ATLAS TECH Inc.

Business Plan

ATLAS TECH Inc.

www.atlastech.ca
Authentic Smart
Toronto, Canada

August 2021

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DISCLAIMER
Quite a number of the statements contained in this Business Plan include information
consolidated by references, future expectations and strategically schemed out plan that
would result into financial success gathered by the management, which is believed to be
ultimately revelatory. Those statements are bound to be prone to uncertainties,
unforeseen circumstance, and other uncertainties which could be beyond the management
control.

Important factors that may cause the actual results to differ from those expressed within
may include, but are limited to:

 The failure of the company to keep up with effort that can make its services
successful.
 The effect of changing legislation and government regulation as this plan has put
all that into consideration.
 The company’s ability to maintain substantial level of returned customer and a
booming referral base.

However, the assumptions disclosed herein are those that management believes are
significant to the growth of the company.

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CONFIDENTIALITY AGREEMENT

The undersigned reader acknowledges that the information provided by ATLAS TECH
INC. in this business plan is privy; therefore, reader agrees not to disclose it without
express written permission Of ATLAS TECH Management.

It is acknowledged by reader that the information to be proposed in this business plan is

in all respect confidential in nature, other than information which is in the public domain
through other means and that any disclosure or use of same by reader may cause serious
harm or damage to ATLAS TECH Company Inc.

Upon request, this document is to be immediately returned to the ATLAS TECH

Company.

Signature

Name (typed or printed)

..th August, 2021

Date

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Table of Contents
DISCLAIMER.............................................................................................................................................2
CONFIDENTIALITY AGREEMENT........................................................................................................3
I. INDUSTRIAL OVERVIEW...............................................................................................................6
II. EXECUTIVE SUMMARY.................................................................................................................8
i. Introduction to Parent Company......................................................................................................8
ii. Our Mission and Vision Statement..................................................................................................9
iii. Keys to Success.............................................................................................................................9
i. Company Summary.......................................................................................................................11
ii. Start-up Summary..........................................................................................................................11
IV. OUR BUSINESS STRUCTURE...................................................................................................14
i. Organizational Structure................................................................................................................14
 Chief Executive Office................................................................................................................14
 Programmers and Software Developer.......................................................................................15
 Accountant.....................................................................................................................................16
 Technical Help Desk Officer......................................................................................................16
V. SWOT ANALYSIS...........................................................................................................................17
i. Strength..........................................................................................................................................17
ii. Weakness.......................................................................................................................................17
iii. Opportunities...............................................................................................................................17
iv. Threat.............................................................................................................................................18
VI. MARKET ANALYSIS..................................................................................................................19
iii. Market Trends.............................................................................................................................19
iii. Our Target Market......................................................................................................................19
iv. Our competitive advantage............................................................................................................20
VII. SALES AND MARKETING STRATEGY...................................................................................21
i. Sales Forecast................................................................................................................................21
ii. Publicity and Advertising Strategy................................................................................................23
iii. Our Pricing Strategy....................................................................................................................24
iv. Payment Options............................................................................................................................24
VIII. FINANCIAL ANALYSIS..........................................................................................................25
i. Startup Expenditure (Budget)........................................................................................................25
Table: Start-up Funding.....................................................................................................................25
ii. Key Financial Indicators................................................................................................................26
Chart: Benchmarks............................................................................................................................27
iii. Projected Cash Flow...................................................................................................................27
Chart: Cash........................................................................................................................................27
Table: Cash Flow...............................................................................................................................28
iv. Break-even Analysis......................................................................................................................29
Table: Break-even Analysis...............................................................................................................29
Chart: Break-even Analysis...............................................................................................................30
v. Projected Profit and Loss...............................................................................................................30
Chart: Profit Monthly........................................................................................................................31
Chart: Profit Yearly...........................................................................................................................31
Chart: Gross Margin Monthly...........................................................................................................32
Chart: Gross Margin Yearly..............................................................................................................32
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Table: Profit and Loss........................................................................................................................33

vi. Projected Balance Sheet................................................................................................................34
Table: Balance Sheet.........................................................................................................................34
vii. Sustainability and Expansion Strategy........................................................................................35
IX. CHECK LIST / MILESTONE.......................................................................................................37

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I. INDUSTRIAL OVERVIEW

An IT/IoT technology company (often Tech Company) is a type of business entity that focuses on the
development and manufacturing of technology products, or providing technology as a service.
“Technology”, in this context, has come to mean electronics-based technology. This can include
businesses relating to digital electronics, software, and internet-related services, such as e-commerce.

