Billiken Ventures Business Plan Public - Home : SLU · PDF fileImpact on farmers comes from...
Transcript of Billiken Ventures Business Plan Public - Home : SLU · PDF fileImpact on farmers comes from...
Billiken Ventures
Business Education Through Experience
October.17.2016
CONFIDENTIALITYNOTICE:THISBUSINESSPLANCONTAINSTRADESECRETSANDOTHERCONFIDENTIALANDPROPRIETARYINFORMATIONOFBILLIKENVENTURES.
ACCORDINGLY,THISBUSINESSPLANISCONFIDENTIALANDISINTENDEDSOLELYFORTHEINFORMATIONOFTHEINDIVIDUALORENTITYTOWHICHITISDELIVEREDBYORONBEHALFOFBILLIKENVENTURES.BYACCEPTINGACOPYOFTHISBUSINESSPLAN,THERECIPIENTAGREESNOTTOCOPY,DISTRIBUTEOROTHERWISEDISCLOSETHISBUSINESSPLANORITSCONTENTSORANYOTHERRELATEDINFORMATIONTOANYOTHERINDIVIDUALORENTITYWITHOUTTHEPRIORWRITTENCONSENTOFBILLIKENVENTURES,AND
TORETURNTHISBUSINESSPLANTOBILLIKENVENTURESUPONREQUEST.
I. Executive Summary
Fortune, Forbes, and Entrepreneur all claim the millennial generation is the mostentrepreneurial generation yet.1 Prior to starting their businesses, many of these millennialentrepreneurshavehadnobusinessexperienceoreducation.Eventhosewhodo,though,havelittle knowledge of how to actually run a business or respond to the roadblocks they willencounter.
Thus, it is importanttopreparepeopleforthesechallengingexperiencesbyeducating
students on how to be entrepreneurs before they ever become one. Education throughtraditionalclassworkandstudiescanbeextremelybeneficial,butitlacksthehands-onnatureofmost entrepreneurial endeavors. This iswhyBillikenVentureswill aim to give the futureentrepreneursofSaintLouisUniversity“BusinessEducationThroughExperience”.
BillikenVenturesisanon-campusstudent-runcompanythatwillofferopportunitiesfor
students to start,manage, and grow actual businesses.Billiken Ventures will be the parentcompanyofseveralsmallercompanieswithdirectobjectives.Theconcept isbasedonsimilarideasfromotheruniversities,suchasTheCorpatGeorgetownwhichcurrentlyemploysnearly200 students with yearly revenues of over $5 million.2 Similarly, the University of Dayton’sFlyer’sEnterprisescurrentlyrunssevenseparatedivisionswhilebringing inarevenueof$1.3millioneachyear.3 Astheumbrellacompany,BillikenVenturesitselfwillservethegeneralcommonneedsofitssubsidiariessuchaslegal,accounting,humanresources,andotherback-officesupport.Toinitiatethebusiness,BillikenVentureswilllaunchfourdifferentprojectswiththeintentionofadding additional projects as resourcesbecomeavailable. Eachprojectwill bemanagedas aseparatebusinesswhilecontractingthecommonneedsfromtheumbrellacompany. The purpose of this plan is to, one, justify the need for an on-campus, student-runbusinesssuchasBillikenVenturesand,two,outlinetheneedsandprojectionsoftheumbrellacompany and each of its four projects.WhileBillikenVentureswill focus on the purpose of“BusinessEducationThroughExperience,”itwillalsobeafor-profitbusinessseekingsuccess.
Initial funding would first be sourced from the GrowingSLU initiative at Saint LouisUniversity. If more is needed, the business will consider offering ownership to Saint LouisUniversityStudentsthroughaprivateunitoffering(makingthecompanyvaluableasastudent-owned business as well) and a possible crowdfunding campaign. As the business becomesrevenuegenerating,BillikenVentureswillbecomeaself-reliantorganizationwithprofitforitsshareholders,capitalfornewprojects,andsupportforotherentrepreneurialorganizations.1http://www.forbes.com/sites/robasghar/2014/11/11/study-millennials-are-the-true-entrepreneur-generation/#10a904ee5e92,http://fortune.com/2016/02/20/millennial-entrepreneurs-study/,https://www.entrepreneur.com/article/2719722http://www.thecorp.org/about-the-corp/3https://en.wikipedia.org/wiki/Flyer_Enterprises
II. Overview QuickDescriptions Theentities included inBillikenVenturesand the followingplanarebrieflyexplainedbelowinordertoprovidesomecontextforthereadingofthisdocument:
BillikenVenturesisanon-campusstudent-runbusinessownedbySaintLouisUniversitythatwillofferopportunitiesforstudentstostart,manage,andgrowactualcompaniesbyactingasaholdingcompanyfortheuniversity.MagisChocolateisasmallbatch,bean-to-barchocolatesocialenterprisethatprovidesan educational opportunity for Saint Louis University students through a sociallyinnovativebusinessmodel.Tidy Projects provides various design services (logos, posters,web development, andmore)tothecampusandlocalcommunityatdiscountpriceswhilegivinggraphicdesignstudentstheopportunitytoexpandtheirpersonalexperienceandportfolios.TheBillikleaner is Saint LouisUniversity’s premier option for on-campus dry cleaningandlaundry. Billathreadsisastudentownedandoperatedinternet-basedapparelprintingserviceatSaint Louis University that offers a convenient solution and enables campusorganizationsanddepartmentstopatronizesociallyresponsibleoptions.
