For "Respect Writer"

Executive Summary

By:

FIN328

Introduction/Company Description

Signet Technologies Incorporated is an information technology company located in Beltsville, Maryland. Signet Technologies will focus on the physical security needs of its clients and will be a leader in the design, integration, installation, maintenance, and operation of technically complex integrated physical security management systems. The company will have the ability to support the entire life cycle of these programs and projects from security analyses, engineering and design, installation, operation, and maintenance using in-house personnel and resources.

Signet Technologies plans to target a wide variety of customers within the US federal government, state and local governments, universities and the educational markets, larger corporations, small corporations, and government contractors. However, due to the competitive climate and the partner’s industry experience the company will primarily target the US federal government and government contracting.

Industry Analysis

The physical security industry is small and the competition is competitive. However, the economic conditions have not affected the industry as it has other industries and the opportunities are plentiful.

Description of Owners

Signet Technologies is incorporated in the state of Maryland. The company is equally owned and managed by its two partners, who have worked together for over 15 years.

Mr. William B has over 30 years of leadership experience in the electronic security systems industry. Prior to starting Signet Technologies Mr. Burgess founded ISS Incorporated. He directed ISS from startup to over $27 million in sales, he then negotiated the sale of ISS to TYCO/ADT.

Mr. William K is a 20-year electronic security systems industry veteran and entrepreneur. Prior to starting Signet Technologies he co-founded, managed, and led ISS Incorporated through its sale to TYCO/ADT. Mr. Keller has also served in various senior executive roles within TYCO/ADT and Johnson Controls Security Systems.

Marketing Plan and Strategy

Signet Technologies wants to establish a large regular customer base and will therefore concentrate its marketing efforts on US federal government and government contractors. This will help to establish a consistent revenue base to ensure stability of the business and expected to generate 70% of the businesses revenue. Thirty percent of the businesses revenue is expected to come from customers in the educational markets, corporations, and state and local governments.

Management and Operations Analysis

Signet Technologies operations personnel will be qualified installation and service personnel with long career track records in the implementation of high technology security systems. Signet Technologies are conducted by in-house personnel who will perform all major project requirements. The company will maintain highly trained personnel for the installation and service of all managed systems.

All projects will be executed through a Project Management Program. Project managers will have centralized responsibility for all aspects of the project including the authority to task the engineering department, procure materials, and allocate personnel resources as required.

Funding Request

Initial start up funding will consist of equal contributions of both partners of $250k. These funds will be used to purchase the initial equipment, materials, and labor to start the business. Equipment will be order on a per project basis; therefore, the company will maintain a limited amount of inventory. Signet Technologies will purchase materials through its business partners, which have been long time associates of both Mr. B and Mr. K. Some of these business partners include: Lenel, Software House, Pelco, Code Blue, and Hirsh Identitive among many others.

Signet Technologies will also use long time business partner Manufacturers &Traders bank for all of its financing needs. The company will open a business checking account with M&T bank as well as a commercial line of credit with an initial credit limit of $100k and renegotiated as needed. The company will open a corporate VISA account, fleet truck account, and Home Depot account for employees to use for company business.

Financial Analysis

Signet Technologies is expected to have gross revenues of 5 million in the first year, 8 million in the second year, and 11 million in the third year. Profits for this time period are expected to be 20k the first year, 35k the second years, and 45k the third year. The company does not anticipate any cash flow problems.

Exit Strategy

Signet Technologies does not anticipate exiting the market; however, if the situation does arise the company will be sold. Once all the debt has been paid, the owners will divide the company profit equally.

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