For the purpose of this business plan, we will be looking at Information Technology (IT), Internet of
Things (IoT) and Software Development in general as a service. Software as a service (or SaaS) is part
of the Business Analytics and Enterprise Software Publishing industry and players in this industry
consist of companies that are into ERP software, bi software, crm software, scm software and other
software development and they may decide to strictly adopt the Software as a services (SaaS) Business
model.

A recent report published by IBISWorld shows that the Business Analytics and Enterprise Software
Publishing industry has grown steadily due to favorable demand conditions caused by high corporate
profit and investment. Over the five years to 2020, industry revenue rose at an annualized rate of 7.1
percent in Canada, driven by businesses’ increased technological complexity and the eagerness to adopt
efficiency-enhancing software.

The report also shows that many industry products, such as customer relationship management and
enterprise resource planning software systems, device tracking in GPS and RFID have become basic
tools in the management of large companies. In 2025, industry revenue is expected to rise 2.6 percent to
$55.4 billion. The world’s largest software companies have spent the past five years acquiring high-
performing enterprise software vendors, cloud companies and data.

The software development industry has room for growth as there is considerable demand in this industry
with more businesses adopting software programs that will allow for improved efficiency and lower
operating costs; this was so as to look for ways to not be affected by the economic downturn.

Cloud computing capabilities have created several advances for companies who have realized the
positive effect of virtual offices and the savings implications for the company. This technology has
helped companies to not only reduce overhead but increase productivity as well.

Another plus for companies are virtualizations which not only allow them to eliminate several server
farms but has made IT infrastructure more economical and flexible while slashing operating cost
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There are moderate barriers for new businesses that wish to enter this industry; however, certain product
segments have a higher barrier than others. One common thing in this industry is patents which serve as
a means of limiting competition, even though some companies willingly license their patented
technology.

The Business Analytics and Enterprise Software Publishing industry is indeed a growing industry and is
gaining ground in most countries of the world. Statistics has it that in the united states of America alone,
there are about 2,869 registered and licensed business analytics and enterprise software publishing
companies (Software as a services (SaaS) business model inclusive) responsible for employing about
139,347 people and the industry rakes $55 billion annually.

Some of the factors that encourage entrepreneurs to start their own IT business could be the growing
recognition of economic and operational benefits and the efficiency of this business model. As
companies ease out gradually from the economic uncertainties and financial shackles, widespread
adoption of Software as a service is in the offing.

The successful adoption of this technology concept will pave the way for mass enterprise adoption of
Internet of Things as a service in the upcoming years. The transition of enterprises from virtual
machines to the cloud will additionally extend the impetus required for strong growth of the service
(IoT).

Poised to score the maximum gains will be the leading in Preparing smart map data that will be needed
in the future, Preparing the infrastructure, servers and data center of related services, Making necessary
products and services for IoT and Connected cars market, Fleet Management and Tracking end-to end
solutions that offer complete functionalities ranging from integration of internal and external clouds,
automation of business-critical tasks, and streamlining of business processes and logistics, among
others.

Over and above, starting an IoT company requires professionalism and good grasp of how the ICT
industry works. Besides, you would need to get the required certifications and license and also meet the
standard security expected for players in the industry in Canada.

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II. EXECUTIVE SUMMARY

Atlas Tech Inc. is an IT tech and IoT startup and a subsidiary of the famous RAHNEGAR Group of
Companies that will specialize in offering Global Positioning System (GPS), Geographic Information
System (GIS), Fleet Management and services of Internet of Things (IoT) and planning to further
provide Blockchain and Mapping in Canada. The business will be based in Toronto-Ontario and we
hope to be able to secure a well – positioned and standard office facility.

Atlas Tech, Inc. is a client – focused and result driven IT tech Startup Company in Canada. We will
provide broad – based software services at an affordable fee that won’t in any way put a hole in the
pocket of our clients. We will offer standard and professional services to all to our clients.

At ATLAS TECH our client’s best interest would always come first, and everything we do is guided by
our values and professional ethics. We will ensure that we hire professionals who are experienced in the
business analytics and enterprise software publishing industry in general.

We will at all times demonstrate our commitment to sustainability, both individually and as a firm, by
actively participating in our communities and integrating sustainable business practices wherever
possible. We will ensure that we hold ourselves accountable to the highest standards by meeting our
client’s needs precisely and completely.

