Don't bother with copy and paste.

Get this complete sample business plan as a free text document.

Download for free

Communication Technology icon Computer Laser Accessories Business Plan

Start your plan

Brilliant Points, Inc.

Executive Summary

Brilliant Points, Inc. (Brilliant Points or the Company) is a software and services company that uses unique software designs and configurations to transfer information from users to computers through innovative applications of laser, optical, and video technologies.  The Company currently has received one U.S. patent in the field of optical control of computers (e.g. computer-based presentations) and has applied for others that have promising applications.  Foreign patents have also been applied for and are pending.

The Company’s mission is to identify and create new intellectual property, secure the intellectual property through international patent applications, aggressively protect the patents against infringement, and ultimately enter into licensing agreements with manufacturers and vendors of optical, laser, and video components.  The Company has also designed multiple products that leverage its intellectual property into revenue.  These products have immediate applications in home, corporate, educational, gaming, and government environments.

Brilliant Points has entered the computer presentation market space with innovative, cutting-edge technologies that have real world applications and are simple to use.  The Company believes that it has created technologies whose time has come.  The opportunity for the Company lies in securing marketable, patentable technologies and then to successfully obtain licensing agreements with current manufacturers of existing solutions, thus helping to expand their product line and offer innovative solutions for common problems.

The first patented technology to be created by Brilliant Points, U.S.  Patent #6,275,214 – Computer Presentation System and Method With Optical Tracking of Wireless Pointer, utilizes software to enable full computer control via common laser-pointing devices and drivers that give the high-end laser pointing device the functionality of an integrated mouse and keyboard.  This makes presentations much more user-friendly, expands the range of possibilities for presenters, and opens up new application areas for gaming and entertainment.  By combining the functionality of two necessary peripherals, the mouse and the keyboard, into the already useful laser pointer, Brilliant Points allows the presenter or user to focus more on the art of the presentation or application, rather than the technology enabling it.  A three-minute demo video is available for download from http://kchansen.home.att.net/.

The computer presentation market is large, and is growing rapidly.  Research firm Stanford Resources estimates that two years ago, worldwide shipments of business projectors (each of which represents a presentation system for a boardroom, conference room, etc.) approached 1.4 million units and $6 billion in revenue.  They also forecast this market to approach 4.5 million units and $10 billion in revenue four years from now.  PC manufacturers have significant interest in this market as well, evidenced by recent announcements by Hewlett-Packard and Dell that they intend to commence shipments of business projector systems.  InFocus, a very large business projector manufacturer, has targeted achievement of 4% “attachment rate” of its business projectors to the laptop computer market.  The at-home market for these devices is also expected to explode.  InFocus forecasts that its projector system shipments for home entertainment systems could exceed 2.5 million units by next year.  For more information, see:

http://news.com.com/2100-1040-878277.html

http://media.corporate-ir.net/media_files/NSD/infs/presentations/2002shareholdermeeting/sld032.htm

http://media.corporate-ir.net/media_files/NSD/infs/presentations/2002shareholdermeeting/sld041.htm

Brilliant Points expects to penetrate the presentation systems market by aggressively marketing and licensing its technology, through sales of “upgrade” kits (consisting of Webcam, pointer, and Company software) to existing projector owners, and with sales/licensing of Brilliant Points SDK tools that enable other companies to develop applications and drivers which build on the patented Brilliant Points technology.

The Company intends to initially focus on retrofitting the current presentation hardware owners through “upgrade” kits.  At the same time, Brilliant Points hopes to create the latent demand necessary to motivate the makers of presentation hardware to include the Brilliant Points software set and laser pointers with their hardware as a replacement for the limited functionality of a remote or other controlling device.  A focus on business presentation systems could also lead to applications in other industries, such as home entertainment, gaming, and webcams, all very large and growing markets which could be enhanced by the software solutions set designed by Brilliant Points.

This forecast proliferation of computer-based projection systems, coupled with the expected demand for Brilliant Points technology, alone makes a strong case for investment in the Company, but there are other opportunities under development which have as much or more potential but will take more time to develop and realize.

