DATA LINK INSTITUTE

SCHOOL OF COMPUTER SCIENCE AND INFORMATION SYSTEMS

BUSINESS PLAN PRESENTATION TOPIC:

Pc-Net Systems

By

FELIX AYERNOR NARTEY -CS12120171

PHILIP OWUSU KOOMSON -CS12120002
ABDUL RAZAK TETTEH -CS12120072
BENEDICTA ESI NYARKO – IT12120288
SANDRA JOSEPH –IT12120233
PROMISE ERIC CHINOMSO-CS12120086
APPIAH RIMMER- IT12120190

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Table of Contents

Executive summary

PcNet System business and operation

Market/competitor analysis

Marketing and sales

Management/Owners

Finance

Risk and Conclusions

Reference

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Executive summary

PcNet Systems is a start-up IT based business located in Tema, Greater Accra Region. The
company features a comprehensive desktop and mobile applications development for client and
also set-up, configure and maintain cisco routers

This business plan includes sections on the company, products and services, market focus, action
plans and forecasts, management team, and financial plan. The retail business services industry is
a GHC 5 million per year industry in the Ghana and have grown at a rate in excess of 20% per
year in the last decade, upon this growth the plan is to open a business center in the central district
of Tema because currently the business operates from a home office and online stores.

The aim of the business is to expand in the short and medium term. The business plan focuses on
this planned expansion and on how a business center will be opened. The business plans to
implement the short and medium term expansion by opening a business center.

The PcNet Systems is built upon the success the team members. The business is 100% owned and
operated by the team members. We are currently studying computer science and Information
Technology at Data Link Institute.

The business is currently operated from a home office located next to HFC bank, community 25
Tema. Based on the size of the market and defined trading Area our sales projection for the first
year will be GHC 50,000.

The company will do online advertising, direct email and direct selling to aggressively build our
client base within the first year.

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PcNet System business and operation

PcNet Systems operated from a home office located office located next to HFC bank, community
25 Tema. This is an excellent position as there are no competitors nearby but it a long distance
from the central business area of Tema.

The business has been operation for 6 months and achieved an average of 10% growth in turnover
over those ½ years.

The Home office opens for business seven days a week and from 5am to 6pm. The average cost
for a customize desktop application is between GHC 1500 and GHC 2000. The average cost for
setting up and configuring a cisco router is between GHC 3000 and GHC 4000 and depends on
the router bought and the size of the office.

The average time for developing a desktop application is approximately two weeks. The average
time for setting up and configuring a cisco router is in 3 to 6 days depending on the location.

Suppliers

PcNet systems business has two main suppliers that supply all of their consumables. There another
set of six suppliers that are used on occasion in emergency or on the odd occasion.

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Market/competitor analysis

The retail business services industry is a GHC 5 million per year industry in the Ghana and have
grown at a rate in excess of 20% with annual increases in revenue outpacing 10% yearly. More
and more organization are moving from the old ways managing their business and also improving
on their communication link between sites.

Potential customers

There are four main target markets for PcNet System

1. Self-employed professionals
2. Home based business
3. SME’s
4. MME’s

Market Needs

Our customer's increase in productivity in their business with the with help of application software
their communication needs are critical to the success of the PcNet Systems. As a supplier of a full-
service of cisco routers and desktop applications, PcNet Systems must appeal to people who are
interested client satisfaction and being part of the development process. Moreover, we must also
appeal to those customers who are unaware of the type services the PcNet Systems provides.

Market Trends

PcNet Systems is experiencing a surge and growth due to its new status and the ability to involve
client in the development process. The business is estimated to grow on average 10% year on year.

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Market Growth

PcNet Systems is set to grow by 10% per year over the next 5 years

Industry Analysis

Ghana has been attracting growing interest from foreign investors, due to oil-fueled economic
growth in excess of 8%, along with rising incomes, political stability and – crucially for retailers
– low level of modern retail penetration. Ghana’s two bona fide malls, Accra Mall and A&C
Square, have proved very popular, boasting occupancy rates near 100%, and a waiting list for
retailers keen to open outlets. This has pushed target rents up to around $50 per sq. meter, from
around $25-35 in the past few years. [1]

Main Competitors

The company’s main competitors come from other retail business that develop and sell desktop
and mobile applications and provides installation and configuring cisco routers. However, we will
compete with these competitors because we provide world class desktop and mobile applications
and an expert in cisco routers installation and configuration.

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Marketing and sales

Sales Strategy

The first category of our sales strategy is to establish and maintain a position with our primary
constituents, clients. We will depend upon keeping these clients happy with product and services.
Our second strategy is to utilize any spare capacity to provide the same service to other clients who
are unaware of our product and services. It is estimated that there are 5000 SME’s operate in Accra.

Sales Forecast

Our sales forecast assumes no change in cost of prices, which is a reasonable assumption for the
last few years. As detailed the sales turnover is predicted in line with past growth to increase year
on year by 10%. This is mainly achieved by an increase in customer numbers and increasing prices
in line with inflation. We are predicting sales to reach GHC 30,000 level achieved by the business
and then increase year on year by 10. The business will be open all year around.

