Business Plan Outline and Competitor Analysis | Objective and Three Platforms | Authorised Payment Institution API | Electronic Money Institution E-money EMI | Small Payment Institution SPI

1. Introduction

1.1 Business Plan Outline

This is the business plan for HIRETT REMITTANCE SERVICES. HIRETT is an innovative company that provides MONEY TRANSFER AROUND THE WORLD, classified, PAY AND RECIEVE. In this business plan you will see how the business will operate and generate revenues.
A company background along with the company structure can be found. After that the marketing plan will break down how the company has positioned itself and how it will sell its services. Models used to illustrate the marketing plan are the marketing mix (the 4 P’s – Product, Price, Place, and Promotion), SMART (Specific, Measurable, Achievable, Realistic, and Time), market segmentation (Demographic, Income, Geographic, Psychographic), AIDA (Attention, Interest, Desire, and Action) and Ansoff’s Matrix.
After the marketing plan, you can find an analysis of the competitors operating in the market. The key competitors are identified here and illustrate what the density of the competition is.
With the marketing plan and the competitors’ analysis a SWOT analysis has been conducted to see where the strengths, weaknesses, opportunities, and threats of HIRETT LIMITED lie. In the end you will find the corresponding figures in the balance sheet and projected income statement in the section of the financial statement.

1.2 HIRETT REMITANCE SERVICES Limited’s Three Platforms

The first platform is the “PAY AND RECEIVE” with the hosting country the services will be online 24 Hours. A electronic card payments with authentic verifications before payment and receive is in place, often websites and app are updated regularly to ensure the exchange rate are fair and correct.
The second platform is called “local pay and receive platforms where the commission fee will be lower as long as it is within same country
The third and final platform will be small business/charities bill payments options

1.3 HIRETT LIMITED’s Objective

HIRETT LIMITED stands for free and respectful trade. The company’s main objective is to expand into larger PAYMENTS INSTITUTIONS for East African and around the world to service its business communities over the next 5-10 years to trade freely and in a respectful manner.

2. Company Background

2.1 Company

– Company History:
HIRETT LIMITED traded as HIRETT based in IRELAND over the last years. Currently planning to buy out small money transfer companies or contract out as payments agents

– Company Goals and Objectives:
HIRETT LIMITED is intending to expand into Larger PAYMENTS INSTITUTIONS for East African living Europe and North America and its Business Communities to trade freely and respectful, by providing larger facilities with a wider services offering and also to implement a new advertising campaign. At the end of 3 years the company anticipates Gross Sales of 500,000 euros annually.

– Company Ownership Structure:
HIRETT LIMITED is Private limited company and the current owner director is Mr. Mario Charles. The Company owns Lease 420 High Road and its fixture and fittings are valued at 165.000 pounds.

– Management and Ownership Background:
Mr. Mario Charles is Director of HIRETT REMITTANCE SERVICES. Mr. Charles has worked for the last 20 years in different private limited company which operates money transfer services. He is Part Qualified Accounts and has a degree in BA Honours Accounting and Law in Business. He is the founder of Kullans International. Tosh Limited and its associates are managed by Mr. Mario Charles.

– Organizational Timeline:
The Website/remittance software will be completed by 31 June 2020 and the new remittance services will be available 6th April 2021.

– Current and Future Products
HIRETT LIMITED is a service oriented company that provides MONEY TRANSFER BUSINESS with three types of SERVICES. HIRETT LIMITED will, in the future, also develop website/MOBILE APP ATTACHED TO OUR REMITTANCE SOFTWARE and WITH PAYOUT Agents which main work specifically in East Africa.

2.2 Company structure

2.3 Mission and Vision Statement

Mission Statement

HIRETT is Trading Name of HIRETT LIMITED. Provides customer online money transfer services which they are able to get details of our business around their areas as well as around world regardless the industry sector

Vision Statement

HIRETT LIMITED is innovative company which provides MONEY TRANSFER SERVICES to its customers online 24 hours.

3. Marketing Plan

3.1 Marketing Mix

Product

HIRETT LIMITED is a service oriented company that provides MONEY TRANSFER SERVICES with the use of sophisticated secure remittance software with enhanced compliance functionality along with money transfer modules.

HIRETT LIMITED is also under process of gaining MSB License-SPI License Authorized Payments Institutions expected time before 6th April 2021

HIRETT LIMITED will also have Remittance Bank Account which will be secure a safeguarded remittance account- which applies to every host country.

HIRETT LIMITED will also promote and work with number of clients/partners by using Network/ECOSYSTEM –TM Including MTOs, banks payment gateways, ID verification providers, SMS gateways etc.

