C Sredit ystems I nternational

Centre for research educational designs and information

technology

B P USINESS LAN

J 2 une 009
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SECTION 1: THE BUSINESS PROFILE

Background

I Armstrong Simelane, I have an economic dream to setup a private venture.

The name of the centre shall be called the centre for research educational
designs and information technology. The centre shall be based in Nhlangano,
Swaziland. Nhlangano is so named because King George of England and our
illustrious King Sobhuza II met here. The name of the town used to be
Goedgegun, but after the meeting between these two kings the name changed
to Nhlangano – meaning the perfect meeting Place.

Having been attached to University of Pretoria centre for Evaluation and

assessment invaginated my thoughts and my Masters in Education
(Computer Integrated Education) course on the implementation and
management of inspired me to venture into this kind of business. My economic
dream is to run a business that shall provide a number of the much required
Information and Communication Technology services to educational
organizations including schools, colleges and universities. I have done the
following courses: instructional, systems designs, teaching and training with
technology, research methodology. Strategic planning, project management.

Having been in the IT business for the past 12 years and with the above
credentials I believe my services are required by a number of educational
institutions. The services to be offered include consultancy, instructional
design and accreditation for college IT programmes, world class IT services,
media centre services, Internet and mini conference facilities offered to
them under one roof. Currently no one offers this service in the country. I
will also lease out and sell teaching paraphernalia like projectors/lap tops,
white boards. The establishment of such a place is now possible because the
Swaziland Post and telecommunications Corporation (SPTC) has upgraded
their internet to ADSL and a broad band internet service is now possible.

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SECTION 1: THE BUSINESS PROFILE

Credit systems International as a centre to be shall provide the following

services:
1) Mini Conference facilities with an interactive whiteboard and broadband
internet for strategic planners from educational organizations.
2) Consultancy services for strategic planning, project management, market
research and educational designs.
3) Media centre services for printing multi layered posters and other
graphics
4) Service centre for upgrading computers from educational institutions
and IT equipments
5) One stop shop and world class ICT services for educational organizations.
6) Data collection, processing and compilation services.
7) Produce educational learning objects
8) Sell educational CDs, DVDs, printed manuals
9) Host websites for a number of educational institutions e.g. Swazi School
online.
10) Provide chartrooms, educational forums and e-mail services for students
in schools, colleges and universities.

Description of Business

Simple put this is a research and IT resource centre for educational

institutions which has been born after realizing that the demand for
information and communication technology (ICT) increases everyday as
individuals, communities, schools, churches, businesses realize the
possibilities of internet, e-mails and internet banking. The demand for ICT
services and products is increasing and shall continue to increase as
electricity reaches more and more sectors of our country.

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SECTION 1: THE BUSINESS PROFILE

The promoter of this business Armstrong Simelane is interested in providing
the following services that will promote computer integrated education and
the use of ICTS in schools and learning environments. The focus shall first be
on setting up an Internet Service Provider platform that will help the local
people to connect locally and have the benefit of a lower telephone bills and
fast internet service.

Once the service provider platform is fully operational it will be possible to

launch the following desks, services and other hot ICT facilities:

A] 24/7 CYBER ZONE AND MAIL DESK

The centre will provide facilities that shall enable people to use the facilities
even through out the night without worrying about what they will eat and
where they will sleep because all that shall be provided within the same
compound. A drop and receive e-mail desk shall be provided even for those
who are not computer literate. A lot of businesses and jobs are now made
available through the E. Mail service.

B]UPLOADING AND DOWNLOADING DESKS

ICT users need to now an again send their work into the internet or world
wide web. A number of South African universities where most Swazis do
their post graduate studies require that students should upload/ submit their
assignments through the internet to the university website which later
download it to the specific lecturer. I have seen this in action when I was
studying for a senior degree with Rhodes University. I have also helped
students studying with the University of Cape town, Wits and University of
South Africa to download and upload their work. In the year 2007 I was then
offered a part time job by the University of South Africa to a be a tutor for
their students. In this job I was paid by the university E200 per hour for a
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SECTION 1: THE BUSINESS PROFILE

set of 30 students and I learnt a lot which has made me to realize the need
for this business.

A number of individuals now study through distance learning but the facilities
are not there for E.learning and mobile learning. I received training at Rhodes
University on how to host this.

C] TELECONFERENCES, MEETINGS AND VIEW DATA SERVICES

PLATFORM

The advent of computers has made it possible to do interviews on line and

have a number of services provided on line through real-time processing.
International interviews shall be possible for international job posting.

