04 Mar Soap Manufacturer Business Plan
SAFEassure, LLC, has created a new product to provide managers with an easy, affordable, and effective way to monitor hand washing among employees. Hand washing is the most effective way to prevent communicable disorders.
Proper hand washing causes more than 130,000 deaths per year in the U.S. due to the spread and transmission of communicable disorders in restaurants and day cares. Research has shown that hand washing in these settings can reduce the spread of disease by as much as 75%. This problem is mainly due to the inability of supervisors to supervise and manage employee handwashing. Existing products are not effective or cost-effective in enforcing hand washing. Treatment of preventable diseases costs Americans over $95 Billion in direct costs each year. (www.webmd.com)
SAFEassure, LLC was the first to solve this problem. It provides clear proof each time someone washes their hands. After washing occurs, the unique dye in our soap remains on the hands and fades to the skin's natural color in under six minutes. Supervisors would be able to see at a glance whether handwashing has occurred. No other product on the market offers such a high level of assurance of sanitation compliance. The product is safe, and it meets all FDA regulatory requirements.
The Market
Restaurants and hospitals are great markets for a product like ours. However, daycares offer the best market opportunity for us to target. Day cares are an ideal market because they have a vested interest in reducing disease transfer amongst children, and have adamant support from their clients [parents] to create as clean an environment as possible. Family Practice News stated that many day care centers have sophisticated germ factories. This means they can easily exchange viruses and bacteria by sharing toys or shaking hands. And many of those nasty bugs travel home where they can infect the rest of the family.”
(http://www.healthcentral.com/drdean/deanfulltexttopics.cfm?id=15538)
The Company
SAFEassure, LLC has a strong founder team and an experienced board of advisors. Jack Soap, the primary advisor, has over twenty years' industry experience and established relationships in order to increase market penetration of our product line. SAFEassure, LLC, will outsource its soap production to an existing soap maker. The Portland Metro area will be the first to be targeted by the executive team. Later, they will expand their reach into the greater Northwest through direct sales and established distributor channels. Initial capital will be used to test, patent, approve, produce, and market SAFEassure, as well as provide working capital for the first year.
SAFEassure, LLC, will employ three strategies to attain our desired growth.
- Exploit first-mover advantage in a highly fragmented market with a unique and differentiated product.
- To increase awareness, perception, and sales of our products in our target markets, we must create a strong branding campaign.
- Continue to develop new products to satisfy an ever growing set of markets.
Based on detailed financial projections, SAFEassure, LLC will require $250,000 in start-up capital, but will generate positive cash flow in October, Year 1. The company will have $850,000 in sales by Year 3. It will also be making a significant net profit. SAFEassure, LLC, offers investors an opportunity to grow their company while still retaining stability and revenue.
Mission
Our goal is to increase the value of our customers and shareholders through continuous improvement in health and prevention of preventable diseases by using our soap.
Keys to Success
- Advertising campaign for first-movers to raise awareness about SAFEassure’'s products as the standard in hand washing compliance.
- Patent protection protects our time sensitive dye and product idea from other competitors.
- Relationships with complementary organizations that can help increase hand washing compliance
Goals
- Develop a complete prototype which meets regulatory standards by February of Year 1.
- Become the specialty soap of choice for day cares across the Northwest by December Year 2.
- Achieve sales of $5 million by the end of Year 6.
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