Eno River Media Productions
April 25, 2004
SBI-2003-11
Wan Lung Eng
Pamela Golden
Tushar Gupta
Mak Pitke
Zahid Rahman
Denise Turner
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
CASE REPORT FOR
ENO RIVER MEDIA PRODUCTIONS
TABLE OF CONTENTS
EXECUTIVE SUMMARY .......................................................................................................................... 1
INTRODUCTION ........................................................................................................................................ 3
BACKGROUND ............................................................................................................................................ 3
VOLUNTEERS .............................................................................................................................................. 4
OPERATIONS ............................................................................................................................................... 4
INDUSTRY ANALYSIS ............................................................................................................................. 6
BASIS OF COMPETITION .............................................................................................................................. 6
INDUSTRY OUTLOOK .................................................................................................................................. 7
SWOT ANALYSIS ....................................................................................................................................... 8
STRENGTHS ................................................................................................................................................ 8
WEAKNESSES ............................................................................................................................................. 9
OPPORTUNITIES .......................................................................................................................................... 9
THREATS .................................................................................................................................................... 9
RECOMMENDATIONS ............................................................................................................................11
ISSUE 1: REVENUE OPPORTUNITY ANALYSIS ............................................................................................11
1. Television Commercials/Industrial Videos Recommendation ..........................................................12
2. Videos for Actors Recommendation .................................................................................................16
3. Video Taping Services Recommendation .........................................................................................19
4. Donations and Grants Recommendation .........................................................................................22
ISSUE 2: FINANCIAL MANAGEMENT ISSUES...............................................................................................26
ISSUE 3: ORGANIZATION CHART ...............................................................................................................33
APPENDIX A: ENGAGEMENT PROFILE ............................................................................................37
APPENDIX B: CONSULTANTS’ RESUMES ........................................................................................40
APPENDIX C: ACCOUNT DESCRIPTIONS .........................................................................................46
APPENDIX D: WEB PAGES USED AS REFERENCES .......................................................................47
DIAGRAM 1: SWOT ANALYSIS ............................................................................................................48
DIAGRAM 2: PORTER’S FIVE FORCES MODEL ..............................................................................49
DIAGRAM 3: PROPOSED FINANCIAL STRUCTURE .......................................................................50
DIAGRAM 4: PROPOSED ORGANIZATIONAL CHART ..................................................................51
EXHIBIT 1: TARGET COMPANIES FOR TELEVISION COMMERCIAL SERVICES .................52
EXHIBIT 2: POTENTIAL COMPETITORS IN TELEVISION COMMERCIAL SERVICES.........53
EXHIBIT 3: SURVEY RESULTS – VIDEOS FOR ACTORS ...............................................................62
EXHIBIT 4: SURVEY RESULTS – SCHOOL VIDEOS ........................................................................63
EXHIBIT 5: CONTACT LIST – LOCAL SCHOOLS ............................................................................64
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
EXECUTIVE SUMMARY
Background
Eno River Media Productions (ERMP) is a 501(C)(3) corporation established in
1999, which is based in Durham and covers the greater Triangle area. ERMP’s staff is all
volunteers, and funding for the organization currently comes from staff donations. The
purpose of this consulting engagement is to help ERMP develop a strategy to achieve
greater revenues and financial sustainability in support of its basic mission. ERMP’s
mission statement is: “To promote and support North Carolina’s unique arts community,
nonprofit organizations, and positive entrepreneurial spirit through a variety of media.”
ERMP produces three monthly television shows that are broadcast on local public access
stations and generate no revenues. The organization’s immediate goal is to increase
revenues in two primary ways: by using its recording and production expertise to expand
into video related services to the community, and by winning grants and donations from
community organizations and local governments.
Issues
In order to accomplish these goals, ERMP needs to develop a strategic plan. The
plan would guide ERMP to assess available opportunities and organizational needs.
Success in the video services business requires criteria for evaluating the different
opportunities and an understanding of the customer, competitor, pricing, and promotion
issues. Generating more revenues through grants and donations requires an analysis of
the potential for current programming to attract individual donations, as well as a better
understanding of the organizations that may be willing to provide this funding to ERMP.
ERMP also needs to understand issues related to their financial management systems and
the organizational roles and responsibilities that may be needed in the future.
Recommendations
The potential target market of ERMP’s video service offerings is broad and
diverse. Many different organizations and individuals can be served video recording and
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the editing of the video into a finished product. ERMP has investigated a number of
different options but does not have enough resources, time or money, to pursue a broad
strategy. We recommend that ERMP enter three of the markets based on the fit with
ERMP, required capital investment, and the short-term/long-term revenue potential. The
recommended areas are:
1. Television commercials for small/medium sized businesses,
2. Short videos for actors, and
3. Video services for schools
The potential for donations through their existing programming is limited, so
ERMP should focus on community organizations that provide funding to local nonprofits. The ability to win grants and attract donations will improve as ERMP increases
its visibility and impact in the community. Grant and donation revenue will also increase
as ERMP focuses on organizations whose philanthropic goals are most in line with
ERMP’s mission.
ERMP should support these initiatives by developing a stronger financial
management infrastructure. This structure will allow for better information sharing,
resource allocation, and decision making throughout the organization. Finally, clear roles
and responsibilities will need to be developed in order to facilitate the goals listed above
and ensure accountability and swift action within the organization.
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INTRODUCTION
Eno River Media Productions (ERMP) engaged the Small Business Consulting
Program at the Fuqua School of Business to help the organization develop a roadmap to
achieve sustainability as a full time nonprofit organization. The staff currently consists
exclusively of volunteers who donate their time to ERMP on a part time basis. All
revenues currently come from donations from ERMP volunteers. The organization wants
to develop a plan to generate revenues through services and grants that align with and
support its mission.
Background
ERMP is a 501(C)(3) corporation that was established in 1999 to highlight local
nonprofit organizations, musicians, and artists. Since its inception, it has developed
several weekly and monthly shows that appear on public access stations throughout the
Triangle and the rest of North Carolina. The ERMP mission is to promote the local arts
community and nonprofit community while providing opportunities for volunteers to
learn video production skills. Currently ERMP competes with the nonprofit community
for limited funds, and with the television market for viewers for their existing
programming. The demographics of their television shows are in line with public access
viewership, which is composed of a general cross section of the entire local and state
community. As a virtual organization, ERMP does not have a “headquarters”, but does
utilize local Time Warner Studios for its video productions.
Anthony Dowling founded the organization and remains the key leader.
However, the mission of the organization has evolved over time as a result of the many
volunteers who have worked to create, develop, and maintain ERMP’s programming. A
lack of programming related to the local arts and non profit community is the major issue
the organization’s mission is trying to address. During the last four years ERMP has met
and exceeded most of its creative goals in creating and distributing quality programming
related to North Carolina. However, without revenues ERMP finds it difficult to develop
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additional opportunities to support its mission. Public access does not allow ERMP to
advertise or to solicit donations. ERMP can advertise its website, which has an easy to
use Pay Pal driven donation option. That has not led to enough donors to sustain ERMP
operations. To date most of its revenues have come internally from their volunteers’
donations.
ERMP’s primary goal is to increase revenues to achieve sustainability. Over the next
few years, it would like to accomplish the following:
1. Be able to support a mix of full-time / part-time employees supplemented by
volunteers.
2. Obtain enough outside revenues, from donations and video related services to
support its mission.
3. Continue to develop new media productions and expand distribution
opportunities.
Volunteers
ERMP currently has 24 volunteers in charge of writing, direction, production, and
administration. ERMP has about 70 total volunteers. This number has fluctuated over
time, and there is significant turnover. However, the overall commitment has remained
high throughout ERMP’s existence. Over the past four years, ERMP has expanded from
one show to three and has been consistent in producing quality shows. The volunteers
bring tremendous video and media expertise, and many would clearly join ERMP full
time if it were financially feasible.
Operations
ERMP is a virtual organization. The only operations that exist currently are
production of the television shows for public access. There is no headquarters space and
all production work occurs in shared Time Warner studio space available to public access
producers. Some work also occurs on individual volunteers’ computers. ERMP
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produces three shows: BarChords, InsightNC, and Insight Indepth. Each of the three
shows has a dedicated producer who is responsible for being sure the show makes it on
air.
While Anthony remains a key decision maker, the senior staff members contribute
many of the ideas to the production process. The key staff usually meets on a monthly
basis to discuss issues related to current shows and the organization in general. The
organizational structure is loose and flat. This structure has allowed ERMP to take full
advantage of volunteers’ creative talents without the constraints a more vertical structure
would have entailed. However, in the future ERMP wants to expand into video related
services and to focus on obtaining grant funding from community organizations and
governments. ERMP needs to develop a more static organizational structure so that
decision rights and responsibilities will be clear as ERMP diversifies its activities.
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INDUSTRY ANALYSIS
ERMP competes in two distinct markets.

It competes with other nonprofit organizations for grants and donations, in terms of
program production highlighting the artistic and non profit organizations of North
Carolina.

It competes with media production companies (SIC [Standard Industry Classification]
code: 73130100), in terms of offerings like taping services and event coverage.
The industry is fragmented with many small and medium size players in the
market. These media organizations operate in niche segments that are often ignored by
the larger production houses. In North Carolina, media production companies focus on
the medium to high-end production market, often charging high premiums for their
services. Competitive jockeying among rival media organizations is dynamic and everchanging as it swings from one mix of competitive weapons to another.
Basis of Competition
ERMP is targeting aspiring actors, small to medium industries, and schools for its
service offerings. Thus, ERMP competes with other media production organizations on
the following attributes:
a. Price: Considering customers’ limited resources, price is an important factor that
influences the purchase decision. The importance of price is evident from the
market surveys that were conducted as, part of the assignment. ERMP can
leverage volunteer labor to charge lower prices and maintain profit margins.
b. Quality: The quality of the video service provided determines demand and
product loyalty. Again, the results of the marketing survey highlight the
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importance of quality to potential customers. ERMP needs to develop additional
expertise to ensure the quality of its service offerings.
c. Advertising: The advertising utilized to build a customer base is limited, as the
customers that are being targeted form a niche group in the overall industry. Word
of mouth and direct customer contacts are the most effective promotional tactics.
Industry Outlook
 Program production: The economic downturn has affected funding by limiting
donations from corporations and individuals who have lower disposable income to be
spent on philanthropy. During this time local governments also have had fewer funds
to allocate to grants.

