Rush Incorporated

Owners: Kayla McGrail

Gabby Rinaldi
Kirsty Beauchesne
Nicholas Landry
Joshua Hynes

64 Duffords Landing S. Glastonury CT.

334 Georgetown Dr. Watertown, CT.
7 Donnelly St. Lewiston, MA.
44 Laurel Hill Ln. Holden, MA.
8 Canapitsit Dr. East Falmouth, MA.

Contact Information:
Website: http://kbeauchesne13.wix.com/rush#!contact/c21dx
Telephone: 508-524-8056
Email: RushCo@gmail.com
Business Location:
Address: 1330 25th Street, San Francisco, CA 94110

Business Plan
GFOB100 Section G
Professor Rubin
The A Team

Rush Incorporated
The Owners

Gabby
Rinaldi

Kirsty
Beauchesne

Nick
Landry

Josh
Hynes

Kayla
McGrail

Date of Completion: 5 December 2013

Project Letter Grade Based Off of Team Effort: ________________ A___________________

Table of Contents
2

I.
II.
III.

IV.

V.

VI.

VII.

Table of Contents.3
Executive Summary.....4
Description of the Business
a. Mission Statement.6
b. Code of Ethics...6
c. Management Team8
d. Legal Structure..12
e. Risk Management..13
f. S.W.O.T. Analysis.16
Marketing Analysis & Strategy
a. Target Market....18
b. Competition...19
c. Benchmark.20
d. Advertising/ Promotion.22
e. Pricing...26
f. Product/ Service Design27
g. Location.....27
h. Industry Trends.....29
Operations Plan
a. Human Resources Plan .31
b. Inventory Plan...34
c. Operating Procedures, Design, Layout, and Production Process..37
d. Management Information Systems41
e. Exit Strategy..42
Financial Plan
a. Financial Plan.42
b. Summary of Financing...43
c. Three-Year Cash Flow...50
d. One-Year Pro-forma Balance Sheet...55
e. Income Statement...56
f. Break-Even Analysis..57
g. Ratio Analysis58
Appendix
a. Personal Resumes...59
b. Annotated Bibliography..68
c. Interview Bibliography...72
d. End Notes...77

Executive Summary

Rush Inc. was founded in 2013 by Gabrielle Rinaldi, Kirsty Beauchesne, Nick Landry, Josh
Hynes, and Kayla McGrail. Our mission is to provide an innovative, high quality hairbrush that
not only organizes your hair accessories, but is also environmentally friendly through the use of
recycled plastics. We aim to provide all of your hair care essentials in a single compact hair
brush, making your traveling experience more enjoyable.
Business/Product or Service
The IN-A-RUSH BRUSH is an innovation of the everyday flat, oval hairbrush. The brush is
average size, about ten inches in length and the head of the brush is about 4 inches wide. It is
different because it has a magnetic compartment that is located in the handle of the brush, to hold
bobby pins and hairclips. It also, has a space in the back of the brush for shampoo and
conditioner packets that can be dispensed through the top.
Presently, our IN-A-RUSH BRUSH is in the growth stage. It competes primarily based on its
unique compartmental and multipurpose structure, as well as affordable pricing. Our future plans
include modifying our product to possibly reach into the canine industry.
The Market
We define our market to enter is the hair care segment of the cosmetic industry. Currently the
market size is estimated to rise from $49 billion in 2010 to $58 billion in 2015.

Competition
Dominate companies in this industry include Con Air, Pantene, and LOreal. However, all these
companies do not offer our multipurpose brush. Because the hair care industry is rising we do
anticipate other companies attempting to enter this market in the near future.

Risk/Opportunity
It is a great risk to enter an industry with long last, global, billion dollar companies. We hope that
by starting small in San Francisco, and slowly becoming nationally, we can be successful in a
market that has well- known competitors.
Management Team
The management team is led by:
Chief Executive Officer Gabrielle Rinaldi
Following are the other member of the 5 top managers of this corportation.
The Marketing Director is Kirsty Beauchesne.
The Director of Industry and Survey Information is Nick Landry.
The Director of Communications is Josh Hynes.
The Operations Director and Team Scribe is Kayla McGrail.
Capital Requirements
We are seeking a $300,000 loan from the bank. We plan to utilize it toward our startup costs
within the first year. Other expenses are collected from family and friends for the startup of Rush
Inc. If needed to exit before the company has determined so, we plan to use an acquisition exit
strategy. Allow someone to completely take over our business and immediately lose control as
quickly as possible.

Financial Plan
Developing these numbers as low as we think would be reasonably possible; we estimated that
15% of the people surveyed who said they would buy it actually would, thus giving about a 13%
of our target market to purchase in the first year. We also estimated that half of the people who
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bought our hairbrush would purchase a shampoo and conditioner refill pack. This would be
6.5% of our target market. Therefore, we estimate our sales include the hairbrushes and shampoo
and conditioner refill packs will be $296,240 in our first year.

Mission Statement
Our mission is to provide an innovative, high quality hairbrush that not only organizes your hair
accessories, but is also environmentally friendly through the use of recycled plastics. We aim to
provide all of your hair care essentials in a single compact hair brush, making your traveling
experience more enjoyable. Our dispensable shampoo and conditioner set us apart from the
competition with no other companies offering similar features. Customers will find pleasure
through the ease of purchasing our shampoo and conditioner refill packs, and our competitive
prices. We strive to maintain the best quality control possible so that no customer will be
disappointed with our product. Any factory defective products will be replaced free of charge,
with no questions asked. Customers are important to our business and we hope to use their input
to modify our product to meet all of their future hair care needs. Our San Francisco based
operation will focus on quality that is affordable, mobile, and multipurpose.

Code of Ethics
Respect
Rush Inc. takes respect seriously and will treat all employees, vendors and customers with
respect. It is a foundation for good business. At Rush Inc. all individuals will have the ability to

voice their ideas, opinions and concerns that they feel will help improve the companys
operations.
Responsibility
Rush Inc. takes responsibility very seriously and will take responsibility for the actions it makes
as a company. Each employee will take responsibility whether it is from a team standpoint or as
an individual. Responsibility for company actions will allow for our company to be trusted by
others which is important in business transactions and building relationships with customers,
vendors and businesses.
Integrity
A main guideline for Rush Inc. is integrity. Rush Inc. will operate on a daily basis with the
highest standards while being honest to the company, customers and vendors. Integrity is a
characteristic that can build relationships between customer and other businesses which is
important to the success of the company in the long run. All employees, partners and customers
are to act in a professional manner and report to a higher authority that may be considered illegal
or unethical practices of business. Rush Inc. will not punish or retaliate toward any faculty
member who announces a problem or concern. At Rush Inc. any concern brought to attention
will be looked at and examined and resolved if needed in an effort to keep the company name
and reputation upheld to high standards.
Environment
Rush Inc. complies with all environmental laws, regulations and rules in order to keep the
environment healthy. Rush Inc. cares about the environment and its wellbeing.

Management Teams:
Gabby Rinaldi: Team Leader/ President/ CEO
Organization and leadership role. Prepared for each meeting with team goals toward our
business, as well as distributing and overseeing individual assignment progress of each
employee. Plans and leads every meeting and discussion; helps keep all employees productive
and on task each meeting. Designs and schedules personal deadlines for each employees
designated task and reviews individual and overall work of the company. Edits and finalizes all
potential/ probably finished projects before presented to others outside RUSH incorporated.
As a former captain of two varsity teams for two years, the demanding responsibility it
takes to lead a group of people at all times was thoroughly executed. Preparedness was not only
learned in athletics, but also serving as the Vice President of Nation Honor Society for two years.
Planning, creating deadlines, and distributing tasks is a confident skill developed when taking on
a project. Being a part of a team is strongly valued, where each member has their own set of
skills that contributes to the overall success. As the appointed CEO, the responsibility includes
recognizing each members strengths, as well as likes and dislikes and capitalize that. This skill
was practiced in athletics and academics. Organizing group work toward one goal is an important
step in the CEO position. As an employee of Quassy Amusement Park, Middlebury, CT.
Handling office work and managerial responsibilities was a significant experience. Customer
service as well as ticket sales, managing cash flow in and out, and distributing cash to all parts of
the park. This position developed understanding of the importance of team and provided a
background of managerial skills.

Kirsty Beauchesne: Marketing Director

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As Marketing Director, the position entitles all advertising, promotion, media, etc. any
piece that is considered a marketing aspect of Rush Inc. The position requires precision and
dedication to all projects.

To research all methods that contribute to the marketing plan, as

well as collaborate with other members of the managerial staff to decide on whats best for the
company. It is important to take initiative when necessary, and to understand the financial
background before thoroughly deciding on advertising and promotion pieces. Contact relatable
companies for insight, as well as vendors to get more information on what should be Rush Inc.
best approach.
With two years of marketing background in high school, the knowledge of the overall
process and meaning of this job was expanded. By continuously researching and striving to learn
more about this specific aspect of the business world and the dedication of time into making sure
Rush Inc. takes on affordable, smart, and unique decisions in the marketing plan. Being an active
member in DECA and FBLA, provided a foundation of business world and what it entails, and
increasing interest and initiative for marketing. As the yearbook editor skills on the computer
such as Photoshop and editing, templates etc were quickly learned. This knowledge directly
related to our marketing plan in Rush Inc. Upholding captain positions in high school
strengthened leadership qualities in team settings, and also, authoritative positions on making
decisions for a team as a whole. Class treasury positions provided for familiarity with numbers
and financial statements of a class. All these past experiences lead to skills that are incorporated
in Rush Inc. everyday.

Nick Landry: Director of Industry and Survey Information

Solely in charge of researching operations of the company. Handles all information

collected for day to day operations. Understands and monitors financial statements for
corporation, as well as industry transactions for manufacturing, transportation, equipment, and
raw materials for Rush Inc. Creates and analyzes survey data for company input/ feedback.
Oversees all financial movements of the company as well as the industry based materials and
location. Develops all income statements, cash flow, and balance sheet for Rush Inc.
Past experience including two years of accounting classes, providing a sole background
of financial understanding, as well as computer software to better organize this process for the
company. National Honor Society and well as the treasurer for Nation Business Honor Society
gave real world experience to accounting for a company. Also, assertive leadership roles and
understanding of the business world. Computer tools such as Microsoft (Word and Excel) were
continuously utilized in high school for extracurricular, as well as AP statistics and calculus.
These skills apply directly to the development and organization of Rush Inc. financial statements.
As an Eagle Scout, leadership and responsibility skills were developed. Knowing what
tremendous time and effort it takes, the overall dedication and responsibility one has to commit
to a project in order to result in success.

Josh Hynes: Director of Communication

Organizes and oversees all direct communication in interviews with those in the industry
or familiar with starting up a business. Handles and analyzes all contact, advice, information, etc
from interviews. Controls and monitors the positives and negatives of the hair care industry
itself. Researches all competitors, their products and actions from past to present. Analyzes all
competition and stabilizes pricing for Rush Inc. Correlates with Director of Industry and Survey
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Information to monitor operations of the company. Upholds organizational skills for all
interviews and larger competition in the hair care segment of the industry.
Captain positions in the past provided assertive leadership roles used when developing
strategies for the corporations and making decisions for day to day operations. Lifeguarding
provided skills such as dedication and attention to detail that relate directly to the analytical skills
needed for communication. Accounting and Personal Finance offer a background of
understanding to the financial demandings of Rush Inc. Background in work experience and
academics give a well-rounded skill set for analyzing communication and making assertive
decisions that affect the day to day operations of the company.

