Video Game Bp

8/18/2019 Video Game Bp

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Tyler King

7/20/15

WGU Business Administration Capstone Proe!t

Business Plan

Table of ContentsExecutive Summary 2

Company and Industry Summary 4

Market nalysis !

Market Summary "4

Implementation Strate#y "$

%inancial Statements2"

%inancial Statements nalysis 2&

Biblio#rap'y 24

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Executive Summary

Company "ame# King $o%t&are' ((C)

*ead+uartered in# ,i!-ardson' T.)

Amount o% employees at startup# 150)

ur ission# To !ontinually pro3ide our !ustomers games t-at &ill !-allenge t-e status

+uo) 4n order to a!-ie3e t-is mission' &e &ill %a!ilitate a !orporate !ulture t-at instills a lo3e and

passion %or gaming and 3ideo game !ulture in our &orers &-ile pus-ing t-eir !reati3ity and

te!-ni!al sills to ne& -eig-ts and ensuring t-at most o% t-e de3elopment pro!ess and pu6lis-ing

o!!urs in -ouse) ur top management &ill -a3e etensi3e eperien!e in t-e industry and &it-

super3ising groups o% employees)

Goals t-at &ill 6e rea!-ed in order to support our mission &ill in!lude t-e de3elopment

o% games t-at -a3e epansi3e' deep' and engaging &orlds and en3ironments &-ile !reating

realisti!' &ellde3eloped' -uman %emale !-ara!ters) We &ill ensure t-at t-e employees t-at &e

6ring on 6oard are no&ledgea6le a6out t-e industry' t-eir role as part o% t-e team' and t-e

te!-ni!al sills re+uired to pro3ide topnot!-' 6ug %ree so%t&are)

T-ere are t-ree ey aspe!ts o% our !ompany t-at &ill set oursel3es apart %rom t-e

!ompetition# T-e %a!t t-at &e &ill sel%pu6lis-' a strong %amilyoriented !orporate !ulture' and

t-e in!lusion o% t-e %emale demograp-i!)

4n today8s industry' t-ere is an in!reasing %emale demograp-i!' 6ut t-ere is still an issue

t-at plagues many games today# T-e %a!t t-at a lot o% %emale !-ara!ters in game are eit-er -yper

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seuali9ed or t&o dimensional) T-ey don8t %eel 3ery relata6le or lie anyt-ing ot-er t-an o6e!ts'

&-i!- !an alienate a -uge !ustomer 6ase) ur goal as a !ompany is to introdu!e %emale

!-ara!ters t-at gamers !an !onne!t &it- and !-eer on during t-eir ourney)

We &ill also pu6lis- our o&n &or' &-i!- eliminates t-e !osts related to trying to %ind a

pu6lis-er) 4t also allo&s us autonomy to set our o&n deadlines' &-i!- &ill ensure t-at our

produ!ts are %ully !ompleted and 3irtually 6ug %ree) 4' as t-e %ounder' 6elie3e t-at a game

!ompany s-ouldn8t s-ip a 6uggy' un%inis-ed game ust to meet a deadline) T-ere -a3e 6een

multiple games t-at didn8t sell all too &ell due to t-eir notoriety)

T-e last ey aspe!t t-at &ill set oursel3es apart is our %amilyoriented !orporate !ulture)

We &ant our employees to %eel &el!omed and needed in t-e &orpla!e) T-e -ig-er t-e employee

morale' t-e stronger t-e %eeling o% !o-esion' and t-e -ig-er +uality t-e produ!t) :a!- employee

s-ould no& t-at t-eir role is a6solutely 3ital to t-e !ompany and enoy t-e !ompany o% t-eir

%ello& !olleagues)

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Company and Industry Summary

;ideo games -a3e 6een in eisten!e sin!e t-e 1


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en!ouraged !reati3e game de3elopment and lead to t-e !reation o% !lassi! 3ideo games su!- as

Contra) T-e !ompany' originally a playing !ard !ompany %ounded in t-e late 1@00s' !ontinued to

dominate t-e maret &it- su!- !onsoles su!- as t-e $uper "intendo' t-e "intendo = and t-e

Game Boy)

$ony entered t-e !onsole &ar in 1-ard!ore? games popular'

*alo# Com6at :3ol3ed) T-e .6o8s %ollo& up !onsoles' t-e .6o =0 and .6o ne' !ontinue

to %urt-er t-e popularity o% 3ideo games and ensure gaming as a mainstay in today8s !ulture)

