Construction Engineering Business Plan

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Indonesia EEC (U.S. Energy Engineering & Construction) is a subsidiary company that offers services such as engineering, design and procurement, construction and project management, environmental consulting and management consulting, quality assurance, quality control, information management and operations maintenance and process technology development.

U.S. EEC’s management wants Indonesia EEC to deliver a good financial performance. Indonesia EEC, as a subsidiary company of U.S. EEC set the following objectives for products and services related to EPC power generator and power delivery projects.

1. Ensure customer awareness throughout the planning period.
2. Establishing a joint venture with a local company that has extensive experience in EPC power projects can reduce competition and risk while also lowering prices.
3. Pursuing not only EPC prospects, but also BOO, BOT, BLT, B&R, and ECC prospects.
4. EEC uses the joint venture firm as its main entity to do business with Indonesia and to provide all aspects in energy engineering services.

2.1 Company Ownership

Indonesia EEC was formed as an Indonesian Perseroan Terbatas (PT.). Corporation based in Jakarta (Indonesia) under the Foreign Investment Laws of Republic of Indonesia. The company is owned entirely by the Energy Engineering & Construction company of U.S (U.S. EEC).

2.2 Company History

EEC has been established in Indonesian markets since the 1980s through the opening and operation of a representative office. It saw the need to establish a presence in Indonesia as both a local business that can meet the needs of potential customers and its longer-term, larger U.S. customers who invest in Indonesia and the Southeast Asia Region.

Indonesia EEC was created in 1996. The U.S. EEC owns all shares in the company.

$6,112,981 $7,946,875 $10,697,716 Other Current Assets $525,931 $683,710 $920,380 Total Current Assets $21,638,912 $28,130,585 $37,868,096 Long-term Assets Long-term assets $710,837 $924,089 $1,243,965 Accumulated Debreciation $0 $0 $0 Total Long-term Assets $710,837 $924,089 $1,243,965 Total assets $22,349,749 $29,054,674 $39,112,061 Current Liabilities Accounts Payable $2,478,188 $3,221,644 $4,336,828 Current Borrowing $0 $0 $0 Other Current Liabilities (interest-free) $0 $0 $0 Total Current Liabilities $2,478,188 $3,221,644 $4,336,828 Long-term Liabilities $0 $0 $0 Total Liabilities $2,478,188 $3,221,644 $4,336,828 Paid-in Capital $1,996,500 $3,295,460 $4,743,900 Retained Earnings $116,967 $952,048 $1,781,333 Earnings $17,758,094 $21,585,522 $28,250,000 Total Capital $19,871,561 $25,833,030 $34,775,233 Total Capital and Liabilities $22,349,749 $29,054,674 $39,112,061 Other Inputs Payment Days 30 30 30 Sales on Credit $31,098,365 $40,427,875 $54,422,140 Receivables Turnover 5.09 5.09 5.09

2.3 Locations of Company Facilities

The office is located downton Jakarta in Indonesia. The office is conveniently located near the airport and allows for the company to expand. Indonesia EEC occupies approximately 800 square meters, with offices in each department.

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