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BUSINESS/STRATEGIC PLAN REPORT FOR
UMBRELLA CINEMAS INC.
Prepared by:
Client, xx
Nov. 2020
A Business plan report for Umbrella Cinemas Inc. an online video streaming, production and social
media company located in Manchester, United Kingdom.
WORD COUNT: 4,299
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TABLE OF CONTENTS
TABLE OF CONTENTS................................................................................................................ 2
CHAPTER ONE ............................................................................................................................. 4
INTRODUCTION .......................................................................................................................... 4
1.1 INTRODUCTION.......................................................................................................... 4
1.2 BRAND DESCRIPTION............................................................................................... 4
1.3 OBJECTIVES................................................................................................................. 5
1.4 ORGANIZATIONAL STRUCTURE .......................................................................... 5
1.5 COMPANY VISION AND MISSION.......................................................................... 6
CHAPTER TWO ............................................................................................................................ 7
MARKET ANALYSIS AND COMPETITIVE LANDSCAPE ..................................................... 7
2.1 INDUSTRY/MARKET ANALYSIS AND TREND.................................................... 7
2.2 COMPETITOR ANALYSIS ......................................................................................... 7
2.3 CUSTOMERS................................................................................................................. 9
CHAPTER THREE ...................................................................................................................... 11
CONTEMPORARY BUSINESS STRATEGIES......................................................................... 11
3.1 SWOT ANALYSIS....................................................................................................... 11
3.2 SHAREHOLDER VALUE AND SELECTION OF KEY PERFORMANCE
INDICATORS......................................................................................................................... 13
CHAPTER FOUR......................................................................................................................... 16
OPERATIONAL PLAN ............................................................................................................... 16
4.1 Key Management Personnel........................................................................................ 16
4.2 Duties and Responsibilities.......................................................................................... 16
CHAPTER FIVE .......................................................................................................................... 18
STRATEGIC MARKETING PLAN ............................................................................................ 18
5.1 PRODUCT .................................................................................................................... 18
5.2 PRICE ........................................................................................................................... 18
5.3 PLACE .......................................................................................................................... 18
5.4 PROMOTION/ MARKETING CAMPAIGN ........................................................... 18
CHAPTER SIX............................................................................................................................. 28
FINANCIAL PLAN...................................................................................................................... 28
CHAPTER SEVEN ...................................................................................................................... 33
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STRATEGIC RISKS WITHIN THE PROPOSED PLAN ........................................................... 33
CHAPTER EIGHT ....................................................................................................................... 35
RECOMMENDATION AND CONCLUSION............................................................................ 35
REFERENCES ............................................................................................................................. 36
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CHAPTER ONE
INTRODUCTION
1.1 INTRODUCTION
The global video streaming market size was valued at GBP 31.9 billion in 2019 and is projected
to grow at a compound annual growth rate (CAGR) of 20.4% from 2020 to 2027.
Blockchain and Artificial intelligence technologies are expected to boost the video streaming
market, Artificial intelligence will make it easier for cinematographers and producers to make
video content, even script writers, video editors and other areas in post-production (grand view
research 2020). Recently, the popularity of such platforms over broadcast media, such as YouTube
and Netflix, have increased considerably. The innovative smart phone technologies and cloud
based solutions have even helped to boost the industry, by providing users with more flexibility to
stream content easily and content creators with more options to market their platforms on social
media.
1.2 BRAND DESCRIPTION
Umbrella Cinemas is a technology, entertainment and production company that provides online
video streaming content and social media messaging. Umbrella Cinemas is an exceptional online
streaming platform founded by Paul Ryan, one of Hollywood’s finest Executive Producers and
Mamod Akpan, a tech expert and former operations director in Netflix. Umbrella Cinemas is a
social medium where users can interact via text, audio and video calls etc. The platform will also
produce original video content by partnering with Warner studios in USA and one or two European
studios. Users will have access to the social media platform to use freely, but will be required to
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pay a monthly fee if they choose to subscribe for the video content (TV shows and movies) offered
by the platform.
1.3 OBJECTIVES
The objective of this business will be to provide quality video streaming and social media services
to our targeted audience. This will be achieved by good quality video content including TV shows
and movies, creation of a friendly and interactive social medium where users can livestream
themselves and post their amazing content online, we will recruit professionals to handle most of
this operations. We will provide people with original video content, as we intend to partner with
Tyler Perry studios to produce more Hollywood movies and two other studios in Europe.
1.4 ORGANIZATIONAL STRUCTURE
Figure 1. Umbrella Cinemas Organizational Structure
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1.5 COMPANY VISION AND MISSION
i. Business Vision
To be a market leader in online video streaming, game streaming, social messaging and production
of TV shows and movies.
ii. Business Mission
 To entertain the world
 To continually meet and exceed the needs of our customers while also providing
innovative, top quality service and products.
 To develop our business partnerships and staff through good values, communication and
mutual trust.
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CHAPTER TWO
MARKET ANALYSIS AND COMPETITIVE LANDSCAPE
2.1 INDUSTRY/MARKET ANALYSIS AND TREND
By 2018, the global video streaming market had been valued at £28.92 billion and was projected
to get as high as £112 billion by 2026, at a compound annual growth rate of 18.3% from 2019 to
2026. Video streaming is highly sort after because streaming and video content can be accessed
anywhere and at any time without the need to store the content on a hard drive (Allied market
research 2019).
2.2 COMPETITOR ANALYSIS
Umbrella cinemas is a unique platform that provides three main categories of service; a social text
messaging platform, a livestream/broadcast media platform for gaming, video/voice calls etc. and
an online video content platform where users get access to both original content TV shows and
movies, and partnering video content. We expect to have competition from two broad categories:
a. The online video content providers (e.g. Netflix, YouTube, Hulu, Amazon Instant Video
etc.)
b. Social media platforms (e.g. Instagram, Twitch, Twitter etc.)
 Category A:
This category contains the major competitors, and are those that provide similar video streaming
services as umbrella. Some of them are as follows.
 Hulu:
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Hulu provides video streaming services through its website, and also syndicates its hosting to other
sites thereby allowing its users to clip its video content on other sites (Adhikari et al. 2014; Arteoro
2010). Hulu houses major brands like NBC, ABC, Fox etc.
 Netflix:
Netflix is the biggest video streaming company in the world, they are very innovative, and
constantly try to fine-tune their business model to provide more value to their customers (Jenner
2018; Wayne 2018).
