Business Proposal
Sunshade Designs. &
Zero Carbon Future Homes
Mark Goodrich
OFFER
$50,000 CASH
$75,000 LINE OF CREDIT
12% INTEREST ONLY FIRST YEAR $500/MO
12% SIMPLE INTEREST OVER THE NEXT 3 YEARS $1660.93/MO
THIRD YEAR FORWARD 2% OF NET PROFIT IN PERPETUITY . BY 5TH YEAR YOU SHOULD BE GETTING ABOUT $24,000 A YEAR. AND, IT WILL ONLY GROW FOR YOU
LINE OF CREDIT
12% ON END OF MONTH BALANCE OF LINE PER MONTH (LINE OF CREDIT WILL BE PAID DOWN WITH THE 35 TO 50% MATERIAL COSTS AS CREDIT JOBS FUND ON COMPLETION / CASH JOBS WILL PAY FOR THEMSELVES AS CUSTOMERS WILL PAY 50% DEPOSIT)
SUMMARY
Compared to most businesses these days. These Projects are what homeowner's truly want and need. This will be a great profitable operation with a minimum investment.
This is a two-part business plan. The first part is to install products that are easy to install and fast turnaround. We will become profitable within three to six months. The name of this company will be Sunshade Designs. (Below you will see a more detailed explanation of the products to be sold)
Once we become profitable and run the company for a good 6 months profitability. Or about 1 year in total. Just to make sure everything is running smooth before we move forward to the second part.
The second part of this company will be building modular zero carbon footprint home. And retrofit existing homes to become zero carbon footprint home.
The first step will be to do the final research and development to make sure we have a perfect product. I already have 80% of the R&D completed. We will be ready to sell a final project at beginning
second year. (R&D will be finished during second half of first year
Run this business for 5 years to make sure that it is and growing at a 50% year over year growth at least.
ULTIMATE GOAL
Start franchising the business. The name of this company will be
Zero Carbon Future Homes.
OFFER
$50,000 CASH
$75,000 LINE OF CREDIT
12% INTEREST ONLY FIRST YEAR $500
12% SIMPLE INTEREST OVER THE NEXT 3 YEARS $1660.93
THIRD YEAR FORWARD 2% OF NET PROFIT IN PERPETUITY . BY 5TH YEAR YOU SHOULD BE GETTING ABOUT $24,000 A YEAR. AND, IT WILL ONLY GROW FOR YOU
Products
The two of the most neglected areas of new construction is insulation for the home and shade for the backyard and many subdivisions don't have front porches.
therefore, these products I have listed below some of the most requested Home Improvement projects in Georgia.
not only are they popular projects. But, they are fast turnaround and easy to install.
1. RETRACTABLE AWNINGS
2. RETRACTABLE SCREEN WALLS
3. PERMANENT INSULATED ALUMINUM COVERS
4. PERMANENT INSULATED ALUMINUM SCREEN ROOMS
5. MINIATURE MODULAR HOMES
(Soon to be part of the zero carbon Footprint homes)
6. BLOWN IN INSULATION
7. SPRAY FOAM INSULATION
8. COPPERFLEX
Why This Is Needed In The Marketplace
over 90% of the uncovered decks and patios go unused. Because of the hot sun, the large amount of bugs and the amount of rain we get.(maybe not this year)
That is why Georgia installs more after market covers and screen rooms than any other state. Unlike Florida that usually build them as they build the house.
Because of the codes in Georgia houses are way under insulated. Leaving it to the homeowner to insulate his own home or hire somebody to do it.
Patio covers and retractable awnings are an an expensive way to create shade on your deck or patio.
Awnings can be motorized. But only work on straight walls. They come with accessories including screen drapes, side shades, lighting, and storm sensors to automatically retract when needed.
Screen rooms and sunrooms are the next evolution for decks and patio comfort. Screen rooms make the deck comfortable for nearly four seasons at least 31/2 seasons.
Sunrooms are considered Four Season rooms indoor square footage. Therefore you can enjoy the outside while being inside all year around.
All of the products that I use are of the highest quality with the longest warranties available. the manufacturers that I purchased from I have had long-standing relationships with and Trust the material to be the best available in the industry.
THE CREWS AND OFFICE STAFF
The offices staff will consist of;
MARKETING MANAGER
Manage callers and canvass crew
Confirmer
Two full time callers
Two part time canvassers
OFFICE MANAGER
Second in command
Accountant
Manage staff
WEB MASTER
RECEPTIONIST
answer phones
Data entry
Set up shows and events
4 part time event event staff
SALES MANAGER (ME)
Train 2 salesmen
Sales
NOTE: We will build staff up as production warrants.
The skeleton staff we start with is;
Office manager
Receptionist/confirmer
Web master/work events
Installers
Sales manager/production manager (me)
Crews
2 multi taskers
The crews that I will employ are specialists at what they do and are some of the best in the industry. The crews that I use I have known and trusted them to do my work for no less than five years some as much as 15 years. We will have a production manager that manage the day to day installations.
