Hynec Technologies Business Plan

Hynec Technologies Business Plan

Executive Summary

Hynec Technologies is a start-up e-commerce company that is making efforts to become a market leader in the e-commerce business by offering high quality products and services to its consumers. The firm utilizes Amazon marketplaces in selling its products since Amazon is among the top-performing retailer company that offers markets for many sellers globally. Besides, Amazon provides storage handling, fulfillment product handling and customer service on behalf of the Hynec Technologies. The strategy has helped the company grow its sales revenue since its inception.

Market

E-commerce activities have witnessed a tremendous increase, and the trends seem to continue, especially at this time that the coronavirus pandemic hits the world. The epidemic has forced the majority of consumers to embrace online purchasing. Businesses in food, hygienic products, pharmaceuticals, books have witnessed growth in their industries. However, the trend of products, as mentioned earlier, is projected to stagnate to the shortage in supply of online merchandise. Hynec Technologies plans to utilize the situation and expand its production to prevent a crisis of lack of supply and maximize the sales revenue. E-commerce has transformed, and its sales revenue has grown to $2 trillion. It is predicted that e-commerce. Generally, it is projected that e-commerce will continue growing due to technology, COVID-19 and the millennial generation.

Products and Services

Hynec Technologies manufactures products or industrial and consumer purposes. The products include baby and home safety, floor management, floor protection items and Bella frame brands. They also offer shipping services to our consumers.

Keys to Success

Hynec Technologies has excellent ways of achieving its goals. The business has established strategic relationships with Amazon to offer storage, product handling and customer service. The relationship has been successful as the company is expanding its operations. The superior quality and the pricing of its products as lowly as $3.99 have contributed significant milestones the business has achieved and anticipate to obtain. Moreover, the company has cultivated a culture of passion and technology innovation, which makes them offer premium products compared to its competitors.

Description of the Company

Naglis Stankaitis started Hynec Technologies in 2016, and previously it was known as N&L. The company’s headquarters are located in London, United Kingdom. It is a sole proprietorship form of business. The first product to be manufactured was the adhesive felt pads in assorted sizes, shapes, sets and high quality. The product performed well, with its sales increasing, leading to the expansion of the product line to include other products such as home safety, floor protection items and cable management items. Currently, the business carries its business in manufacturing and retail. The company has a great vision that drives it.

Hynec Technologies’ vision is based on maintaining its commitment to creating better products for its consumers through innovative technology and high quality. Each process of manufacture is given the attention it requires. Besides, customer satisfaction is the heart of Hynec Technologies. The business manufactures its products in China as there are available raw materials. The firm is seeking funding for the expansion of its business operations. The company requires $ 5,000,000 for expanding its business operations in other regions they have not reached.

Management Experience

Hynec Technologies has a management experience of 3 years. The management has a well-drawn- vision and an innovative team that drives the achievement of its objectives. Since the company started, it has never experienced losses or a decline in sales revenue. The experience the management possesses has helped the company in formulating strategic strategies to achieve its corporate objectives. Its founder, Naglis Stankaitis, leads the team. Besides, the business has a fulltime freelance employee situated in China, for performing sourcing and production functions of the company. There is also a freelance staff based in the United Kingdom for running the retail services of the business. The staffs are passionate and very innovative, which contributes to the superior quality of the products the company manufactures and offers to its consumers at affordable prices. The team has experience in ensuring consumer needs are satisfied and are always looking for ways of improving the quality of its products.

Financial Data

The business seeks expansion funds of $ 5,000,000 for purchasing additional production equipment to increase production, hiring more staff and research and development of high quality products. The funds will be invested in phases of $ 2.5 million yearly, to ensure there are funds for a contingency plan. Besides, the money will be used to intensify the marketing activities to expand the market share of the business. The business projects Cash flow of $ 4,000,000 annually.

The operational costs are as follows;

Equipment and Technology     $ 2,000,000

Human capital                         $200,000

Raw Materials                         $ 400,000

Marketing                                $ 100,000

Production Costs                    $ 300,000

Research and Development    $ 400,000

Total                                       $ 3,400,000

The current business assets stand at $ 500,000 and the liabilities are $ 200,000. The current assets and ratios with steady sales growth imply that the business in a good position to secure a loan of $ 5,000,000. The business is already established and will little or no issues at all in servicing the loan.

Marketing Plan

Hynec Technologies applies various strategies in marketing its products to consumers. The business has entered into a partnership with Amazon Inc., which offers a marketplace for the products. Amazon also performs storage and product handling on behalf of the company. The collaboration has been useful as there have been steady and increased sales. Amazon helps in marketing products through promotional sales, where buying Hynec Technologies products will lead to getting a free Amazon service such as prime music. Another strategy that Hynec Technologies employ is the use of google ads, which pops up when someone is searching for something on the internet.

The business will employ more employees in the marketing department to reach the required capacity to drive the marketing plan since the company is planning to expand further. The estimated cost of employing three more marketing staff is more or less $ 20,000 and another $ 100,000 will be used for carrying out marketing activities. The business anticipates employing other marketing strategies such as advertising on social media platforms for appealing to the new consumers and creating different market segments that are still untapped by the company.

The business targets the city population and the millennial generation. The city population will always have an interest in home safety and cable management since electricity is their primary source of energy. The millennial generation offers a ready market for online retail products as they seek to do everything at their comfort, especially shopping. The business can strategize on free delivery to the consumers in specific regions where the company has a robust market share by establishing a transport hub.

Production Plan

The business plans to expand its current production capabilities through the acquisition of more machines, additional sourcing and employment of more productive workers. There will be extra costs, which will be incurred to achieve the expansion of the production. The business plans to establish various production facilities in multiple regions to ensure a steady supply of the products to the market with the anticipated growing demand. The raw materials will be sourced globally to ensure a ready supply of the materials when needed and reduce the overall production costs hence a better pricing plan for the products. The increase in production and supply to the market will help the business breakeven expenses incurred in the shipping of the products to the consumers.

Human Resource Management

The business will manage its human capital at a central office. The centralized human resource management will ensure the company reduces operational costs.  The business will ensure it adheres to the labour laws of different countries where the business operates, such as the United Kingdom, France and China. The company will provide it attracts talented and innovative people in its team to drive the business vision. The firm encourages diversity as it anticipates expanding its operations globally. At the top management is the director of the business, who is also the owner. The director is responsible for formulating the strategic objectives and strategies on how to achieve its goals. There is a human resource manager responsible for preparing the payrolls and ensuring the business complies with the labour laws.

There is also a finance officer responsible for managing the financial resources of the business.  The finance officer also advises corporate management on various investment projects and the risks implication. Besides, she prepares the financial reports of the company, which are crucial for decision-making. She also ensures that the departments spend against their budgetary allocations. There is also the production manager, who is responsible for the production processes and proper storage of the products. Moreover, there is a marketing manager who designs the marketing strategy and activities of the business. There are two full-time freelance staffs based in China and the United Kingdom. There is one secretary and a security guard as subordinates

The organization Structure of Hynec Technologies

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