BNE Publishing Initial Goals, Five Year Plan, Marketing Strategy and Financial Outlook.
The entirety of the Publishing Company’s goals are directly stated in the charter, however this packet contains a concise overview of the financial outlook of the company and therefore while this packet specifically refers obtaining specific objectives or goals these are meant specifically in a financial sense to be considered separate from the company’s creative or humanitarian endeavors.
The Company Intends to after five years make a gross profit of 1.3 million dollars per year with a similar amount in expenses, however approximately $600,000.00 can be redistributed back into the company for marketing and advertising to lower overall costs and increase total overall sales output while improving the quality and output of products created in-house using in-house materials. Using measures like these could leave stakeholders with $300,000.00 additional funding after the first year the company is fully comprised and running at profitable measures. Additionally, this model predicts the use of a loan that will cost around $9,000 per month and this expense could also be dissuaded with additional funding for the company through investments and donations. If this occurs stakeholders could see a total distribution of $390,000 within the first year the company is profitable. As one of the foremost goals of the company overall, half of this profit will be distributed to charitable endeavors and the rest will be distributed according to the direction of the CEO, CFO and/or the Board of directors, depending on how much of the company exists at the time of the first distribution.
The First Distribution of Profit Shareholders will not occur until the company is considered fully operational. The company will be considered fully operational when it is creating a gross profit of $1.34 million and has expenses no greater than $1.31 million. Of course this statement is precluded by anything in the company By-Laws.
The company will have several implementations of improvements over a period of 3-5 years until it is a full Marketing and Publishing Company, which also produces, makes and sells products that accompany art which the company is currently or has previously promoted.
The Company will begin as a publishing house for an online newsletter and contest for creative writings and artistic creations. This will be completed through the use of an ebook, website and app with the employees for a total cost estimated cost of $5,000.00. This will generate a monthly profit of $19,085.00.
This is expected to be completed through the sale of 250 newsletter subscriptions and 1000 contest entry sales and 4 advertisements. The contests are expected to generate $15.00 per sale, the newsletter $2.00, and the advertisements $1,200.00. These initial customers and revenue stream is expected to be created through a crowdsourcing fundraising campaign.
The company is expected to create the intial funding through fundraising so initially the company is expected to begin with around $20,000. While $5,000 of this will be used to create the initial newsletter the rest will be used to increase advertising exposure, create a talent pool for the company expansion, maintain the contestant pool or (if necessary) expand to meet the 1000 people required, increase the subscriber exposure and maintain and fill the expected advertising spots for the following month.
After this first month this profit model is expected to continue for at least the first nine months of the company and that should allow for 5 months with an income of around $20,000.00 per month. This will leave around $100,000 for the company kick-off. This money will be used to provide legal support and develop trademarks and seek additional investments through a secondary fundraising campaign, followed by an investor seeking campaign. These campaigns will continue for approximately three months, during which time the employees will have begun to fill in their roles and location and store design options and needs will begin to be developed. We will also seek grant opportunities and tax breaks or other incentives before the company takes a firm brick and mortar location. During the three months the company is seeking additional investments, the employees will be expected to participate in these events and will begin to receive pay through the current company funding.
Once the company has been in-operation for a period of 9-12 month it will be expected that all the initial needed funding to begin operating at the forecasted amounts will be met. This can happen by pulling on our current customer base while using our fundraising campaigns to promote future sales of our expected products. Using this model, we can expect to have between 1-12 months of initial funding through pre-orders alone. This will allow for the company to create a new customer base using funding from products to be created within the first 1-12 months of the companies initial operations in full form.
During the first year the company will use its funds to support its workforce, reduce any overhead costs and improve its customer retention and acquisition through an expanding product line and overall improving quality of experience with the product and exploration of available art-forms to purchase as a product. Using these measures we expect to grow to a 1.3 million profit within the first 3 years of operations and expect to reduce our total expenses to around $300,000. Once this has been achieved the company will assign ambassadors from the current company to leave and begin the same process in another city with another franchise of the company that will use the same model, and maintain an close legal and financial partnership with the original company, but still remain a completely separate and independent business entity.
After 2 companies have been formed through this process the total expected company profits should be around 2 million dollars, of this money $1 million would be distributed to charitable endeavors, where the remainders would be sent back to the company stakeholders as directed by the CEO, CFO and/or The Board of Directors. At this point a model for creating the franchises will be created to allow for multiple companies to be created at one time with the goal of having 1 company for every 1,000,000 people within the vicinity of the company. This would leave us with an end goal of creating around 350 companies within America with an estimated yearly income of .35 billion dollars per year.
Once the companies are producing .35 billion dollars per year all of the existing companies will merge under one umbrella to be able to seek additional investments through a public trade offering on the NYSE. With our expected incomes at this time and total value of assets we will likely be seeking a listing between $20-$30 per share with a volume capped around 10 billion. Once we have received this investment offering we will continue to redistribute the franchises to equally serve the communities on a 1 franchise per 1 million person offering thereby improving the sales in rural areas and refocusing the sales of urban areas. This will also allow for an equal distribution of charitable funds in case favorable location targets become. a balance of how distributions are allotted.