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    In Brief OCM will target the middle and higher class of the population on theone hand, national and international companies interested in good investmentopportunities on the other, and finally the Diaspora of Ethiopia scattered all

    over the world. OCM will reach its target market by using a simple marketingstrategy : OCM will be only be promoting its self as a reliable, independent, andprofessional marketing company solely interested in good investmentopportunities not go in to west.In brief OCM will target all levels of the social stratosphere to economically empower thelocal and Ethiopian Diaspora population on one hand while attracting national andinternational companies interested in good investement opportunities on the other.OCM will reach its target market by using a simple marketing strategy : OCM will beonly be promoting its self as a reliable, independent, andprofessional marketing company solely interested in good investmentopportunities not go in to west.

    OCM is primarily a service giving company that will market and sale Shares,Bonds, and Real estate. However in addition to the latter OCM cam use its teamof experts in running the hall marketing campaign of certain companies, it willorganize every two years an exhibition, will organize annual share holdermeeting for its client companies, and render other related services. OCM willcollect a fair (depending on the agreement with the company) service chargeon the different sales it makes, and will also generate additional revenue on theprovision of other services.OCM is primarily a service rendering company that will market and sale Shares,Bonds, Real estate, and a wide variety of innovative financial packages to maximize thewealth of its clients. More importantly OCM will use its team of experts in running adynamic marketing campaign and organize annual share holder meetings in addition toits underwriting service for its client companies. OCM will uphold its pioneering standardby organizing a financial exhibition every two years which will be the hub of businesssector. OCM will collect a fair (depending on the agreement with the company) servicecharge for its service, and will also generate additional revenue on the provision of otherservices.

    OCM will be have a diversified selling propositions in the sense it will have aspacious and professional office in the Capital city of Africa but also in strategic locationtrough out the country and trough out the world. OCM will have trained andprofessional staff members, sales agents, telemarketers and uppermanagements. Each level of management will be in charge of a specific targetmarket. In addition to the latter these a well designed and maintained multipurposewebsite will facilitate the interaction between its versatile research and developmentteam with its clients. will give a value added advantages to thecompany/

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    OCM s.c is a new company providing high-level expertise in marketing and underwritingshares,Real Estate, Medical insurance, in addition to awareness creation, promotionalActivities, and event organization. It will focus initially on providing the followingservices: Providing national share companies with investment opportunities in the

    national and international markets. And vice versa Providing national and international clients with good nationalinvestment opportunities.The companys long term location is not yet known. However according to thebudget set out the company can afford a spacious office space in one of thebuildings found in prime locations in Addis Ababa. The project is also estimatingthat the office will be branded with strategic interior decoration to best serve itsobjective.

    2.1 Company OwnershipONE CENT MANAGMENT MARKETING SHARE COMPANY is a ShareCompany formed primerly by 8 main founders namely Ato Chanyalew Yilma,

    Ato Abiy Kebede, W/ro Kidist Mellesse, Ato Melaku Kebede, Ato Surafel Yilma,Ato Dawit, Ato Million Alemu, and Ato Yosef Fantu. None the less the companywill have additional share holders to gather the capital needed to establish and runthe company.

    2.2 Start-up SummaryThe company General Manager, guided by the board of directors, will handleday-to-day operations of the business and will work collaboratively to ensurethat this business venture is a success.It is estimated that the start-up costs will be 3.5 million ETB (including fixedassets, Preopening costs, running costs, and related expenses). The details of

    the expenses are Annexed (Table 12) in the business plan. The start-up costsare to be financed in by the sales of shares to no more than 200 share holders.

    3.0 ServicesOne cent Management and Marketing S.cs prime service will be the marketingand sales of shares of established and new companies. However the companyhas also other prospective services it will provide.

    3.1 Marketing and promotional activitiesOne Cent will be give a service of marketing and promotional activities. Themarketing will use different means to promote the company, products, andservices directly and indirectly (promoting it's self). The following are some ofthe primary means: One cent will be promoting the concept of Share Company, investmentopportunities and others through a specific radio program. In doing so thecompany will promote the clients and will attract the listeners whom are thepotential investors. OCM will study the shares it promotes, hence the potentialcustomers will know that a third party is taking a closer look at the investmentopportunity, making the company a dependable source of information.

