Small Business Business Plan Assignment #3 Small Business Management Professor Harmeet Sudan BUS 1041 Group 3 Nikta Niknam-Sadegh (101026650) Steven Armstrong (101019931) Caelan Flanagan (101045577) Claudia Vitali (100991211) 2017-04-06Table of Contents Executive Summary……….…….……………………………………………………………………1 Company Profile…….…….…………..….………………………………….…………………….…2 Mission Statement………………………….…….…………………………….………….…2 Ethical Values…………….……..…………………………………………….…..……….…2 Description of the Business…………………………………………….….….………….…2 Location.….….…………………………………………………….………….…..……….…3 Goals…….….….…………………………………………………..………….…..……….…4 Management Team…………………………………….….….…..………….…..……….…5 Industry overview & Current trends…………………….…………….…….…..……….…6 Marketing Overview…………………….…..……………………………..………….…..……….…7 Target Market.………..…….….……………………………………………………………..7 Millennials…..……..….….….………….………………………..…………….…………….7 Competitive differentiation & why choose Vis-a-vis jobs.….…………………………….7 S.W.O.T. analysis…..….….….….….………….………………………..………………….8 Strengths & Weaknesses…….………………………..…………….……………8 Opportunities & Threats….….………………………..…………….…………….9 Market potential..….….….………….………………………..…………….…………….10 Market share..……..….….………….………………………..…………….…………….11 Marketing Plan…..….….…………..….…..….………………………..…………….…………….11 Product…………….….……….…………………………………………………….………..11 Place……………….….……….……………………………………………………………..12 Price…………….….….……….……………………………………………………………..12 Promotion…………….….…….……………………………………………………………..13 Financial plan…..….….…….………….…..….………………………..…………….…………….13 Financial goals……….….…….……………………………………………………………..13 Start-up costs……….…….…….….….……………………………………………………..14 Requirement for finances………….….……………………………………………………..14 Income statement……….………….….……………………………………………………..14 Balance sheet of Vis-a-vis jobs.…….…….….……………………………………………..15 Cash flow statement……….……….….……………………………………………………..16 The organization………..…………………………………………………………………………..17 Form of ownership……….…….…….….….………………………………………………..17 Line & staff position…….…..…..….….……………………………………………………..17 Legal requirements….………….….….……………………………………………………..17 Insurance requirement….…….……….……………………………………………………..18 Credit agreement.…….…….….…..………………………………..………………………..18 Operation………………..…………………………………………………………………………..18 Hours of operations………………….….….………………………………………………..18 Communication system & types………..…………………………………………………..18 Suppliers…….……………….……….….….………………………………………………..19 Employee information.…….……..….….….………………………………………………..19 Accounting system..….….…….…….….….………………………………………………..19 Conclusion…….…………..………….…….….….………………………………………………..19 References…………………….…..……….…………..……………….………………………….21Executive Summary The world of work is evolving every day, in effect companies struggle to keep track of all applicants and have difficulty locating the right people to hire. As a result, individuals continuously have an exceedingly hard time finding suitable companies to work for and represent. What separates Vis-a-vis jobs from all its competitors is how the company aims to benefit both the employers of companies who are hiring as well as individuals who are searching for positions within those companies, and not just focusing its operations on one of those parties. The five staff members the company plans on hiring will include; Website Manager, Financial Accountant, Marketing Director, Web Designer and Customer Service Agent. Vis-a-vis jobs’s long term goal is to expand throughout Canada and be able to assist its users in building better career paths for themselves, as well as for recruiters to find the most suitable candidates for the positions they are offering. The past five years, the growth within online recruitment agencies has shown a significant rise. It is an advantageous time and a great opportunity for Vis-a-vis jobs to commence its operations, since current job recruitment sites do not specifically target Millennials or individuals within the ages of 18 to 24, who are known for their continuous search for new opportunities. Nevertheless, with the demographic that is targeted, the market potential for Vis-a-vis jobs will approximately be $450,000. The company is looking for funding from multiple sources including an investment from the stakeholders and loan from the bank. The company hopes to receive investments from angel investors, capital investment and donations to finance the initial costs of starting the business. Financially, Vis-a-vis jobs projected revenue for 2017 is $240,000 and projected operating expenses for advertising, rent, purchases are $25,500. Leading the projected net income to be $28,400. The business’s legal structure is under a partnership agreement, and the business needs $75,000 as its initial requirements, out of which only $50,000 can be raised through loan and $25,000 has to be contributed by the owners. Vis-a-vis jobs will be connecting with the top firms in Toronto in order for our customers to get the best career opportunities available. Evidently, there will be many competitors offering recruitment services including indeed, Workopolis, and Hired. However, the way in which people apply for jobs is changing at a very fast pace, and over the next couple years as Vis-a-vis jobs continues to expand to new areas and assists its users in job opportunities they wish to apply for depending on their needs, wants and requirements, the company will be able to take a greater market share of a very large and profitable industry. 1Company Profile Mission Statement Our mission is to help our users locate and hire the most qualified candidates in select and highly skilled occupations, as well as to assist individuals find the most suitable jobs and opportunities within various fields in order to further enhance their careers. Ethical Values As Vis-a-vis jobs commences its operations, legislative requirements concerning the company’s ethical values become pivotal to maintain. The key values which underlie our recruitment and selection practices are impartiality, accountability, befitting competition, transparency and integrity. These values incline us to strive in minimizing our ecological footprint throughout our e-commerce platform, as well as adhere us to a number of core principles which include; transparency within our statements, as well as continuously being respectful and conscious of how we communicate with our customers. Regarding our social responsibilities, we advise our clients in a fair and informed manner, and therefore only offer solutions