«Business Plan Updated 5/4/11 THIS BUSINESS PLAN IS FOR INFORMATIONAL PURPOSES ONLY. THIS BUSINESS PLAN DOES NOT CONSTITUTE AN OFFER TO SELL OR A ...»
Consulting Group. These costs include payment of commissions to affiliates, SCENE Members and joint venture partners who help to market our programs and offerings to their networks. We negotiate different commission structures with different people and companies. However, in our financial summaries we provide exact rates for those affiliate and Member-based commissions that have already been set. Commissions costs range from about 10% to as much as 50% of revenues from specific programs and activities.
All of these costs are detailed in the assumptions to our financial summaries and portrayed on our thirty-six month profit and loss estimate, including projected increases in costs as we grow and diversify.
Revenue Streams The Company generates revenue streams from activities related to each of its four primary products and services categories.
We generate revenues related to The SCENE based on selling memberships at $79 and $149 per month. We also generate revenues based on certain activities Members undertake after they have joined including their purchase of special programs not included in their membership benefits packages. SCENE Members help the Company generate additional revenues related to Money & You®, EnviroTabs and C.H.I. Consulting as detailed below.
We generate revenues related to Money & You® by selling tickets to the seminars. Initially, the pricing structure was two tickets for $995. We also tested a price of one ticket for $1,497. Our current plans for upcoming Money & You programs feature a ticket price of $1,997.
We generate revenues related to EnviroTabs in two ways. First, the Company itself holds positions within the Greenfoot Global binary. This provides relatively passive income to CompassionHappens. In addition, the Company generates revenues within the binary as we enroll customers into the Greenfoot Global opportunity.
We accomplish this at two levels. At the first level, more than 20 of our Founding Members and Senior Management have purchased their own Greenfoot Global business under CompassionHappens. Second, these people enroll others beneath themselves. As the number of people in our binary grows, our income from the business grows in lock step.
We generate revenues related to C.H.I. Consulting Group by selling consulting services to customers.
Customers are generated from within The SCENE, by word of mouth and referrals, through speaking engagements and through joint ventures. The average contract for services is worth about $5,000 but can be as high as $15,000.
Our Marketing & Sales Plan Our Unique Approach to Network Marketing
The Federal Communications Commission provides federal oversight on behalf of the general public, a portion of which is dedicated to defining best practices and prohibited practices for network marketing and MLM-based companies. The guidelines are clear and serve to benefit all parties. Compassion Happens will follow these guidelines in all of our business practices. This will assure long-term success of our programs, long-term goodwill for our business, maximum returns for all stakeholders and maximum positive impact for our social missions. In addition, the FTC is taking a firmer stand on regulating testimonial advertisements, bloggers and celebrity endorsements, which means that MLM companies that make testimonial/endorsement claims will now require full disclosure. We applaud this, but intend to take it a step further by introducing the concept of ―cause related marketing‖ to the traditional network marketing model.
The term ―Cause-Related Marketing‖ was first coined in 1983 by American Express, following a very successful campaign of linking their card services to local philanthropy in San Francisco. It has evolved as a growth industry since that time. ―Cause marketing will be the fastest growing category of sponsorship spending in 2010,‖ predicts the IEG Sponsorship Report. Corporate cause sponsorship will rise 6.1% to hit $1.61 billion in 2010, according to their forecast. The Cause Marketing Forum further reports that cause sponsorship has grown from $120 million in 1990 to $151 Billion in 2009. Although general sponsorship declined in 2009 with the challenging economy, the cause marketing data for that time period remained flat over the previous year, reflecting the overall strength and resilience of this industry segment. Edelman’s 2009 Goodpurpose™ Consumer Study found that 57% of consumers worldwide say a brand or product earned their business because it was associated with, or supported, a good cause. We intend to leverage this trend by tying the products we offer directly to causes and by supporting (and providing incentives for our members to support) causes important to people and the environment. For us, ―cause related marketing‖ is easy—it maps directly to our mission in the world and our purpose for being in business.
The Company has four key sales objectives during the next 180 days:
Enroll 3,500 people into SCENE memberships, with one-third of them selecting paid memberships of $79 or $149 per month Produce three Money & You® programs with average attendance of 100 people, paying an average tuition of $1,997 per ticket Enroll 500 people into the Greenfoot Global business opportunity Engage with 25 new clients through C.H.I. Consulting Group, with an average services fee of $5,000
In addition, the Company has four key sales objectives during the next three years:
Enroll 50,000 people into SCENE memberships, with one-third of them selecting paid memberships of $79 or $149 per month Produce 20 Money & You® programs with average attendance of 100 people, paying an average tuition of $1,997 per ticket Enroll 10,000 people into the Greenfoot Global business opportunity Engage with 250 new clients through C.H.I. Consulting Group, with an average services fee of $5,000 Sales Methods
The Company plans to continue to use the following primary sales methods to reach prospective customers:
To reach and engage with prospective members for The SCENE we will utilize affiliate sales channels provided by current SCENE members, event-based sales promotions, joint ventures, Internet-based sales and one-to-one conversations with interested people.
To reach and engage with prospective students for Money & You® we will utilize the access we have to the 80,000 current graduates, affiliate sales channels provided by recent graduates, event-based sales promotions, enrollment conversations by our staff for individual prospects and joint venture channels.
To reach and engage with prospective EnviroTab business owners we will utilize direct and network marketing through our current 20+ people in the CompassionHappens binary, event-based promotions, joint ventures with existing networking marketing people and individual enrollment conversations by our staff.
To reach and engage with prospective clients for C.H.I. Consulting Group we will utilize direct referrals, eventbased promotions, speaking engagements through The SCENE and other venues and joint ventures with complementary service providers.
