WebDesPix LtdWebDesPix LtdContext of BCS 2010
like ducks to water
Company Slogan
BackgroundBackground
Formed in 1999 by 3 Computer Science graduates from Bristol University.
Tom, Dee and Ali decided to start their own business designing websites.
NoteInternet businesses were already in place by 1999, but this was the height where it really
took off. This means that WebDesPix started in the
market at the right time.
BackgroundBackground
I still act as the non-executive Chair of the company.
We could run the company from anywhere in England but, as we were all from different parts
of the country, it was easier to locate where they had studied.
John (Tom’s father)
BackgroundBackground
Started with £8000 initial capital raised from Tom, Dee and Ali’s families.
Ali left the company after 2 years. Tom and Dee bought her out and now own 50% of the shares.
Tom and Dee intend to give John (Tom’s father) their shares.
Started WebDesPix with £8000
They each have equal share in the
company
All of the shares will then be owned by a single
share holder – one of the original investors.
BackgroundBackground
It is company policy to re-invest profits.
The company has never had a bank loan but uses an overdraft facility.
Companies can choose what they do with their profits. They can share them with their
employees (profit-sharing), with the shareholders (dividends) or to re-invest
within the company. This can be to expand, reduce debt or borrowing, upgrade their
equipment or even just to reduce risk during a difficult financial climate.
Many businesses will take out a bank loan to pay for new equipment or to extend their premises. This will be agreed with the bank and paid back, with interest, within a certain
time.Instead of a bank loan WebDesPix have an overdraft
facility. This means that they can borrow money from their bank account by spending more than they have. The limit of the overdraft will be agreed in advance and must not be
exceeded.Interest rates on overdrafts are higher than that on loans,
but the size of the overdraft will vary.
Company Objectives - 2009Company Objectives - 2009
Consolidate following two years of sustained growth (15% on turnover per annum)
Market all products on-line
Increase use of e-commerce in its own website and those it designs for other companies
Continue trading in a competitive market where anyone can be a web designer
All companies have to grow, however, with this growth comes
risk.Deciding to consolidate growth
reduces the risk to the company. It slows down the growth and aims to
secure the companies position.
Web orientated companies tend to market (advertise their products) heavily online.
To do this they target specifically where and when they want their adverts to appear.
E-commerce is the fancy title given to the ability to market and sell products over a website.
This gives companies the chance to sell all over the world (increasing their market)
Reduce expenditure (having product information and brochures online for customers to download – reducing printing costs
Number of sales staff can be reduced as the information is online instead
Back in 1999, when the company was just starting, web development as an industry was also starting. Currently, Web development and the art of designing websites is being taught as
early as Primary School.
Business TodayBusiness Today
Web design is still the core of the business◦Budget Package - £800◦Professional Package - £1000◦Executive Package - £1500
New services include:◦Electronic newsletters◦Domain registration◦Hosting◦Search engine optimisation.
Newsletters in an email
Selling the addresses for a website.
Selling the space the website is stored on.
Making websites search engine (e.g. Google) friendly, to increase the number of visits to your website.
BrandingBranding
WebDesPix Ltd
Tagline/Slogan of “Like ducks to water”
WorkWork
Labour-intensive with relatively low overheads.
WebDesPix builds and upgrades its own computers
Tom is responsible for Sales and Finance
Dee is responsible for Design and Health & Safety
Other areas of the business are shared between them.
They’re a company working for a client, what the client wants has to be created.
It is not always as easy as it may first appear.
Helps to keep overheads down and gives them responsibility for their own
machines.
Clear departments, means employees know where to go if there is a problem.
WorkWork
7 full time employees◦Two sales assistants◦Two computer coders◦Two search engine optimisers◦One sales assistant
2 part time employees◦Tom’s Personal assistant◦Bookkeeper
No-one works from home
Office hours are Monday to Friday 0900 to 1730
Working from home will often seem like a good idea. Within a business
it makes communication
between workers difficult, especially
when there will be a lot of communication
between the employees and their clients.
It also gives WebDesPix a greater control over
their employees.
Salaries and BenefitsSalaries and Benefits
All of the full time employees are highly-qualified (a degree in IT) and skilled.
The part time employees present monthly invoices for their services.
Full time employees receive ◦a monthly bonus based on turnover◦Health insurance after 6 months employment◦Free lunch every Friday◦Use of Wii during their breaks
Sales assistants, additional to their salary, receive 12 ½ % commission on their sales
VacanciesVacancies
Advertised on:
The company website
Regular networking meetings in the Bristol area.
Tom and Dee interview new applicants personally
3 month probationary period
Current employees train workers as required.
A great way of keeping up with industrial trends, finding new
employees
Communication & SoftwareCommunication & Software
Main form of communication is email
Fax is rarely used
Occasionally use video conferencing
Company website used for advertising
Networking meetings and word of mouth are very important.
Sage accountancy used for all financial documents
Word, Excel, PowerPoint, Access and Outlook.