which are truly of use to them. We are committed to treating all of our consumers and employees with fairness and respect, regardless of their origin, skin colour, language, gender, religious or political beliefs. We expect all employees of Vis-a-vis jobs to adhere to our code of conduct, thus violations are not tolerated and will be vigorously prosecuted in every case. Our employees take personal responsibility for their quality of work, nonetheless we offer every client excellent service, regardless of his or her assets or professional status. Description of the Business Vis-a-vis jobs wants to become a global leader in connecting employers with qualified and suitable candidates looking for work, in addition to assisting individuals in discovering suitable positions and developing their careers. Our recruiting network will provide various opportunities and listings to employers and job seekers nationwide. We will provide numerous career enhancements including, but not limited to, personality, knowledge and aptitude tests as well as resume and cover letter builders for our job seekers. The website will utilize robust databases, which will assist in displaying numerous jobs in various industries. Enabling users to search over thousands of jobs posted on visavisjobs.com; specified by skills, company names, job titles, types of employment and location. 2Our machine-learning algorithms take the guesswork out of finding the right fit and make smarter matches over time. Our filtering systems include, but are not limited to, Application Testing Services, A.T.S, which will become part of our software system in the near future. Enabling Vis-a-vis jobs to balance the simplicity and ease-of-use with powerful features that inspire collaboration without ever compromising compliance. From job approvals to reviewing candidates, Vis-a-vis jobs will make it easy for companies and individuals to view all their options and make decisions without having to log into the system. Lastly, the assessments we offer our users range from standard I.Q tests to Myers-Briggs Personality analyses. Nevertheless, self-efficiency, self-esteem, monitoring, personality, and various forms of aptitude tests will be set in place, in order for us to assist our users with what they would like to apply for as they are searching for new positions. In fact, in the beginning, since we plan on targeting and marketing to millennials, many studies have shown that this particular demographic switches and choses to go into professions that are on opposite ends of one another. This impacts this particular generation due to them not being aware of their capabilities, interests, and goals. These tests will assist them in planning their future, discovering their abilities, and setting new targets for themselves as they apply for jobs. Nonetheless, many of these tests have charging fees associated with them in other websites, however we plan on making them all available to our users in order to better assist them with their decisions. What separates Vis-a-vis jobs from all its competitors is how the company aims to benefit both the employers of companies who are hiring as well as individuals who are searching for positions within those companies. All opposing recruiting websites, such as Indeed, Workopolis and Hired simply cater to one of these parties instead of both, and cannot change their operational stance due to the initial filters they set in place for their websites when they first launched their businesses. On the other hand, through the fluency of our filtering systems, we will be able to guide our users to easily access and view what job postings as well as candidates are available to them, based on the standards they set in place. Location The office of Vis-a-vis jobs will be located in Mississauga, Ontario Canada, right next to the Mississauga Central Library. Since Vis-a-vis jobs is an e-commerce company, operating under the service sector and offering its users assistance through its online portals and website, there is no particular requirement for the location of the office to be placed necessarily anywhere near downtown Toronto, which at this point in time would triple the rental fees for the company. The current estimated rental fees which 3include within itself the utility bills, maintenance fees, property tax, indirect and common expenses rally to a total of $15,000. Despite Vis-a-vis jobs’s entire foundation, infrastructure, and objective being placed on its website, if the company achieves its goals and meets its quotas for the next 3 years, Vis-a-vis jobs might open a new branch closer to the financial district. In order to market itself specifically to undergraduates and individuals fulfilling their MBA degrees in secondary institutions such as University of Toronto, Ryerson University, and George Brown College through their seminars, career fairs, and events held throughout the year for students. Goals Our short term goal is to develop personalized descriptions to suit our users’ needs and bridge a greater gap of understanding between employees and employers. To improve and reinforce various integration systems, which will assist us in developing our formulated filtering algorithms in order for us to better advise companies on their recruitment process and make visible to them the qualified candidates. Similarly, we will also assist our users in job opportunities they wish to apply for depending on their needs, wants and requirements. Displaying to them the companies who meet their demands, along with assisting them in applying as well as forming their resumes and cover letters. Our medium term goal is to expand our recruitment filtration system from our headquarters in Toronto to all of Canada. We want to expand and help everyone in the country build better career paths for themselves, as well as for recruiters to find the most suitable candidates for the positions they are offering. Vis-a-vis jobs wants to help its users build purpose-driven careers and businesses to find the talent they need to fulfill their missions. Ultimately, we want to empower everyone to find and do their best work, from one opportunity to the next. Our long term goal is to construct and develop the best networking, filtering, and recruitment website. We want to expand internationally and build an immense diverse network for individuals and recruiters to connect with one another while seeking various positions. We want