 Amazon Instant Video or Amazon Prime:
Amazon provides a somewhat unique service by allowing its users to download video content to
any Unbox-registered PC or TiVo from their PC, or download the video content to their home PC
from another computer. (Wayne 2018).
 Cable/Satellite Television
Cable and satellite TVs are the most common, and one advantage they have is the ability to stream
live sports matches on them, while also offering replays of your favorite TV shows. Many online
TV haven’t been able to successfully offer these services.
 Free Online Television and Sleep
Sleep might sound very absurd, but it is one very strong competitor of video streaming, as users
might choose to rest than staying glued to the TV, also unlike Netflix and Hulu that offer premium
paid services, many sites offer free viewing without any financial commitment, users often prefer
free services.
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Other competitors include; YouTube premium (Burgess 2011), Facebook TV etc.
 Category B:
For this category, we expect to have strong competition from other social media platforms like the
following:
 Instagram:
Instagram (from Facebook) allows you to create and share your photos, stories, and videos with
the friends and followers you care about. Connect with friends, share what you're up to, or see
what's new from others all over the world (Teo et al. 2019; Instagram 2019). Explore our
community where you can feel free to be yourself and share everything from your daily moments
to life's highlights.
 Twitch:
Twitch is a video livestreaming service that is operated by twitch interactive, a subsidiary of
Amazon (Gros et al. 2017). Twitch is common among gamers, as it is used to livestream games
and other events.
 Twitter:
Twitter is a social networking and blogging site where users post and interact with messages
(tweets). It is one of the most common in the world. (Wu et al. 2011)
2.3 CUSTOMERS
Umbrella Cinemas will be providing a unique social messaging and livestream site, with a variety
of TV shows and DVDs to satisfy customer’s needs. We expect that customers that use our
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platforms are anyone old enough to use both social media and watch movies. Most of our movies
have parental guidance restrictions. For our video content, our client base include the following:
Table 1. Umbrella Cinema Inc. Client base
Segment Product Offering
Children Cartoons, Animated Movies
Teenager Romantic Movies, TV serials, Sports, Musical Shows and so on.
Elder Latest movies, Sports, Musical shows
Job Holder News Channels, Sports, Business shows.
Old age Spiritual shows, Reality shows
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CHAPTER THREE
CONTEMPORARY BUSINESS STRATEGIES
3.1 SWOT ANALYSIS
a. Strengths:
i). Relationships with studios, directors and Hollywood: With Paul Ryan, one of Hollywood’s
finest executive producers as one of our cofounders and manager, umbrella cinemas would have
great advantage with studios in both Hollywood and other parts of the film industry globally. This
will help us better produce original content films and TV shows, and partner with other film
academies and organizations.
ii). Familiarity with video streaming tech operations and basics: Another cofounder of ours
Mamod Akpan, has been an operations director with Netflix, the largest video streaming firm in
the world, he was a part of the company since its transition from DVD rentals to online video
streaming, and has been a key personnel in some innovative new features of Netflix. Mamod
Akpan would be very instrumental to our operations department, and would ensure that Umbrella
Cinemas is a topnotch video streaming company.
iii). Video streaming + Social Media + Original video content in one platform: Unlike Netflix,
Hulu and Twitch which are just video streaming companies providing TV shows, movies and
gaming video streaming separately, Umbrella cinemas would provide all of these packages in a
single platform.
iv). Recommendation Algorithm Umbrella Cinemas would utilize already built algorithm to
recommend movies to clients based on their search history.
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v). Low price per title: Having studied the pricing structure of our main competition, Umbrella
cinemas plans to add a 30% price deduction from their monthly or annual fees to be competitive
with Netflix and Hulu.
vi). Monthly feemodel: This method allows Backyard to fix a flat monthly fee to use their services.
b. Weaknesses:
i). Inadequate funding and suppliers: Umbrella Cinemas is still a new business venture, and does
not have enough capital right now to compete with streaming giants like Hulu and Netflix that are
worth billions of dollars already.
ii). Studios define release: Movie producers and their studios determine when to release their
content to the market, and it is only when they have specified on the date that Umbrella can rent
out these DVDs.
c. Opportunities:
a). Digital delivery. The company knows what the consumer needs, and can use this knowledge
and opportunity towards digital delivery.
b). Video on Demand (VOD): An opportunity has risen in this sector, and umbrella is ready to
meet the demand.
d. Threats:
a). Peer-to-peer live streaming, Blue ray and illegally downloading and publishing our premium
content.
b). Studios might need insurance and more profit, and might decide to form alliance with bigger
players in the industry like Netflix, Hulu. This can affect startup companies like ours.
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c). Movie producers and studios might not be willing to negotiate fair terms in the revenue sharing
agreements.
3.2 SHAREHOLDER VALUE AND SELECTION OF KEY PERFORMANCE
INDICATORS
Smith (2015) described shareholder value as the creation of more wealth by investors and owners
of enterprises, and discusses whether management is doing its best to create this wealth. Smith
believed that to create wealth, you must get a return on investment that is higher than the capital
invested. We have designed a range of financial and non-financial key performance indicators to
appropriately measure shareholder value for Umbrella Cinemas Inc. These KPIs are measurable
value that will help the company evaluate its performance and business strategies, and keep track
of the progress on some business objectives.
While Umbrella cinemas is a new business venture with a huge capital investment, and a large
portion of the capital diverted to the different marketing strategies, it is paramount and completely
necessary to keep track of the progress of the business and on the marketing strategies and
measuring to what degree the shareholder value is being enhanced. We have highlighted six key
performance indicators that will help us monitor the performance of the marketing strategies we’ve
employed and also keep track of the performance of the business and shareholder value.
(a) Conversion Rate: As part of our marketing campaign, we are giving 6-weeks free access to all
our premium video content, TV shows, and movies. Every customer that signs up for this
promotion has the potential to contribute to the revenue of the organization if they stick to the
platform after the expiration of the promo, and continue subscribing. It is important to keep track
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of how many free accounts convert to sales, this can be determined by dividing the total number
of paid subscriptions with the number of free promo accounts at the end of a time period (say 2-
3months).
(b.) Monthly Recurring Revenue (MRR): This is a very popular metric, and it will look at the
revenue Umbrella will generate every month, which will re-occur with little to not additional
investment. Recall that the services offered by Umbrella cinemas requires each customer to pay a
monthly subscription fee of £6, the MRR would calculate how much is generated monthly by
calculating how many new and existing subscribers renew their subscription plan every month
multiplied by £6.