Kayla McGrail: Operations Director/ Team Scribe

Records all progress at each executive meeting and evaluates each top manager on their
contribution and input to general meetings. Develops solutions to day to day problems involved
in operations, finances, and ground floor employee training. Organizes all training sessions for
factory workers and is fully in charge of the hiring process. Upholds high responsibility for lower
level workers, as well as evaluates their precision and progress monthly. Reviews all machines
and equipment on a day to day basis; checks for safety concerns and cleanliness at each work
station. Coordinates with fellow managers over financial transactions made for the company and
researches the most efficient and cost effective steps Rush Inc. should take.
AP Accounting, Marketing, and DECA all provided a foundation for business experience.
Familiarity with handling a companys money, how to market products, and how much to spend
was learned through these three experiences. Also, waitressing teaches skills such as striving for
success while under pressure, customer service, and a busy lifestyle that compliments the reality
11

with a startup business. The skill to think on your feet and problem solve is necessary in this
business. These skills were also demonstrated as a former captain in high school. Responsibility
and dependability are expected of one that holds this position. These abilities are utilized when
the expectations are heightened when becoming an Operations Director of Rush Inc.

Legal Structure
Rush Incorporated is a business that is new to the hair care product industry. Starting in any
industry as a small company there is a large risk that is taken to try and become successful. In
efforts to decrease the risk our company decided that it would register as Rush Incorporated. By
becoming incorporated, personal assets of original owners and investors is protected best. In a
business that is just starting, capital is extremely important to access the materials you need to be
successful; by choosing to be incorporated the company has easier access raising capital. In
many cases, a bank would lend to a company who is incorporated rather than an unincorporated
business. Inc. adds a sense of credibility to the company name while also showing that the
company is interested in long term success. Corporations are the longest lasting legal structures
of business. Incorporated companies have the ability to continue indefinitely, even if there is
something that happens between shareholders, managers, and officers.
The way that incorporated businesses are taxed helped make the decision for our company easy.
Incorporated businesses are taxed based on their profits. Profits can be reduced in several ways.
Being a new company and trying to get the word out about the product, it is expected that the
marketing and advertising costs will be high in order to attempt to make the product noticed. All
advertising and marketing costs, and also other operational costs, can be used towards reducing

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taxes. Another way to reduce total profit of the company is able to provide healthcare benefits to
employees, helping the employee and the company at the same time. Big tax breaks are
important to companies and being incorporated allows for businesses to deduct salaries and most
other expenses. Being incorporated allows for companies to pay fewer taxes on income
compared to other legal structures.
There are many overall benefits of being an incorporated business. For instance, assets are
protected better than any other legal structure. The access of funds is much more at hand this
type of structure because there are more investors and possibilities of stocks to be sold. When a
company is incorporated they are considered more credible and trusted; the Inc. adds more
structure and security to the name. In this structure the company can continue business
indefinitely, it does not matter what happens to the owners or stockholders over time because the
power has the ability to change hands and keep the operation successful. A large benefit of a
small company becoming incorporated is the tax benefits that come along with the structure.
Rush Inc. has chosen to become an incorporated company because it is new to the industry and
there are many benefits of choosing to operate under this legal structure.

Risk Management
Opening a business always has the potential to fail, and with failure comes loss. The owners
know that opening a business involves risks, or losses. Our insurance policy is going to be
through State Farm Insurance. Coe Bancroft, a State Farm representative, assisted Rush Inc. in
receiving a quote for insurance. We would need to provide our employees with workers
compensation in case they were to get injured on the job.i The price of the workers compensation
is based on two factors, what type of business we are running and our payroll. The insurance
13

policy for the business would be the business policy premises. This policy would cover product
liability, insure machinery, and business personal property. For the cost of this insurance policy
it depends on how much of everything our business owns costs. If we were to burn down and
needed to start over from the beginning, how much would that cost us? Coe Bancroft said he
could provide an estimate on what he believed this would cost; however, he couldnt be one
hundred percent sure. He said based on the information he believed our insurance cost would be
around three million dollars total. We would make monthly payments based on that cost. He also
said that would be if our business made sure it minimized all the risks possible for our employees
and our business location. We would need to insert sprinklers in case of a fire and make sure our
machinery is safe at all costs for our employees. Also, the insurance agency would look at the
material our location is made out of to see how high the risk is of it burning down. If our
building is made out of steel or concrete there is a lesser chance of it to burn down than if it were
made out of wood.
There are many different types of risks, some that can be controlled easily and some that
unfortunately cannot. The risk to personnel is a very important risk that the owners need to be
educated on. If one of the owners dies, our company does not plan to replace them. We will
evenly distribute that individuals work to the four remaining owners; however, if more than one
owner dies we will replace the ones who passed away. That will not be a huge cost because the
person who is hired in place of the person who passes away will receive the same salary that the
person before them did. If one of our full time employee dies while working, we plan to give
their family a certain amount of money and the salary that employee wouldve received. We will
also pay for the funeral expenses for that person. The funeral expenses for that specific employee
would be located in our miscellaneous expense on the income statement. Our company wants to
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treat our employees with respect and show them that they are cared for. The risk to assets is also
another important one. The biggest asset the owners have risked is the money they received from
friends, family and fools. If the company were to fail, the money borrowed from relatives and
friends would have to be repaid to them somehow. Also, if the company were to sell, we would
have to be able to sell the trucks and the location of our manufacturing because the company
pays for those assets monthly. Otherwise, the insurance policy covers the rest of our assets from
our homes in case we were to get sued. They could only take from the business, not our personal
assets. The risk to administration is the risk involved with supervising the organization. This risk
is high because we have 20 full time employees and 5 of them are working on the product line
itself. The supervisors of the manufacturing of the product need to make sure the machines are
safe and working properly because if they arent, the employees are in danger. If one of the
employees were to get injured due to a machine not functioning properly, the company would
most likely get sued and lose the case. Its the supervisors responsibility to make sure everything
in the manufacturing process is going smoothly. The business fluctuations risk is a risk that cant
be controlled similar to the past three risks. Business fluctuations are things like price changes,
market fluctuations and differences in demands. The company has a plan for events like this. If
our product is not being bought due to a high price, our company will launch a sale of 10% on
our product to increase sales and in the end increase revenue of our product. Another risk that
cant be controlled is risk due to competitive activity. In our initial opening, the company is not
worried about competitive activity because there is no product on the market exactly like our
own product. Not one product combines a compartment in the head of the hairbrush and on the
handle of the hairbrush. The company plans for look-alike hairbrushes once the product is out on
the market and is profitable; however, our company will be going full speed by that time. We

15

plan on making different hairbrushes with the same design for dogs as our first initial target
market of expansion. The risk with opening a business is very high; however, if the company has
a decent plan and knows the risks they are faced with; the risk might not be so high after all.

SWOT Analysis
Strengths
1.The hair care industry is continuing to grow; in 2010 there was a 3% industry increase. The
whole industry worldwide was worth $49 billion in 2010. In the U.S alone it is worth $7 billion.
Projections estimate that the industry is to reach $58 billion worldwide by 2015. If the industry
were to increase to $58 billion that would be an 18% increase in 5 years (Hair Care Products
Industry).
2.

Shampoo is the biggest money maker in the market, consisting of 40% of total sales. This

is worth $2 billion in the U.S. Since our product combines a hairbrush and shampoo we are able
to penetrate both sections of the industry.
3.

Our product has a strong target market. Our product is ideal for traveling women and

college students in the San Francisco area. San Francisco is the 35th most visited city in the
world and is the second most densely populated city in the United States, making for a large
number of potential sales.
4.

The In A Rush Brush is ideal for travelers and students living in small areas because it is

convenient and a space saver. The storage compartments allow for essentials to be stored
conveniently and saving room which is important in a carry on or a toiletry caddy for a dorm.

16

5.

Purchasing the raw materials in bulk, and purchasing the proper machines production

costs are low for this product. The wholesale cost for this brush will be $8.00 and it only costs
$.035 in raw materials. Leaving $7.65 to cover overhead and create a large profit per brush.

Weaknesses
1.

Starting a production process is expensive and breaking even can take time.

2.

Penetrating the market with a new name to the industry tends to be much harder than if

paired with a name brand product.

Opportunity
1.

In a Rush Brush has created a more efficient style hair brush that combines brushing and

storage in one unit. This brush and storage combination allows for consumers to save space
while being effective.
2.

In a Rush Brush is American made. Almost 80 percent of Americans said they would

rather buy an identical product that was made in the USA compared to a foreign made product,
creating a large target market.
3.

Partnership opportunity is a possibility for the In a Rush Brush because the product uses

shampoo and conditioners and a potential company could join Rush Inc. to combine products.

Threats
1.

Rising cost in raw material price will increase the overall production cost, therefore

increasing the total cost as a whole.

17

2.

Although there is no company that creates a product that is the same there are many other

hair brushes created by other companies.

3.

Increasing gas prices increase the transportation cost which will lead to the mandatory

increase of product price.

Marketing Analysis and Strategy
Target Market
For our multipurpose hairbrush we decided to focus mainly on women, both college students and
travelers. In San Francisco there is about 33,400 female college students. This market is large
enough to reach this demographic as well as those business travelers coming in and out of the
city. Just in 2012 San Francisco welcomed 16.5 million business travelers. Although our
hairbrush can be used by everyone, our main focus was from the ages 17-50. In San Francisco
alone, women between the ages 20 and 40 make up 25% of the population. This percentage
giving our company a high market to reach, especially when extending to 17-20 which includes
the 33,400 female students attending college in this city. Also in 2012, travelers spent $8.9
billion dollars on local business. With the hair care industry expected to rise, and the constant
travel and interest in the city, it eludes to a promising target market for our product. We target
middle class women, thus allowing our product to reach budgeting college students as well as
females that average a salary of $75,000 in San Francisco. ii
In our research we found that the children population was declining since 1960, where it was the
last time children made up a quarter of the population. According to statistics presented to a
special hearing of the Board of Supervisors on Thursday, San Francisco has the lowest
percentage of children of any major city in the country. Only 13.4 percent of the city's
18

approximately 800,000 residents are under the age of 18. This declining number gave a reason
for our company to stay away from this specific demographic. The children population was not
large enough, and too widely spread across this city to reach and target in a successful way.
In the future we do hope to expand to the canine industry because San Francisco has the more
dogs than children aspect to their city. There are an estimated 120,000 dogs in San Francisco,
according to the city's Animal Care and Control department. While there is anywhere from
108,000 to 113,000 children, according to U.S. census figures from 2000 and 2005. This ratio
interests our company in the possible future as a dog care product.

Competition
There were not any direct competitors through on campus student team or any products in the
hair care sector, however there was one specific product that could be worth looking into. The
item that was created to suction to the shower wall and hold bathroom products. Similar to our
product, this item was invented to ease the heath/grooming process. They have a strong idea,
however they did not provide many reasons as to what separates their product from similar items
already existing on the market. Though we are not in direct competition with them, we have
discussed a potential partnership in the future or purchasing their product patent to expand our
Rush brand.
There are many standard hairbrushes created by many respectable companies that have strong
records in the hair care industry already. However, though hairbrushes come in a variety of
colors, shapes and sizes, no other brush is quite like ours. In addition, the few unknown
companies that do make hairbrushes with compartments do not have exactly what we do. Our
individual shampoo and condition packs that are dispensable through the head of the brush sets
19

us apart. Also, the magnet space in the handle to hold hair clips and bobby pins does so as well.
Our direct competition is not known by consumers and has not properly marketed themselves so
that the everyday shopper would be aware that their product existed. Since the similar products
are so unrecognized, In-a-Rush Brush can easily be introduced to the market as a brand new idea
and get immediate attention from consumers. Most have never seen a multifunctional hairbrush
and we are sure that they have never seen one that offers all of the innovations that ours provides.
The first couple companies to come up with the idea to add compartments to hairbrushes were
equipped with a strong design, however they have not marketed correctly. Our product will be
successful against these unfamiliar items and will be promoted to the correct audience in order to
get the idea into the public and well known by the everyday consumer.