D] E.LEARNING TABLES
This shall hook up the customers to a number of learning sites and expert
services. This shall afford a number of students doing professional exams to
write their exams online as the requirement is with most of these bodies. e.g.
Comptia A+ and N+ examinations.

E] DATA RECOVERY , DATA STORAGE AND BACK UP DESK

When computer viruses attack data is either corrupted or lost. It is

therefore good practice to backup data regularly. This service shall be
beneficial to business with point of sale system. Once stock level data is lost
a business may be grounded. This desk shall make it possible to recover
corrupted data and data has been lost through high level formatting or viral
attack. Individuals and companies now will not go to South Africa when the
service is available here in the country. All clients shall be encouraged to take
an insurance policy to cover the machines.

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SECTION 1: THE BUSINESS PROFILE

F] MEDIA CENTRE AND WEB HOSTING
A number of companies are into Internet marketing. In this regard companies
hire other companies to handle their advertising for them. This is done
through designing websites for these companies and later on publishing them.
This desk shall also help in the production of DVDs, VCD, printing of pictures
and multilayered logos, movie making, speech and sermon recording for
pastors who want their sermons to televised and broadcasted. This desk shall
lay a foundation for the development of the a local newspaper – SOUTHERN
VIEW/ NHLANGANO NEWS, radio service – much like with Mashaba’s
services in Generations, a south African television soapie.

Targeted Market and Customers

The target market are organizations that are doing research online, E-
learning, meetings for strategic planning, workshops, seminars.
Our customers will be schools and educational institutions that want to
enhance their productivity by utilization of ICTs.

Schools as typical clients will require a computer and a printer to be installed

in their offices and have internet connection. The computers shall be used
for the dual purpose of preparing documents, tests, research from CD-ROM
encyclopedia, or through the internet. Potential clients are schools in
Shiselweni that have employed a school secretary or where the teachers are
computer literate.

There are a number of such schools in this region which can not afford to

purchase the computer out rightly because parents pay in installments termly

and Orphaned and Vulnerable Children (OVC) money from government usually

reach schools towards the end of the year. That will make it possible for

Section 1 1.5
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SECTION 1: THE BUSINESS PROFILE

schools to buy those computer they have been leasing at the end of the year.

Vision

The vision of CREDIT SYSTEMS INTERNATIONAL is to be the main

cybergate into the cyber world of the southern part of Swaziland at

affordable prices, just on time to our clients.

Mission

The mission of the CREDIT SYSTEMS INTERNATIONAL project is chiefly

to be a regional ISP, provision of world class ICT services and products while

raising income and increasing a lifetime customer base.

Core Values

The following values have been adopted:

− Less is more

− Sustainable Development

− Integrity and Honesty

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SECTION 1: THE BUSINESS PROFILE

− Growth through hard work

− Excellence and diligence

− Conscience for social responsibility

Business Aims

The following aims focus on the vision of the business:

 Establishment of an Internet Service Provider business.

 Open a media centre for academic organizations.

 Provide a variety of complementary ICT services within the same

compound.

 Design and host websites for schools and colleges.

 Provide the internet service to a number of schools and organizations.

 Assist in the computerization of the education system and examinations.

 Raise income on a consistency basis to develop the business.

 Rent and sell computer services to schools, businesses and a number of

organizations.

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SECTION 1: THE BUSINESS PROFILE

Location and Premises

FORMTEXT
The business shall be located at the corner of Matatazela (7 th street) and
Ndwandwe avenue ( 1st avenue) i.e. opposite Metro Cash Carry. The plot
number is 130 and plans are at an advanced stage to secure the ownership of
the adjacent plot which is plot 129.

We intend to start business operations on plot 130 which belongs to myself.

This place is just less than 500 metres from Nhlangano Spa and about
200metres away from Metro.

Service Matrix and Organization

Credit

systems
Internet Service
ICT Centre and Media Research Division and
Provider Desks Consultancy

Exams

wing
Professional Consultants

It is important that the team of professional advisors be in place before I

start the business. Here is a list of these professionals:

Attorney: Magongo and Associates.

