Business Plan

Executive summary

The ISS Borealis Outpost project came about after discussion with members of IRON, G and Razor alliances, who all see a need for a neutral trading hub with a vibrant market in Pure Blind. The project differs from the Marginis outpost Project in that it is more aimed at changing demographics in the region, than to immediately profit from existing traffic patterns.

The Borealis outpost will be a neutral trade hub in 0,0 space, accessible to all Eve-players, similar to the ISS Marginis outpost in Catch. For the inhabitants in the north, the ISS Borealis will be a haven where 0,0 alliance members and private citizens from empire can trade and exchange goods. The presence of the outpost will help facilitate a larger permanent population in the region it is built in, as well as in the neighbouring regions.

The outpost will be built and controlled by a separate corporation controlled by ISS, called ISS Borealis Outpost corporation [ISSBO]. Shares in this corporation are offered for sale to all pilots in Eve, will cost 10m isk per share and have an expected annual return dividend of 6.1m ISK as well as provide an asset for sale.

Details on the ISS Borealis Outpost Project are outlined below. Some aspects of planning have been withheld or summarised for security reasons.

Outpost target market

Station Visitors
The primary target group of visitors to the station are expected to be the neighbouring alliances and empire traders with the stomach to run 0.0 trade routes.
The secondary target-group is POS operators and NPC hunters at the edge of the Pure Blind region.

The stations visitors are expected to be trade based:
- Inter-alliance sellers of POS products (Raws, Processed Materials, Advanced Materials)
- Inter-alliance buyers of POS products
- Alliance and inter-alliance sellers of named loot (Escrow)
- Empire buyers/sellers of Advanced Materials
- Empire sellers of Tech2 ships and equipment
- Alliance buyers of Tech2 ships and equipment
- Empire sellers of compressed ores (eg. Passive Targetters, Small Hull Repairers).
- Nearby POS owners
- ISS Alliance Members

Neighbouring alliance populations (potential visitors)
The figures below show number of pilots in the alliances claiming the neighbouring regions. It is anticipated that the majority of these alliances will trade at the outpost.

G Alliance	556
RAZOR Alliance	290
Imperial Republic of the North	949
Frege Alliance	254
United Confederation of Corporations	169
Ekliptika	313
Interstellar Starbase Syndicate	700
Total population nearby	3231

Project Timing

Details of the construction and deployment schedule are not released for security reasons.
From end of the IPO process, a 6 week plan for the construction has been devised.
This project is being managed by players with experience at establishing 0.0 outposts.
The Outpost to be operational on February 1, 2005.

The phases involved will be:

Investor Acquisition plan

Investors
Investors will be people looking for somewhere to make their ISK increase without performing effort for doing so.

The two key benefits to attract investors will be:
- Monthly Dividends (estimated at approx 5% per month (60% per year) based on IPO share price ie. dividend 500k / share / month)
- Re-sale of shares which increase in value (eg. The last ISS Outpost IPO saw shares rise from 10m isk at IPO to being traded at a current 17m within 2 months)

It is anticipated the following types of investors will be interested in buying shares:
- Pilots & Corporations in Neighbouring Alliances
- Wealthy Individuals (High net worth)
- Traders
- POS owners in nearby systems
- Established Players (Low/Medium net worth)
- ISS Marginis Outpost shareholders

Share Buying Proceedure
- A separate corporation 'ISS Borealis Outpost' [ISSBO] is created for the purpose of owning the station, selling the initial shares and returning dividends to shareholders.
- Count TaSessine and Serenity Steele both maintain the only alts in this corporation who check the wallet and issue shares.
- To make the shares accessible by the broadest number of players regardless of wealth, the share price is to be set at 10m ISK.
- Shares will be issued by the ISSMO only in minimum quantities of 10 shares (ie. 100m investment)
- In the event insufficient shares are sold to realise the project, the cash will be returned to investors and the corporation closed.

Steps for share issue for Corporations:
1) Corporations transfer the ISK to the wallet of 'ISS Borealis Outpost' corporation.
2) [ISSBO] Director/CEO Checks wallet within 24 hours.
3) The [ISSBO] transfers the shares to the corporation transferring the money and an evemail sent to the pilot initiating the transfer.

Steps for share issue for Pilots:
1) Pilots transfer the ISK to the wallet of 'Duke DeGulia' [ISSBO].
2) 'Duke DeGulia' checks wallet within 24 hours.
3) 'Duke DeGulia' transfers the shares to the person transferring the money and an evemail sent to the investor.

