PROPOSAL PAPER

 

FOR

 

OP 78 TECHNOLOGY SDN BHD

1.0  Introduction

 

1.1.    During OP 78 dinner, the idea of setting up OP 78 Technology Sdn Bhd was presented in general. The presentation raised a lot of interest from the members. A lot of queries were made on the company.

 

1.2.    Seven personnel responded to the earlier e-mail (on 12 May 2003 on notification of meeting) and met on the 31 May 2003 at KGMTD. These promoters then discussed various issues and looked into the formation of the above company. Detailed below are the results of the above discussion.

 

1.3.    The basis of the formation of the company is as per the acronym below i.e. OPSERMC. It was derive from;

 

Old

Putera

Seventy

Eight

Royal

Military

College

 

This basis was then used towards developing the Vision, the Mission and the Objectives of the company.

 

2.0  Objective/Mission/Vision

 

2.1.    Vision

 

Foresight and Wisdom

 

2.1.1.      Outstanding      -           Excellent and exceptionally good.

 

2.1.2.      Professional      -           Highly competent and skillful

 

2.1.3.      Successful        -           Achieving and accomplishing target

 

2.1.4.      Entrepreneurial-            With enterprising and resourceful mind

 

2.1.5.      Responsible     -           With moral duty and obligation.

 

2.1.6.      Magnanimous   -           With greatness of soul and generosity

 

2.1.7.      Company         -           Business unit, military unit and companionship

 

2.2.    Mission

 

Purpose and Policy

 

2.2.1.      Offering business platform for all OP 78 members.

 

2.2.2.      Providing conducive business organization for the realization of business opportunities.

 

2.2.3.      Securing maximum participation, knowledge and resource utilization from within the members.

 

2.2.4.      Ensuring business activities are ethical, viable, profitable and ultimately focused and sustainable.

 

2.2.5.      Reciprocating business proceeds between all participants and stakeholders.

 

2.2.6.      Meriting the personal and professional development of the members as core value-added benefits

 

2.2.7.      Contributing to the well-being and quality of life of the members and families.

 

2.3.    Objectives

 

Current aim and plan

 

2.3.1.      Organizing a well structured and professionally managed company.

 

2.3.2.      Perfecting a business concept, which is feasible and practical to all members.

 

2.3.3.      Selecting business opportunities or proposals based on sound business principles.

 

2.3.4.      Enticing all members to be active stakeholders of the company through proven results.

 

2.3.5.      Redefining business focus to ensure consistent and manageable business activities.

 

2.3.6.      Maximizing the interaction between the company and the members.

 

2.3.7.      Creating a system in handling funds and meeting the moral, social and business obligations.

 

3.0  Shareholders

 

3.1.    Shareholders

 

a.       The shares can be purchased by OP 78 intakes only

 

3.2.    Maximum shares per shareholders

 

a.       It is suggested by the promoters to limit the number of shares to maximum up to 2 lot/share per shareholders.

 

3.3.    Price per share

 

a.      The proposed value per share is RM 500.00.

 

b.      The price on offer is only valid at the time of initial offering only.

 

c.       The value of the share after the offering will depend on the net value of the company at that particular time.

 

d.      The closing of the shares on offer is depended on the final meeting, which will be announced and held at the end of June 2003.

 

3.4.    Duties of shareholders

 

a.       The main duties of the shareholders are to select the board of directors.

 

 

4.0  Company

 

4.1.    Board Of Directors (BOD).

 

a.       The maximum number of members in the BOD is 10.

 

b.      The tenure of BOD is limited to 2 years per term.

 

c.       BOD will not have any director fees for the first two years

 

4.2.    Duties of BOD

 

a.       Protect the interest of the shareholders

 

b.      Set the policy of the company

 

c.       Approve any project undertakes by the company.

 

5.0  Business

 

5.1. Area of business to be pursue

 

5.1.1.      Among the area to be pursue are trading, services and manufacturing

 

5.2.  Methodology

 

5.2.1.      Several method of conducting the business.

 

5.2.2.      Among the method discuss by the promoters are as follows:

 

5.2.2.1.Direct participation

 

5.2.2.1.1.      The company will participate directly in obtaining the business

 

5.2.2.2. Through introducer/third party.

 

5.2.2.2.1.      The company was introduced to a business opportunity by a third party.

 

5.2.2.2.2.      The company with the third party will pursue the business opportunity.

 

5.2.2.2.3.      The company will raise the finance for the project from financier.

 

5.2.2.2.4.      The profits of the business venture will then be spilt between the introducer, financier and the company.

 

 

          5.3. Profit sharing

 

5.3.1        The amount of the profit sharing will be subject to the following:

 

5.3.1.1 Nature of business undertakes

 

5.3.1.2 Time for the business to completes

 

5.3.1.3 Amount of the business expect to generate

 

5.3.1.4 Project one off or will be continues?

 

 5.3.2.   The final quantum of the profit sharing is subject to the approval of the BOD.

 

5.3.2        The range of the profit sharing can go between 5% to 60% depended

             on the project and the participant of the introducer

 

5.4       Sample of Business Opportunity

 

Let say one of our colleague has received an opportunity to supply a contract a certain amount of values i.e. RM 100,000. However he is not in position to perform the contract due to various reasons. Thus he proposed to OP 78 to undertake the projects.

 

Cost of Business                                   RM 100,000 .00

Financing/cost of  business                    RM  75,000.00

including administration and other fees.

 

Profit/Loss                                            =    RM 25,000.00    

Other cost                                            =    RM 5,000.00

 

Net profit                                             = RM (25,000-5,000)

                                                            = RM 20,000

 

Lets  say BOD agrees that

 

a.       Introducer takes a percentage of the nett profit i.e. 60 %.

 

b.      The financier will take a percentage of the nett profit i.e.10%. The amount of finance secure from the financier will be return back.

 

c.       The company will take the balance of the profits.(35% of the net profit)

 

            At the end of the business year, BOD will decide on the profit/loss and recommend action based on the results of the business year. The shareholders will decides on the amount of money to be used for the mission/vision/objectives of the company and the remainder of the profit to be put into the company and increase the working capital of the company.

 

Notice of Next Meeting

 

As agreed in the meeting on 31^st May 2003, the next meeting to discussed this Proposal will be:

 

            Date    :           28^th June 2003

            Day     :           Saturday

            Time    :           1430 HRS

            Venue             :           KGMTD, Kem Sungei Besi

 

Agenda:          To go through and discuss the merit of the proposal paper and to agree on the final content and approach of the company

·        Corporate and organizational matters

·        Business and operational matters

 

Please make your time to be there to discuss the opportunity to be part of a company, setup and design for the benefits and well being of all the members at heart.

 

To facilitate the arrangement and coordination on the part of the promoters, please notify the following on your attendance.

 

1.      OP Kamal G :  013-9802050

2.      OP Amir E : 016-2183627