Soundcessories LLC is a five-person partnership that will produce and sell smartphone accessories locally. Their flagship product is a smartphone case with a built-in wheel to store headphones and prevent tangling. They project $23,000 in profits by the end of the first year through sales of their innovative product. The management team consists of four engineering students and one business consultant who will handle production, marketing, sales and finances to launch the startup.

1. Soundcessories Business Plan
Engineers: David Guinn
Campbell Goodman
Amanda Pascarelli
Leiqing Cai
Business Consultant: Shannon Hagginbothom

2. Executive Summary
Soundcessories LLCisa five-waypartnershipthatwill produce andsellsmartphoneaccessories
inthe local Charlottesville area. Ourflagshipproductisasmartphone case that hasa storage area on
the back in the shape of a wheel. The usercan wrap a pairof headphonesaroundthiswheel toprevent
tangling. Thisisa unique ideainthe smartphone accessoryindustryandwillsolve aproblemfacedby
all musiclovers. We intendtomarketthisproduct to anysmartphone userinthe local area. We will
workwithMakeXYZ,a 3D printingcompany,toproduce our cases. Once salesexceed1000 unitsper
month,we will alsopartnerwithWebgistix tohandle ourmail orderfulfillment. Ourprojectedprofitis
$23,000 bythe endof the firstyear. Our teamconsistsof fourengineeringundergraduate studentsand
one liberal artsmajorat the Universityof Virginia.
Ownership
SoundcessoriesLLC,headquarteredatCharlottesville,Virginia,isacompanythat designs
and sellsaccessoriesforconsumerelectronics.The currentfocusof ourcompanyis,an innovative smart
phone attachmentthatpreventsearphone cordsfromformingknots.
The founderof Soundcessories,DavidGuinn,isalsothe CEOof the company.Otherco-owners
include Campbell Goodman(Chief OperatingOfficer),LeiqingCai (Chief Information
Officer),AmandaPascarelli (Chief Financial Officer) andShannonHagginbothom(Chief
Revenue Officer). We will registerthe Soundcessoriesasliabilitylimitedcompany(LLC) inthe formof a
Partnership.The mainjustificationisthatthe personnel structure issmall andthe operation
isrelativelysimpleatthisstage.Accordingtothe financial plan,the original fundingsource isthe Jenner
FamilyAwardforStudentEntrepreneurshipwhichcomprisesof a$2500 prize.

3. If such an optionisnot immediatelyavailable,the companywill take outa$2500 loan. If we receive the
award lateron,we will use the additional fundstospeedupthe expansionprocessbyscalingup
quantityof productionandadvertisingeffortproperly.ByregisteringSoundcessoriesasLLC,we are
able to avoiddouble taxing(asacorporation) andcomplicatedpaperworktoenable usto
solelyfocusonthe mainbusinessof the company.
Descriptionof Business
Soundcessoriesrepresentsthe frontline of innovativeproductsforyoursmartphone.Focusing
on casesto protectyour phone,Soundcessoriesputsinthe man-hourstosolve the inconvenientissues
that plague smartphone users. Ourfirstproducttocome to marketwill be aphone case to preventyour
earphonesfromformingacomplicatedandfrustratingknotinyourpocket. Itcomesin twovarieties.
The firstis a wheel withadhesive onone end. The wheelcanbe stuck ontothe back of an iPhone or
othersmartphone andthe usercan wrapheadphonesaroundittopreventtanglingormisplacement of
the headphones. The second variety isanentire iPhone case withthe previouslydescribed wheel
convenientlybuiltintothe case. While we plantorelease multiple productsinthe marketof
smartphone cases,thisfirstproductshouldestablishthe Soundcessoriesname asa qualityproduct
solvingreal worldproblems.
Anymusicconnoisseurhasexperiencedaballedupstringof earbuds fromtheirpockets.The
ear budstringeasilyformsa knotina pocketfromsimple legmovementslikewalking.Whenmusic
listenerstrytoretrieve theirearphonesforuse theymustspendfrustratingtime inanattemptto
untangle themfromthe balledupknot.Especiallyincollegeculture where manystudentslike tolisten