ManagementStructure
BillikenVentureswill initiallybestructured into fiveunits– theholdingcompanyandthefourprojects.EachunitwillbealegallyindependentLLC,theprojectsownedbytheholdingcompany,with a unique groupof studentmanagers. Theholding company, as a service,willcontracttheworkofback-officesupport(accounting,legal,humanresources,etc.)fromeachofitsprojectswhileallothermanagerswillbespecifictoaproject.BillikenVentures,byexampleofbothGeorgetown’sTheCorpandDayton’sFlyer’sEnterprises,willalsobemonitoredbypart-timeadultnon-studentstaffmemberswhooversee,advise,andsustainthebusinessasawholeby acting as the stable feature of the transition-heavy student environment. A graph of themanagementstructurecanbeseenbelow:
BillikenVentures
Billikleaner TidyProjects Billathreads Magis
Chocolate
Inthisdocument,eachprojectwillbeprofiledtoexplain itsneedsandprojections.Attheendof thisdocument,a summaryof theneedsandprojectionsofBillikenVentures asawholewillbepresented.OwnershipStructure
Given the initial fundingwill come fromSaint LouisUniversity’sGrowingSLUprogram,BillikenVentureswillbeentirelyownedbySaintLouisUniversity.Asmentionedbefore,ifthecompanyisinneedofadditionalfundsthenitwillconsiderthepossibilityofofferingownershipunitstostudentsasawaytoraisecapital.ThisfollowsthemodelofFlyer’sEnterprises,inwhichthe company is independently student-run, however, it is monitored and owned by theuniversity.
Atsomeuniversities,suchasWashingtonUniversity,studentspurchaseandown100%
ofthebusinessduringtheirtimeasmanager.Thiscreatestheincentivetosucceedgreaterasthepayoutishigher.However,eachbusinessistypicallyboughtforhundredsofthousandsofdollars,thuseliminatingmoststudentsfromtheopportunitytolearnaboutbusinessduetothelackofcapitaltheyhaveaccessto.Inordertoincentivizesuccessbutenableeducation,BillikenVentureswillbeuniversityownedbutwillformulatebonuspackagestoincentivizethestudentmanagerstosucceedintheirroles.
DocumentOrganization
ThisdocumentwillfirstexaminetheindividualneedsandprojectionsofeachofthefourspecificprojectsbeforesummarizingtheneedsandprojectionsoftheentireBillikenVenturesorganization.Itshouldbenotedthateachoftheprojectswillberunindependentlybyauniqueteamofmanagers.Regardlessofthis,however,theyareeachownedbyBillikenVentures.
III. Project Profile: Magis Chocolate Manager
[Senior]
QuickDescriptionMagisChocolateisasmallbatch,bean-to-barchocolatesocialenterprisethatprovides
an educational opportunity for Saint Louis University students through a socially innovativebusinessmodel.
ProjectSummary
MagisChocolate isasmallbatch,beantobarchocolatesocialenterprisethatsellsfairtrade,organicchocolateatJesuitinstitutionsofhighereducationandintheSt.Louisarea.Thischocolateproductioncompanywillbeusedasaneducational tool forstudentsofSaintLouisUniversity by providing students in the Nutrition and Dietetics program the opportunity todevelopskillsworkingwithchocolate.Magiswillalsoprovidebusinessstudentsanopportunitytohavehands-onexperiencewithasuccessfulsocialenterprise.
