How can small businesses set up a secure, and efficient cash handling operation?
We will answer that question with an automated cash register machine to enhance MPOS systems and give them the business intelligence, security, and efficiency required to triumph in business.
We want to make an automated cash register machine, to replace electronic cash register machines, and computerized cash register machines. This technology will enhance MPOS (modern Points of Sales that use cloud computing e.g. Square) by adding notes into the analytics they provide businesses with.
Australian small businesses on average waste 216 hours a year counting and banking cash (Baldassaree, 2018). Our team plans to reduce that drastically by providing them with reliable technology that will keep track of their cash transactions digitally. Our cash register will be able to count, the amount paid by a customer and return change. This will not only reduce the average time it takes to serve each customer (5 minutes to less than a minute), but it will also provide a secure, efficient, and reliable way for businesses to keep track of their cash.
Our end users are business owners in the industries of Agriculture, Forestry and Fishing, Retail Trade, Administrative and Support Services. According to the Australian Bureau of Statistics there were 342,240 of those business in Australia by 2017. As we are planning to sell our product to MPOS companies, and wholsale Cash Register Machine providers the advantages they will get from our product are: -
- They will have more product that captures the need of their customers
- They will present businesses with data not only from card transactions, but also cash transactions, making their analytics real time, and more reliable.
Our biggest competition is Self-Serve cash register providers who work for big retail, and fast-food chain companies. The Technology used by companies like Coles and Woolworths Self-Serve cash registers is outdated, and is still used because the cost of replacing it is less than the benefits. Nevertheless the companies that provide them with those cash registers could go to our potential customers with a similar technology as ours. To prevent that, we plan to get a patent on our product before introducing it to the market.
We want to make sure that small businesses have a competitive advantage by providing them with an up-to-date technology. As larger corporations can setup a business informatics system, small businesses are forced work with the resources they have. So we plan to democratize the technology and make sure everyone has a fair go.
The cash register machine that is predominantly used by businesses today is manual, and is overpriced for the value it offers. With the functional use it offers, it brings cons that our target customers tolerate because the importance of its function surpasses the uneasiness. There for we plan to develop user-centred smart register that will not only be automated, but also help business owners track vital monetary knowledge of their business. We will have software that will report to business owners with analytics of where in the business the customers are spending money. That will help business owners know the strengths and weaknesses of their business early. We plan to aim our products at multiple store-owners and start-ups. We are looking for a mentor that has knowledge of hardware prototyping, industrial manufacturing, or one with experience of commercial software development/maintenance.
Our direct customers are wholesale Cash Register providers like Easypos, Square, and Allpos. Unlike the end users of the product the way to communicate with our direct customers is through formal emails. After the emails we will go and pitch to them about the capabilities of our product and the benefits they get from selling it to their customers.
This team is the best suited to execute this venture because of our backgrounds in Information Technology, Design and Finance. Also the team members have faced the problem we are solving first hand. We have worked as cashiers and event organizers seeing the time small businesses waste handling cash.
In trying to build a prototype, we have made connections with software engineers, mechanical engineers, and industrial designers. We have also spoken to start-ups in Canberra on similar ventures as us who have given us a better understanding of the market. But most importantly we have spoken to our potential customers who’ve helped us refine our product to suit their needs better.
The resources we require for our venture includes but not limited to embedded system engineers, mechanical engineers, industrial designers and Intellectual property attorney. They fall on the category of human, intellectual and physical key resources required for the progress of our venture. We can be contacted via our email address Spaira.email@example.com
With $7,500 we are able to design and produce the Mark I of our product product including preliminary engineering and design.
As a design company the most important asset is our IP. This leads to our funding breakdown. With $12,500, we are able to get all IP protection for our product. That gives us the bargaining power when we sell our product to wholesale cash register providers.
We will partner with the likes of Square, Easypos, Allpos and Xero who are providers of Point of Sale already established in Australia who also share a common goal for the success of smaller businesses. We believe we are bringing to them something they don’t already engage in and to their advantage provide for their customers a way to move forward in the business and financial world.
Our revenue stream comes from recurring sale contract as the design company. We are gaining a mutually beneficial relationship, with our partners. Our customers are our partners. Square, Easypos, Allpos and Xero as an established company already have our end users at hand so this makes the advertisement and other costs to be transferred to them, leaving us with a partnership contract which creates the revenue stream.
The end users of the product are willing to pay upto $1,500 for it, and it costs us $400 to $500 to make one automated cash register machine. So we are planing to sell our product to our partners for $1,250 (25% of the profit). This will leave us with $750 profit on each machine sold.