Benchmark
We have chosen to benchmark our company after Pantene, which is currently owned by Proctor
and Gamble. Pantene is a billion dollar, popular brand which is known for their recognizable
image created by strategic advertising campaigns and their products which are preferred
compared to their competition. Pantene was introduced to the hair care market in 1945 in
Europe, originally owned by Hoffman-LaRoche. The company soon entered the United States in
primarily high end stores like Saks Fifth Avenue and Waldorf Astoria. Their gold cap bottles and
Dont hate me because Im beautiful campaign throughout the 70s and 80s made the company
better known and allowed the ability for great expansion. After becoming global in the early 90s,
they soon hit the billion dollar brand mark. Today, Pantene is focused on creating specialized
products for specific types of hair structure, making the consumers specific needs important to
the company and creating an even stronger connection with the individual customer. iii

20

In terms of customer service, it is extremely easy to get in touch with Pantene representatives
with questions or comments through email or phone. All contact information is listed on their
website. Similarly, our contact information and location are easily found on our website and
there is a simple to fill out contact form on the site itself. Our logistics will be different from
Pantene since they sell directly from their company and from other stores, unlike Rush
Incorporated which is only selling our products from retail stores. In terms of product, Pantene
focuses their products around the customer and what they specifically want and need. Our
company will listen to comments and concerns brought up by our customers and take their
opinions into consideration. If they believe that our product should be modified or we should
expand into other markets (like children or pets) or colors, we will discuss all the possibilities at
our executive meetings. Our goal is to make our products to help make our consumers traveling
experience easier by combining multiple items into one device. We are discussing expanding into
other products in the future and exploring the global market, as Pantene has. Lastly, Pantenes
efficiency is obviously much better than ours, however they did not greatly increase mass
distribution until they spread to the United States. Once our business expands past San Francisco
and goes national we will also increase distribution and production. It took Pantene 40 years to
make this large step with distribution, however we would like to attempt to move past San
Francisco within the first five years.

Advertising and Promotion

Our product will be originally be available in three colors: black (24.7%), blue (16.9%) and
purple (14.4%). Those choices were decided upon based on our survey results, which concluded
that those were the most popular colors that potential customers would like to see our product

21

featured in. Also, our target market is women and those three colors are commonly used when
advertising towards that gender. Since other colors, like white and red, were almost as popular as
the top three that we have decided on, we will consider expanding into more color choices in the
future.
The In-a-Rush Brush packaging will be different than many other products in the broad hair care
sector, however similar to many of our direct competitors. Many companies that produce hair
brushes have chosen to use stickers or thin cardboard to wrap around the product instead of
bulky packaging. This decision saves the company and allows the consumer to feel the grip, the
bristles and examine the brush thoroughly. We have chosen to place a neon green sticker around
the handle that will stick off and have the brand and product name in bold black letters and an
arrow pointing towards the bottom, magnetic compartment and urging the consumer to open it.
There will also be a second similar sticker on the back of the brush with shampoo and
conditioner written in the same font and another request for the customer to open the
compartment. Our magnetic space and dispensable shampoo and conditioner are what sets out
product apart from the competition, therefore the consumer must be able to easily see the
innovations we have made when scanning their eyes over the hair care display. The consumer
should be able to fully understand the advantages to our brush and by placing it next to the
simple, ordinary hair brush competition in the stores it should stand out. The color green is
associated with health and wellness, while the neon shade will attract attention. Since our
product is expected to usually be a spur of the moment purchase, grabbing the consumers eye
while they walk the aisle is a very important goal of our packaging.

22

We are planning to use two types of promotion. The first type of advertising that our company
will be doing for our product is bus bench ads. We will be purchasing advertisement space on
city benches in the San Francisco area for a variety of reasons. Not only is San Francisco the
35th most visited city in the world, but it is also the second most densely populated in the United
States. Therefore, public transit and foot travel are the most common types of transportation
throughout the city. Bus benches are places in hundreds of places around the area, however we
chose to begin our ad on ten strategically chosen stops. All of the stops that we chose are within a
couple blocks of large stores that will sell our product, like Walgreens and Target. These stops
are also all on high traffic streets in San Francisco, therefore many people will see our
advertisement every day. For example, The Westfield San Francisco Centre, an extremely
popular mall, is located on the corner of Market Street and 5th which is one of our ten chosen
locations. The ten locations are as follows: Market and Battery Street, Market and Kearney
Street, 4th and Market Street, 5th and Market Street, 6th and Market Street, 7th and Market
Street, 9th and Market Street, Market and Gough Street, Market and Laguna Street, Market and
Buchanan Street and Market and Dolores Street. We will start this advertising method the first
week of May, since that is when summer tourism begins to increase and foot traffic is heavy, and
continue purchasing four week slots through the first week of September. We will purchase our
bench ad space again starting the third week of November through the first week in January, to
reach the max amount of holiday tourists shopping in the city. These particular advertisements
cost between 75 and 500 dollars per bench, per four week period and we must have a minimum
of ten bench ads going at each time. The price of the space increases depending on location and
popularity of route, therefore we are expecting our costs to be closer to the 400-500 range per

23

bench. Which would mean that our first year cost total for ten benches and approximately 28
weeks worth of space would come to 35,000 dollars.
The final kind of promotional advertising that we have chosen, is to purchase taxi topper space.
Similar to the bus benches, taxis are commonly seen throughout San Francisco and commonly
used by travelers. The company that we plan to work with is Yellow Cab because they have more
taxis in San Francisco then the next four biggest cab companies combined. Not only are taxis
constantly driving and parked throughout San Francisco, but Yellow Cab serves approximately
30,000 passengers per day. The average size for a taxi topper advertisement is 48 inches by 14
inches and we plan to use the same ad for both the toppers and the benches. The toppers cost
between 200 and 500 dollars per ad, per four week period.iv We must purchase a minimum of
five at a time and we will attempt to place our ads on the taxis that frequent the downtown
shopping area. The four week time slots that we have chosen to run the taxi topper ads are the
same as the times for the benches, since our target market is most likely to be around the city and
see both advertisements the most at the same times of the year. The price is expected to be less
however for the taxi advertisement space per year because we are only forced to have five spaces
at a time, instead of ten.v Therefore the total cost should be between 17,000 and 18,000 dollars.

The exposure that is most important for our product is that on the streets of San Francisco and in
the locations in which our product is being sold. We are aiming for our item to be more of a spur
of the moment purchase, rather than one that a buyer plans long term ahead for. If the consumer
sees the product on a bench or taxi advertisement and then decides that they need the product or
are interested then they will be blocks from a Target or Walgreens that holds the In a Rush Brush.
In addition, at the airport or transit station the customer will hopefully be drawn to the neon tag

24

on our product in the aisle and make the purchase. The goal of our promotionally strategies are to
make the traveling woman aware of our product and see it in multiple locations so that the idea
for the item is in their mind and recognizable if they see it in a retail environment.
Popular hair care companies with similar products must use their brand name and recognition to
get customers to choose their specific item over another. However, consumers do not need to
believe in our company or product, as much as they need to be intrigued by it. By creating a
product as innovative as ours we are hoping to attract the customers attention and get them to
want the item. Our hairbrush will perform the common functions just as well as the other
hairbrushes on the market, however our dispensable shampoo and conditioner, refill packs and
magnetic compartment are what set us apart. Our creative innovations, advertisements
throughout the city and bright tags on the products will provide as much exposure as necessary to
get consumers to our product.

The permission that you need to participate in both bench ads and taxi topper ads involve a
similar process. Once making contact with the companies that sell the advertisement space, we
will give our design to the company and they will need to approve it. After that is approved, we
will discuss how long we would like our ads to run and what times of the year and then go over
pricing. Finally we will sign contracts and pay the companies for the advertisement space. The
representatives from the exact contacts did not reply to our information requests. However the
website with these two advertising types have links for interested businesses to contact the
company and design the advertisement, therefore we inferred that this would be the process.
Competitive pricing strategy

25

Our IN-A-RUSH BRUSH is meant to be affordable and appeal to a variety of ages. Expectation
of our product include impulse purchasing for many of our customers at the introduction stage of
our business. Therefore, competitive pricing was the main logic behind our products chosen
pricing strategy. Because we decided to target a niche in the market, we used competitors to
range our price, so it doesnt appear low quality or too expensive.
Our products price also had to be determined after considering the cost it takes to manufacture
it. Using raw materials in our production we were able to keep costs down. Our raw material cost
with everything included is $1.08 per hair brush. The wholesale price for each brush will be
$8.00. Our suggested retail price for the In-A-Rush is $15.99. This price allows plenty of room
for our company to make a significant profit that still covers overhead expenses. This price
allows for a fair margin of profit. Refillable packages for our product will cost $3.00 wholesale.
Raw material cost for the shampoo and conditioner packs is $.94 cents. To help keep the price
low our company decided that buying in bulk would be much cheaper. Shampoo and conditioner
is available in 220 gallon drums. A drum of shampoo costs $1,890.99 and conditioner costs
$2,937.25. To complete the package we will use 13.43 cents worth of shampoo, 20.86 cents of
conditioner and then .50 cents for the plastic. All of these add up to the total raw material cost of
$.94 cents.

Product and Service Design

The In a Rush Brush is an adaptation of the everyday hairbrush. We have changed the product by
adding a magnetic compartment that holds bathroom essentials like bobby pins, hairclips and Q
tips. Also, the back of the brush has a space for shampoo and conditioner packets, which will
26

easily dispense through the top. The brush is average size, about ten inches in length and the
head of the brush is about 4 inches wide. The goal of our product is to make the traveling
experience easier for the worker, visitor or vacationer in San Francisco by compacting all of their
shower/beauty necessities into one simple to use compact brush. A last positive of our brush are
that the items within the magnetic space will not rust in the shower because the compartment is
waterproof.

Location

The location we chose is 1330 25th Street, San Francisco, California. This location is
approximately 7,886 square feet. This location costs $1,850,000. We chose this spot because it
combines the office space we need and the space necessary to fit the machinery. We chose to rent
this location because it will save us money in the initial opening of our company, but we will
consider buying the property ten or twenty years down the road. This location does not put
restrictions of any type (1330 25th Street). 25th Street is not a one way street and is very close to
the Great Highway. Its also within ten miles of two train stations, West Portal Station and Forest
Hill Station. This location is also not far from the University of California, San Francisco. This
will also make delivering to colleges much easier since our location is convenient. Our trucks
would have no issues getting to and from our location. One negative part of our location is its
close to the coast making it very close to beaches. During specific seasons, like the summer, the
27

traffic will be a little heavier because many people will be going to the beaches. Also, its within
five miles of the Golden Gate Park which will also increase traffic flow during vacation times or
summers. The traffic flow will increase during these times because there will be plenty of
tourists visiting this location and the beaches, as well. vi
We need to buy our equipment to manufacture our product. One machine is the plastic melter and
transfer machine which costs $12,000. This particular machine is a giant drum thats kept very
hot and melts the plastic preparing it to be molded. The transfer part of this machine is capable of
holding the hot plastic and transfers it to the next machine. Another machine is the injection
molder which costs $20,000.vii The injection molder takes the hot plastic from the transfer
machine and puts the plastic into the mold. The molds for our product are $2,000 each. The
molds are a form of the hairbrush and the plastic goes in them to harden into the shape we want
them to be. The plastic extruder is $1,000 which makes the bristles for the hairbrush. It takes the
melted plastic and creates a long strand of plastic thats 1/32 of an inch thick.viii After those long
strands of plastic are formed, the bristles have to be glued into the hairbrush. Finally the packet
making machine costs $67,755. The packet making machine has two layers of plastic and it cut
and seals the plastic into pockets that will hold the shampoo and conditioner thats going to go
into the compartment in the back of our hairbrush.ix We can have this machinery shipped to our
location. We will purchase three or four forklifts to help move the plastic when it is delivered to
our location. As the business owners, we decided we would not need to relocate. We decided to
hire people who live close to our location to run the manufacturing lines. We can fill out the
necessary paperwork and run the bookkeeping part of our business from our current locations.

