Business Plan: Financial planning/Requirement for a Startup

The paper should be about a financial requirement of a start up company called ContiGO+. It should contain labor cost for 5 students, web design cost estimation...etc, the number doesn't need to be accurate or precise, I mainly need the frame work and I will adjust the numbers later. The company description, benefits and pricing are as follows, you can extract ideas and dive deeper in "Pricing section below":
The core area of ContiGO+ is the production of the device for generating energy under customers' feet as well as selling the ready-to-go set for the shoes. In accordance with the product classification, our device falls into the Specialty products category. Therefore, the nature of our product is delivering a unique brand mastered on our side and combined with some elements from our partners. Hence, it is vital to highlight our unique selling proposition or USP shortly. In order to do so, the three questions were asked: What do customers want, what do our competitors do well, and what do we do well (Figure 1).
Figure 1. Defining USP
First, the customers want to have a convenient way to juice up their phones and other electronic devices anywhere they want. Let it be in the middle of a metropolitan area or while visiting a charming small village on the weekend, or maybe on an average a hiking tour where is no chance to get a socket. Whether our customers would take a step, they will always get ecologically clean energy.
After conducting market research, it turned out that there were some solutions on the market. Our competitors offer portable solar panels with a power bank. However, these products have several limitations, such as weight and size, risk of overheating and need for perfect weather conditions, as well as regular contact with a light which is difficult to do on the move. That is why our USP is producing and supplying a new way of energy generator that will be integrated into the shoes. Our product is a light insole that can be tailored to any foot. The insole is equipped with a piezo material that produces an electrical charge responding to applied mechanical stress. The electrical charge in DC will be stored in a portable power bank pinned on either the laces, back side of a shoe or just kept in a pocket. Every step made will trigger electricity that can be stored and used to charge electronic devices such as mobile phones.
For us, the device's design and usability will be created clearly and fluidly to enable a simple contact with the consumer and the application. This will also offer a variety of appealing shapes, forms, and colours, as well as an easy set-up, boosting the overall utilisation of our product.
Furthermore, our ContiGO will be made of long-lasting and sanitary materials, extending its usage over time. A certain quantity of money must be spent in order to acquire our merchandise. Our website provides a variety of customisable payment choices based on the interests of our clients, such as the possibility to use Mastercard, Visa, Maestro card, PayPal, or a direct bank transaction. Furthermore, our customers may always buy an artificial model of the insole to see how it will feel in their shoes.
In addition to the technical safety of electrical equipment, lawmakers consider environmental factors while designing electrical equipment. The Electrical and Electronic Equipment Act (Elektro- und Elektronikgerätegesetz, ElektroG) governs the duties of makers, importers, and users. We have summarised critical points about legal constraints.
The Electrical and Electronic Equipment ActElektroG, enacted in 2015, governs the sale, return, and recycling of electrical and electronic equipment, as well as the environmentally responsible disposal of such equipment. The law must ensure that:
Electrical and electronic equipment is designed to be less polluting
Electrical waste and electronic waste are avoided or reduced as much as possible through reuse and recycling
Non-recyclable, residual waste is disposed of in an environmentally compatible manner.
The U's Restriction of Hazardous Substances Directive (RoHS) of 2002 and its amendment (RoHS 2) in 2011 limit the concentration of lead, mercury, cadmium, and hexavalent chromium, well as polybrominated diphenyl and polybrominated biphenyl ethers, in EEE. Also, in EEE, the allowable limit for lead in any homogenous material is 0,1 per cent by weight of such material. In the case of a piezoelectric component in a piece of equipment, the 0,1 per cent restriction applies to the concentration of lead in the piezoelectric material itself, not as a proportion of the component's or equipment's weight.
After listing some legal restrictions based on EU directives, we had to select the materials for manufacturing our product more carefully. The materials used influence the efficiency of the whole creation. Therefore, the strength and weaknesses depending on the chosen materials as well
A detailed analysis of the strengths and weaknesses of the product is introduced in the chapter "sector and market". Hence, here will be mentioned general overview of the strengths and weaknesses of the business idea.
