1 finex the express way to finance the college experience
TRANSCRIPT
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Mission
FinEx will provide financial aid services to help parents and students
No More Paperwork! Hassle-free form filling
Expert advice and assistance to consider costs of education, plan, understand options, and obtain aid
FinEx
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Office Location: Overland Park Target Market: Johnson County
Population: 491,713 High Population Growth: 8.9% from 2000-2004 High School Population: 32,649 95.7% of residents complete high school
(highest in nation) Middle to upper-middle class Median income: $62,155. Mean income: $79,768. Some students may not qualify for aid at state
schools, but many would qualify at expensive private colleges!!
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Target Market: High School Students’ Families in USA
2004 US Population: 285,691,501 National High School Enrollment: 16,626,365 83.9% complete high school. 27.0% get bachelor’s
degrees. Median household income: $44,684 Mean household income: $60,070
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Market
MARKET TARGETS 5% of Johnson County high school seniors = 408 clients
50% of clients also subscribe to paperwork service 1% of Johnson County remaining high school students = 245
clients 0.2% of seniors nationwide = 8,297 clients
MARKET FORECASTS Johnson County population growth of 0.77% Nationwide population growth of 0.91% Nationwide College enrollment growth of 0.20% Est. Sales 2006, $693,576.28. Est. Sales 2012, $705,901.83
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Services Available
National Online Services FAFSA, CSS/Profile
completion Completion of individual
college aid forms $59.99 + $4.99/college
aid form
Office Consultation One-Hour Consultation
Scholarship/Grant Application
Aid Comparison Loans Pre-Planning General Cost Planning $70/hour
Form Completion w/hour consultation, $29.99
+ $4.99/college aid form
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Customer ResponseSurvey given to 16 families with college-bound children in Johnson County
Willingness to Pay for Hourly Appointment
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0 30 40 50 60 70 80
$ per Hour
# Res
pond
ents
Willingness to Pay for Form Completion
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0 30 40 50 60 70 80 100 120 200
$ for Form Completion
# Res
pond
ents
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Timeline for Business
July Secure Financing Find office location
August Purchase office materials Build-out office space Prepare for upcoming
business
Open For Business Office: Sept 1, 2006 FinEx.com and
FinExOP.com online Sept 5, 2006
Events Guidance counselor info
session, Sept 19th Parent/Student/Guidance
counselor, November
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Advertising & Marketing: Counseling Service
Target high school guidance counselors
Post/hand out flyers at high schools, libraries, grocery stores, churches, parks
Rent space for one-day information sessions: give some free advice; allow parents, students & teachers to ask questions. Give “limited-time only” discount offers there.
Promote info sessions in KCStar, Johnson County Sun, and Star Magazine
Website: www.FinExOP.com
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Advertising & Marketing: FAFSA/CSS Form Service
Website: www.FinEx.com Revenue share with PrepMe
& EssayEdge Traffic goes to our site;
gain credibility and traffic Partner with as many
companies as feasible Practice Search Engine
Keyword Optimization Buy Google Adwords; pay
per click. Cost: $.05-$1.00/click for
keywords we would want.
FinEx
Promote FAFSA/CSS service with counseling clients in Overland Park; Gain credibility and
traffic Print advertising in
Money Magazine, Ladies Home Journal, US News Newsweek Cost: $40,000-
$220,000/full-page ad. Only after significant website traffic
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FinEx: The Express Way to Finance the College Experience
Sending your child off to college is hard enough without all of the paperwork.
Let FinEx make it easier! Schedule an appointment, and we will do all your financial research for you—from scholarships to cost comparisons to aid qualification—before you even arrive!
Or, if you just need help filling out those pesky forms, we’ll take care of that too!
