smartlock business plan

7/26/2019 SmartLock Business Plan

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BUSINESS PLAN

Business PlanApril 28th 2015

298 San Antonio Road

ountain !ie"# $A 9%0%0

&8'1(2))*)'89

in+o,s-artlo./solutions.o-

p &8'1(2))*)'89 in+o,s-artlo./solutions

"""s-artlo./solutions


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BUSINESS PLAN


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ale o+ $ontents

I Executive Summary..........................................................2

II Business Concept Proposal...............................................3

3pportunit4Prole-

Solution

!alue Proposition

III Marketing & Industry nalysis..........................................!

ar6et ar/et

ar/et Si7e and rends

$o-petition

$o-petitie Adanta6e

I! Business Model & "o#to#Market Strategy..........................$

Epe.ted Sour.e o+ Reenue

Business odel $anas

:e4 Partners

! Current Status%Stage o 'enture.....................................((

ilestones i-eline

!I ppendix.......................................................................(3

;eter-inin6 Start*Up $apital

$ash


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lop-ent# @irin6 $


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Business $on.ept Proposal

1pportunity%Prolem

A total o+ '#J80 hours or 15' da4s is spent sear.hin6 +or lost ite-s oer ourli+eti-es Losin6 4our /e4s is one o+ the- People lose their /e4s on a dail4 asisand spend .ountless a-ounts o+ ti-e "aitin6 +or lo./s-iths or +a-il4 -e-ers +oranother set Losin6 4our /e4s .an also pose as se.urit4 ris/s and een lead torea/*ins into 4our ho-e @o-eo"ners should e etra .are+ul "hen it loo/in6a+ter their house /e4s as the4 -a4 su..u- to opportunisti. thiees Aste.hnolo6ies are e.o-in6 -ore adan.ed# -an4 people are e.o-in6 in.reasin6l4interested in se.urin6 the /e4s to their ho-es

Asian .ountries su.h as South :orea# ala4sia# and apan hae alread4 adopted the/e4less entr4 s4ste- and is used "idel4 a.ross the -an4 other .ountriesEle.tro-e.hani.al and ele.troni. lo./s are "idel4 popular in the South :orean-ar/ets and there is 6ro"in6 de-and in North A-eri.a

SolutionS-artLo./ is a /e4less entr4 s4ste- that uses onl4 4our Hn6erprint to unlo./ 4ourdoor# re-oin6 the need +or .arr4in6 an etra /e4 he S-artLo./ is a sel+*installation /e4less entr4 s4ste- that .o-es in one pa./a6e ** li/e a nor-al lo./set"ould Installation is done 4 re-oin6 the eterior .4linder lat.h and atta.hin6 theS-artLo./ onto the deadolt Users .an still -anuall4 lo./ and unlo./ the door +ro-the inside A+ter installin6 the S-artLo./# users .an then set "hi.h Hn6erprints the4"ant to use as their o"n personali7ed /e4 he install-ent allo"s +or a si-plera..essiilit4 and an alternatie lo./in6 -e.hanis- +or ho-eo"ners

)esign

S-artLo./ is +eatured "ith a slee/ and s-ooth desi6n isuall4 appealin6 to an4-odern da4 ho-eo"ner he S-artLo./ has a .4lindri.al di-ension o+ % in.hes india-eter and a hei6ht o+ 2 in.hes ith a uilt*in LE; li6htin6 on the -ain sur+a.eand a s-ooth stainless steel sur+a.e +or the io-etri. s.anner# S-artLo./ ispo"ered 4 % AA atteries "hi.h "ill proide a li6ht si6nal "hen atter4 li+e is lo"@o-eo"ners .an no" loo/ +or"ard to unlo./in6 their doors

3ur produ.t "ill in.lude t"o -odels= Hn6erprint s.annin6 and +a.ial re.o6nition

*ingerprint Scanning"ill e +eatured in our Hrst produ.t that "ill in.ludeio-etri. re.o6nition usin6 Hn6erprints

