Media – Harm or benefit : Part 2 Books Section2

Section II: E-books

People read, did so, and will continue reading. And just like any other items, books have also undergone modifications. First, they were on a bark and papyrus, then - on the skin and paper, and now we are in a hold of such unique feature as electronic book.

What brought us another cycle of books?

On the one hand, a positive moment of transition to the e-book is clear. If you look at the students, the first thing that catches your eye - it's a little kid with a huge backpack full of books. PocketBook device can replace almost all the tutorials that are in the backpack, and weighs only up to 0.5 kg. All course materials, including reference books and dictionaries are now always at hand.

However with an arrival of this new technology, a debate had also come. We have become accustomed to trust marketing claims about the safety of their products. So many parents who are concerned about the health of their children, care about one of the important questions - What the impact screen reading of these electronic devices makes on the human body?

Scientists in Germany have found that reading through a variety of gadgets allows a person to absorb more readable information. Also the process of reading, according to researchers, appears to be faster. But U.S. scientists have come to the conclusion that in order for a student to concentrate better on reading, it is best to use most simple readers. These gadgets do not get a student distracted by pictures and allow focusing on the content of the book.

As a result of research carried out by scientists it was found that convenience and simplicity of e-books have led to the fact that today in the U.S. and Europe readers are gradually being introduced to a school life. Some educational institutions have begun experiments to replace old textbooks with electronic format.

From a medical point of view, it is certain that it is best to read the paper editions - books, newspapers, magazines. The human eye is more receptive to the information printed on paper than the one that shines on a computer monitor or laptop. Speed of ​​reading paper carrier higher and the eyes do not get tired as quickly. Except the strong physiological reasons, there are many other factors that favour a reading of printed material. Particularly, it is a worth of the book, which some call a "source of knowledge". Everyone knows that the best gift is a book. As a rule, in books is printed a serious, necessary and a "smart" work. Before the book is bound, a manuscript is checked by editors after which the experts write their reviews. All this minimizes the risk of getting "rubbish and nonsense" in a book turnover.

As for the Internet, here anyone can publish their work and their thoughts on the vast World Wide Web. The adequacy and competence of these no one checks, so there is no benefit in this. Books, especially classical literature, written by a beautiful, interesting, competent and rich language, they create and carry smart appropriate thoughts. In addition, the book can be read at home and at work, in transport and at rest, sitting, standing, lying down.

Similar experiments horrified ophthalmologists who claim there is a need to conduct research aimed at the identification and assessment of the negative effects of e-book reader for a child. But is there really a harm from reading electronic versions? The below are presented its pros and cons of e-books over a printed version.

In favour:

1.      Environmentalists assert louder and louder about the tremendous amount of trees cut down every year for us to enjoy publications where E- books do not require the destruction of forests.

2.      We do not need to go to the bookstore or the library, which works according to schedule. We can buy, download, and start reading electronic texts within minutes, without leaving the comfortable chair.

3.      Ebooks take a little space hence we do not need the space for the ample library. An e-book can store hundreds and thousands of books.

4.      An e-book is portable and compact so we can carry an entire library with us, for example maps, guides and other useful information that we need on holidays.

5.      An e-book has an interactive table of contents or search feature that allows you instantly jump to a chapter of interest.

6.      Fonts in Ebooks can be changed, which makes it more comfortable for people with sight implications.

7.      With additional software, you can convert the text material in an audio book.

8.      Depending on the device, some books can be read in low light or even in complete darkness.

9.      A large share of e-books is available online for free.

Against:

1.      Manufacturing, operation and recycling Ebooks also negatively affect the environment.

2.      Not all books are available in electronic form.

3.      E-books over the time should be copied or converted, because the format is not universal, and printed books remain readable for many years.

4.      Ebooks cannot provide visual appeal. They do not provide the physical sensation of covers, paper, rustling pages.

5.      toy-books for babies, which are given at the early stage of childhood, cannot be presented in  electronic form.

6.      Printed book does not require recharging, and the battery powered electronic needs.

7.      E-book is more susceptible to damage from a fall or impact than printed one.

8.      The cost of e-book far exceeds the cost of printing, however electronic book will pay for itself quickly as printed books nowadays have become not a cheap pleasure too.

9.      An old book has a great historical significance; it may be in one piece.

Related articles:

Books.Part1
Section 3.Audiobooks.

Media – Harm or benefit : Part 3.Radio,internet radio.

