Music & Sound Productions for Moving Pictures

Music & Sound Productions for Moving Pictures

A state of the art Music and Sound Design company specialized in sound productions for movie picture seeking private investor. Seeking investor funding of RM350K (including studio renovation, additional equipments & 1st 2 years of running cost) with potential income of RM1.5 million in 3rd year operation.

We will be located in Malaysia with a target market overseas (Europe, Australia, U.S.). Today’s production industries have become global due to very convenient delivery and marketing options thru the internet. There is no need for being in the same cities, countries or continents anymore. European companies have already started to outsource some of their work to India and other countries to save cost on their side.

The company’s objectives are to build a high definition Music and Sound Design Studio in Malaysia. We will provide international costumers with the same high standard sound production like foreign studios do, but for about half the cost Content Production companies use to pay in their territories.

Our mission is to create a hub for Music and Sound Design Productions in South East Asia for overseas costumers to provide them with high definition audio for their moving picture products. Be it compositions, sound design, surround mixing, foley or voice over, we will be able to provide all of it in the highest quality, but for a more attractive price then most of our international competitors.

Keys to success for the company will include:

1. High end Sound Productions
2. Convenient Delivery format
3. Marketing Strategy
4. Reliability
5. Low cost Productions for overseas companies
6. Professionalism in terms of equipment and vast knowledge

Ownership and Profit Sharing

Ownership
Company 40%
Investor 60%

Special Clause
We will break even during the third year of operation and will be able to pay back 40% of the initial investment to the investor. The investor will return then 20% of the shares to the company. So this will leave us with a shared ownership of

Company 60%
Investor 40%

Market Analysis Summary

The moving picture industry is multi billion dollar industry world wide and is still growing fast each year. Also new businesses have arisen and will continue to expand like; Pod casts, online commercials and mobile content.

Marketing Strategy

In the first three month of operation company will produce an impressive show reel, which will show off all of our services in a high definition presentation. We will then promote our services thru internet platforms world wide (cuesheet.com, mandy.com, musicsupervisor.com and others) to smaller content production companies which are very keen to have a high standard service like ours, for a reasonable price. Once we have built up a good reputation with those companies, we will be able to target higher profile clients thru promoting our services to them and engaging overseas agencies which already handle day to day business for those companies.

Sales Forecast

We calculated in the cost that we will sell 1 min. of sound production for RM 2500. – (this is less then half the price international companies charge for low cost productions),

Posta Audio Postproduction in Europe charges for a low budget Animated 90 min. feature Film 110,000. – Euro.

In the first year we assume we can do about 60min of sound production. In the second year about 200 min. and in the third year we will reach our peak capacity of 480min of sound production. To assure a further growth of our business we will have to invest in an additional studio room, as well as to find another composer / producer within the 4th year of operation. From then on we will be able to handle about 960 minute of sound production which will create a minimum income per year of RM 2, 4 Million. If business continues to grow we should consider in the future investing in more studios.

Break even Analysis

A Risk Management Assessment has also been calculated into profit forecast figures.
The special design of our business is based around low variable overheads and costs, all other variable costs are under expenses.

Long term plan
The long term plan is to build a strong relationship with high profile clients. If we can succeed with this we can raise the price of our service dramatically as well as adding more and more studios to our assets. There are big studios overseas that operate 5 or more studios at the time. This is what we should strive for in the future of this business.

Conclusion

The proposed Production Company will be a great opportunity for us and a potential investor. The investment is relatively low compare with the potential profit we could achieve with a low profile set up. Now is the time to start a business like this because communication across borders is easier as ever before.

CAPITAL.MY