*acial ecognition"ill e i-planted into our se.ond line o+ produ.ts in

.onDun.tion "ith our Hn6erprint s.an to delier the -ai-u- a-ount o+se.urit4 e are in deelop-ent o+ produ.in6 a produ.t "ith the added+eature o+ +a.ial s.annin6 to i-proe the se.urit4 o+ /e4less door entr4

4arrantyA one*4ear "arrant4 o+ our produ.t "ill e aailale to our .usto-ers "hi.h "illproide ho-e repairs and repla.e-ents i+ ne.essar4 +or ?'000 S-artLo./ "ill alsoproide a 2%) .usto-er support .enter +or an4 installation needs and Kuestions as"ell as installation 6uides

BUSINESS PLAN


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'alue Proposition

3ur alue proposition is ased on the .onenien.e o+ usin6 our produ.t# theper+or-an.e o+ the produ.t# and our .usto-er per+or-an.e 3ur produ.t .o-es inan installation pa./a6e# "hi.h is eas4 to install# has a "arrant4# and a 2%).usto-er support line +or Kuestions and .on.erns It eli-inates the use o+ /e4s#"hi.h .an sae ti-e +ro- loo/in6 +or 4our /e4s and hundreds o+ dollars +ro- nothain6 to .all a lo./s-ith e alue ourseles in our support and .usto-er help

ar/etin6 Industr4 Anal4sis

-arget Market

hrou6h our sure4s and interie"s# "e a..u-ulated around 200 responses +ro-

potential .usto-ers "ho "ere ho-e o"ners e deter-ined that the S-artLo./

tar6et -ar/et "ould e sin6le +a-il4 and -ulti+a-il4 ho-e o"ners in their -id*

thirties to late +orties e deter-ined that 4oun6er ho-e o"ners "ere -ore "illin6

and open to ne" te.hnolo64 as opposed to ho-e o"ners oer the a6e o+ HHt4 e

also +ound that ho-eo"ners a6es '0*%0 "ere -ore "illin6 to u4 our produ.t than

ho-eo"ners in the a6e ran6e o+ 20*29

3ur -ar/et sure4 has +ound that are tar6et .usto-ers are -ore li/el4 to pa4 a

10M pre-iu- oer standard lo./ sets +or the alue o+ not hain6 to "orr4 aout

losin6 their /e4s and added se.urit4 +or their ho-e# indi.atin6 that S-artLo./ does

.reate alue +or its .usto-ers he di.ult4 or pain o+ the .onsu-er is-easured pri-aril4 in the ti-e and in.onenien.e o+ losin6 their /e4s and hain6 to

spend ti-e and -one4 to Hnd and or hae a lo./s-ith .o-e to their ho-e and let

the- a./ in Also# ho-eo"ners pre+er not to spend etra -one4 to hae etra

/e4s -ade +or +a-il4 -e-ers and the a-ount spent on repla.in6 those /e4s eer4

ti-e the4 are lost or stolen B4 Hndin6 .usto-ers that are +ed up "ith losin6 /e4s

and hain6 to spend etra -one4 on lo./s-iths and .op4in6 /e4s +or +a-il4

-e-ers# S-artLo./ is re-oin6 the pain inoled and addin6 .onenien.e and

added se.urit4 to the .usto-erOs ho-e and da4*to*da4 a.tiities

BUSINESS PLAN


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A6e 20*29 %'M

A6e'0*'9 '%M

A6e %0*%9 1)M

A6e 50Q JM

@o-eo"ners illin6ness to Use

A6e 20*29 A6e'0*'9 A6e %0*%9 A6e 50Q

0

Market Si5e and -rends

Based on the resear.h +ro- Netar/et Insi6hts the residential s-art lo./ -ar/et is

epe.ted to 6ro" si6niH.antl4 in the .o-in6 4ears# 6oin6 +ro- a ?2J1 -illion

-ar/et "orld"ide in 201' to oer ?'J illion in 2019

Netar/et +ore.asts the total US ;IC s-art ho-e -ar/et "ill 6ro" +ro- ?128

illion in the US in 201% to nearl4 ?)8 illion 4 2019 3ne o+ the i66est .ate6ories

o+ ;IC s-art ho-e dei.es "ill e lo./s# "hi.h "ill see the US -ar/et 6o +ro- ?JJ

-illion in 201% to nearl4 ?1 illion 4 2019 he -ar/et +or sel+*installed solutions

