Safe Current is an unregulated subsidiary of The Cleveland Illuminating Company that sells direct to businesses and consumers. It will be operated as a stand alone business leveraging the existing resources and goodwill of TCIC.
Safe Current will be located on site at TCIC, using an office within the complex and also sharing TCIC’s computer network connection and phone connections. Safe Current will operate their own customer service call department. Safe Current will use TCIC’s existing call center for sales calls and TCIC’s existing billing system as well as their order fulfillment and shipping departments. Safe Current will pay a flat rate (10%) for these services.
The Cleveland Illuminating Company has chosen to create Safe Current as a means of increasing the rate of return to shareholders outside the government regulated rates available to electric utilities.
2.1 Company Ownership
Safe Current is a wholly owned subsidiary of TCIC.
2.2 Start-up Summary
Safe Current will leverage the existing resources of TCIC and pay a set overhead fee for the resources used. Equipment that will be needed as follows:
- Five computer stations, one laser printer; Microsoft Office, Access, and proprietary software used by TCIC; network connection to TCIC.
- Five office furniture setups.
- A five extension phone system.
|Start-up Expenses to Fund||$15,600|
|Start-up Assets to Fund||$39,400|
|Total Funding Required||$55,000|
|Non-cash Assets from Start-up||$17,500|
|Cash Requirements from Start-up||$21,900|
|Additional Cash Raised||$0|
|Cash Balance on Starting Date||$21,900|
|Liabilities and Capital|
|Accounts Payable (Outstanding Bills)||$0|
|Other Current Liabilities (interest-free)||$0|
|Additional Investment Requirement||$0|
|Total Planned Investment||$5,000|
|Loss at Start-up (Start-up Expenses)||($15,600)|
|Total Capital and Liabilities||$39,400|
|Total Start-up Expenses||$15,600|
|Other Current Assets||$3,000|