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SECTION 1: THE BUSINESS PROFILE

Accountant: Kobla Quashie
Insurance Agent: Swaziland Board of Executors
Architects: Dan Dlamini
Contractors: J&E contractors

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SECTION 2: THE BUSINESS PROFILE OF PROMOTER

PERSONAL PROFILE

Name: Armstrong Simelane

Business type: Management consultancy
Field: Information and Communication Technology
Id number: 6908216100022
UP students#: 29307679
Years in IT Business: 12 years

PREVIOUS BUSINESS

A) Bureau of Computers services

B) Itechom (pty) ltd.
C) MBA Cold Storage and Distributors (pty) ltd.
D) Cybergate It Centre.
E) Hluti Management Centre

EDUCATION CREDENTIALS AND QUALIFICATIONS

A)Diploma in General Agriculture - tenable at UNISWA

B) Bachelor of Science in Agricultural Education - tenable at UNISWA
C) Certificate in Computer Programming - tenable at AACP
D) BED HONS ICT tenable at Rhodes University
E) Candidature: M.Ed CIE ( in progress @ the University of Pretoria)

PREVIOUSLY HELD POSITIONS

A) Maths and Science Teacher - Gundvwini Secondary School

B) Maths and Science Teacher - Mbukwane SDA High School

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SECTION 2: THE BUSINESS PROFILE OF PROMOTER

C)Agriculture Teacher - Nhlangano Central High School
D) Head of Department - ICT and Agriculture Departments
E) Chairman finance Committee - Nhlangano Town Council
F) Deputy Principal - Nhlangano Central High
G) NPDE part time tutor - University of South Africa.
H) Field Worker – Centre for Evaluation and Assessment, University of
Pretoria

Duties assigned to me after training by C.EA.

• The administration of learner, teacher and principal questionnaires
• Interviews with learners, teachers and principals
• Classroom observations
• Taking note of the availability and condition of infrastructure in and
around the school.
• Document analysis of learner workbooks, assessments, portfolios and
lesson plans.

Schools visited:
• Botse Botse High at Soshanguve
• Alexandra High at Alexandra
• Sakhisizwe High at Walkerville
• Meadowlands High at Soweto

Section 2 2.2
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SECTION 3: INDUSTRY ANALYSIS

In the world the market for such services is growing at an unprecedented

rate. According to Mary Meeker of Morgan Stanley, there are now 250
million Internet users internationally. Swaziland has four Internet Service
providers namely:

1) SWAZI .NET

This is run by the Swaziland Post and Telocommucations Corporation (SPTC).

This is the official gate way in Swaziland and is responsible for regulation the

swazi domain. Their infrastructure is housed in Mbabane.

2) REAL IMAGE INTERNET

This is a private company based in Mbabane and it offers the most reliable

and state of the art internet and other ICT services for the country.

3) POSIX

This is a Matsapha based internet and networking company which started

trading as NETCOMM before hosting internet for a number of companies

based in Matsapha and Manzini.

4) LISANGO

The company is also based in Mbabane and offers internet services to

subscribers and their operations are limited and get a lot of competition

from real image.

Most of these ISPs focus in the Industrial capital of Swaziland and have no

shown interest in education.

Section 3 3.1
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SECTION 3: INDUSTRY ANALYSIS

The base for CREDIT SYSTEMS INTERNATIONAL shall be Nhlangano in

the Shiselweni region. In this region, Nhlangano is the main and most

frequented town. It is located strategically in the Southwest of the country

forming a gateway between South Africa and the country.

Shiselweni all along has had limited industrial activities. For this reason

businesses and individuals in Nhlangano had to travel 100 km to as far as

Matsapha, Manzini, and South Africa to acquire some commodities.

During holidays and other peak times Nhlangano is particularly abuzz of

economic activities because of several people returning home. Nhlangano is

now a growth point for many businesses.

Phase one Market Segmentation (Regional)

- 3 Colleges

− 183 Schools

− Private companies

− Clubs, and other non-profit making organizations

− Members of the public

Section 3 3.2
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SECTION 3: INDUSTRY ANALYSIS

Market Needs

The nature of life today demands that an individual should have an internet

access and an E.mail address. Without these one is said to be living in a world

where he or she does not exits. Companies are said to exist in the cyber

world when they have a website address. It is through a website that one has

a cyberspace denoted by a URL (Universal Resource Locator).

Market Growth

My main objective is to supply internet service to a number of schools first in

the Shiselweni region before hooking up and hosting schools in the other

regions. I have chosen this region because it is my home and I have chosen

schools because I have studied their needs for some time and have a full

house package for schools. I must mention here that I have worked with a

number of head teachers from the Shiselweni schools and have trained most

of their secretaries apart from supporting their computer systems.

