Total solutions company seeks investment.....

[tkessex]

I posted the following below and would like to reiterate the requirement for an investor:

I'm 23 years of age and graduated last summer with a first class degree in Accounting and Mathematics. I began working as an accountant at a local public practice in September 2006 and decided to leave my position earlier this month to start my own business. I have excellent, self-taught knowledge of a variety of software packages, a strong work ethic and desire to succeed, and can claim high level literacy, numeracy and communication skills.

I first discussed my business plan with a couple of friends of mine who, when their circumstances allow, will be joining forces with me to aid in the firm's expansion. The basic idea is to establish an accountancy and graphic design firm, offering everything from bookkeeping and VAT returns to corporate identity and web design, whilst simultaenously implementing a network of 'interest sites'. The sites will be used to generate contained traffic - in the process increasing their value exponentially - and form a steady and constant revenue stream.

Within eighteen months we aim to start another two businesses to run alongside the aforementioned firm, one aimed at university students and another designed for artists, architects and unsigned musicians (amongst others). Within three to five years we expect to have developed the 'foundation company' into one which offers a full compliment of business services - finance, corporate management, law, marketing, business systems etc.

To fund the purchase of the necessary hardware, software and content for the interest sites, a sum of £10,000 is required. I would welcome interest from anyone who wishes to make a sound, low-risk investment with the condition that I/we have the option of buying you out after a period of twelve months. The repayment amount would be double that invested (so £20,000 in this case) or, should this not be suitable for us, you would retain a 25% share in the company until such time as an agreement was reached.

I currently own the ten domain names required to implement the detailed network of 'interest sites' and have the main website (for the finance, design and marketing company) up and running. Contributors to the sites have already been sourced, including a freelance journalist who recently had articles published in Racing Ahead and on Betfair.com, and a published author.

First year revenue is predicted to be approximately £45,300 - including advertising revenue - generating a net profit of £26,400. Turnover increases to a (projected) £110,200 in year two and £186,000 in year three, net profit also jumping to £74,000 and £113,700 respectively.

Many thanks for your interest.

[jim_gold]

Would I go to an accountancy firm that also specialised in design?

I think not, and for that reason, in the words of a dragon "I'm out!"

Start simple, stay focused

[tkessex]

Thank you for that most useful response.

[globalart4u]

my cousin who is an accountant did the same a few years ago and found that he got no real business out of the design side so now just concentrates on the accountancy side. but i think his problem was that he used an external company for this, which i thought was no good.

[tkessex]

It is not a case of having design work done by an accountant, or having your finances dealt with by a graphic designer, it is simply the provision of a number of business services through different departments of the same company, with no outsourcing whatsoever. Clients can be provided with an all round service, from financial and marketing advice to (advertising) media production and accounts preparation. And who is better placed to advise on the best methods of marketing than the people who know where your business is strong, and where it is weak? That sort of collaboration is priceless.

What Jim Gold's pointless remark highlights is the naivety of many an entrepreneur today, the notion that two different services can't be provided by the same people/persons. It's like saying that you wouldn't go to your greengrocer for electrical equipment. Tesco used their supermarket standing to expand beyond all comprehension, selling everything from crockery to CDs, and dog food to televisions. It certainly doesn't seem to have done them any harm - who, ten years ago, would have thought to go to the supermarket to replace their entire wardrobe and deck the house out in hi-tech gadgetry?

[JustOneUK]

Hello,

As interesting as your proposal sounds I cannot understand why you would leave a job without making the necessary preparations - unless you were dismissed. As an accountant (or working in that environment) you should have been able to approach a bank for the required 10K, that's basically chicken feed to a bank.

Even now with your proposed business plan you could walk into any branch as a 23 year old and get a 10K loan - no need to pay back 20K after only 12 months either. I got 10K as a 21 year old with a business plan that took me 5 minutes to 'invent'. 3 year forcast was something ridiculous like 300K

Sorry but it doesn't sound solid from this side of the fence - perhaps do a Google search for "business angel" who might be interested, or talk to the bank or parents.

regards.
James.

[tkessex]

Far be it from me to cast judgement on your appraisal of someone's circumstances from a few paragraphs on an interent forum, but I can assure you I was not dismissed from my previous position. Quite frankly, I don't know what place it is of anyone's to make such an insinuation.

Though my reasons for leaving my job certainly fall under the category of 'private' I will make it clear that I left of my own free will, having been witness to a number of practices which I found wholly unacceptable. The lack of organisation and communication in the company was also appalling and the prospects bleak, both in terms of progression and monetary benefits.

I would love to know which bank you went to with your 'invented' business plan in order to obtain a loan of £10,000. As a recent graduate, with little credit history and no security, lenders have made it plainly clear that getting a loan of any kind will prove nigh on impossible - despite a detailed and thorough business plan. Now I can't imagine they saw me coming and rewrote their policies accordingly, but if they did then I don't stand much of a chance.

But it would be interesting to know what doesn't sound solid, as you put it? As I stated in a previous post I have already secured the custom of a number of local institutions to complete their accounts, have completed two web design projects (for a businessman and a DJ duo) and worked on promotional material for the Co-op and all within the first month. Domains have been purchased and websites designed, the services of recognised journalists/authors secured and agreements with sponsors put in place (many more have been contacted and have shown a keen interest).

I'm in the unenviable position of having parents who have just put me through university and are now doing the same for my brother, so can't rely on them as a source of finance. With everything I already have in place all that is required is an injection of capital to fund hardware, software and content purchases.

[wrsbryant]

Hi,
Initially this did awaken my interest however i must say that your attitude which 'shines' through your posts is not in the least bit encouraging. i strongly suggest that you dont reply with sarcasm to suggestions or people declining your offer- quite simply it makes you look both unprofessional and childish. 10k is a paultry sum to invest but id rather give it to the homeless chap outside my local supermarket as i believe he would probably put the money to better use.
regards

[JustOneUK]

Hello, I certainly did not mean to cause offence in the wording of my reply. If it was taken that way... I apologise. Would I back someone who quit their job to open a business and then needed funding? - NO, that's just bad planning.

Natwest was the bank. My business plan was definately "enthusiastic" to say the least.

If you have customers lined up with orders - get that in writing and take it to the bank, especially if it has big numbers on it. Personally, I wouldn't mention anything to do with friends coming on board, that just makes it a logistical nightmare. If a friend wants/happens to come onboard at a later date - so be it.

With regards to the idea sounding solid.. If you said you were opening an accountancy - cool. A webdesign network - cool again, but as you say "establish an accountancy and graphic design firm, offering everything from bookkeeping and VAT returns to corporate identity and web design, whilst simultaenously implementing a network of 'interest sites'" and then you go on to mention "and another designed for artists, architects and unsigned musicians (amongst others)."

If you can make a success out of any 1 of those above then you are doing well. To try and be successful in ALL those fields.. unlikely.

just my opinion of course.

James.

[tkessex]

I do love doubters, which this forum seems to have plenty of (unless of course you post to say you have an idea, without expanding, and need money, again without expanding, and people flock to discuss matters).

Just out of interest what business did you start James, spending £10,000 - not those listed in your signature I hope/assume?