Our plan is to position the business to become the leading brand in the services we offer in the whole of
Toronto-Ontario, and also to be amongst the top 10 IT tech startup companies in Canada within the first
10 years of operation. This might look too tall a dream but we are optimistic that this will surely be
realized.

i. Introduction to Parent Company

Atlas Tech Inc. Coming to to Canada will be powered by its parent company which has been in business
for close to two decades running successfully as Rahnegar Co. established in 2002 to expand and reform
activities of C&C Company in field of Car Electronics, GPS, and Telecommunications. Atlas Rahnegar
Co. established at 2009 to expand and reform activities in field of Navigable Maps with TA standards,
Develop softwares for Navigation, Tracking,GIS ,Web-GIS, Surveying and Augmented Reality (AR).

With 36 employees and estimated turn-over of 3 Million US$ for previous year, Atlas Tech Inc. will
enjoy financing and high level relationships of Rahnegar Group as support.

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With a very stable facility Rahnegar Group has a wide distribution channel of more than 100 companies
and show rooms for consumer Electronics. Also, contracts with Car Manufacturers as their Supplier. At
present, Rahnegar Co. are the leaders company in related field in its home country, with most of the big
project that has been done as reputable references.

With an office in UAE and Georgia as trading and Banking aim, which help to easier connection and
commercial relationship with the rest of the world, Rahnegar Group is active in the fields of;

 GIS and Mapping

 LBS
 Car Electronics
 GPS and Positioning
 Fleet Management
 Mobile Communication
 Consumer Electronics

ii. Our Mission and Vision Statement

Our vision is to build an IT/IoT company that will be among the forerunners when it comes to offering;
Global Positioning System (GPS), Geographic Information System (GIS), Fleet Management and
services of Internet of Things (IoT).

Our mission as an IT tech with bias in Software as a Services (SaaS) is to help a wide range of clients
develop customized software that will help them simplify their businesses and operations.

iii. Keys to Success

We have targeted the Tech market for several reasons. As a global $787 billion industry (both residential
and commercial), it offers significant growth potential. The annual unit growth of the number of
establishments and sector averaged 6.45% and commercial/institutional sector 0.46% last year.

Despite the low growth in the Technology industry, it still remains a very fragmented market. Within
Canada alone there are over 200,000 establishments both housing and commercial/institutional on
customers ready to consume our services.

The keys to our success are:

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 Building and maintaining strategic alliances with cargo companies

 Adopting a customer- and market-focused sales and marketing paradigm
 Managing the business by implementing, and consistently measuring and adjusting in clients
activities
 Measuring and adjusting:

-Employee Learning and Growth Goals Vs. Results

-Financial Goals Vs. Results

-Internal Business Process Goals Vs. Results

-Customer Satisfaction Goals Vs. Results

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III. OUR PRODUCTS AND SERVICES

Atlas Tech Inc. intends to deal in several services whilst also generating revenue that would boost our
bottom line tremendously. These several services will be added to our core service and should keep us
favourably disposed to compete against our competitors.

We however intend to ensure that all our multiple sources of income which include training and
technical support are in line with what is obtainable in the industry and accordingly to the laws of
Canada. Therefore some of the services and products we will engage in are;

 Global Positioning System (GPS)

 Geographic Information System (GIS)
 Fleet Management
 Services Internet of Things (IoT)Training services
 Technical support

i. Company Summary

The atlastech.ca is a serviced website that supports the creation and dissemination of electronic
constructed information, such as plans, estimates, schedules, budgets and proposals. It is a medium for
connecting with clients, subcontractors, and building owners to manage and collaborate on their projects
as a direct link with us. The production of these services will be done using technical support from
abroad while the Canadian office will be mainly for sales and marketing, utilized by outsourced workers
overseas, with the finished products posted to a secure website. The overall idea is to help reduce labor
costs and streamline operations.

The facilities maintenance functionality will be like other Computer aided facilities maintenance
packages, except that it will be online and integrated with the overseas office for maximum performance

ii. Start-up Summary

Total start-up requirements including legal costs, logo design, stationery and related expenses come to
an estimated $120,710. The details are included in the following table and chart.

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Table: Start-up

Start-up Amout
Requirements

Start-up Expenses
Legal $1,000
Stationery etc. $800
Rent $4,800
Software $21,000
Server and Hardware $23,000
Sales Campaign $5,000
Logo/Brand Development $1,000
Web Design $4,000
Domain/Hosting $110
Total Start-up Expenses $60,710

Start-up Assets
Cash Required $60,000
Other Current Assets $0
Long-term Assets $0
Total Assets $60,000

Total Requirements $120,710

Chart: Start-up

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Start-up

$120,000

$100,000

$80,000

$60,000

$40,000

$20,000

$0
Expenses Assets Investment Loans

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IV. OUR BUSINESS STRUCTURE

Ordinarily we are going to settle for three or five staff members, as part of our plan to build a standard
IT tech startup company in Toronto, we have perfected plans to get it right from the beginning which is
why we are going to ensure that we have competent, honest and hardworking employees to occupy all
the available positions in our firm.