Beyondtheeducationalportionofitssocialmission,MagisChocolatealsoseekstohave
apositive impactonMayancacao farmingcommunities inBelizewith its innovativebusinessmodel. The Belizean portion ofMagis’ social mission takes place in three ways: sourcing,ownership,andprofitsharing.ImpactonfarmerscomesfrompayingapremiumforthecacaonibsfromaBelizeanfarmerscooperative.Additionally,thecooperativewillbepartialownersofMagis inaneffortto increasefarmers’revenues,togivefarmersasay inthedirectionofthebusiness, and to support the cooperative’s various social initiatives. Lastly,Magis will profitshare with the specific farms and farmers from whom the beans are purchased. With itsinnovationandsocialmission,Magis–inconjunctionwithSLU–hasthepotentialtocatalyzenewtrendsofinnovation,education,andsocialimpactinuniversitiesacrossthecountry.Timeline
To launchMagis’ products andmake it a revenue-generating company, a few thingsmust firsthappen.Tobegin, initial researchcompiledby the founder’ssummerstay inBelizemustbecompiledandwrittenintoabusinessplan.Then,equipmentmustbepurchasedtoaidin the product design and development phases. Once the product itself is completelydeveloped,Magiswilllaunchitssalesandgrowthecompany.Agraphicofthetimelinecanbeseenbelow:
PlanningSummer-Sept'16
DevelopmentOct'16-Jan'17
Launch
Feb'17
FinancialImpact
SLUCommunityImpact
Magis Chocolate offers Saint Louis University a unique opportunity to give studentsexperiencewithasocialenterprise.Further,Magisbarswillserveasasymbolofinnovationinboth business and in education; and the bars,with their connection to SLU,willmarket theuniversityinboththeSt.Louisareaandacrossthecountrybyhavingtheuniversity’slogoonanethicallymade chocolateproduct that is sold inother Jesuit institutionsofhigher education.Additionally,Magiswillprovide theuniversitywith theuniqueco-educationalopportunitybyhavingnutrition&dieteticsstudentsandbusinessstudentsworkwithandforthecompany.StrategicPlanandJesuitIdentityAlignment
Seeking to be a product and business that embodies the Ignatian ideal of “magis” inseeking, doing, and being more, Magis Chocolate provides Saint Louis University theopportunitytoliveoutitsmissionsinacreative,impactful,andauthenticway.Magisembodiesthephilosophyof “menandwomen forothers”with itsprofit sharingandsharedownershipbusinessmodel. It provides SLU and its students with the opportunities to be innovators insocialchange.
FinancialNeeds
MagisChocolate is inneedofcapital inordertopurchaseequipment,payonehalfoftheyear’soperatingexpenses(beforecashflowcanpayfortheexpenses itself),andprepareforunforeseenexpenses.Thefullneedscanbeseeninthetablebelow:
ResourceandPartnerNeeds
Other than the financial needs to launch the business,Magishas a handful of otherresourcesitwillneedaccesstoinordertoobtainsuccess.Thelistofneedscanbefoundbelow:
• Partnershipwith SLUNutrition andDietetics to help developMagis’ chocolatebar
• Advisorsfromchocolateindustry• ProductionspacewithinthefoodincubatorattheSalusCenteroncampus• AccesstofoodservicesateachofthedomesticJesuitUniversities• Officialpartnershipwithfarmer’scooperative
PotentialObstacles
Relativetocompetition,whilethereareanumberofsmall-batchchocolatecompaniesinexistence,fewfocusonsocialresponsibility.Inaddition,thetargetmarketofMagisistosellonJesuitUniversitycampusesofwhichnonecurrentlyhaveasmall-batchchocolatesupplier.Whiletheseuniversitiesdohaveotherchocolateproductsforsale,surveysissuedtothetargetdemographic indicate thatMagis will penetrate 1.26% of the existing campus-stakeholderschocolatemarkettobegin.TheuniquenessofMagiswillserveasamajorstrengthandwillkeepcompetitionfrombeingamajorobstacletothegrowthofthebusiness.
Relativetothefinancial,resource,andpartnerneedsmentionedabove,therearefew
obstacles remaining. The financial needs are expected to be supported by GrowingSLU, theNutritionandDieteticsisachampionoftheideaandcanprovidestudentandspacehelp,andthelocalchocolatierisasupporteroftheideaintheindustry.
Theonlyneedsnotyetaccountedfor isaccesstofoodservicesatthedomestic JesuitUniversitiesandanofficialpartnershipwithBelizeanfarmers.Relativetotheotheruniversities,thisneed,althoughnot clearasofnow,doesnotpresent itself asa largeobstaclegiven thenetworkconnectionsofSaintLouisUniversityadministratorsandtheotherJesuitUniversities.Relative to the farmers, a relationshipwas establishedwith the target cooperative this pastsummerandwill serveasan introduction to the conversationabouta formalpartnership. Inconclusion,therearenomajorobstaclesthatwillkeepthiscompanyfromfindingsuccess.