Since the service offerings require on site presence, the market is limited to the
geographical area in which ERMP operates. The market size is thus determined by
potential customers in the geographical area. In case of service offerings like actors
reels, the potential customer base in the state of North Carolina is smaller than other
states. ERMP may need to expand its scope outside the state in the future to sustain
revenue growth.
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SWOT ANALYSIS
The SWOT (Strengths, Weaknesses, Opportunity, Threats) analysis is a classic
strategic framework. We evaluated the firm’s internally for its unique strengths and
weaknesses. We also evaluated external factors for opportunities and threats. The
SWOT analysis helps identify the critical issues that affect the firm and helps guide the
firm’s strategic vision. The SWOT analysis provides a good framework for a strategic
analysis of a firm and its competitive situation.
Our SWOT analysis of ERMP is presented below:
Strengths






Experienced
Technical Team
Past Successes
Excess Capacity
Low Pricing
Strategy
Leadership
Tax Exempt
Status
Opportunities
Weaknesses




Strategic Focus
Long Service
Time
Revenue /
Financing
Public
Awareness




Growth
Industry
Grants/Donor
Funds
Services:
School Videos
Actor’s reels
Commercials
NBC
Partnership
Threats



Commercial
Media Service
Firms
Competing
Nonprofits
Production/
Distribution
Facility Access
Strengths
ERMP’s technical team members have extensive industry experience in media
production. This is one of the organization’s greatest assets. The team’s expertise is
amply demonstrated by the production of regularly scheduled television programs since
1999 - a remarkable feat for an all-volunteer organization. These past successes provide
positive indications of future successes for the organization. ERMP has excess capacity
in terms of manpower and equipment. This gives ERMP a price advantage since it can
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offer services at marginal costs, without the additional fixed costs associated with adding
capacity. This has allowed ERMP to pursue a low pricing strategy, a key to success in the
markets being targeted by the company. ERMP’s leadership team is dynamic and
committed to the success of the organization, as evidenced by the effort and resources
that have been invested in the enterprise and by the size of the volunteer base. Finally,
ERMP’s status as a tax-exempt entity gives it advantages in seeking donations from
corporate sources and individuals, who are able to deduct the donations on their tax
returns.
Weaknesses
ERMP’s biggest weakness is that it lacks strategic focus. Constrained by
resources, ERMP has attempted to enter multiple activities to increase revenues. This has
shifted the focus from a few key activities to multiple opportunities, not all of which are
viable for ERMP. Because of the nature of the organization, there is a time lag between
decisions and action, which can be an issue in reacting quickly to external events. As a
nonprofit, tax-exempt organization, ERMP is not able to access all sources of funds and
has limited financing options. Finally, public awareness of ERMP is very low – this
hampers realizing revenues through donations and the sale of services.
Opportunities
ERMP operates in a niche that should experience significant growth. This
represents an opportunity to the company since growth will be a key driver in taking
ERMP to the next level (as indicated in the introduction). ERMP has not had much
success with donor/grant revenues from local philanthropic or government organizations.
While this does represent a weakness, it is also an opportunity to apply for and receive
grants from such donors. Finally, ERMP’s potential entry into the high school video
coverage market is a big growth opportunity, if executed at the correct price point.
Threats
Like any successful enterprise, ERMP faces real and potential threats in its market
space. Commercial media services firms could react to ERMP’s entry by cutting prices or
offering directly competing services in an effort to restrict ERMP. ERMP is a nonprofit
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organization seeking funds in competition with other nonprofits. Similarly, ERMP is also
competing for volunteer time, which is a valuable resource, with other nonprofits in the
area. Finally, ERMP uses donated studio time and equipment to produce its television
shows. It is possible that the cable companies could curtail access to these facilities to
ERMP, thereby making it difficult and more expensive for ERMP to produce these
programs.
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RECOMMENDATIONS
Issue 1: Revenue Opportunity Analysis
Given ERMP’s lack of revenues, our first priority was identifying opportunities to
increase revenues to the organization. In early discussions with ERMP, we discovered
that the organization was considering a number of new opportunities to address this
problem, both in media-related services and in grant/donation related activities.
However, extremely limited resources mean that ERMP is unable to pursue all
opportunities simultaneously. After discussing these opportunities with ERMP, the team
identified a set of criteria that could be used to evaluate the attractiveness of the options
available to ERMP. The team’s objective was to develop a set of criteria that was both
simple and comprehensive.

Strategic Fit: Services must relate to media production activities in which ERMP
has experience, and should preferably target the same under-served community
organizations and individuals that they traditionally do.

Minimal Capital Investment: Quite simply, opportunities that ERMP tackles
now must take advantage of assets that they already control and require little or no
new investment. ERMP’s primary current assets include volunteer media
production expertise and access to video equipment and studios.

Revenue Generation: The team looked at the short-term and long-term
possibility of revenue generation of each opportunity.
The table below summarizes the opportunities that are a strategic fit.
Television
Commercials
Videos for Actors
High School Videos
Government Grants
Private, Local, and
Corporate Grants
Direct Mailing
Donation Requests
Strategic
fit
Minimal capital
investments
Short-Term
Potential
Long-Term
Potential




















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1. Television Commercials/Industrial Videos Recommendation
Service Profile
The production of television commercials and industrial videos for small local
businesses is a fit with the ERMP’s basic expertise as well as the mission of helping
ERMP members to develop media production and acting skills. Minimal investment is
needed since ERMP has access to the video and editing equipment required. Finally,
there is an opportunity to generate funds in the short-term given the number of small
businesses in the region and the state. ERMP’s experienced technical team, excess
operating capacity and low cost structure should enable the organization to move up the
learning curve easily and efficiently.
Customers
A market study was conducted to identify the highest potential customers for this
service. Target companies within North Carolina were researched and segmented
according to geography and total revenue. Please refer to Exhibit 1 for the entire list of
companies. The summary of the study is as follows:
Short Term
Medium Term
Long Term
(1 to 2 years)
(2 to 4 years)
(5 years onwards)
Segmentation

Triangle

50 mile radius

North Carolina
Criteria

Revenues less

Revenues less

Revenues less
than $3 million
Number of
Companies
110
than $10 million
1,137
than $20 million
5,790
In the short-term, 110 companies within the Triangle area and with revenues less
than $3 million were identified. Sales of less than $3 million were used a criterion
because companies with higher revenues usually have the budget to purchase higher-end
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commercials and industrial videos. As ERMP gains critical production mass and
develops its reputation as a media production organization over the next two years, it
should extend its target to also include larger companies and companies beyond just the
Triangle area. In the long run ERMP should target companies throughout North
Carolina up to $20 million in annual revenues. We chose this limit based on the
assumption that companies with revenues greater than $20 million will prefer premium
services that could require significant investments in equipment and facilities.
This analysis should be seen as a recommendation mainly in how ERMP
approaches the promotion of this service. Certainly ERMP should not decline revenue
generating opportunities that do not fit the criteria above. Our $20 million limit should
serve as an initial guideline of realistic targets based on our assessments of ERMP’s
capabilities and objectives. However, with companies that ERMP does not already have
relationships with, any promotion strategy should segment potential customers based on
geography and revenues and should have customer targets, which increase, in scope over
time.
Competitors
There are 26 media production companies headquartered in North Carolina that
would compete with ERMP in this business segment. Please refer to Exhibit 2 for
detailed list of the companies. All these companies produce television commercials and
have substantial experience in this industry. Most, if not all, are medium to high-end
commercials with sophisticated graphics and rendering. In addition, only two companies,
Epic Video Productions and Horizon Productions, have indicated that they produce
industrial videos.
The 26 companies have positioned themselves as high end producers, expensive
and technologically advanced. It is unlikely that they would compete with ERMP in
serving the low-end commercials niche. Given the competition’s experience, resources
and operating capacities, it is important for ERMP to be prepared should the competing
companies decide to move into ERMP’s niche market.
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Pricing
The following pricing table summarizes the rates currently charged by ERMP’s
competitors in this market.
Location Day Rate
(10 hrs)
Editing (per hour)
Low
Average
High
$1,000
$1,100
$1,350
$100
$150
$225
Information on a standard full production is not available. Nonetheless, the
competing average location day and editing rates are significantly higher than ERMP’s
currently publicized prices. To maximize the profitability of this service ERMP could
revise its pricing structures and increase its existing rates, while remaining competitively
priced. This would not only reduce the probability of price competition based on
ERMP’s entry into this market, but also provides a signal to the market about ERMP’s
production quality.
Promotion
To attract the list of companies identified above, ERMP should develop a
marketing plan and embark on an aggressive promotion campaign. There are three
promotion strategies that ERMP should adopt in the short-term
1. Leverage the wide reach and networks of the Internet by posting sample
commercials on its website. This promotion tactic facilitates easier access by
potential customers and demonstrates ERMP’s technological capabilities.
2. Seek other venues to showcase ERMP’s production capabilities. From our
competitive analysis and market study, we found that word-of-mouth promotion
is common in the commercial and videos segment. ERMP should incur some
preliminary expenditure by providing free production services to small local
businesses, which would then likely recommend ERMP’s services.
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3. Increase customer value proposition by providing incentives such as discounts
and referral rebates to encourage repeat businesses. This would enable ERMP to
build critical mass for long-term sustainable growth.
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2. Videos for Actors Recommendation
Service profile
The second recommendation is short videos for professional and aspiring actors.
This service involves production of a short tape containing excerpts from the customer’s
performances or/and an in studio monologue. ERMP could edit the material provided by
customer into a short tape, containing excerpts of performances, as per instructions given
by the customer. They can also shoot an in studio monologue by the customer. This
service is primarily used by actors to supplement their portfolio submission to casting
agencies or for off site auditions. Again, ERMP has both the technical experience in
camera work and editing to succeed in this service line. Minimal investment is required
and the possibility for revenue generation exists in the short term. In the long run, the
company can increase revenues form the service offering by leveraging the established
market presence and hosting an actors’ listing on its own website.
Customers
We performed a marketing survey was targeted at aspiring actors and actresses across
the country. The survey was designed to identify the demand for the proposed service,
factors that influence customers’ purchasing decision, optimal pricing of the service, and
demand for further development in the service profile. The details of the survey are
provided in the CD that accompanies this document. The following conclusions emerge
from the survey results:

Quality and price of the product were the key factors that determined demand for
the service.

96% of the respondents rating price as important and 100% of the respondents
rating quality as important.

The length of the tape ranged from three to fifteen minutes.

Technical qualifications and production experience is important. Nonprofit or
volunteer nature of the organization is not a key attribute.
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Pricing
The amount that respondents were willing to pay for a three minute tape produced
from material provided by the customer ranged from $50 to $150, with 48% of
respondents in the $0 to $50 range and 52% of respondents in the $101 to $150 range.
The company can increase revenues from the service offering in the future by leveraging
the established market presence and hosting an actors’ listing on its own website.
Market size
Developing an estimate of the number of aspiring actors in the local area is
challenging because data is usually available only for full time actors. According to the
Occupational Projections released by the Labor Market Information Division of the
Employment Security Commission of North Carolina, the number of actors employed by
2005 in the state of North Carolina will be 1,056. Considering the limited market size
within the state, the company needs to expand the geographical scope of the service
outside the state as well.
Promotion
Promoting this service will require partnering with organizations that have access
to actors in the area. A sample demo reel that highlights the quality of the service needs
to be provided to potential customers. All the respondents to the survey preferred to look
at sample demo reels before making the purchasing decision. We recommend the
following strategies to target the acting community:

Websites hosting actors’ listings are used by casting agencies to gain access to
actors’ for auditions. These websites provide details such as resumes and
headshots of actors. Alliances may be entered into with such websites whereby
links to video reels of actors’ may be hosted in addition to resumes and headshots.

Alliances with casting agencies in the local area may be entered into whereby the
agency can recommend ERMP as the key service provider for actors’ requiring
audition or portfolio reels.
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
The service targets theatre and stage actors where a demand for audition tapes and
portfolio tapes may exist. Alliances with local theatres will help the company gain
access to this customer segment.

Advertising the service in local niche print media such as Reel Carolina and other
such magazines or journals that are targeted at local actors.

Direct Selling: The names, addresses and email addresses of the respondents to
the survey are provided in the CD. These individuals can be approached directly
to offer the service as a starting point.
Recommendations

Take advantage of savings from using volunteer labor to price the service below
competitors.

Develop the expertise to produce a high quality product.

Emphasize the qualifications and experience of the production team and the
quality of the product in promotional materials.