to be able to display job opportunities from all around the world, and we will target companies no matter their size or positions they are offering. Globalization is currently having an immense impact on all companies, individuals and governments. We 4want to better assist, guide and foster their investments when they recruit individuals through our information technological processes. Management Team Vis-a-vis jobs will intend to hire five full-time employees and one part-time employee. Each staff member will be required to have at least five years of work experience in their industry. The five staff members include; Website Manager, Financial Accountant, Marketing Director, Web Designer and Customer Service Agent. The part-time employee will be the Website Translator, they will be responsible for translating the web contents into 5 different languages. Each staff member will be required to possess vital skillsets such as teamwork, drive, problem solving capabilities, communication skills and ability to work swiftly under pressure. As for the leaders and managers of the business, from all stances there will be a constant need for reflection and improvement on how meetings, tasks, and crises are handled and everted. There will be two individuals appointed to the management position, where the Customer Service Agent will be appointed Head of the Customer Service department and the Managing Director will also become the Head of the Sales department. These two Managers will require at least eight years of past experience within their fields of work. The Managing Director, who in the beginning will also be in charge of the Sales department will need to forecast levels of demand for the services Vis-a-vis jobs acquires, nevertheless ensure that those demands specifically meet the company’s needs. He/she should also identify and forecast potential consumers and market trends. Collaborate with the Web Designer and the Marketing Director to implement and execute successful advertisements. Clearly, the Managing Director will also be in charge of developing the organization's service strategy and continuously try to resolve a variety of problems and complaints. In regard to billing disputes, service interruptions or cutoffs, repairs, delays, and system malfunctions along with the Manager in the Customer Service department who would insure in building and maintaining strong working relationships with all of Vis-a-vis jobs’s consumers. The Head of the Customer Service department will also conduct research to ascertain the best customer service. Without a doubt, the Manager will need to possess various traits and skills to be considered for the position including, but not limited to, patience, attentiveness, clear communication skills, tenacity, and time management skills. 5Lastly, the Managing Director of the company is expected to possess a background in Recruitment and Sales. They need to be motivated in order to achieve sale targets and goals, as well as deliver enthusiastic reinforcements to help motivate the team to achieve their individual and collective objectives. As a leader, communication is perhaps the most important skills. The leader is responsible for communicating with a range of stakeholders including clients, staff, and various directors. In an ever changing market environment, the leader would be expected to foresee any changes in the landscape and implement strategic management to help the company negotiate changes. Industry overview & Current trends The transference and progression of opportunities within today’s economy is what lead to the creation of Vis-a-vis jobs. We wanted to create a website designed for those who plan on exploring various fields of work, opportunities, and career paths. Hence, due to the progressions within our society and changes that are taking place within our economy, we believe that it is the most appropriate time to launch and establish this company. Evidently, the best time of year to start this particular type of business is during the month of January. In the view of the fact that, many individuals have had time over the holidays to further explore their options within job recruitment websites such as ours. Nonetheless, from an employer’s standpoint, the best time for individuals to apply would be the end of January and beginning of the month of February. Since managers begin writing job descriptions, obtaining internal approval sign offs and posting opportunities after administrative delays have been surpassed during the month of January of the new year. Vis-a-vis jobs will experience high levels of competition, especially with companies such as Hired, indeed, Jobbio, Monster, Workopolis, and WeEmploy. Nevertheless, It is an advantageous time and a great opportunity for Vis-a-vis jobs to commence its operations, since current job recruitment sites do not specifically target Millennials or individuals within the ages of 18 to 24, who are known for their continuous search for new opportunities. Vis-a-vis jobs’s total market area derives from the workforce population of the Greater Toronto Area which is currently over 6.5 million. The total population of that particular demographic is over seven thousand in total, leading this age group to construct approximately 39% of the workforce. In addition to how they constantly alter their career paths in order to obtain new skills in various occupations, hence leading to the minimization of competition for Vis-a-vis jobs. 6Marketing Overview Target Market At first, Vis-a-vis jobs will solely base its target market on individuals within the ages 18 to 24, since through Environics Analytics, we discovered that Millennials hold 27.48% of our current population in Canada. Placing their category under one of the highest working-age percentages in the country, nonetheless this particular demographic has left a huge gap within our market, which would be incredibly beneficial for Vis-a-vis jobs to tap into when starting its operations. Millennials Marlene Leung, one of CTV’s most prominent news journalists, found individuals within the ages of 18 to 24 make up 18.1% of the unemployment rate in Toronto, and on the other side of the spectrum the employment rate is close to 43% which is exclusively substantially low. Leung found that Toronto has the widest gap between youth and adult employment throughout the province, the difference being a total of 22% altogether. There are thousands of vacant