"ill 6ro" er4 rapidl4 oer the +ore.ast period and "ill a..ount +or oer one*third o+

s-art se.urit4 users 4 2020 e eliee the -ost i-portant .usto-ers are 6oin6

to e ho-eo"ners e.ause the -aDorit4 o+ ho-eo"ners hae -ore than one person

BUSINESS PLAN


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liin6 in the house "hi.h -eans eer4one needs a set o+ /e4s to enter the ho-e

@o-eo"ners are the -ost li/el4 to -a/e an inest-ent in S-artLo./# "hi.h saes

ti-e# -one4# and -a/es it .onenient +or eer4one liin6 in the household

Competition

Competitive andscape

he S-artLo./ industr4 is +ra6-ented# "ith -an4 s-all .o-petitors $o-petitors

in.lude Au6ust S-art Lo./# 3/ido/e4s S-art Lo./# and FoDi S-art Lo./s Bri./ and

-ortar .o-petitors in.lude the lar6er retailers su.h as he @o-e ;epot# Lo"es# and

other ho-e i-proe-ent stores Another potential threat "ould e lar6er

estalished .o-panies "ho are loo/in6 to epand their usiness into S-art ;ei.es

su.h as Apple# Foo6le# and Sa-sun6 ith not that -an4 .o-petitors in the

industr4 the arrier o+ entr4 is er4 lo" thus 6ainin6 -ar/et share "ill e er4 ital

to the su..ess o+ our .o-pan4.

Competitive Matrix

S-artLo./

Au6ustS-artlo./

Sa-sun6 E7onShs*p810

FoDi

$onenien.e

;esi6n

$usto-erSeri.e

Pri.e ?1)999 ? 2%999 ?19999 ?29999

Competitive dvantage

dvantage over ugust Smart ock3ur adanta6e oer Au6ust S-art Lo./ is our around the .lo./ .usto-er seri.eand support "hi.h is aailale 2%) Also our pri.e is si6niH.antl4 lo"er than Au6ustS-art Lo./ Au6ust S-art Lo./ uses a -oile adi.e as a /e4 +eature +or their lo./#BUSINESS PLAN


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"hi.h .an also e an in.onenien.e i+ 4our phone is dead or lost 3ur produ.tdiGerentiates +ro- this e.ause our produ.t uses Hn6erprint te.hnolo64

dvantage over Samsung E5on S6s#p7(83ur adanta6e oer Sa-sun6 E7on Shs*p810 is our pri.e# desi6n# and .usto-erseri.e Sa-sun6 .har6es a pre-iu- +or their produ.ts e.ause the4 are a randna-e 3ur produ.t has a etter desi6n and +un.tion 3ur .usto-er seri.e is -ore

personal and around the .lo./ unli/e Sa-sun6 "hi.h is 4our nor-al "or/in6usiness hours

dvantage over "o0i Smart ock3ur adanta6e oer FoDi S-art Lo./ is the .onenien.e# desi6n# .usto-er seri.e#

and pri.e FoDi also .har6es a pre-iu- +or their produ.t ut la./s in the desi6n and

loo/ o+ the produ.t Also FoDis has er4 ad reie"s +or .usto-er seri.e +ro- the

arious "esites the4 sell their produ.t on su.h as A-a7on he pri.e o+ the FoDi

produ.t is also hi6her than all o+ our .o-petitors.

