hult business plan competition plan- team simon tanc
TRANSCRIPT
Incuvate.a transformative workforce solution company
EMPLOYMENT, DIGNITY & POSITIVE SOCIAL OUTCOMES
Providing
to10M REFUGEESby the year 2022
42.5 45.251.2
59.565.3
2011 2012 2013 2014 2015
Millions are facing the same challenges
… and their numbers are growing(in millions)
*UNHCR
Refugees have
skills. 91%of Syrian
refugees are literate.
70%of refugee adults
have attended high-school, or
college.
67%Of Syrian jobs
are in government, or
professional services
*Building a New Life Study, May 2016
The world demands these skillsBusinesses all
over the world
demand these
skills.35%
of managers do not have enough applicants to fill their positions.
*CNBC
Incuvate’s model is perfect for digitizing records.
Need for services
Growing sector
Feasible task for refugee
workforce
+$210 Juma’a can…
monthly income
With an additional
PAY RENTFEED HIS FAMILY
PAY OFF DEBT
SAVE FOR POST-SETTLEMENT
2018
15pilot
locations
38Krefugees
reached
Appendix Pg. 1
2019 2020 2021
139K328K
617K
55 110170
Initial revenue will be plowed back to
fund mobile scale.
Year 2
locations
Year 3
locations
Year 4
locations
10M
Total
Incuvate
locations
250
2022
refugees
impacted
2018
15pilot
locations
Ultimately, Incuvate will reach 10M
refugees by 2022, with 250 locations.
38Krefugees
reached
2019 2020 2021
139K328K
617K
55 110170
Appendix Pg. 1
2018 2019 2020 2021
Incuvate is self sustaining, and will
become profitable by the end of
year three.
2022
($675.8K)($980.6K)
($28.0K)
$1.47M
$3.26M
NET PROFIT PER YEAR
Appendix Pg. 2
Incuvate has a competitive advantage in the industry.
Partnerships break down barriers to
entryMobile
Lower Cost
Appendix Pg. 1-2
Incuvate creates an organic pathway to better outcomes.
● 65.3M refugees
displaced in 2015
● Refugees have skills
● Firms need these
skills
● 250 locations
● 10M refugees
● Profitable
● Sustainable
*UNHCR
Situation Solution
Incu
vate
.
CHRIS
DIGIACOMANDREA
TREADWELL
SINGFIELD II
NESSI
HARARI
ALYSSA
RINCKChief Executive Officer Chief Technology Officer Chief Growth Officer Chief Operations Officer
Chief Executive responsible for all
functions across 53 different business
units
Director of Israeli Social-Enterprise
focused on creating and managing
community computer labs
Built and managed $500M client
portfolio at Macy’s, a Global 400
Company
Consumer Operations
Consultant at Google; Operations Manager at leading
eCommerce start-up
Market Size
Running total
40 Desks 40
2 Shifts Worked / Day 80
7 Days/Week Worked 560
6 How many times a year workers will turn over 3360
5 People per household one person can help 16800
One Incuvate location will help 16,800 refugees annually
Multiplier
YEAR 2018 2019 2020 2021 2022 TOTAL
NEW INCUVATE LOCATIONS 15 40 55 60 80 250
RUNNING TOTAL LOCATIONS 15 55 110 170 250 250
NUMBER OF PEOPLE IMPACTED 252000 924000 1848000 2856000 4200000 10080000
250 Incuvate locations will reach 10M refugees by 2022
1
