Opportunity

Solution

Visigoth Imports will provide complete import/export brokerage services including purchase contracts, shipping, warehousing, and delivery scheduling. The company will specialize in special and cultural exports from Germany and Scandinavia, to Leavenworth in Washington. Visigoth provides trade consultation services for new-established farms under the Puget Consumers Co-op&#8217’s Farmland Fund program.

Market

Visigoth’s focus will be on two specific clients. They are the Leavenworth, Washington-based gift shops, and the Puget Consumers Co-op (PCC) farmers. We have secured exclusive endorsements and contracts in both market segments. This gives us the unique opportunity to serve these niche clients.

Profitability in these two markets is expected to be excellent, especially in the import section as Leavenworth draws in over a million tourists each year. While we expect the co-op to have a slower rate of profitability over the first five years, it will continue to grow steadily.

Competition

Any potential importing firm that serves small enterprises like farms and specialty gift shops is considered competition. This means that the largest national import/export companies, such as Eagle Distributing and Fisher-Mills will not be able to compete with us. Most other companies tend to be regionally focused. The foreign trade industry is highly fragmented, with a large number of small companies that mainly cater to small firms and a few large companies that seek the largest contracts from companies such as Microsoft, GM, etc. This results in intense competition within the sector. Our niche strategy is designed to prevent competition and its drawbacks like price wars, etc.

Why Us

We will be the preferred importer in Leavenworth. Visigoth is aware that Leavenworth’s many tourists have unique needs and that Leavenworth’s custom-made gifts are a must-have for its restaurants and import shops. Visigoth Imports knows that the PCC farmland initiative has higher costs than the rest and that they must export their produce at a rate that is profitable. Visigoth Imports is a team of 35 professionals with combined experience in import/export. Our philosophy is in creating a long-term relationship with clients so that the delivery of their products becomes a seamless experience that promotes loyalty.

Expectations

Forecast

The majority of the company&#8217s liabilities will arise from outside private investors. Management investment is not included. However, current borrowing was obtained from Bank of America Commercial Investments. Principal to be repaid in 2 years. Charter Bank of Nieurich will repay a long-term loan for ten years.

The company anticipates reaching profitability in year 2, and doesn’t anticipate any cash flow problems. A break-even point will be achieved by approximately 3,500 units per monthly.

Financial Highlights by Year

Finance is required

We will be getting $84,000 from the four founders.