Mar 31, 2015
Company
LOGO
Velocity InternationalVelocity InternationalForest Hills High School
6701 110th St.
Forest Hills, NY 11375
www.vinyc.net
NEW YORK CITY BUSINESS PLAN COMPETITION 2012-2013
STATEMENT OF PURPOSE
To educate current and potential investors on Velocity International’s goals, and our ability to meet them.
COMPANY DESCRIPTION
Established 2005as ‘BIKEWORKS’
C-Corporation Located in Forest Hills, NY
23 Multicultural Employees
VI Provides Extreme Sports Goods and Accessories
MISSION STATEMENT
To promote outdoor active participation and a healthy lifestyle by providing outdoor enthusiasts with eco-friendly and high quality goods at reasonable prices.
Quality Goods
Reasonable Price
Healthy Lifestyle
ECONOMIC CONDITIONS
Prime Interest Rate: 3.25%Current Inflation Rate: 1.8%USD vs. Foreign Currencies
INDUSTRY ANALYSIS*
2007** 2012** % Change
Bicycle 37.4 39.1 +5 %
Skateboards 10.1 6.6 -35%
Inline Skates 10.7 6.1 -43%
Skis 6.4 6.9 +7.8%
Snowboards 5.1 5.1 0%
Surfboards 2.2 2.2 0%* Based on the information from NSGA** Numbers presented in millions sold
INDUSTRY ANALYSIS
Mixed trend in participation in sports
Rebound from 2009
Real World
No Direct Local Competitors
No other companies offer the same assortment as VI
Virtual
World
COMPETITIVE ANALYSIS
• Direct
• Indirect
MARKET SEGMENTATION
PSYCHOGRAPHIC
DEM
OG
RAPH
ICGE
OG
RA
PH
IC
MARKET SEGMENTATION
GeographicGeographic
InternationalNorth AmericaSouth AmericaAsiaEuropeAustralia
InternationalNorth AmericaSouth AmericaAsiaEuropeAustralia
VI
MARKET SEGMENTATION
DemographicDemographic
Ages 15-40 United States Trade Fair
Attendees VE Employees
Ages 15-40 United States Trade Fair
Attendees VE Employees
VI
MARKET SEGMENTATION
PsychographicPsychographic
Environmentally Conscious
(Go Green) Health
Conscious Adventurous Athletic
Environmentally Conscious
(Go Green) Health
Conscious Adventurous Athletic
VI
MARKETING MIX
Bikes SnowboardsSkateboardsInline SkatesSurfboardsAccessories
PRODUCTS
MARKETING MIX
Products range from $3.00 for simple accessories to even $10,000 in luxury sport goods
PRICE
MARKETING MIX
FlyersNewsletter & MagazinesTrade FairWebsiteDirect Mail and E-Mail
PROMOTION
MARKETING MIX
Leader in Extreme Sports GoodsA company that supports its local community
POSITIONING
MARKETING MIX
PLACEMENT
39%
7%34%
20%
Sales
WebCalifornia Trade FairNYC Trade FairNon-VE Sales
0 200 400 600 800 1000 1200 1400 1600 1800 $-
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
Velocity InternationalBreak Even Analysis
Fiscal Year Ending, April 30, 2013
Revenue
Average (Variable Cost)
Fixed Cost
Total Cost
Units*
Do
llar
s
BREAKEVEN ANALYSIS
* Number of Units based on $360 per unit sold
PLANNING
Obtain Largest Market Share
Obtain Necessary Funding
Promote New WebsiteS
HO
RT T
ER
M
GO
ALS
PLANNING
Continue Increasing Sales of Green
Products
Reduce Accounts Receivables
Continue Expanding Internationally
LO
NG
TER
M G
OA
LS
COMPANY ORGANIZATION
CEOAanchal Somani
CFOMeijing Yang
Accounting, V.P. Anita Levine
Financial Reporting,
V.P. Prachi Jain
COOShivraj Bhoj
Administration, V.P.
Jamie Cheng
Human Resources,
V.P. Samantha Vasquez
CMO Brian Fontes
Sales V.P. Ana AriasGonzalez
Market Research V.P.
Alexis Weisman
CTODaniel
Nowicki
Help Desk V.P.Eli Bobick
Web Design V.P. Jake
Schwabinger
DIRECTING & CONTROLLING
Online Forum
Weekly Company Meetings
Brand New Server
Balance SheetFiscal Year Ending 04/31/2013
Assets Current AssetsCash in the BankAccount Receivable Inventory Total Fixed Assets Other Total Assets
Liabilities and Shareholders’ EquityTotal Current LiabilitiesLong Term Liabilities
Shareholder’s EquityCapital StockRetained Earnings
Total Liabilities and Shareholders’ Equity
ProjectedSep—Dec $544,073$45,000$81,570$39,089$44,200
$753,932
$119,700$582,362
$90,000$-38,130
$753,932
ActualSep—Dec $39,385$50,150
$120,750$29,100$9,014
$248,399
$168,284$0
$90,000$-9,885
$248,399
ProjectedFiscal Year$476,290$15,000$60,000$20,480$8,830
$580,600
$40,000$420,000
$90,000$30,600
$580,600
Income Statement ProjectedDec 31, 2012
ActualDec 31, 2012
ProjectedFiscal Year
Sales Revenues
California Trade Fair $40,000 $42,800 $42,800
NYC Trade Fair $0 $0 $200,000
Website Sales $100,000 $8,034 $200,000
Other Sales $70,000 $44,274 $147,200
Net Sales $210,000 $95,108 $590,000
Cost of Goods Sold $126,000 $57,065 $354,000
Gross Profit $84,000 $38,043 $236,000
Total Operating Expense $122,130 $47,928 $220,000
Income from Operations $-38,130 $-9,885 $16,000
Corporate Income Tax $0 $0 $2,400
Net Income After Taxes $-38,130 $-9,885 $13,600
Cash Flow Statement
ProjectedDec 31, 2012
ActualDec 31, 2012
ProjectedFiscal Year
Cash Beginning Balance $ 76,658 $ 76,612 $ 76,658
Receipts of Cash:
Sales $195,000 $17,687 $ 516,500
Loan Proceeds $500,000 $0 $ 500,000
Payments of Cash:
Cost of Goods Sold $126,000 $0 $354,000
Salaries $84,515 $47,927 $150,000
Loan Repayment $9,380 $0 $37,513
Other Cash Payments $37,690 $6,987 $67,861
Ending Cash Balance $544,073 $39,385 $478,711
SWOT ANALYSIS
StrengthsStrengths
OpportunitiesOpportunities ThreatsThreats
S W
O T
WeaknessesWeaknesses
SWOT ANALYSIS
Strengths
Highly Qualified Employees
Brand New ServerExcellent Communication Website with Shopping Cart
S W
O T
SWOT ANALYSIS
S W
O T
Weaknesses
Yearly Staff Turnover
High Payroll Expense
SWOT ANALYSIS
S W
O T
Opportunities
NYC Trade FairsCalifornia Trade Fairs
Fully Functional WebsiteNo Direct Competition Locally
National and NYC Implementation of Bike Lanes
The desire for Green Products
SWOT ANALYSIS
Current Economic Slowdown
Competitors in VE NetworkAccounts ReceivablesHurricane Sandy
S W
O T
Threats
BUSINESS RISKS
Turbulent United States Economy
Accounts Receivables
Achieving Projected Sales
SUMMARY
Short Term
Obtain New Loan
Increase Online
Sales
Obtain Largest Market Share
Long TermReduce
Accounts Receivables
Increase International Presence
Thank YouThank You