Radio is an integral part of our daily life. As alarm clock it  wakes us in the morning. At breakfast, we hear the morning news. Radio entertains and informs us when we go to work or school or when we are engaged in gardening. Even sitting in an office or working at a factory, we always listen to music, broadcasted on local radio stations. Featuring a unique combination of skills, radio has become an indispensable companion to a life of millions of people.

Traditional radio audience is teenagers. In an average week, 90% of people all around the world listen to the radio at least once, more than 80% - every  day. The average adult listens to the radio for 3 hours every day.

Listeners of the radio are divided into four main segments: radio fans of specific stations, fans of radio as a whole , music fans and listeners of the news. Fans of specific radio stations are the largest segment (46%). They prefer one or two stations, and spend up to 8 hours a day or more listening to those. Most of the fans of the radio stations are women aged 25 to 44 years. Fans of the radio as a whole make 34% of listeners. They listen to four or five different radio stations a week, with no specific preference. Most of them are under the age of 35, although this segment includes a large number of women aged 55 and older. 11% of people listen to only music on the radio and they mostly are men aged 25 - 45 years old and people who are establishing relationships. Finally, a part of the radio station is chosen by group of people who manage its need for news and information. They are almost always more than 35 years old and  prefer one or two stations, listening to which for short periods of time.

The most important advantage is the flexibility of radio coverage. The same radio station may be listened in different parts of the country and speak to people at any time of day. People do not need any cutting-edge technologies for that purpose, but only radio receiver, which currently is a part of the majority of the advanced gadgets. Especially that radio receiver itself is very small in shape. Hence radio is an ideal means of entertaining people while travelling to or from work. The negative side of this may be that the excessive use of headphones can cause hearing loss. The best option - output sound to the speakers, but then others will have to listen to radio with you. Hence the only way to get off this situation is a moderate use of headsets. 

The next advantage is that it creates musical background and usually does not distracts from work. However, this mainly depends on type of the radio station and genres of songs. The stations broadcasting, for example, rock music may be quite disturbing, especially if they are listened to in a high tone. In addition scientists do not recommend listening to radio while performing highly exact jobs, such as operations, or studying for exams. They explain that in these cases a brain needs all its capacity for work, and music alternating with dj's talks may exploit part of it, that in turn leads to decreasing in speed and accuracy of performing.

For long time one of the most popular advantages, after informational, was educational. Even now there are many radio stations which broadcast educational programs in physics, biology, medicine etc. Chiefly, they are student or university radio stations which introduce people with the basics and advances in sciences. Others carry the weight of culture, not only in a form of concerts, literary programs, performances of radio theatre(radio  plays and operas), but also in the form of lectures, special programs about the history of culture, the arts, the science and literature, biographies of great scientists, the history of scientific discovery, the life of the great scientists, engineers, inventors. Also there are radio programs for students about astronomy, the study of the universe, about space and space exploration. Young students learn the skills of observation of celestial bodies and constellations, became acquainted with the achievements of science in the study of the universe. Programs for young nature lovers tell about the habits of animals, wild plants, and learn to recognize them.

Now radio stations of children's topics become more and more popular, because they take into account age-specific and routine of small listeners. For example, "The Kids radio" in Russia broadcasts for all age categories: morning block is addressed to preschool, day programs - for children older than seven years, late at night - the block for both parents and children over 10 years old, at night - music for sleep.

Another advantage as for education as for entertainment is space of coverage. People in the different parts of the world can listen to the same radio station. Hence, this may be very helpful for language learners, who might get a possibility to improve their listening skills from native carrier of language. Moreover, people can easy get access to different culture through the radio, listening to the local news, types of songs, directions of music of another country. However, for this purpose you need more powerful radio receiver, than we usually have on hand.

Despite its huge advantages, radio traditionally had a number of serious drawbacks: it is only the audio. You can listen to the radio, but you cannot see it. This fact limits the effectiveness of perception of information and particularly remembering it. It is well known fact that people more rely on their sight than on hearing and vision memory of an ordinary person is better developed evolutionary.

Internet radio.

With development of technologies it has long been possible to listen to radio on the Internet. The minimum speed of the network, which does not occur stops and crash is about 64 kbit / s, which was available even in provincial towns 5-6 years ago in a mode without limit. Advantages of Internet broadcasting is that the user can select from the mass of radio stations, including foreign ones. For each musical direction, there are a variety of radio stations, and their number far exceeds even the number of television channels of satellite TV. And internet radio allows you to put in a free broadcast songs little known but talented musicians. The user can listen to music that never will be scrolled to the telephone - is an important factor for lovers of exotic melodies.