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    When asked by the client company OCM can take over of the hall marketingof the latter. The company will develop the marketing strategy and materialsfor the client company led by its team of experts. One Cent will have a website that will give information about sharecompanies in general, and client companies, product or services in specific. The

    site will allow the potential customer to find all the necessary information of theshares, products and services, that are on the market (this service is furtherdeveloped in a section 5 "Web plan summary").

    3.2 Sales of Shares (Primary market)One Cent Management and Marketing s.c will sale the share of the companiesproceeding with Iinitial Public Offering or raising additional capital through differentmechanisms: Shares will be sold on site: the main marketing strategy of the company willbe to advertize its self as a dependable marketing company for the investor.The potential customers will come directly to the office, in which the sales of

    the different S.Cs shares will be handled by different sales agents who willhave all the necessary information about the companies in question. In additionthere will also be personnel knowledgeable and able to make educated guesses,Hence one that is able to advice the client according to its means and to itsneeds. The company will have trained sales staff that will be scattered around town andapproach the needed potential customers in their where about. The latter salesagent will be hired through contract so as to have as many as possible forspecific projects. There will be telemarketers who will make the appointments for the salesagents or who will do the sales via phone calls.

    And Finally, and most importantly, the higher management of thecompany will target big investors (individuals or companies; nationalor international) so they make a more substantial investments.

    3.3 Transaction of shares (Secondary Market)The company will facilitate the transaction of different share that until now onlybanks took care off (with out making any profit). This is considered to be thesecondary market, in which we will invite individuals to buy or sell limitedamount of shares.NB. One cent will mainly play a role of giving information to the public aboutthe offer and demand of the specific share. In other words One Cent will be a

    market place for share transaction without playing any additional role in thelatter. The company will mainly ask a commission from both buyer and sellerfor provision of the needed information.One the other hand OCM also has the possibility option to buy and sale share itself. Hereby the company will be directly involved in the transaction of theshares. The management of the company will assess the best shares to buyand sell them at a price they set to be profitable (in an auction of shares).The This latter has usually been done by banks alone who are collecting unpaid debt.

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    The business is therefore legal in the country.OCM will offer package prices of shares different companies in order toallow the client to diversify their investment make a safer investment. In order to do soOCM will buy a certain number of shares of different companies it deems profitable andprepare setup investment portfolios to offer a more interesting opportunity for the

    investor. Through the different marketing means One cent will possess, it will find thebuyers faster and make a commission off of the transaction. The latter is an untappedmarket that one Cent will have a monopoly on.

    3.4 Organize annual meetings and Exhibitions in relation with sharecompaniesOne Cent will organize share holders meetings for its client share companies.The service includes contacting the share holder, preparing the event hall andany other needed facility for meeting. In addition One cent will develop a votingsystem of share companies.In addition, in light of In keeping with One cent objective of in being the main expert in

    share companies, Share marketing and selling(etc..), One cent will collect aconsiderable revenue in organizing annual Exhibitions in the country, regardingthe share companies in the country and even international one (depending ontheir interest).

    3.5 Commission AgentThere are numerous Real estate companies developing real estate in thecountry. They offer a commission for the sales of there housings. OCM will offerthe real estates to the national and international market using its availablemarketing points, and when needed developing its own marketing strategy.The Government is issuing some 200 million ETB worth in Bond and will need a partner

    in the private sector to sale the latter these bonds to the general public. OCM will use itsresources to sale and market the issued Bonds using the resources it possess.In Addition the Government is also offering medical insurances to the generalpublic. The management of the company will approach companies(governmental and private) and assist in the sales of the insurances. (furtherdetailed information is needed to find out the real service of OCM and thebenefits from the service. For the purposes of this study we will mainly be makingeducated guesses)

    3.6 Other FacilitiesThe company will be structured with a visionary and multifaceted capacity which willallow it to evolve in handling payment and collection of different Bid offers of Banks. canalso evolve in payment and collection and take on to managedifferent Bid offers of different banks. One sent Cent may also handle payroll andpension plans for a reasonable fee which will allow many small and big companies tofocus their services and integrate their workflow. take care of thepayment of employment salary for a reasonable fee, because it is believed thisservice is in demand by big companies which have thousands of employees;.