Marketing Strategy

The most important element of our marketing strategy is the delivery of quality product. Our
desktop and mobile applications as well as our cisco product speaks for us to our clients. Through
establishing relationships with other retailers we will then attempt to create opportunities for new
client. We provide 6-month free intensive update and maintenance for our product and services
our clients.

Sales Programs

Specific Sales Programs:

 Special Event Sales: Develop opportunities to sell to individuals.

 Workshops and seminars.

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Pricing Strategy

Our products are priced to give us an attractive margin while at the same time offering value to
our client. We want repeat business. We also want the experience to remain fresh.

Management/owners

Pc-Net Systems is owned and operated by Mr. Philip Owusu Koomson with two hired employers.

Philip Owusu Koomson, Owner/Operator

Job description:

 Responsible for ensuring the business growth and generate sufficient cash flow
 Oversee all aspect of the business
 Head programmer

Compensation:

GHC 200 a month

Razak Tetteh, Manager Sales/Programmer

Job description:

 Responsible for sales of product

 Oversee all aspect of Sales
 programmer

Compensation:

GHC 100 a month

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Benedicta N.E Nyarko, Manager Customer Relations /Programmer

Job description:

• Oversee all aspect of customer’s requirement

Compensation:

GHC 100 a month

Administrative Secretary

Sandra Joseph

Job description:

 Handling face-to-face enquiries from customers

 Compensation: GHC 50 a month

Technicians

Felix Ayernor

Eric Promise

Appiah Rimmer

Job description:

• Cabling and installation

Compensation: GHC 50 a month

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Finance

Income Statement

The major start- up cost will be equipment and we will invest GHC 3000. Initial start-up cost will
include GHC 1500 for the cisco switches and routers and the remaining GHC 1500 will be used to
buy workstations and laptop. Regular monthly expenses are estimated to GHC 1500 including
wages and salary. We want to finance growth of the company mainly through working capital. We
recognize that this means we will have to grow more slowly than we might like.

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Income Statement
For The Period Ended December 31, 2014
Revenue:
Service Revenue GHC34,000
Expenses:
Interest Expense 5,700
Salary Expense 20,000
Supplies Expense 750
Depreciation Expense-Equipment 1,000
Depreciation Expense-Sedan 10,000
Rent Expense 6,000 GHC43,450
Net Loss (GHC 9,450)

Cash Flow Statement

As the owners of the company, we want to finance growth mainly through working capital. We
recognize that this means we will have to grow more slowly than we might like. I will invest GHC
3000. The money will be used to cover start-up cost GHC 1500 and initial operating cost. Fixed
cost are limited to the equipment lease at GHC 1400 which include light bill, telephone systems.
If cash flow is positive, we will invest more rapidly.

Balance Sheet

The most important indicator in our case is inventory turnover. Inventory at the end of the year
amounted to GHC 2400. We want to control our inventory levels very carefully. We will purchase
what we need based on our sales projections.

Balance Sheet
December 31, 2015
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Assets:
Cash GHC 4000
Accounts Receivable 0
Prepaid Light bills 800
Office Supplies 250
Office Equipment 600
Accumulated Depreciation-Equipment 100 5,000
700
GHC19,050
Liabilities
Accounts Payable 0
Interest Payable 5,500
Salary Payable 20,000
Unearned Revenue 30,000
Notes Payable 0
Loan Payable 50,000 GHC 105,500
Owners’ Equity
Common Shares 100,000
Deficit (9,450) 90,550
GHC 196,050

Risk and Conclusions

Business Risks

Building and maintaining software can be a risky business. Most enterprises rely on software – so
extra cost, delays, or the inability to realize goals can have serious consequences. Larger risks that
can sabotage long-term projects require immediate attention. And that means putting the emphasis
on risk management. The situation will force us to lower prices in the short term whiles we work
extra hours to meet customer demands until we could develop an offering of a higher margin added
value added service.
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The state of our equipment poses risk. Having only one computer to develop our software’s could
create problems for our customers.

Marketing Risk

Our most expensive risk is promotion. That is providing workshop and seminars to show to
potential client our product and services. The risk, of is that we will exhaust more of our profit into
it. We will place much emphasis on direct selling and building more customer relations which will
minimize reliance on workshop and seminars.

Operational Risk

We have been dealing with cisco routers, switches, and computers for the past 5yrs so we are
comfortable with technology. However, our biggest potential problems are the equipment used for
the cabling layout when designing the physical topology of the cisco router and switches
installation. To minimize the potential of these problems, we are taking steps to acquire the
equipment used to the cabling.

Human Resource Risk

The major human resource risk to our business would be our inability as a team to operate the
business due to illness or disability.

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Conclusion

It is our goal to start a business to provide business service such as developing desktop and mobile
application and installing and configuring cisco routers and switches. We believe that it is an
opportune time to start a business like PcNet Systems limited in the central business district of
Tema. With my skills and experience, we will be able to get more returns on our business and

re-invest into the company beginning January 2016.

Reference

[1] http://ghanarising.blogspot.com/2013/02/business-opportunities-in-ghana.

[2] Comprehensive Lecture Note on Entrepreneurship. Compiled by P.K Kudjo.

[3] Business Plan Guide www.entrepreneur.com/article/38308

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