 If we compare the number of available stations in some provincial town, where it at best is a little more than a dozen, and the number of them on the Internet, then the comparison is not in favour of the first. Hundreds and thousands of stations broadcast around the world managed from small amateurs by a single person, to the numbers of the domestic and international broadcasting, such as the "Russian Radio" and "Europe +". 

However, there are a few drawbacks of internet radio. For example, to listen to radio stations from around the world a person will need to download and install on a computer  one of the specific programs, the best and most of which are paid. They are inexpensive, only 10-20 euro per year, but these costs seem too high at a time when conventional radio is free at all. To find a good program that would allow listening to the radio for free via the Internet is problematic, though possible. Free programs usually contain advertising.

 Advantage of Internet radio is also the fact that there is no need to download the favourite songs to your computer and the interface of this programs itself allows you to see song titles, artists.

 Now on the Internet you can find hundreds of free Internet radio channels and in different languages. Hence, internet users have virtually unlimited opportunities to listen to radio programs from around the world.

Botox and Pregnancy: is it possible to make “beauty shots” to expectant mothers?

A pregnant woman, like anyone else, wants to look beautiful, young and fresh. However, in preparation for motherhood, expectant mothers in the first place do not worry about their appearance, but the proper development of the child, so they avoid negative effects of nicotine, alcohol and all kinds of drugs. For this reason, many women are thinking about the safety of modern cosmetic procedures – in particular, injections of Botox.


    So are these two concepts compatible : Botox and pregnancy?

How do Botox injections “work”? The effectiveness of such popular procedure today, as injections of Botox, is extremely high. The principle of the injection is that the administration of botulinum toxin into the skin in a low concentration blocks the nerve endings of muscles, thus achieving the effect of non-surgical smoothing facial wrinkles and skin tightening, which persists for about 3-4 months.

Botox: pros and cons

If, under normal circumstances, an injection of Botox is made at a specialist clinic, there will be no complications after the procedure. However, Botox during pregnancy may have a greater impact on a woman’s body and cause significant weakness, digestive problems, allergic reactions, dizziness, shortness of breath and other rarely seen side effects of the drug under normal circumstances. That’s why beauticians and Gynaecologists do not recommend the injection even for women who have repeatedly done it before pregnancy. The future mother should worry not about how much is a shot of Botox, but whether it is safe for her and her baby.

If a woman decides at any cost to fight wrinkles during pregnancy and make botulinum toxin therapy it is highly recommended to consult a doctor – obstetrician-gynaecologist and beautician.

Botox during pregnancy: research

Despite a passion for “beauty injections”, which is noticeable all over the world, the effect of Botox on the body of a pregnant woman and the developing foetus is still unknown.

On this issue, opinions of experts differ. Some believe that to compare the pros and cons of Botox is impractical, because the risk of side effects persist, and this can adversely affect foetal development. Other experts believe that Botox and pregnancy are quite compatible, because the dose of the botulinum toxin injection is so small that it could not have a systemic impact on the body of a pregnant woman.

However, the results of medical studies, conducted on rats and rabbits at the Italian National Institute of Neuroscience, showed that high doses of Botox during pregnancy can cause : spontaneous abortions, malformations, development delays, insufficient weight gain of the foetus.

Of course, these results are not direct evidence of potential harm of Botox to the foetus. However, at this stage, the developers of the drug do not wish to risk by women’s health, hence they do not target them with similar studies on Botox and pregnancy. And this is clear. Because in the course of studying the pros and cons of Botox injections should not be made to the pregnant woman, that may endanger the life of her child. And this is an inadequate payment for momentary beauty.

According to physicians, greater responsibility for the health of the child lies with women themselves, so they, like anyone else, need to understand that we should be careful about the Botox injections during the pregnancy( if we want it to be successful).

But when women are only planning pregnancy, Botox injections can be made safely up to pregnancy.

SKYBUS, LTD.BUSINESS FEASIBILITY PLAN.PartVIII.Section 7

PROFESSIONAL PRACTICE

1. Professional Bodies

A relationship with professional associations is advantageous for both small and big business as the main aim of such association is "seeking to further a particular profession, the interests of individuals engaged in the profession, and the public interest" (lecture notes).

