Engineering Business Plan

Download Plan Arhive

Introduction

Compton Geotechnical Associates Inc., (CGA), will provide innovative solutions to geological engineering service throughout Maine.

CGA will expand its reach into the limited geographic area, where it can use its staffs’#8217 collective reputation to secure long-term contracts that are centered on cost efficiency and excellent service. We believe that our limited market can be served better than larger businesses and we offer better packages at a cheaper price than similar-sized competitors.

The Company

CGA will be a Delaware limited liability partnership for tax purposes. Its founder is Mr. Martin Compton, an ex-head of Wilson and Brown, Inc.’s engineering geology department. He has assembled a respected group of engineers, geologists, and graphic artists who have combined 35 years of industry experience.

The company does not plan on going public and has only limited private investors. The company has its main offices in Augusta, Maine. The facilities include a soil/rock and water testing lab, conference rooms and office spaces. The company will start offering its services from January 1, 2011.

The company’s major clients will include large construction companies as well local and state governments. By focusing our attention on institutions with special requirements, we believe we can better serve clients and produce a superior geo-engineering service that is more efficient than other firms.

The Services

CGA provides comprehensive geo-engineering services for our clients. Our services fall into two main categories of geotechnical engineering services and construction monitoring/laboratory testing.

These services include slope stability analysis, surface and groundwater evaluations, bluff analyses, laboratory analysis for soils, rocks, and groundwater as well as load testing and settlement analysis. Each project is customized to our client and its scope, length, depth, reach, and cost are unique.

The Market

This market is full of potential, especially because many potential customers are required to perform geotechnical surveys and monitoring prior to construction.

For the past twenty-years, the industry of geoengineering has experienced rapid growth. The industry has grown at an average rate of 22% per annum over the last five years, according to the Journal of Hydrology & Geoengineering. Each of the handful of well-known companies is made up of thousands and smaller consulting organizations. These companies range in size from multinational corporations with a strong brand to small local businesses that employ tens of thousands.

Financial considerations

Start-up assets required are [see Start-up table]. This includes expenses (see Start-up Table) and cash to support operations until revenues are acceptable. The majority of the company’s liabilities will be sourced from outside investors and management investment. However, we have [see Start-up Table] current borrowing from Bank of America Commercial Investments. The principal will be paid off within two years. Charter Bank of Augusta has a long-term mortgage of [see Start up Funding tableau] that will be paid off within ten year.

The company anticipates reaching profitability in the first year and doesn’t anticipate any cash flow problems. The average profitability per segment per month will be $8,000. This is our conservative estimate. We expect that about three projects per month will guarantee a break-even point.

1.1 Objectives

Compton Geotechnical Associates (CGA), has the following three year goals:

• Breakeven in year two
• At least four clients should be signed up for long-term agreements.
• To establish long-term relationships, and to promote word-of–mouth marketing, you should aim for a minimum of 95% customer satisfaction.

1.2 Mission

CGA’s mission is to offer innovative geological engineering services, and to establish long-lasting relationships with clients. We provide excellent services in a timely manner and at a cost-effective price.

1.3 Keys to Success

These are the keys to CGA’#8217’s long-term survival, and profitability:

Create long-term contracts that demand constant monitoring or on-call services.

To maintain a close relationship with clients and to establish a long-lasting, productive relationship with them in order to generate repeat business.

Provide a complete service experience for clients that includes consultations, field work and laboratory work. We also offer in-house design and analysis. This allows us to monitor geo-hazards and provide follow-up monitoring.

Download Plan Arhive