Brilliant Points is currently developing patent pending products that make it possible to (1) securely transmit data through the laser-pointing device (secure pointer technology), (2) use a complex laser emitter head capable of forming distinct colors and/or patterns (complex pointer technology), and/or (3) use stabilization mechanisms in the pointer device to reduce “pointer jitter” during a presentation (stable pointer technology). Secure pointer technology improves the performance and applicability of the hardware and software, giving users the ability to confidently use the technology developed by Brilliant Points in multiple devices and related applications without concern for audience interference, such as where hostile audience members attempt to scramble a presentation with their own pointers.  Secure pointer technology also opens up opportunities within the military community, by enhancing laser target designator devices, for example, or creating undetectable secure optical communications links which can be sensed directly user-to-user or indirectly via reflections off of walls, clouds, or other obstacles.  Complex pointer technology makes possible the development of multi-user interfaces where each user has a unique secure/complex pointing device.  Complex/secure pointer technology makes possible presentations which involve audience interaction where audience members have distinct secure/complex pointers from that of the presenter, and also has applications within the military community.  Stabilized pointers make it easier for the average user to select menu items, click buttons, etc., during a presentation, and reduce the distraction to the audience that comes from random hand or finger movements causing the pointer on the screen to jump about.

Each of these development areas, (1) secure pointers, (2) complex pointers, and (3) stabilized pointers, in and of itself opens up new sales channels for the laser pointer industry, while simultaneously generating additional revenue streams for Brilliant Points.  It is anticipated that these technologies will be of substantial interest to existing laser pointer manufacturers because they will enable a paradigm shift in the market, away from a commodity based one, to a market based on products individualized to specific applications and needs, substantially increasing profits to the manufacturers and to Brilliant Points.  While the laser pointing device market has been in decline, it opens doors to future revenue possibilities for Brilliant Points.  Some of the companies that manufacture laser pointers are extremely large and have a very diverse product base.  By leveraging relationships created through the Brilliant Points presentation product, the Company may be able to expand its licensing revenues through the same companies with new innovations.  Because the Brilliant Points presentation system will add functionality to laser pointers, management believes that licensees in the laser pointing device market, which has recently seen substantial declines due to commoditization of the market, will see positive impacts in their markets by permitting them to offer more and better features than competitors, moving them away from a commodity-type market and increasing sales and revenue.

Brilliant Points intends to aggressively pursue licensing agreements with large manufacturers who are already in this market, as well as defend its patents against infringement by competitors.  By pursuing this approach, the Company intends to keep costs low while generating significant income for its owners.

Because it is a true start-up, Brilliant Points does not have historical financials, and due to the course it is pursuing, it is very difficult to project revenues with certainty.  However, for the purposes of this analysis, the Company has made some basic assumptions that show licensing revenues based on licensing a small percentage of the business presentation system industry.  According to these assumptions, the company expects to have significant revenues in its first 18 months of operations, based on achieving licensing of approximately one and one half percent of the forecast business projector sales and/or sales of 60,000 presentation system “upgrade” kits to existing presentation installations in the market today.  While the analysis of this plan is based on these projections, “blue-sky” optimistic projections, assuming significant licensing penetration and higher per-unit nets, show potential revenues to the Company in the hundreds of millions per year within five years.  Should the anticipated penetration of (1) home entertainment, (2) gaming, (3) military, and (4) pointer manufacturer markets occur, even these highly optimistic estimates may turn out to be low.

Brilliant Points is seeking major capital investment and a line of credit to bring in critical talent and commence aggressive marketing, licensing, and sales of Brilliant Points technology.  Brilliant Points anticipates an investor liquidity event horizon at approximately five years consisting of (1) IPO, or (2) acquisition, or (3) Full Intellectual Property purchase by one of the larger companies in this space.

Computer laser accessories business plan, executive summary chart image

1.1 Objectives

First three months:

  • Recruit marketing, sales, and operations directors.
  • Recruit software and hardware development staff.
  • Obtain office space.
  • Commence software/hardware design and development.
  • Enhance website.
  • Design marketing/sales campaigns.