4. to musicin-betweenclasses,listenerswill retrieve theirearbudsupto maybe tentimesa day.The
frustrationwithdealingwithclutteredearphonespilesup,asnosolution exists.Now thesemusicfans
have foundsalvationastheircasesthat protecttheirpersonal smartphonecankeeptheirearbudsneat
and orderly.
The product featuresasturdyphone case capable of protectingthe smartphone aswell asany
existingproduct.Anysmartphonecase owner’s firstprioritywill alwaysbe the protectionof their
phone.Otherwisethesepotential clientswouldnotbotherwithsuchbulkyphone apparel. The
headphone wheel case ismade of toughABSplastic,the same material fromwhichfootball helmetsare
made. Attachedto the case is a wheel designedforeffective andsecure storage of earbudsinpockets
or anywhere else the phone goes.The wheeldoesstickoutfromthe case howeveritisfar lessbulky
than anykeychain or any otherside itemthatcouldbe inthe pocketwitha phone.
Witha finalizeddesignfromourLeadInnovatorandCEO DavidGuinn,Campbell Goodman,the
Chief OperationsOfficer,willuse hisAutoCADexperience tocreate acoordinate model of the designof
the Soundcessoriescase.This3D model createdinAutoCADwill allow ustouse 3D printerstomass-
orderour case to sell toour customers.Because we are startingsmall,the 3D printersshouldbe able to
handle the demandforourproduct. However,productionupgradeswill becomenecessary.
Market Information
Withthe overwhelmingmajorityof Americansowningsmartphones,the industryfor
smartphone casesismassive.SoundcessoriesCorporation’scompetitive advantageisthe wheelthat
untangles,organizes,andstows,users’headphones.The customerswouldbe smartphoneuserswho
listentomusicon theirphone,whichinfactisa highproportionof the 300 millionactive iPhoneusers
and 800 millionAndroidusersworldwide. Becauseourproductdoesnotalreadyexist,there wouldbe

5. little identical competition.The maincompetitionwouldbe betweenalreadyexistingsmartphonecase
prototypeslike the OtterBoxandthe LifeProof case,bothof whichhave made lastingbrandingimpacts
for theirsuccessinphone protectionanddurabilitywithwarranty.
Most smartphone usersoptto protecttheirroughly$200-$800 device inacase.They seekutility
and durability.The headphonewheel definitelyaddsvalue toa smartphone accessorydevice.Currently,
smartphone ownerswillspend$56.18 on accessoriesperdevice. The smartphone accessoryindustryis
estimatedtogrowto $36 billionby2017. Thus,adoptinga scalable marketingplanremainskeyto
successful assimilationintothe market.
In the beginning,asmall marketingpushwouldbe betterwithalimitedbudget.Customers
wouldlikelybe local collegestudents.Withasmall startingmarketingbudget,mostadvertisingwould
be word of mouth.The teamcouldmarketthe product to friends, sportsteams,UVaCIOs,alongwith
fraternitiesandsororities.Ideally,the marketingpushcouldbe togetcustomerstopurchase the
productbefore havingitproduced,sothat Soundcessorieswasnotleftwithanyextrainventory.Asa
startupin Charlottesville,Soundcessorieswouldbe able toadvertiseatthe TomTom Festival inthe
springand couldevensetupfree tablingaroundgroundstoexpanditsmarket. Withthe current
technological generation,Internetadvertising alsoseems relevanttoourproduct.A possible
advertisementonPandora,Spotify,orSongzawouldreachour optimal customerpool.
In a hypothetical situationwhere Soundcessories Corporationreceivedalarge investment,
brandingwouldbe a largerportionof the marketingscheme.Because the potentialpool of customersis
so large,Soundcessorieswouldneedtomake a statementtodistinguishthemselvesfrompotential
knockoff competitors.Brandingandidentifyingwithalogoor a catch phrase like,“Untangle YourMusic,
Untangle Your Life”thatwouldappearinadvertisingcampaignsare crucial forestablishinganimage.
The otter logoensuresthe successof the OtterBox Companyas itdistinguishesthe productfrom
competitorsandallowsforthe companyto charge a higherprice for the brandedimage.