T-e late 20008s and early 20108s sa& a rise in anot-er aspe!t o% gaming# o6ile gaming)

T-e smartp-one8s tou!- s!reen allo&ed %or ne& and already esta6lis-ed de3elopers su!- as

:le!troni! Arts to !reate games t-at appeal to an audien!e t-at -ome !onsoles !ouldn8t normally

rea!- and allo&ed %or t-e e3olution o% t-e !asual gaming maret) T-ese games are de3eloped to

6e +ui! time &asters and aren8t ne!essarily meant to -a3e t-e deeper game me!-ani!s more

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tailored to !onsole and PC games) T-e mo6ile gaming p-enomenon started &it- t-e release o%

t-e Angry Birds games and !ontinues to dominate t-e !asual maret &it- %reetoplay games

su!- as Game o% War and Clas- o% Clans)

ur !ompany &ill adopt t-e stru!ture o% a (imited (ia6ility Corporation' or ((C) T-is is

one o% t-e most !ommon stru!tures o% 6usinesses in t-e gaming and so%t&are industry' as o&ners

and partners are !onstantly !-anging) Wit- an ((C' all de6ts and responsi6ilities are 6orne on

t-e 6usiness itsel% and t-ere is a lot o% %lei6ility &it- t-e o&ners-ip' meaning t-at you !ould

operate t-e 6usiness as t-e sole o&ner o% t-e ((C or use multiple o&ners lie most 6usinesses)

T-is allo&s %or us to start as a %lat stru!ture at %irst to maintain a !lose relations-ip &it- our

&orers and maintain our !lose nit !orporate !ulture' 6ut 6e %lei6le due to t-e needs o% t-e

industry)

$in!e &e &ill pu6lis- our o&n games in t-e United $tates' &e &ill start o%% &it- our main

%a!ility in ,i!-ardson' T.) ur means o% distri6ution &-ile &e start up &ill 6e digital at %irst' 6ut

as &e gro&' &e !ould add more distri6ution %a!ilities to maor areas around Teas' and

e3entually t-e nation) n!e &e -a3e esta6lis-ed oursel3es lo!ally' &e &ill turn our %o!us onto

maor marets glo6ally' primarily apan' :urope and Australia) W-en &e glo6ali9e' &e &ill

esta6lis- deals &it- eisting pu6lis-ers in t-eir respe!ti3e !ountries to pu6lis- and s-ip our

produ!ts as e%%i!iently and !ost e%%e!ti3e as possi6le)

T-e %irst legal issue &e &ill -a3e to %a!e is t-e pro!ess o% in!orporating) T-e paper&or

&ill 6e %iled t-roug- t-e Teas $e!retary o% $tate along &it- any registration %ees asso!iated &it-

in!orporating in t-e state) By la&' i% our !ompany !-ooses to 6e a (imited (ia6ility Corporation'

our name must -a3e a 3ariation o% t-e p-rase >(imited (ia6ility Corporation? in t-e name o% t-e

!ompany) ees o% in!orporating 3ary among states and %iling agents) ne o% t-e ot-er maor legal

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!on!erns &it- a gaming !ompany &ould 6e !opyrig-t) Games are a!tually prote!ted under

!opyrig-t in t-e United $tates' 6ut it 3aries &orld&ide) Upon start up' &e &ill 6e more !on!erned

o3er t-e !opyrig-t la&s under U)$ and Teas la&)

"o&' %or registering %or !opyrig-t !laims %or our &ors !ould 6e done in t&o &ays#

nline' t-roug- eC' or 6y %illing out a p-ysi!al !opy o% t-e registration %orm t-roug- t-e state

o% Teas) $in!e &e &on8t 6e starting up &it- 3ery mu!- !apital' it &ill 6e !ost e%%e!ti3e to %ile

online) W-ene3er &e gro& our operations o3erseas' &e &ill register %or !opyrig-t prote!tion

a!!ordingly)

ur main proe!ts &ill 6e games and game engines) *o&e3er' &e &ould also o%%er

ser3i!es su!- as 3isual and sound e%%e!ts %or ot-er !ompanies) We &ill also o%%er an open sour!e