(c.) Revenue Growth Rate: This indicator is measured in percentage, and will help to assess how
the company is growing with regard to the annual financial forecast. The Revenue Growth rate
helps to ensure Umbrella Cinemas Inc. continues to grow at a target rate.
(d.) Traffic / Traffic-Lead Ratio: The Umbrella video streaming online platform is also a social
media for users to interact, hence, it is important to monitor how many site visitors per day, and
how much of that traffic converts into lead. A lead is a site visitor that does any of the following
three things:
i. Creates an account and starts using the platform
ii. Subscribes to the free 6-week promotion to watch premium video contents (TV shows, Movies
etc.)
iii. Subscribes immediately to the premium video content by paying the monthly fee of £6.
Therefore, a lead is a percentage of traffic which starts with creating an account.
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(e.) Net Profit Margin: The percentage of revenue remaining after operating expenses, interest and
taxes have been deducted from Umbrella’s total revenue. This will give a more accurate internal
figure for understanding profit, especially considering the repayment plan of the loan that will be
acquired to fund this business (duration of loan = 60months).
(f.) Return on Capital Employed (ROCE): ROCE is a financial ratio that determines a company’s
profitability and the efficiency of the capital that is applied, it is an indicator of shareholder value
creation. A higher ROCE implies a more economical use of capital; the ROCE should be higher
than the capital cost. If not, the Umbrella cinemas will be less productive and inadequately building
shareholder value.
Key Performance Indicators Target
1 Conversion Rate 25% within the 24months of the promotion
2 Monthly Recurring Revenue 5,000 monthly subscribers in its first year
(£30,000). 25,000 monthly in its second year.
3 Revenue Growth 5% growth within 5 years
4 Traffic/Traffic-Lead ratio (100:15) (site viewers: leads) = 15%
5 Net Profit Margin 12% within its first 5yrs
6 Return on Capital Employed (ROCE) 5% in line with competitors
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CHAPTER FOUR
OPERATIONAL PLAN
4.1 Key Management Personnel
Table 2. Management roles and key personnel
Key Management Roles Name
Manager Paul Ryan
Operations Officer Mamod Akpan
Financial Officer Chin Yoo Ming
Lead Marketing Officer Israel Bird
Sales Lead Rachael Loh Ching
Lead Administrative Officer Alphonsus Mbe
Assistant Administrative Officer Babajide Muhammad
4.2 Duties and Responsibilities
Table 3. Management roles and key personnel
No. Position Responsibilities
1. General
Manager
 Builds company reputation by partnering with clients,
government, community groups, and employees; enforcing
ethical business practices. Maintains quality service by
developing and implementing company standards.
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2. Finance
Manager
 Provide financial reports to management workers and evaluate
financial details when proposing further courses of action. To
consult on investment activities and to provide the company
with options to take.
3. Sales Officer  Achieves marketing and sales targets through the preparation,
growth, implementation and assessment of programs for
advertising, merchandising and trade promotion; develops field
sales action plans.
4. Administrative
Officer
 Oversees and oversees the office's day-to-day operations;
establishes policies, procedures and processes that ensure the
activity of the office is efficient and successful.
5. Operation
Officer
 Balancing and reconciling separate bank accounts.
 Completes and registers, on a quarterly basis, separate bank
records.
 Participates in meetings of the monthly branch manager.
6. Marketing
Manager
 Managing the company's promotion and processes within the
marketing team.
7. Human
Resources
 Accountable for employee welfare
 Preparation or updating of work records relating to recruitment,
education, relocation, promotion and termination
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CHAPTER FIVE
STRATEGIC MARKETING PLAN
5.1 PRODUCT
Umbrella Cinemas Inc. online video streaming online platform is the product for this new business
venture, The online platform will be available on Android and IOS, as well as on desktop app, and
web.
5.2 PRICE
A good pricing strategy is essential to ensuring the success of any marketing plan (Huang et al.
2014). The umbrella cinemas online platform will be free for everyone to assess, and use for
chatting, video streaming etc. However customers would be asked to pay a monthly fee of £6 to
get access to thousands of TV shows and movies, including original content. The online platform
will be available on Android and IOS, as well as a desktop app, and web. A paid account can be
shared by as many as six (6) people.
5.3 PLACE
An understanding of the target market of a particular product or service helps in picking the
distribution channels that best suit the potential customers (Huang et al., 2014). The place for
distributing the Umbrella Cinemas video streaming services will be online. It will be free for
everyone to assess, and use for chatting, video streaming etc. However customers would be asked
to pay a monthly fee of £6 to get access to thousands of TV shows and movies, including original
content.
5.4 PROMOTION/ MARKETING CAMPAIGN
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Promotion in branding plays a key role in ensuring increased sales and brand recognition. As
Umbrella Cinemas is an online platform, promotion/advertising will be done mostly online on
social media pages, sponsored ads (graphic and video) etc. Email marketing will also be used to
read target audience with tailored content. The company will also use promotions such as two-
months free access to video content.
Tools used in the campaign/budget
Table 4: Marketing campaign tools and budget
Tools Usage Advantages Disadvantages Budget
(£)
Paid
Media
Video Ads (YouTube,
TikTok)
(Duffett et al., 2019;
Duffett, 2020)
Used to
create
brand
awareness
and
recognition
Can be
expensive and
disturbing to
YouTubers
(Achmad &
Hidayat, 2018;
Lai et al., 2015)
See
financial
plan
Social Media Ads
(Instagram, Facebook,
Twitter)
(Tuten,2020; Gunelius, 2011;
Evans, 2010; Neti, 2011;
Felix et al., 2017)
Many
individuals
are actively
on various
social
Without
consistency,
may not be
very
productive.
See
financial
plan
20
Social Media Managers
(Copywriting and
Content creation)
(Meske & Stieglitz, 2013;
Jacobson, 2020)
media
platforms,
and
websites,
being able
to market
the brand to
them, will
help the
business
growth.
Google
AdWords
Search Engine
Optimization and Pay-
per-click
(Fox, 2009; Neale, 2009;
Sen, 2005; Dou et al.,
2010; Ramos & Cota, S.,
2008; Kent, 2010; Evans,
2007)
Too many
google ad
campaigns on
the internet, it
might be hard
for yours to
gain the level
of visibility
that you desire
See
financial
plan
Campaign schedule
The campaign will last for 12 months, and will commence from January 21st, 2020 – December
10th, 2021. After the marketing campaign, we hope to have gotten a large portfolio of customers.