The kind of IT Tech company we intend building and the business goals we want to achieve is what
informed the amount we are ready to pay for the best hands available in and around Ontario as long as
they are willing and ready to work with us.

Below is the business structure that we will build Atlas Tech, Inc. on;

i. Organizational Structure

Chief Executive
Officer

Programmers
and Software
Developer

Digital Customer Care

Marketers Executive /
(Marketing and Accountant Front Desk
Sales Executive) Officer

ii. Job Roles and Responsibilities

 Chief Executive Office

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Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling,

and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities;
planning, monitoring, and appraising job results

Creating, communicating, and implementing the organization’s vision, mission, and overall direction –
i.e. leading the development and implementation of the overall organization’s strategy.

 Responsible for fixing prices and signing business deals

 Responsible for providing direction for the business
 Creating, communicating, and implementing the organization’s vision, mission, and overall
direction – i.e. leading the development and implementation of the overall organization’s
strategy.
 Responsible for signing checks and documents on behalf of the company
 Evaluates the success of the organization

 Programmers and Software Developer

Responsible for designing, installing, testing and maintenance of software systems for the organization,
identifying areas for modification in existing programs and subsequently developing these modifications

 Writing and implementing efficient code

 Determining operational practicality
 Developing quality assurance procedures
 Training users
 Presenting ideas for system improvements, including cost proposals
 Working closely with analysts, designers and staff
 Maintaining and upgrading existing systems once they are up and running

 Marketing and Sales Executive

Identify, prioritize, and reach out to new partners, and business opportunities ad Identifies development
opportunities; follows up on development leads and contacts, Writing winning proposal documents,
negotiate fees and rates in line with company policy

 Responsible for handling business research, marker surveys and feasibility studies for clients

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 Responsible for supervising implementation, advocate for the customer’s needs, and
communicate with clients
 Document all customer contact and information
 Represent the company in strategic meetings
 Help increase sales and growth for the company

 Accountant

Responsible for preparing financial reports, budgets, and financial statements for the organization, create
reports from the information concerning the financial transactions as recorded

 Prepare the income statement and balance sheet using the trial balance and ledgers
 Provides managements with financial analyses, development budgets, and accounting reports
 Responsible for financial forecasting and risks analysis
 Performs cash management, general ledger accounting, and financial reporting for one or more
properties.
 Responsible for developing and managing financial systems and policies
 Responsible for administering payrolls
 Ensuring compliance with taxation legislation
 Handles all financial transactions for the company Serves as internal auditor for the company

 Technical Help Desk Officer

Provide technical assistance and support for incoming queries and issues related to our software,
Identifies problems and issues by performing relevant research using the appropriate tools and by
following established procedures.

 Through interaction with clients on the phone, uses every opportunity to build client’s interest in
the company’s services
 Consistently stays abreast of any new information on the company’s promotional campaigns etc.
to ensure accurate and helpful information is supplied to clients

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V. SWOT ANALYSIS

Atlas Tech, Inc. is still coming into Canada. It will be an overstatement if we say we fully understand
the Strengths, Weaknesses, Opportunities and Treads but it is an engagement for our understanding of
the market that we want to open up to Canada for a success. Building a well – structured IT/IoT Tech
Company that can favorably compete in the highly competitive business technological industry is our
strength.

Part of what a freelance business consultant we engaged did was to work with the management of our
organization in conducting a SWOT analysis for Atlas Technologies, Inc. Here is a summary from the
result of the SWOT analysis;

i. Strength

We can boast of a competent technical team that has analytical and critical thinking skills that can help
them find creative solutions for our clients. Aside from the synergy that exists in our carefully selected
workforce, we have a very strong online presence and we are well positioned to attract loads of clients
from the first day we open our doors for business.

The Rahnegar Group is a very common brand and with reputation that speaks volume in the IoT and
GPS systems and even more. With a smooth history of fleet management our reputation is guaranteed
and in the world of business, reputation breeds trust which is the foundation of a mutual rewarding
business relationship

ii. Weakness

One of the weaknesses that is obvious to us is the lack of capacity and inability to compete with big
players in the industry especially as it relates to economy of scales.

We are just starting up we will need a little time to adapt, build and conquer the Canadian Fleet
management market

iii. Opportunities

The opportunities in the business of Internet of Things and enterprise software industry is massive in
Canada considering the fact that the world is going the way of technology, and software as a service
(SaaS) is indispensable in the value chain of the info tech industry.