3ersion o% our de3elopment it %or users to de3elop t-eir o&n games) We &ill o%%er a %ree trial

and a paid 3ersion' &-ere &e &ill tae 25 per!ent o% any pro%it t-e users8 games mae)

ur stru!ture &ill at %irst !losely resem6le a %lat stru!ture) T-is &ill allo& %or our

employees to maintain a !lose relations-ip &it- upper management) Also' t-is %lat stru!ture &ill

also allo& %or an easier trans%er o% in%ormation t-roug- t-e organi9ation) T-is &ill eep true to

our %amily oriented !orporate !ulture) W-at &e &ill -a3e at %irst &ill 6e t-e C:' &-i!- &ill

o3ersee ust a6out e3eryt-ing t-at goes on in t-e de3elopment pro!ess) T-en' on a lo&er le3el'

&e &ill -a3e a *uman ,esour!es manager' &-i!- &ill %o!us on t-e &or%or!e de3elopment'

legal paper&or' and topi!s su!- as employee pay t-e Huality Assuran!e manager' &-i!- &ill

o3ersee t-e de6ugging pro!ess o% game de3elopment t-e :ternal Usa6ility anager &-o &ill

6e in !-arge o% %o!us testing and t-e %eed6a! %rom play testing sessions Programming anager'

&-o &ill o3ersee t-e pro!ess o% a!tually programming t-e game And %inally' t-e anager o%

Arts' Con!epts' and Designs' &-o &ill manage t-e de3elopment o% assets su!- as en3ironments'

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!-ara!ter design' and related !on!epts) We &ill also -a3e a inan!e and A!!ounting anager'

&-o &ill pro3ide assistan!e &it- -andling t-e %inan!es and a!!ounting systems o% t-e !ompany'

and a -ead o% Pu6li! ,elations and areting' &-o &ill o3ersee t-e P, and ad3ertising o% our

6rand and produ!ts)

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Market nalysis

ur target demograp-i! &ill 6e 6ot- males and %emales a6o3e t-e age o% 17) ur games

&ill deal &it- mature topi!s) $in!e &e &ill start distri6ution t-roug- t-e 4nternet' &e &ill 6e a6le

to rea!- !ustomers &it-in t-e region and possi6ly &orld&ide) T-e maority o% our !ustomers

&ould reside in t-e United $tates' :urope' apan and Australia) W-en t-e 6usiness gro&s' &e

&ill 6e a6le to set up distri6ution !-annels 6ot- &orld&ide and lo!ally to supply our !ustomers

&it- p-ysi!al !opies o% our games) ur -ead+uarters &ill 6e in ,i!-ardson' T. at t-e time o%

startup 6ut &ill mo3e on!e t-e !ompany -as gro&n and !an 6uild relations-ips &it- e%%i!ient and

!ost e%%e!ti3e distri6ution !-annels)

T-e industry itsel% is epanding) rom 200< to 2012' t-e industry -as gro&n o3er <

per!ent' !ompared to a 2) per!ent in!rease in t-e U)$8s GDP) 4n t-e state o% Teas' t-e industry

-as pro3ided 1= per!ent o% t-e state8s GDP) Wit- t-is in!rease in t-e maret %or gaming !omes an

in!rease in o6s) T-e epanding industry -as added o3er 150'000 o6s' not e3en in!luding

&orpla!es t-at are indire!tly a%%e!ted 6y t-e gaming and so%t&are industry su!- as retailers)

T-e %emale demograp-i! is in!reasing' &it- approimately 50)2 per!ent o% PC gamers

and =0 per!ent o% mo6ile players 6eing &omen) T-is is partially due to an in!rease in %emale

!entri! games su!- as Gone *ome' Tou-ou and t-e re!ent (i%e is $trange game series)

A%ter some !loser resear!- and one o% t-e strengt-s o% t-e 6usiness is -o& rapidly t-e

gaming industry -as 6een gro&ing' espe!ially o3er t-e past %e& years) T-is is an in!redi6ly

pro%ita6le industry and our !ompany -as t-e potential o% earning tons o% money) T-e industry

-as gro&n into a multimillion dollar 6usiness' &it- de3elopers su!- as i!roso%t $tudios'

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U6iso%t' "intendo and $ony Computer :ntertainment &ort- any&-ere 6et&een 5 and 20 million

dollars)

Anot-er strengt- t-at &e -a3e as a !ompany is our relaed' %riendly' !lose nit !orporate