6. Management
In the earlymonthsof the company,the involvementof manyemployeesandconsultantsisnot
necessaryasSoundcessorieswillstartoutsmall.Ensuringthe successful creation,design,production,
sale,anddistributionof Soundcessoriesproductswill onlyrequirethe followingmanagementteam:
● DavidGuinn - Chief ExecutiveOfficerandLeadInnovator
● LeiqingCai - Chief InformationOfficerandManufacturingandProductionCoordinator
● Campbell Goodman - Chief OperatingOfficerandClientRelationsOfficer
● AmandaPascarelli - Chief Financial Officer
● ShannonHagginbothom - Chief Revenue OfficerandMarketingManager.
DavidGuinn,the CEO and founderof Soundcessoriesconceptualizedanddesignedthe
company’sflagshipproduct,soforthe firstfew monthsthere will be noneedtohire adesigner. All
productsand innovationswill,forthe foreseeable future,be handledin-house byDavidGuinntogether
withthe restof the team. Inadditiontoproductdesign,Davidassistsinmailinganddistribution.
As the ManufacturingandProductionLeader,LeiqingCai willensure the efficientproductionof
the headphone wheelsandcases. The piecesrequiredtocompletethe productwill be producedbya
3D printingcompanycalledMakeXYZ.Ourcompanyisstartingout small enoughthatthe five of uswill
assemble the necessarypiecesforthe firstfourmonths.Byassemblingthe productourselves,we will
not have to allocate capital towardshiringfactoryworkers. Once ourordersexceed1000 per month,
Leiqingwill workwithonlinemail orderdistributioncompanyWebgistixtocoordinate delivery.

7. ShannonHagginbothomwillmanage the company’s advertisingandpublicimage. Advertising
will consistof Facebookadvertisements,the creationof awebsite,flyers,posters,andbillboardswhich
can all be completedbythe teamof five.Once the companyexpands,theremaybe a needtohire
individualemployeestohandout flyerstoincrease the numberof potentialcustomers.
All saleswill be directedtoCFOAmandaPascarelli eitheronline throughthe Soundcessories
website oronan individualbasisdue tothe local nature of our product.All products will be distributed
throughmail whicheliminatesthe needtohire truckdriverstodeliverthe finishedproducttothe
customers. Campbell Goodman,COOandClientRelationsOfficerwill handle interfacingwithclients. He
will alsoassistincoordinationof salesandmail orderfulfillment.

8. Financials
Cash Flow Month 1 Month 2 Month 3 Month 4 Month 5 Month 6
Starting Budget $2,500.00 $3,375.00 $4,500.00 $6,750.00 $11,250.00 $12,587.00
Costs
Production Cost(Case) ($975.00) ($1,300.00) ($1,950.00) ($3,250.00) ($4,225.00) ($4,745.00)
Production Cost(Wheel) ($450.00) ($600.00) ($900.00) ($1,500.00) ($1,935.00) ($2,250.00)
AdvertisingCost ($628.00) ($804.00) ($856.00) ($960.00) ($1,500.00) ($1,500.00)
Website, Transportation,Misc. ($50.00) ($225.00) ($250.00) ($250.00) ($100.00) ($100.00)
Loan Payment ($250.00) ($250.00) ($250.00) ($250.00) ($250.00) ($250.00)
Distribution Cost ($147.00) ($196.00) ($294.00) ($490.00) $0.00 $0.00
Webgistix $0.00 $0.00 $0.00 $0.00 ($3,237.50) ($3,700.00)
Sales
Projected Sales (Case) $2,250.00 $3,000.00 $4,500.00 $7,500.00 $9,750.00 $10,950.00
Projected Sales (Wheel) $1,125.00 $1,500.00 $2,250.00 $3,750.00 $4,837.50 $5,625.00
Summary
Total Cost ($2,500.00) ($3,375.00) ($4,500.00) ($6,700.00) ($11,247.50) ($12,545.00)
Total Revenue $3,375.00 $4,500.00 $6,750.00 $11,250.00 $14,587.50 $16,575.00
Total Profits $875.00 $1,125.00 $2,250.00 $4,550.00 $3,340.00 $4,030.00
$ Paid to Team $0.00 $0.00 $0.00 $0.00 $2,000.00 $2,000.00
Units Sold
Wheel 150 200 300 500 650 730
Case 150 200 300 500 645 750