Because these products are in high demand and are quick and easy to install. I expect the company to be turning a profit within 3 to 6 months. If we start getting higher volume than I expect in the beginning it will take a little longer to show a profit because we will have to invest more in materials. However, that is a good situation to find ourselves.
WHY WE WILL BE DIFFERENT
We need to complete jobs ASAP. Call every customer once a week and update project. Even if it is just to tell them we are still waiting on permit or material etc... Start with a welcome call within 24 hrs. Sale. Check on them at completion to make sure they are happy.
Any problems are all hands on deck fix immediately. Most customers will be reasonable with a bump in the road if you just communicate with them. We will under promise and over deliver. Give them something extra. A small thank you gift, or, a small extra on the job. It doesn't have to be much. It has miraculous effect on the customer.
Not only will our company maintain a great reputation. We will be able to create a profitable referral and repeat business program.
THE REASON MOST CONTRACTORS FAIL
They don't put customers first. Most contractors will sell a job, then, shelf the job for 2 to 3 weeks not even call customer once. They don't communicate with customers. Most problems are pushed back especially on customers that have paid in full. They over promise and under deliver. No references and no repeat business.
Current Stage and Progress Thus Far
The company is passed the planning stage. I am ready to hit the ground running. Once funding is in place.
First step is to purchase a 5 year or older shelf corporation. Two reasons for this move
1. We need the years in business to setup financing options for the homeowner's.
2. It gives us time in business to join the BBB.
3. It gives our prospects piece of mind that we will be there for them in the future.
Second step open an office to accommodate the marketing and phone room, a front office and production planning and execution.
Third step is to implement marketing program.
Run the first year at this pace to make sure we are a smooth and steadily growing business.
Forth step is to open the RESEARCH AND DEVELOPMENT section to develop a program to remodel homes to become zero carbon footprint homes. And, build new modular zero carbon footprint homes.
Fifth step implement marketing the program. This is the product that will make us a multi-million dollar a year company. No other company in the world is doing this program this way. And, I think you will agree, it is innovative and a product that is needed badly in the world today.
Ultimately, I would like to seperate the zero carbon Footprint program. franchise this program. Keeping the original 7 products as my retirement plan.
Target Market and Users
The overall Market of course is all homeowners in Georgia. We will also do commercial jobs if they arise though we will not be marketing for them.
Metro Atlanta will be our target market. anybody Within 30 miles of Highway 285.
The reason for this decision is that the smaller outer lying towns are either vacation homes poor folks that use the local unlicensed handyman. This is not scientific data. This is day to day experience I have formed running leads for 17 years
There are almost 1,000,000 homeowner's in Metro Atlanta. taking into consideration that 30% will not be interested for financial reasons. that still leaves 700,000 homeowners to Market. And, that's not counting new home buyers in second phase.
THE FIRST PHASE
The average sale will be approximately $7,600. at only $200,000 in net sales per month. 60% covers material and labor for installation. 25% covers all other business costs. leaving a 15% profit. This is minimum goals for the first and second year. That's $2,000,000 Gross receipt.
THE SECOND PHASE
We will grow to approximately $25,000. at only $500,000 in net sales per month. 60% covers material and labor for installation. 20% covers all other business costs. leaving a 20% profit. This is minimum goals for the third year and beyond. That's $6,000,000 in gross receipts.
Plan to grow by 50% year over year. Until we feel it's the right time to start the franchise program. I admit that is an ultimate goal, and, I have not even started research yet.
Marketing Plan
Create immediate leads purchased from lead generation companies.
setup shows and events to generate leads.
Join contractor lists at Home Depot, BJs and Lowes. These areas will generate enough leads to net approximately $200,000 in net sales per month by the second month. Then start building our website presence. And, start getting creative in producing more leads and growing the net sales.
The two best performing marketing plans that work well without spending to much money. The first is a well run online marketing plan. the second is joining as many community events and shows as possible. Several every weekend.
FUNDING
$50,000 CASH
$75,000 CREDIT LINE (WHERE CREDIT LINE IS NOTATED WILL ONLY BE USED IF NEEDED)
Purchase a shell corporation at least 5 years old. the reason for this is twofold first most banks that Finance customers projects require that the business be established for at least five years. secondly it gives us a heads in the marketplace to be able to say we've been in business for 5 years
Business License, Contractors license, Bond, Insurance and building lease $16,500
Build-out workspace $25,000
Office supplies, desks, chairs, phones and computers. $5000
Purchase first 100 leads $3500
First month marketing $10,000 credit line
supplement first month payroll $15,000 credit line
Fund first 5 jobs and emergency fund $50,000 credit line
Current Team and Required Skillsets
I have a majority of staff and crews lined up to start once funding is in place.
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