Promote the service through alliances with actors’ listings websites, local casting
agencies and theatres, and advertisements in the print media.
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3. Video Taping Services Recommendation
Service Profile
We recommend continuing and extending video taping services for area schools, a
service which ERMP has begun to market since this consultation started. ERMP is
targeting a niche market – schools in the Triangle area that need coverage of school
events such as theatrical performances and sports events. ERMP could also edit material
provided by a school into a video, containing excerpts of performances or events. Again,
ERMP has both the technical experience in camera work and editing to be successful in
this service line. School video services offer an attractive option to ERMP to support its
goals of earning revenues, training volunteers, and providing a service within the North
Carolina community.
Customers
In order to gauge the potential of this market, we conducted an Internet-based
survey of school principals in the Triangle area. The results of our survey are summarized
below, and more detailed is presented in the survey results file provided in the CD.

Number of respondents who had heard of ERMP:
4%

Average number of events per school (weighted):
6 to 10

Percentage of schools that currently videotape:
67%

Percentage of schools that tape in-house:
100%

Satisfaction with current coverage (on a 7 point scale):
4

Factors of importance in selection:
1)
Price
2)
Quality
3)
Recommendation

Average school budget for video service (per event):
$137

Price point for 3-hour coverage (including editing):
$250
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Other key observations include:

Knowledge about ERMP and the services it offers is very low. ERMP must
increase awareness among schools. Given the importance of word-of-mouth and
referrals in selecting a video services provider, ERMP should use schools with
which they have a relationship as references for target schools.

Schools are very price sensitive. ERMP must be very cost conscious in pricing
these services – both on the revenue side as well as on the cost side (editing time,
remuneration for coverage, etc).

The price point of customers fits within the high end of ERMP’s range, implying
that ERMP should consider offering service to customers even below the $250
level, if the revenue from media sales (DVDs and VHS tapes) can subsidize the
costs of coverage and editing.
Customers
We segment schools within North Carolina according to geography. Please refer
to CD for a list of the schools used in the survey with contact information. The summary
is as follows:
Short Term
Long Term
(1 to 2 years)
(3 to 6 years)
Triangle
North Carolina
200
1,137
Segmentation
Criteria
Number of High
Schools (9-12)
In the short-term, 200 high schools should be targeted for promotion. As ERMP
gains greater name recognition over the next two years it should proceed to pursue
schools outside the Triangle area.
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Recommendation

The High School Video market is attractive at the higher end of the price range
for ERMP.

ERMP can realize additional revenues through sales to parents. Survey
respondents indicated 15-20 copies of events were usually sold prices under $20
each.

Some schools will try to keep this revenue for themselves.

Key Success Factor: raising awareness of the offering through “sales calls” and
word of mouth recommendations.
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4. Donations and Grants Recommendation
As a 501(C)(3) nonprofit, ERMP must maintain a strong and diverse donor base
over time in order to maintain its status. ERMP has recently started to focus on grant
writing, so our analysis does not focus on how to structure the organization in order to be
successful in receiving grants. We analyzed the potential of their existing programming
to generate donations, as well as other opportunities for this type of funding.
Donations From Viewers
The viewers of ERMP’s programs have been identified as a potential source of
donations. However, reaching out to them poses a challenge because of the limited
viewership available. Because of the nature of public-access television (non-commercial),
viewership data is generally not compiled and we will have to use a model and sensitivity
analysis to understand the opportunities in this market. Information from Time Warner
indicates that there are about 450,000 accessible cable subscribers in the area, of which
1% watch public access television. Using this as a starting point, we conducted a
sensitivity analysis using ranges of assumptions for ERMP viewers, ERMP donors, and
average donation amount.
Assumptions:
Number of cable subscribers:
450,000 (Extrapolated from TWC data)
Percentage of cable access viewers:
1.00%
Percentage of cable access viewers who
30.00%
watch ERMP’s shows:
Percentage of these viewers who donate:
1.00%
Average annual donation:
100.00
Output:
Net revenues donated by viewers:
1,350.00
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675
1.0%
1,350
1.5%
2,025
2.0%
2,700
2.5%
3,375
3.0%
4,050
Rate
ERMP
(among all cable access shows)
0.5%
Sensitivity to ERMP viewership
$1,350
Donation
Sensitivity to donation rate
Revenues
viewership
$1,350
0.5%
675
1.0%
1,350
1.5%
2,025
2.0%
2,700
2.5%
3,375
3.0%
4,050
Revenues
$1,350
10%
450
15%
675
20%
900
25%
1,125
30%
1,350
35%
1,575
ERMP
Revenues
Sensitivity to average donation
viewership
viewership
Sensitivity to cable access
Cable access
viewership
Revenues
$1,350
10%
675
15%
1,350
20%
1,688
25%
2,025
30%
2,363
35%
2,700
It is evident from the sensitivity analyses that the most important factors are the
cable access viewership numbers and the donation rate. Since we currently do not have
access to accurate numbers for cable access viewership, it is important to increase the
donation rate to the greatest extent possible.
We estimate that donations from non-volunteers will be quite limited unless
ERMP develops a new approach.
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Grants from Community Organizations
Given the difficulty of generating donations through existing programming
viewership, ERMP must seek grants from sponsor organizations within the community.
Our research points to the following sources of grants for ERMP.
North Carolina Arts Council:
The North Carolina Arts Council is a division of the Department of Cultural
Resources of the state of North Carolina. The NCAC gives grants, organizational
assistance, and guidance to groups and individuals that make up North Carolina’s vibrant
arts community. The Arts Council has a special category of grants called the AIE (Arts in
Education) Initiatives, which are closely aligned with ERMP’s strategy. Some links to the
NCAC which provide additional information are provided in Appendix D.
City of Raleigh Arts Commission:
Raleigh has provisions in its budget for grants for the support and development of
arts. The Raleigh Arts Commission is an attractive opportunity because of the clearly
defined grant application procedure, the size of the arts budget (relative to other cities in
the area) and the city’s support of art festivals, museums and the performing arts. This
includes events and artists that can be covered by ERMP’s existing programs such as
Insight NC.
Durham:
Durham has a budget of approximately $103,950 through which it supports local
nonprofit arts agencies. The city administers the budget through the Durham Arts
Council. The season grants provided by the city appear to offer the best opportunity for
ERMP.
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Cary and Asheville:
Cary allocates funds towards cultural resources in the annual budget. The budget
is administered by a Cultural Arts Committee. The 2004 budget, in particular includes a
number of new groups that the town is supporting and may offer a similar opportunity for
ERMP. Asheville does not advertise grant support for nonprofit organizations, but the
city hosts a number of arts festivals and may be a potential target for support in the
future.
If ERMP can assemble a successful grant application, it should be feasible to
receive grants of up to $5,000, based on funds provided to other organizations in the area.
However, there are requirements of applicants that may have a significant bearing on
ERMP’s operations. Even so, a minimum target of $5,000 via grants should be
achievable by ERMP.
Corporate Donors and Matching Funds:
ERMP should also target corporations with established donor programs and
donation matching programs. Although these larger companies are not an initial target
for their video services based on the criteria described above, ERMP could aim to market
its services to companies with donor programs in order to gain access to company
decision makers. More importantly, ERMP should solicit matching donations from
companies that have matching programs that current ERMP volunteers already work for.
Some corporations (e.g., IBM) will pay $50/hour up to $500 for employees who
volunteer their time at a nonprofit.
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Issue 2: Financial Management Issues
While ERMP has access to financial reports generated though Quicken, our initial
review indicated that the company lacks financial reports and metrics to manage the
organization’s current finances. Existing reports do not clearly classify cash flows. For
example, the transaction report lists a note payable under revenue. In addition, the current
reports do not provide the detail that will be necessary to manage the company’s growth
going forward. We recommend using financial tools that will allow ERMP to:

Create a master budget and well as budgets for each product line.

Track actual performance against budgeted figures.

Develop product pricing strategies to ensure that the company is able to recapture
the costs associated with each product offering.

Allocate resources according to both staffing needs for programming and profit
potential for services.

Account for “In Kind” donations in the financial statement. List the donors; it
could encourage others to make similar donations in the future.
Recommended Financial Structure
The financial structure and the related accounting flows need to be divided into
two separate structures, program production and services. Each must have be a separate
profit center; each profit center must have separate income and expenditure statement and
a separate person maintaining the books of account. See Diagram 3 for a detailed picture
of the proposed structure.
Program Production
Program production includes all television shows produced or distributed for
public access television. Current offerings include Bar Chords, Insight NC, Insight
Indepth and Southern Championship Wrestling. These shows are essential to the
fulfillment of ERMP’s mission of promoting North Carolina’s arts community and
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nonprofit organizations, but do not generate revenue. Therefore, our recommendation is
that resources are allocated based on estimates of the number of volunteer hours required.
In order to allocate resources in this manner, ERMP will first need to use internal
documents to develop general estimates of the average man-hours and costs required to
produce each show. These averages can be used as the basis for general time and expense
budgeting during 2004. In addition, the company should focus on reducing the number of
man-hours and the costs for each production. Going forward, 2004 should be utilized as a
benchmark in developing budgets for 2005.
Services
Services include all proposed or existing revenue generating service offerings.
Those reviewed within this report include [taping services for local schools], industrial
commercials and videos, actor reels and event management. Each service offering needs
to be viewed as a separate division with a separate income and expenditure statement,
time and income and expenditure budgets. Separate persons should maintain the accounts
of each division. ERMP should first allocate resources to these divisions based on their
potential to produce short-term revenues and profit. In addition, the firm will have to
estimate the man-hours and costs associated with each project, and determine whether the
volunteer commitment is available to complete each project. The final allocation of man
hours should be based on the revenues earned per man hour.
Accounting Software
The team evaluated ERMP’s current financial software, Quicken, as well as other
programs available on the market. Given ERMP’s current financial structure and growth
opportunities, the optimal accounting software should be:

Simple to learn and use.

Capable of budgeting, invoice generation and payroll record keeping.

Accessible via the Internet.

Relatively inexpensive.
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Given these requirements, we identified QuickBooks Online Edition and
Peachtree Complete Accounting 2004 as excellent applications for ERMP. The company
should upgrade to one of these packages when it become affordable, and review the
package as new products and services are added to the company’s portfolio to ensure
access to all of the necessary capabilities.
Budgeting & Analysis Tools
In additional to accounting software, ERMP can utilize Excel based tools to
develop detailed budgets and to analyze revenues and expenditures related to products
and services. Included with this report are disks containing a Budgeting & Analysis
template. The template is accompanied by detailed instructions. A summary of the
worksheets is as follows:
Optimal Pricing Template
The Optimal Pricing Template is designed to help ERMP price services based on
the estimated number of hours required for taping and /or editing an event as well as
estimated direct and indirect expenses. In addition, this template will allow the company
to determine the appropriate prices to charge for services based on achieving either
breakeven or specific gross profit margin targets.
For each project, the template will provide:

A comparison of actual vs. budgeted resource expenditures, including man-hours
for taping and editing.

The optimal flat and per hour rates for specific gross margin targets.
Using the template over a long period of time will provide data that can be used to
develop general pricing guidelines for each type of service. For example, if there is
variability in the number of hours necessary to edit high school events, the firm may
chose to charge hourly rates rather than flat fees.
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Income and Expenditure Budget Templates
These templates have been developed to enable ERMP to budget revenues and
expenditures based on the allocated time across the different service offerings. There are
three components of the template:

Divisional time budget template: Monthly budgets of time resources for each of the
service offerings.

Divisional income and expenditure statements: Annual budgets of income and
expenditures. The expenditures have been classified as direct expenses that can be
directly connected with the service and indirect expenses that are allocated on the
basis of the man hours budgeted for each division in the time budgets.

