minimum investment. maximum return.

Team #1
Jason Amidon Michele Crispin Marian Fean Tatyana Kriushina Joe Marsella

Presentation Outline
-Entrepreneurship

-Boomerang- Introduction
-Interviews

-Financial Analysis
-Problems -Recommendations

Definition of Entrepreneurship
The most simple definition of entrepreneurship is an individual that organizes, operates, and takes on the risks of a business.

Entrepreneurship
Vital to the U.S. Economy
Ensures job creation and economic growth

What does it take to be a successful entrepreneur?

Vision Passion Risk taker

Subject Choice
Seth DeForest, 28, of Haddonfield, New Jersey is the winner of the Young Entrepreneur of Southern New Jersey Award 2005. DeForest is the CEO & owner of Boomerang, which offers high-end used office furniture and cubicles. His business philosophy is unique and he believes in building

customer relationships by having fun at work.

Interview One- Seth DeForest

Seth DeForest founded Boomerang in 2001 with a warehouse & 5 employees Started by purchasing the inventory of a going outof-business used office furniture company Pure cash-flow company/no financing

Distribution & Marketing Strategy

A look inside Boomerang What do these have to do with selling used office furniture?

Interview One- Seth DeForest

What does it take to be a successful entrepreneur? People, product and passion Soul of the company Know your product, customer and distribution Challenges

Interview- Associates
What makes Seth a successful entrepreneur? Hard working and passionate Understands the product, marketing and distribution Caterers to his customers Rewards his employees Stays within his financial means

Financial Analysis
The Boomerang Effect The Financial Statements The Impact

The Boomerang Effect

Minimal investment, maximum return Pre-owned office furniture @ 50-75% savings Purchaser obtains quality pre-owned office furniture while: Making the most of their furniture budget Saving time Helping the environment

Estimated Income Statement Using Industry Averages

Sales Increasing by $1.0 million+ per year Inventory - $10 Million Debt - $0 Based on known figures and industry averages: Ind. Avg. Total Revenue Total Expenses Net Income 100.00% 79.88% 20.13% 2004 4,000 3,195 805 YTD 05 5,000 3,994 1,006

(000s have been omitted)

The Impact
Turned around a failing business Currently employs 15 people Gives back to the community Environmentally friendly Reduces discarded waste Less pollution Reduces waste of natural resources A positive impact on the community

Problems
Young Entrepreneur Having too much fun/relaxed relationship with his employees Overly optimistic & confident Started a new venture without a proper business plan Pursuing an opportunity without a stated NEED for the product/service

Problems
Delegation of responsibility and authority Promotion of people to positions for which they are not qualified Keeping people for convenience vs. skill requirement Lacking a long-term business strategy Risk of purchasing the wrong product

Recommendations
Continue to use creative outside the box thinking Continue to foster a team environment amongst employees that promotes entrepreneurial ideas Utilize planning (i.e. business strategy) and market research Develop better skills for interviewing & cultivating potential employees

Questions???