Financial Write-Up and More

BAM Technologies has many expenses, which are costly. The good news, though, is that many of these expenses are one-time expenses. Things like our equipment in order to produce the technologies and the building are two expensive items that need not be paid for every month. We offer a variety of products that each have different features as well as a subscription plan that is paid for by customers monthly. We calculated the average selling price of our products as well as added in the subscription price because these will be our main source(s) of income. The average value of each unit and the operating expenses were calculated as fixed, for simplicity, with the exception of cost of goods sold. The projected expenses includes salaries, rent, depreciation, payroll tax, advertising, insurance, supplies, and utilities, which totaled up to $306,866.67 per month. We researched the average interest rates for commercial loans, which is about 2 to 2.5 percent higher than the mortgage rate in the general area. The average loan rate in Kansas is 3.98 percent, so we added 2 percent to this, which added up to a 5.98 percent interest rate for 10 years. The years were set to 10 because we would like to continue adding building and new equipment. For a building, it costs about $18 per square foot to build a commercial building, so we multiplied this by our total square feet. To calculate our expenses, we researched prices for advertising (commercials, billboards). Billboards are about $10,000; we want about 100, so it would be approximately $1,000,000 (varying locations). The average cost of a commercial (which also varies locations) is about $1,000 for a 30-second commercial. Each commercial runs many times a day, so if we get 2,000 running yearly (5 times a day), BAM Technologies would get proper exposure to be known. Other expenses were calculated through research. The cost of goods sold are a variable expense that take up 30 percent of every unit sold, respectively. In order to breakeven, or cover the necessary expenses, roughly 468 units must be sold and roughly $414,684.69 has to be made in sales and subscriptions. Sales projections demonstrate that BAM Tech. will break-even during our second to fourth year as a business. Because of this fact, it is expected that BAM Tech.’s first year as a business will be a rough one (because it will be difficult to become known). Our outreach is also a very specific market. Though, our first year will be productive. BAM Technologies will succeed.

1/27/17 Business Progress

How well have you stayed on task? 

I would like to think that I have stayed on task the entire week, trying to gather information in my mind to help contribute to the team. I revised certain portions of the plan by helping my fellow co-workers use stronger words and by fixing silly mistakes, and contributed to the logo. I also did the company organizational chart.

After thinking about the management function, especially the leadership component, how well do you think you will lead your organization to success? 

I believe that I am capable of becoming a strong leader because I have grown a lot. Though, I must admit, my two partners are much better at expressing characteristics of good leaders. Because the three of us can work together and make up for what another lacks, our business will succeed. We know what has to be done and how we think it should be done

What topics, if any, helped you with this portion of the plan? 

When we discussed "superficial" and the SMART goals, it assisted me by showing me what was being looked for. The articles/examples you provided also assisted in helping create a more definite mission.

What part of the plan did you absolutely nail?  

I would like to think that I nailed the organizational chart.

Business Progress

How you may/may not have changed your focus so that you could get caught up (did you start to think about how your passion translates to this project outside of class?
-During this week, BAM Technologies continued to focus on our tasks, while altering our main focus by enhancing our first idea with much more advanced ideas. I have not really thought about how BAM Tech. would ignite a passion outside of class; though, I do enjoy technology, and it would be really cool to have our products in real life.
How much more clear your vision has become for the business?
-Our vision for BAM Tech. has become more clear as work was completed because the work allowed us to really zero in on what it is we really wanted for the business: we want to provide comfort and satisfaction for all people.
Are you on schedule? Behind schedule? Ahead of schedule?
-At this point in time, I believe we are ahead of schedule because we have been doing extra and revising what has been done, as well as adding more to the plan.
On which aspect of this week’s tasks did you absolutely nail?
-I feel like, this week, the group collectively nailed the 5 P's and Industry Analysis, as well as the Target Market.

Business Success?

I believe that our business, BAM Technologies (BAM Tech. for short) has the potential to be very successful, not only because the company offers innovative technology, but because mostly everyone wants something cool to own. Our business offers so much more than just technology, we offer 24/7 customer service in order to ensure all goes well with the customer, as well as subscription plans to keep the customers up to date, as well as allow the loyal customers to test prototypes. We even went as far as ensuring the quality of packaging would be very high in order to show our customers a sense of appreciation, as well as try to keep up quick shipping online. Also, our employees are meant to take customer-service classes in order to give the best experience possible. Both of my partners and I have collectively agreed on just about every idea that has been thought of, which has been smooth sailing. Of course, we have limited what ideas we can use and not utilize because too much would be difficult to handle. It is going well (probably) due to the fact that we chose each other (we are all friends and thought it would be a productive group). We all bring something to the table, and this is why BAM Tech. will succeed.

Presentation Prediction

It seemed that the business presentation team was ill-prepared. I believe there was too much time taken in planning and not enough on knowing what was to be integrated. The power point could have also been better, but it was adequate. Even outfits were put together the night before (last second). Although these things may all be true, I believe that the team will do well.

The team's opening is strong when confident (all points). When they move forward regarding the business (i.e. Company Overview, etc.), I think that it could be better. The overview is good. The presentation of the statements are good. The management functions yesterday seemed better than what it had been; so if this was practiced (clear, concise), I think it will go well. The same goes for the SWOT Analysis (all points). When it comes down to the external environment, I think it will be decent because our information is accurate. We have all these items, so I assume the points will be given. Our Marketing Plan is decent and seems to be reasonable. I don't believe our presentation group, however, will get the "so what?" across (still, all points). When it comes down to the financials (if added to the PPT), it should go well and we should get the points. The quality of our slideshow, in my opinion, is weak. But, the organization is logical and the content is understandable; we also have enough appropriate graphics (all points). We will probably lose points when it comes to oral delivery because there are habits of using fillers (uh, like, etc.). Some team members do not articulate as well, and they don't speak as clearly or loudly as they could/should. Also, they should watch their speed. I think everything else is good though (attire, audience connection, etc.). I think we will get half the points. When it comes down to Q&A, I think we will do very well; except, not everyone participates in answering. I think we have good, well-rehearsed answers. If all goes as planned (well), almost all the points will be earned (if not judged harshly). I think judges would consider investing in the company (2 points). Also, I think we’ll make good timing.

All in all, it is understandable how nerves can get in the way. I don't think we will do as well as we had the potential to be, but I think we will do all right (3-4).

10 Minute Introduction

Wow, Hi. My name is Michelle Park (obviously), and I am an active participant of Virtual Enterprise as of August 2016. I'm writing this 10-minute intro because my teacher, Mr. Spinella (mattspinella.blogspot.com), told us to. My role in the Virtual Enterprise class is Vice President of Finance. As the VP of Finance, I oversee my fellow Finance employees and work with them in order to ensure the financial success of the company. I help motivate my financial representatives and assist in struggles that may be encountered. The Virtual Enterprise company that is run by our CEO Tariq Silver is Make-A-Meal. This business is a restaurant that offers many foreign dishes all in one buffet, as well as catering. We hope to make this a very successful year!