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    4.0 Market Analysis SummaryOneCent Management will focus on two kinds of markets namely the nationaland international. The national market is the percentage of the Ethiopianpopulation that yearns to take control of its wealth and is willing to empower itself withthe management of its long term finances. earns enough money hence could afford to

    invest. According to Mofed Ethiopia has a population of 7.8 million in 2009/2010 with agrowth rate of 3%. Further more, according to the same source, the country has beenrecording high growth rate and is planning an even higher growth rate for thenext five years(the growth transportation plan). (information about the percapita income of the last 10 years)In addition, the government in projecting anaverage annual per capita income growth rate was 8.4 % (MoFED, 2010) witha vision to reach the level of middle income countries.

    Furthermore OCM's market also relies in the growth of the service and industrysector of the economy. The following table shows the GDP Projection by theGTP:

    As shown in the above industry and services are expected to show averageannual growth of 20 percent and 11 percent, respectively. Hence, the currentmarket share of the company, especially on the supply side, has good prospects ofincreasing to increase in the establishment years of the new company. The level ofinvestment, which also indirectly shows the demand, for the last five yearshave seen an exponential increase, looking at the number of share companiesin the country.From 2000-03 (ETC) there has have been an average of 200 share companies,doubling in numbers, with a paid up capital that went doubled from aproximatly 13billion to 25billion (in the last five years). The following two graphs illustrate the

    grouth in number and in paid up capital of share companies. Notice the pickgrowth in the last ten years.

    The international market of OCM consists of two major groups.(more information on Ethioppian diasporas) First of all they are the millions ofdiasporats scattered all over the globe interested to invest in there home landbut laking the oportunity. (more information ion companies that are investinginternationally) Second, are diferent international companies that are interestedto invest in Ethiopia (because lack of resource the latter market is not studiedin details).

    4.1 Market SegmentationThe market for OCM s.c reflects the buyer's income bracket and standard ofliving. Below are listed market segments based on size of pocketbook andquality of production:1. National Potential Share holders. The latter These are house holds thatgenerate enough income to have some savings. They are the middle anupper class society (the two may differ in the amount of shares they couldposses). They are found in the major cities of the country, however Addis

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    Ababa holds the majority.2. International Potential Share holder. Here are These would consist of diasporasthat would like to posses assets in there home countries. The OCM website along withits international partners will offer the latter a large number anddiverse investment opportunities. Furthermore Organization that would like

    to be share holder of national companies (especially with companies that arein the same field) OCM will facilitate the latter that as well.3. Real Estate buyers. Real estate companies have been booming in thecountry in the last five to ten years. The latter This is explained by the populationgrowth driving the demand for affordable housing. related with the need foraccommodation. The customers have the option of buying the real estate on a long termbasis depending on the company they buy from (some companies offer a loan for theiremployees that are interested to possess their homes) or the deal with the bank thatfinances the real estate project.4. Medical Insurance. These is one of the governments plans to providemedical insurance for the population of Ethiopia. The market does not yet

    exist hence is untapped. Here OCM will sell medical insurance for thesegment of the population that requires it.(further research is needed toestimate the real market for the latter)5. Marketing and promotional activities. In this category the company willdevelop a marketing or promotional plan to satisfy its customers which willbe companies or governmental organization. One Cent will use its differentmeans (website, Radio show, media, sales team) to satisfy the needs of itscustomers.

    4.2 Target Market Segment StrategyThe over all marketing strategy of the of OCM is to market its self. In other

    words OCM will reach its potential customers by portraying an image of being areliable investment company that offers choices to is customers. The choice ofthe Target market is dependant on one factor: can the customer invest in oneof the investment opportunities OCM offers. Hence the target market nationallyand internationally are individuals or companies that have that have thepotential to invest on shares, real estate, bonds, medical insurance (...) thatthe company is offering.It is very important of specify, in the national market itself, there are a goodnumber of individuals sitting on a big pile of cash may they be it in Merkato oranywhere in the country scatters all around the country, whom by getting OCM's servicecan get a betterrate of return from there their money. Hence, OCM is targeting that market in theeconomy.