Profitability2018 2019 2020 2021 2022 TTL
REVENUE 27,751,680$ 101,756,160$ 203,512,320$ 314,519,040$ 462,528,000$ 1,110,067,200$
FIXED COSTS
CONTAINERS 525,000$ 1,400,000$ 1,925,000$ 2,100,000$ 2,800,000$ 8,750,000$
COMPUTERS 90,000$ 240,000$ 330,000$ 360,000$ 480,000$ 1,500,000$
SHIPPING 37,500$ 100,000$ 137,500$ 150,000$ 200,000$ 625,000$
MODEMS 30,000$ 80,000$ 110,000$ 120,000$ 160,000$ 500,000$
CHAIRS 12,000$ 32,000$ 44,000$ 48,000$ 64,000$ 200,000$
MISC. OFFICE SUPPLIES 2,250$ 6,000$ 8,250$ 9,000$ 12,000$ 37,500$
INTERNET LINE SET UP 6,750$ 18,000$ 24,750$ 27,000$ 36,000$ 112,500$
PRINTERS 900$ 2,400$ 3,300$ 3,600$ 4,800$ 15,000$
PLATFORM BUILDOUT+ MAINTENANCE 100,000$ 20,000$ 20,000$ 20,000$ 20,000$ 180,000$
COGS TOTAL 804,400$ 1,878,400$ 2,582,800$ 2,817,600$ 3,756,800$ 11,840,000$
VARIABLE COSTS
WAGE EXPENSE 27,516,592$ 99,587,504$ 198,755,008$ 306,931,376$ 451,073,200$ 1,083,863,680$
PERMITS 219,300$ 603,075$ 1,608,200$ 1,615,510$ 1,366,970$ 5,413,055$
NON WAGE EXPENSE
INTERNET 9,000$ 33,000$ 66,000$ 102,000$ 150,000$ 360,000$
INSURANCE 14,400$ 52,800$ 105,600$ 163,200$ 240,000$ 576,000$
IT SUPPORT 9,000$ 33,000$ 66,000$ 102,000$ 150,000$ 360,000$
TRAVEL 9,600$ 19,200$ 19,200$ 19,200$ 19,200$ 86,400$
MARKETING 150,000$ 225,000$ 337,500$ 506,250$ 759,375$ 1,978,125$
NON WAGE EXPENSE TOTAL 192,000$ 363,000$ 594,300$ 892,650$ 1,318,575$ 8,773,580$
VARIABLE COSTS 27,927,892$ 100,553,579$ 200,957,508$ 309,439,536$ 453,758,745$ 1,092,637,260$
OPERATING PROFIT (980,612)$ (675,819)$ (27,988)$ 2,261,904$ 5,012,455$ 5,589,940$
TAXES -$ -$ -$ 202,120$ 1,754,359$ 1,956,479$
NET PROFIT (980,612)$ (675,819)$ (27,988)$ 1,470,238$ 3,258,096$ 3,043,914$
2
$1M seed money will go toward..
2018
FIXED COST TOTAL 804,400$ (First 15 containers, and platform buildout)
NON WAGE EXPENSE 192,000$ (Marketing, travel, insurance, IT support)
996,400$
3
Variable costs
running total 27,927,892$ 100,553,579$ 200,957,508$ 309,439,536$ 453,758,745$
YEAR 2018 2019 2020 2021 2022
CONTAINERS 15 55 110 170 250
LABOR 27,026,592$ 99,097,504$ 198,195,008$ 306,301,376$ 450,443,200$
INTERNET 9,000$ 33,000$ 66,000$ 102,000$ 150,000$
INSURANCE 14,400$ 52,800$ 105,600$ 163,200$ 240,000$
IT SUPPORT 9,000$ 33,000$ 66,000$ 102,000$ 150,000$
TRAVEL 9,600$ 19,200$ 19,200$ 19,200$ 19,200$
MARKETING 150000 225000 337500 506250 759375
PLATFORM MAINTENANCE
WORK PERMITS 219,300$ 603,075$ 1,608,200$ 1,615,510$ 1,366,970$
SALARIED EXECUTIVES 490000 490000 560000 630000 630000
LABOR + SALARY 27,516,592$ 99,587,504$ 198,755,008$ 306,931,376$ 451,073,200$
4
WAGE EXPENSE PER LOCATIONTier # of employees Emp Wage SHIFT HRS $/SHIFT HOURS/ DAY $/DAY TTL/YEAR WAGE/MONTH TRAINING HRS TRAINING WAGE
Tier 1 24 5.56$ 8 44$ 16 2,135$ 779,290$ 178$ 2016 89,672$
Tier 2 10 6.56$ 8 52$ 16 1,050$ 383,104$ 210$ 840 44,083$
Tier 3 6 7.56$ 8 60$ 16 726$ 264,902$ 242$ 504 30,482$
Manager 3 12.00$ 8 96$ 16 576$ 210,240$ 384$
TTL LABOR 43 253$ 4,486$ 1,637,536$ 1,014$ 3360 164,237$
5