Annual income and expenditure budgets: These would include the income and
expenditure that cannot be connected with the individual service offerings directly.
These indirect services are allocated to the individual divisional budgets.
These templates can be used by ERMP to estimate the income and expenditure and
the resultant profit that the service offerings will produce and to improve the profits by
allocating resources across divisions in different ways.
Account Classifications
The team was provided with year-to-date financial statements as of October 31,
2003. These reports indicate the need to clarify account classifications in order to analyze
current products and to support future growth. In addition, the company must identify and
reduce unnecessary expenditures so that current financing can be used to support new
ventures. Specific account definitions can be used to determine which expenditures are
appropriate. In addition, proper account classifications will assist the company in
developing benchmarks for the fiscal 2005 budget.
Recommended account definitions are included in Appendix C. These definitions
were written to address the following issues:
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
Revenues: Donations and service revenues should be classified separately. In
addition, the company should consider tracking individual and corporate donations, as
these two types of relationships should be maintained separately.

Note Payable: The note payable is currently listed as revenue. While this represents a
source of funding, the account should be reclassified as a current liability. All notes
payable should have specific documentation.

Expenses: Until ERMP has reached sustainability, expenditures should be used for
current products and services, or to prepare for those that will be offered during the
short-term. While other expenditures may provide valuable training or research,
utilizing funds for research that is not tied to products and services being added to the
company’s product line within a short-term time horizon (1-3 years) will prevent the
company from reaching long-term sustainability.
Supply Purchases
ERMP currently makes frequent purchases of supplies, such as video tapes, in
small quantities. All supply purchases must be approved in advance. Any items needed
on short notice are either purchased by the Executive Producer, or by volunteers at their
own expense. Going forward, the company can purchase supplies in larger quantities
using budgets to forecast supply usage. Larger quantities will result in lower supply costs.
The company can further reduce supply costs by purchasing membership in a warehouse
club.
Reimbursement Procedures
An important issue within expense control is reimbursement for volunteer
expenditures. ERMP does not currently reimburse volunteers for expenditures. Specific
reimbursement guidelines should be developed and in place before implementing the
reimbursement program. Specifically, this team recommends:

Requiring volunteers to submit an itemized list of expenses within 48 hours of a
project’s completion. This can be submitted along with the time sheet.
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
Reducing the former deadline for submitting reimbursement requests and back-up
documentation from three months to one month.
Both of these recommendations will assist the Accounting / Finance Manager in
updating financial statements and reporting templates in a timely manner.
Fiscal Year End
ERMP currently has a calendar fiscal year-end. While this is appropriate for the
organization in its infancy stage, the fiscal calendar should be reevaluated within the next
three years. The fiscal year-end should be determined based on the company’s cash flow
and sales volumes. Some of the possible fiscal years are:

July 1st – June 30th: Should the company find that a large portion of revenues are
generated through video taping services with schools, the fiscal year can be set to
coincide with that of the schools in the local area.

September 1st - August 31st: Demand patterns for industrial videos and commercials
is still uncertain. However, it is conceivable that these services would be in higher
demand in the late spring months and possibly early summer, as companies typically
hire large numbers of new employees graduating from high school and college who
will require orientation and training. In this case, a natural break in the fiscal year
would be the late summer months.
The advantage of setting a fiscal year that corresponds to revenue sources and
volumes is that ERMP will be in a better position to coordinate with customers. For
example, if most revenues were generated through school video taping services, setting
the fiscal year to end on June 30th would result in ERMP budgeting for the following
fiscal year at approximately the same time as the local schools.
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Summary of Finance Recommendations

Separate service revenue from donations for tax and accounting purposes.

Define categories (in writing) for revenue, expense, and liability accounts. Clarify
what ERMP will and won’t pay for, and the documentation that will be required.
Volunteers should not be reimbursed for improperly documented expenses, or those
that do not fall within the guidelines set forth by ERMP, without approval by the
Finance Manager.

Document existing and any future loans / note(s) payable.

Purchase new financial software as revenues increase.

Within the next three years, change the fiscal year-end to match cash flows.

Use budget to forecast supply usage; purchase supplies in larger quantities and
consider purchasing from a warehouse club.
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Issue 3: Organization Chart
For a detailed view of the suggested organization chart, see Diagram 4. When
evaluating the organizational needs of ERMP, we identified three criteria to prioritize:
1. Flatness: Given that the organization is currently quite flat, it did not make sense
to impose a hierarchical structure. Instead, we wanted to preserve the flat feel of
the current organization, but provide clear accountability for key players.
2. Simplicity: Because the key players are not working for ERMP full-time and
because of the volunteer turnover, it makes sense to keep the structure as simple
as possible to help all members of the organization understand division of
responsibilities.
3. Supports accounting recommendations: Because the recommended
organization chart is ERMP’s first formal organization chart, it made sense to tie
the structure directly to the accounting structure the team devised. This supports
the simplicity, and will make the managerial organization relevant.
We identify the organizational structure of ERMP as the first necessary step in the
blueprint for growth. This is not because ERMP needs for the individuals involved to
have titles, but because the organization needs clear accountability to support swift
action. Dividing roles by function and finding the right individuals to fulfill those roles is
a necessary precondition to implementing the finance and marketing recommendations in
this report. Having meaningful titles will improve communication with customers and
benefactors. It will help convey a sense of organization.
Position Descriptions
Chief Executive Officer: Manage strategic direction of ERMP.

Coordinate activities and review performance of all senior staff.

Work closely with senior staff to set specific revenue goals and prepare annual
budgets.
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
Form strategic business partnerships within the community (such as local theaters,
high schools, benefactors, etc.).
Volunteer Director: Maintain volunteer database and increase volunteer retention.

Maintain a database of all ERMP volunteers, past and present. Information should
include: phone numbers, e-mail addresses, current profession and place of work,
“ERMP resume” (activities they have worked on within ERMP), ERMP-related
goals, interests, and skills.

Meet with new volunteers to set expectations and identify an appropriate ERMP
career path.

Develop and administer a mentoring program that matches new volunteers with
experienced staff.
Critical skills: Excellent communication and organization skills. Preferably has
experience with database management.
Production Manager: Oversee resource allocation for all production events.

Oversee service/account coordinators (taping services, program production,
commercial production, and event management).

Coordinate equipment management for all services.

Work closely with volunteer director to staff all events.

Manage tape archives.
Critical skills: Excellent organizational skills, experience in production, strong
communication skills and understanding of ERMP priorities.
Marketing Manager: Develop markets for ERMP and manage ERMP brand.

Seek opportunities to increase service/products market.

Perform market analyses and provide strategic inputs on future product/service
offerings.
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
Develop print and Internet advertising for ERMP services. Partner with web master to
update ERMP website messages.

Develop messages for use on ERMP television shows to encourage donations and
web site visits.

Work with fundraising coordinator to develop materials that can be used to solicit
donations. This may include items such as inserts for ERMP video cassettes.

Work with volunteer coordinator to develop materials that can be used to recruit
volunteers.
Critical skills: Excellent communications and sales skills. Should have experience in
market research, preferably via low-cost tools. Ability to process research inputs and
identify profitable market segments and products.
Accounting Manager: Maintain and archive ERMP books; plan and manage budget.

Maintain ERMP books and records, following specific guidelines as to how items
should be categorized. Provide monthly statements.

Maintain back-up material for financial statements, such as notes payable, receipts for
expenses, etc.

Create annual budget for ERMP and track financial results against budget.

Ensure that proper procedures are followed for expense reimbursement and issue
checks when necessary.
Critical skills: Education should include basic bookkeeping and/or college level
accounting courses. S/he must also possess general knowledge of 501(c)-3 laws and
requirements, computer skills (Excel, Quicken, and QuickBooks), and organizational
abilities.
Fundraising Coordinator: Review donation and grant opportunities; solicit matching
funds.

Seek opportunities to expand donor base.
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
Work with volunteer coordinator to develop a matching funds program.

Work with marketing manager to develop materials that can be used to solicit
donations.

Review requirements for receiving grants, both corporate and government. Assess the
match with ERMP capabilities and write applications if appropriate.
Critical skills: Experience writing grant proposals, research capabilities and strong verbal
& written communication skills. In addition, the Fundraising Coordinator must possess a
solid understanding of ERMP’s mission and business model.
Account Coordinators: Coordinate all resources for services and production.

Coordinate with Production Manager to get equipment for relevant services (taping
services, program production, commercial production, and event management).

Coordinate with Volunteer Director to staff production events.

Contract with clients to provide relevant services.

Promote service and build strong client relationships to ensure continued
opportunities.
Critical skills: Sales experience, excellent communication and organizational skills.
Technology / Webmaster: Leverage technology to facilitate donations and opportunities.

Maintain ERMP website.

