Home > Sample Business Plans > VeriType

VeriType
Exit Strategy

VeriType envisions steady growth over the next five years as it continues to introduce new modules for different medical subspecialties. By the end of year three, VeriType plans to have developed modules for each specialty where interactive document verification is an appropriate solution to the current medical billing and compliance crisis. As the company grows, investors will make a return on their investment when VeriType goes public in five to seven years.

MILESTONES
The completion of VeriType's cardiology module is the first major milestone. We anticipate a development time of approximately one year for the first module. After the development of the cardiology module, VeriType will be able to build on the existing software architecture. It will develop modules for other subspecialties and practices to be launched in three-month intervals from the date of the Cardiology launch. VeriType will be able to leverage most of the source code and logic from the Cardiology module in developing subsequent modules. Developers will make changes in terminology, diagnoses and logical flow required for each medical specialty module. Once a full development cycle has been completed for each targeted specialty area, the firm will focus on upgrades and improvements to its software. VeriType will also research other applications of the verification algorithm, such as government use and new target specialties.

VeriType intends to expand its development team and its software support team in the second year of operations. Marketing and sales expenditures will grow as more modules come on line. Different sales skills will be required for each of the subspecialties. VeriType will also focus on developing its customer support options, such as downloadable patches from the Internet and an interactive Knowledge Base for technical assistance.

TARGETS
VeriType is targeting 2% of the physician's practicing in each subspecialty for which it develops a verification module. VeriType is also expecting that 50% of its customers will purchase education and training for the software, which is an additional source of revenue for the company. Reaching this target, VeriType predicts annual revenues by the end of the third year of over $15 million with a net income of $6 million.

RISKS
VeriType faces five areas of risk.

DEVELOPMENT STRATEGY
VeriType sees continued growth in the individual physician market over the next three to five years. The company will operate in new markets by license its technology to large electronic medical records or enterprise resource planning firms. As the company grows, investors will make a return on their investment when VeriType goes public.


VeriType
Table of ContentsAppendices
1. Executive Summary
2. Company Description
3. Industry Analysis
4. Target Market
5. Competition
6. Marketing and Sales Strategy
7. Operations
8. Management
9. Exit Strategy
10. Financial Projections
Organization Chart
Income Statement
Balance Sheet
Summary of Cash Flow
Sales Forecast & Revenues
Marketing Support Costs
Personnel Costs
Cost of Goods Sold
Property & Depreciation
Capital & Debt
All information herein is confidential and belongs to VeriType