Are you about starting a fire equipment business? If YES, here is a complete sample fire protection equipment business plan template & feasibility report you can use for FREE. Okay, so we have considered all the requirements for starting a fire protection equipment business.
We also took it further by analyzing and drafting a sample fire protection equipment business marketing plan template backed up by actionable guerrilla marketing ideas for fire protection equipment businesses. So let’s proceed to the business planning section.
Table of Content
- 2. Executive Summary
- 5. Job Roles and Responsibilities
- 6. SWOT Analysis
- 7. MARKET ANALYSIS
- 13. Startup Expenditure (Budget)
Why Start a Fire Protection Equipment Business?
Fire outbreak is usually prevented in the environment with the aid of fire equipment that have been installed in strategic positions around, hence starting a fire protection equipment installation business is just the way to go. Good enough, it is a business that is open to all and sundry as long as you have the skills.
In the united states of America, you will notice that a good percentage of banks, homes, offices, public facilities and government facilities have fire protection equipment installed in strategic positions, and it is sometimes made compulsory.
This goes to show that there is indeed a large market for fire protection equipment installation business. Despite the fact that fire protection equipment installation is a technical business, that does not in any way rule out the fact that an entrepreneur with zero technical skills can learn the trade within few months if they are smart.
It is important to state that before launching any business, the rule of thumb is that you should ensure that you carry out your due diligence as it relates to market research, economic and cost analysis and of course feasibility studies. If you get things right before launching your business, it will not take you long before you secure enough clients that can give you leverage in the industry.
Below is a sample fire protection equipment business plan template that can help you to successfully write your own with little or no difficulty.
A Sample Fire Protection Equipment Business Plan Template
1. Industry Overview
Fire protection equipment business is under the fire safety industry and players in this industry are involved in the manufacturing and installation of fire safety equipment or devices such as fire alarm, sprinklers, fire blanket, fire signage, fire hose reels, fire extinguisher, firewalls and fire rated floor assemblies to form fire compartments intended to limit the spread of fire, high temperatures, and smoke.
In recent time, the industry has grown largely due to rising residential and commercial construction activity, which bolstered demand for new fire prevention equipment installations. Acquisitions among major industry players have been common during the period. Even with these consolidations, the popularity of value-added offerings helped boost industry demand.
Going forward, small-business growth and increased disposable income levels will contribute to rising industry demand. So also, the growing acceptance of fire prevention equipment as a means of preventing the outbreak of fire and new technologies will continue to drive industry revenue expansion in the residential market.
Statistics shows that the global fire safety equipment market size was estimated at USD 27.04 billion in 2016, growing at a CAGR of 8.5 percent during forecast period. Conducive government regulations impeding the usage of these devices are projected to fuel demand in the next seven years.
The market is saturated in nature owing to the presence of numerous ongoing projects and mandatory applications across the industrial and commercial sector. United Technologies Corporation (UTC), Halma PLC, Gentex Corporation, Johnson Controls, Honeywell International, Inc., Siemens AG, RobertBosch GMBH, and TYCO are the organizations with the lion share of the market.
A number of countries such as the U.S, South Korea, Australia, and China have made it compulsory to have flame safety equipment on every premises and also offer training programs and courses for better performance. For instance, Canadian oil & gas industry recognizes that the workers should have completed their safety orientation programs and are aware of all the safety parameters across the industry.
Some of the factors that encourage entrepreneurs to start their own fire prevention equipment installation company could be that the business is a highly profitable and it can be started with minimal capital and employees. The fire safety industry is highly regulated in the United States of America and anyone who aspires to start a fire prevention equipment installation company must apply and obtain a license before they can legally operate in the industry.
The fact that fire prevention is of great importance not only to the government, but individuals and business owners, those in this line of business will always be busy and if you are able to build a successful brand; a brand that can be easily trusted, then you are sure going to maximize profits in this industry.
2. Executive Summary
Fire Buster® Fire Prevention Equipment, Inc. is a licensed and registered Fire prevention equipment installation company that will be located in the heart of Monmouth Ocean, New Jersey – United States of America and we are set to service private and public clients throughout Monmouth Ocean and beyond.
We are well trained and equipped to carry out standard fire prevention equipment installation, maintenance and monitoring for our clients. Even though our intention of starting Fire Buster® Fire Prevention Equipment, Inc. is to offer only the above stated services, but we will not close our doors to diversification (additional fire prevention equipment related services) as long as it does not affect our core services.