Once HIRETT LIMITED implements the above software and programs

The first SERVICES those customers can commence by Going TO OUR SECURE WEBSITE TO MAKE TRANSACTIONS. This is a portal is secure and provides authentication and verifications for all electronic card payments

Secondly is to download our mobile app and customers can process transactions same as website process. Once registered, they can use their historical data with their access codes and send money every time they want.

The third is to go our designated agents, who will support the customers- how to register or setup website and mobile app for or make payments or collect payments.

Price

1. =Website or Mobile App transactions will have fee charged 3-4 euros per every hundred pounds depends the country of destination and payout locations
2. Local agent or cash services transactions will be 5-6 euro per hundred euros
3. Receive payments are free

The pricing strategy that fits HIRETT the best is a combination between the bundle pricing and competition pricing. With the bundle pricing a company bundles its services at a reduced price. For the competition pricing the company sets the price in comparison to its competitors; the same price, lower the price, or higher the price.

At first, HIRETT will have a competition pricing. The price is set lower than the competitors. Over time, with growth in customer base, the pricing strategy will shift to the bundle pricing strategy. This pricing strategy depends on the number of customers we receive, the more customers, the cheaper and the commission fee. The margin of our price will be 4-5%. Per every hundred sent.

Place

HIRETT LIMITED will have its head quarter in CORK, IRELAND, The core business of HIRETT LIMITED will be done online and local representatives are available. The business will draw customers’ online and different meetings of local representatives. The target Market will be East Africa and their business community both local and international.

HIRETT LIMITED works with local communities and their research shows which have done in Ireland and Europe responded high demand of Electronic Payments Services this kind of services.

There will be no distribution channels needed. The service will be provided online and will be offered directly to the costumer.

Promotion

The types of advertising used will be.

There are two types of strategies that are central to HIRETT REMITTANCE SERVICES for the promotion:

1. Message & Media Strategy: HIRETT LIMITED has a message that it wants to put out there for the world. The message of HIRETT is “[SEND AND RECEIVE LOW COMMISSIONS AROUND THE WORLD]. Through billboards, TV stations, radio, Google search engine, website banners, and newspapers, the message can be delivered successfully. We will also sponsor local Sunday Football Teams with the slogan-“Save the Gool is like saving commission from HIRETT”

2. Promotion through the Product life cycle: Every service has a life cycle. It moves through four stages and for each stage a different promotional strategies should be used to ensure success. The four stages of the product life cycle are:

• Introduction:
• Growth:
• Maturity:
• Decline:

3.2 AIDA Tool
AIDA is a communication tool used by many companies to sell their services to customers. The acronym stands for Attention, Interest, Desire, and Action.

3.3 SMART

Any firm sets an object that they want to meet. This is very important and it’s even more important that these objectives need to be SMART; Specific, Measurable, Achievable, Time, and Realistic.

HIRETT LIMITED’s objective is to expand into larger business MONEY TRANSFERS for East Africa and its business communities over the next 3 years to trade freely and in a respectful manner. In figure […] it is visible how this is incorporated in the SMART model.

Figure […]

3.4 Market Segmentation

– Demographic

When it comes to segmenting a product/service in a market, several things need to be taken into consideration. Demographic segmentation is one of them. With demography we look at the population of the country. The population of country can be categorized into different aspects; the two that are central in this case are age and gender. According to the country meters, East African has roughly 20.8 million inhabitants living in Europe (http://countrymeters.info/en/). HIRETT LIMITED is targeting all the inhabitants in the age group of 18 to 65 years, which is about 53% of the population and that is about 11.00 million inhabitants. (http://www.indexmundi.com/east africa/demographics_profile.html).

– Income

Income segmentation is a strategy used by many companies to position itself in the market. A country often has different individuals with different backgrounds and income. Instead of targeting all of them, it’s best to target the ones that fit the company’s needs.
In the case of HIRETT LIMITED, the income target group is anyone with an income of 15,000 EURO PER ANNUAL.

– Geographic

Every country could have different needs and requirements. It is best to geographically segment it to fit the aim of the company. The targeted country in the case of HIRETT LIMITED is East African and overseas countries.

– Psychographic

Psychographic segmentation aims at lifestyle, social class, and personality characteristics. The lifestyle that HIRETT LIMITED wants to attract is individuals that are business and professionals. Most of these business men and women are well educated and are business oriented. These people can be found in the middle class or higher class. These are the people that HIRETT LIMITED is targeting.

3.5 Ansoff’s Matrix

Ansoff’s Matrx is a common marketing tool that was developed by Igor Ansoff in the year 1957. In his matrix, Ansoff proposed that a business has the opportunity to develop by using one of four strategies; Marketing Penetration, Product Development; Market Development, and Diversification. These strategies involve making optimal use of existing markets and products, introducing new products, or entering new target markets. Ansoff’s Matrix is portrait in figure […].