!ulture) 4t -as 6een pro3en time and time again t-at -appy' empo&ered employees are moti3ated

employees' and t-at it is up to top managers to promote a relaed' positi3e &or en3ironment)

We also 6elie3e t-at i% &e are going to allo& %or !reati3ity and are responsi6le %or t-e

de3elopment o% produ!ts t-at gi3e our !ustomers a sense o% oy t-at our !ompany s-ould 6e a %un

pla!e to &or)

T-e t-ird strengt- t-at &e %ound &ould 6e our %o!us on +uality o3er +uantity) We do

6elie3e in dedi!ating time to de3eloping one or t&o &ell!ra%ted produ!ts instead o% pus-ing %i3e

or si un%inis-ed games out to retailers as +ui! !as- ins) T-e de3elopment o% games su!- as t-e

no& in%amous :)T' $oni! t-e *edge-og and t-e t-ird installment in t-e popular ass :%%e!t

series -a3e taen a -it 6e!ause o% pu6lis-ers pus-ing deadlines &-en t-ere needed to 6e a lot

more time needed to polis- t-e game)

ne &eaness &it- our 6usiness a!tually is due to t-e industry itsel%) W-ile it is a

gro&ing industry &it- T"$ o% opportunity' t-ere is a -uge 6arrier to entry %or ne&er

de3elopers) or e3ery AAA 6lo!6uster game' t-ere -as to 6e at least ten games t-at %ail to meet

sales standards) A!!ording to a re!ent study' only 1 out o% e3ery ten games manage to >6rea

e3en?)

ur dedi!ation to +uality !ould also lead to missing pea sales seasons' resulting in

missing opportunities to gain pro%its) ost de3elopers release t-eir 6iggest -its around t-e spring

and &inter seasons due to t-e -ig- amount o% sales) A!!ording to a study put out 6y statista)!om'

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total re3enue %rom sales at t-e end o% 201 &as around =)5 million) A longer de3elopment !y!le

mig-t mean t-at &e may not -a3e games released during periods o% -ig- re3enue)

T-e la !orporate stru!ture !ould also result in t-e o6 not 6eing taen seriously) 4t is t-e

-ig-est priority o% our -ig-er management to 6ot- eep t-e o6 %un 6ut eep it pro%essional)

Being too relaed !ould possi6ly result in la9iness and sla!ing o%%) anagers are re+uired to

ensure t-at t-e tas is still 6eing done e3en t-oug- t-e en3ironment mig-t 6e %un and relaing)

T-e %irst o% t-e t-ree opportunities &e %ound &ould stem %rom t-e industry getting more

and more pro%ita6le) W-ile it is -ard to 6rea into t-e industry t-e same &ay 4n%inity Ward and

Treyar!-' t&o o% t-e de3elopers 6e-ind t-e -it Call o% Duty %ran!-ise' did' t-e 4nternet does

pro3ide a &ay to gain support) A re!ent trend %or most independent de3elopers is to utili9e a

program !alled Greenlig-t on $team E&-i!- is a program used to play and 6uy PC games o3er

t-e 4nternetF to 6uild support %or t-eir produ!ts) We !ould use t-is as a tool to put our name out

t-ere as serious !ontenders in t-e gaming industry)

Also' anot-er opportunity %or us to sei9e is t-e raising o% !apital t-roug- t-e use o% !ro&d

%unding) Cro&d %unding sites' most nota6ly Ki!starter and 4ndiegogo' -a3e 6een a -ugely

popular &ay to not only gain support %or ne& games and de3elopers 6ut to also raise !apital %or

epensi3e 3entures) ne o% t-e most popular eamples is t-e inde3elopment game Iooa

(aylee) A!!ording to 4G"' t-is game' a spiritual su!!essor %rom t-e same de3elopers &-o -elped

mae t-e "intendo = a -it &it- t-e %ran!-ise BanoKa9ooie' &as %unded !ompletely using

Ki!starter' rea!-ing almost J750 t-ousand t-ree times t-e %inan!ial !apital needed to &or on

t-e game)

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A t-ird opportunity &e !ould sei9e &ould 6e t-e !reation o% games t-at %it t-e gro&ing

%emale demograp-i!) As mentioned earlier' &omen are getting more and more into 3ideo

gaming) $in!e t-is is no longer a maledominated a!ti3ity' t-ere !ould 6e -uge potential in games

geared more to&ard &omen and %eature more nonseuali9ed %emale !-ara!ters) $e3eral games

are slo&ly adapting to t-is !-anging statisti! and %emale!entered games !ould -a3e tons o%

maret potential)

