Michael’’s Video Service utilizes the most current technology to provide video production service. This allows the services to be of the highest quality possible, a standard that is not available in the market for video production companies.
Michael’’s Video Service, a brand new company, will need to be accepted by the market. The company is working on identifying trends in the industry and the customer’s needs.
Our services are available to many markets, such as television stations, companies and high schools. We will initially target high school students with whom we can make strategic alliances. This will allow us to develop long-term relationships. In our first year of operation, we believe we can capture 15 to 25% of the market, which translates into $100,000 – $130,000 in sales.
We estimate that we could earn $149,000 in our first and second years respectively, and rise to $175,000 in the second and third year. Our market strategy will be to advertise and capitalize on the services that our competitors do not offer.
We will be competing with several other companies. We have a competitive advantage, however, because our equipment is more aligned with the video production industry trends requiring digital technology, as opposed to analog devices.
The company is in need of a loan to fund the purchase of equipment and associated expenses. The company’s revenue projections for the first three years are $149,000, $175,000, and $191,000, respectively. Michael’s Video Service expects to achieve profitability early on.