Executive Summary
GrowthLink is an investment consulting firm that has an explicit focus on providing a wide range of financial advisory services in hundreds of industries.
Our experienced team and technologically advanced asset management tools have allowed us to diversify the investment portfolios of our clients, most of whom are individuals with disposable incomes.
GrowthLink’s approach to investments is simple yet effective. It's based on Charlie Munger’s famous quote, ‘All intelligent investing is value investing - acquiring more than you are paying for.’
Our highly trained and competent team has helped drive exceptional levels of customer satisfaction through their extensive knowledge in their respective areas of expertise.
A passion for making our clients wealthier consistently has helped us establish ourselves in this competitive industry.
We're not only encouraged by the money we've managed to make for our clients. We've been able to do quite well for ourselves as well. In the last year, we've managed to generate $3,200,000.
Our sales forecasts suggest that this figure will grow by at least 8,5% over the next 6 years. We've attributed this to a 17% increase in customer inquiries and the recruitment of more talented investment consultants.
An investment of $2,000,000 will allow us to reach a global audience and open a third office in Dallas, Texas. These ambitions will make us more of an authority in the industry.
GrowthLink Advisory is seeking $200,000 in start-up or growth capital to fund operations, marketing, and staffing in the first 12 months.
Financial highlights:
| Metric | Year 1 | Year 2 | Year 3 |
|---|---|---|---|
| Revenue | $380,000 | $640,000 | $980,000 |
| Gross margin | 78% | 78% | 78% |
| Net profit / (loss) | $97,000 | $194,400 | $324,800 |
Company Overview
GrowthLink Advisory is a investment consulting & financial advisory firm founded by Marcus Greene, operating as a LLC. Headquartered in New York, New York, USA, GrowthLink Advisory was established to serve the growing demand for specialist services in this sector.
Mission: To deliver exceptional value to our customers through expertise, reliability, and a commitment to continuous improvement.
Business objectives:
| Period | Target |
|---|---|
| Year 1 | Establish brand, acquire initial client base, achieve operational break-even |
| Year 2 | Expand service offering, grow revenue by 50%, hire additional staff |
| Year 3 | Establish market position, target new geographic or demographic segments |
GrowthLink was founded by Valerie Sweeney and Ian Lottering in 2014. The company was founded as an LLC in Arlington, Texas. GrowthLink opened its second office in Chicago, Illinois. Ironically, both our offices are located in the top 10 financial capitals in the USA.
Valerie and Ian are both business experts with complementary skill sets and decades of experience in the industry. Valerie and Ian are the CEO and CFO of the company respectively.
Valerie has worked for arguably two of the very best financial institutions on the globe; Barclays and HSBC. Whereas Ian served as the CFO of IBM for 13 years. They shared ideas about how to capitalize on the various opportunities that exist in the market when they met at a corporate function.
Since then, the pair have built a business that prides itself on its strong ethics, accountability, and attention to detail. GrowthLink’s mission is to simplify investments through innovation. This ethos has led to the company being mentioned in various publications such as Entrepreneur Magazine, Gazette, MoneyMag, and more.
Market & Customer Analysis
The investment consulting industry is worth approximately $195 billion and is expected to reach $290 billion over the next 9 years. This indicates a growth rate of over 4,5%.
It's undeniable that the market is brimming with opportunity. We've experienced the evolution of the industry and have identified key trends that will further increase our market share. For instance, the COVID-19 pandemic opened us up to the idea of remote investment consulting.
This has been advantageous in various ways. We've drastically reduced office utility expenses, accessed an international talent pool, and entered new markets that are generally untapped in the US.
The power of Artificial Intelligence has also opened a world of opportunity for GrowthLink that we intend to take advantage of.
We'll be well-positioned to dominate our competition as we integrate digital transformation into our strategy. GrowthLink's early adoption of technological advancements has already demonstrated the intent to grow our clients’ net worths.
Many of our customers are purpose-driven. Meaning they're not only looking to benefit from their investments fiscally but also make a difference in some way. Be it social, environmental, or political. Catering to this growing investment consulting trend will further cultivate growth for GrowthLink.