The growth of market will depend primarily on the customer confidence

instilled at the early stage. There is a wide variety of ICT services and

products that people need from Nhlangano town but only a few are supplied

Section 3 3.3
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SECTION 3: INDUSTRY ANALYSIS

at a very low scale and class because there was lack of Infrastructure from

SPTC. SPTC broadband has just been launched. A number of customers had

to rely on connecting to ISPs based in the North of Swaziland and that has

resulted in high telephone bills and slow internet service.

Distribution Patterns

MTN Swaziland though its GPS has tried to provide internet service but the

service is down sometimes due to network congestion. This has seen some

individuals trying to connect to South African MTN and Vodacom. This is only

possible on certain locations that are having no atmospheric blockage to the

South African network. Big businesses tend to source their stock put

satellite dishes and aerials just to connect to South African network. A

number of individuals who use real image and swazi.net prefer to connect to

the internet at night because it is cheaper at night and yet the speed is

usually faster because a number of individuals have logged off.

Competition and Buying Patterns

Most competitors in this kind of business have limited capacity in that they

are all based in Mbabane and operate with imperfect knowledge and no sown

interest in ICTs for educational purposes. They have a very limited

understanding of what is happening in this region. Nevertheless, they are able

Section 3 3.4
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SECTION 3: INDUSTRY ANALYSIS

to get and service customers who are not aware that they are expensive and

slower. Once schools have seen the advantage of using a local ISP more and

more will be willing to use locals for ICT services.

Market Analysis

Web hosting

a) 3 colleges 3 * E300 = 900 per month

b)183 Schools 100 * E250 = 25,000 per month

c) Business Community 20 * E280 = E5,600 per month

Dial up connections

300 individuals paying E120 per month = E3,6000 per month

Broad Band connections

6 companies paying E450 per month = E2,700 per month

Data transfer

3000 E.mails per day averaging 10KB @ E5 = E1,500per day up to E39,000

per month

Section 3 3.5
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SECTION 3: INDUSTRY ANALYSIS

TOTALS = E76,800 per month Translating to E2,560 per day

Section 3 3.6
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SECTION 4: ACCOUNTING AND CASH FLOW

Cash Flow Planning

Attached is an exhibit of our one-year cash flow analysis including estimated

sales, all costs and capital investments. We have included a check of all
expense items for input into our cash flow projection.
Analysis of Costs

We intend to bill our services at an average cost of E700.00 per school and
to mark up equipment ordered on behalf of clients 60%. A cost-breakdown
form will be used to estimate every contract. Each prospective client will be
furnished a written contract outlining all costs including a not-to-exceed
maximum, based on our cost-breakdown analysis. Our terms of payment for
our services will be: Credit cards and Cash. Extras will be approved in writing
before commencing work. Maintenance contracts will be handled on a cost
per hour basis. Schools are expected to submit 10 post dated cheques before
equipments are installed.
Internal Controls

A qualified accountant will be hired. An experienced individual in our type of

service business and will set up systems to handle receipts, accounts payable
and accounts receivable. The director will be the only person authorized to
sign purchase orders, make capital acquisitions and sign cheques.

Section 4 4.1
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SECTION 5: FINANCING

Financing Strategy

The requirements for start-up capital are as follows:

Attached is a list of expenses for which we will require either start-up

capital or financing. These items include building, renovations of existing
structures, partitioning, purchase of equipment and supplies. These expenses
are included in our monthly cash flow projection to indicate the ongoing
requirements for cash.

Projected Costs

Costs of Building E568,715.00

Costs of setting up ISP service E184,255

Cost of setting up furnishing units E18,500.00

Cost of setting up the various desks E35,000.00
and services
Total expenditure E806,470.00

Section 5 5.1
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SECTION 5: FINANCING

Hardware and Software Requirements

EXPENDITURE ESTIMATED COST

12 LAPTOP COMPUTERS & STANDS
E36, 000.00
NET SERVERS & LICENCES
E17, 649.00
PRINT SERVER & PRINTERS E14, 649.00
UPS FOR 30 COMPUTERS E 13,500.00
ROUTERS & SWITCHES
E 9,699
SATELLITE DISHES E16, 200.00
DIGITAL, VIDEO & SPY CAMERAS E11, 700.00
INTERACTIVE WHITE BOARD 16,800.00
TRUNKING AND CABLING E3, 200.00
LABOUR E7, 300.00
SPEAKER SYSTEM E3, 899.00
PLASMA SCREEN E13,699.00

E11, 360.00
SUBSCRIPTION FEES PER YEAR
PROJECTOR
E8, 600.00

Section 5 5.2
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SECTION 5: FINANCING

This business plan has been prepared to motivate an application for finance
with financial institutions. I am prepared to make power point presentations
to potential lenders. The presentation kit includes this business plan and
power point slides. I am prepared to be specific in my needs for financing,
the payback program and my sources of repayment. We will furnish potential
lenders with a cash flow projection showing these sources of repayments.