Examples There are many examples of small-batch chocolate companies. The most relevantexampleisacompanyinSpringfield,Missouri,calledAskinosie,thathasastrongdedicationtosocial responsibilities. There are no examples of small-batch chocolate businesses at otheruniversities,butthisallowsSaintLouisUniversitytobeapioneer.AdditionalQuestions Otherrelevantquestionsthatwillbeexploredareincludedbelow:
• ShouldMagiscreateapartnershipwithalocalchocolatiertocraftanddistributetheendproduct?
IV. Project Profile: Tidy Projects Manager
[Sophomore]and[Senior]advisedbydesignProfessor.
QuickDescriptionTidy Projectsprovides various design services (logos, posters,web development, and
more) to the campus and local community at discount prices while giving graphic designstudentstheopportunitytoexpandtheirpersonalexperienceandportfolios.
ProjectSummary
Tidy Project is a student-run graphic design studio offering a full array of designservices,fromlogodesigntowebdevelopment,tocampusorganizationsandthelocalstartupcommunity. Tidy Projects will give graphic design students the opportunity to expand theirpersonalexperienceandportfoliosaspartofapaidpositioninthecompany.Meanwhile,giventhe design work is done by designers-in-training, Tidy Projects’ prices will be notablydiscounted compared to the graphic design industry. The design studio and the work itproduceswillbesupervisedbyprofessor,MartinBrief,whoinitiatedtheoriginalideaasawayforhisstudentstolearnmoreaboutgraphicdesignthroughexperience.
TidyProjectswillfocusonthreeseparateservicesforavarietyofrevenuestreams.
1. GraphicDesign(logo,flyer,poster,banner,etc.)2. WebDevelopment(turnkeySquarespacebasedwebsitebuilding)3. CampusAdvertising(turnkeycampusadvertisingsolutions)
Each separate service has a specific target audience and flat fee pricing method. In
general,TidyProjectsisinterestedinprovidinggraphicdesignservicestoboththelocalstartupcommunity and the SLU community (which includes student organizations, administrativedepartments, and professors) while web development services will be focused on the localstartupcommunityandcampusadvertisingwillbefocusedontheSLUcommunity.Timeline
Tidy Projects’ founding team is preparing to embark on a three-week test-and-learnphase inwhich the companywill initiate sales efforts in order to confirm legitimate interestfromthecommunityandvalidatespeculatedpricingmodels.Givenpositiveresults,whichareconfidentlyexpected,TidyProjectswillthenaddstaffandlaunchthecompany.
PlanningSummer-Sept'16
TesMngSept'16
IniMaMonOct'16
Launch
Nov'16
FinancialImpactTidy Projects’ financial models are based on the assumption that there will be
considerableutilizationofthegraphicdesignersSLUhasavailabletowork.Thefinancialmodelsassume a starting point of three designers and growth in the following years. Regardless ofdemand,themanagementteamwillbeabletomakeeducatedhiringdecisionsthatwillkeepthecompanyprofitable.Giventhat,thefinancialexpectationsforTidyProjectsfollow:
SLUCommunityImpactTidy Projects will provide SLU with a student-run business that will attract creative
students andbusinesses inneedof low-cost creative talent.Havinga reliable andaffordablegraphicdesignbusinessoncampuswillfacilitateinnovationatSLUandimprovetheall-aroundappeal of SLU to prospective students and families. SLU departments and organizations willhave an “in-house” option for assistance with the creative aspect of event or servicespromotions and advertisements. Lastly, graphic design students will have an excellentopportunitytogrowtheirportfoliosandhonetheirskills.StrategicPlanandJesuitIdentityAlignment
TidyProjectsalignsstronglywiththestrategicgoalsinentrepreneurshipandeducation.Thecompanywillhelpstudentslearnaboutgraphicdesignbyrunningthisoncampusbusinessthatallowsthemtobeamanagerandanemployee.Studentscanusetheseskillsasalaunchpadtoentrepreneurshipbyopeningtheirownagenciesorbecomingfreelancers.SLUwouldbefulfillingitsstrategicvisiontoenablestudentsusingnew,entrepreneurialideas.FinancialNeeds
TidyProjects is inneedofcapital inordertopurchaseequipment,payonequarteroftheyear’soperatingexpenses(beforecashflowcanpayfortheexpenses itself),andprepareforunforeseenexpenses.Thefullneedscanbeseeninthetablebelow:
ResourceandPartnerNeeds
Outsidethefinancialneedstolaunchthebusiness,TidyProjectshasahandfulofotherresourcesitwillneedaccesstoinordertoobtainsuccess.Thelistofneedscanbefoundbelow:
• Partnershipwithlocalstartupcommunityorganizationstopromotebusiness• AccesstoSLUdepartmentsandorganizationstopromotebusiness• PartnershipwithGraphicDesignDepartmentatSLUtomonitorbusiness• Studentsskilledinsalesandstudentsskilledindesign
PotentialObstacles
Relative to competition,while there are a numberof local graphic design companies,thepersonalnatureanddiscountpriceofTidyProjectsgivesthecompanyitsownsectorofthe
marketplace. Relative to the financial, resource, and partner needs mentioned above, mostobstacleshavebeenmatchedwithsolutionsandarebecomingirrelevant.