Business odel Fo*to*ar/et Strate64Expected Source o evenue

As a sales and -anu+a.turin6 .o-pan4 "e epe.t the -aDorit4 o+ our reenue to

.o-e +ro- sales o+ the produ.t and "arrant4 sales e "ill .on.entrate on

6eneratin6 reenue throu6h the sales o+ our produ.t in online retail and up sellin6

"arrant4 plans

Business Model Canvas

9ey Partners

$o--er.ial partners=

etals ;epot

Planet

Bio-etri.s

e.hShop


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3nline Plat+or-

anu+a.turin6

+a.ilit4

$o--er.iadistriution

Shippin6

Cost Structure

e @ostin6$osts

ar/etin6 andSales

Produ.t;eelop-ent

$o--er.ialpartnership

Li.ensin6 .osts

evenue Streams

arrant4

Retail sales Fross ar6in

BUSINESS PLAN


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9ey Partners

-ec6S6op"""te.hshop"s

e.hShop oGers -an4 diGerent seri.es +ro- personal trainin6# .onsultin6# to

protot4pe o+ produ.t deelop-ent


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trade-ar/ re6istration# and arious other le6al seri.es Proidin6 us "ith the

ne.essar4 le6al a./6round# Le6al7oo- is a ne.essar4 partner that "ill help our

.o-pan4 6ro"

*edex"""+ede.o-


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Louis :i-

$E3

Perrin Ceun6

$$35 A..ountana6er

3n/ar Fre"al

$335@ead o+ Sales

a./son ;uon6

$35ProDe.tana6er5LeadProdu.t ;esi6n

rade sho"s are uniKuel4 intended +or the +uture .usto-ers and possile enture

.apitalists interested in our produ.t It "ill allo" us to de-onstrate our produ.t

alon6 "ith retainin6 the Kuestions the .onsu-er has to 6ather the +eeda./ +or us

to up6rade our produ.t

9ickstarter CampaignA :i./starter .a-pai6n "ill +oster rand a"areness and possile +uture .apitalinest-ents in our produ.t e "ill use a :i./starter .a-pai6n to help us .reaterand a"areness +or S-artLo./ and assess the needs o+ the .onsu-ers As a-ar/etin6 strate64# this "ill also help us 6ain potential .apital inest-ents into ourprodu.t Startin6 a :i./starter .a-pai6n reKuires lo" .ost initial .osts and helps usto i-proe our produ.t +ro- +eeda./

The Team


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dire.tors has lead hi- to ta/e .ontrol o+ the relationships o+ other Hr-s andusinesses

1nkar "re;al$33 * &$hie+ 3perations 3.er@ead o+ Sales(;uties and Responsiilities=

Resear.h and ;eelop-ent

$lient*$are o.er

Sales ad-inistration3n/ar Fre"al "as introdu.ed to entrepreneurship at a er4 earl4 a6e# oth -4+ather and rother ran a usiness "hi.h I "as later inoled in "hen I 6re" olderaDorin6 in Business Ad-inistration "ith a .on.entration in Entrepreneurship and"ant to use "hat I /no" +ro- "or/in6 "ith -4 +a-il4 and "hat IX- learnin6 no" tostart -4 o"n usiness

?ackson )uong$3 * &$hie+ ar/etin6 3.erProDe.t ana6er Lead Produ.t;esi6n(;uties and Responsiilities=

3nline ar/etin6 and e ;eelop-ent

Produ.t ;esi6n

Anal4ti.al tas/s

Adertisin6 and Pro-otionsa./son ;uon6 has spent the last ' 4ears deelopin6 "esites# en6a6in6 in dire.tsales# and .usto-er seri.e alon6 "ith leadin6 pro-otional proDe.ts at sportsauthorit4 @e is .urrentl4 stud4in6 usiness "ith a .on.entration inentrepreneurship @is enthusias- and positie ener64 .ontriutes to"ards his-ar/etin6 deelop-ent strate6ies

BUSINESS PLAN


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$urrent StatusSta6e o+ !enture

his 12*-onth ti-eline is our assu-ption to deelop and laun.h the sales o+ our

produ.t e "ill e sel+*+undin6 ourseles in the Hrst 4ear until "e a.Kuire the

ne.essar4 +unds +ro- enture .apitalists or :i./starters Ea.h -e-er o+ the tea-

"ill .ontriute rou6hl4 ?25#000 +or the Hrst 4ear in +unds


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;eelop anu+a.ture Hrst 500S-artLo./s