positions throughout the city of Toronto which could be occupied by numerous individuals within the ages of 18 to 24. Plus individuals within this particular demographic consecutively seek various career paths and enjoy altering between jobs, in order to obtain new skills in various occupations. This leads to dynamic changes within industries, meaning additional job postings, searches, and recruitment processes taking place, hence leading to the minimization of competition for Vis-avis jobs due to the demographic the company is targeting. Despite the unemployment rate, contrary to popular belief millennials, who are individuals within the ages of 18 to 24, are eager to learn, work and optimize their potential. Nevertheless, unemployment is increasing, however not due to the fact that there are no jobs available for this particular demographic in Canada, but because the current recruiting services available to them, at this point in time, are failing to connect them to the proper employers. Hence the competitive advantage Vis-a-vis jobs will gain by primarily and solely focusing on assisting this particular demographic throughout its first two years of operations. Competitive differentiation & why choose Vis-a-vis jobs Job recruitment trends have changed substantially in the last ten years. Today’s job recruitment and search processes have almost completely digitalized. Causing the application and interview process to become substantially more rapid, which evidently results in many individuals to constantly switch companies, 7jobs and even career paths. These occurrences within the economy grants Vis-a-vis jobs an excellent opportunity to assist companies with their recruitment processes and candidates with a substantial range of options. Vis-a-vis jobs plans on utilizing various promotional techniques in order to attract new clients which include, but are not limited to, local listing services, social media channels, traditional print media distribution channels, as well as search engine optimizations. It is evident that Vis-a-vis jobs offers a feasible opportunity to help nurture their job search process using the companies state of the art software instruments, allowing them to better connect to their potential employers and get a job that’s right for them. Vis-a-vis jobs’s competitors severely lack the interpersonal interface that the millennial generation seek; therefore are being left behind during this ever-changing industry. Vis-a-vis jobs’s growing network will optimize the connections necessary to find the right candidates for the right positions. This helps save the customer both time and money. Nevertheless, our mobile friendly hiring process plays a crucial role in setting us apart from other recruitment companies, especially when targeting to this particular demographic. S.W.O.T Analysis Strengths Vis-a-vis jobs will have an efficient and effective software alongside filtering and customizable systems, which will assist the company in simplifying the application process, job search, and help individuals find the right positions that align with their characteristics. In addition to, guiding companies to attain the qualified candidates they would want to hire. The company will have limited external regulations and we can always change our structure and business practices more rapidly and efficiently to meet the demands of the market. The controllability, flexibility, skill development, and adaptability are extremely high and will be extremely beneficial when launching the company. We will be able to maintain close customer relationships, since we are targeting Millennials and we understand their wants and needs since the Managing Director is from that particular demographic as well. Weaknesses Trend for recruitment have shown that job searching has went almost all digital. It will be very hard for us to market to individuals over the age of thirty. There will be a higher risk set in place in terms of competition and profit will we obtain in the beginning, due to our lack of resources, system integration and interoperability challenges, differentiating work styles among employees, primary security policies as 8well as privacy policies that have not yet been set in place. The website needs to undergo several security measures in order to make it more secure for all users. Mobile enablement will bring in the need for additional security policies, copy rights laws, and strategies to keep all information secure at all times. Opportunities We aim to launch Vis-a-vis jobs and publicize it through social media by May, 2017. By that time we will be able to publish all opportunities aimed specifically for millennials, ages 18 to 24, and meet their high demands in regard to summer jobs and employment, whether it be full time, part time, internships, contracted, or temporary. We believe the month of May would be the perfect time for us to delve into the market, in order to reach out to over five thousand individuals, who make up the Millennial population in Canada. By that time we will also be able to sit down with various agencies, corporations, and businesses and develop contracts with them, which will lead us to become their recruiters for as many positions as they please for as long as they need. Job recruitment and search processes have almost completely digitalized, causing the application and interview process to become substantially more rapid, which evidently results in many individuals to constantly switch jobs. These occurrences within the economy grants Vis-a-vis jobs an excellent opportunity to assist companies with their recruitment processes and candidates with a substantial range of options. Vis-a-vis jobs plans on utilizing various promotional techniques in order to obtain clients including, but not limited to, local listing services, social media channels, traditional print media distribution channels, as well as search engine optimizations. Vis-a-vis jobs is designed for those who plan on exploring various fields of work, opportunities, and career paths. Threats Vis-a-vis jobs will experience high levels of competition, especially with companies, such as Hired, indeed, Jobbio, Monster, Workopolis, and WeEmploy Inc. At first since there is much work to be done and we aim to have a twenty-four hour customer service line, it may result to lines blurring between work and personal situations, impacting the productivity and potentially lead to burnout. If