Business Plan - Web Design

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Business Plans Handbook, Volume 19, Finals 13/9/2010 3:39PM Page 225

Web Design
Web Wizards

6678 Ardmore
St. Clair Shores, MI 48081

Heidi Denler

Web Wizards is being formed as a partnership that will be owned and operated by brothers Frank and Mike
Jestar. The company will be a home–based business in St. Clair Shores, Michigan, a middle–class suburb of
Detroit, with many small businesses and no shortage of home–based businesses.

INTRODUCTION
Web Wizards is being formed as a partnership that will be owned and operated by brothers Frank and
Mike Jestar. The company will be a home–based business in St. Clair Shores, Michigan, a middle–class
suburb of Detroit, with many small businesses and no shortage of home–based businesses.

MANAGEMENT SUMMARY
Frank and Mike Jestar are determined to follow their grandfather’s admonition to ‘‘Find something you
really enjoy doing and figure out a way to get paid for it.’’ They are self–proclaimed computer geeks, having
excelled in every computer programming and skills class they took beginning in middle school. Before they
even started high school, teachers, family members, neighbors, and friends were asking for their assistance
with programming, web site design, set–up, and repair of their computers. Their reputation in the area has
continued to grow and their services have been in demand, leading them to decide to start Web Wizards.

MISSION STATEMENT
Web Wizards will offer fast, reliable quality programming, web site design, and technical assistance to
individuals, small businesses, and home offices for set–up and repair of personal computers.

VISION STATEMENT
The future of Web Wizards will be based on referrals from current and future clients, as well as through
media advertising. Client satisfaction will play a part in growth as it will lead to additional referrals from
returning clients. Quick response, expertise, and high quality will create stability in a customer base and
lead to expansion of that base.

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WEB DESIGN

VALUES STATEMENT
The Jestar brothers are committed to providing timely, quality service and practical solutions to the
clients’ computer issues, upgrades, and programming at a reasonable, competitive rate. This will
encourage customer loyalty in the form of repeat business and recommendations.

BUSINESS PHILOSOPHY
Clients of Web Wizards will experience friendly, on–time, quality service along with customer education,
reliability, and availability for all their computer needs, from set–up to trouble–shooting technology problems.

GOALS AND OBJECTIVES


Frank and Mike Jestar have set financial goals based on past and current experience helping friends,
neighbors, and teachers. They project that they will generate adequate profit to build their fledgling
enterprise and finance growth in capital furnishings.
Customer relation goals are equally clear and based on experience. Providing friendly, high–quality,
timely service and assistance will generate relationships with customers that will benefit both the owners
and the customers.
At the outset, promotion and advertising will be low–key, including flyers distributed to neighbors and
posted on college campuses. The brothers will talk with managers of local office supply stores to
encourage sending customers their way. Their high school and middle school technology teachers have
already offered to send customers to them when asked by students or parents for assistance.

ORGANIZATION STRUCTURE
Web Wizards will be run as a partnership between brothers Frank and Mike Jestar. They will share
equally in the responsibility, workload, and profits of the company. They expect to be profitable
immediately because they will be using their home as their base of operations and have the majority
of equipment needed since they are expanding what has been a hobby that has generated some income
into a for–profit service.
The Jestar brothers’ philosophy is to avoid debt and plan to start their company with as little expense as
possible, following the concept that this type of enterprise is ideal for entrepreneurs. Start–up expenses
will be minimal and will be completely financed from the Jestar brothers’ savings. Those expenses
include typical start–up paperwork and filing (legal, accounting, state/federal/local licensing, etc.), cash
reserve of at least one month’s rent, and cost of equipment (all–in–one printer, fax, voice mail, paper,
and printing for flyers, brochures, etc.).

ADVERTISING AND PROMOTION


Web Wizards will initially create a logo that incorporates a stylized computer theme. That logo will
serve as a watermark for their stationery, and will be included on flyers, brochures, business cards, and
car magnets that they will place on their personal cars. A friend who is a graphic artist is working with
the brothers to design a unique, recognizable logo.

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WEB DESIGN

The company will use the logo on its brochure and flyers, and incorporate it into the software template
used. The logo will also be on every web page designed by Web Wizards, with a link to the company’s
own web site.
The Jestar brothers will network with local computer and office supply stores, as well as with such
business organizations as the SBDC and Chamber of Commerce, to form alliances for promotion. The
stores and organizations may also become clients of Web Wizards while they are providing leads for
new clients.
The brothers will share brochures with current customers announcing their new venture. They are
considering leaving flyers at neighbors’ homes. A website is being built to promote Web Wizards.

CUSTOMER BASE
The partners expect to broaden the customer base by word of mouth referrals from friends and
neighboring businesses, as well as through flyers, advertising, and e–mail contact. Seniors will be offered
a 10 percent discount on all services. The brothers expect customer, store, and organization referrals to
build their customer base.
Customers will include individuals with home computers, owners of home–based businesses, small
businesses with under 100 employees, and medium-sized businesses with up to 500 employees all using
computers that will require set–up, software and hardware upgrades, networking, trouble–shooting,
data recovery, data storage, and repairs.

PRODUCTS AND SERVICES


Frank and Mike Jestar will provide all services for their clients. They are committed to staying up–to–
date with cutting edge technology to remain competitive.
Web Wizards will provide timely, reliable, quality technical assistance for individuals, small businesses, and
home office workers at a competitive, reasonable price. The main services offered will be technical (billed by
the hour), retainer (contract work for specific skills, web site design and maintenance), and consulting.
Technical services will be billed hourly. They will provide the client with immediate solutions to a
software or hardware problem, whether it is emergency or non–emergency. These services are typically
short–term responses to find solutions for immediate problems.
Specific skills will include set–up and consulting (for purchases), system optimization, network
administration, education, repair, data recovery and storage, and data protection. Retainer services will
include traditional consulting, system maintenance, including upgrades to the clients’ systems, and
network administration. This area will also serve for web site design and maintenance.
Consulting services will be billed by project or by retainer, depending on the client’s individual
requirements. Frank and Mike Jestar will be available to consult on hardware and software purchases,
system installation and troubleshooting.