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iv. Threat

Some of the threats that we are likely going to face as an IT/IoT Tech business operating in Canada are
hosting issues, installation or upkeep troubles, piracy, unfavorable government policies, and global
economic downturn which usually affects purchasing/spending power especially at this time of the
pandemic.

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VI. MARKET ANALYSIS

iii. Market Trends

The advancement we are enjoying in our world today can be attributed to the advancement of
technology. Technology has indeed given leverage to all aspects of human endeavor. To start with, it is
the advancement of technology that landed man in the moon. It is the advancement of technology that
made communication either via the telephone or computer easier and faster. It is the advancement of
technology that made transportation faster and perhaps cheaper. It is the advancement of technology that
made the manufacturing of goods faster and cheaper.

The technology industry is so wide and vibrant and there is still room large enough for those who are
interested in the industry to come in and create their own impact. One thing is certain, the world will
always celebrate any inventor who is able to invent machines or devices that can ease the process of
doing things.

iii. Our Target Market

We are aware that the nature of our business is geared to words serving B2B clients, hence Atlas
Technologies, Inc. will initially serve small to medium sized business, from new ventures to well
established businesses and individual clients, but that does not in any way stop us from growing to
compete with the leading IT tech companies that offer related services in the Canada.

Almost everyone makes use of software and have either bought directly from the developers or
indirectly via owning a device. This means that the target market for any software development
company is wide. We however have mapped out a strategy that would allow us gain a vital share of the
target market.

One of our first strategies is in conducting a thorough market research that would enable us understands
the market we are to go into and know what they expect from us and what our obligations are towards
them. We shall target the following companies

 Corporate organizations
 Supply chain businesses
 Logistics
 Entertainment industry
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 Educational institutions
 Hospitals
 Accounting firms
 Financial institutions
 Small businesses
 Agricultural sector
 Military and defence sector

iv. Our competitive advantage

The level of competition in the fleet management and IT industry does not in any way depend on the
location of the business since most companies that offer technological services, can operate from any
part of the world and still effectively compete in the industry.

We are quite aware that to be highly competitive in this industry means that we should be able to
develop software apps that will help simplify business and operation process for clients.

Atlas Tech, Inc. might be a new entrant into the industry in Canada, but the management staffs are
considered gurus. They are highly qualified developers with very extensive experience. These are part of
what will count as a competitive advantage for us.

Lastly, our employees will be well taken care of, and their welfare package will be among the best
within our category in the industry meaning that they will be more than willing to build the business
with us and help deliver our set goals and achieve all our aims and objectives.

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VII. SALES AND MARKETING STRATEGY

We are mindful of the fact that there is fast – growing competition amongst IT tech companies in
Canada and other players in the fleet management industry in Canada and around the United State wich
is close proximity; hence we will hire some of the best business developer cum digital marketers to
handle our sales and marketing.

Our sales and marketing team will be recruited base on their vast experience in the industry and they
will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of
the organization. We will also ensure that our excellent job deliveries speak for us in the market place;
we want to build a standard IT/IoT Tech company that offer exemplary service in Canada, that will
leverage on word of mouth advertisement from satisfied clients.

Atlas Tech, Inc. is set to make use of the following marketing and sales strategies to attract clients;

 Introduce our business by sending introductory letters alongside our brochure to all the
companies, institutions and organizations within Canada and the USA as we hope to extend there
in future
 Promptness in bidding for fleet management contracts from companies, and organizations within
and outside Canada
 Advertise our business in relevant programming magazines, radio and TV stations
 List our business on local directories
 Attend international IT/IoT developers related, seminars, and business fairs
 Create different packages for different category of clients in order to work with their budgets
 Leverage on the internet to promote our business
 Join related associations around us with the main aim of networking and marketing our services;
we are likely going to get referrals from such networks.

i. Sales Forecast

We are well positioned to take on the available market in Toronto-Ontario and in the cyberspace and we
are quite optimistic that we will meet our set target of generating enough income / profits from the first
six months of operation and grow the business and our clientele base beyond Ontario to other cities in
Canada.

