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Businnes Plan

Software Publisher Business Plan


Software Publisher Business Plan


Supple Software Company (S Corporation) was founded by Ralph Smith and Mabel Smith. The company was established in 1993. There have been no outside investments. Supple currently sells three different products of software that have impressive market share. Ralph and Mabel would like to see the company grow by 2000.

Supple’s objectives are ambitious yet achievable. There were sales growth in 1999. The next year, they expect to double. They also forecast commensurate gross margin increases and net profit increases. Their goal is to hold personnel to one employee for every $250,000 in revenue. PC Data measured their 30% market share with Product X as their flagship product. The three keys to success are market power, customer happiness, and the right management.

The Market

Supple will be participating in a $3.8billion market with a 20% growth rate over three years. Supple will target four customer segments: professionals, academics, home offices and small offices. These markets are experiencing growth of 2%, 5% and 8% respectively. These markets each have potential customers of 22,000-15,000, 10,000 and 12,000 respectively. These numbers are for the USA market. International sales is the dominant trend in the market. The recent Internet boom has prompted a substantial increase in international PC sales. While the US market has seen 22% growth for the last three years, it is estimated that the international market will grow at 40%.

The Products

Supple Software currently has three products. Product X is the most popular Windows task X product and the quality leader. It offers a user-friendly interface with help and glossaries. Product Y can be used as a standalone task Y application on Windows. It is the best product for creating task Y. And it’s also the only product that allows you to manage the [omitted] function day-to-day. Their last product was Product Z, which is a creative business process application.

Strategy

Supple will follow four concise strategies to achieve the desired growth. They will design customized versions of standard products for customers who are looking for more value. They will create a solid marketing network. This will enable them to launch their products onto the market. Supple will remain focused on small to medium size companies, the segment that has been largely ignored by the competition. Lastly, Supple will focus on follow-up technology which is more appropriate for the masses, instead of leading technology which is best suited for experts.

Management Team

Mabel and Ralph have a wealth of experience as managers, capable of executing ambitious strategies. Arrog International brings Ralph 10 years of marketing and sales experience. Supple was founded by Ralph in 1993 as a distribution firm for software. Mabel will also be needed to grow the company. Mabel’s years of experience as a consultant will be tapped.

Supple Software was founded in 1993 as a small company. Since then, the company has grown into a $1 million business with increased revenue forecasts. This is all the more impressive when you consider that this was all done with investments from the owners, no outside capital was secured.

1.1 Objectives

  1. To increase sales in 1999 and double sales again in 2000.
  2. To increase gross profit margin and net margin in the appropriate manner.
  3. For every $250K in income, 1 full-time worker must be employed.
  4. Maintain at least 30% of the market share for Product X as measured by PC Data.

1.2 Keys to Success

  1. Marketing power. It is important to ensure that your products are on the shelves in attractive packaging. This will allow you to retain a 30% market share as measured by PC Data.
  2. Quality product and customer satisfaction. We guarantee everything we sell, so the product must live up to our promises.
  3. For our survival, it is crucial to ensure that customers are satisfied for the long-term.
  4. The right management team has solid foundations for marketing, management, finance and product development. Enough working capital to survive in the working-capital-intensive retail channel.

1.3 Mission

Supple Software creates, publishes and markets business tools as well as business knowledge in a single software product that includes documentation and software. It makes business methods accessible to millions, even to people who wouldn’t otherwise have the ability to use them. It generates profit and cash. It provides a stimulating work environment, fair pay to its employees, a fair return on its owners, and a fair royalties to its authors.

Businnes Plan

Magazine Publisher Business Plan


Magazine Publisher Business Plan


The Group Publishing, Inc. (Group Publishing) is the publisher of “Artists In Business” magazine. The magazine, which printed the first issue in July/August 1996 and is directed to artists of all levels within the United States, has been published several times since then. The management of Group Publishing is targeting a total combined circulation of “Artists In Business” of 206,000 in year one, increasing to 310,000 by the end of year three. The magazine will be published bimonthly with increased presses during the first three-years. Subscriptions can be built using sample distribution, organizational sale, and direct mail targeting artists.

In addition, Group Publishing will market books via direct marketing and through established artist distribution channels. Group Publishing will market books directly through its magazine readership.

Publishing is a high-profit, high-margin business. Successful marketing is the key to success. To increase its total distribution base quickly, the Group employs a multi-dimensional sales strategy and marketing plan. The same channels and methods were utilized to establish a circulation of 500,000 in the first year for the Visionary Artist’s periodical.

The Group’s plan, if executed well, will result in sales revenues of $3.1million the first year, $4.8million the second year, and $6.4million the third year. Net profit will increase steadily over the next three years.

The following chart shows you the highlights of your business plan. Each year, sales, margins, as well as net profit, increase. The marketing costs involved in building the base of circulation are the reason for the lowest margins.

1.1 Objectives

The initial objectives of The Group are as follows:

  1. To raise $150,000 seed capital to ensure publication by the second month and to create a cash reserve for market subscriptions.
  2. Direct sampling and advertising will help to achieve 90,000.
  3. To reach an additional 50,000 subscribers in year one by means of organizational sales.
  4. To have 10,000 more two-year subscriptions sold.
  5. Two 36 page issues will be published initially, each with 50,000 promotional copies.
  6. To go to 48 pages for issue number three and increase presses runs to 75,000 promotional copy.
  7. Increase to 100,000 promotional copies in issues five and six.
  8. Increase average ad page cost from $1,819 to $2,618 by the end of the first year.
  9. Achieve an average of 17.5 Ad Pages per Issue during the first year.

1.2 Mission

“Artists in Business” magazine is for any artist who works at any level. The magazine has a commitment to be a platform to profile artists who are representing artistic vision in the marketplace and who can both encourage and provide role models to other men and women. Group Publishing through its magazine, books as well editorial content will provide information to artists about artistic principles in everyday businesses and encourage interaction among businesspeople. Our mission is to spread the idea of “community” in the workplace.

1.3 Keys to Success

These are the keys to your success:

  • Attaining the targeted circulation levels
  • Controlling costs while spending the most money on subscription marketing in the first year.
  • Monitor all media executions carefully for response rates.
  • Follow-on marketing of two to four book titles in the first year.
  • Attaining targeted advertising sales revenues.
  • Each issue should contain quality editorial content.
  • Every issue must be printed and distributed on time.