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24/7 Internet Cafe
24/7 INTERNET CAFE
Executive Summary
24/7 Internet Café will provide full service Internet access to the public 24 hours a day, seven days a week. Services will be provided to the customer in such a way they are not socially, economically or politically isolated. 24/7 Internet Café’s goal is to provide the community with an educational, social, and entertaining atmosphere for worldwide communication.
The staff and management will provide our customers with the latest and best in computer technology in a warm and relaxed setting. The design of the café will be to welcome the new user to the Internet and to be an antidote for the seasoned user to the usual sterile, intimidating environment that people often associate with technology.
Mission Statement
To be the leading Internet Café among our competitors, with the lowest cost base and excellent customer care.
Products and Services
Customers of 24/7 Internet Café will enjoy access to major Portals and Directories on the Internet utilizing the fastest and most efficient online services currently available. Copy, fax and notary services will be available. Online security, such as porn blocker, pop-ups, encryption, etc., will also be implemented. Minimal privacy while online will also be offered. Separate study area for non-computer research, study, or networking will be an added compliment to the Café, a coffee bar, and refreshment area will serve as an added incentive.
Financial Forecast
24/7 Internet Café expects that by concentrating full time on offering the community with easy, affordable, and convenient access to the internet, coupled with print, copy, fax, and notary services, clients will develop, and allow the business to make a modest profit in Year One. Successful operation in Year One will provide 24/7 Internet Café with a customer base that will allow it to be self sufficient in Year Two.
Financing Requirements
24/7 Internet Café is prepared to use personal savings, seek financing from outside investors, and apply for short-term bank loans.
The Company’s Mission
The Mission of 24/7 Internet Café is to introduce a unique innovative environment into the community that will differentiate from any other Internet Café. We plan to educate the community on what the Internet has to offer, and formulate an environment that will bring people with diverse backgrounds together in a common forum. The environment in our café will be clean and relaxed but fitted out to reduce upfront and ongoing costs. We will achieve the lowest cost base among our competitors, yet maintaining quality, and competitive services. We will select busy but inexpensive locations and develop clusters of stores in order to control costs. To further reduce costs we will offer part of our locations to concessionaires, creating a market for in-store provisions of synergetic products to our customers. Outside our cluster of stores we will franchise our brand to reputable third parties to increase both profits and global presence. We will develop a strong people culture and align the interests of our customers, staff and shareholders in order to create a profitable business with long-term value.
Business Structure
24/7 Internet Café, currently a sole proprietorship, will be incorporated as an LLC Corporation. This will shield the owner and any outside investors from issues of personal liability and double taxation. The investors will be treated as shareholders and will not be liable for more than their individual personal investment.
Market Analysis
Competitors providing comparable services in the target area (inside Loop 610, including Bellaire, Galleria, Memorial) are Kinko’s, Office Max, and Office Depot. Although common services are provided, 24/7 Internet Café would serve as a dominant entity among competitor pricing due to lower overhead and specialized services. Not all of the competitor’s locations provide 24-hour service, and Internet access is only offered at Kinko’s, at .30 cent a minute or $18.00 per hour. The atmosphere of the larger retail stores is most times hectic and not ideal for extended research or study. These businesses are mostly located on freeway feeder roads and major city streets, a distance from most learning institutions.
Advertising and Promotions
24/7 Internet Café’s advertising and promotions strategy will include public relations, our storefront, an Internet Web site, customer relations, and press advertising.
Target Customers
24/7 Internet Café’s target customer base will focus on students of learning institutions, business professionals, and those seeking a convenient avenue to the Internet, business services, and a progressive assisting, environment.
Resource Requirements
Equipment and resources needed for the successful internal operation of 24/7 Internet Café is 6-8 Desktop computer stations, server, wiring and connectivity needs, tables, desks, and chairs, 2 Laser Printers, 1 Full Size Copier, 1 Fax Machine, 1 Scanner, Commercial Coffee Machine, including all accessories, and refreshments. Internet connection, utilities and building security.
Cash Flow Projections
Projected income based on $9.00 per hour, on 8 computers, 24 hours a day is $48,384 per month. This income is an estimate not including income from other services and refreshments. (Negotiable)
BUSINESS CONTROLS
Accounting System
We will be using the latest computer based financial management system. With this system we will be able to review our sales and marketing activities on a regular basis.
Quality Controls
We will maintain quality control by utilizing a server based computer time management system and inventory and document all transactions.
Risks
The possible risks involved with starting 24/7 Internet Café could include:
Will individuals be willing to pay for the services offered?
Will the cost of accessing the Internet from home drop so significantly there will not be a market for Internet Café’s?
Will there be a demand for the services offered?
Will the popularity of the Internet continue to grow?
Send E-Mail to: dslyde@yahoo.com
Copyright © 2005 Darlene Slyde. All Rights Reserved