Children’s Website Business Plan Leave a comment

Introduction

InteliChild.com allows bright children to have fun and interact with the Web, educators, other children, and the entire world. It generates traffic first. Investors value it, and eventually commerce, and profits. It provides a safe environment for children to play and parents and schools to purchase, as well as a creative, fair, and healthy work environment for employees.

The InteliChild.com ecommerce initiative is the natural evolution of the InteliChild.com Internet existence. It will sell and market selected toys, books, as well as software products. It will also produce Web products and Web applications that will increase market share, promote name recognition, and maximize efficiency.

The Company

InteliChild.com, the current start-up, has four employees. The principal founders of the company owned 25% each. (Name Omitted) Capital partners acquired 50% of the company. The company only has one office. The initial website is at www.citruscoolkids.com.

Our unique competitive advantage lies in the in-house expertise we have. Our competitor spends five to ten times more money on outsourcing than we do to companies that can provide services that we offer in-house. The same thing will happen with InteliChild.com. We already have the SQL(tm), ColdFusion, and programming expertise. Now we will add the Flash(tm).

Products and Services

InteliChild will offer a steadily growing mix of three product lines:

• Toys and Games carefully selected toys and videos that appeal to the target customer, the parents and the educators.
• books should include books that appeal to the parents or educators of the target market. These books can be ordered on this site by interested adults who are looking for books about their children. There are also books that can be ordered for and by children.
• Software carefully selected software to appeal both to target parents and educators.

The Internet is constantly reinventing itself, sometimes even every three months. Therefore, the strategy for future growth is to maintain enough flexibility to adapt to new technologies, and quickly adapt to changing circumstances.

The Market

The InteliChild.com market has been expanding exponentially with the advances of technology in the teaching sectors and the acceptance of technology as a teaching aid. We need to get approval from the school community, which includes teachers, PTAs, and special education programs, in order to enter the market.

These are our primary markets:

1. The kids themselves.
2. Parents.
3. Higher education institutions for children
4. Self-teaching families.

While we are looking to expand international, our first launch will target the American upper class. We know that most of our clients drive BMW’s and have very good taste – they spend money on their children because they can appreciate the technology that we have created. They appreciate high-quality design, as well as having high-speed internet connections.

Financial Considerations

Because we are determined to be the Internet’s dominant company, our start-up costs can be high.

The Break-even Analyse indicates that we will reach steady-state breakdown in the first year.

Based on increasing website traffic, the sales forecast assumes that sales will increase per session. Sales are projected to rise exponentially from Year 1 to Year 3. Traffic growth will be a key factor in the forecast. We plan to lose money for at least three years while we build traffic and develop our position for the long-term future.

Objectives

• Traffic as measured by unique user sessions: 100,000 unique sessions in June, year 1; 450,000 December, year 1; 3.5 Million in Year 2; 5 Million in Year 3.
• As measured in dollar sales per visit, sell-through: $0.58 per visit in December of Year 1, an increase of $0.83 per year 2 and $0.92 per year 3.
• The ability to bring in additional investments at economically feasible valuations is what we call value. We must attract.

moderate investment this year, and an additional large infusion in Year 2, with valuation performance that yields attractive internal rate of return (IRR) to investors. The financial section displays an IRR of over 100% for all investors. IRR for seed is higher than for other investors. IRR for second round decreases slightly.

Mission

InteliChild.com allows bright children to have fun and interact with the Web, educators, others, and the entire world. It first generates traffic, then valuation for investors, then eventually commerce and profit. It provides a safe environment for children to play and parents to purchase. The employees are able to be creative and fair in their work environments.

Keys to Success

1. Customers should be kept happy. The website must be simple to use, and can be viewed quickly. Customer satisfaction is the highest priority.
2. The project will succeed if it can capitalize on the traffic that InteliChild.com produces, and turn the user sessions into dollars through the commerce site.
3. InteliChild doesn’t have the staff to handle more sales, so it must be simple and flexible to make sales.
4. The e-commerce project will further establish InteliChild.com as a technology leader. It will not only bring in traffic, but also return traffic.