Introduction
It is the mission of Visigoth Imports to provide complete import/export brokerage services including purchase contracts, shipping, warehousing, and delivery scheduling. The company will concentrate on special and cultural imports from Germany and Scandinavia to the unique Bavarian town of Leavenworth, WA. Visigoth also plans to provide trade consultation services to newly started farms created under the Puget Consumers Co-op's Farmland Fund initiative.
The Company
Visigoth Imports will be a limited liability partnership registered in the state of Delaware for tax purposes. Its founder is Mr. Frank Curtiss, a former master distributor with Fisher-Mills. Mr. Curtiss has brought together a highly respected group of individuals who are well versed in foreign trade processes.
The company has a limited number of private investors and does not plan to go public. The company has its main offices in Wenatchee, Washington. The facilities include conference rooms and office spaces. The company expects to begin offering its services in June of 2003.
The Services
Visigoth offers complete import/export brokerage services plus inventory consulting services. As mentioned previously, this includes the following:
- Supplier/buyer identification
- Purchasing, contracting and consulting
- Shipping
- Warehousing
- Delivery
It must be noted that Visigoth does not posess any warehousing facilities and intends to outsource this particular service. We expect to earn revenues by charging a commission based on the value of goods moved per order.
The Market
Visigoth will be concentrating on servicing just two types of clients, the gift shops of Leavenworth, Washington, and the farmers of the Puget Consumers Co-op (PCC). For both market segments, we have secured exclusive contracts or endorsements putting us in a unique position to service these niche firms and their needs.
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. We expect profitability in the co-op end to be much slower in the first five years of operation, but it too will increase steadily.
Financial Considerations
Start-up assets required include expenses and cash needed to support operations until revenues reach an acceptable level. Most of the company's liabilities will come from outside private investors and management investment, however, we have obtained current borrowing from Bank of America Commercial Investments, the principal to be paid off in two years. A long-term loan through Charter Bank of Nieurich will be paid off in ten years.
The company expects to reach profitability in year 2 and does not anticipate any serious cash flow problems. We expect that about 3,500 units per month will guarantee a break-even point.
Highlights
1.1 Mission
It is the mission of Visigoth Imports to provide complete import/export consultation and brokerage services including purchase contracts, shipping, warehousing, and delivery. The company will concentrate on special and cultural imports from Germany and Scandinavia to the unique Bavarian town of Leavenworth, WA. Visigoth also plans to export apples and other produce by newly started farms created under the Puget Consumers Co-op's Farmland Fund initiative.
It is our long-term goal to become the preferred import company for the unique tourist town of Leavenworth. Visigoth understands that the import shops and restaurants in Leavenworth have special needs of most unique gifts for the million tourists that visit the town annually. Visigoth Imports also understands that the newly launched farms of the PCC farmland fund initiative also have higher costs than most competitors and will need to export their produce at a cost that provides sufficient profit. Visigoth Imports has a combined 35 years of experience working in the import/export business. 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.
1.2 Keys to Success
Visigoth Imports' keys to long-term and profitability are as follows:
- Differentiate our services to our niche clients so that they realize that we are better able to serve their needs than a more generic competitor.
- Keeping close contact with clients and establishing a well functioning long-term relationship with them to generate repeat business and create a top notch reputation.
- Establish a comprehensive service experience for our clients that includes consultation, product/client search, purchasing contracts, warehousing, shipping, delivery, and follow up service analysis.
1.3 Objectives
The three year goals for Visigoth Imports are the following:
- Achieve break-even by year 2.
- Retain our long-term contracts with local import shops in Leavenworth, WA, through excellent customer service.
- Become the premier importer of German and Scandinavian specialty products in Leavenworth, and become the prime exporter of apples and other produce for the farmers of the PCC Farmland Fund initiative.
