O’ Connor & Partners LLC will provide advice to companies that wish to make chemicals and energy using annually renewable feedstocks. Our clients will be able to economically utilize the major components of biomass, as well as any minor components that can become high-value specialty products. The two main components of any form of biomass are cellulose or hemicellulose. These are long chains made up of simple sugars.
Many chemicals that we make today are made from petroleum were once made from sugar. Many of these chemicals are niche products with limited markets and high barriers to entry. Others are commodities whose manufacturing costs can be optimized by the economies-of-scale found in traditional refineries around the globe. In order to compete in today’s marketplace with these petroleum-derived commodity chemicals, it is critical to begin with significantly lower feedstock costs. The potential for lignocellulosic biomass to be less expensive than petroleum on a carbon basis is high. Biomass contains the same sugars which have been demonstrated to work.
There are many products that can only be effectively made from biomass sugars. Industrial biotechnology has created fermentation organisms that have high selectivities for specific products. They often prefer one racemic stereoisomer to another, which is crucial in the production of many pharmaceutical compounds. To mimic these feats of biochemistry, traditional feedstocks and processes would be much more expensive, if they were even possible at all. Cargill Dow LLC’s polylactide-polymers are an example of industrial biology. They are made from fermenting sugars. Industrial biotech has been coined by industry observers as the “third wave of biotechnology.”
O’ Connor & Partners LLC recognizes the need for technical excellence that is grounded in economic reality in new ventures within bio-refining. We aim to provide management consulting services to individuals and companies who are aiming to become leaders in the bioindustrial revolution. The expected customer base includes emerging industrial-biotechnology firms, large existing chemical companies and utilities, and agricultural operations. We will help our clients realize industrial at less cost and/or in less time than they could do alone – with a guarantee of top-quality, professional service. Our clients will be able to achieve sustainability through the three bottom lines, i.e., their economic, environmental and social responsibilities in all aspects of their business activities.
This market has enormous potential. Experts believe that biorefining will become an industry worth between $280 billion/year and $500 billion/year by 2013.
O’’Connor & Partners LLC will be open in Minneapolis, Minnesota. It will include Ryan O’’Connor, the founding partner, one associate (to-be recruited) and one secretary. Figure 1 displays the projected sales, gross margins, and net profits for the three year period covered by this business plan. Start with an outside investment. The plan projects a modest loss over the three-year period as well as a healthy networth at the end. The firm should now be able to hire consultants to expand the business or consider a buyout from a large consulting company.
1.1 Mission
O’’Connor & Partners will be America’s leading firm for bio-refining consultancy. They are experts in the economic and technical analysis of integrated biorefining projects. We will provide this service, while also adhering to our environmental, economic, and social responsibilities towards our clients, industry, as well as ourselves.
1.2 Objectives
We seek to establish the industry standard for technical and business excellence in the pursuit of visionary bio-refining platforms, according to customer-satisfaction and industry surveys. The following are key elements to achieve this objective:
- Unique consulting services that are clearly proven.
- Ability to manage confidentiality and intellectual-property issues among competitors.
- Professional relevance, state-of-the–art awareness and knowledge growth in an industry that is rapidly expanding.
- Demonstrating concern for clients’#8217s well-being, which results in repeat business and a strong reputation for our firm.
- Retention of our partners and employees.
Success Keys 1.3
- Professional quality in all consulting
- Ability to manage confidentiality and intellectual-property issues among competitors