The financial needs are expected to be supported by GrowingSLU, a design is a
championoftheideaandwillmonitorthebusiness,andaccesstothestartupcommunityandSLUadministrationcanbefacilitatedthroughtheCenterforEntrepreneurship,achampionforTidy Projects as a whole. In conclusion, there are no major obstacles that will keep thiscompanyfromfindingsuccess.
Examples
Other universities, such as Princeton, have student-run graphic design businesses likeTidyProjects.However,manyof thesecompaniesareactuallysubsidizedbytheuniversity inorder tomake thebusinessmodel feasible. Thesebusinessesnormallyonly focusongraphicdesign solelywhich can sometimes fail to be a profitable business. By adding two additionalrevenue streams in web development and campus advertising, Tidy Projects legitimizes itsbusinessmodel.
V. Project Profile: Billikleaner Manager
[Junior]
QuickDescriptionTheBillikleaner is Saint LouisUniversity’s premier option for on campus dry cleaning
andlaundry.
ProjectSummaryThe Billikleaner is a service meant to empower students and encourage
professionalism.Thecompany’smission is twofold.First, it is toofferconvenient,on-campusdry cleaning services. The Billikleaner will give students experience with running a realcompanyastheysimultaneouslyprovideamuchneededserviceoncampus.Thecompanywillstrivetodeliverunparalleledconvenience incleaning forbothstudentsandfacultyalike.TheBillikleaner will outsource the actual dry cleaning of items to a community partner. TheBillikleanerintendstoofferdeliverytodormroomsandoffices. Timeline TheBillikleaner’stimelineisincludedindetailbelow:
• September2016o Beginnegotiationswithdrycleaningcompanies thathaveexistingpickup/drop
offserviceso Distribute surveys to gauge student interest and existing student/faculty dry
cleaningusageo Create promotional advertisements and website to generate and monitor
studentinteresto Designlogo,banneranddailystorageunitforclothingo Developparttimescheduleforbusinessdaysandhours
• October2016o Begincampuswidemarketingcampaigno Finishnegotiationswithdrycleaningcompanytoarrangepickup/dropoffservice
§ Finalizepricingstructurebasedonpartnerdrycleaningpriceso Finalizebannerdesignanddailystorageunitdesigno acquirecompanyassetsincluding:
§ Debit&credit/Billikenbuckequippedcashregistero Begininterviewsforstudentemployees
• November2016o LaunchTheBillikleanero Implement daily storage unit, banner with logo and student employee to
monitorclothingdropoff/pickup• December2016
o Review1monthexpensereportandtrendso Developpredictionsforfuturegrowtho Consideroperatingonafulltimescheduleo Considerpurchasinglockersfordailyclothingstorageandpickup/drop-offo Beginplansforofficialstorefrontandoffice
• January2016o Purchaselockersbasedonfuturegrowtho Setuplockersatoneormorelocationsonmaincampus
• February2016o Comparegrowthpredictionswithactualgrowtho Reviewlockerfunctionalityandstudentsatisfactionwithsurveyso Consideraddingpickup/drop-offdry-cleaningservicestosouthcampusandLaw
School§ Distributesurveystomedicalschoolandlawstudentstogaugeinterest
• March2016o With sufficient medical student interest and commitment from dry-cleaning
partner,addapickup/drop-offpointonthesouthcampusand/orlawschool§ Beginwithastudentmonitor
o Conductquarterlyreviewofnorthcampuso Finalizeandmoveintostorefrontandoffice
• April2016o Reviewonemonthexpensereportandtrendsforsouthcampusandlawschoolif
applicableo Developpredictionsforfuturegrowtho Distributesurveystogaugesummerstudentinterestandconsidersummerscale-
downFinancialImpact
Assumptions for theBillikleaner weremade based on the results of the Jay Clean atCreighton.Thesefinancialmodelswillbecorrectedwhenanofficialdrycleanpartnercomesonboard.