T-e %irst t-reat is !ompetition) T-is is an epanding 6ut in!redi6ly !ompetiti3e %ield' and

i% you &ant to 6e %amous and pro%ita6le' you are !ompeting &it- de3elopers &-o -a3e already

esta6lis-ed a name %or t-emsel3es) Iou &ill !onstantly need to eep in tra! o% trends in gaming

and &-at type o% games are !onsidered mareta6le)

T-e net t-reat is t-e !onse+uen!es %rom -a3ing a 6ad reputation) 4n order to $TAI

pro%ita6le' you &ill need to 6e in good gra!es &it- t-e !ommunity 6y taing ad3antages o% t-e

6ene%its o% good press) 4% t-e gaming !ommunity gains no&ledge o% any &rongdoing' your

reputation &ill 6e %ore3er tarnis-ed) An eample o% t-is &ould 6e t-e Plano 6ased studio

Gear6o $o%t&are) A %e& years ago' it &as rumored t-at t-is !ompany lied to its potential

!ustomers 6y s-o&!asing gameplay %ootage %rom a game t-at turned out !ompletely di%%erent

%rom t-e %inis-ed produ!t) T-ere &ere also allegations o% em6e99lement and dis-onesty &it- t-e

pu6lis-er it -ad a partners-ip &it-' $ega) T-is resulted in t-e loss o% pro%its and good &ill %rom

t-e !ustomers)

T-e t-ird area o% !on!ern &ould 6e t-e ris asso!iated &it- o3er&oring employees) n

a3erage' around 1 per!ent o% &orers -a3e reported to -a3e 6een &oring up to @0 -ours a

&ee during !run!- time ET-e time leading up to t-e release o% a gameF' &it- approimately 50

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per!ent o% t-ose &orers admitting to it -a3ing a poor impa!t on t-eir %amily and so!ial li%e) T-e

o3er eertion !ould also 6e t-e !ause o% a la! o% produ!ti3ity' resulting in a de!line in +uality)

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Market Summary

During our planning pro!ess' &e &ere a6le to %ind %our >P8s? %or our mareting

!ampaign) T-ey are listed 6elo&)

• Products( ur produ!ts &ill 6e mo6ile games' do&nloada6le games' and p-ysi!al

retail games) We &ill also li!ense out our de3elopment it %or independent

de3elopers)

• Pricin#( ur pri!es' &-i!- &ill 6e eplained later on in t-is se!tion' &ill range

%rom


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• ur retail games &ill range %rom J1


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Belo& is a grap- s-o&!asing our %ore!asted sales)

0

50

100

150

200

250

300

350

Revenues for Years 1-3

Series 1 Series 2 Series 3

Implementation Strate#y

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T-e %irst t-ing &e &ill need to do 6e%ore &e !an mo3e %or&ard &it- our 6usiness is to

!reate an operating agreement) T-is &ill 6asi!ally state -o& &e &ill run our 6usiness) A%ter t-at'

&e &ill need to in!orporate &it- t-e $tate o% Teas) To do t-is' &e &ill need to register as an

((C in t-e state o% Teas) T-ere &ill 6e a J00 dollar %lat %ee asso!iated &it- t-is' 6ut t-is &ill

pro3ide some ne!essary ground &or needed to %orm partners-ips &it- 3arious maretpla!es)

T-is s-ould 6e done &it-in t-e net %our to %i3e &ees)

W-at &e &ill t-en need to do is o6tain t-e de3eloper8s its ne!essary to de3elop %or

Android and i$) We !an a!tually get t-is done on t-e same day &e %ile %or in!orporation' 6ut &e

&ill need to pay %or t-e additional epenses t-at !ome &it- t-e de3eloper8s its) A%ter&ards' &e

&ill -a3e to register &it- $team) T-is !ould also 6e done &it-in a day or t&o)

A%ter &e -a3e 6een o%%i!ially in!orporated' &e &ill -a3e to gain partners-ips &it-

i!roso%t and $ony in order to put our games on t-eir plat%orms) An estimated time %rame %or

t-is &ould 6e around one to t&o &ees' depending on t-e response time on t-eir end o% t-e deal)

W-at &e &ill need to su6mit &ould 6e our proo%s o% in!orporation and pay any %ees t-at !ome