We are quite optimistic that our values and quality of service offering will help us drive Fire Buster® Fire Prevention Equipment, Inc. to enviable heights and also help us attract the number of clients that will make the business highly profitable. We will be dedicated to establishing good business relationships with our clients by giving them value for their money and reasons for them to hire our services over and over again.
We are open to the use of latest technology in the fire safety industry. No doubt our excellent customer service and the quality of services we offer will position us to always welcome repeated customers and handle massive deals from both government agencies and corporate organizations.
Our client’s best interest will always come first, and everything we do will be guided by our values and professional ethics. We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.
Fire Buster® Fire Prevention Equipment, Inc. is owned and managed by Carl Carlton and his friend and business partner Max Osborne. They both graduated from Illinois Institute of Technology and they are equipped with the required qualifications and experience to grow Fire Buster® Fire Prevention Equipment, Inc. to favorably compete with leaders in the fire safety industry in the United States of America.
- Our Service Offerings
Fire Buster® Fire Prevention Equipment, Inc. is a standard fire prevention equipment installation service company that offers basic services such as the sales of fire prevention equipment, the installation of fire prevention devices, servicing and maintenance of fire prevention equipment, monitoring services and other related fire safety training, advisory and consultancy services.
We are in the fire prevention equipment installation services to make profit and favorable compete with leaders in the industry and we are going to do all that is permitted by the law of the United States of America to achieve our business aims and ambition.
4. Our Mission and Vision Statement
- Our vision is to become the number one fire prevention equipment installation company in the whole of Monmouth Ocean – New Jersey with active presence in major cities in the United States of America.
- Our mission as a fire prevention equipment installation company is to develop a highly successful, profitable business which provides quality fire prevention equipment installation services in our city and to become the standard for an ideal fire prevention equipment installation business in the State of New Jersey.
Our Business Structure
We are quite aware that the success of any business lies in the foundation on which the business is built on, which is why we have decided to build our fire prevention equipment installation services company on the right business foundation.
We want to build a business of dedicated workforce who will go all the way to ensure that our customers are satisfied and they get value for their money. We aware that it takes a business with the right employees and structure to achieve all what we have set to achieve, which is why will be putting structures and processes in place that will help us deliver excellent services and run the business on auto pilot.
With the wide range of our service offerings, we are only expected to employ more than it is required to run a conventional Fire prevention equipment installation company. Fire Buster® Fire Prevention Equipment, Inc. will employ professionals and skilled people to occupy the following positions;
- Chief Executive Officer
- Fire prevention equipment Installation and Repair Engineers / Technicians
- Admin and HR Manager
- Marketing and Sales Executive
- Customer Care Executive/Front Desk Officer
5. Job Roles and Responsibilities
Chief Executive Office:
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results
- Responsible for fixing prices and signing business deals
- Responsible for providing direction for the business
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
Fire prevention equipment Installation and Repair Engineers/Technicians
- Responsible for installation, repair and maintenance of fire prevention equipment (fire safety equipment or devices such as fire alarm, sprinklers, fire blanket, fire signage, fire hose reels, fire extinguisher, firewalls and fire rated floor assemblies)
- Responsible for conducting fire prevention training, advisory and consultancy services
- Responsible for writing and presenting reports, proposals, applications and contracts
- In charge of choosing the fire prevention equipment specs, components and software to be used and specifying the requirements for the project
- Adapting plans according to circumstances and resolving any problems that may arise during fire prevention equipment installation and monitoring
- Responsible for making sure the project is running according to schedule and budget
- Plays a part in project and team management
Admin and HR Manager
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization
- Design job descriptions with KPI to drive performance management for clients
- Regularly hold meetings with key stakeholders to review the effectiveness of HR Policies, Procedures and Processes
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Defines job positions for recruitment and managing interviewing process
- Carrries out induction for new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Oversee the smooth running of the daily office activities.
Marketing and Sales Executive
- Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts
- Writes winning proposal documents, negotiate fees and rates in line with company policy
- Documents all customer contact and information
- Represents the company in strategic meetings
- Helps to increase sales and growth for the company
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Prepare the income statement and balance sheet using the trial balance and ledgers prepared by the bookkeeper.