FIXED COSTS
running ttl 804,400$ 1,878,400$ 2,582,800$ 2,817,600$ 3,756,800$ 11,740,000$
COST QTY TTL PER 2018 2019 2020 2021 2022 TTL
Containers 35000 1 35000 525000 1400000 1925000 2100000 2800000 8,750,000$
Shipping 2500 1 2500 37500 100000 137500 150000 200000 625,000$
Computers 150 40 6000 90000 240000 330000 360000 480000 1,500,000$
Chairs 20 40 800 12000 32000 44000 48000 64000 200,000$
Modem 2000 1 2000 30000 80000 110000 120000 160000 500,000$
Misc. Office Supplies 150 1 150 2250 6000 8250 9000 12000 37,500$
Internet Line Set Up 450 1 450 6750 18000 24750 27000 36000 112,500$
Printers 35 1 35 900 2400 3300 3600 4800 15,000$
Platform buildout 100000 20000 20000 20000 20000 180,000$
6
Prospected Market Growth for the Document Management Services Market in the US
Year Revenue ($m)%Change
RevenueIVA ($m) Establishments (Units) Enterprises (Units) Employment (Units)
2015 5,444.1 4.22% 3,296.7 1,918 1,574 62,341
2016 5,553.8 2.02% 3,384.0 1,955 1,603 63,861
2017 5,659.2 1.90% 3,470.4 1,989 1,630 65,291
2018 5,739.8 1.42% 3,543.8 2,016 1,650 66,477
2019 5,815.4 1.32% 3,615.2 2,040 1,668 67,548
2020 5,901.8 1.49% 3,693.6 2,062 1,686 68,630
Average CAGR 2016-2020
1.96%
Added Employee
Units 2016-2020
6,289
Revenue Increase 2016-
2020$28,760m
7
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FEE
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INER
Individually-fitted computer workstations.
Externally fitted with solar panels and photovoltaics to generate and store power.
Internal and external insulation for temperature control.
Features of the Incuvator Container
8
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2. "Is This Humanitarian Migration Crisis Different?" Migration Policy Debates (2015): n. pag. 7 Nov. 2015. Web. 1 Nov. 2016. <https://www.oecd.org/migration/Is-this-refugee-crisis-different.pdf>.
3. "Literacy Rate Up Among Refugees." People. Financial Tribune, 07 June 2016. Web. 1 Nov. 2016. <https://financialtribune.com/articles/people/43072/literacy-rate-up-among-refugees>.
4. Capps, Randy, and Michael Fix. "Ten Facts About U.S. Refugee Resettlement." Research. Migration Policy Institute, 01 Mar. 2016. Web. 18 Nov. 2016. <http://www.migrationpolicy.org/research/ten-facts-about-us-refugee-resettlement>.
5. "Getting the New Arrivals to Work." Business Section. The Economist Newspaper, 12 Dec. 2015. Web. 1 Nov. 2016. <http://www.economist.com/news/business/21679791-businesses-could-benefit-and-refugees-integrate-faster-if-ewcomers-europe-were-able>.
6. "Document Management Services." IBISWorld. N.p., 1 July 2016. Web. 1 Nov. 2016. <http://clients1.ibisworld.com/reports/us/industry/default.aspx?entid=5044>.
7. Graham, Luke. "Companies Face ‘crippling' Talent Shortage." Jobs. CNBC LLC, NBC Universal, 18 May 2015. Web. 1 Nov. 2016. <http://www.cnbc.com/2015/05/15/manpower-says-businesses-face-crippling-talent-shortage-across-the-world.html>.
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