Steps for share trade:
As it is not possible to use a 'trade' window or escrow to sell shares, the buyer and seller must make two transactions. This leave the possiblity open for scams. (eg. person x receives ISK from person y, but doesn't transfer shares to person y). To avoid a scam market occuring, The [ISSO], [ISSMO] and [ISSBO] Corporation members can all broker share deals.

Initial Interest
Preliminary discussions with potential investors has shown levels of interest sufficient to go-ahead with the project:
- Neighbouring Alliances: 10bn ISK
- Wealthy Individuals: 6bn ISK
- ISS Management: 5bn ISK
- ISS Members : 4bn ISK

Share Release Plan
The share release plan is to be in two stages, in order to reach the following objectives:
- Provide a bonus to ISS alliance members for their efforts in seeing the outpost built
- Provide stability through shares sold to neighbouring alliances
- Ensure that no one-group monopolizes all shares in the outpost (Multiple stake-holders).
- Ensure that all shares are sold to realise the project

The time-scale has been compacted based on level of anticipated popularity.
All times are Eve-time.
22 Dec 18:00 to 24 Dec 18:00 : ISS Members & Neighbouring Alliances
24 Dec 18:00 to 31 Dec 18:00 : All Eve Players

Dividend Issue
- All funds from the outpost will go to the ISS Borealis Outpost corporation [ISSBO] (as per game mechanics).
- Dividends will be issued on the 1st of each month
- The whole amount in the ISSBO corporations wallet will be issued as a dividend to shareholders.

Location Selection

The outpost will be located in the 'Northern' Part of eve in unclaimed space between the northern alliances near Cloud Ring/Fade/Deklein.

The optimal location for the Trading Outpost has been selected by balancing the following criteria:
- Trade point in neutral space near the Northern Alliances and Empire
- Distance from NPC Stations
- Proximity to existing frequently travelled routes
- Large number of gates in the system
- Number and distance of primary and alternative routes to Northern regions
- Number and distance of primary and alternative routes to Empire

The specific location chosen will not be announced until the outpost is complete.

Outpost Security

There are two phases to the security. The following techniques will be used in each phase to ensure security

Build Phase
Security measures include:
- Only the outpost project crew will know final location of outpost until 2 hours before launch.
- No information published on deployment or build progress
- Multiple systems with sovereignty claimed in random systems in area.
- Large professional mercinary force employed for launch and defence of construction platform.

Operational Phase
Security measures will include:
- Multiple shareholders from neighbouring alliances and broader eve
- Multiple sovereignty POS run by ISS Management Corporations (ISSO, ISSL)
- >50% Moons will contain Large POS
- Only Large POS Used
- 60 days fuel reserves maintained in Outpost
- (Confidential) days fuel reserves stored at POS
- sovereignty POS will be independently economically viable
- (confidential) Backup 'Rapid Deployment POS' stored in Outpost
- sovereignty POS will have (confidential) weapons including Hardening arrays and EW
- ISS will allocate part of 'Defence Budget' to defending station
- Separate Military anti-pirate corporations have agreed to base from the outpost
- Docking policy (see below)

Station Management Policy

Office rental policy
The gallente outpost has 16 offices available. Allocation of offices will initially be as follows:
- 3 for ISS Management Corps: Interstellar Starbase Syndicate Operations, ISS Navy Task Force, ISS Logistics
- 13 for Big Investors/Public Auction: Investors who invest more than 2 Bn ISK will automatically be offered an office at normal rent conditions.
- If any office remain available, they will be auctioned on eve-online forums. Any ISK realised will go to shareholders as first dividend.
- After this, any corporation with neutral or +ve standings will be able to rent offices, enabling the free re-sale of offices by intvestors to other corporations
- Any offices that lapse rent and become free for more than 24hrs will be sold via private sale.

Factory and laboratory rental policy
All Factories and Labs will be available for public use. This is:
4 Factories
5 Labs: 1 Copying, 2 Material Efficiency, 2 Time Efficiency

Station Launch

Outpost Budget

Build Budget

Notes:
- Unspent ISK from the construction budget will be issued in the first dividend
- ISS fees will be paid as Shares from the 3400 total
- Emergency Fuel reserves are to ensure sovereignty in the case of the station or trade routes becoming blockaded. They are sold to the ISS Managing the POS at the investment price, no less, no more, and the funds will be used to replenish the supply.

Operational Revenue

Notes:
- Docking Fees per m3 of volume will initially be 0.2 ISK
- Docking Fees are based on the following docking average amounts per 24hrs: 25 Industrials, 10 Transports, 10 Cruisers, 1 Freighter, 10 battleships.
- Offices auctioned during the setup of the ISS Borealis will create a one-off dividend hit (this will help compensate for the share return between end of the IPO and launch of the station)

Overview

Why Invest

How to Invest

Business Plan

FAQ