Coordinate with Volunteer Director to ensure that all contact information listed on the
site is correct.
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APPENDIX A: Engagement Profile
Fuqua Student Consulting Group
The Fuqua School f Business
Duke University
Engagement Profile
Client Name
SBI# _11_______
Eno River Media Project
_________________________________________
FSCG Team
Members
Pamela Golden, Denise Turner
Wan Lung Eng, Tushar Gupta
Mak Pitke, Zahid Rahman
Engagement
Objectives
Task
#
Re:
Obj
1)
Analyze market potential for existing products and services.
2)
Identify new opportunities to increase revenues and develop a plan to exploit those
opportunities.
3)
Evaluate current financial status and establish structure and tools to manage ERMP
finances going forward.
4)
Develop an organizational structure that will facilitate change and enable long-term
growth.
Est
hrs
Description
Create profile of key customer segments and
1
and evaluates size and growth prospects of each
customer segment; 2) Evaluates revenue/growth
prospects and competitive landscape of each offering.
40
Wan Lung
Eng
Tushar Gupta
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Target
date
Mak Pitke
products/services. Generate report which: 1) Identifies
1
Assigned
to
Feb. 27
Conduct surveys or market research within each
segment to estimate willingness of potential customers
2
1
to engage ERMP (as volunteers/donors or as
service/product consumers). Collect information on
Mak Pitke
40
competitive services to estimate prices customers are
Zahid
Mar.
Rahman
19
Tushar Gupta
willing to pay.
Generate report of new products, services, and possible
partnerships
1) Identify ERMP’s capabilities to offer new
Wan Lung
products/services
3*
2
2) Identify Criteria to evaluate new product offerings,
40
3) Identify potential partnership candidates where
Eng
Mar.
Tushar Gupta
12
Pam Golden
appropriate
4) Create prioritized list of new product/service
offerings
Create a development and implementation plan for
4
2
selected new offerings with the greatest immediate
potential.
Tushar
35
Gupta
Mar.
Pam Golden
19
Mak Pitke
Evaluate revenues and costs of ERMP’s current
5
6
3
3
offerings. Identify costs not associated with specific
revenue streams, and separate into 1) avoidable and 2)
Denise
30
Turner
Mar.
Zahid
12
required to sustain ERMP’s current offerings.
Rahman
Develop financial plan in MS Excel with summary level
Denise
and service line detail. Establish revenue and
expenditure targets for each product and service, in line
with recommendations made in task 5.
25
Turner
Mar.
Zahid
19
Rahman
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Conduct analysis of financial software needs to
determine what resources and tools will be needed to
7
3
support ERMP’s growth.
Provide recommendations in areas such as accounting
Denise
15
package and excel templates for budgeting and expense
Turner
Mar.
Zahid
19
Rahman
tracking.
Develop prioritized list of long-term and short-term
Pam Golden
goals to determine which functions within ERMP are
8*
4
most vital for organizational growth.
Wan Lung
15
Eng
Denise
Mar.
12
Turner
Identify critical roles by function and skills required for
Pam Golden
each role.
9*
Wan Lung
4
10
Eng
Denise
Mar.
12
Turner
Develop blueprint for growth rate and direction to
Pam Golden
support transition to full-time staff.
10
4
Wan Lung
30
Eng
Denise
Mar.
19
Turner
11
4
Evaluate feasibility of current status as a “virtual
Pam Golden
organization” and provide recommendation given
Wan Lung
current/future organizational needs.
20
Eng
Denise
Mar.
12
Turner
* Tasks 3, 8, and 9 will involve brainstorming sessions with a joint ERMP/Fuqua group. This will be in
addition to the interviews of ERMP staff conducted for these (and all other) tasks.
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APPENDIX B: Consultants’ Resumes
The resumes start on the following page.
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DENISE TURNER
3611 University Drive, Apt. 12E
Durham, NC 27707
(919) 403-1161
ldt2@duke.edu
EDUCATION
DUKE UNIVERISITY, The Fuqua School of Business, Durham, NC
Master of Business Administration, May 2005. Mary Few Scholarship recipient. GMAT: 730.
UNIVERSITY OF IOWA, Henry B. Tippie College of Business, Iowa City, IA
Bachelor of Business Administration with Distinction, December 1999. Major in Finance, Emphasis in Accounting.
GPA: 3.77. Phi Eta Sigma and Beta Gamma Sigma Honor Societies. President’s List, Dean’s List, Opportunity at Iowa
Scholar. President of Sigma Gamma Rho Sorority, Incorporated.
EXPERIENCE
BANK ONE CORPORATION, Chicago, IL, 2000-2003
Middle Market Credit Underwriter II, Commercial Banking Officer, 2001-2003
 Supervised quarterly review of $25MM in problem loan exposure; worked with Bankers to develop turnaround
strategies.
 Managed loan servicing system clean-up initiative for division of 100+ relationships; reduced exceptions by 85%.
 Successfully trained and supervised rotational Credit Analysts in the completion of credit related tasks.
 Structured credits and prepared loan approval packages, with focus on credit exposures of $5MM to $50MM. 100% of
loan packages were approved.
 Created relationship reporting template to track up to seven types of affiliated depository and loan accounts.
Strengthened key relationship that included $10MM+ in depository accounts and $7MM in loan exposure.
 Reduced documentation exceptions by 50% through communication with clients, Bankers, and Collateral Specialists.
 Ensured timely renewal of Automated Clearing House limits of up to $35MM and approved individual transactions.
 Represented Underwriters at Illinois Advisory Meetings; functioned as liaison between lending and collateral
departments to process requests affecting $12MM in loan exposure.
Middle Market Credit Analyst, 2000-2001
 Completed rotations in General Lending, Asset Based Finance and Managed Assets.
 Participated in 175 hours of Introductory Credit Education; ranked 1st in class of 23 Credit Analysts.
 Prepared quarterly reports for borrowers with $500K+ in problem loan exposure.
 Completed credit approval packages and set covenant requirements for borrowers with revenue of $5MM - $250MM.
 Identified and corrected discrepancies in approval packages and loan documentation for $12MM in loan exposure.
 Calculated covenants and reset requirements for borrowers with loans up to $3MM.
 Maintained monthly Credit Review Report for division of 100+ borrowers.
 Wrote commodity report analyzing trends among six commodities directly affecting bank clients.
 Reviewed real estate appraisals and environmental site assessments for real estate loans of $500K+; confirmed
accuracy of collateral values and identified potential issues.
 Represented Managed Assets Division at bank group meetings for $90MM syndicated loan to borrower in bankruptcy.
 Liaison between divisions and seven departments within Commercial Loan Operations.
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 41
MAK PITKE
825 Ivy Meadow Lane Apt 2A
Durham, NC 27707
(214) 929-7178
mak.pitke@duke.edu
EDUCATION
DUKE UNIVERSITY, The Fuqua School of Business, Durham, NC
Master of Business Administration, May 2005.
Consulting Club, Finance Club, Telecom Analyst – Asset Management Club. FuquaVision, 1st Place Merrill Lynch Valuation Case
Competition.
THE UNIVERSITY OF TEXAS AT DALLAS, Dallas, TX
Master of Science, Electrical Engineering May 2001. Emphasis in Telecommunications. Earned the degree in two years while working fulltime. GPA 3.91.
THE UNIVERSITY OF BOMBAY, Bombay, India
Bachelor of Engineering, Electronics, June 1994, First Class with Honors. Recipient of the National Talent Search Scholarship 1988 through
1994. Captain, inter-collegiate quiz team. Leadership council EE Student’s Association.
EXPERIENCE
AXES TECHNOLOGIES INC. Dallas, TX 1995-2003
A global telecom solutions provider, delivering solutions to telecom equipment manufacturers and service providers.
Technical Lead, Intelligent Networks Division (2000-2003)
Primary point of contact with client (Alcatel). Led a cross-functional team of 40 engineers distributed over three overseas locations.
 Coordinated software development schedules for seven products concurrently. Presented status reports to client management and
directed engineering teams on implementation. Generated over $7M in revenues.
 Planned and executed the development of software for the control of cellular phone networks via ANSI-41. Organized in-country
support during customer trials, enabling the client to complete delivery on a $10M equipment contract.
 Designed a migration strategy for the conversion of a legacy telecom SS7 routing system to a next generation system that is currently
deployed in major US wireless networks.
 Created climate of team cooperation among development, quality assurance, and documentation groups. Championed implementation of
software development practices in accordance with ISO-9001 process, greatly improving software quality and on-time delivery metrics.
Senior Design Engineer, Switch Products Division (1998-2000)
Developed high-level software designs and led execution teams, implementing software for a long-distance switch.
 Designed software which enabled network operators to rapidly deploy customized services using equipment from different
manufacturers. Played a key role in integrating the system in the Global Crossing network.
 Worked in multi-disciplinary teams to provide crisis management support to customers during natural disasters and network failures.
 Drove key initiative leading to the development of a Service Creation Environment system which reduced reliance on third-party test
equipment. Achieved savings of over $64K per tester.
Design Engineer, Switch Product Division (1995-1998)
Developed software for a long-distance telephone exchange, targeted towards the international market.
 Designed and coded software that could interpret signaling messages from international networks. Supported the installation and
operation of the system in the U.K.
 Interfaced with clients in Indonesia on the development of a mobile switching center. Traveled frequently to the customer’s lab to
integrate the system. Successfully completed customer validation testing and sign-off.
ATLAZ TELECOMMUNICATIONS PVT. LTD. Bombay, India (1994-1995)
Software Design Engineer, (1994-1995)
Designed and developed software for an enterprise phone system.
 Implemented a user group feature enabling partitioning of the phone system between departments.
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 42
S. ZAHID RAHMAN
632 Glen Hollow Drive
Durham, NC 27705
(773) 882-8922
zahid.rahman@duke.edu
EDUCATION
DUKE UNIVERSITY, The Fuqua School of Business, Durham, NC
Master of Business Administration, May 2005. GPA 3.75. GMAT 700.
Elected President of the Consulting Club. First Year Coordinator of the Energy Club. Member of Finance Club.
Small Business Consulting Team Leader. Admissions Council Volunteer. FuquaVision Producer / Director.
UNIVERSITY OF TEXAS, McCombs School of Business, Austin, TX
Bachelor of Business Administration, December 1995. Graduated magna cum laude with 3.74 GPA.
Competitive Academic, Phillips Petroleum, and August Kunz Scholarships. Member of Gamma Beta Sigma (honors business). Vice
President of UT Association of International Business Leaders. Member of Consulting Club.
EXPERIENCE
PROTIVITI, INC., Chicago, IL, 2002-2003
Leading international consulting firm dedicated exclusively to business risk issues and internal audit.
Manager (2002-2003)
Established methodologies and analysis framework for the Cost Recovery service line. In one year the group grew from 0 – 15 clients with
revenues of $3 million, and enabled clients to achieve cost savings of $15 million.
Led development of data analysis platform for Cost Recovery Services that is now the firm standard for expenditure cycle data mining
projects and is used in marketing efforts of the service line and the firm.
Designed training for new project managers and led recruiting efforts for the service line’s technology team.
ARTHUR ANDERSEN, Chicago, IL, 1996-2002
Senior Consultant (1999-2002)
 Successfully interfaced with payables and purchasing groups in reengineering of the AP function of automotive parts supplier. Realized
annual savings of $1.5 million through improved error tracking and vendor optimization.
 Managed four person, cross functional client team to identify and reconcile discrepancies in prices, quantities, and terms for parts
purchased by the client from its suppliers. Analysis resulted in savings of over $3 million.
 Co-led team of four consultants and client staff in competitive analysis project and design of financial models for startup software
services provider. Successfully attracted funding and 100+ clients in a nine month period.
 Spearheaded development of Performance Management Application for client’s shared services center. Led benchmarking,
measurement definition, and implementation, which contributed to a 20% productivity increase.
 Supervised four consultants in “Program Management Office” of a shared services design for an automotive manufacturer. Coordinated
five project teams, hired center staff, and managed $15 million budget.
 Assisted firm’s global leadership team in development of the engagement business models for successful proposal of a $350 million
shared services center implementation and outsourcing arrangement with the client.
 Facilitated an internal executive team to develop a Balanced Scorecard and Performance Management Application for Central Region
audit and consulting groups. Led development, implementation, and training.
Consultant (1996 – 1998)
 Prepared benchmark analysis of sales/distribution processes at industrial products manufacturer and provided process recommendations.
Implementation realized savings of $3 million in annual lost revenues.
 Analyzed $15 million of unidentified trade promotions discounts at consumer goods manufacturer. Resulted in client recovery of over
$1.5 million and outsourcing of trade promotions management function to Andersen.
 Designed analysis of store closing recommendations for Chicago based retail chain. Studied historical and projected operating results,
impact of current and future competition, and future lease liabilities.
 Created benefits tracking database for international grocery chain that improved communication between corporate office and stores and
reduced benefits administration (paperwork) time by 50%.
ADDITIONAL INFORMATION
Contacted and secured key note speaker for Fuqua Energy Club Symposium. Moderated break out discussions.
Volunteer tutor in reading, math, and science throughout high school, college, and professional career.
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 43
TUSHAR GUPTA
1309 Snowcrest Trail
Durham, NC 27707
(919) 451-4619
tushar.gupta@duke.edu
EDUCATION
DUKE UNIVERSITY, The Fuqua School Of Business, Durham, NC
Master of Business Administration, May 2005. GMAT 720.
Finance Club. Asset Management Club. Asian Business Club, Career Management and Finance Liaison.
INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA, New Delhi, India
CPA, May 1999. Graduated in top 5% of nation-wide candidates. Fellow member of the Institute.
DELHI UNIVERSITY, New Delhi, India
Bachelor of Arts in Economics, June 1997.
Founded the Informal Discussion Group (50 members) responsible for organizing seminars and panel discussions on social issues. Joint
Secretary of the Economics Society (340 members) responsible for raising funds from corporate sponsors.
EXPERIENCE
DELOITTE HASKINS & SELLS, New Delhi, India, 1999 – 2003
Deputy Manager (Assurance and Business Advisory Division of Deloitte & Touche), 2001 – 2003
20 direct functional reports comprising cross-functional teams of assistant managers and staff working on assurance and business advisory
engagements. Managed all aspects of engagements including planning, budgeting, client relations, performance appraisals and mentoring
staff.

