Creating a Student-Run Business

Tech Leaders Final Project

What's first, dream or team?

• Team First: You need skilled people to be able to succeed. Who you have determines what you can do.

• Dream First: You need a goal to organize your work. You need to find a business model that will succeed.

Business Plan: Long Range Map

• The greatest cause of business failure is poor management and lack of planning.

• What is your immediate goal? Ultimate goal? How do you get there from here?

• Reason for Goal (Leverage, Value Added)

Define Product

• Brainstorming

• Researching

• Diagramming

• Q&As;

Brainstorming: Products

• Bronx hardware repair: cheap and local

• computer training: cheap and patient

• web design: cheap and flavored and translated

• logo design (graphic design): style

• for educational websites, participatory design / test drives

Fast, Cheap and Good

• You can only do two out of three
  • Fast and Good = expensive (Fed Ex)
  • Cheap and Good = takes a long time
  • Fast and Cheap = it breaks

Leverage: UHHS Connection

• Alternative Schools Network - free advice, free referrals =>maintain UHHS hosting
  • quid pro quo
  • virtual collaboration
  • Grantwriting as a public schools

Leverage: Da Bronx

• Bronx Location
  • gets the local business for hardware stuff
  • neighborhood contacts
  • QUESTION: what�s the competition
  • Community Board 5 =>
  • Ferrer wants to be Mayor - can we help him help us?

Leverage: We�re Teens

• We�re Teenagers
  • We�ve got style=> Partnerships with Kid Market
  • We use teens of parents as middlemen
  • If students are market, w�re more accessible

Define income objectives

• What�s your initial margin?

• What�s your sustaining margin?

• What financing will you need?

Define operating procedures

• How do you attract customers

• Where and how do you work?

• What�s the size of your staff & facility?

Financial Plan

• Attract investors

• Obtain creditors

• What are your sales goals?

Milestones to Reach Goal

Format of Business Plan: Cover Pages

• Title Page: Name, Address, Staff

• Statement of Purpose: What do we sell to whom? Explanation: Why's the need?

• Table of Contents

• Business Description: Product, Production Process, Who does what, Where's the leverage & value added?

Format of Business Plan: Market Analysis

• Who wants us, and why?

• Evidence that target market exists?

• How will you reach them?

• What's the marketing plan (publicity, direct sales, partnerships with existing businesses).

Format of Business Plan: Competition Analysis

• Strengths and weaknesses of existing businesses.

• Talk to "indirect" competitors - those serving different locations who won't mind.

• Develop a survey to administer.

• Read trade association publications.

Format of Business Plan: Business Location

• Where will you office be?

• How will your day be structured between onsite and off-site work?

• How will you get from there to there?

Format of Business Plan: Management Structure

• Jobs, Titles, duties, functions, resumes.

• Folks invest in the "top managers" who show determination, mature judgement under fire, and innovative problem solving.

Format of Business Plan: Financials

• Plans for Growth: 3 years

• Projected Profit/Loss/Operating

• Explanations of Financing for Growth: think grants, relatives, local banks."Silent partners". Visit Small Business Administration Office for help.

• Documentation: credit report, etc.

Format of Business Plan: Closing

• Summary and Outlook: Story of how you started this.

• References and Resume's

Financial proposal: request for money based on business plan.

• A one-page cover letter

• A website

• A �folder