Business plan for a security company in Dubai
In the study, efforts have been made to deliver the scope of the business by the drawing a business plan. In the business plan, I am the security consultant himself have decided to start a business as a sole proprietorship firm in Dubai. The reason behind his intention of starting business in Dubai is the availability of vast business opportunities. Various market strategies and market plans are executed to frame the gathered information about the business plan. After the critical analysis of the market research, the idea of positive outcomes has been developed. It is found that starting business in Dubai will be profitable, especially the security consultancy services.
The business plan refers to the framework of the business objectives and targets that are achievable and realizable after putting the effort during a course of action. This study aims to describe the methods of the business plan for the security consultancy firm and to identify the investment opportunities for the security consultancy firm (Brinckmann et al. 2015). The business report representing the business plan refers to the establishment of the security consultancy firm in Dubai by the security consultant. The objective of this study is to organize business plan by studying operation management and planning security management for the security consultancy firm. In addition, various market analyses along with marketing plan will be oriented with respect to the business plan. Finally, it is decided to prepare financial projection or financial planning by creating the balance sheet, income statement and cash flow statement to persuade an international investment banker for funding in my business.
Vision and mission of the security consultancy firm
In the context of establishment of the consultancy firm in Dubai, the owner I am the owner and have set a certain vision and mission with respect to the firm, which are as follows.
The mission of the firm is to become the top security service provider globally by establish brand in the hearts of the people (Evans, 2015). The visions of the firm is to serve every individuals or the group of individuals, irrespective of their involvement in business or not and to give protection with advanced technology and skilled security guards.
Objectives of the security consultancy firm
Contributing to the mission and vision of the firm it becomes necessary to set the objectives to determine the best deliverables of the business to the clients. The objectives outlined with respect to the firm are as follows.
- To earn huge revenue every year
- To employ skilled, determined, qualified and honest staff
- Provide customized security service, according to the needs of the clients
- To expand the business to every corner of Dubai within 5 years
- Adapt utilization of advance technology and to tie up with existing remarkable security consultancy firms
Operation management of the proposed firm
Operations management utilizes various resources, which include materials, equipments, staff in addition, technology to produce goods and service for the client's based on their demand. The Owner, with determined mind has decided to startup the business with physical protection plan. The discussions of both the terms are executed below.
In order to run the business successfully, the objectives are first required to be fulfilled, if any of the objective remain untouched, even the beginning of the business might result into failure (Brinckmann & Kim, 2015). Thus, I need to intelligently deal with the noted objectives and started the business with certain practical assumptions, along with its implementations.
- Selected the preferred location in Dubai, where the demand is high and the supply is scarce
- Targeted mainly the business firms, operating locally to begin their service with
- Made their business premise huge enough, so that trainings and accommodations to the employees could be provided
- Established coordination with local government agencies, to get assistance from them in case of emergencies, like fire or any kind of natural calamities
- Kept their head office or regional communication officer at the center of Dubai for the ease of access
The physical protection plan
After the successful startup of the security consultancy firm, the owner I am hereby projecting physical protection plan to ensure the efficient and effective reviewing of protection to be delivered. In this aspect, certain schematic design has been sketched with the help of utility layouts, maps, floor plans, evacuation plans, etc. However, apart from the systematic approach to the protection plan for the clients, the interior structure of the firm is also modified with advanced technology. Moreover, the equipments required to be used for providing the services are also measured.
|Equipments for external services||No. of items||Purpose||Requirements for the business premise||Purpose|
|Security guards||2000||Individuals and business purpose||CCTV ||To recognize the events that might help in future and to recognize unknown bodies|
|Fire arms||600||In the situation of threats, like theft, robbery, terrorism, etc||X-ray machines||To utilize them in case of emergencies|
|Security tools||350||To eliminate entrance of the unknown threatening objects or individuals||Metal detectors||To identify the metal objects, which are threats to life, like guns, knives, etc|
|Bomb detectors||290||To ensure the sense of relief by identifying the presence of bombs before hand||Training tools||To train the staffs of the organization|
|Metal detectors||300||To identify the metal objects, which are threats to life, like guns, knives, etc||Scanners||To records the details of the staffs|
|Emergency tools||270||Tools like fire extinguishers, ambulances etc to rescue lives in case of emergencies.||Drop arms||To eliminate entrance of the unknown threatening objects or individuals|
Planning security of intelligence of the firm
Planning for security of intelligence represents the proactive or forward-looking approach to the security management to collect data for analyzing them during the needs (Hollensen, 2015). It is however, understood from the study, that I tend to propose the plan for security of intelligence by the means of service type and security operational plan, which are systematically described below.