Performed due diligence reviews for private equity clients and potential buyers of target companies in a wide range of industries
including manufacturing, media and telecommunications. Worked on a senior management team to perform due diligence and valuation
for the Indian government for the privatization of the largest automobile company in India.
 Identified potential clients, prepared client proposals and conducted fees negotiations and sales processes. Retained and obtained further
business assignments from a key client, which led to an increase in the firm’s revenues by $2 million.
 Instructed and participated in Deloitte & Touche worldwide training programs on financial process mapping and implementation of the
Deloitte audit software package.
Assistant Manager, 1999 – 2001
Led engagement teams comprising four-five staff members.
 Managed cross-functional international teams conducting internal controls evaluations of projects operated by UNESCO. Successfully,
created a team environment to overcome cross-cultural differences among the diverse cultures of members to complete engagements in
foreign environs such as the Oil for Food program in Iraq, projects in Brazil.
 Planned and executed reviews of business processes and internal control procedures and financial processes re-engineering, identified
and assisted clients in streamlining processes and cut costs. Engagements involved working extensively with finance and operations
teams of clients.
Performed restatements of financial statements as per the International Accounting Standards for several companies.
Planned and executed audit engagements (statutory and tax audits) and limited reviews for companies operating in various industries.
ARUN. K. GUPTA & ASSOCIATES, New Delhi, India, 1997 - 1999
Audit Assistant
 Professional training as part of CPA. Assisted in the execution of audit engagements of several companies. Developed internal audit and
financial process manuals for companies in the media and service industries.
 Structured tax efficient transactions for corporate clients.
 Provided financial assistance as part of litigation support for a claim dispute settlement for a government organization, which led to
additional similar assignments from the client.
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 44
WAN LUNG ENG
600 Alexan Drive Apt. 204
Durham, NC 27707
(919) 489-5478
wanlung.eng@duke.edu
EDUCATION
DUKE UNIVERSITY, The Fuqua School Of Business, Durham, NC
Master of Business Administration, May 2005. GMAT: 710. GPA: 3.75.
Career Management Center Advisory Board Member. Consulting Club Cabinet. Asian Business Club Career
Management Cabinet. Active member of Finance Club, and General Management and Operations Club. Small Business
Consulting Program.
NANYANG TECHNOLOGICAL UNIVERSITY, Singapore
Bachelor of Accountancy, May 2000. Graduated with second upper class honors (magna cum laude equivalent).
Changi International Airport Services Scholarship. Financed 100% of education through scholarship and part-time
employment. Advisor to a 200-member high school community service club.
EXPERIENCE
CHANGI INTERNATIONAL AIRPORT SERVICES (CIAS) PTE LTD, Singapore, 2000-2003
CIAS is a government-owned airport corporation providing aircraft handling, airline catering, aviation security, air cargo
logistics and consultancy in aviation-related services.
Business Development Executive, International Business Division
Business Consulting
 Evaluated feasibility of a new $95 million air cargo hub and distribution center at Tianjin Airport for Civil Aviation
Authority of China (CAAC). Presented business strategies to Director General of CAAC. Recommendations were
accepted and implemented by CAAC.
 Advised GlobeGround GmbH on its $170 million acquisition of Asiana Airline’s subsidiaries. Managed international
team of 20 consultants in conducting due diligence and performing financial valuation. Resulted in the first major
advisory revenue for CIAS.
 Directed an eight-member team to start a new in-flight kitchen at Manila International Airport for the Philippines
airport group. In-flight kitchen was completed and operational three weeks ahead of schedule.
Business Development
 Identified and evaluated opportunity to start an air cargo operation in Mexico. Gained Board of Directors support and
led cross-functional team in capitalizing on this opportunity. Resulted in the incorporation of a $15 million terminal.
 Developed and implemented business and marketing strategies to provide commercial microbiological testing and
hygiene inspection. New services generated more than $185 thousand in revenue for CIAS catering division.
 Conducted feasibility studies on aviation-services, logistics and food processing business opportunities in 12
countries in North America, Latin America, Europe and Asia/Pacific. Presented findings and recommendations to
CIAS’ Chief Executive Officer and Division Heads.
Corporate Finance
 Participated in the $270 million acquisition of GlobeGround GmbH. Prepared discounted cash flow and economic
value added valuation and sensitivity analyses. Presented strategic proposals to Board of Directors.
 Performed analyses on 16 prospective acquisitions in the aviation-services, logistics and food sectors resulting in bids
in excess of $500 million and three executed transactions. Collaborated with cross-functional project team during due
diligence, negotiations and preparation of internal reports.
MINISTRY OF DEFENSE (ARMY), Singapore, 1995-1997
Sergeant, Division Artillery HQ
 Led 15-member work improvement team in designing and implementing a manpower resource management system.
New process reduced administrative requirements by 20%.
 Mentored and supervised a team of 12 national servicemen in training, operations and administrative areas.
Honorably discharged with Certificate of Excellent Service for leadership and dedication.
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 45
APPENDIX C: Account Descriptions
Account Title
Recommended Definition
Statement
Sources of Funds
Service Revenue Revenue generated from providing services, such as
Income Statement
taping events at high schools. While all service
(Revenue)
revenue may be grouped together for financial
statement purposes, the company should maintain
records of revenue received from each general product
category.
Individual
Funds given to ERMP by individuals that:
Income Statement
Donations
 Will not have to be repaid, and
(Revenue)
 Are not in exchange for a product or service.
Corporate
Funds given to ERMP by corporations that:
Income Statement
Donations
 Will not have to be repaid, and
(Revenue)
 Are not in exchange for a product or service.
Individual and Corporate donations may be grouped together for financial statement purposes,
but ERMP should maintain records of each type of donation as the company may want to provide
different types of follow-up material to these two groups.
Note Payable
Funds that ERMP must repay in the future. While any Balance Sheet
amounts that the company must repay should be in
(Current Liability)
this category, all amounts listed here should have
explicit and documented terms (see below).
Expenses / Cash Outflows
Education
Expenses directly related to educating and training
Income Statement
employees in skills needed to produce the current
(Expense)
product and service offerings. In addition, this
category should include expenses necessary to train
employees to work on new products and services that
ERMP is planning to offer in the near future.
Research
Expenses directly related to planned research in order Income Statement
to develop new products and services, or improve
(Expense /
existing offerings. Until the company is has reached
Education Subsustainability, these expenses should be related to
Account)
products and services that ERMP is planning to offer
in the short-term.
Supplies
Expenses related to obtaining general office supplies
Income Statement
(pens, stationary), as well as tapes and other items
(Expense)
needed for production. These expenses should be
allocated to specific product categories to the extent
possible. Many of these items are currently classified
under purchases or general overhead.
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 46
APPENDIX D: Web Pages Used As References
North Carolina Arts Council:
http://www.ncarts.org/
http://www.ncarts.org/services_grants.cfm
http://www.ncarts.org/orgs.cfm?type=council
http://www.ncarts.org/guidelines/grant_program.cfm?ID=21
Raleigh Arts Commission:
http://www.raleigh-nc.org/arts/grants_funding.asp
Durham:
http://www.durhamarts.org/artistinfo_seasongrant.html
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 47
DIAGRAM 1: SWOT Analysis
Strengths






Experienced
Technical Team
Past Successes
Excess Capacity
Low Pricing
Strategy
Leadership
Tax Exempt
Status
Opportunities
Weaknesses




Strategic Focus
Long Service
Time
Revenue /
Financing
Public awareness







Growth
Industry
Grants/Donor
Funds
Services:
School Videos
Actor’s reels
Commercials
NBC
Partnership
Threats



