Opportunity
Problem
This business launched in the right moment, given the current political climate with increased terror fears and the economic climate which promises an increase in outsourcing services in general. The business will target large retail stores and building management companies first in order to establish a strong base of clients in Coastalburg.
Solution
Batten-Hatchez Security can take the worry out of security guarding for your buildings, facilities and events. We provide excellent customer service to our clients and offer in-depth training to our employees.
Market
[Note: marketing info here is out of date; included for illustration purposes only. Dates have been changed.]
According to IBISWorld there were 41,000 security service firms in the U.S., with 56,000 locations. The average size of a firm was $700,000 revenue per year based on these numbers, meaning that the industry includes both small and larger companies. The capital investment required to start a business is low and there are very few barriers to entry. A supply of labor is essential for the industry. This includes retired police officers who often serve as security guards.
As security guard services are sold business-to-business, marketing and advertisement is generally targeted on the markets and industries the security companies seek to serve. Businesses generally search for security guard providers on the Internet or through referrals from other companies they trust.
Competition
[Note: marketing info here is out of date; included for illustration purposes only. Dates have been modified.
Top players in the industry include Securitas AB, Allied Security LLC, The Brink’s Company, and G4S plc. Many large players provide services for a vast range of markets, including governments as well as chemical and/or petrochemical colleges and universities, commercial and financial institutions, medical facilities, health care centers, manufacturing and industrial, residential areas, shopping centers, and temporary protection services.
Why Us?
Batten-Hatchez Security is a security company that will take away the worries of clients who need security guards to protect their facilities, buildings, and events. They provide excellent customer service and extensive training for their employees.
Expectations
Forecast
The company expects to achieve respectable sales for the first year, and nearly double that by the third year. The industry average gross margins are based upon guard labor costs vs. bills. After the initial investment and launch, which saw a small first year and the establishment an office and training area in the second year, the company will be able to expand its operations with its own financing. If the business proves to be replicable in additional cities it could be sold to make way for the original investor and the founders.
Financial Highlights by Year
You will need financing
The $76,700 investment as follows:
Louis Giordano $15,000
Jared Case $15,000
Unspecified family/friend investment: $46,700