SLUCommunityImpact• LessrestrictionsonSLUstudentswithoutcars
o Moreenvironmentallyfriendlythanstudentsdrivingtodry-cleanersindividually• Potentialnationalrecognition• Greatlocalpressfortheuniversity• Attractbusinessstudentswhodesirepracticalexperience
StrategicPlanandJesuitIdentityAlignment
TheBilliKleanercoincideswiththeJesuitMissionthroughbusinessethics.Thecompanyaimstobeanethicalsourceofrevenuefortheuniversitywhileempoweringitsstudentstobeexposedtoethicalbusinesspracticesbeforeleavingtheuniversity.TheBillikleanerwilloperateasastraight-forwardandhonestcompanyrunbythestudentsfortheSLUcommunity.Throughearlyintroductiontokeyelementsofthebusinessandethicsstudentswillunderstandthedailylife running a business, and understand what it means to run an ethical business in thesupportiveenvironmentoftheSLUCentreforEntrepreneurship.
FinancialNeeds
ResourceandPartnerNeeds
Other than the financials needs to launch the business,Billikleaner has a handful ofotherresourcesitwillneedaccesstoinordertoobtainsuccess.Thelistofneedscanbefoundbelow:
• Aviableon-campusornear-campuslocation• Accesstouniversitystakeholdersinterestedintheservice• Officialpartnershipwithalocaldry-cleaner
PotentialObstacles
Relative to competition, there is no close-to-campus option that makes dry cleaningconvenient to SLU stakeholders. This immediately gives the Billikleaner a comfortablecompetitiveadvantage.
Relativetothefinancial,resource,andpartnerneedsmentionedabove,therearesomeobstaclesremaining.ThefinancialneedsareexpectedtobesupportedbyGrowingSLUiftheyarenotdeemedtoohighandweexpectapprovaltodoon-campusdeliveryandfindaccesstotheuniversitystakeholdersthroughtheCenterforEntrepreneurship,however,someobstaclesstillremain.
The two remainingobstacles include the locationand thedry cleaningpartner.Given
thatthecompetitiveadvantageiscenteredaroundproximitytocampus,theBillikleanerneedsanon-campusornext-to-campushomethathasyettobeidentified(theplaceintheBSChassince been spoken for). The partner to outsource the dry cleaning to is also incrediblyimportant, although a sufficient relationshipwith a dry cleaner is yet to be set up, althoughsomeconversationsareintheworks.
Examples
CreightonUniversityinOmaha,NebraskahasalreadymadewhattheycalltheJayClean.This operation partners with an off-site dry cleaner, and our students have been workingcloselywith the founder inorder tobestunderstandpricingand forecasts.WebelieveSLU’sBillikleaner could take the JayCleanastep further in termsofprofessionalismas they lackastorefront.AdditionalQuestions Otherrelevantquestionsthatwillbeexploredareincludedbelow:
• InAtlanta,acompanycalledPressBoxCleanersofferslockersatmultiplelocationsacrosstown(incommonareas,suchasthelobbyofaresidentialtower)thatcustomerscandroptheirclothesofintoandpickupafewdayslater,clean.Thereisnostorefrontandnoin-persondelivery–thelockersarethestorefrontsinmany,manylocations.ShouldBillikleanersconsiderthismodel?TherecouldbeBillikleanerlockersatthebottomofeachdorm.
• Othercompaniesalsoprovidelaundryservicesontopofthedrycleaningservices.Universitystakeholdershaveshowninterestinthisidea.Shouldweconsiderthisasafuturebusinessopportunity?
VI. Project Profile: Billathreads Manager
[Senior]
QuickDescriptionBillathreadsisastudentownedandoperatedinternet-basedapparelprintingserviceat
SaintLouisUniversitythatoffersaconvenientsolutionandenablescampusorganizationsanddepartmentstopatronizesociallyresponsibleoptions.
ProjectSummary
BillathreadsservesasanewmediumforcustomprintingoptionsofferedtoSaintLouisUniversitystudents,organizations,andadministration.ThisSLUbasedcompanywillutilizetheconsiderableadvancementsindigitalprintingtechnologythatultimatelyspeedsuptheprintingprocess, eliminating any inventory, obsolete stock, and prepress expenses. By integrating anexclusivefair-tradepolicywithsuppliers,BillathreadsholdsastrategicadvantageasSaintLouisUniversity’s facultyandstudentsseek foranapparelprintingservice thatcarriesoutpartsofSLU’smissionstatement.Billathreadswillbepartneringwith[Company],acompanyoutofSt.Charles,thatwillhostthedesignwebsiteanddotheactualprintingoftheitems.