Figure […]

The strategy that involves HIRETT LIMITED is market development. Market development involves a firm that sells existing services to new markets. The products/services that HIRETT LIMITED will offer are being offered by a few companies and it’s a relatively a new market. This can be called API/ Electronic Payments Services

Over time, with expansion and growth, HIRETT LIMITED can grow into a product development strategy, where new products are introduced into existing markets with the aim of selling them to the existing customer groups established by then. [year 3]

4. Competitor Analysis

The competitor analysis has been conducted through the use of Porter’s five forces model. The five forces of Michael Porter consist of competitive rivalry, power of suppliers, power of buyers, threats of substitutes, and threat of new entrants.

– Competitive rivalry

When analyzing a market, one of the first questions to ask yourself is whether not the competition is high for the product/service you want to offer. There are different ways to find this out; to look at how the products/services offered by you differs from those offered by your competitors, how large the competitors are and if their strategies match that of yours, and if it costs a lot to exit the industry.

HIRETT LIMITED faces competition from East African remittance services. These remittance services provide charge expensive commissions fee, lock of security when transporting cash between locations and. HIRETT LIMITED offers similar service, but with electronic payments services which is additional services to satisfy the needs of the customers. HIRETT LIMITED is relatively smaller NOW than other remittance service providers, but it has different strategies. The cost to leave the industry is not high, thus making the competitive rivalry medium.

– Power of suppliers: They are able to supply cash pay outs →

Suppliers play a key role in the success of a company. The suppliers provide the resources the company needs to produce their products/services. The power of the supplier can be influenced by several factors such as how many suppliers can provide the resources a company needs, how expensive is it to move from one supplier to another, and are there substitutes for the product offered by the supplier.

– Power of buyers

The customers, also known as the buyers, can have influence and even control in a market. They can have influences when there’s little difference between the product/services and substitutes can easily be found, whether the product/service is affordable to them, and if switching to another product/service will be costly to them.

At the moment, the services offered by the competitors of HIRETT LIMITED are rather very expensive to the buyers. Switching to the services of HIRETT LIMITED will not cost the buyers a lot and the prices of the services offered by HIRETT LIMITED are lower than its competitors.

We can say that the power of the buyer in this case is low at the moment, due to not many substitutes and competitors operating in the industry, but entry of HIRETT REMITTANCE SEVICES Limited can switch this to a high power of the buyers, because they will have a choice to save money.

– Threats of substitutes

Substitution of product can have a big impact in a market. If the substitute product/service is priced lower, then buyers might switch from one substitute product to another.

The prices of HIRETT LIMITED are lower than its competitors and offers additional services in comparison to its competitors as well. The threat of substitutes is high in this market, because other organizations can start offering the same services as HIRETT REMITANCE SERVICES Limited.

– Threat of new entrants

There are several points to look out for when it comes to entering a new market. These points include how loyal customers are to the current products/services, how quickly can the company achieve economy of scales, is there an easy access to suppliers, and are there any government legislations that could prevent possible entry. The threat of new entry is high when it is easy for a company to enter the market.

In the industry that HIRETT LIMITED will operate in, the entry is high; it’s easy for a company to enter the market. However, HIRETT LIMITED will have the advantage of being AUTHORISED AS PAYMENTS INSTITUTIONS AT the first to differentiate itself from the current services providers and could establish a good brand for itself to create customer loyalty.

5. SWOT Analysis

In this section you can the internal (strength and weaknesses) and external (opportunities and threats) factors that influence Hirett Limited.

6. Financial statement

6.1 Operations

Daily Operations: The daily-will be customer based service which normally dealt with online chat or telephone support team. It is easy application user knowledge to be filled and once the customer pays the money then it will be online. There will be also emails or test message sent to the customers and monitoring the compliance of the payments online and any disruption of the services will be contacted the customer by email or phone calls.

Operational Facilities: operational teams have more the 12 computer stationed to our head quarters which are open 24 hours with 24 hours broadband connections.

Staffing: Staffing requirements are local representatives which are stationed overseas. We have local website developer/app and two duty managers who manage the remittance services.

Suppliers: our suppliers are Software Company, payments gateway, broadband and advertising companies and payout agents. We will monitor their costs although currently are providing local competitive prices.

6.2 Capital Requirements Plan

Capital Requirements

Most of our capital have been invested through office, computers and remittance software website/mobile app which costs have been met already. The future cost will be advertisements, extra staff and promotions. Which we have budget of 25.000.euros

Capital Repayment Plan

There are no capital repayments required at this stage.

6.3 Balance Sheet

6.4 Projected Income Statement

HIRETT LIMITED
Projected Income Statement
For each of the years ending the 6TH APRIL 2022 day of May: (EUROS)