AfriNET IT Solutions is an
exciting start up business that was conceptualised by creative and
dynamic business entrepreneurs, Adrian together with two other
committed, dedicated and passionate business partners; namely, Lesedi
and Hilton. The business is a Close Corporation and was formally
registered on the 9th of November 20X0 to provide an array of IT
related solutions. These solutions include: Personal Computer repairs
and maintenance, Website Development, E-Mail and Internet solutions,
Network Installations and Configurations, Profiling Documents, Software
Development and other related services.
This business plan is drawn up
in order to gain an understanding of the External Environment,
Industry, Market as well as the Internal Environment that the business
operate in. The business plan is an instrumental tool that the business
will use to obtain funding as stipulated under the ‘Financial Overview’
of this Executive Summary.
The business concept is based on the opportunity that was realised by
the owners of AfriNET IT Solutions. Currently, there are not as many
businesses in the West Rand that provide a wide array of Information
Technology Services. The few businesses that are operational render
their services at relatively high prices as the current scenario is
that the demand for the services is high and the supply is low. Most of
these businesses take a long time to render
repairs and this inconveniences clients. A majority of service
providers have a poor understanding of the clients’ needs and are
usually not trusted in terms of professionalism, efficiency and
AfriNET IT Solutions will step into the market and establish itself as
a business that cares about its clients and fully understands their
needs and preferences. The business will be highly value oriented and
will focus on developing strong relationships with its clientele. The
business will offer a strategic set of Information Technology services
and these will encompass computer repairs and upgrades, networking
solutions, internet café services, on site computer training,
electronic document filling (achieving), electronic document management
solutions and other Information Technology oriented solutions.
The market for Information Technology (IT) solutions is broad and
computer users, small business IT users, medium business IT users and
large business IT users.
The business will target both the corporate and individual market
segments. The target market of the business will essentially be
composed of Government entities, corporate businesses and
Improving and ensuring competitiveness shall be instrumental to the
success of AfriNET IT Solutions. The business will be customer centric
– it shall essentially focus on having a better understanding of its
customers than its competitors. Particular focus will be made on
ensuring efficiency by providing the target market with
fast and reliable technical IT Solutions.
The business will acknowledge and keep in mind key success
factors such as value based marketing, creating value laden long
with its clientele, forging strong relationships with strategic
alliances, responsiveness, offering quality services and quality
assurance, and encouraging repeat purchases.
Competition for AfriNET IT Solutions will emanate from both direct and
indirect competitors. There are a number of Computer repair shops and
Internet Cafés in the West Rand with an established clientele.
Direct competitors include:
Indirect competition will emanate from the various internet cafes that
do not necessarily provide computer repair and networking solutions.
Indirect competition will also emanate from companies that have their
own full time, in house IT technicians.
The business will require finance in order to acquire capital equipment
as well as make payments towards its operating costs. The identified
potential funding providers of the business include: Commercial banks
ABSA, Standard Bank, Nedbank and First National Bank. Additional
potential funding providers include private and public grant programmes
those provided by the National Empowerment Fund. The business could
also seek assistance in terms of Micro Loans from Government
Initiatives such as The National Youth Development Fund. Owner’s
contribution will also be another source of start up capital. For the
purpose of this business plan, it is envisaged that the business will
require a bank loan of R135, 000, a bank overdraft of R25, 000 and
lastly owner’s contribution of R10, 000. Additional funds will be
requested at a later stage when the business expands and diversifies.
The security for the borrowings will be a Notarial bond on the assets
and Khula Credit Guarantee Scheme.