we are unable to obtain the initial loan to start our business, then we may have to dip into our personal savings or overextend credit cards and line of credits to fund our new business venture. If the business does not succeed, we could possibly face financial ruin. Another issue with starting up an online business could be the potential risk of the website being infected by malware if a proper security system is not put in place. Matters in which can become a security risks include data leakage, malware, resources and service availability abuse. This could run the risk of customer’s personal information such as credit cards being abused. This can further lead 9to our website being defaced, replaced content, redirect our website to other domains, inject malware and other harmful files, and even change our login information. Financial risk may occur if potential exposure of unauthorized access to corporate resource are exposed to the public, which will lead the company to lose the loyalty of valuable customers which will be detrimental. Since trust is the most important factor when harbouring a business relationship with customers, it is essential that privacy and security measures are heavily monitored at all times. Market potential Vis-a-vis jobs will have an efficient and effective software alongside filtering and customizable systems, which will assist the company in simplifying the application process, job search, and help individuals find the right positions that align with their characteristics. “The amount of potential consumers and an estimate of selling price and consumption in average constitute the determination of the market potential.” (Mayer, Melitz and Ottaviano, 2014). Therefore, the company’s market potential is calculated over a particular period of time, leading the market potential to equal N × MS × P × Q; where ‘N’ holds the number of potential consumers in total, ‘MS’ stands for the percentage of the consumers or buyers or the total market share, ‘P’ is held as the sale average price, and lastly ‘Q’ stands for the consumption in average calculated on an annual basis. In the case of Vis-a-vis jobs, since it is a small business situated in the city of Toronto which obtains a population of approximately 2 million, the market area percentage is approximately 40%, which is around 0.8 million. Thus, according to the above formula, ‘N’ for instance is the potential consumers allocated here as 0.8 million. The total market share is the percentage of the shared market in Toronto among all other competitors. Here, we assume that there are three competitive businesses in total and thus, the formula being, 100% divided by the number of competing businesses will equal to 0.5%. Since 100% is divided by 200 which will become equivalent to 0.5% in the end. Moreover, the total average sale price is based upon the cost of production, which is reflected as being approximately $15 for the post quantities listed, thus ‘P’ will be equivalent to $15. Lastly, ‘Q’ will equal the average consumption, which evidently if we for instance use ‘5’ as the per assumption, then the market potential will be equalling N × MS × P × Q = 1,200,000 × 0.5% × $15 × 5 = $450,000 approximately. Thus, Vis-a-vis jobs must keep in mind the above assumptions are estimates, in order for it to help determine the sales price. If the estimates are too high or low, the profits and losses may vary when it comes to 10market potentiality. The estimated potential base of consumers, competition and environment at present helps in the greater accessibility of obtaining a closer figure when it comes to market potentiality. Thus, the estimation must be effectively and efficiently calculated, in order for the company to acquire productive results. Market share Over the last five years, the online recruitment industry has exceedingly thrived throughout North America. In Canada, the annual growth rate for this particular industry has been well over 4.1% since the year 2011 and has continuously grown within the last 5 years. Leading small recruitment agencies to obtain approximately $2 million as their annual revenue. Thus, with such a large and growing industry there is plenty of room to develop, expand and increase our market share in Canada, which lead us to place our projected revenue for the year 2017 as $240,000. Vis-a-vis jobs will experience high levels of competition, especially with companies such as Hired, indeed, Jobbio, Monster, Workopolis, and WeEmploy. However, the market of online recruitment is expanding everyday and with the right marketing tactics, software, and filtering systems Vis-a-vis jobs will be able to compete alongside its competitors and succeed through time. Vis-a-vis jobs’s total market area derives from the workforce population of the Greater Toronto Area which is currently over 6.5 million. Vis-a-vis jobs’s initial target market will be aimed towards individuals between the ages of 18 to 24 located across the GTA. The total population of that particular demographic is over seven thousand in total, leading this age group to construct approximately 39% of the workforce. It is an advantageous time and a great opportunity for Vis-a-vis jobs to commence its operations, since current job recruitment sites do not specifically target Millennials or individuals within the ages of 18 to 24, who are known for their continuous search for new opportunities. In addition to how they constantly alter their career paths in order to obtain new skills in various occupations, hence leading to the minimization of competition for Vis-a-vis jobs. Marketing Plan Product Vis-a-vis jobs products and services are designed to help employers connect with millennials throughout the Greater Toronto Area. This website helps companies find the best quality candidates for the position. Vis-a-vis jobs’s innovative filtering system will assist in streamlining the process of recruitment to 11help save job seekers and recruiters both time and money. This product will appeal to customers because applicants and employers can customize their profiles to better suit their search criteria and our algorithms will help them find the right positions. Vis-a-vis jobs does not currently sell its product on credit but does accept most payment methods including debit cards, credit cards, prepaid cards, bank transfers, mobile payments, checks, money orders and cash payments. This product will appeal to customers because applicants