Lee D. Schoof Econ 331 Business Proposal

Business Name: Schoof Tronics

Product/Service Description: Schoof Tronics will offer a full line of Ag monitoring systems for combines and planting equipment along with their brand new line of monitoring equipment for windrowing machines. In order to further the relationship of customers, Schoof Tronics will provide extensive customer service to those customers that buy directly by performing farm calls.

Intended Customers and their Needs: Due to the wide variety of types of customers and the scales of size of their farms our customer needs will vary drastically. Our customers could range from a small Midwest grain farmer to a large hay producer in California. Schoof Tronics’ monitoring systems will help fulfill needs of these customers by providing them more instantaneous and more accurate information such as yields for the combine monitor and even protein content information for the new monitoring system that is being placed in windrowing units. These customers’ needs will be fulfilled by a state of the art, user friendly monitoring system. With this being said Schoof Tronics monitoring systems are aftermarket monitoring systems that are purchased separate from the piece of equipment and are fully compatible with all makes and models of equipment allowing the customer to never have to purchase a new monitoring system ever again even if they decide to trade of their current piece of equipment.

Why Product Meets Customer Needs or Creates Value for Them: Along with the fact that these units are user friendly and compatible with all brands and models of equipment, one of the main reasons Schoof Tronics creates such I high value added product for the customer is due to the customer service that they provide. Customer service is something that will be stressed by all Schoof Tronics employees and representatives. For those individuals that purchase a product directly from a Schoof Tronics store or online they will receive extensive customer service and assistance by our technician representatives in their area. These technicians are available to assist with anything from installation to actually riding with the farmer to help them get started with the unit and showing them all different functions that the unit has. Schoof Tronics also understands that many farmers work round the clock during specific times of the season, which is why their technicians are on call at all times and have on hand all repair pieces needed to maintenance the units.

Why Product Differs from Others Already Available in Market: The monitoring systems for planting equipment and combines will actually be very similar to those that already exist, however the monitoring system for windrowers will be using brand new technology that will allow the farmers to know protein values and many other essential information when producing hay. Overall the key thing that sets Schoof Tronics apart from other similar businesses is the customer service and the interest we take in serving our customers by knowing that they work all hours which means that we do at Schoof Tronics as well.

Possible Size of Market/Opportunities for Growth: Currently the monitoring system industry in agriculture is growing drastically. With so much new technology out there to help the farmer know that they are getting every dollar out of every acre that they own, the monitoring system market has a great outlook. These systems have helped farmers to make sure they planting their crop precisely and in every possible area as to have the least amount of flood damage to their crop. Along with this these systems are allowing farmers to harvest their crop and know immediately what kind of yields they are getting which will allow them to better prepare for the next year and allow them to improve those yields.

How will I Make Money/Financially Support the Business: I would initially be able to fund up to 50% of the startup costs for me to create this business. Along with this I have had the opportunity to work with the number one ag bank in the state of Iowa, for the past four years, this past year and have developed tremendous relationships with all levels of employees there. With these relationships I was able to get them on board to fund the rest of the startup costs along with getting me started off with an operating note to help me along in my first year. The technician employees pay would mostly be covered by the farmers cost to have them come out to their farm and assist them.

Who am I and What Skills do I Have: My name is Lee Schoof and there are many reasons why I believe that I have the skills to make this proposal a reality. One of the first things that comes to mind is my leadership skills that would allow me to manage a company. I have had many different opportunities to speak to large crowds and even small ones creating discussion to develop new ideas. These communication skills would be essential in starting up a new business and creating a new customer base from nothing. Along with these reasons, and I believe the most important reason is my passion for the agriculture industry. In order to start a new business from scratch you must have a passion for what you do in order to dedicate yourself to it. Growing up all of my life on a small family owned and operated farm this is something that has been instilled in me all of my life and that I will continue to carry with me.

Why this is the Right Time to Start This Business: As I mentioned earlier in regards to the size of the market and opportunities for growth, in this ever changing style of agriculture electronics and more importantly monitoring systems are becoming more and more an essential to the everyday life of a farmer. With this in mind there is a great demand to those farmers that chose not to purchase a monitoring system for their equipment when they initially bought it or even for those farmers that are choosing to replace their existing monitoring systems.

What Kind of Skills/Experience I am Looking for in my Entrepreneurial Team: First and foremost they must have a farming background. There are many farmers that would never be able to take seriously an individual that has never worked on a farm, let alone take advice from them. These individuals with a farming background would be able to associate with the farmers and know without confusion what they are probably asking for. Along with this it is very important for this team to truly believe in the product from Schoof Tronics, otherwise it would obviously not give them the drive and passion to sell a product that they don’t believe would benefit the farmer. It is also important to find individuals that are willing to learn new things and more importantly learn and know Schoof Tronics’ products as well as the competitors’ products.