FINANCIAL PUBLISHING

"GET READY" TIMETABLE

BI can create the full "get ready" (to go to market) bundle of deliverables in rapid time frames as short as 4-5 months or as long as 8-10 or more months. The 4-month minimum reflects the fact that certain aspects of the project are linear... meaning some parts of the work must precede other parts regardless of how much money & resources could be applied. Whether 4 or 8+ months, the end result is the same. Your own launch target timeline is more of a factor of spreading the work out to save- or delay- some cost for you or scheduling a launch date to some personally-desired or uniquely-advantageous launch target window.

RELATIVE VALUE

Typically, the full "get ready" bundle involves leveraging a variety of FP industry disciplines including:

• Marketing & Digital Marketing,
• Product Development,
• Website Development,
• Software Development,
• PR Management,
• FP Business Strategic Management and
• a variety of specialists: copywriting, graphic artists, programmers, photography & videography, PR, some legal, accounting, etc.

In other words, to do all of this right, we use Marketing Director talent, Product Manager talent, Website Architecture talent, App Architecture talent, Copywriters, Graphic Designers, etc. If you were choosing to do this just as well but wanted to use a team of employees instead of leveraging BI resources, it would take at least 11 industry-experienced employees to create your new FP at the high level of quality we do it.

The average annual salary for the various kinds of talent & experience levels used is around $67,000. 11 employees at about $67,000 each has an annual total salary cost of about $737,000. $737,000/12 (months) = approximately $61,000 each month. Note: we're keeping this math simple, as we're leaving out total compensation which adds in real HR costs like insurance, 401K, office space, vacation & sick pay, etc (adding about 30% to total salary costs).

If you already employed this type of staff, they wouldn't spend every working minute solely on this project... but they would need to be pretty involved throughout to do it as well as BI. If we factor in about 50% of their total work time allocated to this project, we would estimate an employee-cost salary budget at about $30,000-per-month over the project term on an approximate 5-month project timeline.

In short: doing this the traditional way by leveraging skilled, industry-experienced employees to get it all done right would probably come at a total salary cost of about $150K over 5 months. BI can generally beat this kind of cost by about 50% or more without sacrificing quality because of the nature of how we work and the vetted talent with whom we work. This relative bargain will be obvious in our offer to you.

CALCULATING BREAK-EVEN

We have a good history of success growing a key industry metric- ARPS (average Annual Revenue-Per-Subscriber)- to about $550 per year for our past employers and clients. You can use ARPS against our quote to estimate the number of subscribers needed to entirely recoup the investment you make in getting your new business ready to go to market.

For example, if we use a general number like- say- $75,000 to illustrate the break-even (BE) calculation, $75,000/$550 = only 137 subscribers as a subscriber count BE. Industry BE often factors in the reality that subscribers will tend to stick around for years 2, 3 and beyond (the subscriber metric known as "lifetime value"). Thus, one-year BEs are too high (because the $550 is likely to be paid by those same subscribers again and again in subsequent years). The actual BE estimate in this scenario would be much less than 137 subscribers. In fact, in applying other industry metric norms, it could fall to as little as about 59 subscribers to fully recoup this particular level of a "get ready" investment.

59 is a VERY LOW subscriber count BE considering how much you gain from this project: you'll likely use most of these "get ready" assets for many years. As a point of reference, we've run marketing models for FPs that brought in more than 2,500 new paying subscribers EACH MONTH! So we see numbers like 59 or 137 as very small initial targets.

Small FPs are typically aiming to serve several THOUSAND active subscribers. Monthly acquisition to hit numbers like 59 or 137 would involve adding only 5 to 12 new subscribers each month. You shouldn’t even be thinking about getting into this business if 5-12 seems like an insurmountable goal... especially when using thoroughly-experienced help with FP industry backgrounds.

OTHER PROJECT-RELATED COSTS

What we will quote you for your project will cover the fees for OUR services in full. Some other costs that are not included but are sometimes optional or required:

• Minor costs to set up the business itself. These can include legal structure (often LLC or S-corp) filings and some costs for the Ecommerce aspects of the business website (so you can process credit card orders). All of these business setup costs combined are usually less than about $2,000 in most states.

• Often a one-time professional photography session is important for various aspects of this project. We have exceptional photographers in our network that will shoot the desired shots for as little as $300 per hour. The ideal shoot is for up to 2 hours and results in several hundred photos. A member of the BI team directs the shoot to get exactly what is needed. FPs often use professional photo sets for DECADES.
  
  If you wouldn’t want to come to Florida or one of the other locations around the country where we have professional photographers, one of us can come to you and use a photographer you select. We suggest estimating about $1,000 to cover travel plus photographer’s fee... a bit more if you are outside of North America.
• Optional travel reimbursement: if you would like one or more of us to come to you during the project for some in-person face time, we can do that for trip cost reimbursements. Such trips are rarely necessary but we can make them if they would be desirable.
• Website and/or app programming team: We do the hardest part by developing a thoroughly-detailed website and app architecture spec and then manage outsourced teams of programmers to code the site and app per those approved specification documents. We don’t absorb this cost in the quoted fee because clients often want a wide range of features & benefits in their own FP website and/or app, so we quote the architecture work as part of the overall project fee and then solicit separate bids to code what ends up in those customized spec docs. We also oversee the programming teams to be sure that you end up with exactly what we want them to deliver.
  

  

  
  As we develop the architecture specifications, we can advise clients on how much various features will likely cost so that we can keep the programming costs to a manageable number. A typical programming cost range for a high-quality FP business website + app is approx. $15,000 to $36,000. The higher end of that range is heavily driven by how far beyond the core features BI recommends that a client may want their own website and/or app to go.
  
  Our specifications are so detailed that any good programming team can code the site or app we design. So if you want to pick a programming team(s) to include in the pool when we solicit the bids, we can work with just about ANY quality team... yours or ours.

Again, on a FP break-even calculation basis, these other costs are easily recouped at a relatively small quantity of subscribers. For example, if you budget $2,000 for business establishment costs & Ecommerce, $1,000 for a face-time visit by BI, $1,000 for the photography session and the highest number ($36,000) of the typical range for the programming work, $39,000/$550 = only 71 subscribers... without factoring in ongoing renewal revenue from those SAME subscribers, which would reduce the BE number. And, once again, if you have such talent in your own network of family or friends, maybe THEY can do some of this for you for less? As long as they are competent and deliver a high quality of work, that's fine with us.

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