Grant Proposal for New Venture

The Villanova Calendar CompanyMarch 16, 2005

Organizational Chart

Michael BieselinLead Entrepreneur/CEO

Daniel DucaCFO

Robert NydickCMO

Megan WilliamsCPO

Wayne SangsterVP – Accounting

Rory VerducciVP – Marketing

Travis McMenimomVP – Marketing

Adam SiegristVP- Productions

Mission Statement

• To provide a resourceful and informational product that can be widely used by the Villanova Community

The Product

Text

Text

Text

14 month, academic, wall calendar with option to tailor-make calendar

- Months on lower half - Pictures on upper half

Functionality component & affinity component…goal is to produce a product that has an intrinsic value beyond the run-of-the-mill calendar

Also…possibility of poster-calendar

- More appealing…can be thought of as art- Reduce production costs & lead time

Target Market Segments to be Served

Villanova Students (on campus)

• Faculty and Staff (on campus)

• Alumni (newsletter and website)

• Incoming students and their families

(Candidates Day)

Revenue Streams

Individual Sales

Group Sales

Consignment Sale to Villanova Shop

Marketing Research

A high percentage of students at Villanova do not currently have a print version of the academic calendar

A high percentage of students have wall space in their rooms that they would like to fill

Students would like to see pictures of Villanova Campus scenes and Villanova Students

Competition

University Shop

Calendar Websites - Shutterfly.com - Snapfish.com

Villanova Website

Positioning Strategy

We are the only company of this sort in the Villanova Community- No other group within the University offers a

product like ours that has both aesthetic and practical value.

Mid to High End Calendar Market

Provide a product that cannot be obtained elsewhere.

Channel Decisions

Website

Consignment agreement with the University Shop

Individual salesBalloon DayEarly Action Candidates DaySales Table in high traffic locations

Pricing Strategy

$14.99 Wall CalendarShutterfly.com - $18.99Snapfish.com - $19.99

$7.99 Poster Style Calendar

Sales and Promotion Strategy

When selling to Faculty and Departments:- Buy 15 get 2 free

When selling to Students:- Buy 2 for $24.99

Sales tables in recognizable places

Posters/Flyers on campus with information

Word of mouth

Customer Service Program

We do not plan to offer extensive customer service- Defective products will be replaced.

- Cases will be handled on a case by case basis.

Operation Production Plan

PDQ Printing based in Norristown, PA. PDQ will design the layout and produce a 14-month calendar with academic dates and pictures of Villanova University.

Total production time of 500 calendars will be 2 weeks.

Distribution Logistics

Personal Selling to Faculty, Staff, Alumni, Students, Friends and Family

On Campus- Booths at the Oreo and the Atrium in Bartley

Candidates Day on April 16, 2005

Balloon Day

Financial Controls

When orders come in, Wayne will distribute them equally among members and they will be responsible for either giving the Calendars back or the money

- If a member needs more calendars they will have to come back to Wayne and then he needs to decide whether more needs to be ordered or take from another member

There will be a weekly log kept of how much each member sells and how many calendars are remaining

Access to Account:- Dan Duca - CFO- Mike Bieselin - Lead Entrepreneur- Wayne Sangster - VP of Accounting

Use Quickbooks for Records

Sales Forecast

Month 1 Avg. Price Quantity Mix SalesVar. Cost

% Var. Cost

Contr. Margin

Calendar $14.99 500 100% $7,495 29% $2,175 $5,320

Total 14.99 500 100% $7,495 29% $2,175 $5,320

Price/Volume Variance

Price Variance (Month 1)      

  Low Flexible Original Static High Flexible

# of Units Sold 500 500 500

Avg. Price $10.00 $14.99 $19.99

Sales Revenue $5,000 $7,495 $9,995

Percent Change -33% 0% 33%

Volume Variance(Month 1)      

  Low Flexible Original Static High Flexible

# of Units Sold 250 500 1,000

Avg. Price $14.99 $14.99 $14.99

Sales Revenue $3,748 $7,495 $14,990

Percent Change -50% 0% 100%

Cash Flow Budget  Week 0 Week 1 Week 2 Week 3 Week 4 Total

Beginning Cash Balance 2,500 $75 $1,174 $4,147 $6,371  

Cash Inflows (Income):            

Sales & Receipts 0 1,124 2,998 2,249 $1,124 7,495

Total Cash Inflows $0 $1,124 $2,998 $2,249 $1,124 $7,495

Available Cash Balance $2,500 $1,199 $4,172 $6,396 $7,495  

Cash Outflows (Expenses):            

Advertising 200 25 25 25  - 275

Inventory Purchases 2,175  -  -  -   -  2,175

Misc. 50  -   -  -  -  50

Subtotal $2,425 $25 $25 $25 $0 $2,500

Other Cash Out Flows:            

Other:            

Subtotal $0 $0 $0 $0 $0 $0

Total Cash Outflows $2,425 $25 $25 $25 $0 $2,500

Ending Cash Balance $75 $1,174 $4,147 $6,371 $7,495  

Break Even Analysis

USP = Unit Sales Price $14.99

UVC = Unit Variable Costs $4.35

TFC = Total Fixed Costs $ 325.00

#units = Total Cost $ 2,500.00

Unit Sales Price $ 14.99

Answer(Break Even Point):    

# units =   167

Financing Needs

We are Requesting $2,500

- $2,175 for Inventory Purchases

- $325 for Initial Marketing Expense

- $50 for Website

Return on Investment

Return on Sales- Net Income / Sales = 4,995 / 7,495 = 67%

Return on Investments- (Sales / Total Assets) * (Net Income / Sales) =

(7,495 / 2,175) * (4,995 / 7,495) = 230%

Milestone Dates

March 18, 2005- Pictures chosen for calendar

March 23, 2005- Layout design given to printer

April 6, 2005- Payment to printer upon receiving product

April 7, 2005Selling begins

Additional Resources

Marketing Budget to increase as revenue comes in

Additional calendars will be ordered to match demand with revenue from sales

Working with printer on layout

Acquiring space necessary on campus to sell product

Potential Obstacles

Not enough interest- Break-even point is low- Additional funding for marketing

Significant issues with printing- Multiple printing options- Switching to poster- Additional product ideas

Questions