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CHAPTER SIX
FINANCIAL PLAN
Please Note: Refer to the attached excel document for a detailed financial plan. All currencies
in Pounds (£).
Umbrella Cinemas Inc. will require a capital of £5,000,000 with 30% of this capital to be used to
fund our Marketing plan, the marketing promotion will last for 12 months, however, this funds will
be spread for 5yrs (at 6% annually). The rest of the capital expenditure will be used to design and
construct its online platform, pay for streaming licenses and rights, overhead costs and
maintenance. Revenue is generated from subscription to TV shows and Movies, and advert
placements on the social media platform.
FORECASTED REVENUE
Units sold
Year 1
Average
price per unit
revenue
year 1
Subscription to TV Shows and Movies 60000 6.00 360,000
Social Media Advertisements 5000 50.00 250,000
TOTAL OF FORECASTED REVENUE YEAR 1 610,000
Funds will be generated majorly by loan (£5,000,000) with a 60 months repayment period and an
8% annual interest rate, as shown below.
FUNDING
Loan Amount 5,000,000
Annual interest rate 8.00%
Term of loan (months) 60
Monthly rate 0.64%
Monthly Payment 100,715
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Total Amount Payable 6,042,916
Market Penetration:
Assumptions:
1). The video streaming subscription cost (£6) is constant for the first three years, and clients get
a 6-weeks free access to view premium contents.
2). 20% increase in costs of producing premium video content.
3). 30% of the £5,000,000 (£1,500,000) capital to be diverted into the marketing strategies and
split within 5yrs (at 6% annually).
4). we expect a conversion rate of 24% annually (i.e. the percentage of customers that pay for the
subscription after enjoying the 6-week promo). We also assumed a 100% increase in the annual
volume of premium subscriptions.
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BREAK-EVEN ANALYSIS:
For our break-even analysis, we assume running costs of approximately £500,000 per year
(including marketing costs), which include payroll, utilities, insurance, rent and other fixed costs.
We have projected to sell about 60,000 units in the first year (making £360,000), with that value
increasing by 100% annually, we do not expect to hit our breakeven point after five years due to
the huge outstanding loan that would be repaid and the overall cost of production of the business.
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Total operating expenses 457,000 801,380 1,358,912 2,215,558 3,802,833
Net operating profit -121,500 -209,030 -286,525 -231,164 -63,071
Net Margin % -20% -19% -15% -6% -1%
NET PROFIT -382,241 -397,719 -400,805 -292,894 -89,707
Dividends payable - - - - -
RETAINED PROFIT -382,241 -397,719 -400,805 -292,894 -89,707
However, with a net profit of (£89,707), we expect that at the sixth year of business operations we
would have made enough revenue to pay out our £5,000,000 loan (gotten at 8% interest rate for
60months) and still be making significant profit.
PROJECTED PROFIT AND LOSS
Most of our revenue for this business is expected to come from subscriptions to our video
streaming content (TV shows and Movies) and paid social media adverts on our platform. At a £6
monthly subscription fee, and an expected average advert fee of £50 (for at least 5000 in the first
12 months), Umbrella Inc. is not expected to be profitable in its first five years of business
operations, this is because of the massive marketing investment and video content production that
we have earmarked for this business venture and also the repayment of the loan. With a £5,000,000,
capital generated from loan (gotten at 8% interest rate for 60months) plus personal savings of the
founders, and 30% (£1,500,000) invested in social media marketing and spread across five years
of production, we do not expect to hit breakeven point yet, however, we would be controlling a
significant market share, and would use this opportunity to secure funding from investors to boost
our equity, then use a part of this funds to clear our outstanding loans.
32
PROJECTED CASH FLOW
Many profitable companies go bankrupt because of cash flow deficiencies. That is why our main
concern will be to have sufficient cash on hand to meet our payment obligations, and be prepared
for unexpected needs of cash. Once we implement our huge marketing objectives and take a huge
share of the video streaming market, we immediately start poaching investors and venture
capitalists. We project that our revenue from subscription will not be enough cashflow for the
business in its first 3years, due to the huge overhead costs that would be required to seize a huge
market share and attain a competitive advantage over our biggest rivals (Netflix, Hulu etc.).
However, we will keep generating funds from investors.
33
CHAPTER SEVEN
STRATEGIC RISKS WITHIN THE PROPOSED PLAN
Every business whether a new business venture or an existing enterprise has certain risks
associated with it, most of these risks arise from certain business decisions made by either the
management in charge or the staff. This section will outline some of the strategic risks that can
arise from the fundamental decisions made by the directors and management of Umbrella Cinemas
Inc. in the course of achieving our business objectives.
(1). Umbrella intends to divert 30% of the capital (which was mostly generated by loan) to fund
the marketing strategies. While the management is very optimistic that this move will translate to
profit, however, if things do not go as planned, and we are not able to pay the loan within the 60
months duration, Umbrella cinemas can go bankrupt.
(2). Umbrella Cinemas may not be able to afford to continue producing premium video content
(Due to the huge financial requirements involved), and this can cause a huge loss of customers,
and a bad reputation if the company does not start to generating enough revenue.
(3). Movie producers in Hollywood and other parts of the world may have to choose between
putting their movies/TV shows on Umbrella’s platform or signing deals with bigger streaming
platforms like Netflix, Hulu etc. If they are not convinced enough of getting huge ROI with us,
they might now be willing to partner, and this can affect the Umbrellas performance greatly.
(4) Umbrella’s movie production department may make poor judgements on product development
and the appropriate (interesting) movies to produce. This can lead to wastage of financial
resources, and will be detrimental for a startup company like ours, especially facing huge
competition.
34
(5). Netflix and Hulu charges $17.99 and $54.99 respectively for their monthly max channels,
while Umbrella charges only $6 per month. Potential customers might have a perception that they
would not get the best from Umbrella’s platform considering how cheap it is. This perception can
be very risky to the success of the business.
35
CHAPTER EIGHT
RECOMMENDATION AND CONCLUSION
This document is a business/strategic plan for a new business venture in online video streaming
and social media. It is expected to become a cataclysmic and innovative business that will disrupt
the video streaming and entertainment industry, and bring in new innovation in the way TV shows
and movies are distributed and marketed. Umbrella Cinemas Inc. is a top notch video streaming,
social media and video content production and distribution company that provides online video
streaming and social media messaging. Users can interact via text, audio and video calls etc. and
will be given access to the TV shows and movies (including original content) after they have
subscribed by paying a monthly fee of £6.