Orientation of the type of services are demonstrated and classified systematically to prevent risk matrix. Contributing to the context, certain service types are measured to render the service outstanding. The service types are bulleted below.
- Monitoring the premise with CCTV
- To respond quickly in case of fire emergencies and other emergencies
- To prevent and shift the unknown bodies from the event
- To detect the threats, by using advance technologies
- Ensure ethical practices
- Expand the security control centers
- To verify the intellectual rights like, patent right, copyright, trademark, etc.
The security operation plan
Apart from the orientation of the type of service, the security operational plan is coordinated, complying, the risk matrix. I am hereby measuring the security operational plan to ensure the security service more relevant. The owner has designed the plan in the following way.
- Monitor the individual's identity with their identity card
- Handling the entrants sophisticatedly, so that unwanted bodies could be excluded, but their emotions could not get hurt.
- Verifying the event with the records in CCTV from control room
- Providing armed security guards in case of special events
Market analysis for the security consultancy firm
Since Dubai is a recognized business city, where opportunities are vast and scopes are immense. Establishing business in Dubai is the desire of majority of the businesspersons throughout the world. Hardly any business runs unsuccessfully in the land of Dubai (Westwood, 2013). Thus, Shahraban Abdullah has found relevant positive and negative information about the business market of Dubai. The owner of the security consultancy firm has exercised market analysis in the following way.
SWOT analysis for identifying land marketing strategies
Before establishing the business, I have performed a SWOT analysis to know the market strategies of Dubai.
|Strength||Dubai is the land of opportunities. Many business operates in this land and providing, employment opportunities and business opportunities. Newly developed business will be encouraged with technological and political assistance. In addition, legal requirements for establishing business of any kind are flexible, thus, entrusting the going concern of the business.|
|Weakness||Political issues are not much of a concern, but the demand and supply of consultancy firms are the points of concern. Since, the customers are more demanding and the cost of providing service is high. In order to earn profit, the cost of service should be high, but high price leads to decrease in demand. Thus, the firm will take long time gain position in the market.|
|Opportunities ||Since the numbers of business are operating in Dubai and every business entities need to avail the security system by any means. Thus, security consultancy services will eradicate the problem of scarcity of this kind of service largely.|
|Threats||As already mentioned, Dubai is the land, where number of business operates; competitions are likely to increase largely. Security consultancy firm of Shahraban Abdullah will face strong threat from its competitors as well as kind of terrorist organizations.|
Based on the SWOT analysis, it has been found that I might not find many difficulties in establishing his security consultancy firm.
Porter’s five forces analysis for identifying service business and personal service
In addition to the SWOT analysis, the owner has also focused on Porter's five forces to ascertain the personal services and service business.
Figure 1: Porter’s five forces analysis
(Source: Chernev, 2015, p.36)
It has been found that threat of new entrants are more, because of the attractiveness and flexibility of doing business in the land of Dubai, Almost 10% of new business are started in Dubai in every 5 years (Di Foggia & Lazzarotti, 2013). Thus, threats of new entrants are high. On the other hand, threat of substitution is very low, because very few similar businesses are operating the area of its establishment. However, the supplier power is also very low, because large number of suppliers belongs to the foreign countries and many of them are not allowed to serve in this kind of business. Similarly, due to the low supplier power and scare substitution, buyer’s power also declines largely. Aggregating the Porter’s five forces, it could be concluded that competitive rivalry is very low, which results in good scope of establishing the security consultancy firm in Dubai.
Competitor analysis for the conclusion of share option
In the context of business plan, management team of the firm must formulate certain business strategy that helps in understanding the strategies of the competitors. However, the single competitor might not create much concern, but the competitors in the industry as a whole might create huge difference (Nash, 2016). Thus, it becomes necessary to develop competitor analysis framework to obtain information about the main competitors and then utilizing the information to forecast the behaviour of competitors. I can thus, ascertained the types of competitors, to whom his firm will compete, to gather the planned actions and the competitor’s strategies and to know the way, competitors might react to the firm's action.
Competitor’s analysis framework
They are focused on the serving the high end services at reasonable rate
|Competitor's current strategy|
|Competitor's resources and capabilities||Competitor’s resources and capabilities are measured from the SWOT analysis and PESTEL analysis. It has been found that the competitors have gained strength of customers, due to the unavailability of the number of similar services. In addition, the competitors are capable of holding trust among clients and utilize their valuable human resource ensuring the trust of their brand|
|Competitor's response profile|
From the 4C’s of competitors’ analysis framework, it has been found that competitors are specifically a kind of threat to a new business in terms of public demand, but they are also opening the opportunities to new entrants by leaving the current demand unfulfilled, in terms of modern skills.