Section 5 5.3
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SECTION 6: E-COMMERCE
E-Commerce Plans

As a consultant in this field I plan to develop an Internet site that will

function as a billboard to display the business operations. The site will be
devoted to primarily advertising and as a channel for feedback from clients.
E-Commerce Budgeting

I have the necessary skills and know-how to design, implement and maintain
the business website. All necessary equipments to mount the website shall be
in place once the business is established.
E-Commerce Competition

In consulting practice, the website will be a tool to portray the business

image as an internet company that believes in facilitating growth for small
businesses. That will differentiate the company and beat the competition.

Section 6 6.1
 B USINESS P LAN

Section 7: Acquisitions

C SS redit it ystems

I nternational

Centre for research educational designs and information

technology

Section 7 7.1
 B USINESS P LAN

SECTION 8: MARKETING
Marketing Plan

A sales kit with letters of recommendations from our happy customers shall
be compiled. A Power Point presentation, which will incorporate visitation to
e-commerce sites that have been created for clients.
T
In addition to these referral prospects, local newspaper advertising, mailing
campaign with telephone follow-through with local businesses that are prime
targets for e-commerce marketing shall be the business mordus operand.

Advertising and Promotion Plans

An initial advertising budget of E3, 000 per month for local print media,
mainlyCinentre for research
the following educational
local newspapers designs
Observer, and
Times ofinformation
Swaziland and
television stations like Channeltechnology
S and Swazi TV. A reputable advertising
agency shall be appointed to create and place our advertising and to create
our logo, stationery, and basic brochure. Estimated cost including creation
and initial print run of brochure and business forms: E8, 600. Future
direction for advertising and promotion will be directed by the growth rate
of the business.

Further exposure shall be obtained through joining Rotary Club and Chamber
of Commerce as a means of networking with local business leaders.

Section 8 8.5
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SECTION 8: MARKETING
Purchasing and Inventory Control

Written specifications on equipment purchases and the following purchasing

policies will be maintained.

Purchase Orders will include:

Price and terms
Price protection
Always in writing
Complete specifications
Delivery deadlines
All promises will be verified in writing
Appropriate contingencies will be included in purchase orders
Any changes or extras must have prior approval in writing
Internal controls will be in place for shipping and receiving

Training Policies

For the next one to two years I will personally handle marketing. As the
business matures I will hire marketing consultants to expand sales activity
under specific guidelines.

I will expect these consultants to run an in house training for recruited

individuals so that quality is not compromised (quality assurance). I have
realized over the years that when you train college products who come to the
company to do internship they leave the company immediately they skilled.

Section 8 8.5
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SECTION 8: MARKETING

Trainees shall be rewarded through an incentive compensation plan and on a

commission basis. This will be depend on the overall profitability of each
assignment. They have to be motivated by incentive compensation which is
focused on their individual achievements, rather than on overall company
performance.

The Competition

The principal competitors will be Real image, Lisango, swazi.net. , POSIX,

Computronics and Swazi MTN.

These competitors may present a serious threat but unfortunately for them
they are all based in Mbabane, Matsapha, and Manzini. Their competition is
not a serous threat to our business because this business is strategically
placed and they will eventually find us to be their good associates. The
distance is their biggest disadvantage.

Our established competitors are either too big (or expensive) or too small
(and under-qualified) to successfully handle the small emerging retailers
whom we plan to target. Our unique advantage is our experience in all phases
of the components required to install successful e –commerce operations. If
any one of these components is lacking, customers can waste large amounts of
money and even at the peril of their overall businesses. So our focused
experience and successful projects will be our key to building a niche and
reputation.

Section 8 8.5
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SECTION 8: MARKETING

SWOT Analysis

Strengths

Market knowledge

I grew up in this region and I know the Shiselweni region very well and

I understand the trends, distributions cycle and patterns of our

products in particular.