9. Cash Flow Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 Totals
Starting Budget $14,575.00 $17,350.00 $20,500.00 $24,000.00 $28,837.50 $35,250.00
Costs
Production Cost(Case) ($5,590.00) ($6,500.00) ($7,800.00) ($9,100.00) ($9,750.00) ($11,050.00)
Production Cost(Wheel) ($2,580.00) ($3,000.00) ($3,600.00) ($4,335.00) ($6,300.00) ($8,400.00)
AdvertisingCost ($1,750.00) ($2,350.00) ($2,500.00) ($2,800.00) ($3,000.00) ($3,500.00)
Website, Transportation,Misc. ($100.00) ($250.00) ($350.00) ($400.00) ($500.00) ($800.00)
Loan Payment ($250.00) ($250.00) ($250.00) ($250.00) ($250.00) ($250.00)
Distribution Cost $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Webgistix ($4,300.00) ($5,000.00) ($6,000.00) ($7,112.50) ($9,000.00) ($11,250.00)
Sales
Projected Sales (Case) $12,900.00 $15,000.00 $18,000.00 $21,000.00 $22,500.00 $25,500.00
Projected Sales (Wheel) $6,450.00 $7,500.00 $9,000.00 $10,837.50 $15,750.00 $21,000.00
Summary
Total Cost ($14,570.00) ($17,350.00) ($20,500.00) ($23,997.50) ($28,800.00) ($35,250.00)
Total Revenue $19,350.00 $22,500.00 $27,000.00 $31,837.50 $38,250.00 $46,500.00
Total Profits $4,780.00 $5,150.00 $6,500.00 $7,840.00 $9,450.00 $11,250.00
$ Paid to Team $2,000.00 $2,000.00 $3,000.00 $3,000.00 $4,000.00 $5,000.00 $23,000.00
Units Sold
Wheel 860 1000 1200 1400 1500 1700 10190
Case 860 1000 1200 1445 2100 2800 11950

10. For the firstfourmonthsof the company’soperationall revenue will be usedtoexpand
productionof casesand none will be puttowardspayingemployees. Fromthe fifthmonthon,each
employeewillbe paid$400, withthe compensationincreasingevery3months. Bythe endof the first
yeareveryemployee will have made about$4,300. Thisisnot a significantamountof moneytolive off
of as a salary,but forcollege studentssuchasourselvesitisnosmall sum. Additionally,eachyearafter
the first, eachemployee wouldmake significantlymore money.
To calculate the price for eachproduct,we took intoaccount productioncostandthe price of
our competition. Tobuya highqualityiPhone case fromaname brand companycan cost anywhere
from$50 (Otterbox) to$80 (LifeProofCases). Ourcase is pricedat $15, lessthana third of our cheapest
name brand competitor. The wheel attachmentispricedat$7.50 since the productioncostwasabout
half that of the case.
Our budgetstartswith$2500 thatwe get by takingouta loan. Each monthwe pay back $250 to
have the loanpaid backby the endof the year with20% interest,aworstpossible case scenario. The
productioncostof $6.50 per case and $3.00 perwheel isbasedonthe quote we receivedfroma3D
printingcompanycalledMakeXYZ. The advertisingcostwascalculatedasthe price itwouldcostto print
out fliersandadvertise online ata rate of $0.05 perclickon our ads,a fairlystandardrate for Facebook
advertising.
Distributioncostincludesthe price of personallymailingeachordertoeachcustomer. Each
case issmall andlightenoughtomeetthe US Mail requirementsforstandardenvelope mailing. This
meanstheywouldonlyneedone $0.49 stampeach, sodistributioncostis$0.49 x numberof unitssold.
Afterourprojectedmonthlyordersexceed1000 unitsinthe 5th
month,we will hire acompanycalled
Webgistix tohandle all online orderfulfillment. Thismodel ismuchmore expensive,at$2.30 per order
fulfilled,butthere issimplynowayforourteam of five people tohandle anymore than1000 units
mailedina month. Projectedrevenuesare calculatedassumingthateverymonthwe are able to sell

11. everyunitwe producedthatmonth. The miscellaneouscategoryisanattemptto allocate money
towardscosts we will notexpect,suchasdrivingtothe post office tomail outour orders.