    4.3 Service Business Analysis

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    The business Idea immerged by studying the trend of new marketing andmanagement companies booming with the number of share companies. Inother words New Share companies create New marketing companies to marketthere their shares. As a result the share sales points are scattered all over the cityand country. OCM will be bigger in size, financial capability, human resource,

    and it will represent a variety of investment opportunities, which is why it isconfident it will be a successful venture.The main service the industry offers is summarized by the two conceptsmanagement and marketing. The latter is the aspect in which most companiesin the industry are focused on. It includes taking a certain product (in mostcases shares of a new share company) and making it reach its potentialcustomers by using media advertisement, direct selling and telemarketing. Themain profit from the latter business is the service charge, of which the companywill profit most when it minimizes its expenses. it made the least expense possible. Forexample a marketing company selling shares worth 60 million ETB, charging 7%service charge will collect 4.2 million in revenue. However a good percentage of that

    revenue will go in to advertisement (TV, Radio, News papers), making it very expensiveto compete with the other share companies. To make this worse office rent, salary andwages, commission to the sales team, a certain percent to the main founders(...),government taxes (VAT, and profit taxes) add up expenses and what ever is left isconsidered to be profit for the marketing company. as what the marketing companyprofited. Hence the company manages the hall entire marketing campaign to reach theneeded results.However OCM will take the latter concept to a whole new level. Having asuperior financial capacity will be able allow it to buy share itself and marketing it for thebest offers (a service previously owned only by the banking sector). OCM will studythe feasibility of companies and provided value added inputs to its potentialcustomers. The company will have a wider market target than other competing

    companies since its will have the capability to take on numerous customers at atime. But Most importantly, one of the most important factors in this sector isnetworking. The share holders of OCM are projected to play a big role andbecome a big asset to the companys future.

    4.3.1 Competition and Buying PatternsAs mentioned in the latter previous section there are numerous companies that areformed to market shares. However the latter are often enough created tomarket a specific number of share companies, of which the main founders ofthe client company are the owners of the marketing co them selves. The lattermarketing

    companies all have a similar trend of doing business. They open a good (esthetically, and location wise) main office, and havedifferent sales points in the capital, in different cities in the country, anddifferent sales points, in some cases, in the US, Europe, and Africa. They higher hire sales persons, In which AVC could be considered as a pioneer,train them in the art and skills of salesmanship and send them off toapproach the potential customers. Some give a special gift for just attending sales meeting at the headquarters

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    of the marketing company in order to attract the customers On the other hand the majority close down and are scaled down as soon asthe sales of shares is finalized.One the other hand potential share buyer are often enough guided by thepublic's, there social environments, opinion. The latter affects there discussion

    of buy one share or the other or none at all.

    On the hand conventionally,The buyer also put a lot of valueon who the owner of the business is, what they have done, and what therecapacity (financial wise) is.NB: Real Estate companies also market only there their own product, however thereare some websites that claim to provide the service of consulting the customerin the real estate market they would like to buy.

    5.0 Web Plan SummaryOur website, is an opportunity to offer current information on special events,

    Share offers, Real estate offers, News feeds about our client comapnies.... It willalso allow the company to use it as a sales point, via credit card for itsinternational customers.The internet is one of the best means to reach a vast number of potentialcustomers with a very low cost. Further more the website could also be meansto generate income for the company. For instance, the OCM website like statedabove, will be a means to broadcast information for our clients nationally andinternationally one the one hand. However, the website could be source ofadditional services for customers that subscribe to its various packages the latter:The research and development department of OCM will evaluate the feasibilityof share companies and create special profiles (on the business plan, the main

    founders, the market analysis... information that is not found elsewhere otherthan OCM's website) for the companies that we are marketing. The customercould use our profiles to reach a decision on the investment they wish to get involved inwhich to make.

    Related to the latter service The website will provide, to a specific number ofsubscribers to the ocm website, prospective insider information on upcominginvestment opportunities.Further more the website could send via email to the subscribers importantinformation such as: share company general assembly dates, venues and thelike.

    The website will have special agreement with the client companies to disseminate makethere their financial or any other information known to there to their share holders.The website will offer different levels of information depending on the level ofclearance of the visitors due to the annual subscription fee of the website.