Industry Trends

28

In 2010 the hair care product industry had an expansion of 3%. More than 15 billion units were
sold generating $49 billion.x This market is continuously growing and is projected to reach close
to $58 billion by the year 2015. If the market reaches this goal that means that there has been a
19% increase of growth since 2010. During the downfall of the economy the industry sales
remained stable even in the hard times. However, instead of purchasing the expensive top brand
names more customers purchased basic and generic brands. Shampoo is the leading global hair
care product, close to 40% of the entire market is based off of shampoo sales. Procter & Gamble
is the largest company in the hair care industry with more than 24% of the market share. Other
major companies and competitors include LOreal and Conair. Industry giants such as Proctor &
Gamble, LOreal and Unilever have created a large industry and also take a majority of the
market shares combined.
The industry is being dominated by women currently. However, men products have been
emerging and been consumed more now than before. The younger generation has been
purchasing more than generations before. More males in the new generation purchase styling
products to help them with their hair needs. With mens products entering the industry there is a
greater potential for the market to grow because there is now more chance for opportunities.
In the world today hair products and accessories have become a daily part of our lives. Shampoo
and conditioners, gels and sprays, color and growth products, combs and brushes all fall under
the hair care industry. In the hair care industry many customers believe in brand loyalty. It is
important to attract customers from the start because often times many stay with the one brand
they have used for a long time rather than changing brands and types. Word-of-mouth is a way
that sales are improved. Customers are more likely to tell their friends what hair care products

29

they like and work for them. Over 50% of customers say that they take personal
recommendations from friends much more seriously than a celebrity in a commercial.
In this industry brand loyalty is extremely strong and important to customers, making it difficult
for new products to enter the market. An effective way for companies to attempt to enter the hair
care industry with a new product is by providing free samples of their product. This allows for
potential consumers to test the product more willingly. If a sample is free a customer is more
likely to give the product a try rather than if they were to have to pay for it. Companies advertise
free samples often in magazines in small single use pouches. This technique to try and introduce
their product is often effective and gives them consumer feedback so that a product can be
adjusted.
The hair care industry is evolving and growing rapidly. There are many styles of brushes and
different types of brushes for different types of hair. The industry is evolving to fit all hair styles
and needs, from men to women. Industry giants such as Proctor & Gamble, LOreal and Unilever
have created a large industry but many small companies and products are able to get some of the
market that is available

Operations Plan
Human Resources Plan
The ten new lower level employees we are hiring will go through training and evaluation at the
work location for a five day period. We feel On-the-Job Training is the most effective and
realistic way to train employees for their position. We will cover all safety concerns and proper
30

equipment use. This version of training allows the employees to learn by following the example
of each executive manager. By observing and performing, it increases their productivity more
quickly and the overall success of the company.
The Director of Communications will supervise and guide all lower-level employees of Rush
Inc. This associate will act as a direct mentor for these 10 members. Networking and creating
strong relationships between all levels of employment is highly important to the company as a
whole. Because the amount of staff is small, interaction and familiarity between each and every
member of Rush Inc. is encouraged. Therefore, any question or concern can always be discussed
with any of the five top executives.

Performance Appraisal:
As defined, performance appraisal is an evaluation that measures employee performance against
established standards in order to make decisions about promotions, compensations, training or
termination.
1) Establishing Standards
a. Punctuality and consistent attendance is expected of all employees. If you plan to
be absent, late, need to leave early or if an emergency arises, notifications to a
company manager as soon as possible is expected. 98% attendance rate, excluding
two week vacation and holidays, is anticipated of all members of Rush Inc. at all
levels.

31

b. The 1 hour lunch break requires all employees to properly shut down and use
safety checks between 12PM-1PM. All lunch breaks will be considered included
in your work day, therefore no clocking out is necessary because it is a paid time
period.
c. Sick and Personal days are not paid due to the clock-in method. Vacation days
are paid for the 10 day period given to each of the 10 employees. It will be a set
rate based on the average 40 week period of $18.00 an hour.
d. Abiding by all policies pertaining to discrimination or sexual harassment as well
as vulgar language and attitude. If necessary disciplinary actions such as
suspension, a requested leave of absence, and termination will be acted upon.
e. Dedication and attentiveness to given tasks and machines while on the clock.
f. Constant communication with supervisors/ managers about concerns, issues, and
progress.
g. Cleaning all machines and equipment in designated work stations before exiting
the facility at the end of your work day.
h. Complete all safety checks on your work station. Check equipment, machines,
doors, floors, computers, etc. before exiting the facility at the end of your work
day.
i. Access the internet only when advised to, or necessary, for work related action
only. A zero tolerance policy is held for employees using the internet for sexual

32

content, to access personal accounts, social media, or soliciting of any kind. These
actions will immediately result in a suspension of internet access.
j. The 5 executive managers of Rush Inc. will not be taking any form of payment for
the first until the break even analysis is reviewed after the first initial year.
k. Other fringe benefits behind paid vacation and breaks will not be included in the
first 5 years of this companys operation. Pension plans, health benefits, and
possibly sick-leave pay will be revisited and re-evaluated after the 5 year period
by all 5 executive managers.
2) Communicating Standards
a. Located in Employee Contract is the entire performance appraisal.
b. The CEO will hold record to all read and signed contracts for proof when needed.
3) Evaluating Performance
a. One of the 5 executive managers will observe once a month on a walk around the
ground floor (manufacturing) of Rush Inc.
b. They will record all approved and disapproved actions, any substantial errors that
needs to be addressed.
4) Discussing Results with Employees
a. At the closing of each month each of the 10 lower level employees will meet with
all top managers to discuss the work theyve done. They will applaud any
extraordinary work and address concerns or issues if need be.

33

b. If 3 safety violations of found with one employee they will be placed back into
training. Further disciplinary actions will be taken such as suspension or
termination if these safety concerns rise a second term.
5) Using Results to Make Decisions
a. Further compensation such as promotions will not be granted within the first 5
years of Rush Inc.
b. The process of promoting in sense of a raise will have to be initiated and
discussed by all 5 executive managers. This process is not impossible, but very
improbable for the first few years of the company.

Inventory Plan
Our materials are coming from five different vendors. We will get our ABS plastic from Pujiang
Richwell Commodity Firm. Plastic comes in the form of pellets at a cost of $850 per ton. The
company is located in Zhejiang, China so the plastic will be shipped via cargo ship to San
Francisco where our factory is located. At the dock, a truck will pick up the shipping container
and deliver it to our factory.
We also have a magnetic strip vendor. Magnetic strips are purchased from My White Boards in
100 foot rolls. Each roll costs $50 and is shipped strait from My White Boards to our factory in
San Francisco. When they arrive at our factory, they will be either stored or put into production.
Our PVC plastic sheets are supplied by Shenzhen Xiongyihua Plastic Insulation LTD. The
sheets come in the form of rolls and cost $50 per kilogram. They are shipped via cargo ship
34

from Guangdong, China to San Francisco. The PVC sheets are used in the FIABMEDIC
machine to make the shampoo and conditioner packets.
Our shampoo and conditioner comes from Bulk Skin Care. They come in 220 gallon totes which
cost $1890.99 for shampoo and $2937.25 for conditioner. The totes are shipped via LTL Freight
on a truck to our factory in San Francisco.
Our final vendor is Shanghai Shida Printing Co. who makes the stickers used to package our
product. Stickers cost 1 cent each and are shipped by the 1000 directly to our factory in San
Francisco. The stickers come printed and customized to be the wrap used to package our
product.
Raw materials are stored in our factory until they go into production. All of our raw materials
can be stored at room temperature, so no special temperatures are required. Stickers, ABS plastic
pellets, PVC plastic sheets, and magnetic strips will not go bad. However, shampoo and
conditioner will expire after 18 months when exposed to oxygen or 3 years if left unopened.
Although the shampoo and conditioner will smell fine initially after expiration, the chemicals
inside that clean your hair will no longer be able to react. Therefore, the product would not hurt
you if you use it, but it also would not clean your hair. According to the FDA, we are not
required to put an expiration date on our product.xi Releasing faulty shampoo and conditioner to
the public would be bad for our companys reputation. Word of mouth is very important to the
beauty industry so any shampoo and conditioner that has been stored for ten or more months
must be discarded. Since we plan to use the just in time inventory system, things should not be
stored in the factory that long anyways. We do not plan on allowing any shampoo or conditioner
to expire.

35

We will order more materials when we are running low according to our just in time inventory
strategy. When we are down to 2 tons of ABS plastic, we will place an order for more. While 2
tons of plastic is a lot, our plastic supplier is in China so we must allow enough time for it to
ship. If we run out of ABS plastic, hairbrush production would come to a halt costing us a lot of
lost revenue. We will also reorder PVC plastic sheets when we are down to 2 tons. The PVC
plastic sheets are also coming from China and would need an equally long time to ship to us.
Having this much plastic on hand should allow us to make tens of thousands of brushes and
shampoo and conditioner packs until we run out. We will order more magnetic strips when we
are down to 10 rolls. 10 rolls will allow us to make 12,000 brushes before we run out of
magnetic strips. The rolls of magnetic strips will take less time to ship because they are sent in
the mail and delivered strait to our factory. We will order more stickers when we are down to
20,000 of each. This allows us to make 20,000 brushes before running out. These are being
mailed from China, so they will take less time than the plastic to arrive, but more time than
magnetic strips. Finally, we will order more shampoo and conditioner when we are down to 440
gallons of each. These are being shipped within the United States by truck, so they will take
longer than mail, but not as long as being shipped by a boat from China. This will allow us to
make 28160 packs before running out.

