1 Path-Work Inc. Start-up Business Plan Student’s Name University Course Professor Path-Work Inc. Start-up Business Plan 1. Basic Information Path-Work Inc. is an employment recruitment company that is set to begin early 2022 in Jeddah, Saudi Arabia. The company will operate as a standard human resource consulting agency with bias in trainings and recruitment. At the same time, Path- Work will exist as a partnership between Path-Work company and King Abdulaziz University in Jeddah. In the future, the company hopes that it will open up other offices in the Gulf region and partner with as many universities as possible. The aim of Path-Work , as the name suggests is to act as a path for work for university graduates. Therefore, the company hopes to provide employment solutions to recent Saudi graduates by guiding them through the most important parts of employments. In addition to preemployment trainings, the company will also refer these graduates to companies looking for employees. The company is will be located in Jeddah City, Saudi Arabia. The location is perfect for the business because Jeddah city with a population of 3.4 individuals has nineteen universities, making it a perfect location to source for fresh university graduates searching for employment. (edarabia.com, 2021). At the same time, unemployment in Saudi Arabia is a serious issue especially with the increased number of fresh graduates joining the labor market every year the estimated investment capital is about $800000 and will be used for rent, recruitment , marketing, , printers, software and other office supplies, and salaries among other things. 2. Company Business Description A. Scope and type of business 2 As discussed above, Path-Work is a service company that will specialize in providing employment solutions to recent Saudi university graduates. Some of our services will include identifying recent university graduates and enrolling them to our training programs and referring our trainees to companies that are looking for employees. We will also teach our clients how to apply for jobs. One thing that makes our idea different is that we will offer graduate support to our clients from their final year in campus until their graduation. In other words, we will meet up with our clients in their final levels and begin training them and preparing them for employment before graduation so as to sit them for the labor market. Mission Statement Increase the value of Saudi Arabia education by offering employment solutions to recent Saudi university graduates. Reduce reliance on external recruitment. Our mission statement aims at reducing the country’s dependence on external recruitments by offering employment solutions to recent graduates across the country. Short-term and long-term goals and objectives Offer affordable professional training and consulting services to our clients. Provide services that help business and non-profit organizations in functioning sustainably. Establish a company website and other social media accounts in order to boost our online presence. Build our brand to attract a large number of jobseekers. Source exceptional candidates for our clients. Develop successful client relationships. Establish long-lasting partnerships that not only meet the needs of our customers but also those of our temporary and permanent associates. Target Market and Demographics Our target customers are recent university graduates living in Jeddah, as well as final year students in King Abdulaziz University and other universities and colleges in the city such as faDr Al-Hekma University, University of Jeddah, Jeddah College of Technology, Effat University and Faculty of Maritime Studies among others. Most of our target customers reside either in or nearby Jeddah city. Our target market is passionate about finding employment after graduation, especially now that graduate unemployment has become a serious issue across the country. B. Business Philosophy Industry Description 3 The company lies on the human resource industry sector. In the past year, most companies in the UAE and across the globe have been greatly affected by the Covid-19 pandemic. As a result, most companies are suffering from recruitment mechanisms, which create the need for recruitment agencies. At the same time, the Saudi Arabia government has also set up regulations of recruitment policies among its priorities so as to ensure that the rights of all individuals including the worker , the service provider or the end user are protected (AlSharif,2021). Some of the top Saudi Arabia recruiting companies include DevsData LLC, ETISAL International and FNRCO. Although there are various recruitment companies in Jeddah and the country at large, very few specialize in training fresh graduates and referring them for jobs. We therefore hope to use this strategy to achieve competitive advantage in the industry. We also hope to not only develop a company website but also create accounts in other social media platforms so as to increase awareness of our brand and services. Company’s strengths and core competences Path-Work targets to provide employment solutions to recent Saudi graduates. Our major competitive advantage lies in our unique service delivery. As mentioned before, although there are several recruitment agencies in the country that help individuals find jobs, very few specialize in training fresh graduates and referring them for jobs. We will therefore maintain an upper hand sourcing freshly graduated individuals looking for employment opportunities. At the same time, the fact that will support our clients from the final level before graduation and prepare the students before graduation to suit them for the labor market increases our competitive advantage. Risk Assessment: SWOT Analysis Strengths A well-selected workforce. A strong dedicated team , with excellent qualifications and experience needed in training and recruiting. A strong online presence. A perfect location where we will attracts a large number of recent university graduates and continuing students. Located in a large and busy seaport with a lot of employment opportunities for our clients. Weaknesses We are a new business hence it might take some time for us to break into the industry. Opportunities 4 The recruitment and consulting industry continues to grow and we are ready to grab any opportunity that might come our way. Threats New entrants in the market. Unfavorable government policies. Global economic downturn. Scale of business We are very optimistic that our company will immensely grow in the coming years. We are quite optimistic that in the next five years, we will have established other branches across the country and partnered with other universities. Our estimated sales in the next five years are 320, 000, and 000 which is four times our initial capital. Competition Some of our competitors include Amrop, Afiyan international recruitment agency and Archirodon Group N.V among others. However, despite being new in a very competitive market, we still have the chance to beat our competition by coming up with the right pricing and marketing strategies. For instance, as I have mentioned, one of our marketing strategies is our strong online presence that will help us raise awareness. Startup Costs Our initial startup cost is $800000 and will be used for rent, insurance, marketing, printers, software and other office supplies, and salaries among other things as illustrated in the table below. Item Estimated Cost Rent $90,000 Insurance/ permits/ license $75,000 Office equipment / stationery $468,000 Salaries $90,000 Software $32,000 Marketing and promotion $25,000 5 Miscellaneous $20,000 Total expenditure $800,000 3. Products and Services Path- Work Inc. will offer recruitment, training and consultant service to job seekers. As earlier mentioned, the company hopes to provide employment to recent Saudi graduates. The company will guide our clients by showing them the most important points in employment. At the same time, one of our most important services is to offer university students with support from the final level before graduation and preparing them to suit the labor market once they have graduated. We will also refer our trained clients to companies looking for employees. Size of business The company will have a total of fifteen employees. Ten of these employees will work on our physical offices, while five of them will manage our social media platforms and website. As the chief executive officer, I will be responsible for most of the leadership and management tasks in the company. Competitive advantages and disadvantages. There are several aspects that are likely to offer our business with a competitive advantage. For instance, the fact that I am a university student who understands some of the struggles that university graduates face when searching for jobs, makes it easier for me to come up with the best strategies for the company. At the same time, partnering with universities makes it easier for us to source target clients, especially those in their final year. Lastly, the location of our business further increases our competitive advantage. References Al-Sharif, D. T. (2021, August 3). The new structure of the recruitment sector. Arab News. https://www.arabnews.com/node/1905156 edarabia.com. (2021). 25 Best Universities in Jeddah - Top Ratings (2021 Fees). Edarabia.com. https://www.edarabia.com/universities/jeddah/