    5.1 Website Marketing StrategyOur website will be promoted on all of our Broachers, fliers flyers , One cent stickers,exhibitions, radio program and promo pieces. We will link www.OneCenrt

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    governmental or none governmental organization) by approaching untappedmarkets The Company will have a research and development department that willkeep OCM's services up to international standard and give confidence to ourcustomers by evaluating the companies OCM markets

    The brand the company is going to create will insure trust and excellence toboth to its suppliers and customers The company will be present all over the country and internationally throughits representatives. The staff the company recruits will be highly professionals in there theirrespective fields, and will give excellent service, which in return, will becompensated by a higher salary rate and incentives

    6.1.2 Weaknesses (Challenges) The Company is a new company, thus may need some tome time to forge aname for its self, higher the best staff and train its sales personnel. The company (according to the business plan) may be involved ingiving plural services, in different sectors, which may affect is ability toconcentrate and specialize in each sector in a short span of time

    6.1.3 Opportunities There are increasing number of investment opportunities such as sharecompanies, Real Estates which indirectly shows the availability of thedemand. The countries economy is recording good level of growth and thegovernment is planning considerably to increase the per-capita of the

    population hence more prospective investors are expected in the market. And the international market, especially companies that wish to invest in Africanmarket other companies, is an untapped market

    6.1.4 Threats The trend ofnegative public opinion towards share companies, because offeelings arising due to oversaturation because a feeling of over flud, may affect OCM'smarket the company needs to control the market as soon as possible or elsenew competition may arise and influence the companies growth

    6.2 Competitive EdgeOne cent will attract all the clients it requires by only marketing it self. Themain marketing strategy of the company is to build a company with a Brand.One Cent will be different from other related companies because of its elevatedcapital and the importance it will give in creating trust and credibility to all itspotential clients. Further more One cent Management will give a professionalservice with using its staffs in Uniforms to great and satisfy the its customers.

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    A One Cent will have a website that will give information about sharecompanies in general and client companies in specific. The site will allow thepotential customer to find all the necessary information of the shares that areon the market, and related information (i.e web site summery).One cent will be promoting the concept of Share Company through a radio program. In

    doing so the company will promote the share companies and will attract thelisteners whom are the potential clients.One Cent will have research and development team that will keep thecompanies services up to international standard, revise the feasibility studies,prepare package prices, and other documents and presentation only availableat OCM.

    6.3 Marketing StrategyThe Marketing strategy of OCM in creating an image, Brand, awareness of thecompany will revolve around it portraying itself OCM as an independent,dependable, and professional company to the target market. Independent

    because it has no more than a client relationship with the companies itsrepresents, further more it will be selective in the clients its represents, henceOCM's only interest is that good investment reaches good investment opportunities.Dependable because it has educated staff that are there to look in at deferentangles of the different investment opportunities besides the fact that in addition to thatOCM plans to be a force in the market for many years to come.stay open for business for many more years to come. Professional because itgives an efficient service leaving no stones unturned to satisfy the needs of its cutomerslooking in the details of the customers needs (frompitching the investment opportunity to the transfer of ownership papers).All in all, OCM will be advertized through the Radio show it sponsors, and the

    internet at all times. In addition it will use national media to periodicallyadvertize the company. Furthermore the company will offer a very reasonableprice for the services it renders (i.e companies will reduce their service chargeby giving an already established marketing company to be in charge ofmarketing the their company). Finally the company will be located at the heart of thecity and in due time will have scattered offices throughout the country and instrategic locations throughout the world. The totality of the later will help OCMreach its objectives in the projected time span of time projected.

    6.4 Sales StrategyThe marketing strategy discussed previously in this business plan will generatethe desired sales. OCM will use efficiently its staff to reach effectively all itstarget market. First off the lower level management such as the salesrepresentatives and the telemarketers will be directed by there their supervisors toattract the national market by using all the different strategies at their disposal usualstrategies: One central office/sales point, and different regional and international salespoints

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    Competent, trained sales personnel that will scatter to look for, convince,and sale to any potential buyer Telemarketers, on the phone all day long fixing appointments for the salesrepresentatives and making some sales on their own.On the other hand the middle level management will be in charge of targeting

    the "big potential investors", national companies: which may want invest onother companies, or may require additional services such as salary payment payrollmanagement or annual share holder meeting. The latter staffs job is to find the biginvestments or B to B services. In addition they will develop a database, backed bythere their supervisor, of potential investors nationally and internationally.Further more the staff in the R&D department will help the middle levelmanagement by preparing package price opportunities to the GM, advising theclient from there their professional point of view, providing inside information andadditional studies, preparing Power point presentation and the like.OCM willalso use its website to attract its potential customers be they individuals or companiescustomersvia internet.