In Ireland there are main three professional agencies, the co-operation with which might be beneficial for SKYBus business. They are:

1. Charted Institute of Logistics & Transport Ireland  (CILT);

2. Irish Small and Medium Enterprises Association (ISME);

3. Dublin Chamber of Commerce.

The below is a detailed description of listed agencies and their relationship with businesses:

1. Chartered Institute of Logistics & Transport Ireland (CILT)                       

The Chartered Institute of Logistics & Transport (CILT) is the recognised professional body for all professionals involved in the transport and logistics industries in Ireland. The CILT draws together members of the Transport and Logistics Industry in one common networking forum.

CILT offers, working within the Transport, Logistics or Supply Chain Management industries, companies a membership of the Institute which is nothing but advantageous for the following reasons: ability to build a wider network; an opportunity to sharpen the Logistics & Transport Skills; a chance to be heard, ability to gain recognition & credibility as well as an opportunity to manage Transport / Logistics Career. There are six grades of memberships, which vary from unemployed to charted, depending on the qualification and experience.

Upon a mutual relationship between SKYBus and CILT, it is believed that our business will have the opportunity to participate in a number of social activities (Annual Dinner) which will give us a chance to network informally and to make valuable contacts within the Logistics and Transport Industry.

Being a member of CILT, SKYBus will have an access to the institute magazine "Linkline", where it will become possible to find all information of Transport Industry and any changes within it and its laws and regulations.

Also we will be able to advertise our services and learn more of the businesses appearing in the market that can become our potential competitors. Our employees will gain access to top-level training, professional development and recognized professional qualifications in Logistics & Transport that are delivered by CILT. SKYBus will also have a free access to all the Institutes Presentations by topical industry professionals, site visits, seminars and conferences which are part of the dynamic CILT program.

The Institute acts as the Examining body on behalf of the Department of Transport and the Health & Safety Authority and hence all drivers employed by SKYBus will be able to sit the exams and get a Certificate of Professional Competence in both Road & Bus Passenger Transport Operations Management (such certificate is proof that the candidate is professionally competent to act as a transport manager).

2. Irish Small and Medium Enterprises Association (ISME);

By joining with other business owners across the country, ISME lets its members to share in protecting the health of the firms and resisting the dominance of Government, Trade Unions and Big Business.

It provides a professional support and advice. Its business advice helpline offers advice on all aspects of Business and HR including: Employment Contracts, Health and Safety Obligations, Wages and Conditions, Late Payments, Maternity, Carers and Paternity Leave, Annual Leave and Holidays, Bullying and Harassment, Disciplinary Procedures, Redundancy, Work Permits, Revenue Audits, The New Legislation, etc.

Another beneficial feature of co-operation with ISME is that SKYBus will have an opportunity to Promote Online through the "Meet the Members" page on the ISME website by advertising our special offers to the ISME Community.

By being a member of ISME, we will escape the high rates of companies (that are the members of ISME). The cost reduction scheme includes Health Cover, Business Insurance, Home Insurance Phone and much more.

Just like CILT, SIME has numerous networking events, conferences and seminars across the country throughout the year. These events have proven to be fantastic networking opportunities where SKYBus will have an opportunity to meet like-minded owner managers.

Also ISME has a training and development department. The agency invites all members to attend the numerous business training programmes across Ireland. There is a significant discount for members of ISME for this training. Training programmes include; Cold Calling Techniques, Social Media for Business, How to get paid and many more.

There are monthly newsletter and regular press releases from ISME. The agency is constantly lobbying on behalf of Small & Medium Business in Ireland; therefore these publications are designed to keep all subscribers up to date on the issues that face Business owners in Ireland.

3. Dublin Chamber of Commerce

Dublin Chamber of Commerce represents the interests of businesses in the Greater Dublin Area.

As the leading business organisation, the agency offers the opportunity to promote a company business and to get involved in the future direction of the area. The Chamber helps to network with other businesses, maximise and grow the company business and understand the driving forces behind the future shape of the Greater Dublin Area.

Its range of business services, which includes the networking and learning events, business advisory services and international trade documentation and policy consultations, ensures that the companies are well positioned for the challenges ahead.

The Chamber provides a range of business services, including international business assistance, export services and business promotion opportunities. Founded in 1783, the Chamber has represented the interests of business across the Greater Dublin Area for more than 200 years.