Commercial
Media Service
Firms
Competing
Nonprofits
Production/
Distribution
Facility Access
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 48
DIAGRAM 2: Porter’s Five Forces MODEL
Entrants
•Technological advancements facilitate entry
•Steep learning curve for “professional”
productions
Suppliers
•Production
equipment important
•Specialized labor
required
•Nonprofit capital
market constraint
Substitutes
•Few substitutes for programming
related to NC
•No substitutes for services
Industry
Rivalry
•Fragmented
•Competition
for
limited
nonprofit
funds
Customers
•Limited consumer
power
•Higher for larger
corporations who
have stronger
negotiating leverage
Complements
•Low cost and easily accessible
TV/Cable and computers make it
easy for view/use ERMP products
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 49
DIAGRAM 3: Proposed Financial Structure
Allocate needed volunteer hours
Program Production
Bar Chords
InsightNC
Allocate volunteer hours based on expected revenue per hour
Taping Services
Schools
Actors Reels
Commercials production
Industrial
Video
Commercial
•Volunteer hours required/spent
•Revenue targets/earned
•Expenditure targets/incurred
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 50
Event management
Events
DIAGRAM 4: Proposed Organizational Chart
CEO/
Chairman
Volunteer
Director
Production
Manager
Marketing
Manager
Accounting/Finance
Manager
Service/Account
Coordinators (4)
Technology/
Webmaster
Fundraising
Coordinator
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 51
EXHIBIT 1: Target Companies for Television Commercial Services
Company Name
City
State
Phone Number
Cpu, Inc
Arden
NC
(828)684-4300
Silverlight Production
Chapel Hill
NC
(919) 933-9493
Media Communications, Inc.
Charlotte
NC
(704)527-8853
Avatar Group International, Inc.
Charlotte
NC
(704) 365-4266
Dragonfly Film & Video
Charlotte
NC
(704) 525-1773
Indigo Productions, Inc.
Charlotte
NC
(704) 541-3411
Moving Pictures
Charlotte
NC
(704) 676-0868
Tall Tale Productions
Charlotte
NC
(704) 376-8778
Horizon Video Productions, Inc.
Durham
NC
(919) 941-0901
Moonlight Communications, Inc.
Fayetteville
NC
(910) 486-9036
A & V Company of The Triad
Greensboro
NC
(336)292-9700
Creative Insight, Inc.
Greensboro
NC
(336) 632-8750
Salt Mine Productions, Inc.
Madison
NC
(336) 548-1197
Arnold Video Productions, Inc.
Mooresville
NC
(704) 663-4444
Studio in the Woods
New Hill
NC
(919) 362-9690
Associated Media Production Services
Raleigh
NC
(919) 821-2640
Multi Vision Productions
Raleigh
NC
(919) 847-7511
Murphy & Associates Inc.
Raleigh
NC
(919) 847-8206
Jaars, Inc.
Waxhaw
NC
(704)843-6000
Special Event Services, Inc.
Winston Salem
NC
(336)725-7799
Bonnie Films, Inc.
Winston Salem
NC
(336) 777-0012
Epic Video Productions
Winston Salem
NC
(336) 924-8778
Swiftwater Media
Winston Salem
NC
(336) 723-0330
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 52
EXHIBIT 2: Potential Competitors in Television Commercial Services
Company Name
Apex Veterinary
Hospital, PA
Cenplex Building
Svc Inc
Address
1600 E
Williams St
2400
Reliance Ave
Ste B
City
ZIP
County
Phone Number
Sales
Emp
Total
Apex
27539
WAKE
(919)362-8878
$1,400,000
69
Apex
27539
WAKE
(919)362-5959
$2,500,000
250
Location
Type
Line of Business
Headquarters
VETERINARY HOSPITAL
Single
Location
COMMERCIAL JANITORIAL SERVICE
Headquarters
PUBLIC RELATIONS SERVICES
NONCOMMERCIAL RESEARCH
ORGANIZATION COMMERCIAL
NONPHYSICAL RESEARCH
Cotton Incorporated
6399 Weston
Pkwy
Cary
27513
WAKE
(919)678-2220
$166,000
157
On The Border
Mexican Cafe
1102 Walnut
St
Cary
27511
WAKE
(919)460-0880
$1,600,000
70
Single
Location
EATING PLACE
Veterinary Specialty
Hospital
6405 Tryon
Rd Ste 100
155
Wilkinson
Ave
1150 SE
Maynard Rd
VETERINARY SERVICES
Wake Plumbing
Company
N A V Inc
Mac Gregor Downs
Country Club
Cary
27511
WAKE
(919)233-4911
$1,700,000
70
Single
Location
Cary
27513
WAKE
(919)469-3132
$2,000,000
65
Single
Location
PLUMBING CONTRACTOR
Cary
27511
WAKE
(919)380-8062
$2,321,000
72
Headquarters
RENTAL AND RETAIL VIDEOS
Dth Publishing Inc
430 Saint
Andrews Ln
104 Carolina
Un
Cary
27511
WAKE
(919)467-0146
$2,400,000
90
Chapel Hill
27516
ORANGE
(919)962-1163
$936,000
75
Single
Location
Single
Location
Home Health
Solutions, Inc
104 S Estes
Dr Ste 107
Chapel Hill
27514
ORANGE
(919)929-1322
$1,300,000
75
Single
Location
HOME HEALTH CARE SERVICES
Bacon & Bacon Ltd
6551
Stoneridge Dr
Chapel Hill
27514
ORANGE
(919)929-1229
$1,600,000
70
Single
Location
RESTAURANT CATERING & WHOL
SALAD DRESSING
Carolina Alumni
Club Inc
Stadium Dr
Ridge Rd
90
Single
Location
CIVIC/SOCIAL ASSOCIATION
MEMBERSHIP SPORT/RECREATION
CLUB
Chapel Hill
27514
ORANGE
(919)962-1101
$1,600,000
MEMBERSHIP COUNTRY CLUB
NEWSPAPER
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 53
Carolina Brewery
Inc
Chapel Hill
Restaurants Inc
Chapel Hill Country
Club Inc
West Chapel Hill
Resturant,
460 W
Franklin St
1201 N
Fordham
Blvd
Squid's Restaurant
103 Lancaster
Dr
411 W
Franklin St
1201 N
Fordham
Blvd
Timberlyne Animal
Clinic, Inc.
110 Banks Dr
Ste 105
Catering Co of
Chapel Hill
1322 N
Fordham
Blvd
Accent On Service
Nova Design Inc
Keston Care
IL Palio
Phyamerica
Physician Group,
Quality Janitor
Service Inc
Kuos Inn
403 W
Rosemary St
1
Performance
Way
11312 US
Highway 15
501 N
1505 E
Franklin St
2828
Croasdaile Dr
815 Ramseur
St Ste D
3626
Shannon Rd
Ste 104
Chapel Hill
27516
ORANGE
(919)942-1800
$1,600,000
65
Single
Location
RESTAURANT AND BREWERY
Chapel Hill
27514
ORANGE
(919)942-8757
$1,600,000
75
Single
Location
RESTAURANT AND RETAIL SEAFOOD
Chapel Hill
27517
ORANGE
(919)967-8201
$1,800,000
75
Chapel Hill
27516
ORANGE
(919)967-2782
$1,800,000
80
Single
Location
Single
Location
MEMBERSHIP COUNTRY CLUB AND
GOLF COURSE
Chapel Hill
27514
ORANGE
(919)929-0025
$1,900,000
85
Single
Location
EATING PLACE RET MEAT/FISH
Chapel Hill
27514
ORANGE
(919)968-3047
$1,900,000
76
Headquarters
VETERINARY SERVICES
ACCOUNTING/AUDITING/BOOKKEEPING
EATING PLACE MEDICAL DOCTORS
OFFICE MGMT CONSULTING SVCS MISC
PERSONAL SERVICE
EATING PLACE
Chapel Hill
27514
ORANGE
(919)929-4775
$2,100,000
100
Single
Location
Chapel Hill
27516
ORANGE
(919)932-2417
$2,200,000
100
Single
Location
HELP SUPPLY SERVICES EMPLOYMENT
AGENCY
Chapel Hill
27514
ORANGE
(919)933-9113
$2,200,000
75
Headquarters
MFG WOMEN'S SPORTSWEAR
Chapel Hill
27517
ORANGE
(919)967-0507
$2,600,000
130
Chapel Hill
27514
ORANGE
(919)918-2545
$2,700,000
120
Durham
27705
DURHAM
(919)383-0355
$320,000
100
Durham
27701
DURHAM
(919)688-8184
$700,000
96
Single
Location
Single
Location
Durham
27707
DURHAM
(919)493-1673
$800,000
70
Headquarters
Single
Location
Single
Location
HOME HEALTH CARE SERVICES
EATING PLACE
HEALTH CARE SERVICES
JANITORIAL SERVICE
EATING PLACE
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 54
Tgc Development,
Inc
6508 Mount
Herman Rd
Clark Business
Services, Inc
Mount Zion Christn
Church Inc
Southeast Food
Systems Inc
1735 Guess
Rd Ste 100
3519
Fayetteville
St
1723 Page
Road EXT
Chancellor Gardens
of Durham
4434 Ben
Franklin Blvd
Bill Poske
3500 Mount
Moriah Rd
Durham
27707
DURHAM
(919)493-2202
White Star Laundry
Inc
904 9th St
Durham
27705
DURHAM
Fairey Finishing
Plant Inc
1604 E
Lawson St
Durham
27703
Michael Strayhorn
1304 Hwy 54
Durham
27707
Dwh Painting Co.,
Inc
Gericare & Health
Services
Home Instead
Senior Care
508 S Miami
Blvd
4117 N
Roxboro St
Ste 209
1804 Martin
Luther King
P
Durham
27703
DURHAM
(919)596-1206
$800,000
70
Single
Location
BUSINESS SERVICES
EMPLOYMENT AGENCY HELP SUPPLY
SERVICES
Durham
27701
DURHAM
(919)416-9693
$1,250,000
254
Single
Location
Durham
27707
DURHAM
(919)688-4245
$1,300,000
65
Single
Location
CHURCH AND CHRISTIAN SCHOOL
Durham
27703
DURHAM
(919)596-6464
$1,500,000
70
Headquarters
HOT DOG RESTAURANT
65
Single
Location
RESIDENTIAL CARE SERVICES
$1,700,000
75
Single
Location
RESTAURANT
(919)286-2271
$1,900,000
70
Headquarters
COIN-OPERATED LAUNDRY POWER
LAUNDRY DRYCLEANING PLANT
DURHAM
(919)596-8221
$2,000,000
75
Single
Location
MFG WOMEN'S HOSIERY MANMADE
FIBER & SILK FINISHING PLANT
DURHAM
(919)402-1219
$2,000,000
70
Single
Location
REAL ESTATE AGENT/MANAGER
Durham
27704
DURHAM
(919)479-9966
$1,600,000
Durham
27703
DURHAM
(919)596-1890
$2,200,000
73
Single
Location
PAINTING/PAPER HANGING
CONTRACTOR TRADE CONTRACTOR
ROOFING/SIDING CONTRACTOR
DRYWALL/INSULATION CONTR
LANDSCAPE SERVICES
Durham
27704
DURHAM
(919)848-1977
$2,200,000
70
Single
Location
EMPLOYMENT AGENCY
Durham
27707
DURHAM
(919)382-3266
$2,200,000
80
Headquarters
INDIVIDUAL/FAMILY SERVICES
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 55
Woolf Group Inc
5315
Highgate Dr
Ste 102
Durham
27713
DURHAM
(919)425-0155
$2,200,000
100
Matchbox Health
Services Inc
6 Consultant
Pl Ste 100
Durham
27707
DURHAM
(919)493-3434
$2,300,000
Patterson Nance
Kendall Frost
2823 N Duke
St
Durham
27704
DURHAM
(919)479-0707
Hillcrest
Convalescent
Center,
1417 W
Pettigrew St
Durham
27705
DURHAM
(919)286-7705
Single
Location
HELP SUPPLY SERVICES EMPLOYMENT
AGENCY
80
Headquarters
GROUP HOME FOR DISABLED
INDIVIDUALS
$2,400,000
70
Headquarters
ORAL SURGEONS
$3,000,000
162
Single
Location
SKILLED NURSING CARE FACILITY
INTERMEDIATE CARE FACILITY
180
Single
Location
DISPLAY ADVERTISING SERVICE
SPECIALIZING AS A REPAIR AND
SERVICE COMPANY OF
PARTITIONS/FIXTURES-NONWOOD
FAST FOOD RESTAURANT
SPECIALIZING IN CHICKEN AND
BISCUITS
Continental Service
Solutions
320 N Judd
Pkwy Ne
Fuquay
Varina
Paulmark Southern,
LLC
Accounting
Machine Systems
Inc
517 Sloping
Hill Ln
Fuquay
Varina
27526
WAKE
(919)577-0921
$725,000
70
Single
Location
201 Wagstaff
Rd
Fuquay
Varina
27526
WAKE
(919)552-2691
$3,000,000
120
Single
Location
SERVICES RETAILS & WHOL
COMPUTERS
Carolina Residential
Services
Jo-Le of
Hillsborough Inc
126 US
Highway 70
W Ste C
400 S
Churton St
Garner
27529
WAKE
(919)662-7873
