Construction Engineering Business Plan

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Indonesia EEC is a subsidiary company of United States Energy Engineering & Construction (U.S. EEC) that provides services including engineering, design, procurement, project management, construction and construction management, environmental consulting, management consulting, quality assurance and quality control, information management, operations and maintenance, and process technology development.

U.S. EEC’s management wants Indonesia EEC to deliver a good financial performance. Indonesia EEC, as a subsidiary company of U.S. EEC set the following objectives for products and services related to EPC power generator and power delivery projects.

1. Expand customer awareness over the planning period.
2. A joint venture can be established with a trusted local company, which will reduce competition and lower risks. It also helps to lower prices.
3. Pursuing not only EPC prospects, but also BOO, BOT, BLT, B&R, and ECC prospects.
4. Utilizing the joint venture company as the main entity of EEC to conduct business in Indonesia, and to provide all aspects of energy engineering services.

2.1 Company ownership

Indonesia EEC (PT.) was created in Indonesia as a Perseroan Terbatas Indonesian. Under the Foreign Investment Laws of Republic of Indonesia, a corporation is based in Jakarta. The Energy Engineering & Construction company of the U.S. (U.S. EEC), is 100% owner.

2.2 Company History

EEC established its presence on the Indonesian market in 1980s when it opened and operated a Jakarta office. It was aware of the need to be present as a local firm that serves the specific needs its potential customers.

Indonesia EEC was formed in 1996. The U.S. EEC owns all shares in the company.

$6,112,981 $7,946,875 $10,697,716 Other Current Assets $525,931 $683,710 $920,380 Total Current Assets $21,638,912 $28,130,585 $37,868,096 Long-term assets Long-term Assets $710,837 $924,089 $1,243,965 Accumulated Decreciation $0 $0 $0 Total Long-term Assets $710,837 $924,089 $1,243,965 Total assets $22,349,749 $29,054,674 $39,112,061 Current Liabilities Accounts Payable $2,478,188 $3,221,644 $4,336,828 Current Borrowing $0 $0 $0 Other Current Liabilities (interest not paid) $0 $0 $0 Total Current Liabilities $2,478,188 $3,221,644 $4,336,828 Long-term Liabilities $0 $0 $0 Total Liabilities $2,478,188 $3,221,644 $4,336,828 Paid-in Capital $1,996,500 $3,295,460 $4,743,900 Retained earnings $116,967 $952,048 $1,781,333 Earnings $17,758,094 $21,585,522 $28,250,000 Total Capital $19,871,561 $25,833,030 $34,775,233 Total Capital and Liabilities $22,349,749 $29,054,674 $39,112,061 Other inputs Payment Days 30 30 30 Credit sales $31,098,365 $40,427,875 $54,422,140 Receivables Turnover 5.09 5.09 5.09

2.3 Corporate Locations and Facilities

The office is located downton Jakarta in Indonesia. The office is conveniently located near the airport and allows for the company to expand. Indonesia EEC occupies a space of 800 square meters with offices for each division.

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