- Country: India
- Industry: Internet, eBusiness
- Stage: Seed
- Investment size: $300,000 / min. $160,000
- ROI: 11%
- Type of investment: Debt
We want to develop a group of applications which can be used in various industries and can interact with each other to manage entire business systems.
We will be developing a wide range of services with a centralized database through which we will help small and medium scale businesses to increase efficiency without investing too much in IT. We will be covering all industries one by one. This will be a start which will be followed by online advertising portals and verification services for businesses.
This may seem to be an ambitious plan but our business model is indeed highly scalable as our solutions can be implemented in almost all industries. The more industries we reach, the more we will earn.
We intend to capture major revenues in the market by providing web-based ERP, web services, e-commerce portal and online directories.
There are two options to invest with us:
1. We will return the whole amount of investment and then for the rest of the company’s life we will be giving a fixed percentage of profit to the investor before Interest and Tax.
2. Invest with us and take a greater share in profits. If the investor at some point wants to back out or take off the investment, then the whole amount will be divided into instalments affordable as per the earnings at that time.
A. Service Plan
• Online Business Directory
• Web Based ERP
• Web Services i.e. Domain Registration, Webhosting, E-Commerce Portal, etc.
B. National and International Presence
• Sales and Marketing offices in all 35 states and Union Territories.
• As we are into online business, we can do sales of web services
• Internationally via internet marketing.
C. Unique Service Line (sales and marketing offices throughout the country) and Aggressive Marketing Model.
D. ESPL’s innovative and centralized apps will be a major strength.
Competitive advantage will be developed over time. As described above, we will go industry by industry. This will let us collect data for various industries over a period of time. Then cross linking of the industries will generate a huge amount of money through sharing of data (with the consent of the source of data).
Rationale for the deal
Once we start generating profits over the operational costs, we will return the whole investment plus an interest of 11% before interest and tax will be given to investor for rest of the life of company.
Use of financing
We will use 100% of the financing to cover operational costs. Once we start generating profits we will then invest in the company’s infrastructure until the infrastructure gets on renting basis. The reason behind this is that as per plans our income will start flowing in around the 4th or 5th month of operations as this is the time required to develop a complete ERP for an industry. Then we can go on with marketing and sales.
• Infrastructure: Establish proper work space for developers
• Multi lingual web portal
• Operational Costs
• After Completion of Web Portal, a support team will be set for customer support
• Advertising & Publicity
• HR: Hiring of key personnel
• Setting up of a Marketing team
Opportunity for the investor
As we are in the IT sector we will be providing all of our services to the investor at just the cost we incur to develop or acquire the service. This will be for lifetime, even after paying back the full investment amount.
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