Operating Procedures, Design, Layout, and Production Process

The In a Rush Brush is made by several methods of manipulating plastic. Acrylonitrile
Butadiene Styrene (ABS) plastic arrives by the ton in the form of plastic pellets. ABS plastic is a
type of thermoset plastic, meaning, that when melted down, it will cool and form into a hard
state. This is the same kind of plastic that LEGOS are made of.xii The plastic pellets are then

36

poured into a 120 gallon industrial plastic melter. Once melted, the plastic flows into a transfer
machine that transfers the melted plastic into an injection molder. After being molded and
cooled, a hairbrush structure is completed. Considering the brush is two pieces, these pieces will
be molded separately. One piece is the head of the brush that approaches the handle, while the
second is the handle itself. These two pieces screw together and enable us to form the
waterproof compartment. The plastic pieces then fall into a custom JTE machine.
The bristles are also made of ABS plastic, however, they are formed through a different process.
For this specific process, plastic is melted in the same way, but is transferred to an extruder
rather than the injection molder. The extruder creates a long cylindrical strand of plastic that is
1/32 of an inch in diameter. Then, the strand feeds into a custom JTE machine.
To create the shampoo and conditioner packs, our company will order a custom FIABMEDIC
machine. This machine involves several sub-processes. First, the automated machine takes two
thin sheets of flexible plastic and simultaneously cuts, and heat seals the two sheets together,
creating the packet. These packets are then filled with either shampoo or conditioner. To do this,
we will use an integrated plastic transfer machine. This machine can transfer any liquid under a
certain temperature, thus, dispensing shampoo and conditioner will be a simple process. The
device dispenses a customizable and consistent amount of the liquid at intervals. The filling
process takes place on the FIABMEDIC line. After the packs are filled, they continue down the
conveyor belt where the ends are sealed to prevent product from leaking out prematurely. At this
point, some shampoo and conditioner packs will be set aside for individual sale while the rest go
into the custom JTE machine. Stickers are custom made with our design and shipped ready for
application onto our product. Each sticker costs us precisely 1 cent and go into the custom JTE
machine.
37

The custom JTE machine first takes brush handles and places a 1 inch adhesive magnetic strip
inside. After this, the machine screws together the handle and head of the brush. Meanwhile, it
cut the extruded plastic strand into 1 inch lengths. Each 1 inch length has its tip dipped in plastic
to create a cap. The cap will prevent the hairbrush from scratching your head. Once the caps are
applied to the first side of the bristles, the non-capped end is dipped in hot plastic and finally
placed inside the head of the hairbrush. The hot plastic creates a more durable seal than glue and
is less expensive. Once the machine completes assembling the hair brush, it places the shampoo
and conditioner packs inside the head of the brush. Finally, the machine applies stickers to the
handle and head of the brush that serve as packaging and labeling.
Our method of distribution is selling our products through retail and convenience locations.
These locations will include stores such as Walgreens and Target. These retail and convenience
locations will help target college students who need a convenient, multi-purpose hairbrush. Our
company has two delivery trucks that will transfer our product from our manufacturing location
to the wholesale locations. College students frequently go to retail or convenience locations for
quick purchases. This will help target our target market of traveling business women who will
making spontaneous purchases. Also we will put our product into bus gift shop locations to target
another aspect of our target market. Not all traveling business women are only using airplanes,
they will also be using the trolley and buses to travel throughout the city. This helps to strengthen
the possibility of our product being purchased by traveling business women. Also, college
students will be using the trolleys and the buses to travel throughout the city during the school
year. If our product is located in the bus gift shop locations, college students will definitely see
our product and will possibly make another spontaneous product. Another spot we will sell our
product is bookstores at colleges and universities. There are twenty three colleges and
38

universities in the San Francisco area and it represents over 105,000 students which will
strengthen the part of our target market of college students. College students and their families
shop at their college or universitys bookstore and buy gifts for their family members. This will
help expand the purchase possibility of our product to college students and other traveling
families visiting their child at college or university.
In retail stores customers will be able to purchase our brush at a suggested retail price of $16.99
and shampoo and conditioner refill packs at a suggested retail price of $3.99. We will accept
returns as long as products are not used or if they are factory defective. If products meet these
specifications, we will replace the product free of charge or refund the customer depending on
their preference with no questions asked. However, if products are not factory defective, the
retailer will be charged a shipping fee unless we made an error in shipping. People wishing to
return our product to retail stores where they purchased the product will need to follow the
specific retailers return policy. We will accept color exchanges, and exchanges for shampoo and
conditioner from retailers. If we made a mistake, the exchange will be made free of charge. If
the customer made a mistake in ordering, they will be charged for the shipping. Customers
wishing to make an exchange will have to follow that specific retailers exchange policies.
The factory floor will be arranged in a way that maximizes efficiency. Plastic melting machines
will be located near the loading dock where plastic pellets are delivered. This will reduce the
amount of labor needed to get plastic flowing through the production line. Since there are two
different plastic processes, there will be two melters attached to two separate transfer machines.
One line leads to the extruder and the other leads to the injection molder. The plastic coming out
of the extruder will land on a table where it can be stamped. Following that, there will be a small
plastic melter where the bristles are dipped. Meanwhile, pieces coming out of the injection
39

molder are dropped to a separate table where the handle is screwed onto the head. Finally, the
two lines meet up where bristles are glued into the brush. The illustration below shows exactly
where the machinery will be located in our factory.

Plastic sheets, shampoo, and conditioner will arrive at a second loading dock. This is where the
FIABMEDIC machine will be located. The final packets then meet up with the brushes with
bristles where the packets are placed inside the head of the brush. The sticker printer will be
located next to the final assembly table so that the wraps can be placed on the finished product.
The final loading dock will be located next to the table where the final assembly takes place.
We will hire 10 full time employees to run the assembly line. 2 employees will drive delivery
truck and the remaining employees will run the machinery at the factory. Employees will work
Monday through Friday from 8AM to 4PM. The first months schedule will be the following.
We will not produce on weekends unless we are expecting a huge amount of sales and weekday
production is not enough to meet demand. We will also observe all Federal holidays.

DayMonday Tuesday
Hours 8AM-4PM

Wednesday

8AM-4PM

Thursday

8AM- 4PM

40

Friday

8AM-4PM

Saturday Sunday
8AM-4PM

Closed Closed

After one month of production, we will evaluate the system and consider hiring or firing
employees, rearranging the factory layout, and changing manufacturing techniques.

Management Information Systems

Rush Inc. will be using high tech services to assist with the daily operations of the business.
Comcast will provide our company with the utilities we need to operate daily. A bundle package
from Comcast will provide phone lines, cable and high speed internet. Internet speeds will be
50/10 megabits per second which provides internet that is powerful enough to run all computers.
Computers at Rush Inc. will be used for logistics, accounting, payment methods and more. On
the computers themselves we will have the Microsoft Office program installed. This program
will include word, excel, PowerPoint and email. Excel is important to the company because it
provides spreadsheets that are able to be created into graphs. These graphs are then easily
transferred to a presentation created through PowerPoint. The Microsoft Office software allows
for businesses to use programs that allow operating to be more efficient and more professional.

Rush Inc. will use Intuit QuickBooks Pro 2010 for financial management. This program is
designed to assist small businesses with managing its financial records and staying on track. This
package will offer the ability to track expenses and income sales. Also it will provide the ability
for our company to manage payroll and payroll taxes and also print company checks.
QuickBooks will provide the company with a solid financial management system.

Exit Strategy

41

Rush Inc. decided on a strategic acquisition as our exit strategy, if and when need be. This
involves another company basically purchasing our business in either cash or stock. The
company taking over our corporation has the authority to either dismiss or keep the current
management teams as well as make changes to the companys day to day operations,
employment or structure. "The benefit is typically liquidity because if you sell the company to a
strategic acquirer you might be able to sell most or all of your stock," Fitzgerald says. The
disadvantage of this exit strategy is that "you are likely to lose operating control," he adds. "The
management team may have run the company for a long time and enjoyed the freedom of
controlling day-to-day operations. Selling the company to a strategic acquirer probably means
they'll give that up."xiii Overall, we felt this was the best way to release our company when and if
we ever needed to. However, we believe in our product and do believe in its success. This exit
strategy upholds its own advantages and disadvantages, but takes the company off our hands in a
reasonable amount of time, with lacking responsibility quite quickly.

Financial Plan
We projected our sales based the results of our survey. Approximately 86% of people who
answered our survey said they would purchase our product for themselves, as a gift, or both.
Since people lie, we estimated that 15% of the people who said they would buy it actually would.
This gave us the estimate that 13% of people in our target market would purchase our hairbrush.
We also estimated that half of the people who bought our hairbrush would purchase a shampoo
and conditioner refill pack. This would be 6.5% of our target market. Our target market consists
of female college students and females between the ages of 20-40. This population consists of

42

239,866 people. Therefore, we estimate our sales include the hairbrushes and shampoo and
conditioner refill packs will be $296,240 in our first year.

Summary of Financial Needs to Start the Business

In order to start our business, we will need several pieces of equipment and machinery to use in
the production line. The chart below shows the different machines and equipment along with
their price, quantity needed, and a brief description of the unit.
Unit Number

Picture

Cost (Per
Unit)

Quantit
y
Needed
1

Description

FIABMEDIC
(Customized)

50,000
Euros
($67,755)

MPU120,
INJ102A-120V

$12,000

2 of
each

Plastic Melter
and Transfer
Machine

Thermoprene
(Customized)

$1000

Plastic
Extruder

43

Makes
Shampoo and
Conditioner
Packs

Injection Molder
(Used)

$19,500

Molds Plastic

Mold
(Custom Made)

$2000

1 for Head and

1 for Handle

100,000
Euros
($135,510)

Assembles
hairbrushes

Caterpillar
Reconditioned
Forklift

$13,199.9
9

Reconditioned
Caterpillar
brand forklifts
(actual year
and model will
vary)

E40D FRP Van

$19,000

Used Delivery
Trucks

JTE Custom
Hairbrush Assembly
Machine

(no image available because

the product is custom made
and there are no similar
machines currently made)

The FIABMEDIC machine is the machine used to make shampoo and conditioner packs.
The machine is customized to automatically make the shampoo and conditioner packs as well as
fill them with the shampoo and conditioner. This machine is the most expensive at $67,755
44

because the machine is customized to our specific needs. This machine will be bought directly
from FIAB and the price of $67,755 is an estimate provided by Dariusz Lichota, the FIAB
service coordinator.
The MPU120 and INJ102A-120V are a system that includes a plastic melter and transfer
machine. The plastic melter heats and stirs plastic to 450 degrees Fahrenheit while the transfer
machine distributes the melted plastic in controlled amounts to the next machine in the
production line which in our case would be the injection molder and extrusion machine. The
price quote of $12,000 for the bundle was provided by Brian Lowe, a sales representative from
Wanesco.
The Thermoprene is a custom made plastic extruder that will extrude plastic 1/32 of an
inch thick, the thickness needed for our bristles. The quote of $1000 was provided by a customer
service representative from Thermoprene who did not give us their name.
The injection molder is a machine that takes melted plastic and molds it into any form
that you wish to make. The price of $19,500 is the price that this machine is listed for on eBay.
The molds are custom made metal forms of our product. We will need one mold for the
head of the brush and one mold of the handle with the compartment. Both pieces will be molded
to screw together to form a watertight seal. The price of $2000 is the list price by Xiam UniMolding Trading and Industrial Company LTD on Alibaba, an international trading website
similar to eBay. The molds go inside the injection molder.
The JTE hairbrush assembly machine is a custom made machine made by JTE, the same
company that makes the FIABMEDIC machine. This custom machine finishes bristles and
attaches them to the head of the brush. The machine places completed shampoo and conditioner
packs inside the head of the brush. It also places the magnet inside the handle and places stickers

45

on the completed product that serve as packaging. The price of $135,510 is based on an estimate
made by Dariusz Lichota, the FIAB service coordinator.
Caterpillar Reconditioned Forklifts are used forklifts that have been refurbished Northern
Tool and Equipment. For the $13,199.99 listed on their website, you get a refurbished forklift
made by the company you select. We selected Caterpillar. The forklift you receive will be a
random year and model from 1997-2003 made by Caterpillar that are 2 stage with a capacity of
5000 pounds. We chose to buy refurbished because they will run like new, but we will also save
some money.
E40D FRP Vans are used box trucks that we will use to transport our finished goods to
retail stores. These trucks are used so that we can save money but still get the equipment me
need to conduct business properly. We will purchase these trucks from Ryder Vehicle Sales in
Syracuse, New York. $19,000 is the list price on the dealers website.
We will also need raw materials to make our product. The materials needed are included
in the chart below with pictures, cost, unit cost, and suppliers.

Material
Acrylonitrile
Butadiene
Styrene (ABS)
Plastic

Picture

Cost
$850 per ton

PVC Flexible
Plastic Sheets

$50 per
kilogram

46

Unit Cost
$0.1275

$0.50

Supplier
Pujiang
Richwell
Commodity
Firm
Shenzhen
Xiongyihua
Plastic
Insulation
LTD

Adhesive
Magnetic Strips
1/32 inch thick

$50 per 100

foot roll

$0.0833

My White
Boards

Shampoo

$1890.99

$0.1343

Bulk Skin
Care

Conditioner

$2937.25

$0.2086

Bulk Skin
Care

Stickers

$0.01 per
sticker

$0.02

Total Cost

Shanghai
Shida Printing
Co.

