Patter ' n Blue

“As quick as you can think it”

Introduction

• The last 30 years have been riped with technological advances

• Technologies give new companies a chance to flourish

• Companies can’t develope in the face of obsolete technologies

• Opennes is the right way to grow

Open source explained

From www.opensource.org:

“When programmers can read, redistribute, and modify the source code for a piece of software, the software evolves. People improve it, people adapt it, people fix bugs. And this can happen at a speed that, if one is used to the slow pace of conventional software development, seems astonishing.”

Business plan

• Company name: Patter’n Blue

• Type: consultancy service

• Format: private limited company

• Business description:A company dedicated to consultancy and integration of IT solutions. A strategic partnership with IBM as an enabler.

Business revenue model

• Information technology consultancy, oriented towards vendor independence and open standards

• Consulting and integration of open-source solutions

• Tailored software development

Company staff

Patter ' n Blue

Organization chart

Josep h G e loC F O

(fin an ce /accou n tin g )

A lfred o A yoraR esearch d irec to r

C on su ltan cy team C arlos P ared esD eve lop m en t d irec to r

In teg ra tion team

M an u e l A m ad orC TO

(h ead o f IT services )

M arc ia F ab araC M O

(m arke tin g /p u b lic ity)

M an u e l A m ad orC E O

Corporate identity

Patter ' n Blue

Logo

• Every information system must have a control center

• The curve line means the information system

• The blue spot is the control center

• We use blue because it means confidence, security and relax.

• The curve lines mean growing and dispersion

Slogan

“As quick as can you think it” 

• Our solutions are efficient and nimble, so our clients can save time and money.

Business cards

Marketing

Patter ' n Blue

Marketing

• Philosophy: the consulting and technical team that works faster and more efficiently with IBM's backup.

• Methods:– Product: The right way to handle IT systems.– Price: Available.– Place: Main cities of Ecuador.– Promotion: Focus on the target group.

SWOT analysis

Strengths Opportunities

Strategic partnership with IBM assures quick response time and quality

Qualified People in open-source solutions Trim team with low operation costs

Trends and recent studies show a steady market growth

Trends and recent studies show a rapid acceptance of Linux by the enterprise sector

Market in Ecuador virtually unexploited

Weaknesses Threats

Too small operation to handle extremely large projects

Heavy competition from Microsoft and the like (Microsoft has elevated our solutions to “top threat” status)

Strong acceptance and “inertia” effect which pushes potential clients not to change to Linux and open-source solutions

Advertising

Patter ' n Blue

Advertising

• Objectives:– Let us be known to potential

customers

– Let the relevance of good IT be known

– Grow to major markets

– Obtain client through marketing research

• Target:– Small/medium companies

without IT departments

– Large companies

Advertising

• Media systems– TV

– the Internet

– advertisement in business magazines

– advertisement in newspapers

• Approach– Use mass media that is in

contact with our target market

Financial plan

Patter ' n Blue

Financial plan

• Key points:– primary revenue source:

customized software development contracts

– secondary revenue source: support contracts

• Calculation of revenue based on:– hourly rates

– number of hours billed each month

Key figures

Initial investment:75,000

Man/hours cost:30.00

Monthly billing expectation700 hours

Key figures

Discount rate 20%NPV 15,630.27 ROI 30%

Income/expenses chart

Income Expenses853,931 712,780

55%45%

Income

Expenses

Cash flow under standard data

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec (1) Year 1 Year 2 Year 3IncomeService/solution sales 0 4.038 12.923 12.923 12.923 12.923 21.000 21.000 21.000 21.000 21.000 21.000Support contracts 0 300 600 900 1.500 2.400 2.400 3.000 3.000 3.600 3.600 3.600Product sales 0 300 600 1.000 1.200 1.400 1.500 1.800 2.000 2.200 2.400 2.500Total income 0 4.638 14.123 14.823 15.623 16.723 24.900 25.800 26.000 26.800 27.000 27.100 223.531 315.200 315.200ExpensesEstablishment costs 600Furniture/fixtures 4.500 4.500Equipment 9.000 18.000Advertising 4.000 4.000 4.000 4.000 4.000 4.000Salaries

Management 2.400 2.400 2.400 2.400 2.400 2.400 2.400 2.400 2.400 2.400 2.400 2.400IT services 4.600 4.600 6.100 6.100 6.100 6.100 8.600 8.600 8.600 8.600 8.600 8.600Sales/promotions 0 800 800 1.600 1.600 1.600 2.000 2.000 2.000 2.000 2.000 2.000

MaintenancePersonnel salaries 300 300 300 300 300 300 300 300 300 300 300 300Expendables 100 100 100 100 100 100 100 100 100 100 100 100

Fixed costsRent 450 450 450 950 950 950 950 950 950 950 950 950Communications 160 160 160 800 800 800 800 800 800 800 800 800Utilities 200 200 200 400 400 400 400 400 400 400 400 400

Total expenses 26.310 13.010 14.510 17.150 12.650 12.650 37.550 19.550 19.550 15.550 15.550 15.550 219.580 246.600 246.600

Month's cash flow (-26.310) (-8.372) (-387) (-2.327) 2.973 4.073 (-12.650) 6.250 6.450 11.250 11.450 11.550Initial investment 75.000

Month's cash balance 48.690 40.318 39.932 37.605 40.578 44.651 32.001 38.251 44.701 55.951 67.401 78.951 78.951 147.551 216.151

Return on investment 5% 97% 188%

Conclusions

Patter ' n Blue

Conclusions

• Financial analysis conclusions:– Project is affected by

low sales.– Project benefits from

high hourly fees.– Standard expectations

are reasonable.– Project performs well

under low expectations.

Conclusions

• This project taught us:– English

– Essential Business knowledge

– Communication skills

THE END

Patter ' n Blue