Online Consulting

BUSINESS PLAN

BORDERLINE TRANSMISSIONS, INC.

5012 Seymore Rd.
San Jose, CA 60342

January 31, 1994

Due to the rapidly changing landscape of online communications, this newly formed online computer service company maps out its strategy for the early stages of its development. Services to be provided, future goals, and financial status (current and projected) are a few of the issues explored in this plan.

• EXECUTIVE SUMMARY
• BACKGROUND
• BUSINESS CONCEPT
• MARKET ANALYSIS
• OBJECTIVES AND STRATEGIES
• COMPANY ORGANIZATION
• APPENDICES

EXECUTIVE SUMMARY

The use of online technology to obtain business information, which has for several years been the sole domain of large corporations, has become viable for businesses of all sizes- and even individuals - in the mid-1990s. At the same time the technology to provide such information, inexpensively and on a global scale, has come into its own. But the complexity and fast-changing nature of online communications continue to make it hard for the average small- or medium-sized business to reap the full benefit of these new possibilities.

This situation has created the opportunity for a consulting service devoted to helping businesses gain, and optimally benefit from online technology, to go into business. Borderline Transmissions, Inc. (BTI) a sole proprietorship located in San Jose, California was formed in January 1994 to take advantage of this opportunity.

BTI will initially target, as clients, small- and medium-sized service businesses in the San Francisco Area. Services provided will include an assessment of the advantages that online access offers to the client, plus help in establishing and maintaining online capability.

This document comprises the start-up business plan for Borderline Transmissions.

BACKGROUND

In the past eighteen months, several interrelated market factors have made the use of online information services much more appealing to small and medium-sized US businesses than in the past. These are:

• The rapid and sustained growth in personal computer and modem ownership is a result of substantial performance improvements with concurrent reductions in price.
• The explosive growth in the availability and usage of online information resources, especially the worldwide Internet.
• The introduction of user-friendly client software which means for the first time, the average business person need not have advanced computer skills to use online resources effectively.
• Increased media attention given to online services and, in particular, to the Internet.

All of these trends are likely to continue for at least the next 5-8 years.

While the business benefits of online information are fast coming into focus, the process of going online remains difficult. This is because:

• The online environment is growing and changing very rapidly.
• The amount of available information, as well as the options for gaining access to it, can be overwhelming.
• There are currently no turnkey online access solutions for businesses. They must negotiate a maze of hardware, software, connectivity solutions, and service providers to gain the full benefit that online services have to offer. Moreover, there are few consultancies or service providers with expertise to guide them through this process.

Even without the above factors, many businesses are too occupied with their own operations to spend a significant amount of time pursuing the benefits of online resources.

BUSINESS CONCEPT

BTI will offer the following services to its clients:

Online Needs Evaluation Research and present to the client a description and cost analysis of the various online resources that would benefit the client's business-from both the user and provider perspectives.

Online Provider Recommendation If the client decides to use or provide any online services, identify the service providers that offer the best value to the client.

Service Implementation Make all necessary arrangements to:

For Online Users Install the services that the client selects, including hardware and software acquisition, service establishment, system configuration, training, and documentation.

For Online Providers Set up an online marketing program for the client, including development of marketing materials and service establishment, training, and documentation.

Post-Implementation Support Provide ongoing consulting support to the client as needed.

Borderline Transmissions, Inc. will also develop the following as secondary profit centers:

• Referral Services
• Online Service Resources

MARKET ANALYSIS

Market Research

BTI will market its services mainly to businesses that fit the following profile:

Location The counties of San Jose/San Francisco/Santa Cruz, and Monterey.

Industries Business-to-business services, especially (a) those with international operations (e.g. import/export firms, travel agencies, freight forwarders) and (b) other information-intensive services (e.g. law, accounting, and consulting practices