthly cash flow for the first year is apposed with some numbers being the critical point to the company's developing process.

1st month

2nd month

3rd month

4th month

5 th month

6 th month

7 th month

8 th month

9st month

10 th month

11 th month

12 th month

Cash received

Cash from project mngmt

2000

2000

3000

4000

6000

8000

9000

10000

14000

18000

22000

25000

Cash from Homebuyers reports

2000

2000

3500

4000

4000

6000

8000

9000

11000

13000

14000

15000

Cash from building surveys

2000

2000

3000

3000

5000

5000

7000

8000

11000

15000

18000

20000

Cash from tax returns

0

0

0

0

0

0

0

0

0

0

0

15000

Cash from subsidies (UK / EU)

0

0

0

50000

0

0

0

0

0

0

0

0

Cash from report sales / outsource services sales

0

0

0

2000

2000

2000

2000

2000

2000

2000

2000

2000

Total cash

6000

6000

9500

63000

17000

21000

26000

29000

38000

48000

56000

62000

Main Expenditures for:

Salaries

22000

22000

22000

22000

22000

22000

22000

22000

22000

22000

22000

22000

Running expenditures

500

500

500

500

500

500

500

500

500

500

500

500

Bills

500

500

500

500

500

500

500

500

500

500

500

500

Plant Rents

1500

1500

1500

1500

1500

1500

1500

1500

1500

1500

1500

1500

Interest repayments

3000

3000

3000

3000

3000

3000

3000

3000

3000

3000

3000

3000

Advertising

10000

5000

3000

2000

2000

2000

2000

2000

2000

2000

2000

2000

Taxes

0

0

0

0

0

0

0

0

0

0

0

0

Technology and other equipement

10000

1000

500

500

500

500

500

500

500

500

500

500

total expenditures

47500

43000

40500

40500

40500

40500

40500

40500

40500

40500

40500

40500

NET CASH FLOW

41500

37000

31000

22500

23500

19500

14500

11500

2500

7500

15500

21500

Cash flow table details

Salaries are given as follow

Position

Annual Salary (£)

Total for all employees (£)

CO

30000

30000

General Manager

24000

24000

Managers

20000

60000

Surveyors

18000

18000

Staff

14000

14000

The personnel's annual salaries are relatively small and are going to increase by the end of year 1. The lack of experience is the main criterion for the set salaries

Outsource services sales refer to surveys than the company will sell to other companies as outsourcing.

Running expenditures include petrol, accommodation during surveying etc.

3-Year Cash Flow Estimations

YEAR 1

YEAR 2

YEAR 3

Cash received

Cash from project mngmt

121 000

250 000

350 000

Cash from Homebuyers reports

91 500

150 000

200 000

Cash from building surveys

99 000

220 000

300 000

Cash from tax returns

15 000

30 000

45 000

Cash from subsidies (UK / EU)

50 000

0

0

Cash from report sales / outsource services sales

18 000

102 000

114 000

Total cash

379 500

737 000

1 009 000

Main Expenditures for:

Salaries

264 000

300 000

345 000

Running expenditures

6 000

10 000

12 000

Bills

6 000

8 000

10 000

Plant Rents

18 000

22 000

35 000

Interest repayments

36 000

36 000

36 000

Advertising

36 000

25 000

25 000

Taxes

0

30000

40000

Technology and other equipement

16 000

6 000

6 000

total expenditures

382 000

437 000

509 000

NET CASH FLOW

3000

300000

500000

Salaries will get a raise of 10% after the first year and 15% by the end of the second year

SSC expects to double turnovers for the year 2 and around 30% for the year 3, after strategic expansion (new markets, new locations).

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