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Sweetspot Case Study

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SweetSpot provides efficient parking solution to existing problems faced by patrons of large and small businesses. Based on a state-of-the-art machine learning technology, the objective is not only to provide consumers with easy access to the available parking spots in the lots, but also help businesses in tracking, optimizing and integrating the complete parking systems into a comprehensive cloud-based platform. Why Should We Care About Parking Issues? Our company tackles the perennial parking problem because apart from personal convenience, it has huge economic and environmental consequences. It is estimated that to find a parking spot, people drive extra 12 million miles in US alone. In some large businesses, real-time parking technology …show more content…

We target our initial customers to be universities, University at Buffalo (UB) being our first potential customer. Given our association with UB, we find the need to find a parking solution at UB very palpable. We believe that cultivating a strong initial relationship with UB and other universities and small businesses is critical to our …show more content…

Of the $78,000 in start-up funds, $42,000 is targeted for initial expenses for installing the required hardware at UB. The remaining $36,000 is required for development and maintenance of the cloud-based app and server. After successful implementation of our technology using the start-up fund, UB will be charged an estimated $10,000 per parking lot to provide the app-based services and regular maintenance of the hardware. We are forecasting total revenue of $430,000 at the end of 2nd year, with net cash positive of 18% in 2 years. At this stage, we expect funding from potential investors to aid us in expanding our business. What are Our Long-Term Plans? During the expansion phase of our business starting from 3rd year, we plan to target 10 universities in WNY. A total expense of $1.21 million is required at that stage, which will be targeted towards essential expansion of 3 main components: personnel, hardware, and software. We project our business to break even during the expansion, and transition into a cash positive business from this point onwards. Our forecast projects a net revenue of $7.2 million at the end of 3rd year, increasing to $20.5 million in 4th and $51.2 million in 5th

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