- Provides managements with financial analyses, development budgets, and accounting reports
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting for one or more properties.
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensures compliance with taxation legislation
- Handles all financial transactions for the company
- Serves as internal auditor for the company
Client Service Executive/Front Desk Officer
- Welcomes guests and clients by greeting them in person or on the telephone; answering or directing inquiries.
- Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
- Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Consistently stays abreast of any new information on the company’s products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients
- Receives parcels/documents for the company
- Distribute mails in the organization
- Handles any other duties as assigned by the line manager
6. SWOT Analysis
Fire prevention equipment installation business is one of the many businesses that can easily generate sales with little stress as long as it is well positioned and equipped to carry out such services. We are building a standard fire prevention equipment installation services business with the plans to open centers and sell our franchise across the United States of America and Canada which is why we have decided to subject our business idea (company) to SWOT Analysis.
Ordinarily we can successfully run a normal fire prevention equipment installation services business without writing a detailed business plan, but because of the fact that we intend becoming of the leaders in the business we want to establish, we don’t have any option other than to follow due process.
We hired the services of Mr. Robin Douglas, a HR and Business consultant with bias in startups to help us conduct SWOT analysis for our company and he did a pretty job for us. Here is a of the result we got from the SWOT analysis that was conducted on behalf of Fire Buster® Fire Prevention Equipment, Inc.;
The strategic locations we intend covering, the Business model we will be operating on, ease of payment, wide range of fire prevention equipment and our excellent customer service culture will definitely count as a strong strength for Fire Buster® Fire Prevention Equipment, Inc. So also, we have a qualified team that can give our clients value for their money; a team that are trained and equipped to pay attention to details.
A major weakness that may count against us is the fact that we are a new fire prevention equipment installation company and it might take time for us to build a profile that can help us apply and win government contracts.
A rising US dollar has helped to make internationally manufactured goods cheaper, stimulating imports, regulations requiring extinguishers and other fire prevention equipment in buildings have helped support demand and as the industry invests in capital and productivity enhancements.
The fact that we are launching out in the heart of Monmouth Ocean, New Jersey, provides us with unlimited opportunities to sell our products and services to a large number of corporate organizations, government and households.
Just like any other business, one of the major threats that we are likely going to face is economic downturn. It is a fact that economic downturn affects purchasing/spending power. Another threat that may likely confront us is the arrival of a fire prevention equipment installation company. Government policies can also pose a major threat to businesses such as ours.
7. MARKET ANALYSIS
- Market Trends
The trend in this industry is that improvements such as water mist technology, hypoxic air technology, voice evacuation announcements, infrared/laser optical smoke detectors, and wireless alarm systems combined with increasing integration of fire protection across building management systems are estimated to drive the industry over the forecast period.
Likewise, sprinklers systems are installed in commercial areas, which are designed to discharge water over long periods of time. UL standards and test requirements for the safety equipment are developed in consideration with end-use products along with requirements described in the nationally recognized installation codes and standards.
Another trend is that the end-user located in technologically advanced regions such as Europe and North America have seen a steady demand over the past three years and is also projected to continue the similar growth trend. However, due to lack of stringency in regulation and high cost of equipment, developing regions are yet to witness the upsurge in demand.
Lastly, most fire prevention equipment installation services, in the bid to survive the recent global economic meltdown included additional services to their core service offerings. Some of these companies include services such as sale of Fire prevention equipment and offering training, advisory and consulting services.
It is much easier for fire prevention equipment installation companies to increase their revenues by diversifying as against increasing the scope of their market.
8. Our Target Market
Before choosing a location for our company, we conducted our feasibility studies and market survey and we were able to identify those who will benefit greatly from our service offerings. The demographic composition of those who need our services spreads across the public sector, the organized private sector, and households.
Below is a list of the people and organizations that our fire prevention equipment installation services is designed for;
- The public sector; government ministries, agencies and parastatals.
- Corporate organizations
- Shopping malls
- Stadiums and sport complexes
Our competitive advantage
Fire prevention equipment installation business is an easy to set up business especially if you are able to acquire the required training, startup capital and license. It means that the possibility of these businesses springing up in the location where our company is located is high. We aware of this which is why we decided to come up with a business concept that will position us to become the leader in Monmouth Ocean – New Jersey.