and employers can customize their profiles to better suit their search criteria and our algorithms will help them find the right positions. Vis-a-vis jobs does not currently sell its product on credit but does accept most payment methods including debit cards, credit cards, prepaid cards, bank transfers, mobile payments, checks, money orders and cash payments. Place Vis-a-vis jobs provide its services online, therefore does not require an expensive storefront in a valuable location. This is important for this business, as it helps lower monthly expenses. Vis-a-vis jobs does rent a small office in Toronto for its business operations. Inside the office, most our physical facilities such as computers, copy machine, and phones are leased. Leasing these types of equipment provide many advantages for the company. It requires less of an initial investment (meaning more cash flow available), it provides a pre-determined monthly line item, which allows better monthly budgeting. The most important reason this company chose to lease this type of equipment is to pass the financial burden of obsolescence to the equipment leasing company. Price The cost of the service that Vis-a-vis jobs provides costs about $15 per posting. There were several matters that went into this price point. First, Vis-a-vis jobs had to look at what competition was charging, as it is essential especially for a company first entering a market to offer competitive pricing and not price themselves out of the market. Secondly, a break-even analysis was conducted which calculated how many posts at Vis-a-vis jobs needs to sell break even. The more Vis-a-vis jobs charged for a post, the less likely companies would use Vis-a-vis jobs, and if we charged too little then revenues would not be high enough. In 2017, projected expenses were $211,600 which means at $15, about 14100 jobs need to be posted to break even. Vis-a-vis jobs projects to sell 16,000 posts in 2017, which at this price point would equate to 240,000 in revenue and $28,400 in net income. Vis-a-vis jobs chose to only charge companies making the job posting, and not charge anything for those looking or applying. This was to compete with many other websites who 12offer similar services. Furthermore, this decision seemed paramount with the demographic being targeted, mainly aged 18 to 24 and a significant portion unemployed, a fee would avert many from using this website to job search. Promotion To penetrate this competitive job recruitment market Vis-a-vis jobs developed several aggressive promotional strategies. Our promotions will focus on developing long term partnerships with numerous companies, so that our website becomes their go to spot, when they have a position needing to be filled. A long-term customer is far more valuable than a single deal customer, several studies have found that acquiring a new customer is anywhere from five to twenty-five times more expensive than retaining an existing one. To encourage initial job posting from companies, Vis-a-vis jobs will offer the first post for free. While this may lose some revenue to start, it will support long-term partnerships and develop long term growth for Vis-a-vis jobs. Vis-a-vis jobs has been tested and proven to be a service that companies appreciate, so once they use they are likely to continue using it. To further entice long-term partnerships, we also will be offering package deals to our valued customers, the more they use our website, the more they will save. This will help increase our revenues and influence companies to use Vis-a-vis jobs for all their recruitment needs. Financial plan Vis-a-vis jobs aims to offer the job seeker with a trusted network aligned with the employers whose main target is to build a diverse working environment. Initially they are planning to start their business in the Greater Toronto area and over the time they target to open in other areas of Toronto. Like Monster, We Employ, Work polis, Indeed, they want to become the global leader in recruiting the job-seeker with their preferred jobs and qualifications. Their target market is the job-seeker aged between 18 years to 24 years. In the target market, the target age group consists of 35% of the total population. Financial goals The business will charge 50% profit from the clients. For instance, if the client gets a job that pays $5,000 per month, the business will charge $2,500 as a one-time charge apart from the charge of providing the job. There is a charge for the premium customers who will pay an amount of $500 per month until he or she gets the job as per his or her preference. The business is expecting to generate revenue of $250,000 by the end of the second year. The business will not incur any direct cost for sales, however the indirect 13costs will be charged against the revenue in the income statement of the business. Start-up costs The initial requirement for the business for start-up is expected to be $75,000, out of which $25,000 will be provided by the owners of the business from their personal investment and the balance amount will be raised through short-term and long-term loans from the banks and financial institutions. The details of start-up costs will be as follows: Requirement for finances Out of the total start-up requirement of $75,000, $50,000 will be raised through debt from the financial institutions and banks as long-term as well as short-term loans. However, the balance amount of $25,000 will be provided by the owners of the business. Income statement Since the past five years, the growth in the online recruitment agency has shown a significant rise and the growth is measured as over 4% approximately. Even the small firms from this sector were able to generate minimum revenue of $2 million per year. Therefore, there are a plenty of scopes to develop and generate significant amount of revenue from this industry. Though the business will face strong level of competition from the competitors like Monster, We Employ, Hired, Job bio and Workopolis, there are ample space of growing in this demanding industry and earn a significant amount of revenue. 