Toclarify,Billathreadswillfocusontwospecificservicestogeneraterevenue:
1. BulkPrintingOrdersonapparelandcustomitems2. CustomApparelwebsitehostingandprinting
Underthestrategicadvantageofusingexclusivelyfair-tradesuppliers,thefirstrevenue
stream is the traditional apparel design and order process. The second revenue streamwillofferanewanduniqueopportunitytoSLUcampusorganizationsanddepartments.Inessence,a SLU organization will be able to design some items and host them on a website withBillathreads, then sell these items via the website at all times. Billathreads will have eachindividualshirtprintedandshippedasitisordered(dropshipping)whilecollectingafeeoffthetopoftheorder.ThismodelcouldpotentiallybeusedtohelpSLUorganizationsfundraisebysellingapparel.Timeline
Billathreads has already arranged a partnershipwith a local company, [Company], tohost the drop-shipping apparel websites and to outsource the printing to. Much of thecompany’ssuccesswillberootedintheawarenessofthecompanyaroundtheuniversity.Thus,followingtheplanningphasethecompanywillinitiateamarketingeffortthenofficiallylaunchthecompany.
FinancialImpact
SLUCommunityImpact
Billathreadswillhaveahugenon-financialimpactonSLUbyprovidingSLUgroupsandorganizationsoncampusasociallyresponsible,easy-to-access,customizableapparelservice.Bygiving the SLU community a fair-trade option, Billathreads will begin to change the culturenorm by encouraging to support businesses with best practices. From this perspective,Billathreadsisasmuchasocialmovementasitisabusiness.StrategicPlanandJesuitIdentityAlignment
BillathreadsalignsitselfwiththeJesuitMissionthroughtheidealsofpracticing“JesuitBusinessEthics”.Providingcustomizableapparelfromasociallyresponsiblesupplieristhevery
PlanningSummer-Sept'16
MarkeMngSept'16
Launch
Feb'17
foundationofwhatBillathreads isallabout.Afterpurchasingthiscompany’sapparel,theenduserwillultimatelyhaveadirectimpactonthefairtradelaborinitiative.Theywillbemakingadifference in theworld. It is our vision not only to provide SLU students valuable realworldbusiness experience, but also teach them to understand what it means to run an ethicalbusiness,eveninadifficultenvironmentsuchasthetextileindustry.FinancialNeeds
ResourceandPartnerNeeds
Other than the financials needs to launch the business,Billathreads has a handful ofotherresourcesitwillneedaccesstoinordertoobtainsuccess.Thelistofneedscanbefoundbelow:
• Spacetooperatesalesandcampuspick-upfrom• AccesstoSLUdepartmentsandorganizationstopromotebusiness• PartnershipwithBillikenVentures subsidiary todesignapparel forBillathreads
customers
PotentialObstaclesRelative to competition, the market for apparel printing businesses (especially on
collegecampuses)isratherflooded.However,thereisnocomparablelocalbusinessthateitherfocuses solely on fair-trade suppliers or focuses entirely on SLU organizations. BillathreadsbelievesthatifitisabletogatherthebuyingpowerofallSLUorganizationsintooneandfocusit solely on fair trade, not only will the school make a statement but it will also provecompetitiveprice-wise.
Relativetothe financial, resource,andpartnerneedsmentionedabove, therearenot
manyobstaclesremaining.ThefinancialneedsareexpectedtobesupportedbyGrowingSLU,theCenterforEntrepreneurshipwillbeprovidingthestudentworkspace,andthepartnershipwithTidyProjectswillbefacilitatedbytheparentcompany,BillikenVentures. Inconclusion,therearenomajorobstaclesthatwillkeepthiscompanyfromfindingsuccess.
AdditionalQuestions Otherrelevantquestionsthatwillbeexploredareincludedbelow:
• ShouldBillathreadsconsiderabulk-orderwithacompanyotherthan[Company]?Thecompanyisstructuredforthedrop-shippingbusinessmodelandbetterdealscouldlikelybefoundelsewhere.Regardless,thedrop-shippingandwebsitehostingrevenuestreamwillremainwith[Company].
VII. Project Profile: Billiken Ventures Managers
[Senior],[Sophomore],and[Sophomore]
QuickDescriptionBillikenVenturesisanon-campusstudent-runbusinessownedbySaintLouisUniversity
thatwillofferopportunitiesforstudentstostart,manage,andgrowactualcompaniesbyactingasaholdingcompanyfortheuniversity.