We can confidently say that our ability to accommodate environmental requirements, ability to educate the wider community and automation – reduces costs, particularly those associated with labor; the strategic locations we intend covering, the Business model we will be operating on, ease of payment, wide range of fire prevention equipment specs and our excellent customer service culture will definitely count as a strong competitive advantage for us.
So also, we have a well – experienced and qualified team that can give our clients value for their money. For the time being, Fire Buster® Fire Prevention Equipment, Inc. has no real competitors that can match the quality of services we offer.
Lastly, all our employees will be well taken care of, and their welfare package will be among the best within our category in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and objectives.
9. SALES AND MARKETING STRATEGY
- Marketing Strategy and Sales Strategy
The marketing strategy for Fire Buster® Fire Prevention Equipment, Inc. is going to be driven basically by excellent customer service, honesty and quality service delivery. We want to drive sales via the output of our jobs and via referral from our satisfied customers. We are quite aware of how satisfied customers drive business growth especially businesses like ours.
Our sales and marketing team will be recruited based on their vast experience in the industry and they will be trained on a regular basis so as to be equipped to meet their targets and the overall goal of Fire Buster® Fire Prevention Equipment, Inc.
Our goal is to grow Fire Buster® Fire Prevention Equipment, Inc. to become the leading fire prevention equipment installation company in Monmouth Ocean – New Jersey which is why we have mapped out strategies that will help us take advantage of the available market and grow to become a major force to reckon with in the fire safety industry.
Fire Buster® Fire Prevention Equipment, Inc. is set to make use of the following marketing and sales strategies to attract clients;
- Introduce our fire prevention equipment installation business by sending introductory letters alongside our brochure to corporate organizations, households and key stake holders in and around Monmouth Ocean – New Jersey
- Print out fliers and business cards and strategically drop them in offices, car parks, libraries, public facilities and train stations et al.
- Use friends and family to spread word about our business
- Post information about our company and the services we offer on bulletin boards in places like car parks, schools, libraries, and local coffee shops et al
- Place a small or classified advertisement in the newspaper, or local publication about our company and the services we offer
- Leverage on referral networks such as agencies that will attract clients who would need our services
- Advertise our fire prevention equipment installation services company in relevant automobile magazines, newspapers, TV, and radio stations.
- Attend relevant fire safety expos, seminars, and business fairs et al to market our services
- Engage in direct marketing approach
- Encourage the use of Word of mouth marketing from loyal and satisfied students
- Join local chambers of commerce and industry to market our product and services.
Sources of Income
Fire Buster® Fire Prevention Equipment, Inc. is established with the aim of maximizing profits and we are going to go ensure that we do all it takes to attract clients on a regular basis.
Fire Buster® Fire Prevention Equipment, Inc. is a standard fire prevention equipment installation services company that will generate income by offering basic services such as the sale and installation of fire prevention equipment devices, servicing and maintenance of these devices and other related training, advisory and consultancy services.
10. Sales Forecast
We are well positioned to take on the available market in Monmouth Ocean – New Jersey and we are quite optimistic that we will meet our set target of generating enough income/profits from the first six months of operation and grow our fire prevention equipment installation business and our clientele base.
We have been able to examine the fire prevention equipment installation services market, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. Below are the sales projection for Fire Buster® Fire Prevention Equipment, Inc., it is based on the location of our business and of course the wide range of related services that we will be offering;
- First Fiscal Year: $200,000
- Second Fiscal Year: $450,000
- Third Fiscal Year: $750,000
N.B: This projection was done based on what is obtainable in the fire safety industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.
11. Publicity and Advertising Strategy
Fire Buster® Fire Prevention Equipment, Inc. is set to establish a standard fire prevention equipment installation services in Monmouth Ocean – New Jersey and throughout the United States which is why we will adopt and apply best practices to promote our business. Good enough there is no hard and fast rule on how to advertise or promote this business.
The challenge is that most fire prevention equipment installation services companies do not have the required money to pump into publicity and advertising. The cash they have will be reserved to take care of overhead and operational cost.