FinEx
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Balance Sheet for Finex: Hassle-free Financial Aid
Quantity Income (billed yearly) price per year quant/yr Total % of sale8,297 Basic Paperwork Plan 59.99$ 1 497,728.51$ 71.8%8,297 +additional schools 4.99$ 2 82,802.64$
204 Discounted Paperwork Plan 29.99$ 1 6,119.65$ 0.9%1,061 Hour Counsultations 70.00$ 1 74,276.48$ 10.7%
408 Half-hour Consultations 40.00$ 2 32,649.00$ 4.7%
Gross Sales 693,576.28$ 100.0%
Quantity Expenses unit cost quant/yr Total % of sale1 manager 48,000.00$ 1 48,000.00$ 6.9%7 data/call center employees 28,000.00$ 1 196,000.00$ 28.3%3 counselors 35,000.00$ 1 105,000.00$ 15.1%
26 seasonal employees 8.00$ 160 33,280.00$ 4.8%1 receptionist 25,000.00$ 1 25,000.00$ 3.6%
14 computer systems 800.00$ 0.2 2,240.00$ 0.3%1 server 800.00$ 0.2 160.00$ 0.0%1 website maintenance 200.00$ 12 2,400.00$ 0.3%1 fax machine / copier 500.00$ 1 500.00$ 0.1%2 laser printer 800.00$ 0.2 320.00$ 0.0%1 toner 130.00$ 10 1,300.00$ 0.2%1 shredder 2,400.00$ 0.2 480.00$ 0.1%8 desks 250.00$ 0.2 400.00$ 0.1%
12 chairs 70.00$ 0.2 168.00$ 0.0%4 file cabinets 140.00$ 0.2 112.00$ 0.0%
13 4' tables 34.00$ 0.2 88.40$ 0.0%7 4-pk folding chairs 90.00$ 0.2 126.00$ 0.0%1 misc equipment/supplies 1,000.00$ 1 1,000.00$ 0.1%1 accounting/legal services 300.00$ 12 3,600.00$ 0.5%1 rent 3,000.00$ 12 36,000.00$ 5.2%1 insurance 2,000.00$ 1 2,000.00$ 0.3%1 utilities 500.00$ 12 6,000.00$ 0.9%1 postage 3,318.74$ 2 6,637.49$ 1.0%
35 250 envelopes 5.00$ 2 350.00$ 0.1%1 office supplies 70.00$ 12 840.00$ 0.1%
advertising 0.05 34,678.81$ 5.0%
Total expenditures per year. 506,680.70$
income 693,576.28$ expenditures 506,680.70$
net pre tax 186,895.58$ 0.15 income tax 28,034.34$
shareholder's equity 158,861.24$
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Competitive Analysis
Form Filling Service: Competitors http://fafsa.ed.gov/
The official FAFSA website for filling out the form over the internet
Advantages
1. Free
2. Official and secure
Disadvantages
1. Must acquire a PIN from http://www.pin.ed.gov/ before you can begin filling out the form
2. Time consuming: user must go through 43-54 different screens before completion
3. Opportunity for error that can result in incompletion of the FAFSA form
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http://www.fafsa.com A private company that helps you fill out your FAFSA form for a fee,
either over the internet or phone.Advantages1. Phone service reportedly only takes 15 minutes (this data sounds
questionable)2. Company provides tracking information about your FAFSA and alerts
you when it is able to be viewed by colleges.3. Does not require signing up for a PIN.4. FAFSA is reviewed for accuracy by professional employees.Disadvantages1. Very similar to the free service offered through the official website.2. High cost of $79.99 for first time users, $49.99 for renewals.
http://www.fasfa.com Similar cost and service as the above website, however, no phone
service available
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The FinEx difference
FinEx form filling costs only $59.99Minimal work is required of our
customers.Customer Service available around the
clock to assist with any questions.
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Counseling Service: Competitors
Nearly all colleges have their own Financial Aid Office for assistance.
Some general counseling companies exist: College Solutions http://go2collegesolutions.com/
Provides a wide variety of services including some free consultation, financial review, professional essay review, preparation of common application, and preparation of FAFSA and CSS.
Pricing information unavailable at this time One location in Framingham, Massachusetts
Phillips Financial Aid Services http://financialaidhelp.com/ Assists primarily with financial planning for college Price Range from $45 to $589
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Other competitors:
Scholarship Service: www.fastweb.com is a prominent online scholarship search tool
Aid Comparison: USNews, CollegeBoard, and other companies offer web based aid comparison free of charge
Loans: Various websites with useful informationPre-Planning and General Cost Planning: Financial companies such as
H&R Block and Schwab offer services to plan for college
There are also many books about maximizing financial aid and planning for the costs of college.
Our area of location and the comfort and ease of dealing with professionals at a personal level will be sufficient to compete in these markets.