Our highly diverse team is built of 5 individuals with a modern view of corporate culture and well informed about all aspects of the VUCA world. When we talk about strengths, we are talking about a firm's competitive advantages and distinguishing skills, or what the organisation does exceptionally well. Among our many advantages are:
Members with strong attitudes
Outstanding client service
Large market share
Product innovation leadership
Very efficient and low-cost production
High moral character
Each and every team member has a solid persuasive personality that strives for any project to the best perfection. In dealing with the B2C model, our customer satisfaction will be the main priority. That is why our selling platform will provide an additional service, "try-on", which will allow a potential buyer to order the trial model to get the feeling of using the insole in the customers' shoes. Our start-up intends to get the lion's share of the market since it is a blue ocean situation. The next strength is offering the current innovation in small scale power generation for personal use. Due to the European legal arena, we will be able to get low-cost production by establishing our production site on the Eastern side of the EU. We stand by high moral values as a very progressive and innovative team. We tend to cooperate with public environmental and labour organisations to keep sustainability.
Only by defining the weaknesses, we can get stronger. They are the limits that prevent a corporation from succeeding in a specific strategic path. In other words, what our team is not very good at. Potential company flaws:
Inadequate customer definition for product and market development
Perplexing service policies
Product availability is limited
Lack of measurable objectives
Conducting research and facing reality can have completely different outcomes. In the chapter Sector and market, we will show our market definition and picture the potential customer group. However, only by that time, we will be able to realise how close we came to targeting the customer. Confusing service policies can drastically decrease the company's income. This point is considered a probable weakness of us. Considering it, we will include constant quality assurance in the customer service area. Since we are a small yet ambitious start-up, we predict the inequality in the demand-supply ratio. Due to limited production abilities, product availability will likely be one of our weaknesses. Also, the lack of measurable objectives is considered a weak point.
2. Customer benefits
Before beginning with the customer benefits, we need to clear the air with all four components of the buying driver: need, wish, want, and desire. Exactly that will cause a brand to have a purpose.
Needs are the most fundamental of the four. People require water, shelter, food, and medical care. These are the basic demands when it comes to the services that provide for individuals during an emergency.
Wants are preferences on how you want to live. Wants include money, trips, automobiles, and a house in a desirable area. Most likely, the wants are how you are already living. This is how you want to spend your life without being concerned with money.
Wishes are how you imagine your life if everything were ideal. What do you want to be able to do? Perhaps you wish you could own a second home in a different nation's section. Do you want to travel more or acquire things not considered necessities?
Desire is an extension of "want" with the explicit goal of filling the void created by want. Even if I have a house, I want a plane or a villa.
So, let's break it down. Our customers need power everywhere they go. Yes, there are other essential needs, but in the 21st century, electricity can be considered a need. Our product will cover this part with no doubt. The customers want to have nice, elegant, and comfortable shoes without any massive accessories. That is why our team decided to develop a system that will not be visible and can be used without causing any discomfort. The power storage system can be hidden in a pocket or simply pinned on any clothing part. The customers wish to have a light device that will be ready to charge their phone regardless of the weather conditions, time of the day, and no need to sit next to it while charging.
3. Pricing
In spite of the fact that a more detailed description of pricing is stated in the chapter named financial planning, we believe it is essential to mention here the most important figures such as financial requirements, cost recovery, external services as well as price strategy.
At this stage of the business generation, we are able only to project our financial requirements. Taking into consideration the production, materials and semi-finished products, website maintenances, fees for registrations and establishment, labour costs and advertising, we decided to rely on venture capital, crowdfunding, and personal savings. Roughly estimated total investments are 90000 euros. The amount will help us survive the most vulnerable entering time – 9 months. Moreover, the cost recovery period is projected to be approximately eight months. We have chosen the Web sales revenue structure because this is an outgrowth of the transactional revenue model. A consumer pays directly for a product, except that customer must first find our firm through a web search or outbound marketing. All transactions must be completed online. It will ease the starting point of sales by reducing costs, will expand the market possibilities by offering our product worldwide and will make more accessible the monitoring process of the sales and marketing. Web sales may operate with a wide range of products that will open future possibilities to expand our products line. However, because relationship sales are incompatible with the online sales model, we will pay much attention to our customer support service to keep clients satisfied.