Here are the platforms we intend leveraging on to promote and advertise Fire Buster® Fire Prevention Equipment, Inc.;
- Encourage our loyal customers to help us use Word of Mouth mode of advertisement (referrals)
- Advertise our fire prevention equipment installation business in relevant magazines, local newspaper, local TV and local radio station
- Promote our business online via our official website
- List our business on local directories (yellow pages)
- Sponsor relevant community programs
- Leverage on the internet and social media platforms like; Instagram, Facebook, twitter, et al to promote our brand
- Install our billboards in strategic locations in and around Monmouth Ocean – New Jersey
- Direct coupon mailing approach
- Distribute our fliers and handbills in target areas in and around Monmouth Ocean – New Jersey.
12. Our Pricing Strategy
Our pricing system is going to be based on what is obtainable in the industry, we don’t intend to charge more and we don’t intend to charge less than our competitors are offering in Monmouth Ocean – New Jersey. Be that as it may, we have put plans in place to offer discount services once in a while and also to reward our loyal customers especially when they refer clients to us
- Payment Options
The payment policy adopted by Fire Buster® Fire Prevention Equipment, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Fire Buster® Fire Prevention Equipment, Inc. will make available to her clients;
- Payment via bank transfer
- Payment via online bank transfer
- Payment via check
- Payment via mobile money transfer
- Payment via bank draft
In view of the above, we have chosen banking platforms that will enable our client make payment for services rendered without any stress on their part. Our bank account numbers will be made available on our website and promotional materials
13. Startup Expenditure (Budget)
From available market survey carried out, we were able to come up with what we are expected to spend in the bid of setting up our fire prevention equipment business and these are the key areas where we will spend our startup capital on;
- The Total Fee for Registering the Business in the United States of America – $750.
- Legal expenses for obtaining licenses and permits – $1,500.
- Marketing promotion expenses (2,000 flyers at $0.04 per copy) for the total amount of $3,580.
- Cost for hiring Business Consultant – $2,000.
- Insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $10,800.
- The cost of accounting software, CRM software and Payroll Software – $3,000
- The cost for leasing standard office cum warehouse facility- $70,000.
- Amount needed for phone and utility deposits – $3,500
- Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $40,000
- The cost for Start-up inventory (Tool box and fire prevention equipment and accessories) – $50,000
- The total cost for store equipment (cash register, security, ventilation, signage) – $13,750
- The cost for the purchase of furniture and gadgets (Computers, Printers, Telephone, TVs, Credit card machine, POS, tables and chairs et al) – $4,000.
- The cost of launching an official website – $600
- The total cost for the purchase of utility truck – $15,000
- Miscellaneous – $5,000
We would need an estimate of $200,000 to successfully launch our fire prevention equipment installation services business in Monmouth Ocean – New Jersey.
Generating Startup Capital Fire Buster® Fire Prevention Equipment, Inc.
Fire Buster® Fire Prevention Equipment, Inc. will be owned and managed by Morgan Williams and his friend and business partner David Clinton. They decided to restrict the sourcing of the startup capital for the business to just three major sources.
- Generate part of the startup capital from personal savings and sale of his stocks
- Generate part of the startup capital from friends and other extended family members
- Generate a larger chunk of the startup capital from the bank (loan facility).
N.B: We have been able to generate about $100,000 (Personal savings $80,000 and soft loan from family members $20,000) and we are at the final stages of obtaining a loan facility of $150,000 from our bank. All the papers and documents have been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.
14. Sustainability and Expansion Strategy
The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and business structure. If all of these factors are missing from a business, then it won’t be too long before the business closes shop.
One of our major goals of starting Fire Buster® Fire Prevention Equipment, Inc. is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running.
We know that one of the ways of gaining approval and winning customers over is to offer our fire prevention equipment installation services a little bit cheaper than what is obtainable in the open market. We are well prepared to survive on a low – level profits margin for a short period of time.
At Fire Buster® Fire Prevention Equipment, Inc., we will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner.
As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of ten years or more. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
- Business Name Availability Check: Completed
- Business Registration: Completed
- Opening of Corporate Bank Accounts: Completed
- Securing Point of Sales (POS) Machines: Completed
- Opening Mobile Money Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Acquiring facility and remodeling the facility: In Progress
- Conducting feasibility studies: Completed
- Generating capital from family members: Completed
- Applications for Loan from the bank: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Printing of Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Creating Official Website for the Company: Completed
- Creating Awareness for the business both online and in the neighborhood: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Establishing business relationship with vendors – suppliers of all our needed Fire prevention equipment et al: In Progress.