$1.08

Our raw materials include ABS plastic, flexible PVC plastic sheets, adhesive magnetic
strips, shampoo, conditioner, and stickers. The ABS plastic is what the hairbrush itself and
47

bristles are molded out of. Flexible PVC plastic sheets are what the shampoo and conditioner
packs are made of. The adhesive magnetic strips go inside the handle to that hair accessories
stay in place when traveling. Shampoo and conditioner go inside of the shampoo and
conditioner packs. Finally, the stickers are used as packaging. There will be one sticker on the
handle and one sticker on the back of the head of the brush. Combined, raw materials will cost
$1.08 per unit.
Other startup costs will include our two patents. One patent is for our hairbrush design
and the other is for our shampoo and conditioner packet design. Each patent will cost $9000
based on the type of patents we will need. There is also a $125 patent filing fee for each patent.
The rent for our factory will cost $14,965.49 per month. We chose to rent because it would be
less expensive to start up than buying the factory which would cost $1,850,000. Advertising will
cost $35,000 for one year of bench advertisements, and $17,500 for one year worth of taxi topper
advertisements. One year worth of wages will cost us $37,440 per employee. With ten
employees, we will pay $370,440 in wages during the first year. Internet, phone, and cable will
cost $164.80 per month. Our Microsoft Office package will cost us $219.99 per year. Insurance
will cost us $10,000 per month.

Putting it All Together: Summary of Finacing

Our total cost of machinery is $255,211. Each machine cost varies depending on the machine
itself. One machine is the plastic melter and transfer machine which costs $12,000. This
particular machine is a giant drum thats kept very hot and melts the plastic preparing it to be
molded. The transfer part of this machine is capable of holding the hot plastic and transfers it to
the next machine. Another machine is the injection molder which costs $20,000. The injection
48

molder takes the hot plastic from the transfer machine and puts the plastic into the mold. The
molds for our product are $2,000 each. The molds are a form of the hairbrush and the plastic
goes in them to harden into the shape we want them to be. The plastic extruder is $1,000 which
makes the bristles for the hairbrush. It takes the melted plastic and creates a long strand of plastic
thats 1/32 of an inch thick. After those long strands of plastic are formed, the bristles have to be
glued into the hairbrush. We have a machine that will do this process for us. It is called the JTE
custom hairbrush maker and it costs $135,510. Finally the packet making machine costs $67,755.
The packet making machine has two layers of plastic and it cut and seals the plastic into pockets
that will hold the shampoo and conditioner thats going to go into the compartment in the back of
our hairbrush. We are planning to put aside another $150,000 for other expenses such as utilities
and raw materials until our business becomes profitable. Our location costs a total of $1,850,000,
however we will be paying a monthly rent of $16,628.32. We have a 7% interest rate per year
and our mortgage is on a 15 year mortgage term. We chose the 15 year mortgage term because
after 15 years we plan to fully purchase our location to cut expenses once our business has
become profitable. This information was gathered by talking to Sue Frazee, a bank representative
from Peoples united bank. She directed me to an online bank calculator for monthly mortgages.
Another expense is the two delivery trucks we will be buying for $19,000 each for a total of
$38,000. These trucks are being sold used but in very good condition.xiv Also we are going to
need one forklift to lift the materials off the truck. This will cost $13,199.99. These forklifts are
refurbished which helps us save money receiving the same quality as a brand new forklift truck.
For opening day we will need a total of $489,667.63. Our capital is going to come from two
places. From gathering money from our family, friends and fools we have about $200,000. The
rest of the money needed for opening day will come from a bank loan. We will need a bank loan

49

of $300,000 and have decided to use Citibank because it is located near our headquarters and
manufacturing location. We will pay 4.4% interest for a 30 year bank loan. This will cost us
$1,502.28 per month. The owners will have to attend workshops that are run through the Small
Business Association to receive a quote from the SBA. The quote from the SBA will give
Citibank the security to loan our business the money. Before Citibank loans us the money
officially, it will need collateral from our business to secure that if the business fails, the bank
will somehow receive the money back. We are going to use the machinery we bought as
collateral and the bank will ask us to do a blanket lean. A blanket lean is when the bank uses all
assets in the business as collateral for the first few years the business is open. This gives the bank
security that they will receive the money they invested into the business back in case our
business fails.

Cash Flow

Month

December, 2013

January, 2014

Cash Flow

Reason

Decreasing

Cash flow would be increasing because people will purchase our

product as Christmas gifts. Hanukkah takes place in November this
year, so it will not factor into our December sales unless people receive
money which they choose to spend on our product. There will also be
more people in San Francisco visiting for the holidays and more people
leaving San Francisco who might want to purchase our product to take
with them on their trip. However, a huge amount of cash will be spent
on startup costs such as our factory, patents, machinery, and equipment.

Decreasing

Cash flow will decrease because people will not be shopping as much as
during the holidays. While we acknowledge people may use money
received as a gift to purchase our product and shampoo and conditioner
refill packs, we believe that this spending will still be less than the
holiday rush. There will be less travel in San Francisco.

50

February, 2014

Decreasing

March, 2014

Static

April, 2014

Static

May, 2014

Increasing

June, 2014

Increasing

July, 2014

Static

August, 2014

Increasing

September, 2014

Decreasing

October, 2014

Increasing

November, 2014

Decreasing

Cash flow will decrease because people are not likely to spend a lot in
February since there are no major gift giving holidays and there is not a
lot of tourism in San Francisco at this time.
March is just another normal month in San Francisco. There are no
major gift giving holidays, and it is not a big month for tourism.
April is not a big month for tourism. Easter will be on April 20th, but
we do not expect our product to be popular in Easter baskets. If
anything, there may be a small spike in sales due to people visiting and
leaving the city for Easter.
May is when tourism begins to pick up in San Francisco. The warm
weather will bring more travelers to the city. Our product will appeal to
traveler since it was designed with them in mind.
June and July are peak travel months for tourism in San Francisco.
More travelers means more people in need of our product. Many people
leaving San Francisco for other vacation destinations will purchase our
product to bring with them on their trip. If they already own the brush,
they will likely pick up shampoo and conditioner refill packs to take on
their trip.
July is another peak travel month. We will see sales similar to June, but
we have no reason to expect higher sales than we saw in June.
We expect August to be one of our biggest months. August is a busy
month for tourism and travel in San Francisco. This month also has
college students stocking up for their dorm rooms since colleges start in
late August and early September.
September is one of the peak months for business travel in San
Francisco. Since our main target is female business travelers, we expect
to sell large amounts of our product as more business women enter and
leave the city. However, cash flow will decrease (while remaining
positive) because it doesn't have the overlap that August has. College
students will most likely have any dorm shopping done by September,
so we will lose sales there.
October is the other peak business travel month. We expect an increase
in sales from September because the 23 colleges in San Francisco will
host parent weekends. This will mean more people traveling in San
Francisco who could use our product while staying in hotels in the area.
November is not a big month for tourism in San Francisco. Since the
Wednesday before Thanksgiving is one of biggest travel days of the
year, we expect to see a spike in sales around that day. After
Thanksgiving, holiday shopping will begin and our product makes an
excellent stocking stuffer. We will have lower sales than October
because there will be less travel overall and college students will most
likely be low on money at this point.

51

Increasing

Cash flow will increase in December because people will purchase our
product as Christmas and Hanukkah gifts. There will also be an
increase in travel with people coming in for the holidays and people
leaving to go elsewhere for the holidays, who could use our product
during their stay.

Decreasing

We don't expect any big sales in January. People just spent a lot of
money on the Holidays and will not have extra money lying around to
make an impulse buy like our product. People may spend money they
received for the holidays, or purchase shampoo and conditioner refill
packs, but the sales will be nowhere near what we see in December.

February, 2015

Decreasing

February is not a big sales month for us. Valentine's day is the only
major holiday and hairbrushes are not usually popular Valentine's day
gifts. February is also a weak month for tourism in San Francisco.

March, 2015

Static

March has no gift giving holidays and does not see much tourism. Sales
will most likely be at their lowest point in March.

Increasing

April does not see much tourism in San Francisco, however there will
be a spike in travel for Easter. People may buy our product to put in
Easter baskets, use during their stay in San Francisco, or take with them
on their trip out of San Francisco.

December, 2014

January, 2015

April, 2015

May, 2015

Increasing

June, 2015

Increasing

July, 2015

Static

August, 2015

September, 2015

May begins the busy season for tourism in San Francisco. More
travelers will be in the city with the opportunity to purchase our product.
Our product is great or people on vacation, so sales will increase as
more people on vacation purchase our product.
June is a peak month for tourism in San Francisco. With more tourists
coming to San Francisco, there are more travelers who could use our
product during their stay in San Francisco. People who already own our
brush can purchase a shampoo and conditioner refill pack to use during
their visit.
July will see sales comparable to June because July is another peak
travel month in San Francisco. There is no reason to expect sales higher
than June though.

Increasing

August is one of our biggest sales months since it a peak tourism month
in San Francisco and college students are stocking up for their dorm
room. Our product is designed with travelers and college students in
mind, so this should increase our sales.

Decreasing

September is a peak month for business travel in San Francisco. With

the female business traveler being the largest part of our target market,
we expect to see high sales. There is less tourism in San Francisco in
September though. We will also not see as many sales as August though
because there will not be the overlap of travelers and college students.

52

October, 2015

November, 2015

December, 2015

January, 2016

Increasing

We expect to see increased sales from September because while there

will be similar numbers of business travelers in October, the 23 colleges
in San Francisco will also host parents weekends. Parents in the city for
parents weekends can purchase our brushes to use during their stay in
San Francisco.

Decreasing

November does not see the tourism of the summer, or business travel of
the fall. People will come to San Francisco for Thanksgiving and
causing a sales spike as customers may purchase the product during
their stay in San Francisco, or people leaving the city may purchase it to
take with them on their trip. We will see another sales spike on Black
Friday, but the high sales we see for the holidays at the end of the month
will not be enough to counteract the lack of travelers visiting San
Francisco. We also don't expect many sales to college students because
at this point, most college students have run out of spending money.

Increasing

December will see high sales because of the holiday season. People will
purchase our product as Christmas and Hanukkah gifts for loved ones.
We also expect an increase in the number of travelers due to people
coming in to San Francisco and natives leaving the city to go elsewhere
for the holidays who could take our product with them.

Decreasing

January will see sales lower then December because the holiday
shopping season will be over. People may spend money received during
the holidays to spend on our products, but definitely not as much as
December. People who received our product as a gift may buy shampoo
and conditioner refill packs to use in their brush. There is not a lot of
tourism in San Francisco in January.

February, 2016

Decreasing

March, 2016

Increasing

April, 2016

Decreasing

February will have lower sales because people have most likely depleted
the money they received for the holidays. Hairbrushes are not usually a
popular gift on Valentine's day and San Francisco does not see many
business travelers or tourists visiting the city in February.
March is not a big month for tourism in San Francisco, however, in
2016 Easter will be celebrated on March 27th. People leaving the city
for Easter will purchase our brush or refill packs to take with them on
their trip. People visiting the city for Easter will also purchase our brush
or refill packs if they already own the brush. Our hairbrush would also
fit nicely in an Easter basket.
There is not much tourism or business travel in April in San Francisco.
With Easter being in March, we will not see that sales spike in April.
There are no gift giving holidays this year in April.