First six months:

  • Release-candidate-1 hardware for simple pointer.  (Multiple dots and/or colors.)
  • Release-candidate-1 driver software for Win platform(s) driver.
  • Beta-1 LaserBoard™ SDK.
  • Preliminary licensing negotiations with manufacturers/resellers
    • Projectors
    • Webcams
    • Pointers
    • PC manufacturers
    • OS
  • Commence advertising campaigns (under supervision of marketing director).
  • Enhance website to handle direct orders and downloads.
  • Shipping “Upgrade” kits to in-place business projector owners (e.g.  boardrooms, conference rooms, lecture circuit)
    • Webcam
    • Simple pointer
    • Simple control application

First year:

  • Develop and market multi-button optical pointer.  Include options for external keypad, headset, secure pointer, etc.
  • Alpha-1 hardware/software for enhanced pointer.  (Display head using DLP or other technology.)
  • Negotiating first licensing deals with pointer, projector, and Webcam manufacturers/resellers.
  • Continue R&D investigation of related technology areas.
  • Continue pursuit of IP protection via patent, trademark, and copyright.
  • Shipping/Licensing simple pointer, simple driver, enhanced driver.
  • 10,000 “Upgrade” kits shipped.

Eighteen months:

  • Develop and market secure pointer, with options.
  • Develop gaming interface SDK.
  • Close first licensing deals.
  • 50,000 “Upgrade” kits shipped.
  • cash flow positive.

Second year:

  • Achieve 1.5% licensing penetration of business projector market.
  • Achieve 10% licensing penetration of pointer market.
  • 60,000 “Upgrade” kits shipped in year.
  • Preliminary licensing negotiations with gaming device manufacturers.
  • Continue R&D investigation of related technology areas.
  • Continue pursuit of IP protection via patent, trademark, and copyright.
  • Profitable.

Third year:

  • Achieve 2.5% licensing penetration of business projector market.
  • Achieve 20% licensing penetration of pointer market.
  • 90,000 “Upgrade” kits shipped in year.
  • Continue R&D investigation of related technology areas.
  • Continue pursuit of IP protection via patent, trademark, and copyright.

Fourth year:

  • Achieve 4% licensing penetration of business projector market.
  • Achieve 40% licensing penetration of pointer market.
  • Close first licensing deals with gaming device manufacturers.
  • 150,000 “Upgrade” kits shipped in year.
  • Continue R&D investigation of related technology areas.
  • Continue pursuit of IP protection via patent, trademark, and copyright.

Ongoing:

  • Investigate and pursue additional licensing areas.
  • Increase licensing penetration each year, with goal of 50% or better, for each market area.
  • Make software and hardware easy to use, safe, and “idiot-resistant”.
  • Make Brilliant Points a household name so that when IP protection begins to expire, people still look first to Brilliant Points for laser and imaging technology solutions.
  • Continue R&D investigation of related technology areas.
  • Continue pursuit of IP protection via patent, trademark, and copyright.

Investor Exit Strategies:

  • Go public around 5th year.
  • Acquired by another company
    • Input device manufacturer/reseller
    • Projector manufacturer/reseller
    • OS manufacturer/reseller
    • PC manufacturer
    • Laser pointer manufacturer/reseller
    • Webcam manufacturer/reseller
  • Exclusive full-rights licenses to dedicated areas with revenue stream guaranteed for duration of patent.

1.2 Mission

Brilliant Points is in the business of transfer of information from users to computer systems through innovative applications of laser, optical, and video technologies.

Our mission is to define and create new applications, protect those applications so we may better ensure their quality, and bring them into all aspects of human/computer interaction from the corporate boardrooms, to the home user, to the gaming arena.

Our applications will provide users with “cool” yet cutting-edge technologies which are simple to use and robust in operation.

We will accomplish this while providing obvious superior quality to our customers, excellent customer service, and creating a mentally stimulating and enjoyable work environment for our employees.

1.3 Keys to Success

  • Patented technology, involving substantial, useful enhancement to existing presentation methods, providing 15 to 17 years of monopoly-like development environment.
  • Aggressive protection of IP through patent, copyright, and legal enforcement.
  • Rapid development, marketing, and penetration of market to enhance visibility to potential buyers and/or acquirers.
  • Licensing of technology to others, rather than being sole-source of hardware/software.