This project outlines the organizational plan, marketing strategies, funding and other business
planning procedures and strategies that will be adopted for the successful business initiation and
integration. I recommend that at least 30% of the capital expenditure be allocated to the marketing
department of this new venture, as it will be needed for Umbrella Cinemas Inc. to be competitive
with other streaming and social media giants etc.
36
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Business plan for Umbrella Cinemas Inc.

  • 1. 1 BUSINESS/STRATEGIC PLAN REPORT FOR UMBRELLA CINEMAS INC. Prepared by: Client, xx Nov. 2020 A Business plan report for Umbrella Cinemas Inc. an online video streaming, production and social media company located in Manchester, United Kingdom. WORD COUNT: 4,299
  • 2. 2 TABLE OF CONTENTS TABLE OF CONTENTS................................................................................................................ 2 CHAPTER ONE ............................................................................................................................. 4 INTRODUCTION .......................................................................................................................... 4 1.1 INTRODUCTION.......................................................................................................... 4 1.2 BRAND DESCRIPTION............................................................................................... 4 1.3 OBJECTIVES................................................................................................................. 5 1.4 ORGANIZATIONAL STRUCTURE .......................................................................... 5 1.5 COMPANY VISION AND MISSION.......................................................................... 6 CHAPTER TWO ............................................................................................................................ 7 MARKET ANALYSIS AND COMPETITIVE LANDSCAPE ..................................................... 7 2.1 INDUSTRY/MARKET ANALYSIS AND TREND.................................................... 7 2.2 COMPETITOR ANALYSIS ......................................................................................... 7 2.3 CUSTOMERS................................................................................................................. 9 CHAPTER THREE ...................................................................................................................... 11 CONTEMPORARY BUSINESS STRATEGIES......................................................................... 11 3.1 SWOT ANALYSIS....................................................................................................... 11 3.2 SHAREHOLDER VALUE AND SELECTION OF KEY PERFORMANCE INDICATORS......................................................................................................................... 13 CHAPTER FOUR......................................................................................................................... 16 OPERATIONAL PLAN ............................................................................................................... 16 4.1 Key Management Personnel........................................................................................ 16 4.2 Duties and Responsibilities.......................................................................................... 16 CHAPTER FIVE .......................................................................................................................... 18 STRATEGIC MARKETING PLAN ............................................................................................ 18 5.1 PRODUCT .................................................................................................................... 18 5.2 PRICE ........................................................................................................................... 18 5.3 PLACE .......................................................................................................................... 18 5.4 PROMOTION/ MARKETING CAMPAIGN ........................................................... 18 CHAPTER SIX............................................................................................................................. 28 FINANCIAL PLAN...................................................................................................................... 28 CHAPTER SEVEN ...................................................................................................................... 33
  • 3. 3 STRATEGIC RISKS WITHIN THE PROPOSED PLAN ........................................................... 33 CHAPTER EIGHT ....................................................................................................................... 35 RECOMMENDATION AND CONCLUSION............................................................................ 35 REFERENCES ............................................................................................................................. 36
  • 4. 4 CHAPTER ONE INTRODUCTION 1.1 INTRODUCTION The global video streaming market size was valued at GBP 31.9 billion in 2019 and is projected to grow at a compound annual growth rate (CAGR) of 20.4% from 2020 to 2027. Blockchain and Artificial intelligence technologies are expected to boost the video streaming market, Artificial intelligence will make it easier for cinematographers and producers to make video content, even script writers, video editors and other areas in post-production (grand view research 2020). Recently, the popularity of such platforms over broadcast media, such as YouTube and Netflix, have increased considerably. The innovative smart phone technologies and cloud based solutions have even helped to boost the industry, by providing users with more flexibility to stream content easily and content creators with more options to market their platforms on social media. 1.2 BRAND DESCRIPTION Umbrella Cinemas is a technology, entertainment and production company that provides online video streaming content and social media messaging. Umbrella Cinemas is an exceptional online streaming platform founded by Paul Ryan, one of Hollywood’s finest Executive Producers and Mamod Akpan, a tech expert and former operations director in Netflix. Umbrella Cinemas is a social medium where users can interact via text, audio and video calls etc. The platform will also produce original video content by partnering with Warner studios in USA and one or two European studios. Users will have access to the social media platform to use freely, but will be required to
  • 5. 5 pay a monthly fee if they choose to subscribe for the video content (TV shows and movies) offered by the platform. 1.3 OBJECTIVES The objective of this business will be to provide quality video streaming and social media services to our targeted audience. This will be achieved by good quality video content including TV shows and movies, creation of a friendly and interactive social medium where users can livestream themselves and post their amazing content online, we will recruit professionals to handle most of this operations. We will provide people with original video content, as we intend to partner with Tyler Perry studios to produce more Hollywood movies and two other studios in Europe. 1.4 ORGANIZATIONAL STRUCTURE Figure 1. Umbrella Cinemas Organizational Structure
  • 6. 6 1.5 COMPANY VISION AND MISSION i. Business Vision To be a market leader in online video streaming, game streaming, social messaging and production of TV shows and movies. ii. Business Mission  To entertain the world  To continually meet and exceed the needs of our customers while also providing innovative, top quality service and products.  To develop our business partnerships and staff through good values, communication and mutual trust.
  • 7. 7 CHAPTER TWO MARKET ANALYSIS AND COMPETITIVE LANDSCAPE 2.1 INDUSTRY/MARKET ANALYSIS AND TREND By 2018, the global video streaming market had been valued at £28.92 billion and was projected to get as high as £112 billion by 2026, at a compound annual growth rate of 18.3% from 2019 to 2026. Video streaming is highly sort after because streaming and video content can be accessed anywhere and at any time without the need to store the content on a hard drive (Allied market research 2019). 2.2 COMPETITOR ANALYSIS Umbrella cinemas is a unique platform that provides three main categories of service; a social text messaging platform, a livestream/broadcast media platform for gaming, video/voice calls etc. and an online video content platform where users get access to both original content TV shows and movies, and partnering video content. We expect to have competition from two broad categories: a. The online video content providers (e.g. Netflix, YouTube, Hulu, Amazon Instant Video etc.) b. Social media platforms (e.g. Instagram, Twitch, Twitter etc.)  Category A: This category contains the major competitors, and are those that provide similar video streaming services as umbrella. Some of them are as follows.  Hulu:
  • 8. 8 Hulu provides video streaming services through its website, and also syndicates its hosting to other sites thereby allowing its users to clip its video content on other sites (Adhikari et al. 2014; Arteoro 2010). Hulu houses major brands like NBC, ABC, Fox etc.  Netflix: Netflix is the biggest video streaming company in the world, they are very innovative, and constantly try to fine-tune their business model to provide more value to their customers (Jenner 2018; Wayne 2018).  Amazon Instant Video or Amazon Prime: Amazon provides a somewhat unique service by allowing its users to download video content to any Unbox-registered PC or TiVo from their PC, or download the video content to their home PC from another computer. (Wayne 2018).  Cable/Satellite Television Cable and satellite TVs are the most common, and one advantage they have is the ability to stream live sports matches on them, while also offering replays of your favorite TV shows. Many online TV haven’t been able to successfully offer these services.  Free Online Television and Sleep Sleep might sound very absurd, but it is one very strong competitor of video streaming, as users might choose to rest than staying glued to the TV, also unlike Netflix and Hulu that offer premium paid services, many sites offer free viewing without any financial commitment, users often prefer free services.