The Chamber’s Member Advantage Club allows members to make savings on a range of goods and services and provides the opportunity to showcase a special offer to fellow member businesses.

There are significant opportunities for SKYBus to promote our business and expand the network of professional connections. Its programme of over 120 events each year caters for every person and every business. It is believed that Networking at the events will enable our business to network with our peers and like-minded people, as well as to share ideas and expertise. Such events also provide the companies with timely, relevant and valuable information so to give the business a competitive edge. The Chamber also empowers all its members to network online by joining its dedicated LinkedIn members group.

The Chambers has its own library where we as a member will have an access to different works, new articles and other interesting materials on business, which will be helpful in the business.

Such activity will let SKYBus to see other perspectives and therefore get more value out of the read as well as the depth of engagement at the discussion sessions, available at the Book Club, will build strong bonds with other participating members of the Chambers.

2. Schedule of Proposed Events

SKYBus  important events are detailed in a table below. SKYBus believes that it is important for a company t set goals because this helps determine the company's strategy and tactics and maintain company focus. The events are seen as a progress points and will be used to measure SKYBus's success in achieving its goals.

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SKYBUS, LTD.BUSINESS FEASIBILITY PLAN.PartVII.Section 6

MARKETING, QUALITY, SERVICE

1. Plan for effective marketing

Service/Product

·         SKYBus is a company providing 24-hours transportation services, making the rides from/to Dublin Airport. Its route has its starting point at Dundrum Centre and runs along the following Dublin areas: Tallaght, Clondalkin, Liffey Valley and M50.

·         Upon starting up, the business intends operating two vehicles that will make in average 40 rides per day. The time of one travel between two final stops is approximately 50min (depending on the traffic implications). There will be 10min break between the rides (for a detailed timetable refer to Appendix VI.A)

·         Unlike our man competitor, which is Airport Hopper, SKYBus is expected to operate 24 hours 7 days a week. We also intend to make the rides during the holidays, such as Christmas Day, Easter Day (365 days a year without any exceptions).

Place

·         SKYBus starts its travel from Dundrum Centre and drives through the following main stops: Tallaght Square, Belgard Inn, Newlands Cross (Bewleys Hotel), Clondalkin Mill Centre, Fonthill Dunawley, Liffey Valley Shopping Centre, Clarion Hotel (Liffey Valley), Footbridge N4 and Airport.  At the main stops, listed above, the bus waits for 2 min (Airport - 10min). And at the Clarion Hotel in Liffey Valley, the bus waits for 5min. All stops served by SKYBus will have the company bus stop signs with the timetables on them (Appendix VI.B)

·         The bus serves the hotels that are located close to the operating route. These includes: Clarion Hotel (Liffey Valley), Bewleys Hotel (Newlands Cross), Louis Fitzgerald Hotel (Newlands Cross), Abberley Court Hotel (Tallaght), Maldron Hotel (Tallaght), Plaza Hotel (Tallaght), Dundrum House Hotel (Main Street);

·         SKYBus will have an offical website where all internet users will have a chance to review the information with regard to: the detailed timetable, stops served, book a ticket online or a private coach as well as reserach special offers provided by the company.

Price

·         The ticket fares will differ depending on the stop at which passenger will hop into the bus. For example those travelling from the first stop (Dundrum Centre) the fee charge will be €8, where the ticket price will reduce to €7.50 for the passengers hopping in Tallaght. €7 and €6 will be for Clondalkin and Liffey Valley stop respectively. The ticket fares will also differ depending on the age of the passenger (for a detailed price list refer to appendix VI.C)

·         SKYBus intends to provide discount bundles to the frequent users or groups. For example the 10 travels within a month will cost €45, where the family offer (up to 2 adults and 4 children) for one ride will be €20

·         Unlike Airport Hopper that offers only €8 and €6 fare charge for the adult (depending on the bus stop location), SKYBus broke the ticket price further on (€8, €7.50, €7 and €6). The family package offered by SKYBus is €20, where Airport Hopper charges the family for €29. If to compare the fares with taxi, SKYBus charges three/four times less for transportation services than any taxi vehicle (depending on the taxi station location).

Promotion

·         In order to introduce the company to the public SKYBus will be advertised by Advertising agency using such technique as press publishing, for instance ads in the most popular local newspapers. Also it is considered to publish brochures and spread around the democratic area of interest to the business so the message could reach the domestic households as well as organizational estates.

