UK Software Publishing Business Plan

Executive Summary

We want to take Supple Software to the next level.

Supple is a profitable Limited Company based in Ourtown. It has grown from a one-man consulting company started in 2000 to a market leading software company whose main product, Product X, is sold through major retail channels.

Growth has come from patience, hard work, and quality of product and service. The company has never had outside investment. It has been financed by owner house equity, sweat equity, profits, and small bank lines of credit.

As we grow, we want to grow right. For example, we have to recognize the unique capital requirements of a successful software publisher: our business is working-capital intensive. We will always have to support two and three months worth of sales as receivables, because that is the nature of the channels we deal with. Also, we need to build our management team correctly. We need the right people in the right place at the right time. We also need to develop our team so that our people can grow as the company grows.

1.1 Objectives

1. To increase sales substantially in Year 2 and double sales in Year 3.
2. To increase gross margin and net profit margin commensurate with sales.
3. To hold personnel to 1 full-time person for every £250K in revenues.
4. To maintain at least 30% market share of Product X, as measured by Chart Track, the European software data tracking service.

1.2 Mission

Supple Software develops, publishes, and markets business tools and business know-how together in a software product including software and documentation. It makes business techniques accessible to millions of business users who would otherwise not have the knowledge to use them. It makes a profit and generates cash. It provides a rewarding work environment and fair compensation to its employees, a fair return to its owners, and a fair royalty to its authors.

1.3 Keys to Success

1. Marketing power. We need to have our products on the shelves with attractive packaging and enough marketing power to maintain a 30% or more market share, as measured by Chart Tracker.
2. Product quality and customer satisfaction. Everything we sell is guaranteed, so the product has to do what we promise and well.
3. Long-term customer satisfaction is critical to our survival.
4. The right management team, with strong foundations in marketing, management, finance, and product development. Enough working capital to survive in the working-capital-intensive retail channel.