Section 1: Company Description
Direct Portal is an online platform that acts as a property market for real estate. It offers real-time business transactions that allow buyers and sellers to transact their business online without moving from one place to the next. This kind of work has been designed and developed since 2013, and it has been proven that it can improve the way buying, selling and renting real-estate property will take place in the global market. This business will focus on Emerging Global Cities and large established cities such as New York and London because it is likely to capture a more significant market share rapidly. It is expected to operate in more than 100 cities in the World. The business will offer business transactions such as the sale of land, condominiums, houses, commercial spaces, rental houses, hotel rooms, corporate rental houses and even holiday rental segments. It will be there to provide contracts, titles, plans, renderings and distributed market.
The system would allow for automatic update of all contractual information in real-time. Within the Direct Portals mart ERP, it will be easy to find commercial and technical details and other records relating to the sale of real estate property. It will only require just a click on the portal it views trusted property developer. It, therefore, provides direct access to materials on sale and makes online bookings in real time. The use of direct portal ensures that there is no need for a translator or very many papers to complete and longtime for waiting for monthly reports is eliminated, and therefore it is an inefficient way of transacting business. We, therefore, request potential investors that may be interested in this kind of activity to join us to convert this business idea into reality.
Section 2: Product Mix Definition
Direct portal is distributed digital marketplace company that links different stakeholders directly. An automation system validates subscribers, integrated reimbursement; confirm product specification, synchronized availability and booking solutions. Direct portal is expected to have a hybrid peer-to-peer cloud that can enhance office automation and secure inventory management. Furthermore, it has a multi-tier network capable of distributing product availability and other information in real-time. It also helps in recording unchangeable payments data onto the confidential block chain or more public block chain concurrently. The role of documented payment is to act as evidence of purchase and automate change in inventory condition automatically. It also has the potential in auto-revising parametric sales and purchase agreements and ensures that they are produced by evolving deal stages when it aligned to predetermined rules and workflows before the execution of any business transaction. When the terms set out in the agreement are achieved, the seller, the buyer, and brokers will have absolute security from the network. The system ensures that the public messages are transmitted from leaves through the regional nodes to enable all mobile users to receive the information while private messages arrive at leave peer-to-peers supported by regional nodes. In a situation where there are corroborated booking massages are automatically updated from the leaves back to the local nodes showing that the users have been authenticated.
Section 3: physical infrastructure, workforce, and processes of the Company Equipment required by the company
For this company to run we need office equipment such as computers, printing machines, computer network and internet connection, mailing equipment, Smartphone and business telephone system to ensure that it has an efficient office. We also need types of equipment for smooth business operations. Since we have a perfect plan, we will be able to control our expenditure on office equipment by only purchasing essential material that we cannot work without.
We need a minimum of 50 workers who will be responsible for different activities. We require 20 members of our board of directors excluding the CEO and managing director. We also expect to have an internal auditor who will be responsible for ensuring that all the books of accounts are prepared by the law to minimize frauds and material misstatement. As essential for this company to have an employee with appropriate skills. They will be selected through interview processes to ensure that employees have correct skills and proficiencies are chosen. We require financial officers, marketers, human resource officials, accountants and others. The necessary inputs that this company needs delivering quality products include sufficient financial resources, qualified employees and significant market for our products. We expect our product to reach customers through opening retail outlets in different parts of the country majorly large cities. This will ensure that our products are close to customers. We will also advertise products in social and digital media to create awareness about them.
Section 4: Implementation of the Plan
It will not be tough to implement this plan. We will ensure that we align our objectives with the goals of other employees to ensure that every bodying the organization feels the need to achieve our goals. We expect to create a coherent work environment that allows all the employees to participate in decision-making. This will increase collaboration and teamwork in the organization.
Section 5: Financial Projections of the Company
The investment in this company is very profitable because it is likely to earn a colossal profit margin at the end of every financial year. This company will only take six months to start working when we shall have raised sufficient resources that will allow us to build and install all the machinery and equipment. It will be possible because we have completed the registration process and even received a business permit that will allow us to start working immediately. We can only begin running the business without a license when this business could not have been a limited public company. We anticipate having substantial annual sales. The annual sales will increase annually because we expect to have an increase in the number of customers after every year. We plan to have a sales volume of 1000000 units that will increase by 23 percent perineum.
We also expect to have a very reasonable start-up cost. It will be as shown in the table below.
Investment Proposed amount Actual amount Difference
Software $250000 $240000 $10000
Hardware $200000 $190000 $10000
Total investment $450000 $430000 $11000
Lending organization $500000 $250000 Total investments $950000 $680000 Fixed costs Proposed amount Actual amount Difference
Security deposit $78000 $60000 $18000
Furniture and fixtures $30000 $70000 -$40000
Computers $27000 $35000 $70000
We will incur different costs such as operating cost, loan acquisition cost, cost of buying inputs, implementation costs. We will categorize these costs as either fixed cost, variable costs or overhead costs. These charges will increase with the increase in sales volume because an increase in a unit cost there must be an equal increase in costs used to produce the unit product.
Section 6: Sources of Finance
This company will be financed through debt and equity finance. It anticipates having a larger portion of equity capital as compared to debt capital. We expect capital $20000000 where15000000 will be equity while only $5000000willbedebt capital. Equity finance will rose through subscription of shares to the public. Everybody will be free to buy a minimum of 1000 shares and a maximum of 10000shares. Debt capita will be in the form of preference shares and debenture. It can be inheres obtained from the bank or other large financial institutions. Long-term debt will be paid within ten years while equity finances will not be repaid, but the investors will be expected only to receive dividend only when the business earns a profit. We preferred equity capital because it does not have repayment period and therefore it will not make the company lose its money before becoming stable.
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