Customer Service As a conscious company we understand how important it is to take care of customers, partners and prospects.
We expect to build several large networks during the coming three years, each of which demands outstanding
customer service. We have therefore created a Customer Service Plan that includes:
Rapid and courteous response to inquiries Expedient processing of new member sign-ups Timely and accurate payment of commissions Surveys to determine ways of enhancing our service and business Attentive and responsive complaint management The Compassion Happens Customer Service Plan will include a full time Customer Service Manager by the end of Year 1, as well as 2+ Customer Service assistant(s) as needed to field calls and emails. The Customer Service Manager and Assistants may work out of the Carlsbad office or from a remote location. It will be required that they are experienced and trained specifically in customer service for a network marketing company.
Implementation Our Organizational Structure Management Team The Founders and Faculty Partners of CompassionHappens are each successful professionals who have demonstrated records of financial success as well as deep care and concern for their communities and the Earth.
Our core team is highly experienced in entrepreneurial development, direct sales, coaching, marketing and financial management. We have demonstrated expertise and knowledge in funding, product and affiliate network development, joint venturing, business development and leadership training. We have also brought together a network of well-seasoned and expert business consultants to develop the organizational design and structure of the business. Additionally, leaders of the conscious business movement are participating as consultants in the creation of the company.
Jerry Conti, Founder, CEO and Chairman of the Board Jerry began his career as an Operational Executive with Conti Construction Company, now a $350+ million Family-owned business enterprise, where he learned invaluable personnel and management skills. Seeking more independence and autonomy, Jerry moved into direct sales and now brings over 16 years of experience in executive roles within the direct sales industries to CompassionHappens. He has run several multimillion dollar direct sales businesses, including an international team of thousands of consultants in U.S. and Canada as a National Vice President for Arbonne. Jerry co-founded a Telecomm Network Marketing company called Wealthnet Inc. - now a publicly traded company known as inContact located in Utah, which is a successful a call center and software provider. He also launched several educational companies in the direct sales industry, including Effortless Networker Universitya coaching and mentoring company whose clients included distributors from direct sales companies including NuSkin, Amway, Infinity2, ForMor, Melaluca, Tahitian Noni, InnerLight, Univera, YTB and Arbonne International. In 2010 has Co-Founded MasterUAcademy, an elite Joint Venture speaker's platform that generates hundreds of thousands of emails. Jerry serves on the advisory board for The I AM Foundation, a 501c3 non-profit located in San Diego, CA. He was also featured in the popular recent documentary film "The Compass".
Jessica Conti, Founder, President and Board Member Jessica Conti is a successful entrepreneur and businesswoman, with a strong background in sales, marketing, team building, leadership and personal motivation. As a national award winning senior sales executive in the automobile industry, she was recognized for building long-term relationships to meet the needs of her clients. She also headed the sales department for a national Home Automation company, and managed automation projects for new construction and multi-million dollar residential estates. In pursuit of fulfilling a desire to leave a legacy, Jessica and her husband Jerry have successfully partnered in two direct sales companies, most notable for providing outstanding leadership. Jessica’s extensive training and experience in the MLM industry contributes to the implementation of CompassionHappens vision to create a world-wide network of conscious entrepreneurs. Jessica views her role, as President of CompassionHappens, to be fulfilling her divine plan and is gracefully taking on the important responsibility to create necessary best practices in the company that will inspire/empower each of the stakeholders to always operate from grounded principles of Conscious Capitalism®. Jessica serves on the advisory board for The I AM Foundation, a 501c3 non-profit located in San Diego, CA. She is also featured in the upcoming documentary film "The VOW" (Voices of Women). Jessica resides in San Diego County with her husband, Jerry, and is a proud mother to their four year old son, Jayden.
Michael Assum, Business Consultant – Co-Founder & Implementation Strategies Michael Assum, Consultant, is a successful entrepreneur and businessman with a strong background in startups, mergers and acquisitions, organizational development, continuous improvement, rapid sustained growth, and improved competitive effectiveness. Mike's background includes management positions with Procter & Gamble, Raychem, and as an officer in the US Navy Nuclear Power Submarine Program. Mike has served on the Board of Directors of five different companies, and taught graduate courses in Management of Productive Operations. He holds an undergraduate degree focus in Math and Physics, with additional graduate education in nuclear engineering, organization development, and business.
Jim Farren, Co-Founder & Board Member Jim Farren is Co-Founder & Director of CompassionHappens, a cause related company supporting conscious business. Jim is a successful entrepreneur, businessman, speaker, and former sales and marketing executive for Honeywell. In the early 1980’s Jim was the marketing director for EWTN, the global Catholic network, and served as liaison to the US cable companies and the US Catholic dioceses. Jim is currently on the selection committee for the International Faith & Spirituality at Work Award given by the Tyson Center for Faith & Spirituality in the Workplace at the University of Arkansas Sam M. Walton Business College and serves on the advisory committee for the Center. Jim currently teaches and speaks on integral conscious business. Jim's experience is anchored in his graduate studies in spiritual psychology from USM and organizational change and leadership management studies through the Adizes Graduate School in Santa Barbara.
Lori Waller, Co-Founder and Vice-President of Operations Lori Waller, Co-Founder, is a successful Professional and Personal Life Coach with 20 years of experience in the Travel and Tourism industry. She has rich and diverse experience in the areas of business management, financial analysis, sales, corporate training, and development. She holds certifications as a Performance Consultant, Master Results Coach, Trainer and Practitioner of NLP. Lori also holds a Bachelor of Science degree in Business Finance from San Diego State University.