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We have been able to examine the business of Fleet management and IT/IoT market, we have analyzed
our chances in the industry and we have been able to come up with the following sales forecast. Below
are the sales projections for Atlas Tech, Inc., it is based on the location of our business and the services
we will be offering;

Table: Sales Forecast

Sales Forecast
Year 1 Year 2 Year 3
Services
Fleet Management $1,870,000 $2,019,600 $2,181,150
IT/IoT $1,129,000 $1,200,000 $1,400,000
Others $88,836 $93,588 $95,040
Total Sales $3,087,836 $3,313,188 $3,676,190

Year 1 Year 2 Year 3

Fleet Management $374,000 $403,920 $436,230

IT/IoT $225,800 $720,000 $840,000
Others $17,767 $18,718 $19,008
Subtotal Direct Cost of Sales $617,567 $1,142,638 $1,295,238

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Chart: Sales by Year

Sales by Year

$4,000,000

$3,600,000

$3,200,000

$2,800,000
Fleet
$2,400,000 Management
IT/IoT
$2,000,000
Other Services
$1,600,000

$1,200,000

$800,000

$400,000

$0
Year Year Year
1 2 3

N.B: This projection was done based on what is obtainable in the industry and with the assumption that
there won’t be any major economic meltdown and internet shutdown within the period stated above.
Please note that the above projection might be lower and at the same time it might be higher.

ii. Publicity and Advertising Strategy

We have been able to work with our brand and publicity consultants to help us map out publicity and
advertising strategies that will help us walk our way into the heart of our target market. We are set to
take the tech industry in Canada by storm which is why we have made provisions for effective publicity
and advertisement of our company.

Below are the platforms we intend to leverage on to promote and advertise Atlas Tech, Inc.;

 Place adverts on both print (community – based newspapers and magazines) and electronic
media platforms
 Sponsor relevant community – based events/programs
 Leverage on the internet and social media platforms like; Instagram, Facebook, twitter,
YouTube, Google + et al to promote our brand
 Install our billboards in strategic locations all around Toronto

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 Ensure that all our workers wear our branded shirts and all our vehicles are well branded with
our company’s logo.

iii. Our Pricing Strategy

At Atlas Tech, Inc. we are going global gradually but steady, while we can’t afford to appear cheap, we
will keep our product and service fees a little bit below the average market rate by keeping our overhead
low and by collecting payment in advance. In addition, we will also offer special discounted rates to
startups, nonprofits, cooperatives who want to employ our services for their business.

iv. Payment Options

The payment policy adopted by Atlas Tech, Inc. is all inclusive because we are quite aware that different
customers prefer different payment options as it suits them but at the same time, we will ensure that we
abide by the financial rules and regulation of the Canadian people.

Here are the payment options that will make available to her clients;

 Payment via bank transfer

 Payment with cash
 Payment via online bank transfer
 Payment via check

In view of the above, we will choose a banking platforms that will enable our client make payment
without any stress on their part.

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VIII. FINANCIAL ANALYSIS

i. Startup Expenditure (Budget)

Our start-up costs of $120,710 are to be financed by direct owner investment and investors'. The details
are shown in the Start-up Funding Table below.

Table: Start-up Funding

Start-up Funding Amount

Start-up Expenses to Fund $60,710
Start-up Assets to Fund $60,000
Total Funding Required $120,710

Assets
Non-cash Assets from Start-up $0
Cash Requirements from Start-up $60,000
Additional Cash Raised $0
Cash Balance on Starting Date $60,000
Total Assets $60,000

Liabilities and Capital

Liabilities
Current Borrowing $0
Long-term Liabilities $0
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-free) $0
Total Liabilities $0

Capital

Planned Investment
Owner $10,000
Investor $60,710
Additional Investment Requirement $50,000
Total Planned Investment $120,710

Loss at Start-up (Start-up Expenses) ($60,710)

Total Capital $60,000

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ATLAS TECH Inc.

Total Capital and Liabilities $60,000

Total Funding $120,710

ii. Key Financial Indicators

As shown in the Benchmarks chart below, our key financial indicators are:

 Projected Sales: Projections are based on actual past performance, and are conservative. We
will increase sales at an average rate of 8% per year.
 Gross Margins: Average gross margins are based on 20% COGS of all services.
 Operating Expenses: Operating expenses are based on providing our small team with above
average wages and benefits, and providing superior performance.

Chart: Benchmarks

Benchmarks

1.0

Year 1

Year 2

Year 3

0.0
Sales Gross Margin% Operating Expenses

iii. Projected Cash Flow

The following chart and table show the project cash flow for Atlas Tech, Inc.

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 MonthMon
3
ATLAS TECH Inc.

MonthMonth
1 2
Chart: Cash

Cash
$1,800,000

$1,600,000

$1,400,000

$1,200,000
Net Cash Flow
$1,000,000
Cash Balance
$800,000

$600,000

$400,000

$200,000

$0

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ATLAS TECH Inc.