14 Particulars Amount Expenses Rent $15,000.00 Legal expenses $250.00 Brochures $100.00 Insurance $150.00 Printers, software, computers $10,000.00 Total expenses $25,500.00 Assets Cash $49,500.00 Other current assets $ — Long-term assets $ — Total assets $49,500.00 Total requirement $75,000.00The details of projected profit and loss for the first year will be as follows: Balance sheet of Vis-a-vis jobs 15 Particulars Amount Income Revenue from Sales $240,000.00 Less: Cost of sales Employee payroll $130,000.00 Other $ — Total cost of sales $130,000.00 Gross profit $110,000.00 Gross profit % 46% Less Expenses Operating and marketing expenses Advertising expenses $5,000.00 Service charges of bank $1,500.00 wages and salaries $35,000.00 Consultant's fees $12,000.00 Rent $15,000.00 Interest expenses $3,500.00 Office supplies $12,000.00 Postage $2,000.00 Printing $1,500.00 Miscellaneous expenses $2,500.00 Total expenses $90,000.00 Net profit before tax $20,000.00 Less: Tax at 30% $6,000.00 Net profit after tax $14,000.00 Particulars Amount Assets Current assets Cash $49,500.00 Inventory $14,000.00 Other current assets $12,500.00 Total current assets $76,000.00 Fixed (long-term) assets Plant, equipment and property $41,880.00 Less: Accumulated depreciation $3,960.00 Total fixed assets $37,920.00 Total assets $113,920.00 Liabilities and owners equity Current liabilities Accounts payable $24,920.00 Current borrowing $ — Total current liabilities $24,920.00 Long-term liabilities Long-term debt $50,000.00 Total long-term liabilities Owners Equity Owner's investment $25,000.00 Retained earnings $14,000.00 Total owners equity $39,000.00 Total liabilities and owners equity $113,920.00Cash flow statement 16The organization Form of ownership Vis-a-vis jobs will be a partnership firm with two partners named as John Hervey and David Smith. Originally, the idea of the business was from Mr. David, however, as originally he is not from Toronto and does not have enough idea about the demographics of Toronto, he taken Mr John as his partner, who is originally from Toronto and have great knowledge about the people of Toronto. Another factor for partnership business is that, the business needs $75,000 as initial requirement, out of which only $50,000 can be raised through loan and $25,000 has to be contributed by the owners. However, Mr. David is capable of investing only $10,000 to the the business and the rest amount of $15,000 will be contributed by Mr. John. Line & staff position The company will require the following personnel to run the business smoothly. Firstly, two full time editors and writers each who will handle check the resumes and make the necessary correction. Secondly, two full time receptionist who will attend the call and answer the queries from the job-seeker. Thirdly, one part time graphic designer who will design the resumes for the job-seekers. Lastly, ten employees who will be responsible for sorting the resumes for appropriate jobs. Concerning the advisory staff, one full time Human Resources coordinator who will be responsible for handling various issues within the business. In addition to one full time junior accountant and one full time senior accountant for handling all the account related task and preparing various accounting statement like balance sheet, revenue statement and maintaining various receipts and payments. Legal requirements To start the online employment agency business in Canada, the company will require the articles of incorporation, which the form shall be filled-up and submitted to the CPPSB to start the business in Toronto. A master business licence, and this licence is required to register the name of the business in the public record that is maintained by the consumer services, Ministry of Governance, and Companies and personal property security branch. A partnership registration, of which this form must be filled-up and submitted with the companies and personal property security branch to register the partnership business. Lastly, a federal business registration, prior to start-up, the business will need the registration number from the GST/HST, payroll and corporate income tax (Ebert et al., 2014). 17Insurance requirement Partnership insurance will be made, in case one partner dies, then the partnership insurance will permit to buy the shares and continue the business. Property insurance will be set in place of which this insurance will cover the fixed assets and property owned by the business in case of damage or destruction due to unavoidable accidents like fire. The general insurance will cover any type of injuries to the employees of the business. Lastly, the health insurance will cover the health of the employees of the business (Naylor, 2014). Credit agreement To raise loan from banks, the business requires a Banker’s acceptance (BA). A ‘BA’ is a negotiable instrument that is required to raise short-term loans from the money market. A ‘BA’ is the general form for short-term loan from Canadian credit facilities at fixed rate. Operations Hours of operations Since Vis-a-vis jobs is an online application, it is available to clients 24 hours a day 7 days a week. The level of availability appeals more favourably to customers versus traditional recruitment companies whose hours and days of operation are limited. However for the operational staff at vis-a-vis, the hours of operation will be from 8 a.m. to 5 p.m. Monday to Friday. Staff will not be required to attend work during statutory holidays, but this does not affect the online running of the website. If customers wish to contact anyone at the firm during these holidays, their call or email will be replied to during the next working business day. Communication system & types Vis-a-vis jobs will be utilizing customer service agents to answer any questions or concerns from its consumers. These trained professionals will have years of experience and excellent problem solving skills in order to apprehend and resolve the tasks at hand. All news, information, and guidances from the website will be dispersed through the hosting service of the website in various formats, such as notifications and emails to customers. 