Customer analysis:
Individuals who have an income of over $40,000 per annum make up over 85% of our customer base. They're typically between 32 to 78 years old and live in the US, UK, China, and Australia. However, our global reach is expanding as we’ve recently adopted a remote investment consulting module.
This customer segment has a vested interest in expanding their net worth for various reasons.
The leading motivation for their investments is retirement. Given the uncertainty of the economy in years to come, more and more individuals are looking to reputable investment consulting firms for an added sense of security. Like most people, they're also looking for solutions to secure their financial freedom and pursue their desired lifestyles.
We've gained the trust of our customers by earning a commission based on the profits our investments yield. This has helped us retain 61,4% of our customers since we opened our doors. That being said, the lifetime value of our clientele is considerably healthy.
To ensure that we're not only meeting the needs of our customers but exceeding them, we often conduct surveys and polls both on social media and via email. This has helped us make much-needed alterations to our overall business approach whilst validating the aspects of our business that we've executed correctly.
Competitor analysis:
| Competitor | Strengths | Weaknesses |
|---|---|---|
| Vanguard | Established brand, wide reach | Higher price point, less personalised |
| Fidelity Investments | Strong marketing, national presence | Generic offering, less specialist focus |
| Charles Schwab | Competitive pricing | Lower service quality, limited expertise |
Investment Consulting & Financial Advisory Firm's competitive edge: Specialist expertise, personalised service, and a clear focus on the underserved segment of the market set us apart from the established players listed above.
SWOT analysis:
| Positive | Negative | |
|---|---|---|
| Internal | Strengths: Specialist expertise; experienced founder; strong client relationships; differentiated positioning | Weaknesses: Limited brand recognition as a new entrant; single location; reliance on founder capacity in early years |
| External | Opportunities: Growing market demand; underserved niche segments; digital marketing reach; referral network growth | Threats: Established competitors with greater resources; economic downturn reducing discretionary spend; regulatory changes |
Sales & Marketing Plan
Our sales performance is highly reliant on the output of our sales team. Their ability to convert hot leads into paying customers consistently is the lifeblood of our business. This is why we implemented a generous commission and incentive program to motivate them.
To complement their hard work, we have a ‘first-time investor’ promotion to attract new clients who may have taken their business elsewhere. This promotion offers potential customers 25% off their monthly fees for 6 months.
Since we implemented this enticing sales tactic, inquiries have increased by an impressive 72%, with 44% of those inquiries resulting in sales.
GrowthLink is embracing technology. To ensure we attract and retain our clientele, we've integrated an advanced chatbot that can address the vast majority of customer inquiries.
We also have a customer service team in place to help us address complex inquiries as well as customer complaints.
Our website has been a powerful tool when it comes to the acquisition of customers. It acts as a sales funnel that clearly explains our investment consulting services and estimates the ROI they can expect.
Our sales forecasts suggest that we'll achieve a growth of 3,7% YoY, which reflects the projected growth of the industry in general.
Additional marketing notes:
Just about every investment consulting business advertises its services on social media, as they should. However, we've opted to make use of traditional marketing to help us portray ourselves as a serious business with serious results.
To reach a global audience, we regularly advertise in publications such as Time Magazine, The Economist, The Wall Street Journal, and Investor’s Business Daily, to name a few.
Of the customers who have signed up for GrowthLink, 58% of them disclosed that they first heard about us in a publication.
This comes as no surprise, as the readers of these publications are highly likely to be interested in investing.
Our digital marketing efforts have attracted younger, more tech-savvy clients. We have a talented and highly qualified social media manager in our ranks to ensure that we're ahead of the curve when it comes to creating engaging and meaningful content. Since hiring her, our follower count has grown by almost 23,000.
The social media ads that we've created have had a particularly high ROI, 17% of our ads have resulted in a sale. Partnering with popular finance influencers has also helped us build upon our healthy following and authoritative status.
We've worked with online personalities such as Haley Sacks, Chris Ortega, Dave Ramsey, and Rachel Cruze. They have over 7 million followers combined across all platforms.
By continuously auditing the results of our marketing efforts, we'll be able to retain our relevance both online and offline.