Technical and Business Strength

I have the necessary expertise in computer programming and computer

Education. I hold a Rhodes University degrees Information and

Communication Technology with majors in Education Leadership,

management and Research.

Contacts

I have made contacts with existing two ISP and the University of Cape

town lecturer Professor Cheryl who is working closely with mark

shuttle worth in developing education programs for South Africa. e.g.

Linux UBUNTU and EdUbuntu. My lecturer in the course IBE 880 at

University of Pretoria is my source of strength and “GPRS” in this

Section 8 8.5
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SECTION 8: MARKETING
business.

Nhlangano Base

Nhlangano is the largest town in the region. It is centrally positioned with a

good road, telephone and mobile networks. It has banks. Nhlangano is near

Mahamba border post. The traffic to and from South Africa passes through

Nhlangano. I will be the first ISP to service this market.

Weaknesses

Market uncertainty

The thought of depending on SPTC as the single gateway is a weakness

that will be addressed when the industry is liberalised and opened up

for more gateways to control the Swazi domain.

Opportunities

As the sole Internet Service Providers in Shiselweni region the

opportunity to try and develop new products is enormous.

Threats

Security

Criminal elements in our society and reports of armed robbery in the

Section 8 8.5
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SECTION 8: MARKETING
country means make it necessary for fidelity and insurance cover to

sought.

Strategies

In fullness of time the following strategies will executed:

− Manage security by insurances, implementing safe processes

involving finance, hire security companies, and other security

measures.

− Avoid direct confrontation with competitors.

− Adverts in and around the region and other areas.

Products

Internet Connection, web hosting, uploading of assignments, downloading of

work, e-mail, data transfer, data back up, cleaning of viruses, sales of

software, sales of accessories, upgrading of computers, leasing of computers,

hosting of talk shows, desktop publishing, preparing of presentations, film

making, rendering service, media centre services, news relaying, tele-

confecering, International interviews, drop and collect of messages, dial up

service and broadband – leased lines and dedicated lines.

Section 8 8.5
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SECTION 8: MARKETING

Future services and products

It is my aim to establish a tourist attraction centre with the old computers I

have collected over the years which mark the generations and stages in the
development of a computer. The gadgets they tell the story better to a
tourist and visiting students of computer science who ants to understand the
development of a computer. One of the computers represents the technology
that was used in the early 80s.

Section 8 8.5
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SECTION 9: GROWTH PROGRAM

Handling Major Problems

The policy in handling problems will be to identify and acknowledge problems

promptly and honestly. The plan is to put the following policies into effect
promptly if and when the following adverse scenarios emerge during growth
program:

The risk of running out of cash:

The plan is to maintain very frequent month cash flow projections. Forecasts
for income, expenses and unanticipated contingencies will be stated
conservatively. Any periods of cash deficits will be remedied promptly by
cutting costs to maintain a positive cash flow and profitability.

A drop in sales or insufficient sales:

1. Implement promptly remedial steps by cutting costs.

2. Improve every aspect of product value, performance and image
3. Seek out new ways to expand sales by questionnaires.
4. Stick with this specialized business that I know best.

Dishonesty, theft, shrinkage:

I will implement inventory audit and low cash levels strategy.

Business recessions:

I will be prepared to promptly cut costs to maintain liquidity. I will also be on

the lookout for good business opportunities during periods of adversity.

Section 9 9.1
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SECTION 9: GROWTH PROGRAM

Handling Major Problems

The policy in handling problems will be to identify and acknowledge problems

promptly and honestly. The plan is to put the following policies into effect
promptly if and when the following adverse scenarios emerge during growth
program:

The risk of running out of cash:

The plan is to maintain very frequent month cash flow projections. Forecasts
for income, expenses and unanticipated contingencies will be stated
conservatively. Any periods of cash deficits will be remedied promptly by
cutting costs to maintain a positive cash flow and profitability.

A drop in sales or insufficient sales:

1. Implement promptly remedial steps by cutting costs.

2. Improve every aspect of product value, performance and image
3. Seek out new ways to expand sales by questionnaires.
4. Stick with this specialized business that I know best.

Dishonesty, theft, shrinkage:

I will implement inventory audit and low cash levels strategy.

Business recessions:

I will be prepared to promptly cut costs to maintain liquidity. I will also be on

the lookout for good business opportunities during periods of adversity.

Section 9 9.1
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LAN

Section 9 9.1