  • 9. 9 Other competitors include; YouTube premium (Burgess 2011), Facebook TV etc.  Category B: For this category, we expect to have strong competition from other social media platforms like the following:  Instagram: Instagram (from Facebook) allows you to create and share your photos, stories, and videos with the friends and followers you care about. Connect with friends, share what you're up to, or see what's new from others all over the world (Teo et al. 2019; Instagram 2019). Explore our community where you can feel free to be yourself and share everything from your daily moments to life's highlights.  Twitch: Twitch is a video livestreaming service that is operated by twitch interactive, a subsidiary of Amazon (Gros et al. 2017). Twitch is common among gamers, as it is used to livestream games and other events.  Twitter: Twitter is a social networking and blogging site where users post and interact with messages (tweets). It is one of the most common in the world. (Wu et al. 2011) 2.3 CUSTOMERS Umbrella Cinemas will be providing a unique social messaging and livestream site, with a variety of TV shows and DVDs to satisfy customer’s needs. We expect that customers that use our
  • 10. 10 platforms are anyone old enough to use both social media and watch movies. Most of our movies have parental guidance restrictions. For our video content, our client base include the following: Table 1. Umbrella Cinema Inc. Client base Segment Product Offering Children Cartoons, Animated Movies Teenager Romantic Movies, TV serials, Sports, Musical Shows and so on. Elder Latest movies, Sports, Musical shows Job Holder News Channels, Sports, Business shows. Old age Spiritual shows, Reality shows
  • 11. 11 CHAPTER THREE CONTEMPORARY BUSINESS STRATEGIES 3.1 SWOT ANALYSIS a. Strengths: i). Relationships with studios, directors and Hollywood: With Paul Ryan, one of Hollywood’s finest executive producers as one of our cofounders and manager, umbrella cinemas would have great advantage with studios in both Hollywood and other parts of the film industry globally. This will help us better produce original content films and TV shows, and partner with other film academies and organizations. ii). Familiarity with video streaming tech operations and basics: Another cofounder of ours Mamod Akpan, has been an operations director with Netflix, the largest video streaming firm in the world, he was a part of the company since its transition from DVD rentals to online video streaming, and has been a key personnel in some innovative new features of Netflix. Mamod Akpan would be very instrumental to our operations department, and would ensure that Umbrella Cinemas is a topnotch video streaming company. iii). Video streaming + Social Media + Original video content in one platform: Unlike Netflix, Hulu and Twitch which are just video streaming companies providing TV shows, movies and gaming video streaming separately, Umbrella cinemas would provide all of these packages in a single platform. iv). Recommendation Algorithm Umbrella Cinemas would utilize already built algorithm to recommend movies to clients based on their search history.
  • 12. 12 v). Low price per title: Having studied the pricing structure of our main competition, Umbrella cinemas plans to add a 30% price deduction from their monthly or annual fees to be competitive with Netflix and Hulu. vi). Monthly feemodel: This method allows Backyard to fix a flat monthly fee to use their services. b. Weaknesses: i). Inadequate funding and suppliers: Umbrella Cinemas is still a new business venture, and does not have enough capital right now to compete with streaming giants like Hulu and Netflix that are worth billions of dollars already. ii). Studios define release: Movie producers and their studios determine when to release their content to the market, and it is only when they have specified on the date that Umbrella can rent out these DVDs. c. Opportunities: a). Digital delivery. The company knows what the consumer needs, and can use this knowledge and opportunity towards digital delivery. b). Video on Demand (VOD): An opportunity has risen in this sector, and umbrella is ready to meet the demand. d. Threats: a). Peer-to-peer live streaming, Blue ray and illegally downloading and publishing our premium content. b). Studios might need insurance and more profit, and might decide to form alliance with bigger players in the industry like Netflix, Hulu. This can affect startup companies like ours.
  • 13. 13 c). Movie producers and studios might not be willing to negotiate fair terms in the revenue sharing agreements. 3.2 SHAREHOLDER VALUE AND SELECTION OF KEY PERFORMANCE INDICATORS Smith (2015) described shareholder value as the creation of more wealth by investors and owners of enterprises, and discusses whether management is doing its best to create this wealth. Smith believed that to create wealth, you must get a return on investment that is higher than the capital invested. We have designed a range of financial and non-financial key performance indicators to appropriately measure shareholder value for Umbrella Cinemas Inc. These KPIs are measurable value that will help the company evaluate its performance and business strategies, and keep track of the progress on some business objectives. While Umbrella cinemas is a new business venture with a huge capital investment, and a large portion of the capital diverted to the different marketing strategies, it is paramount and completely necessary to keep track of the progress of the business and on the marketing strategies and measuring to what degree the shareholder value is being enhanced. We have highlighted six key performance indicators that will help us monitor the performance of the marketing strategies we’ve employed and also keep track of the performance of the business and shareholder value. (a) Conversion Rate: As part of our marketing campaign, we are giving 6-weeks free access to all our premium video content, TV shows, and movies. Every customer that signs up for this promotion has the potential to contribute to the revenue of the organization if they stick to the platform after the expiration of the promo, and continue subscribing. It is important to keep track
  • 14. 14 of how many free accounts convert to sales, this can be determined by dividing the total number of paid subscriptions with the number of free promo accounts at the end of a time period (say 2- 3months). (b.) Monthly Recurring Revenue (MRR): This is a very popular metric, and it will look at the revenue Umbrella will generate every month, which will re-occur with little to not additional investment. Recall that the services offered by Umbrella cinemas requires each customer to pay a monthly subscription fee of £6, the MRR would calculate how much is generated monthly by calculating how many new and existing subscribers renew their subscription plan every month multiplied by £6. (c.) Revenue Growth Rate: This indicator is measured in percentage, and will help to assess how the company is growing with regard to the annual financial forecast. The Revenue Growth rate helps to ensure Umbrella Cinemas Inc. continues to grow at a target rate. (d.) Traffic / Traffic-Lead Ratio: The Umbrella video streaming online platform is also a social media for users to interact, hence, it is important to monitor how many site visitors per day, and how much of that traffic converts into lead. A lead is a site visitor that does any of the following three things: i. Creates an account and starts using the platform ii. Subscribes to the free 6-week promotion to watch premium video contents (TV shows, Movies etc.) iii. Subscribes immediately to the premium video content by paying the monthly fee of £6. Therefore, a lead is a percentage of traffic which starts with creating an account.