$2,500,000
96
MANAGEMENT SERVICES HOME
HEALTH CARE SERVICES
Hillsborough
27278
ORANGE
(919)732-9898
$1,500,000
70
Single
Location
Single
Location
Orange Enterprises,
Inc
Triangle Sportsplex
Inc
500 Valley
Forge Rd
1 Dan Kidd
Dr
Walker Holdings
Group LLC
960
Corporate Dr
27526
WAKE
(919)552-2429
$100,000
Hillsborough
27278
ORANGE
(919)732-8124
$1,687,000
140
Hillsborough
27278
ORANGE
(919)644-0339
$1,800,000
80
Single
Location
Single
Location
Hillsborough
27278
ORANGE
(919)644-7400
$2,300,000
90
Headquarters
EATING PLACE
RESIDENTIAL CARE SERVICES
SPECIALTY OUTPATIENT CLINIC JOB
TRAINING/RELATED SERVICES
RECREATION CENTER
EATING PLACE
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 56
Ste 409
Classic Country
Cuisine
706 Money
CT
Knightdale Seafood
& Barbecue
Kabala Shrine
Temple 177
706 Money
CT
513 S Blount
St
Capital Janitorial
Services,
Single
Location
Knightdale
27545
WAKE
(919)266-4447
$1,700,000
75
Knightdale
27545
WAKE
(919)266-4447
$1,700,000
75
Raleigh
27601
WAKE
(919)546-0505
$22,000
93
Single
Location
Single
Location
3029 Stony
Brook Dr
Raleigh
27604
WAKE
(919)981-0100
$400,000
110
Single
Location
BUILDING MAINTENANCE SERVICES
Triangle Building
Services
1039 Dresser
CT
Raleigh
27609
WAKE
(919)872-3128
$670,000
70
Single
Location
CONTRACT JANITORIAL CLEANING
SERVICE
L E T Corporation
1117 Fuller
St
Raleigh
27603
WAKE
(919)755-1555
$800,000
85
Single
Location
CONTRACT JANITORIAL SERVICE
R W Daniels
Enterprises, Inc
4912 Alpinis
CT Ste 101
Raleigh
27616
WAKE
(919)981-6553
$1,000,000
85
Single
Location
COMMERCIAL CLEANING
Raleigh-Durham
Masonry Inc
4101 Rock
Quarry Rd
Raleigh
27610
WAKE
(919)829-9751
$1,000,000
87
Single
Location
MASONRY/STONE CONTRACTOR
Raleigh
27615
WAKE
(919)850-2529
$1,147,000
200
Headquarters
RET CONCESSIONS AND SOUVENIRS
Raleigh
27610
WAKE
(919)231-6067
$1,300,000
125
Single
Location
BUILDING MAINTENANCE SERVICES
Raleigh
27607
WAKE
(919)873-1200
$1,457,000
150
Headquarters
SECURITY CONTROL EQUIPMENT AND
SYSTEMS
Raleigh
27601
WAKE
(919)832-5526
$1,500,000
70
Single
Location
EATING PLACE
Single
Location
ASSEMBLY OF GOD CHURCH
Headquarters
FAMILY RESTAURANTS
Single
Location
HOME HEALTH CARE SERVICES
EMPLOYMENT AGENCY
Bait Shop, Inc
Mijaco Inc
United Security
Service Corp
Capital City Club
Inc
Christian Raleigh
Community
7221 Becky
Cir
1300
Corporation
Pkwy
2610
WYCLIFF
RD STE 101
411
Fayetteville
Street M
Fat Daddy's Market
& Grill
7000 Destiny
Dr
6201
Glenwood
Ave
I Am Unique,
Special Care
3211 Bramer
Dr Ste F
Raleigh
27604
WAKE
(919)266-7000
$1,500,000
75
Raleigh
27612
WAKE
(919)787-3773
$1,500,000
150
Raleigh
27604
WAKE
(919)981-0790
$1,500,000
65
EATING PLACE
EATING PLACE
CIVIC/SOCIAL ASSOCIATION
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 57
Select Security
Services Inc
4805 Green
Rd Ste 110
Word of God
Fellowship
3000 Rock
Quarry Rd
Raleigh
27610
WAKE
(919)834-1141
$1,500,000
Growing Child Inc
321 Spring
Forest Rd
Raleigh
27609
WAKE
(919)870-1704
Southlight, Inc
2500 Blue
Ridge Rd
Raleigh
27607
WAKE
Womans Club
Reception Facility
2400 E
Millbrook Rd
Raleigh
27604
Raleigh
Jonquil Inc
214 E Martin
St
861 W
Morgan St
Bn Healthcare LLC
152 Wind
Chime CT
Greenshields Inc
North Hills Cleaners
& Laundry
Raleigh
27616
WAKE
(919)872-2050
$1,500,000
100
Headquarters
WHOL ELECTRICAL EQUIPMENT
75
Single
Location
RELIGIOUS ORGANIZATION
ELEMENTARY/SECONDARY SCHOOL
CHILD DAY CARE SERVICES RET BOOKS
$1,600,000
80
Headquarters
CHILD-DEVELOPMENT CENTER
(919)787-6131
$1,700,000
70
Headquarters
DRUG TREATMENT & REHABILITATION
WAKE
(919)872-2100
$1,700,000
76
Headquarters
CATERERS
27601
WAKE
(919)829-0214
$1,800,000
80
EATING PLACE MFG MALT BEVERAGES
DRINKING PLACE
Raleigh
27603
WAKE
(919)832-2752
$1,800,000
100
Single
Location
Single
Location
Raleigh
27615
WAKE
(919)676-8441
$1,900,000
85
Headquarters
SKILLED NURSING CARE FACILITY AND
REHABILITATION CENTER
DRYCLEANING PLANT GARMENT
PRESS/CLEANER'S AGENT POWER
LAUNDRY
RESTAURANT & TAVERN
Diverse Home
Health Services
4441 Six
Forks Rd
2925
Huntleigh Dr
Ste 204
401 Daniels
St
900 S
Wilmington
St
Edenton St Untd
Methdst Church
228 W
Edenton St
Raleigh
27603
WAKE
(919)832-7535
$2,100,000
75
Headquarters
METHODIST CHURCH/CHILD DAYCARE
SERVICE
R K R B Inc
Trade Staff & Co
1100 Logger
CT Ste A103
625 Hutton St
Raleigh
Raleigh
27609
27606
WAKE
WAKE
(919)790-8570
(919)755-9640
$2,100,000
$2,100,000
80
85
Headquarters
Single
FAST FOOD RESTAURANT
HELP SUPPLY SERVICES
M & K Farms LLC
Cafe Carolina
Bakery
Raleigh
27609
WAKE
(919)787-1125
$2,000,000
90
Single
Location
Raleigh
27604
WAKE
(919)876-5935
$2,013,000
80
Single
Location
PRODUCE FARM
Raleigh
27605
WAKE
(919)832-0490
$2,100,000
80
Headquarters
CAFE BAKERY
Raleigh
27601
WAKE
(919)754-1234
$2,100,000
104
Single
Location
HOME HEALTH CARE SERVICES
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 58
University Dining
Hall
Ste 106
Ncsu Sullivan
Dr
Raleigh
27695
WAKE
(919)515-2806
$2,100,000
100
First Free Will
Baptist Church
2110 Trawick
Rd
Raleigh
27604
WAKE
(919)872-2215
$2,200,000
80
Fonville Mrsey Bldr
Mktg Group
1000 Saint
Albans Dr
Raleigh
27609
WAKE
(919)781-7074
$2,200,000
Longistics Staffing
Inc
10900 World
Trade Blvd
Raleigh
27617
WAKE
(919)872-2167
Mitchell's Catering
& Events
1732 Capital
Blvd
Raleigh
27604
WAKE
Britthaven of
Raleigh Inc
Catering Works,
Inc.
3609 Bond St
905 Tryon
Hill Dr 106
Raleigh
27604
Raleigh
Five Eighteen West
Itln Cafe
518 W Jones
St
Order of White
Shrine Jersalum
2201
Lakeshore Dr
911
Paverstone
Dr Ste A
Pittman Ammons
Inc
Cardinal
Management Co,
Inc
Carolina Hurricanes
Hockey CLB
Howard Perry &
Walston Realty
3424 Poole
Rd
1400
Edwards Mill
Rd
New Irish
Hospitality Corp
4112 Blue
Ridge Rd
3700
Computer Dr
Ste 350
Pmsi Profession
Mail Services
5608 Spring
CT
Location
Single
Location
EATING PLACE
Headquarters
BAPTIST CHURCH AND SCHOOL
100
Single
Location
NEW HOMES SALES AND MARKETING
$2,200,000
115
Single
Location
HELP SUPPLY SERVICES EMPLOYMENT
AGENCY
(919)847-0135
$2,300,000
110
Single
Location
EATING PLACE RET MISC FOODS
WAKE
(919)231-8113
$2,400,000
120
27603
WAKE
(919)828-5932
$2,500,000
130
Single
Location
Single
Location
Raleigh
27603
WAKE
(919)829-2518
$2,500,000
90
Single
Location
EATING PLACE DRINKING PLACE
Raleigh
27604
WAKE
(919)872-5238
$2,500,000
170
Headquarters
CIVIC/SOCIAL ASSOCIATION
Raleigh
27615
WAKE
(919)847-5555
$2,500,000
100
Headquarters
REAL ESTATE BROKER & AGENTS
Raleigh
27610
WAKE
(919)250-0072
$2,600,000
100
Headquarters
FAST FOOD RESTAURANT
Single
Location
MEMBERSHIP SPORT/RECREATION
CLUB SPORTS
CLUB/MANAGER/PROMOTER
SKILLED CARE NURSING HOME
CATERER
Raleigh
27607
WAKE
(919)467-7825
$2,600,000
90
Raleigh
27612
WAKE
(919)782-5600
$2,600,000
105
Headquarters
REAL ESTATE AGENT/MANAGER
Raleigh
27609
WAKE
(919)420-7363
$2,600,000
100
Headquarters
EATING PLACE
Single
Location
DIRECT MAIL ADVERTISING SERVICES
Raleigh
27616
WAKE
(919)876-9651
$2,600,000
75
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 59
Douglas Carroll
Salon Inc
6325 Falls of
Neuse Rd
Raleigh
27615
WAKE
(919)876-5411
$2,700,000
157
Headquarters
BEAUTY SHOP
Housing Authority
of The City
900 Haynes
St
Raleigh
27604
WAKE
(919)831-8300
$2,700,000
130
Single
Location
REAL ESTATE AGENT/MANAGER
INDIVIDUAL/FAMILY SERVICES
Raleigh Brewing
Ventures LLC
505 W Jones
St
Raleigh
27603
WAKE
(919)832-4604
$2,700,000
120
Single
Location
EATING AND DRINKING PLACE
Young Womens
Christian Assn of
1012 Oberlin
Rd
Raleigh
27605
WAKE
(919)833-3883
$2,777,000
95
Headquarters
CIVIC/SOCIAL ASSOCIATION
INDIVIDUAL/FAMILY SERVICES
Coldwell Banker
Advantage
4224 Six
Forks Rd
3724
National Dr
Ste 109
6020
Creedmoor
Rd
Consolidated
Roofing Systems,
Mayview
Convalescent Home
Inc
4600 Marriott
Dr Ste 420
513 E
Whitaker
Mill Rd
P & R Marketing
Group of NC
2409
Crabtree Blvd
Pool Prfssnals of
The Crolinas
5849 Lease
Ln
739 Chappell
Dr
P F Properties LLC
National Emergency
Services,
TLC Operations Inc
Wake Co Public
Safety
Wcob FL 14
Raleigh
27609
WAKE
(919)787-2662
$2,800,000
95
Headquarters
REAL ESTATE SALES & MANAGEMENT
COMMERCIAL PROPERTY OPERATOR &
CONTRACTOR & DEVELOPER
Raleigh
27612
WAKE
(919)510-5500
$2,900,000
180
Headquarters
MEDICAL PERSONNEL STAFFING
Raleigh
27612
WAKE
(919)783-6066
$3,000,000
100
Headquarters
REAL ESTATE BROKERS
Raleigh
27612
WAKE
(919)881-0330
$3,000,000
100
Single
Location
ROOFING/SIDING CONTRACTOR
CARPENTRY CONTRACTOR
Raleigh
27608
WAKE
(919)828-2348
$3,000,000
165
Single
Location
SKILLED NURSING HOME
Raleigh
27604
WAKE
(919)832-3199
$3,000,000
140
Headquarters
RET USED MERCHANDISE
Raleigh
27617
WAKE
(336)760-4002
$3,000,000
200
Raleigh
27606
WAKE
(919)832-3909
$3,000,000
120
Headquarters
Single
Location
100
Single
Location
Raleigh
27602
WAKE
(919)856-6996
$3,000,000
RET MISC MERCHANDISE TRADE
CONTRACTOR
SOCIAL SERVICES
LOCAL PASSENGER TRANSPORTATION
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 60
Hillside Nursing
Center of Wak
Nomaco K-Flex
LLC
968 Wait Ave
Wake Forest
27587
WAKE
(919)556-4082
$2,800,000
130
501 Nmc Dr
Zebulon
27597
WAKE
(919)269-6500
$2,500,000
100
Single
Location
Single
Location
NURSING HOME
RUBBER EXTRUSION
Additional target companies are available in the CD accompanying this document.
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 61
EXHIBIT 3: Survey Results – Videos for Actors
Please reference Excel file Actors Reels Survey.xls on the accompanying CD
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 62
EXHIBIT 4: Survey Results – School Videos
Please reference Excel file School Videos Survey.xls on the accompanying CD
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 63
EXHIBIT 5: Contact List – Local Schools
Please reference Excel file School List.xls on the accompanying CD
Small Business Consulting Project - Duke University, Fuqua School of Business
Copyright © 2004
Page 64