LOCATION
The Jestar brothers will operate from their home in a spare room. They will expand slightly on materials
they currently have that has been collected over the last several years. Each has a computer, which they
will link so they can use them to chat while on service calls if necessary.

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WEB DESIGN

They will invest in a portable wi–fi through Verizon wireless USB modems that will allow them to stay
connected to the Internet regardless of their location when working at a client’s home or business.

EQUIPMENT
Web Wizards will make use of two laptop computers, one desktop computer, LAN, Verizon mobile
broadband, miscellaneous screwdrivers, wiring tools, soldering iron, etc.
The office area of their work space will hold a desk with chair, filing cabinet, all–in–one printer/copier/
scanner, fax, and shelving for holding paper, brochures, flyers, and such office supplies as pencils, pens,
binders, and printer cartridges.
The owners’ personal cars will be enlisted as traveling advertisements with magnetic ads on each side
and rear end.

FINANCIAL
Start-up costs will include standard licensing and registration fees required by federal, state, and local
governments. The Jestar brothers will incur federal, state, and local self–employment taxes, key man
insurance, property and liability insurance geared specifically for home–based busineses, cellular
phone and linked wi–fi access, an upgraded alarm system, and advertising. As noted, specific insurance
for home–based businesses include loss of business equipment due to theft, damage, or natural
disaster; property liability, such as a client being injured on the Jestars’ property; and loss of business
income due to any number of reasons.

PROFESSIONAL AND ADVISORY SUPPORT


Legal matters will be handled initially by the family’s personal attorney, who is a general practice attorney
and is familiar with the legalities of small businesses. A local CPA will manage financial matters.
The Jestars will work with Mike Rowe, their personal financial consultant to ensure life, health, and
dental insurance coverage. They have an established relationship with Charter One Bank that they will
continue for business use.

BUSINESS AND GROWTH STRATEGY


The owners of Web Wizards will remain up–to–date on technological developments in the industry.
They will also keep their equipment upgraded to meet the demand of their clients.
Client growth will be separated according to type and size. The Jestar brothers will continue to work
with individuals who need their services to set up a home computer, load software, install hardware
upgrades, and/or troubleshoot problems with the clients’ system. This segment will be phased out,
however, replaced with home office and small businesses.
Home offices will become an increasingly important segment of Web Wizards’ business. According
to market research, this is the largest and fastest growing segment in the U.S. economy. The Jestar
brothers will be able to easily identify with these customers, as well as provide optimal, reliable
service for them.

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Medium-sized businesses (with up to 499 employees) will be a small segment of Web Wizards clients, as
will large businesses. Within two years, the Jestars project that these two segments will grow to become
at least 50 percent of their business.
Strategies for growth for Web Wizards include networking, referrals, and web site promotion. The
brothers will use current contacts and clients to increase their network and identify new clients through
referrals. They will promote the company web site, which will be a platform for the owners’ skills and
expertise. It will serve as an e–brochure and point of contact for potential clients to ask questions. In
addition, Web Wizards will have a presence in the Yellow Pages, classified ads, display ads, and such
local media outlets as newspapers, magazines, and local cable TV.
The Jestars will work with a local PR guru to prepare and send an announcement of Web Wizards to
current clients and contacts, as well as press releases to local media. They will concentrate on current
relationships, networking for referrals. Customer satisfaction will be the final key in the growth strategy
for Web Wizards.
The demand for computer repair is driven by computer issues and crashes, rather than by client
demand, which the Jestars recognize. However, they seek to be the first call when computer disasters
strike. System and software upgrades will offer Web Wizards the opportunity to provide quality service
so they will, in fact, be the first responder to computer emergencies.
Web Wizards will focus on the few businesses not yet using computers, or underutilizing them; small
businesses looking to upgrade to multiple computers for their employees that will be linked; trouble
shooting specific problems; and custom computer programming and analysis.

COMPETITION
Big box office supply stores, such as Staples and Office Depot, and stores that specialize in computer
sales will offer the greatest competition to Web Wizards. However, the Jestars are confident that their
personal service, which will be quick and reliable, as well as in home at no extra charge, will give them a
competitive edge over the big box stores that require in–store drop–off and lengthy service time because
of shipping to outside sources.
Industry research indicates customer loyalty in this field, which continues to grow and has not yet
reached a saturation point.
Web Wizards will set its price scale based on prices charged by the competition, charging less whenever
possible, and never charging more. They will have hourly, retainer, and project pricing in keeping with
local computer repair and consulting companies.

WEB SITE
Web Wizards is developing a web page that will serve as an e–brochure and be a contact point for
interested clients. The web page will also serve as a source of information about services offered and the
Jestars themselves. It will highlight their experience and expertise.

CONCLUSION
Client satisfaction, Web Wizards’ reliable, timely service and expertise, and competitive pricing will
enable the Jestar brothers to retain current clients and gain new ones across the local business and home

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computer users. Continued growth in the use of computers for home and business use will serve to help
Web Wizards grow as well.
Through marketing and networking, in addition to quick response, quality service, and outstanding
client relations, Frank and Mike Jestar project that Web Wizards will be profitable immediately.

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