18Suppliers Vis-a-vis jobs will be connecting with the top firms in Toronto in order for our customers to get the best career opportunities available. There will be a unilateral communication stream between the human resource of these firms as well as our Vis-a-vis jobs staff in order to help guide our customers and better help their application process by giving them the best advice available. To ensure maximum quality output Vis-a-vis jobs will training employees to use their inter quality with interpersonal experiences. At Vis-a-vis jobs quality assurance is one of the core traits that is important to the firm in order to attract and earn trust with the customers. Employee information The five full-time employees and one part-time will be hired through a vigorous recruitment process in order to get the best match for the company. Vis-a-vis jobs will put job postings on Monster and Indeed in the quest for prospective employees. Work will also be done on approaching staff from other recruitment companies such as Creative Niche Inc. and Staff Plus. Vis-a-vis jobs will also be recruiting their staff from either other companies who have suitable candidates for our firm or through unemployed who have years of experience in their field. There will be a 6 month job training program to help staff be cross trained and help them gain the best understanding of what is expected from there to reduce the level of any misunderstanding. Staff will be required to work 8 a.m. to 5 p.m. Monday to Friday. Staff will be given statutory holidays off and up to 3 week vacation. Accounting system Vis-a-vis jobs will use an accounting information system (AIS). This system is best for storing and processing the financial and accounting data for decision making. This method is usually computer based tracking method that is best served for financial reports for both internal and external use. This system is designed to help organize auditing, financial accounting, reporting and tax. By using this computer based system is makes it easy and efficient to help analyze performance, profits, and other business metrics. (to make decisions). Conclusion To conclude, Vis-a-vis jobs aspires to provide individuals with a trusted professional network, pairing members with employers who are committed to building a diverse workforce. In addition to providing our customers with various opportunities in order to help them succeed. Some of these services include, 19but are not limited to, talent matching computations, career enhancement guidances, and characteristic examinations which will enable our machine-learning algorithms to find the right fit for our users over time. The company’s long term goal is to expand internationally and build an immense diverse network for individuals and recruiters to connect with one another while seeking various positions. Vis-a-vis jobs will be recruiting their staff members from either other organization who have suitable candidates or by hiring individuals; who are searching for new positions, and have years of experience within the fields required. There will be a unilateral communication stream applied throughout the company, in order to proficiently guide customers and better assist them with their application processes. At Vis-a-vis jobs quality assurance is one of the core traits that is important to the firm in order to attract and earn the customers’ trust. Nevertheless, there will be a six-month job training program to cross train staff members and help them gain the best understanding of what is expected from them. Vis-a-vis jobs’s staff will be required to work 8am to 5pm Monday to Friday. The company will have limited external regulations and we can always change our structure and business practices more rapidly and efficiently to meet the demands of the market. Furthermore, effective comparison of net profit with relative competitors could be conducted to detect the overall performance of the business. The overall fluctuations in profit could be detected during commencement of the business. If the overall profit margin is maintained throughout the operational years, then the profits attained could effectively help in improving the process of the business. If we are unable to obtain the initial loan to start our business, then we may have to dip into our personal savings or overextend credit cards and line of credits to fund our new business venture. Another issue with starting up an online business could be the potential risk of the website being infected by malware if a proper security system is not put in place. Moreover, in order to start the online employment agency business in Canada, the company will require to submit various documentations, such as articles of incorporation of which the forms will need to be filled and submitted to the CPPSB to start the recruiting business in Toronto. Overall, what separated Vis-a-vis jobs from all its competitors is that wants to benefit both the employers of companies who are hiring as well as individuals who are searching for jobs. Through the fluency of our filtering systems, we will be able to guide our users to easily access and view what job postings as well as candidates are available to them, based on the criteria they had in mind, leading us to help fulfill our users’ standards, goals, and dreams along the way. 20References • Ebert, R. J., Griffin, R. W., Starke, F. A., & Dracopoulos, G. (2014). Business essentials. Pearson Education Canada. • Naylor, R. T. (2014). History of Canadian Business (Vol. 207). McGill-Queen's Press-MQUP. • Environics Analytics. (2015). Millennials: The newest biggest and most diverse target market. Retrieved on January 22, from http://www.environicsanalytics.ca/docs/default-source/eauc2015- presentations/ dougnorris-afternoonplenary.pdf?sfvrsn=6%20 • Harvard Business Publishing. (2014). The Value of Keeping the Right Customers. Retrieved Retrieved on March 27, 2017 from https://hbr.org/2014/10/the-value-of-keeping-the-right-customers • CTV News. (2013). Ontario youth unemployment among the worst in Canada: report. Retrieved on March 27, 2017 from http://www.ctvnews.ca/canada/ontario-youth-unemployment-among-the-worst-in-canadareport-1.1473423 • American Economic Review 2014, 104(2): 495–536 http://dx.doi.org/10.1257/aer.104.2.495 • Business Insider. (2015). Why it’s the most wonderful time of the year to look for a job. Retrieved on January 18, from http://www.businessinsider.com/why-december-is-the-best-time-to-look-for-a- job-2015-12 • Futurpreneur Canada. (2017). Start-up business planning. Retrieved on February 11, 2017 from http:// www.futurpreneur.ca/en/resources/start-up-business-planning/crash-courses/business-plan- essentials-aquick-overview-of-whats-needed/ • Government of Canada. (2017). Job Market Trends and News. Retrieved on February 9, 2017 from https:// www.jobbank.gc.ca/LMI_bulletin.do • Government of Canada. (2017). Statistics Canada. Retrieved on February 9, 2017 from http:// www.statcan.gc.ca/tables-tableaux/sum-som/l01/cst01/labor20a-eng.htm 21 Illustrate using Excel. .