Operating Plan
Personnel Role Task Franklin Bonds Financial Planner
- Working closely with our clientele to develop financial plans for their various financial needs Elliott Murray Admin Clerk
- Ensuring that all paperwork is safely stored
- Scheduling and following up on meetings for the executive team Faith Gibbon Compliance Officer
- Ensuring GrowthLink meets investment consulting regulation standards at all times Alexis Lian CRM (Client Relationship Manager)
- Addressing the needs of clientele whilst nurturing the company's relationship with them Jobe Rice Advisor
- Developing personalized investment strategies
- Overlooking the management of client portfolios Declan Bellingham Cleaner
- Ensuring our office space is clean at all times Andrea Kovacic Systems Administrator
- Ensuring that GrowthLink's data, tech infrastructure, and digital security are up to par
Management Team
CEO: Valerie Sweeney
Valerie Sweeney is the CEO and co-founder of GrowthLink. Her many years working for HSBC and Barclays have provided GrowthLink with the foundation needed to run a mega-successful investment consulting firm. Her leadership qualities and ability to build relationships with key stakeholders have fortified GrowthLink and positioned us for global success.
CFO: Ian Lottering
Ian Lottering is responsible for overlooking the financial health of the business. His experience in the finance industry has helped propel GrowthLink to great heights. Having co-founded the business, he's well aware of our fiscal aspirations. Ian continuously develops strategies to ensure we realize them. He was also an alumnus of the University of Texas.
CMO: Charles Vaughn
Charles Vaughn is the spearhead of our advertising initiatives. Beyond his media studies from the prestigious Harvard University, Charles has a natural talent for copywriting and photography, both skills that are highly necessary when it comes to marketing.
CIO: Bailey Connor
Bailey Conor works hand in hand with Ian Conor to organize our budget allocation, risk management, and overall investment strategy. Bailey studied business management at Yale.
HR: David Heskey
David Heskey has been recruiting some of the very best talent in the industry for just under a decade. As the third longest-serving member of our team, David knows exactly what's required to meet our high standards. However, he's also exceptionally keen to help individuals on all levels of our business grow and achieve their professional goals. Heskey holds a diploma in HR from Princeton University.
Head of Business Development: Denise Williams
Denise Williams worked her way up from a sales agent to a bonafide business development pro. With the support of our CMO and co-founder, she's excelled at attracting and retaining our clientele whilst helping us increase our market share.
Financial Plan
Projected Profit or Loss Statement
Year 1 Year 2 Year 3 Sales $90,000 $170,000 $300,000 Direct Cost of Sales $20,500 $30,000 $82,000 Production Payroll $0 $0 $0 Other $0 $0 $0 Total Cost of Sales $20,500 $30,000 $82,000 Gross Margin $69,500 $140,000 $218,000 Gross Margin % 77% 82% 73% Operating Expenses
Sales and Marketing Expenses
Sales and Marketing Payroll $20,000 $40,000 $40,000 Advertising/Promotion $800 $1,000 $1,000 Travel $0 $0 $0 Miscellaneous $500 $500 $500 Total Sales and Marketing Expenses $21,300 $41,500 $41,500 General and Administrative Expenses
General and Administrative Payroll $20,000 $40,250 $100,250 Sales and Marketing and Other Expenses $0 $0 $0 Depreciation $1,000 $1,000 $1,000 Dues and Subscriptions $200 $200 $200 Professional Fees $300 $300 $300 Rent $2,000 $2,000 $2,000 Software Purchases $0 $15,000 $0 Insurance $2,000 $2,000 $2,000 Telephone and Internet Access $2,000 $2,000 $2,000 Utilities $400 $400 $400 Miscellaneous $0 $0 $0 Payroll Taxes $500 $1,200 $3,000 Other General and Administrative Expenses $0 $0 $0 Total General and Administrative Expenses $28,400 $64,350 $111,150 Other Expenses:
