1. Campus Guardian Corporation www.campusguardian.com Strategies in winning the 2007 Business Plan Competition

2. Campus Guardian Corporation, Jamestown, RI 02835 2 CG BPlan Rev 0.01 Evolved over 2 years –Strategy, strategy and… Was a collection of: –customer problem definitions –product/service definitions –current market information, observed trends, intercept points –competition, real and expected –obstacles, barriers and brick walls

3. Campus Guardian Corporation, Jamestown, RI 02835 3 Next Revision Settle on an outline –solves the blank sheet problem –use to break up assignments –but let it evolve Tell the whole story –positives/negatives –avoid the Prospectus format –CGs outline will be available as reference

4. Campus Guardian Corporation, Jamestown, RI 02835 4 Competition Version Tactics must be clear, thorough Accurate financials – pass the sniff test Milestone plan on funding Reveal what you can about: –secret sauce –go to market details –pricing and how it was determined

5. Campus Guardian Corporation, Jamestown, RI 02835 5 Financials One of the most challenging components –determine as many costs as you can –no expense is too small –if estimating, find a metric to support –evolves with each version of the plan Outside review a must –take a finance person to lunch

6. Campus Guardian Corporation, Jamestown, RI 02835 6 Avoid Certain Mistakes Dont say anything more than once –reviewer's have day jobs –exec summary is the sole exception Minimize time on the plan design –logo + some color + functional layout = more time for content and your business

7. Campus Guardian Corporation, Jamestown, RI 02835 7 Get Feedback From? –outside reviewers are best –advisors, board members Tactics while developing: –by area of expertise –by section; whole plan process lengthy Final version –designate the devils advocate, or –take a prospective investor to lunch and ask

8. Investor Presentation

9. Campus Guardian Corporation, Jamestown, RI 02835 9 Hot Topics I Value propositions –find the compelling ones Ways to get the Money –market/sales strategy and tactics (very high level) Time/Events to the Money –timeline graphic Pricing –be prepared to defend in Q&A

10. Campus Guardian Corporation, Jamestown, RI 02835 10 Hot Topics II Intellectual Property –patents & trademarks very helpful –trade secrets good, difficult to hold/defend –find/declare your edge Exit –who might buy/acquire –find todays examples and use multiples –Heard on the Street = 5X/3yr, >10X/5yr

11. Campus Guardian Corporation, Jamestown, RI 02835 11 Where will you sell? Qualifiers? Market Funnel What is the total market opportunity? Known or evolving? Portion of market available to you? Portion owned by competition? Your filtered opportunity $ Forecast of market = (share?) % Other metrics

12. Campus Guardian Corporation, Jamestown, RI 02835 12 Note Well… Believe what they say about the time limit –no exceptions; rehearse until you meet your time goals Minimize product/service description –the classic nemesis of timed presentations A triple opportunity –they are the reviewers, but also play the role of both prospective investors AND customers

13. Final Thoughts

14. Campus Guardian Corporation, Jamestown, RI 02835 14 What did winning do for CG? Cash –help with financing pilot installations at RI universities Financial firm credits –cash flow planning, improvements to chart of accounts –audits/certification Legal firm credits –contracts, software licensing, new IP

15. Campus Guardian Corporation, Jamestown, RI 02835 15 Win or Lose Plan is your roadmap –test your beliefs, change if necessary –but stick to it Focus on the journey –loss of focus can cripple, create dissension –do we think we will enjoy the trip? Find time and ways to support your team –respect is earned, never granted