·         To increase the sales SKYBus will cooperate with the hotels and Dublin Airport. Also it will be considered to involve such advertising technique as TV commercial in order to raise awareness of our transporting services operating within the Dublin areas.

·         SKYBus is the seasonally dependent business. For example summer is expected to be a most profitable time of the year as many people travel to the airport for summer holidays flights. The number of passengers per day will also depend on the holidays periods, such as Easter and Christmas (when many foreign workers travel back to their home countries), other national holidays such as St Patrick Day (when many travel to Ireland in order to attend the St. Patrick Parade) or sport events.

2. Marketing Strategy

According to classification based on market dominance SKYBus will take lace of Challenger in the market, because SKYBus enters the existing market with a direct competitor - Airport Hopper and indirect such as Night Link and Taxi. All three competitors mentioned above provide services either for an expensive fare or serving some particular areas of Dublin.  SKYBus will concentrate on weaknesses of our opponents in the market, for instance such as a high price, inadequate service, quality and flexibility.

SKYBus will offer the competitive and cheap prices, reliable and frequent service, expand the perimeter of service market to Dundrum as well provide a night service. 

The below is a list of market strategies on which SKYBus intends concentrate its attention in order to achieve recognition as well as popularity among its users:

·         Improved service strategy;

·         Intense advertising strategy;

·         Cheaper service strategy.

3. Methods of Distribution

SKYBus intends to sell its services to its users by using both methods of distribution: direct and indirect channels.

Indirect Distribution:

Hotels and Dublin Airport appear to be the representatives of an indirect market channel, where their customers become our users. It is hoped that contract agreements with both leading customers as well as spreading of leaflets and brochures on SKYBus services at the hotels and airport registration desks will attract attention of potential users.

Direct Distribution:

Individuals hopping into the busses at the bus stops will become the representatives of the direct distribution channel. It is expected that delivering a qualitative service our business will raise a popularity rate through a "word of mouth".

4. Quality Policy

It is the policy of SKYBus Ltd, to provide its customers with a high quality service. The overall policy of the company is to provide the people, organization and resources to supply our customers with the products and services that satisfy their requirement in every respect. Furthermore it is SKYBus Ltd policy to continually improve our quality by monitoring, measuring and enhancing our Quality and Procedure System.

Implementation of the Quality Policy is the responsibility of every member of staff, starting with the Owner, who makes policy decisions which enable the correct action to be implemented throughout the organization. The owner who also acts as the Quality Manager is responsible for maintaining the implementation of the Quality Policy. The Quality Manager controls and monitors those activities in a manner compatible with achieving required service levels and obligations effectively. It is mandatory that all staff adhere to the procedures in order to achieve a consistent

The management will ensure that the quality policy:

·      Is appropriate to the organization;

·      Provides a basis for establishing and quality objectives;

·      Includes a commitment to requirements and continual improvement;

·      Is communicated and understood within the organization;

·      Is periodically reviewed for suitability;

5. Customer Service Policy

Our primary aim is to provide customers with the very best level of service reaching their expectations. Our goal is to achieve a complete satisfaction of every customer that uses the services of SKYBus. And to achieve this we are committed to our Customer Care Policy for all jobs regardless of size:

·      Deal with customers honestly, fairly and politely;

·      Respond quickly and in a helpful manner;

·      Be trustworthy and reliable and respect confidentiality;

·      Always be efficient and effective to ensure best value for the customer;

·      Consider the customer's needs and environment and provide the appropriate care;

·      Keep the customer informed of progress;

·      Always deliver the service according to the standards of SKYBus, with minimum disruption;

·      Apologies if required and solve an outstanding problem;

·      Listen to feedback, act on it and respond;

·      Keep customers informed of new and improved services available

If we won’t be able to provide exactly what the customer requires, SKYBus will be innovative and will suggest alternatives.

SKYBus promises not to disclose any information on a customer to the third parties. Any confidential customer details obtained through the website will not be shared with anyone except customer himself and the SKYBus employee if required.

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SKYBUS, LTD.BUSINESS FEASIBILITY PLAN.PartVI.Section 5

FINANCIAL PLANNING

1. Sources Of Finance

As it was already outlined in section III, to obtain the proposed business it is required to have an access to approximately €110,000 to run SKYBus for the first three months.

Internals recourses

The owner of the proposed business currently holds a saving account with €30,000 on it and he intends to use this money as a help of starting SKYBus, Ltd.

The parents of the owner also decided to support the potential business and hence made a contribution of €30,000.