ProjectSummary
BillikenVenturesisanon-campusstudent-runbusinessthatwillofferopportunitiesforstudents to start,manage, and grow actual companies.Billiken Ventures will be the parentcompany of several smaller companies with direct objectives. As the umbrella company,BillikenVentures itselfwill serve thegeneral commonneedsof its subsidiaries suchas legal,accounting,humanresources,andotherback-officesupport.To initiatethebusiness,BillikenVentureswilllaunchfourdifferentprojectswiththeintentionofaddingadditionalprojectsasresources become available. Each project will be managed as a separate business whilecontractingthecommonneedsfromtheumbrellacompany.Timeline
BillikenVenturesconceptionwillbecharacterizedbythreephases.Theplanningphase,whichisthewritingofthebusinessplanupuntiltheacquisitionoffunds,isalreadyunderway.Thisphasewillbefollowedbythebuildingphase,inwhichprojectswillbeginusingthecapitalacquiredfromtheuniversity.Lastly,therewillbetheexpansionphase,inwhichfollowingthesuccessoftheinitialprojectsBillikenVentureswillseektoexpandwithadditionalprojects.AlistofpotentialfutureprojectscanbefoundinAppendixA.Adiagramwiththedetailsofeachphasecanbefoundbelow:
The first two phases are aimed to be completed within the first 12 months of theproject.Oncefunded,itshouldbenomorethanonemonthtomaketwoofthefourprojectsrevenue positive (Magis and Billikleaner will be so after four months). Not long after eachbusiness begins making revenue, it is to be believed that each business will be cash flow
Planning(Summer-October2016)
• BusinessPlan• GrowingSLUApplicason• AcquisisonofFunds
Building(October2016-August2017)
• InisateProjects• EstablishProfitability• SustainProfitability
Expansion(August2017+)
• EvaluateNewOppurtunises
• ExpandonOriginalProjects
positivebythethirdmonth.TheexpansionphaseforBillikenVentureswillbelargelydecidedby the future leadership of the organization. However, the current understanding is thatBillikenVentureswillbepreparedforadditionalgrowthatthebeginningofthenextacademicyear.FinancialImpact
SLUCommunityImpactBillikenVentures’goalistoprovidebusinesseducationthroughexperience.Asabusiness
itself,BillikenVentureswillprovideahandfulofnon-financialpositiveimpactsonSLU.Theyarelistedbelow:
• Studentsgainbusinessexperiencebyrunningtheirownbusiness• Studentsexperiencefirst-handinvolvementwithsocialenterprise(MagisChocolate)
whilealsosupportingtheBelize2020initiativeatSLU.• Faculty,Students,andStaffenjoythebenefitofon-campusdeliverydrycleaning.• Organizationswillenjoylow-costartworkandwebdesignswhilestudentswillhave
opportunitiestobuildtheirartportfolios.• SLUorganizationscansupportfair-tradecompaniesbybuyingshirtsfromBillathreads
whowilldealexclusivelywithfair-tradesuppliers.• Thecampusinnovation/entrepreneurshipcommunitywillhavemajorsupportfrom
BillikenVentures,aseparatefor-profitentitypartneringwiththeuniversity.StrategicPlanandJesuitIdentityAlignment
TidyProjects
Quite simply, the strategic plan asks for entrepreneurship and newways of learning.BillikenVentures fulfillsthisbycombingthetwogoals.ThecompaniesthatBillikenVentureswill operate eachhave their ownuniquewayof aligningwith themission and strategic planmentionedintheirindividualbusinessplans.FinancialNeeds
ResourceandPartnerNeeds Many needs of Billiken Ventures are highlighted in the businesses that it owns.However,stillafewveryimportantneedsremain.
1. Billiken Ventures needs a space where it can operate and grow. The Center forEntrepreneurshipwilldofornowbutitwillneedaplacetogointhecomingtime.
2. BillikenVenturesneedsstaffoversight.Thispersoncanbepaidbythecompany,butitneeds a stable advisor to provide sustainability when students, who are learning,transitioninandoutofrolesquickly.Thisismentionedinthefinancials.
3. Billiken Ventures needs extensive legal work to sort out how the company will bemanagedandgoverned. IwouldhopeSLU, theownerof the company, couldprovidethiswork.
TidyProjects.
VIII. Appendix A: Potential Future Projects FuturepossiblebusinessestobeconsideredbyBillikenVenturesinclude:
• Astudent-runBikeShopthatsells,fixes,andrentsbikes• ABikeShareforSLU’scampusandthegreaterSt.Louiscommunity• Aresaleshopthatstudentscoulddonatetoandbuyfrom.