&it- t-e partners-ip) i!roso%t8s ne&est independent game de3elopment program' 4D.6o' is

%ree %or independent de3elopers) De3eloping t-roug- i!roso%t8s de3elopment it' no&n as t-e

."A' !osts roug-ly 75 dollars a year %or t-eir premium ser3i!es) T-en' &-at &ill -appen is t-at

&e &ill !ro&d sour!e our %irst games t-roug- Ki!starter and 4ndiegogo in order to gain !apital

to mae our games)

As soon as all t-at -appens' &e !an start t-e -iring pro!ess) We &ill at %irst -ire only %or

t-e positions mentioned earlier in t-e 6usiness plan' &-i!- !ould tae any&-ere 6et&een 5

&ees to t&o mont-s) As soon as enoug- !apital is 6uilt and &e -a3e already started gaining

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pro%it o%% o% our produ!ts' &e &ill need to rent out a 6uilding !lose to our target lo!ation o%

,i!-ardson' T.)

A%ter our !ompany is laun!-ed' &e &ill eep tra! o% our !onsumer 6ase using ser3i!es

su!- as Google Analyti!s) We &ill use so!ial media sites su!- as a!e6oo' T&itter' 4nstagram

and Tum6lr to eep in tou!- &it- our !ustomers and pro3ide support %or our produ!ts) We &ill

also utili9e %o!us groups to pro3ide %eed6a! on t-e %eatures o% our games) T-is is a popular

means o% tou!-ing 6ase &it- potential !ustomers A"D %inding %eed6a! %or +uality !ontrol

purposes)

or t-e de6ugging pro!ess' &e &ill use a team &-ose sole purpose is +uality assuran!e)

W-at t-e HA team &ould 6e doing %or t-is type o% 6usiness &ould 6e testing out :;:,I single

%un!tion and aspe!t o% t-e game as part o% t-e de6ugging pro!ess) We &ill use t-e %eed6a! %rom

t-e %o!us groups and HA to ensure t-at our produ!ts are per%e!t %or t-e !onsumer8s needs) T-e

&ay t-at our !ompany &ill 6e set up &ill allo& %or !onsistent !ommuni!ation 6et&een

departments' no matter -o& 6ig t-e !ompany gro&s)

% !ourse &e &ill put into e%%e!t -o& our !ompany tra!s our pro%its) We &ill 6ot- utili9e

-ard !opies o% our daily' &eely' mont-ly and +uarterly ledgers' in!ome statements' and t-e

mont-ly 6alan!e s-eet and digital 3ersions t-roug- t-e use o% Hui!Boos in order to ensure

!onsisten!y and maintain 9ero dis!repan!ies 6et&een reports) We &ill t-en issue pu6li! sto! as

yet anot-er means to raise !apital on!e our !ompany -as gro&n and to -elp eep good &ill

6et&een our !ompany and our !onsumer 6ase)

ur produ!ti3ity monitoring &ill o!!ur !onsistently and on a daily 6asis) T-is &ill ensure

t-at our employees are putting %ort- t-e 6est e%%ort possi6le in our games and &ill -elp 6uild our

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reputation as a !ompany t-at &ill mae -ig- +uality produ!ts' as it is our 6elie% t-at games

s-ould not s-ip &it-out 6ugs or polis- too many !ompanies -a3e %allen 6e!ause o% poor +uality

and produ!ti3ity monitoring pro!edures)

We &ill also put into pla!e tig-t se!urity measures in order to maintain integrity as a

+uality in our employees) Wit- t-e ad3an!ement o% te!-nology' it -as 6e!ome %ar too easy to lea

in%ormation' and &e &ill also use stri!t punis-ment %or employees &-o %ail to !omply &it- our

standards)

ur %inan!es &ill 6e re!orded and reported on a daily' &eely' mont-ly and +uarterly

6asis to eep up to date &it- our pro%its and losses' !ontrol our lia6ilities and epenses' and

maintain good &ill &it- t-e pu6li!) aing our pro%its and losses pu6li! allo& %or us to maintain

an image o% -onesty and transparen!y' espe!ially in an industry &-ere rumors o% em6e99lement

and misuse o% %unding run rampant) T-is !ould -elp in!rease our !ustomer 6ase due to t-e

in!rease in good &ill)