Based on the various market analyses, it has been found that there is sufficient positive scope of starting my business of security consultancy firm, where he will be able to achieve vat opportunities to expand his business in future. Since, Dubai is the land of business, many foreign investments boost the economy of the country, along with the surge in the economy, number of business, whether may be small or large, are benefited from such boost. However, some threats are present in the business market, but these threats are need to be considered as challenge, which will result in long run success of the business.
Marketing plan involving social media for the firm
Marketing plan involving social media is the summary of all the things and events that occurred or planned with an intention to attain the business goals, by using social media. The business plan must be inspected in accordance with the current needs of the market and to ascertain specifically the goals of the business (livingindubai.org, 2017). I have aimed to market the business over the social media to promote the name of its business. I will apply 4 steps to perform the marketing plan involving social media (Internet).
The first step includes creating social media and objectives
I will mention the S.M.A.R.T. Goals over the internet, especially on Face book and Instagram about the business. Therefore, that the public will come to know about the strategy of the business that is going to be established soon (Arbel, 2015).
The second step includes conducting social media audit
I will distribute the questionnaire in the form of template to gain public response regarding their market strategies and goals. Based on this the I will determine the formation of his business.
The third step includes improving social accounts
I will then try to improve the social media links, especially, twitter, LinkedIn, face book and instagram, because almost 70% of the world's population are following these media. Thus, improving the links will result in the number of followers of the firm, which will help in the firm’s promotion.
The fourth step includes testing, evaluating and adjusting social media marketing plan
Finally, I have tested the trend of the public in terms of their usage of the social media and found the popularity of instagram and face book. Thus, I will try to customize the profile of the business according to the public trend.
Nature of the firm
Since I will organize the business of security consultancy, the nature of the firm that he will establish in Dubai will be sole proprietorship. However, the summary and ownership of the firm is explained below.
Summary and ownership
The security consultancy firm will be established as a sole proprietorship business, which will focus on both providing security service and providing security consultancy. In the light of this context, the business will also mandatorily focus on earning huge revenue and reducing the cost of producing services.
Legal process of the firm
In case of forming a business, its legal structure should comply with the regulation of the country and the corporate law. In this case, I have decided to start security consultancy firm, the legal process that he must follow is explained below.
Registration and IPR
I must register his firm complying with Intellectual Property Rights to resist counterfeit services. The registration as a sole proprietorship firm will only be considered valid, if the individual will own 100% of the business and he must keep 100% of the profit out of that business. I must practice the business on his own and first register them in a local government authority away from free zone. In order to register the firm as a sole proprietorship, I must submit the following documents
- Approved licensing application
- Registration application
- Approval from the government authorities, based on the nature and the activities of the firm
- Initial approval certificate
Financial projection or financial planning of the proposed firm
Income statement of security consultancy firm
|Particulars||AED’ 000||AED’ 000|
|Revenue from consultancy service|
Depreciation on equipments
Net income before Taxes
Income tax (20%)
Profit after tax
Financial position statement of security consultancy firm
|Particulars||AED’ 000||AED’ 000|
Cash and cash equivalent
Total current assets
Total fixed assets
Total assets (A)
Short term loan
Total current liabilities
Long term liabilities
Long term loan
Total long term liabilities
Total liabilities (B)
Net assets (A-B)
Capital brought in business
Total owner’s equity
Cash flow statement of security consultancy firm
|Particulars||AED’ 000||AED’ 000|
|Cash flows from operating activities|
Increase in trade receivables
Cash generated from operating activities
Cash flows from investing activities
Purchase of property
Acquisition of leasehold property
Proceeds from sale of outdated equipments
Net cash used in investing activities
Cash flows from financing activities
Proceeds from long term debts
Net cash used in financing activities
Net increase in cash and cash equivalents
Cash and cash equivalents at the beginning of period
Cash and cash equivalents at end of period
Aforementioned discussion helps in concluding the findings of the study that would ensure success of the start-up business in Dubai. It can be concluded that the security consultancy firm needs to take effectual measures in terms of operational management and security operations to accomplish its mission and vision. Subsequently, the market analysis showed that there are optimal chances to flourish the business ensuring quality consultancy services. Application of competitive analysis using Porter's five forces and SWOT helped in developing proper marketing strategy required for the business. Inclusion of social media sheds bright light on the effective promotional techniques to ensure success. The study has also made efforts in estimating the cash flow, financial position and income statement as instrument to make the framework for appropriate projection.