Table: Cash Flow

Pro Forma Cash Flow Amount

Year 1 Year 2 Year 3
Cash Received

Cash from Operations

Cash Sales $3,087,836 $3,313,188 $3,676,190
Subtotal Cash from Operations $3,087,836 $3,313,188 $3,676,190

Additional Cash Received

Sales Tax, VAT, HST/GST Received $0 $0 $0
New Current Borrowing $0 $0 $0
New Other Liabilities (interest-free) $0 $0 $0
New Long-term Liabilities $0 $0 $0
Sales of Other Current Assets $0 $0 $0
Sales of Long-term Assets $0 $0 $0
New Investment Received $0 $0 $0
Subtotal Cash Received $3,087,836 $3,313,188 $3,676,190

Expenditures Year 1 Year 2 Year 3

Expenditures from Operations

Cash Spending $201,200 $228,570 $258,484
Bill Payments $1,188,059 $1,863,445 $1,992,763
Subtotal Spent on Operations $1,389,259 $2,092,015 $2,251,247

Additional Cash Spent

Sales Tax, VAT, HST/GST Paid Out $0 $0 $0
Principal Repayment of Current Borrowing $0 $0 $0
Other Liabilities Principal Repayment $0 $0 $0
Long-term Liabilities Principal Repayment $0 $0 $0
Purchase Other Current Assets $0 $0 $0
Purchase Long-term Assets $0 $0 $0
Dividends $0 $200,000 $400,000
Subtotal Cash Spent $1,389,259 $2,292,015 $2,651,247

Net Cash Flow $1,698,577 $1,021,173 $1,024,943

Cash Balance $1,758,577 $2,779,750 $3,804,692

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ATLAS TECH Inc.

iv. Break-even Analysis

For our break-even analysis, we assume running costs which include our full payroll, rent, and utilities,
and an estimation of other running costs. Payroll alone, at our present run rate, is only about $16,767 per
month.

The chart shows the average revenue we need each month to break even, according to these
assumptions.

Table: Break-even Analysis

Break-even Analysis

Monthly Units Break-even 1,232

Monthly Revenue Break-even $35,952

Assumptions:
Average Per-Unit Revenue $29.18
Average Per-Unit Variable Cost $5.84
Estimated Monthly Fixed Cost $28,762

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Chart: Break-even Analysis

Break-even Analysis

$20,000

$15,000

$10,000

$5,000

$0

($5,000)

($10,000)

($15,000)

($20,000)

($25,000)

0 200 400 600 800 1000 1200 1400 1600 1800 2000 2200

v. Projected Profit and Loss

Month-by-month assumptions for profit and loss are included in the appendix.

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ATLAS TECH Inc.

Chart: Profit Monthly

Profit Monthly

$240,000

$210,000

$180,000

$150,000

$120,000

$90,000

$60,000

$30,000

$0
Month 1 Month 3 Month 5 Month 7 Month 9 Month 11
Month 2 Month 4 Month 6 Month 8 Month 10 Month 12

Chart: Profit Yearly

Profit Yearly

$1,400,000

$1,200,000

$1,000,000

$800,000

$600,000

$400,000

$200,000

$0
Year 1 Year 2 Year 3

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ATLAS TECH Inc.

Chart: Gross Margin Monthly

Gross Margin Monthly

$400,000

$360,000

$320,000

$280,000

$240,000

$200,000

$160,000

$120,000

$80,000

$40,000

$0
Month 1 Month 3 Month 5 Month 7 Month 9 Month 11
Month 2 Month 4 Month 6 Month 8 Month 10 Month 12

Chart: Gross Margin Yearly

Gross Margin Yearly

$2,400,000

$2,100,000

$1,800,000

$1,500,000

$1,200,000

$900,000

$600,000

$300,000

$0
Year 1 Year 2 Year 3

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ATLAS TECH Inc.

Table: Profit and Loss

Pro Forma Profit and Loss Amount

Year 1 Year 2 Year 3
Sales $3,087,836 $3,313,188 $3,676,190
Direct Cost of Sales $617,567 $1,142,638 $1,295,238
Other Costs of Sales $0 $0 $0
Total Cost of Sales $617,567 $1,142,638 $1,295,238

Gross Margin $2,470,269 $2,170,550 $2,380,952

Gross Margin % 80.00% 65.51% 64.77%

Expenses
Payroll $201,200 $228,570 $258,484
Marketing/Promotion $3,000 $3,000 $3,000
Depreciation $0 $0 $0
Rent $57,600 $57,600 $57,600
Utilities $3,840 $3,840 $3,840
Insurance $600 $600 $600
Payroll Taxes $0 $0 $0
Research and Development $20,400 $20,400 $20,400
Outsourced Offshore Labor $42,000 $4,000 $5,000
Website/Server/Hosting Expenses $10,500 $12,000 $15,000
Contracts/Consultants $6,000 $6,000 $6,000