  • 15. 15 (e.) Net Profit Margin: The percentage of revenue remaining after operating expenses, interest and taxes have been deducted from Umbrella’s total revenue. This will give a more accurate internal figure for understanding profit, especially considering the repayment plan of the loan that will be acquired to fund this business (duration of loan = 60months). (f.) Return on Capital Employed (ROCE): ROCE is a financial ratio that determines a company’s profitability and the efficiency of the capital that is applied, it is an indicator of shareholder value creation. A higher ROCE implies a more economical use of capital; the ROCE should be higher than the capital cost. If not, the Umbrella cinemas will be less productive and inadequately building shareholder value. Key Performance Indicators Target 1 Conversion Rate 25% within the 24months of the promotion 2 Monthly Recurring Revenue 5,000 monthly subscribers in its first year (£30,000). 25,000 monthly in its second year. 3 Revenue Growth 5% growth within 5 years 4 Traffic/Traffic-Lead ratio (100:15) (site viewers: leads) = 15% 5 Net Profit Margin 12% within its first 5yrs 6 Return on Capital Employed (ROCE) 5% in line with competitors
  • 16. 16 CHAPTER FOUR OPERATIONAL PLAN 4.1 Key Management Personnel Table 2. Management roles and key personnel Key Management Roles Name Manager Paul Ryan Operations Officer Mamod Akpan Financial Officer Chin Yoo Ming Lead Marketing Officer Israel Bird Sales Lead Rachael Loh Ching Lead Administrative Officer Alphonsus Mbe Assistant Administrative Officer Babajide Muhammad 4.2 Duties and Responsibilities Table 3. Management roles and key personnel No. Position Responsibilities 1. General Manager  Builds company reputation by partnering with clients, government, community groups, and employees; enforcing ethical business practices. Maintains quality service by developing and implementing company standards.
  • 17. 17 2. Finance Manager  Provide financial reports to management workers and evaluate financial details when proposing further courses of action. To consult on investment activities and to provide the company with options to take. 3. Sales Officer  Achieves marketing and sales targets through the preparation, growth, implementation and assessment of programs for advertising, merchandising and trade promotion; develops field sales action plans. 4. Administrative Officer  Oversees and oversees the office's day-to-day operations; establishes policies, procedures and processes that ensure the activity of the office is efficient and successful. 5. Operation Officer  Balancing and reconciling separate bank accounts.  Completes and registers, on a quarterly basis, separate bank records.  Participates in meetings of the monthly branch manager. 6. Marketing Manager  Managing the company's promotion and processes within the marketing team. 7. Human Resources  Accountable for employee welfare  Preparation or updating of work records relating to recruitment, education, relocation, promotion and termination
  • 18. 18 CHAPTER FIVE STRATEGIC MARKETING PLAN 5.1 PRODUCT Umbrella Cinemas Inc. online video streaming online platform is the product for this new business venture, The online platform will be available on Android and IOS, as well as on desktop app, and web. 5.2 PRICE A good pricing strategy is essential to ensuring the success of any marketing plan (Huang et al. 2014). The umbrella cinemas online platform will be free for everyone to assess, and use for chatting, video streaming etc. However customers would be asked to pay a monthly fee of £6 to get access to thousands of TV shows and movies, including original content. The online platform will be available on Android and IOS, as well as a desktop app, and web. A paid account can be shared by as many as six (6) people. 5.3 PLACE An understanding of the target market of a particular product or service helps in picking the distribution channels that best suit the potential customers (Huang et al., 2014). The place for distributing the Umbrella Cinemas video streaming services will be online. It will be free for everyone to assess, and use for chatting, video streaming etc. However customers would be asked to pay a monthly fee of £6 to get access to thousands of TV shows and movies, including original content. 5.4 PROMOTION/ MARKETING CAMPAIGN
  • 19. 19 Promotion in branding plays a key role in ensuring increased sales and brand recognition. As Umbrella Cinemas is an online platform, promotion/advertising will be done mostly online on social media pages, sponsored ads (graphic and video) etc. Email marketing will also be used to read target audience with tailored content. The company will also use promotions such as two- months free access to video content. Tools used in the campaign/budget Table 4: Marketing campaign tools and budget Tools Usage Advantages Disadvantages Budget (£) Paid Media Video Ads (YouTube, TikTok) (Duffett et al., 2019; Duffett, 2020) Used to create brand awareness and recognition Can be expensive and disturbing to YouTubers (Achmad & Hidayat, 2018; Lai et al., 2015) See financial plan Social Media Ads (Instagram, Facebook, Twitter) (Tuten,2020; Gunelius, 2011; Evans, 2010; Neti, 2011; Felix et al., 2017) Many individuals are actively on various social Without consistency, may not be very productive. See financial plan
  • 20. 20 Social Media Managers (Copywriting and Content creation) (Meske & Stieglitz, 2013; Jacobson, 2020) media platforms, and websites, being able to market the brand to them, will help the business growth. Google AdWords Search Engine Optimization and Pay- per-click (Fox, 2009; Neale, 2009; Sen, 2005; Dou et al., 2010; Ramos & Cota, S., 2008; Kent, 2010; Evans, 2007) Too many google ad campaigns on the internet, it might be hard for yours to gain the level of visibility that you desire See financial plan Campaign schedule The campaign will last for 12 months, and will commence from January 21st, 2020 – December 10th, 2021. After the marketing campaign, we hope to have gotten a large portfolio of customers.