    In conclusion, the sales strategy is briefly described in the latter paragraphs.the wide target market of OCM will be reached by effectively assigning thedifferent levels of staffs to a certain market segment of the company.

    6.4.1 Sales ForecastThe next assumption is there is a 5% growth in the sales of eachproduct every year.The income of OCM will be defined by the service charge it receives for theservice it renders. The sales forecast is made by considering how somesuccessful marketing companies performed in, a year in addition to, assumingOCM is bigger in size and capacity we have defined the total percent of market

    share OCM will target as such for the latter to meet its objectives. For exampleout of 6 billion worth of shares in the market, OCM will target to manage thesales of 4% of the total market and receive an average of 2% service charge.In addition though we also incorporated the revenue assumption for OCMexhibition every two years, and income to be made from event organization ingeneral. This latter calculation is made considering current studies made onorganizing exhibitions and related events.

    6.5 MilestonesOCM is projected to have a capital cost of around 3.5 million ETB. the lattercapital is projected to be gathered from potential investors in mostly the capital

    city and some from outside. Hence the milestones are mainly divided in to twocategories: The pre-establishment period and the post establishment period.The pre-establishment period comprises of the preparation of the business plan,marketing tools, and sales of shares of the company. with a strong marketingstrategy the latter period is estimated to take 3-4 months. Therefore we areestimating that the company will be up and running and starting to generateincome starting from the sixth month of its opening.

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    7.0 Management SummaryThe General Manager, who will be guided by the board of directors, will beresponsible for the overall operation of the Management andmarketing company supported by the three middle level managers.For the efficient discharge of the responsibilities of each division each department will

    be headed by the middle level management such asSales , Finance and Administration, Marketing, and finally researchand Development Manager. The detailed man power structure of thecompany is depicted using the following table.

    IN total OCM will recruit 19 personnel from different backgrounds. However thecompany might need to hire more personnel (sales representatives) at as partemployees time when the management requests it.

    7.1 Personnel PlanThe Personnel table is made under the assumption that OCM will need highly

    performing, and educated personnel if it is to reach the objectives set before it.Hence the salaries are set in a way to attract the best personnel in thedifferent field.In the Management department there will be namely the General Manager andthe executive secretary.The Administrative and finance department will include a manager for thedepartment, in addition to a cleaner/clerk and a driver.The marketing department will be run by a qualified marketing manager.The Sales Department will be run by a manger, who will have at least eighttelemarketers and sales representatives, making the department the one withthe highest number of employees.

    Finally the research and development department will have four employeesincluding a manger for the department. The rest remaining three are a journalists, aneconomist, and an IT professional that will be in charge for the website, thedeferent researches and media publication of OCM.In due time OCM may require more staff especially in the sales and R&Ddepartment that may be satisfied by outsourcing or temporary positions however thelatter are sufficient in the beginning years of thecompany, however it could outsource or hire via contract in needed be.

    8.0 Financial PlanOCM will be primarily be funded by investment found raised from investos of aminimum 3.5 million ETB. The Business has an IRR of 91% (Note that the IRRis much higher than what we see in other businesses; but due to the nature ofthe business and due to our calculations it is as such for the moment) percenthence is going to return the initial investment in less than two years( which will allow theinitial investement to be returned in three years. In otherwords it will be a fast growing business and will start earning profit in the firstfew years of its opening estabilishment .

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    8.1 Start-up FundingOne Cent Management and Marketing S.C as a new share company will offersales of its share to potential investors. Each share will have the value of 1000ETB and a minimum of 20 Shares will be available to investors. Therefore the

    start up funding will come from no more that 200 investors.

    8.4 Projected Profit and LossAs depicted by the profit and loss analysis the company is looking at more than30% profit every year for the first 5 years. Hence the project well pay back itstotal initial investment in less than three years. One of the major expenses of thecompany will be the salary of its employees, and marketing and promotioncosts.

    8.8 Long-term Plan

    On the long term Over the long run OCM is expected to have a study compromising ofyearly profit in the first ten years of its establishment. One cent Management will gatherthe capital, intelligence, and personnel needed to be what Ethiopia has closest to astock exchange.


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