53

May, 2016

Increasing

June, 2016

Increasing

July, 2016

Static

August, 2016

Increasing

September, 2016

Decreasing

October, 2016

Increasing

November, 2016

Decreasing

Tourism starts to pick up in May for San Francisco. With more travelers
entering the city, there are more potential customers to purchase our
product to use during their stay. Repeat customers may purchase
shampoo and conditioner refill packs if they bought a brush during their
last trip to San Francisco.
June is one of the peak tourism months in San Francisco. With more
travelers in the city than May, sales will increase. New visitors will
purchase our hair brush and returning visitors will buy shampoo and
conditioner refill packs.
In July, we expect to see sales similar to June because July is also a peak
month for tourism in San Francisco. New customers will purchase hair
brushes and returning customers will purchase shampoo and conditioner
refill packs.
We expect August to see high sales because it is a peak tourism month
in San Francisco and college students in the area will be stocking up for
their dorm rooms. This overlap of sales should allow us to move a lot of
product during this time period.
We predict sales will decrease in September because we will not have
the overlap of college students and tourists that we see in August.
September is a peak business travel month though because of the many
conferences and conventions during the month. Repeat visitors will
purchase shampoo and conditioner refill packs while new visitors will
want to purchase our brush.
There is a lot of business travel in October as well. The 23 colleges in
the area are also hosting parent's weekends, so parents in the area will
be able to purchase our hairbrush. Parents of upper classmen who have
already purchased our brush will be able to buy shampoo and
conditioner refill packs.
Since there is less business travel and tourism, we expect to see lower
sales in November. We should see a spike in sales though towards the
end of the month with the Wednesday before Thanksgiving being one of
the biggest travel days of the year. People entering and leaving the city
can purchase our brush or shampoo and conditioner refill packs to use
during their trip. We also expect an increase in sales for Black Friday
and the beginning of the holiday shopping season.

54

Pro-Forma Balance Sheet

Rush Inc.
for 12/10/2013
(all numbers in $)
ASSETS
Current Assets
Cash
Inventory
Prepaid Insurance
Prepaid rent

2013

Total Current Assets

$185,889
$47,500
$10,000
$14,965
$258,354

Fixed Assets
Plant & equipment (net of depreciation)
Patents
Total Net Fixed Assets
TOTAL ASSETS

$223,646
$18,000
$241,646
$500,000

LIABILITIES
Current Liabilities
Current portion of long-term notes
Total Current Liabilities

$18,027
$18,027

Long-term Liabilities
Mortgage
Other long-term liabilities
Total Long-term Liabilities
SHARHOLDER'S EQUITY
Capital stock
Retained earnings

$281,973
$200,000
$481,973

$0
$0

Total Owner's Equity

TOTAL LIABILITIES & EQUITY

55

$500,000

Pro-Forma Income Statement

Rush Inc.
For 2013 through 2014
(all numbers in $)

REVENUE
Projected sales
Less sales returns and allowances
Net Sales
COST OF GOODS MANUFACTURED
COGM

2014
$296,240
0
$296,240

$49,414

Gross Profit (Loss)

$246,826

OPERATING EXPENSES
Selling
Advertising
Depreciation (double declining method)
Salaries and wages
Other
Total Selling Expenses

52,500
78,320
$374,400
0
$505,220

General/Administrative
Equipment maintenance
Incorperation Expense
Insurance
Rent
Utilities
Office supplies
Petent Fees
Furniture & equipment
Total General/Administrative Expenses

5,000
7,000
100,000
179,586
32,904
500
250
1,000
$314,240

Total Operating Expenses

$819,459

Net Income Before Taxes

Taxes on income
Net Income After Taxes
Extraordinary gain or loss
Income tax on extraordinary gain

($572,634)
0
($572,634)
$0
0

NET INCOME (LOSS)

($572,634)

56

Break Even Analysis

Since we are selling two different products for two different prices, our break even analysis is a
little more complex. Using the formula profit equals income minus expenses, we came up with
the following formula. Zero represents the desired profit. 8 is the wholesale price we charge for
brushes and x represents the number of brushes we sell. 3 is the wholesale price we charge for
shampoo and conditioner refill packs and y represents the number of shampoo and conditioner
refill packs we sell. 781795 is the value of our fixed costs.
0 = [8x + 3y] [1.08x + .95y] [781795]
Since we cannot get one solution with two variables, we used the process of substitution. We
estimate that after customers purchase our hair brush, 50% of them will purchase a shampoo and
conditioner refill pack. Given this, we substituted y for .5x. The new formula is given below.
0 = [8x + 3(.5x)] [1.08x + .95(.5x)] [781795]
After doing the algebra, our company will break even after selling 98,400 hairbrushes and
49,200 shampoo and conditioner refill packs.

57

Ratio Analysis

Ratio
Current
Quick (Acid-Test)
Inventory Turnover

Procter and Gamble

.80
.41
12.18

Rush Inc.
14.33
11.70
1.04

One benchmark company in our industry is Proctor and Gamble, owner of Pantene. We decided
to use Pantene as a benchmark because they are one of our biggest competitors with a large
market share and are publically traded so their accounting ratios were available for us to see.
Because we are a startup company, our liquidity ratios are much higher than Procter and Gamble.
This is because most of our assets are current rather than long term. We have a lot of cash on
hand since we just took a $300,000 bank loan and a $200,000 loan combined from family and
friends. We dont have many current liabilities because as a startup company because they are
mostly long term liabilities. Our inventory turnover ratio is much lower than that of Proctor and
Gamble because we are not moving nearly as much product as Proctor and Gamble does. Since
we are starting in the small area of San Francisco, we are restricting our target market. When our
company expands nationally and eventually globally, our inventory turnover ratio will increase,
hopefully to a number similar to the successful Proctor and Gamble.

58

59

Kirsty Beauchesne
7 Donnelly Street
Lewiston, ME 04240
207-786-0063 (Home) / 207-240-8470 (cell)
Email: Kbeauchesne13@gmail.com
EDUCATION: :

EXPERIENCE:

Lewiston High School

Lewiston, ME, 04240

2009 2013

Lewiston Regional Technical Center

Lewiston, ME
Marketing I & II

2011 2012

St. Marys Hospital - CPR Certified

2007

Martindale Country Club

Auburn, ME
Waitress & Bartender

2012-Current

2012
(Summer only)
Bethanys Ice Cream
Mechanic Falls, ME
Cashier & Server
Play It Again Sports
Auburn, ME
Sales Associate
SKILLS:

Sales & Customer Service

Spanish I & II

ACCOMPLISHMENTS
:

High Honors
Yearbook Top Advertisement Sales (3 years)
Treasurer Class of 2013
National Honor Society
National Technical Honor Society
AP English
Varsity Letters: Tennis, Cheering & Soccer
Varsity State Championship Cheering (2 years)
Varsity State Championship Tennis
New England Championship Cheering

EXTRA
CURRICULARS:

Key Club
DECA
60

2011 - 2012

Blue Crew
FBLA
L Club
Prom Committee
Anti-Bullying club
Folio
Diplomacy club
Travel Club
COMMUNITY
SERVICE:

Special Olympics
Vacation Classic Cheering Competition
Recreational Cheering Team Junior Coach
Lewiston Recreational Center
American Heart Association

REFERENCES:

Lynnette Morency, Cheering Coach

(207) 689-8120

Ben Bryant, Previous Employer

Bethanys Ice Cream

(207) 754-8289

James Day, Current Employer

Martindale Country Club

(207) 782-1107

61

2012 2013
2009 2013
2012 2013
2011 2012
2012

Nicholas David Landry

44 Laurel Hill Ln
Holden, MA 01520
(508) 829-3901
20youksox@charter.net

Work Experience
Oct 08 - Sep 11
Baby Sitter
Holden
n/a
Grades 8,9,10,11
Total Hours: 75
Apr 09 - Oct 12
Umpire
Holden
Holden Baseball
Grades 9,10,11
3 Hrs/Week
Total Hours: 40

Volunteer Service
Apr 13 - Apr 13
Mission Trip to New Jersey
Brigantine, New Jersey
First Congregational Church of Holden Youth Group
Grade 12
Total Hours: 25
Helped clean up a local beach, trail, and golf corse effected by hurricane Sandy.
Jul 12 - Jul 12
Mission Trip to Puerto Rico
Ponce, Puerto Rico
First Congregational Church of Holden Youth Group
Grade 11
Total Hours: 30
Helped clean a hoarder's yard and build him a security fence.
Jul 11 - Jul 11
Mission Trip to Worcester
Worcester
First Congregational Church of Holden Youth Group
Grade 10
Total Hours: 25

62

Helped restore a three decker to be rented at a low price to low income families
Sep 12 - Apr 13
Eagle Project
Holden
Boy Scouts
Grade 12
Total Hours: 30
Built 3 picnic tables from scratch for the First Congregational Church of Holden
Nursery School
Aug 12 - Present
Sunday School Teacher
Holden
First Congregational Church of Holden
Grade 12
1 Hours/Week
Total Hours: 30

Extracurricular Activities
Mar 01 - Jun 10
Baseball
Grade 10
7 Hrs/Week
Total Hours: 150
May 12 - Present
National Business Honor Society
Grades 11,12
Total Hours: 1
Jan 12 - Present
National Honor Society
Grades 11,12
Total Hours: 1
May 10 - Present
Youth Group
Grades 10,11,12
2 Hrs/Week
Total Hours: 30
Aug 10 - May 12
Confirmation
Grades 10,11
5 Hrs/Week
Total Hours: 120
May 06 - May 13
Boy Scouts
Grades 7,8,9,10,11,12
3 Hrs/Week

63

Total Hours: 500

Awards/Certificates
Aug 13
Eagle Scout
Grades 6,7,8,9,10,11,12

Leadership
National Business Honor Society Treasurer
Den Chief in Boy Scout
Patrol Leader in Boy Scouts

64

Joshua Hynes
8 Canapitsit Drive East Falmouth Ma, 02536
Phone: 1-508-524-8056
E-mail: Joshua Hynes

Education
Bryant University, Smithfield, RI
Bachelor of Science and Business Administration
Concentration: Marketing
Experience
Falmouth Yacht Club, Falmouth, MA
Head Lifeguard
Teach Swim Lessons
Enforce Safe Beach Activities
Monitor a 5 person staff and create a schedule
Community Service
Falmouth Road Race- Assisted Runners at finish line
Aqua Safe Taught swimming lessons and assisted

65

KALYA MCGRAIL

1150 Douglas Pike, Smithfield, RI 02917 | 860-9928248 | kmcgrail@bryant.edu

SUMMARY
Capable of managing multiple projects at once and
consistently meeting deadlines. Very personable when
working with others and skilled in a broad knowledge of
concepts and computer skills.

COMPUTER SKILLS
Languages
I have taken multiple years of French throughout high school and
carried it throughout college. I also know a little bit of Spanish, as
well.
Software
At my current job, we work with many different computer software
systems. I am also thoroughly taught in all of the Microsoft
systems. I know how to use Access, Excel, Word and Powerpoint
in depth.

EXPERIENCE
Jun
2011July
2012

Kid Zone Manager, Healthtrax Company

Dec
2012Present

Waitress, Maggie McFlys

I supervised the younger children at a gym daycare. I watched

them and took care of kids as young as six months. I was
promoted to manager after a year, but later left the company due
to scheduling issues.
I started off as a hostess at this restaurant. Once I turned 18 I was
promoted to a waitress and have been serving there ever since. I
wait on tables, interact with customers often and deal with
customer issues such as incorrect food orders or drink orders.