5 "ee/s J'015 )'115

;eelop online sales .hannel 2) "ee/s 8'115 2291J

;eelop


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Appendi

)etermining Start#,p Capital

(2 mont6 *unding needs

$ost

Ra" aterials= stainless steel# deadolt lo./#io-etri. .ir.uits &.osts ?50 ea.h lo./( ?)5#000

e.hShop e-ership ?5#580

Errors and 3-issions Liailit4 $4er Net"or/s ?2#000

;ire.tors3.ers Liailit4 ?1#000;esi6n Patent ?900In.orporation LL$ ?820

ar/etin6= Foo6le ad"ords# ad.li/er ?51J


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Sales For Product/Service #1 10,000 10,300 10,609 10,927 11,583 12,278 13,0

Sales For Product/Service #2 0 0 0 0 10,000 10,600 11,2

Total Sales 10,000 10,300 10,609 10,927 21,583 22,878 24,2

Cost of Sales

PurchasesMaterials 2,000 2,060 2,122 2,185 4,317 4,576 4,8

Productio !"ses 750 773 796 820 1,619 1,716 1,8

2,750 2,833 2,917 3,005 5,935 6,291 6,6

Total Cost of Sales 2,750 2,833 2,917 3,005 5,935 6,291 6,6

27.50$ 27.50$ 27.50$ 27.50$ 27.50$ 27.50$ 27.50

Gross Profit before Labour 7,250 7,468 7,692 7,922 15,648 16,586 17,5

72.50$ 72.50$ 72.50$ 72.50$ 72.50$ 72.50$ 72.50

Labour Costs%!&' (ouis ) 2,000 2,000 2,000 2,000 2,000 2,000 2,0

%F&' *usti + 1,000 1,000 1,000 1,000 1,000 1,000 1,0

ead o- Sales' &ar 2,000 2,000 2,000 2,000 2,000 2,000 2,0

ccout Maaer' Perri + 2,000 2,000 2,000 2,000 2,000 2,000 2,0

Proect Maaer' *acso 2,000 2,000 2,000 2,000 2,000 2,000 2,0

Total Labour Cost 9,000 9,000 9,000 9,000 9,000 9,000 9,0

90.00$ 87.38$ 84.83$ 82.36$ 41.70$ 39.34$ 37.1

Gross Profit 1,750 1,533 1,308 1,078 6,648 7,586 8,5

17.50$ 14.88$ 12.33$ 9.86$ 30.80$ 33.16$ 35.39

Jan Feb Mar Apr May Jun J

Gross Profit !"#$%& !"$''& !"'%(& !"%#(& )")*( #"$() ("$

,-penses

ecruitet 50 50 50 50 50 50

et 2,500 2,500 2,500 2,500 2,500 2,500 2,5

%ouriers 35 35 35 35 35 35

suraces 250 250 250 250 250 250 2

&--ice cleai 0 0 0 0 0 100

eairs/aiteace 100 100 100 100 100 100 1

Postae 0 0 0 0 0 0

Priti : statioer; 0 0 100 0 0 100dvertisi/areti 43 43 43 43 43 43


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udit -ees 0 0 0 0 0 0

>a c=ares 5,000 0 0 0 0 0

%redit %ard %=ares 5,000 0 0 0 0 0

>ad de?t allo@. 0 0 0 0 0 0

%atee e"eses 0 0 0 0 0 0

eeral e"eses 0 0 0 0 0 0(ease terest 0 0 0 0 0 0

ereciatio 0 0 0 0 0 0

(i=t : =eat 50 50 50 50 50 50

Sta--


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Break#Even nalysis

Fi"ed %ost B80,580

Caria?le cost B6,456

Price/Product 200

Mari 6256

>reaeve Poit i Dits 12.8804

>reaeve Poit i ollar Sales 2576.09

eerences

Adords &nd( Retrieed +ro- https="""6oo6le.o-ad"ords.osts

Fet 3nline Y Business E-ail# ;o-ain# and e Builder So+t"are &nd( Retrieed+ro- https="""6odadd4.o-oGersonline*usinessaspZ.i[95J58

Le6aloo- Y Start a Business# Prote.t Cour


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Po;erpoint Slides

BUSINESS PLAN


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smartlock business plan

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