  • 21. 28 CHAPTER SIX FINANCIAL PLAN Please Note: Refer to the attached excel document for a detailed financial plan. All currencies in Pounds (£). Umbrella Cinemas Inc. will require a capital of £5,000,000 with 30% of this capital to be used to fund our Marketing plan, the marketing promotion will last for 12 months, however, this funds will be spread for 5yrs (at 6% annually). The rest of the capital expenditure will be used to design and construct its online platform, pay for streaming licenses and rights, overhead costs and maintenance. Revenue is generated from subscription to TV shows and Movies, and advert placements on the social media platform. FORECASTED REVENUE Units sold Year 1 Average price per unit revenue year 1 Subscription to TV Shows and Movies 60000 6.00 360,000 Social Media Advertisements 5000 50.00 250,000 TOTAL OF FORECASTED REVENUE YEAR 1 610,000 Funds will be generated majorly by loan (£5,000,000) with a 60 months repayment period and an 8% annual interest rate, as shown below. FUNDING Loan Amount 5,000,000 Annual interest rate 8.00% Term of loan (months) 60 Monthly rate 0.64% Monthly Payment 100,715
  • 22. 29 Total Amount Payable 6,042,916 Market Penetration: Assumptions: 1). The video streaming subscription cost (£6) is constant for the first three years, and clients get a 6-weeks free access to view premium contents. 2). 20% increase in costs of producing premium video content. 3). 30% of the £5,000,000 (£1,500,000) capital to be diverted into the marketing strategies and split within 5yrs (at 6% annually). 4). we expect a conversion rate of 24% annually (i.e. the percentage of customers that pay for the subscription after enjoying the 6-week promo). We also assumed a 100% increase in the annual volume of premium subscriptions.
  • 23. 30 BREAK-EVEN ANALYSIS: For our break-even analysis, we assume running costs of approximately £500,000 per year (including marketing costs), which include payroll, utilities, insurance, rent and other fixed costs. We have projected to sell about 60,000 units in the first year (making £360,000), with that value increasing by 100% annually, we do not expect to hit our breakeven point after five years due to the huge outstanding loan that would be repaid and the overall cost of production of the business.
  • 24. 31 Total operating expenses 457,000 801,380 1,358,912 2,215,558 3,802,833 Net operating profit -121,500 -209,030 -286,525 -231,164 -63,071 Net Margin % -20% -19% -15% -6% -1% NET PROFIT -382,241 -397,719 -400,805 -292,894 -89,707 Dividends payable - - - - - RETAINED PROFIT -382,241 -397,719 -400,805 -292,894 -89,707 However, with a net profit of (£89,707), we expect that at the sixth year of business operations we would have made enough revenue to pay out our £5,000,000 loan (gotten at 8% interest rate for 60months) and still be making significant profit. PROJECTED PROFIT AND LOSS Most of our revenue for this business is expected to come from subscriptions to our video streaming content (TV shows and Movies) and paid social media adverts on our platform. At a £6 monthly subscription fee, and an expected average advert fee of £50 (for at least 5000 in the first 12 months), Umbrella Inc. is not expected to be profitable in its first five years of business operations, this is because of the massive marketing investment and video content production that we have earmarked for this business venture and also the repayment of the loan. With a £5,000,000, capital generated from loan (gotten at 8% interest rate for 60months) plus personal savings of the founders, and 30% (£1,500,000) invested in social media marketing and spread across five years of production, we do not expect to hit breakeven point yet, however, we would be controlling a significant market share, and would use this opportunity to secure funding from investors to boost our equity, then use a part of this funds to clear our outstanding loans.
  • 25. 32 PROJECTED CASH FLOW Many profitable companies go bankrupt because of cash flow deficiencies. That is why our main concern will be to have sufficient cash on hand to meet our payment obligations, and be prepared for unexpected needs of cash. Once we implement our huge marketing objectives and take a huge share of the video streaming market, we immediately start poaching investors and venture capitalists. We project that our revenue from subscription will not be enough cashflow for the business in its first 3years, due to the huge overhead costs that would be required to seize a huge market share and attain a competitive advantage over our biggest rivals (Netflix, Hulu etc.). However, we will keep generating funds from investors.
  • 26. 33 CHAPTER SEVEN STRATEGIC RISKS WITHIN THE PROPOSED PLAN Every business whether a new business venture or an existing enterprise has certain risks associated with it, most of these risks arise from certain business decisions made by either the management in charge or the staff. This section will outline some of the strategic risks that can arise from the fundamental decisions made by the directors and management of Umbrella Cinemas Inc. in the course of achieving our business objectives. (1). Umbrella intends to divert 30% of the capital (which was mostly generated by loan) to fund the marketing strategies. While the management is very optimistic that this move will translate to profit, however, if things do not go as planned, and we are not able to pay the loan within the 60 months duration, Umbrella cinemas can go bankrupt. (2). Umbrella Cinemas may not be able to afford to continue producing premium video content (Due to the huge financial requirements involved), and this can cause a huge loss of customers, and a bad reputation if the company does not start to generating enough revenue. (3). Movie producers in Hollywood and other parts of the world may have to choose between putting their movies/TV shows on Umbrella’s platform or signing deals with bigger streaming platforms like Netflix, Hulu etc. If they are not convinced enough of getting huge ROI with us, they might now be willing to partner, and this can affect the Umbrellas performance greatly. (4) Umbrella’s movie production department may make poor judgements on product development and the appropriate (interesting) movies to produce. This can lead to wastage of financial resources, and will be detrimental for a startup company like ours, especially facing huge competition.
  • 27. 34 (5). Netflix and Hulu charges $17.99 and $54.99 respectively for their monthly max channels, while Umbrella charges only $6 per month. Potential customers might have a perception that they would not get the best from Umbrella’s platform considering how cheap it is. This perception can be very risky to the success of the business.
  • 28. 35 CHAPTER EIGHT RECOMMENDATION AND CONCLUSION This document is a business/strategic plan for a new business venture in online video streaming and social media. It is expected to become a cataclysmic and innovative business that will disrupt the video streaming and entertainment industry, and bring in new innovation in the way TV shows and movies are distributed and marketed. Umbrella Cinemas Inc. is a top notch video streaming, social media and video content production and distribution company that provides online video streaming and social media messaging. Users can interact via text, audio and video calls etc. and will be given access to the TV shows and movies (including original content) after they have subscribed by paying a monthly fee of £6. This project outlines the organizational plan, marketing strategies, funding and other business planning procedures and strategies that will be adopted for the successful business initiation and integration. I recommend that at least 30% of the capital expenditure be allocated to the marketing department of this new venture, as it will be needed for Umbrella Cinemas Inc. to be competitive with other streaming and social media giants etc.
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