66

EDUCATION
Septem
ber 09June 13

High School Diploma, Glastonbury High School

Septem
ber 13Present

Still Attending, Bryant University

67

Annotated Bibliography
"Advertising Company in 300 Cities - Blue Line Media." Advertising Company in 300 Cities Blue Line Media. N.p., n.d. Web. 20 Nov. 2013.
This website was used in both the taxi advertising and bench advertising sections. All prices,
the amount of time the ads can be purchased for and minimum amount of ads that can be bought
at a time were all found on this site. Lastly, the specifications for sizes for the two types of ads
were also found on this source.
"Articles & Blog Posts." Jyl Craven Hair Design. N.p., n.d. Web. 05 Dec. 2013.
<http://jylcraven.com/2013/04/spring-cleaning-the-shelf-lives-of-shampoo-and-conditioner/>.
Bay Area Census -- San Francisco City and County. (n.d.). Bay Area Census -- San Francisco
City and County. Retrieved from
http://www.bayareacensus.ca.gov/counties/SanFranciscoCounty.htm
Since San Francisco is our main target market for our product so it was important to have the
correct demographics of the city. To get the correct information we used Bay Area Census for our
research, it provided us with a majority of numbers and statistics that were need.
FlySFO. N.p., n.d. Web. 1 Dec. 2013.
The website for the San Francisco International Airport was used to explore the retail
opportunities for our product. We came to the conclusion that we should sell at Freshen Up! and
The Body Shop by accessing the contact information on this site and reading the summary of
what each store typically sells.
68

Hair Care Products Industry: Market Research Reports, Statistics and Analysis. (n.d.). Hair Care
Products Industry: Market Research Reports, Statistics and Analysis. Retrieved from
http://www.reportlinker.com/ci02138/Hair-Care-Products.html
In order to collect the correct information on the hair care industry we used
reportlinker.com. This website provided credible information and graphs and statistics that were
helpful to our studies.
"How Plastics Work." HowStuffWorks. N.p., n.d. Web. 02 Dec. 2013.
<http://science.howstuffworks.com/plastic4.htm>.
This website was used to do research about plastic. We used the information about
plastic to help us learn about the hairbrush manufacturing process.
Pantene | Hair Products for Shiny Hair. N.p., n.d. Web. 1 Dec. 2013.
The Pantene website was helpful for our research because it allowed us to see the variety of
products that our benchmark company sells. Also, we were able to see a examples of their
advertising types and their website, which we attempted to use as an example. Lastly, the website
provided us with information on the history of the company which was used to decide that this is
the company that we would like to follow.
"Procter & Gamble Co. (PG) | Short-term (Operating) Activity Analysis." Stock Analysis on Net.
N.p., n.d. Web. 04 Dec. 2013. <http://www.stock-analysis-on.net/NYSE/Company/ProcterGamble-Co/Ratios/Short-term-Operating-Activity>.
This website gave us Procter and Gamble's accounting ratios which we used to compare to our
accounting ratio.

69

QuickBooks Pro 2014. (n.d.). Accounting Software. Retrieved from

http://quickbooks.intuit.com/pro
Being a new company, we had to choose a program that would assist us with accounting.
We decided to choose QuickBooks pro. This software will provide our company with plenty of
features that will aid our accounting process. Some features include spreadsheets, tax forms,
reporting tools and much more.
"San Francisco Taxi Advertising - Displays Ads in San Francisco." Clear Vision Ad. N.p., n.d.
Web. 1 Dec. 2013.
This site was used only for the condensed information on San Francisco. Here we found out that
the city was highly populated and that taxis have a large presence in the area. The facts about taxi
advertisement success in the city finalized our decision to use that type of marketing and that San
Francisco was a strong place to begin our company.
Target : Expect More. Pay Less. N.p., n.d. Web. 22 Nov. 2013.
The Target website aided our project because it allowed us to see the type of company that
Target prides themselves on being and made us chose that we would like to sell our product at
their retail stores. Also, their find a store link showed us that there were many locations in our
goal area in San Francisco.
"Used Commercial Trucks for Sale." Ryder Used Vehicle Sales. Ryder, 1998. Web. 02 Dec. 2013.

70

This website helped me find trucks needed to deliver our product from our corporate location to
the retail locations we will be selling the product at. It helped me determine exactly what kind of
truck our business would use and it sold used trucks at a decent price for good quality.
"Welcome to Walgreens - Your Home for Prescriptions, Photos and Health Information."
Welcome to Walgreens - Your Home for Prescriptions, Photos and Health Information. N.p., n.d.
Web. 1 Dec. 2013.
This source allowed us to see the focus of Walgreens, which is mainly providing beauty and
health supplies, making us chose this as a smart store to sell our product. Similar to Targets
website, the store locator link made us aware that there were many locations in our projected
area of San Francisco.
"What Will Your Monthly Mortgage Payment Be? Use This Mortgage Calculator." Mortgage
Calculator. Bankrate, n.d. Web. 02 Dec. 2013.
This is a mortgage calculator that I used to figure out our monthly payments for our bank loan.
The bank representative I talked to, Sue Frazee, showed me this website and it really helped
figure out the exact amount of money we would be paying monthly on our location, since we are
renting it.
1330 25th St." Cityfeet.com. The New York Times, 1998. Web. 02 Dec. 2013.
This website helped me locate the location we are going to manufacture our product out of. I
used it to find out all the information necessary on the building and what it was made out of. This
helped when I was speaking to the insurance agent to help get an estimate of our insurance quote
for the business.

71

Interview Bibliography
Bancroft, Coe. Phone Call. State Farm Insurance Agent. Interviewed on 12/3/13.
Coe Bancroft is a State Farm Insurance Agent that works with my family in my
hometown. He told me the type of insurance our business would need and how we would need to
add workers compensation to protect our employees. He also gave me the estimate of the cost of
the insurance quote we would need. He was a giant help with the insurance quote because other
insurance agents were not cooperating.
"Employee Performance Review." Entrepreneur. Ed. Ray Hennessey and Entrepreneur. N.p., n.d.
Web. 04 Dec. 2013. <http://www.entrepreneur.com/formnet/form/624>.
This website provided templates for this particular business plan. Templates used for
the executive summary, performance review template, as well as the business plan set up itself.

Frazee, Susan. Phone Call. Peoples Bank Representative. Interviewed on 12/3/13.

Susan Frazee is a representative for Peoples Bank in Glastonbury, CT, my
hometown. She helped give me the process of getting a bank loan and described the difference
between a business loan and a house loan. She said that we would need to attend workshops and
give the bank collateral to receive a loan. She was a big help with the bank loan.
Joseph, Chris. "Examples of Business Exit Strategies." Small Business. N.p., n.d. Web. 10 Nov.
2013. <http://smallbusiness.chron.com/examples-business-exit-strategies-69.html>.

72

This source gave advice about this specific exit strategy. Quotes from this source enhance the
understand of advice taken on by Rush Inc. Overall it helped us decide what we would do in
terms of having to exiting our company.

Kohl, Adam. "School Bookstores." E-mail interview. 12 Nov. 2013.Provided in depth advice
about the process RICC takes on in their inventory and selection process. Learned the overall
process of placing our product in college and university bookstores. Helped give advice and
provided planning for possible expansion for Rush Inc.
Lichota, Dariusz. Personal Interview, November 2013
Mr. Lichota gave us a quote on the cost of custom made FIABMEDIC machines and a custom
machine that would assemble hairbrushes. The prices he gave us were based on the complexity
of the machine.
Lowe, Brian. Personal Interview, November 2013
Mr. Lowe is a sales representative from Wanesco that provided a price quote for an
industrial plastic melter and transfer machine.
May, Meredith. "S.F.'S BEST FRIEND / Where Pooches Outnumber Kids, Impassioned, Doting
Owners and Hounds Dressed to the Canines Treat All Days like Dog Days." SFGate. Hearst
Communications Inc., 17 June 2007. Web. 04 Dec. 2013.
<http://www.sfgate.com/news/article/S-F-S-BEST-FRIEND-Where-pooches-outnumber2555688.php>.

73

Provided data on the children to canine ratio in San Francisco. Gave Rush Inc. valid advice on
future target markets for the IN-A-RUSH Brush.
Sankin, Aaron. "Families Flee San Francisco: City Has Lowest Percentage Of Kids Of Any
Major U.S. City." The Huffington Post. TheHuffingtonPost.com, 09 Mar. 2012. Web. 04 Dec.
2013. <http://www.huffingtonpost.com/2012/03/09/families-flee-sanfrancisco_n_1335639.html>.
This source provided numerical data to our project. It explained the children ratio and amount in
San Francisco, its declining rate and how it compares to other demographics in the city. Helped
decide a future for our product when thinking about expansion.
Unnamed Representative from Thermoprene. Personal Interview, November 2013
A representative from Thermoprene gave us a price quote on a custom Thermoprene plastic
extruder. The representative never mentioned their name.
. Unnamed representative from Freshen Up! Phone call. Interviewed on 11/26/13.
The process to get a product in to Freshen Up! in the San Francisco International Airport
involves sending the company a sample product. If the executives find the product promising
then they will forward the information and sample to the owner. If the owner is interested then
we will then discuss buying our product at wholesale.

Unnamed representative from The Body Shop. Phone call. Interviewed on 11/26/13.
The Body Shop, also in the San Fran International Airport, representative explained that we
would have to call the customer service department, get in contact with product development and
74

then make a pitch to the executives. If the executives are interested then we will then be able to
discuss pricing, packaging and other details.

Unnamed representative from Walgreens. Phone call. Interviewed on 11/25/13.

The contact from Walgreens told us that we would have to go to this website,
http://www.walgreens.com/marketing/contactus/vendors.jsp and then click on the link to become
a Wallgreens New Vendor and fill out the application.

Unnamed representative from Target. Phone call. Interviewed on 12/1/13.

When contacting Target, I spoke to a woman who did not disclose her name, however did explain
the process of becoming a partner. We would have to go towww.partnersonline.com , click on the
interested in becoming a partner link, then become a partner. Once on that site, we have to
put in our info for the proposal and then wait for them to contact us to say if they are interested
or not.

Unnamed representative from Freshen Up! Phone call. Interviewed on 11/26/13.

The process to get a product in to Freshen Up! in the San Francisco International Airport
involves sending the company a sample product. If the executives find the product promising
then they will forward the information and sample to the owner. If the owner is interested then
we will then discuss buying our product at wholesale.

75

Unnamed representative from The Body Shop. Phone call. Interviewed on 11/26/13.
The Body Shop, also in the San Fran International Airport, representative explained that we
would have to call the customer service department, get in contact with product development and
then make a pitch to the executives. If the executives are interested then we will then be able to
discuss pricing, packaging and other details.

Unnamed representative from Walgreens. Phone call. Interviewed on 11/25/13.

The contact from Walgreens told us that we would have to go to this website,
http://www.walgreens.com/marketing/contactus/vendors.jsp and then click on the link to become
a Wallgreens New Vendor and fill out the application.

Unnamed representative from Target. Phone call. Interviewed on 12/1/13.

When contacting Target, I spoke to a woman who did not disclose her name, however did explain
the process of becoming a partner. We would have to go towww.partnersonline.com , click on the
interested in becoming a partner link, then become a partner. Once on that site, we have to
put in our info for the proposal and then wait for them to contact us to say if they are interested
or not.

76

i Bancroft, Coe. Phone Call Interview. Dec 13, 2013.

ii Bay Area Census -- San Francisco City and County. (n.d.)
iii Pantene | Hair Products for Shiny Hair. Dec 2013.
iv Advertising Company in 300 Cities - Blue Line Media. Dec, 2013.
v Advertising Company in 300 Cities - Blue Line Media. Dec, 2013.
vi 1330 25th St. Dec, 2013.
vii Lowe, Brian. Personal Interview, November 2013.
viii Unnamed Representative from Thermoprene. Personal Interview, November 2013.
ix FlySFO. N.p., n.d.
x Hair Care Products Industry: Market Research Reports.
xi Articles & Blog Posts." Jyl Craven Hair Design.
xii "How Plastics Work." HowStuffWorks.
xiii Joseph, Chris. "Examples of Business Exit Strategies.
xiv Used Commercial Trucks for Sale. Ryder Used Vehicle Sales.