16. Good Luck

17. Campus Guardian Corporation, Jamestown, RI 02835 17 I.EXECUTIVE SUMMARY I.EXECUTIVE SUMMARY A.Business concept A.Business concept B.The Problem B.The Problem C.Target market projections C.Target market projections D.The strategy D.The strategy E.Competitive advantages E.Competitive advantages F.Economics, profitability and ROI potential F.Economics, profitability and ROI potential G.The Team G.The Team H.The offering H.The offering II.THE INDUSTRY, THE COMPANY AND ITS PRODUCTS AND SERVICES II.THE INDUSTRY, THE COMPANY AND ITS PRODUCTS AND SERVICES A.Industry A.Industry B.The problem and the solution concept B.The problem and the solution concept C.Products and services C.Products and services D.Market entry and growth strategy D.Market entry and growth strategy 1.Initial Market entry 1.Initial Market entry 2.Market size and trends 2.Market size and trends 3.Competitive analysis and competitive edges 3.Competitive analysis and competitive edges 4.Architectural and competitive advantages 4.Architectural and competitive advantages 5.Barriers to entry 5.Barriers to entry 6.Estimated market share and sales 6.Estimated market share and sales E.Marketing strategy and tactics E.Marketing strategy and tactics F.Group marketing F.Group marketing III.ECONOMICS OF THE BUSINESS III.ECONOMICS OF THE BUSINESS A.Gross and operating margins A.Gross and operating margins B.Profit potential and durability B.Profit potential and durability C.Fixed & variable cost categories C.Fixed & variable cost categories 1.Fixed costs 1.Fixed costs 2.Variable costs 2.Variable costs D.Months to reach positive cash flow D.Months to reach positive cash flow IV.MARKETING PLAN AND OVERALL MARKETING STRATEGY IV.MARKETING PLAN AND OVERALL MARKETING STRATEGY A.Strategy A.Strategy B.Pricing Plan B.Pricing Plan 1.Pricing factors 1.Pricing factors 2.Pricing 2.Pricing C.Sales Models C.Sales Models D.Sales tactics D.Sales tactics 1.Sales plan 1.Sales plan 2.Initial corporate office, sales offices 2.Initial corporate office, sales offices 3.Sales Compensation 3.Sales Compensation E.Advertising and promotion E.Advertising and promotion F.Software Distribution F.Software Distribution G.Sales cycle G.Sales cycle H.Marketing assumptions H.Marketing assumptions BPlan Outline, Pt 1

18. Campus Guardian Corporation, Jamestown, RI 02835 18 V.MANAGEMENT TEAM V.MANAGEMENT TEAM A.Key management personnel A.Key management personnel B.Compensation, equity, employment and non-compete agreements B.Compensation, equity, employment and non-compete agreements 1.Compensation 1.Compensation 2.Deferred Compensation 2.Deferred Compensation 3.Equity, employment and non-compete agreements 3.Equity, employment and non-compete agreements VI.OTHER AGREEMENTS VI.OTHER AGREEMENTS A.Key agreements A.Key agreements 1.Operating Agreement 1.Operating Agreement 2.Other Intellectual Property 2.Other Intellectual Property B.Shareholders rights and restrictions B.Shareholders rights and restrictions C.Professional services C.Professional services VII.STATUS AND SCHEDULE VII.STATUS AND SCHEDULE A.Status A.Status B.Schedule B.Schedule VIII.ASSUMPTIONS, RISKS AND PROBLEMS VIII.ASSUMPTIONS, RISKS AND PROBLEMS A.Assumptions A.Assumptions B.Risks B.Risks C.Weaknesses C.Weaknesses IX.FINANCIAL PLAN IX.FINANCIAL PLAN A.Pro forma statements A.Pro forma statements B.Pro forma income and balance sheets B.Pro forma income and balance sheets C.Break even calculation, revenue per employee C.Break even calculation, revenue per employee X.PROPOSED COMPANY OFFERING X.PROPOSED COMPANY OFFERING A.Desired financing A.Desired financing B.Offering B.Offering C.Capitalization Table C.Capitalization Table D.Use of funds D.Use of funds E.Exit, Investor return E.Exit, Investor return XI.APPENDIX A – FINANCIALS XI.APPENDIX A – FINANCIALS A.Notes to the Financials A.Notes to the Financials 1.Balance Sheet 1.Balance Sheet 2.Income Statement 2.Income Statement BPlan Outline, Pt 2