Total Operating Expenses $345,140 $336,010 $369,924

Profit Before Interest and Taxes $2,125,129 $1,834,540 $2,011,028

EBITDA $2,125,129 $1,834,540 $2,011,028
Interest Expense $0 $0 $0
Taxes Incurred $637,539 $550,362 $603,308

Net Profit $1,487,590 $1,284,178 $1,407,720

Net Profit/Sales 48.18% 38.76% 38.29%

vi. Projected Balance Sheet

The table below presents the projected balance sheet for Atlas Tech Inc. This table reflects a positive
cash position throughout the period of this financial plan and growth in net worth.

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Table: Balance Sheet

Pro Forma Balance Sheet

Year 1 Year 2 Year 3
Assets

Current Assets
Cash $1,758,577 $2,779,750 $3,804,692
Other Current Assets $0 $0 $0
Total Current Assets $1,758,577 $2,779,750 $3,804,692

Long-term Assets
Long-term Assets $0 $0 $0
Accumulated Depreciation $0 $0 $0
Total Long-term Assets $0 $0 $0
Total Assets $1,758,577 $2,779,750 $3,804,692

Liabilities and Capital Year 1 Year 2 Year 3

Current Liabilities
Accounts Payable $210,987 $147,981 $165,204
Current Borrowing $0 $0 $0
Other Current Liabilities $0 $0 $0
Subtotal Current Liabilities $210,987 $147,981 $165,204

Long-term Liabilities $0 $0 $0
Total Liabilities $210,987 $147,981 $165,204

Paid-in Capital $120,710 $120,710 $120,710

Retained Earnings ($60,710) $1,226,880 $2,111,058
Earnings $1,487,590 $1,284,178 $1,407,720
Total Capital $1,547,590 $2,631,768 $3,639,488
Total Liabilities and Capital $1,758,577 $2,779,750 $3,804,692

Net Worth $1,547,590 $2,631,768 $3,639,488

vii. Sustainability and Expansion Strategy

Atlas Tech Inc. is established with the aim of making profit and competing amongst others here in the
fleet management and IT industry. We are however concerned about the future of our company and so

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ATLAS TECH Inc.

we intend to ensure that we deploy sustainability and expansion strategies so as to keep our business
running for a long time.

One of the sustainability strategies which we intend to deploy is in having the right business structure on
ground. This we intend to do by hiring competent and professional employees to handle the various
tasks that we will assign to them.

We will employ those who understand what businesses such as ours will need to thrive in the industry
and the know-how to ensure that we attain our desired goals and objectives. Our employees will not only
be well paid and have attractive incentives, they will also continually be trained so that their skills would
be enhanced thereby increasing productivity for the company.

We would draft effective publicity and promotional strategies that would ensure that the awareness for
our brand and its products are increased to potential and even existing customers. Our promotional
efforts will be geared into ensuring that our brand is positively communicated to even our rivals in the
industry.

Most of our publicity strategies would be geared towards the millenials by throwing up contests
especially on social media as these have the potential to ensure that awareness about our brand is
effectively spread even to the baby boomers.

Finally, we take our customers very seriously and to this effect we intend to ensure that we have
effective customer service programs which will see our loyal customers getting incentives.

We also would ensure that we attend to all customer enquiries whilst also making sure that all their
complaints are resolved speedily depending on the problem. We know that if we carry out these
strategies effectively, we would not only push forth our brand but also sustain our business whilst also
expanding it at our own pace.

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IX. CHECK LIST / MILESTONE

Elements Status
Business Name Availability Check Completed
Business Registration
Opening of Corporate Bank Accounts
Opening Online Payment Platform
Application and Obtaining Tax Payer’s ID In Progress
Application for business license and permit
Purchase of Insurance for the Business
Conducting feasibility studies Completed
Writing of Business Plan Completed
Drafting of Employee’s Handbook
Drafting of Contract Documents and other relevant Legal Documents
Design of The Company’s Logo Completed
Graphic Designs and Printing of Packaging Marketing / Promotional Materials
Recruitment of employees In Progress
Creating Official Website for the Company Completed
Creating Awareness for the business both online and around the community In Progress
Health and Safety and Fire Safety Arrangement (License)
Establishing business relationship with the city In Progress
Purchase of Company vehicle

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