External resources

The proprietor of SKYBus is currently unemployed and hence there is no additional income that could be used for investing the proposed business. However there are two strategic plans as a result if which SKYBus can get a second half of finances for investing the start-up of its business.

Plan A

According to Department of Social Protection the owner can have the Short-Term Enterprise Allowance (STEA). In order to be eligible for this governmental support the owner must be:

·    Be getting/have an entitlement to Jobseeker’s Benefit

·    Have 104 paid PRSI contributions.

(Note: The owner has a hold of both mentioned above)

However in order to receive a permit for this support scheme SKYBus will have to be approved in advance in writing by a Job Facilitator based in Social Welfare Local Office. SKYBus may also get extra support under this scheme (if granted), for example grants for training, market research, business plan and access plan to buy equipment (www.welfare.ie)

Plan B

If SKYBus is not granted with STEA the owner will seek a loan of €50,000 from Allied Irish Bank. The bank offers a special scheme for start-up business where an “unemployed” status of employer is not an obstacle.

Once the business plan is approved to be successful, AIB gives SME Loan, which specifically caters for the needs of the young or just starting up company. SKYBus will seek €25,000 over 3 years term (3 years – subject of normal lending criteria) at the highly competitive rate of 4.40% p.a. (Refer to Appendix V.A)

2. Financial Forecast

Set-up costs

The first month will be used to set up the business. It is unlikely any business will be officially transacted. In addition to dealing with legal and accounting issues for the business, office equipment will be purchased and set up.

Once the physical office is ready we will then develop the employee policy and procedure manual. Then we will develop our training program. This will take a bit of time therefore it is very important it is set up at the beginning, ensuring that it is completed and done properly when there are far less time constraints. ( for more detailed set up costs refer to appendix V.B)

Profit & Loss

SKYBus intends to start operating in March of 2013. It is expected to have a profitable income due to the seasonal demands as many passengers start travelling at this time of the year (presence of many spring holidays: Easter, Sport events, St. Patrick, etc). The second month will be active. We will begin to field inquiries over the phone and expect to turn some of those into contracts (Co-operation with Hotels, Dublin Airport, etc). It is expected that the number of passengers using the services of SKYBus will grow up at the end of the second month.

By the end of the forth month the company expects to reduce the loss rate and make the business profitable (for a detailed Profit & Loss statement refer to appendix V.C)

The sales forecast is based on the assumption that increased demand will occur at a steady pace. This is based on the assumption that a large part for our new passengers after month two will be from word of mouth referrals. The logic is that we will gain passengers as we continue to serve current passenger. It is expected that this will happen steadily and incrementally.

Generally, it is expected to have at least one passenger per ride (during the first month of operation). After that it is believed that as a result of “word of mouth referrals” and a help of advertising agency the number of passengers will double, reaching 2400 passengers every month (depending on the number of days in one month). Following that, the growth people using our services should increase steadily. The year 2 is expected to show an increase in sales also, as well as year 3.

Note: The forecast is approximate; it is possible SKYBus will not reach the expectations due to a further economic downtime or some unexpected factors that might have a negative impact onto SKYBus developing business.

Cash Flow

The total repeating costs as it was outlined before is approximately €25,000. During the first month our business will have no profit as it will be used to set up the business. The vehicles are expected to start operating during month two. Having at least one passenger per ride (40 passengers per day), the monthly income will constitute €9,600 (where the ticket fee is €8 for adult).

The steady growth rate is expected to be seen during the month 2 and from that on. By the end of the month 5, where the number of passengers will reach 3,600, SKYBus business is expected to be in a profit of around €3,000 (for the detailed cash flow chart, refer to Appendix V.D)

Balance Sheet & Break Even Analysis

At the point of starting up the business, SKYBus is in a possession of €60,000 where €30,000 is the personal savings of the owner of the potential business and the second half is an investment of the owner's parents. The long-term liabilities, such as the bank loan, are €50,000.

The capital required to establish the business is €55,838. In order to run the proposed business it is required to have an access to approximately €25,000 per month. And also the business should be in a possession of at least €5,000 in cash for unexpected expenses (for detailed balance sheet refer to appendix V.E)

The break even analysis is based on an average monthly fixed costs of approximately €23,500. By establishing our ticket price of €8, we need only 3,600 rides per month to break even. During the summer months as well as holidays we expect to surpass the number of rides three times as much (Appendix V.F).

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