Access Drum Company is a start up business that will aim at providing music and live performance services various groups and individuals within the municipality and beyond. The company will put more emphasis on providing these services to the local market within the town, in which it shall strive to create quality services through effective and quick responsiveness to customer requests and preference
Access Drum Company will initially be formed as a sole proprietor kind of a business. This plan is written as an ultimate plan to guide the start up process of the new business organization. The plan will also act as a separate marketing plan for the new business (Baugh & Hamper, 1995). The following is a list of the main points to guide this plan.
- Beside generating profit, achieving a manageable but challenging rate and ensuring ethical codes are observed in the community, the main objective of Access Drum Company will be to Supply musicians/artists with percussion and musical equipment available to rent for an extended period of time.
- Achievement of competitive edge will be realized through marketing, networking, responsiveness and quality of services which will be the keys to success in addition to attracting and retaining customers.
- The mission for Access Drum Company is to provide the community with reliable and high quality live performances as well as musical equipments at a considerable rate.
This plan, therefore, displays a projected rapid growth over the next few years. The initiative of implementing this business plan, in addition to a comprehensive marketing plan provided within this plan, is expected to ensure that Access Drum Company rapidly achieves its status as a profitable venture for the proprietor of this company as well as the shareholders.
The music industry has a well defined nature, with an extraordinary development rate as far as technological performances are concerned. It therefore emerges that is there is therefore need to perform market research in an attempt of to get the specific needs of various groups. To this far it has been identified that live performances are in great demand especially during ceremonies such as weeding, graduations , company end of year celebrations and during political rallies. This business plan therefore proposes that the company will be involved in satisfying this kind of market which is to some extent a bit dynamic.
Access Drum Company will focus on providing affordable and on demand service to these customers, and which will be on full time basis. With the fact that young generation comprises the majority of the whole population this municipality , it is expected that tailoring on demand services to fit to this group will be a major step towards seeing the success of this company.
Start-Up Funds and Finances
The proprietor of the Access Drum Company is expected to provide the required cash and assets for the company to start up. To increase the amount of the available starting and operating capital, the owner is also planning to seek for a short-term loan from an identified lending organization. The loan is expected to be repaid within four year of operation. According to the current market research, the availability of potential customers for the business indicates that the company will realize hefty profits within the first year of operation and which is expected to increase rapidly within the next years of operation.
In order to ensure that this target is reached, the company is expecting to utilize massive campaigns. These campaigns will be directed towards addressing the existing service vacuum, including customers' dissatisfaction with the current services. The company will also attempt to exploit the competitors' weaknesses thorough direct contact with the customers either physically or online. The company will utilize cost control to realize modest and comfortable net profits within the first fiscal year
1. To offer the community within and without with music live performances, hiring out of music instrument as well as other related high quality services at a considerable rate.
2. To capture a considerable market share from the existing competitors so that Access Drum Company acquires a name which popular and famous due to customer satisfaction.
The mission of the Access Drum Company is to provide live performances as well as to hire out entertainment instruments to clients who may need them as well as during ceremonies at a considerable. The company's clients will at all times get a direct personal consideration at a very reasonable price. The customers will also obtain the maximum quality of service available. This will be guaranteed by the extensive training which will be offered to the performers as well as other employees of the company in an attempt of ensuring high quality services are rendered to the customers. This, in turn, is expected to build customer trust and thus retain them as returning customers. In summary, the following are the main guidelines within the scope of the mission of the company.
The mission identified for the Access Drum Company is quite simple and clear-cut:
- Purpose - Access Drum Company shall exist to provide quick, consistent music and other allied assistance to local individuals, performances during big ceremonies and hiring out of the music instruments at a substantial fee or rather changes
- Vision: Access Drum Company, in the process of offering its services it will ensure that it is the local company offering the best services as far as music and performance is concerned.
- Short-term mission: to start this company in a quick and inexpensive rate at which the available funds will be adequate, and with a lowest amount of debt.
- Long-term objective: To raise the company into a steady and lucrative entity the owner can manage with ease and efficiency.
- Marketing Slogan - "Access Drum Company our entertainment solution"
Keys to Success
- Developing and establishing service identity and service recognition through marketing of the company's high quality services.
- Quality: to provides the customers and the general population with a job done right on the first time, and offering hundred percent guarantee.
- Relationships: developing a pool of consistent return customers through quality in service.
- Marketing and Networking: to develop a good and common name among customer-Access Drum
Start Up Summary
Total start-up expenses comprises of the initial costs for set up the company website which will be a web based application, establishing the business premises, and for financing the pre-opening advertising. The exact financial costs for the entire process of establishing the company are described in the table below. In line with the company's philosophy of utilizing the minimum possible debt, the goal of the owner is to start-up the business with as little expenses as possible. This is also in line with industry research facts and figures that illustrate that music industry has ideal opportunities for entrepreneurship even with utilizing the minimum start-up capital possible. The total cost for the ownership, as described in the table below, will be financed by the sole owner and partly through the utilization of a short term loan.
Most of the company's start-up requirements are the premises as well as the instrument needed for hiring out. These will financed by the section of the finances coming from the owner's contributions, while the rest will be funded through the short term loan. These include the operating expenses, the rent for leasing space and the first transportation costs among others.
Start up advertising campaigns have been identifies as very crucial and demanding, and thus the owners' contribution will be directed more towards this area. The owner is expect to be able to repay the loan within the first three years of operation, given that the market status quo. This is quite reasonable because the loan is actually a four year financial debt, and is expected to be used only as an additional finance for the above mentioned costs.
Access Drum Company will offer a wide range of music based services including live performances , hiring out of music equipments such as speakers and public address systems as well as producing original music which they can sell to their esteemed customers (Baker, 2008). These services will be provided to the customers on-site and on request. This will allow the company to always provide clients' tailored services and eventually attain competitive edge.
Market Analysis Summary
Access Drum Company will provide its services to the clients on the basis of consultation mainly to both individuals in their homes when holding ceremonies as well as during event promotions which are mostly done by other companies when promoting their products and services. Since Access Drum Company will initially be operated by an individual, with the assistance from the first few batch of employees its growth is expected to be limited within the first few months of operation due to the limited capacity to work, and especially if the initial advertisement is very successful. However, these initial few months are vital for developing the company owner's trustworthiness and a good reputation for quick and excellent services. The company will center on delivering outstanding services and with the use of courteous oral communication from the first time the company enters into business.
Target Market Strategy
Evidence supported by the recent market research support that the individual market segment is quite large. However, they have the potential to provide the company with the required revenue, and thus have been identified as the main target for the company. This is because they are oriented to make profits, and thus they invest heavily in entertainment especially when there are special events. The majority of the marketing will therefore be focused on those who perform event promotions.
Legal and industry issues
As mentioned, there are a few legal barriers that would force the company out of business at any one time. However, the company has to comply with the prevailing laws and by laws set out by the authorities and the constitution. For instance, there are regulations that each company must register with the registrar of companies as a business organization. It must also submit a memorandum of understanding between the partners, the name of the partners, locations, their current occupations and addresses. The company must also comply with labor laws which protect the employees. In addition, it must register with the national and local associations of service providers, and consent to protect the environment.