Other Payroll $0 $0 $0 Consultants $0 $0 $0 Contract/Consultants $0 $0 $0 Total Other Expenses $0 $0 $0 Total Operating Expenses $28,400 $64,350 $111,150 Profit Before Interest and Taxes $19,800 $102,840 $225,410 EBITDA $19,800 $103,860 $226,430 Interest Expense $800 $3,632 $2,957 Taxes Incurred $0 $24,802 $56,540 Net Profit $19,000 $34,150 $65,350 Net Profit/Sales 21% 20% 22%
Projected Cash Flow Statement Cash Received Year 1 Year 2 Year 3 Cash from Operations
Cash Sales $90,000 $170,000 $300,000 Cash from Receivables $0 $0 $0 Subtotal Cash from Operations $90,000 $170,000 $300,00 Additional Cash Received
Sales Tax, VAT, HST/GST Received $0 $0 $0 New Current Borrowing $20,000 $0 $0 New Other Liabilities (interest-free) $0 $0 $0 New Long-term Liabilities $0 $0 $0 Sales of Other Current Assets $0 $0 $0 Sales of Long-term Assets $0 $0 $0 New Investment Received $0 $0 $0 Subtotal Cash Received $110,000 $170,000 $300,000 Expenditures
Expenditures from Operations
Subtotal Spent on Operations $48,900 $94,350 $111,150 Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out $800 $0 $0 Principal Repayment of Current Borrowing $10,000 $10,000 $0 Other Liabilities Principal Repayment $0 $0 $0 Long-term Liabilities Principal Repayment $0 $0 $0 Purchase Other Current Assets $0 $0 $0 Purchase Long-term Assets $0 $0 $0 Dividends $0 $0 $0 Subtotal Cash Spent $59,700 $104,350 $193,150 Net Cash Flow $50,300 $65,650 $106,850 Cash Balance $19,000 $34,150 $65,350 Projected Balance Sheet Assets Year 1 Year 2 Year 3 Current Assets
Cash $90,000 $170,000 $300,000 Accounts Receivable $0 $0 $0 Other Current Assets $0 $0 $0 Total Current Assets $90,000 $170,000 $300,000 Long-term Assets $10,000 $9,000 $8,000 Accumulated Depreciation $1,000 $1,000 $1,000 Total Long-term Assets ($1,000) ($1,000) ($1,000) Total Assets $100,000 $179,000 $308,00 Liabilities and Capital
Current Liabilities
Accounts Payable $0 $0 $0 Current Borrowing $20,000 $10,000 $0 Other Current Liabilities $0 $0 $0 Subtotal Current Liabilities $20,000 $10,000 $0 Long-term Liabilities $0 $0 $0 Total Liabilities $20,000 $10,000 $0 Paid-in Capital $30,000 $30,000 $30,000 Retained Earnings ($20,000) ($30,000) $41,000 Earnings ($12,000) $44,000 $160,000 Total Capital ($2,000) $44,000 $231,000 Total Liabilities and Capital $18,000 $54,000 $231,000 Net Worth $80,000 $169,00 $308,000
Wrapping up the Investment Consulting Business Plan As Benjamin Franklin once said, ‘An investment in knowledge pays the best interest.’
We trust that you've learned quite a bit about how to thrive in this competitive industry. Now it's time to put your money where your mouth is.
Granted, a business plan will guide you through the many twists and turns you'll come across in the investment consulting market. However, the implementation of your various strategies is where the gold lies.
Your business plan will never be truly complete, you'll need to rework it as market conditions and customer preferences change.
3-year profit & loss projection:
| Year 1 | Year 2 | Year 3 | |
|---|---|---|---|
| Revenue | $380,000 | $640,000 | $980,000 |
| Compliance, regulatory and advisory costs | $83,600 | $140,800 | $215,600 |
| Gross profit | $296,400 | $499,200 | $764,400 |
| Gross margin | 78% | 78% | 78% |
| Salaries and wages | $106,400 | $179,200 | $274,400 |
| Marketing and advertising | $34,200 | $57,600 | $88,200 |
| Rent and utilities | $36,000 | $36,000 | $37,800 |
| Other operating costs | $22,800 | $32,000 | $39,200 |
| Total operating expenses | $199,400 | $304,800 | $439,600 |
| Net profit / (loss) | $97,000 | $194,400 | $324,800 |
Break-even analysis:
- Estimated monthly fixed costs: $16,600
- Monthly revenue required to break even: $21,300
- Break-even is projected to be reached within the first 12–18 months of trading.