(astly' &e &ill allo& %or our monitoring pro!esses to 6e !-anged s-ould our

implementation %ails) We do 6elie3e t-at planning is only -al% t-e 6attle' and t-at %ollo&ing

t-roug- is t-e toug-est part) any su!!ess%ul 6usinesses -a3e made !-anges to t-eir monitoring

pro!esses as te!-nology in!reases and many pro!esses get outdated) Businesses also %ail due to

not >eeping up &it- t-e times?' meaning t-at t-ey do not eeptodate &it- ad3an!es in

monitoring te!-ni+ues) We &ill re3ie& our results to see &-i!- pro!esses &or and &-i!- ones

do not' allo&ing us to mae !-anges &-ene3er ne!essary) ,e3ie&ing our ta!ti!s &ill allo& %or us

to !at!- errors and early &arning signs and allo&s %or !orre!ti3e a!tions to 6e taen 6e%ore

pro6lems gro& &orse)

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%inancial Statements

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Belo& are some %inan!ial statements' !onstru!ted using data %rom resear!-) *ere is a

proe!ted Pro%itAnd(oss statement)

n t-e net page is a proe!ted 6alan!e s-eet %or t-e %irst year o% operations)

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%inancial Statements nalysis

ost o% t-ese statements are assuming t-at &e are using our ad3ertising strategies

e%%i!iently during t-e %irst year) ur sales do start out slo& during t-e %irst year' 6ased o%% t-e

trend o% gaming !ompanies starting out t-e %irst time' 6ut e3entually gro& as &e 6e!ome more o%

a 6igger presen!e in t-e gaming industry) Again' t-is is assuming t-at &e are using our &ord o%

mout- ad3ertising e%%i!iently and &e are a6le to get a +uality produ!t out to maret) ur

proe!tions are also assuming t-at our games are at t-e maret at t-e proper timing &-ere our

produ!ts !an 6e easily di%%erentiated %rom &-at else is 6eing sold at t-e time) We also assume

t-at t-e loans taen out on t-e %irst year are paid on time' &it- interest epense)

Wit- t-ese 6asi! assumptions' &e &ere a6le to pro3ide an in!redi6ly pro%ita6le proe!tion

at t-e end o% t-e %irst year) T-e total assets a%ter t-e %irst year are' a%ter t-e epenses and

depre!iation are su6tra!ted' are e+ual to J2='501)50) &ner8s e+uity and lia6ilities a%ter t-e %irst

year are also J2='501)50)

As t-e !ompany gro&s in t-e %uture' &e &ill need to !onsider taing out loans as t-e

6udget %or our games get larger and larger) *o&e3er' s-ould our 6usiness 6e as pro%ita6le as t-e

statements imply' any loans taen out s-ould eit-er 6e small or paid 6a! in a s-orter amount o%

time) *o&e3er' to -elp &it- our 6usiness starting' &e &ill need to tae out a J100'000 loan' ust

to -it t-e ground running i% &e &ant to pus- a -ig- +uality produ!t out to maret as our %irst

game)

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nnotated Biblio#rap'y

Birn6aum' B) En)d)F) onitoring t-e 4mplementation o% Iour $trategi! Plan) ,etrie3ed August 5'

2015' %rom -ttp#//&&&)6irn6aumasso!iates)!om/monitoring)-tm

Bou!-er ;idal' G) E201' uly 1F) W-at Does 4t ,eally Cost To pen An 4ndie $tudioL All

Iour oney' ost o% Iour (i%e) 4n Polygon) ,etrie3ed August 5' 2015' %rom

-ttp#//&&&)polygon)!om/201/7/1/5


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orris' C) E2010' August 10F) ;ideo Games 4mpa!t t-e :!onomy ore T-an Iou T-in)

4n CNBC ) ,etrie3ed August 5' 2015' %rom -ttp#//&&&)!n6!)!om/id/@=@

,egistering a Copyrig-t &it- t-e U)$) Copyrig-t %%i!e) En)d)F) ,etrie3ed August 5' 2015' %rom

-ttp#//&&&)!opyrig-t)go3/%ls/sl5)pd%

$ele!ting a Business $tru!ture En)d)F) ,etrie3ed August 5' 2015' %rom

-ttp#//&&&)sos)state)t)us/!orp/6usinessstru!ture)s-tm

$te3ens' ) E201' De!em6er 0F) A Brie% *istory o% ;ideo Games %rom t-e :arly 1

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