Shredding Company Business Plan Sample

The paper shredding industry has seen a surge in demand due to the need for security and protection against identity theft. This shredding company business plan sample will provide you with insight on what it takes to thrive in this competitive industry.

1.0 Executive Summary

“Uno Shredding Corp.” operating as “Uno Shredding” (The Company) was incorporated in the Province of Alberta on [to be incorporated] by President, Chase Wildon, and Director of Operations, Sandra Sheere. The company is offering a Paper and Electronics Shredding service to meet Calgary’s growing population. Furthermore, by providing a mobile service, Uno Shredding will meet rising residential demand for the destruction of paper and electronic products.

Today more than ever businesses and individuals store confidential information on paper documents and electronic devices. Uno Shredding helps companies and municipalities meet end of life (EOL) requirements for electronic waste also known as e-waste, and confidential paper documents. Our shredders and systems are used to help dispose, recycle and demanufacture electronics, paper documents as well as for secure data destruction.

Uno Shredding has two target audiences: residential customers and SMEs (small to medium-sized enterprises) in the Calgary Metropolitan Region. With more people working from home, the documents and electronics that were previously located in downtown Calgary offices are now in the residences of everyday people. Uno Shredding will meet this demand with their mobile shredding service; in addition, the company has identified an opportunity with SMEs.

Currently there are a handful of large shredding companies vying over Calgary’s biggest companies; meanwhile, SMEs and residents are left without a plausible shredding solution. Being locally owned and operated will enable Uno Shredding to provide the most secure and customized shredding service in the Calgary Metropolitan Region.

This business opportunity was identified by Mr. Chase Wildon, who has an extensive background in the industry. Chase has 9 years of experience working with Iron Mountain Shredding as a Shredding Operator and Operations Coordinator. Working directly for one of the industry’s largest companies has provided Chase with experience and industry knowledge that is essential for this opportunity.

Uno Shredding Corp. is seeking two separate loans; a loan of $70,000 through the Canada Small Business Financing Program (CSBFP) for a mobile shredding truck, containers, consoles, and a loan of $20,000 through Futurpreneur Canada to develop a website, purchase business insurance, office equipment and supplies. With these funds, management’s ample experience, and executing on this very business plan, the company will capitalize on a clear market opportunity.

2.0 Business Overview

Uno Shredding Corp. is a provider of Paper and Electronics Shredding services in the Calgary Metropolitan Region. Being locally owned and operated by Chase and Sandra Sheere, Uno Shredding is able to provide a customized approach to the destruction of paper and electronic products.

Chase has spent the last nine years working with Iron Mountain Shredding where he has gained invaluable experience as a mobile shredding operator and operations coordinator. Throughout this time, Chase has identified a demand for secure and mobile shredding solutions for Calgary’s residential and small business community.

As a small enterprise itself, Uno Shredding will minimize overhead and operating costs, while providing a paper and electronics shredding solution, which is in clear demand as more and more people are working from home. Furthermore, the paper and e-waste byproducts will be recycled at local facilities for a capital return.

2.1 Mission Statement

OUR MISSION IS TO OFFER THE MOST SECURE AND CUSTOMIZED SHREDDING SOLUTION IN THE CALGARY METROPOLITAN REGION; MEETING THE NEEDS OF BOTH RESIDENTIAL CUSTOMERS AND SMALL TO MEDIUM-SIZED ENTERPRISES.

2.2 Goals and Objectives

Secure $20,000 through Futurpreneur Canada
Establish a strong company website, purchase office equipment
Secure $70,000 through the Canada Small Business Financing Program
Purchase a mobile shredding truck, consoles
Officially launch the business on July 1, 2021
Gain NAID certification (National Association for Information Destruction)
Gain R2/RIOS certification (Responsible Recycling / Recycling Industry Operating Standard)

2.3 Key Success Factors

Executing our Sales & Marketing Plan, with a targeted Google Ads campaign
Maintain our focus on residential customers and SMEs
Strong internal communication
Providing a truly secure and confidential shredding solution
Cash flow management: keeping operating costs low while sustaining marketing

2.4 Staffing

MOBILE SHREDDING OPERATOR

Skills & Requirements

Driver’s license – Class 5 Clean driving record & clean criminal record check
Experience in transportation or the shredding industry
Strong customer service skills

Roles & Responsibilities

Operating a shred truck
Adhering to industry standards and expectations
Maintaining a professional image
Completion of “end of day log” and ensuring the truck is clean and maintained
Reporting all maintenance requirements of the truck and equipment
Customer service and up-selling our products and services

2.5 Management Team

Chase Wildon, President

3.0 Products and Services

Uno Shredding offers competitive rates, customizable contracts and service options. Customers can choose a one-time shredding, or retain our ongoing services at economic rates.

BUSINESS SHREDDING

One-time Shredding: Minimum charge of $75 + GST (up to X Volume)

All additional Y Volumes are charged at $20/Y Volumes

Business Shredding Contract: $200 + GST /month (1 Year Fixed Contract)

2 Visits per month

RESIDENTIAL SHREDDING

One-time Shredding: Minimum charge of $75 + GST (up to X Volume)

All additional Y Volumes are charged at $20/Y Volumes

ELECTRONICS SHREDDING

One-time Shredding: Minimum charge of $75 + GST (up to X Volume)

All additional Y Volumes are charged at $20/Y Volumes

Shredded paper will be recycled at Capital Paper in Calgary, AB. Westeshred will be compensated at X Volume for $Value. Shredded electronics will be recycled at Z Facility and compensated at a rate of X Volume for $Value.

Have Questions? Looking To Get Started?

4.0 Operations

PAPER SHREDDING PROCESS

Call or Email Uno Shredding

You will be pleasantly surprised at how helpful our document destruction experts are. They are looking forward to taking your call seven days a week to assist you with your shredding project. We will work with you to make your whole shredding experience a positive one by answering all of your questions, and understanding what your shredding requirements are so we can suggest which of our services are best suited for your needs.

Choose a Service

We make sure that we explain all of our service options to you so you can make an informed decision. You will be able to choose a document shredding service ranging from a single one-time shredding that is good for our clients that have an occasional need to destroy documents, to our ongoing scheduled shredding service when you have a regular and consistent need to destroy documents.

Get a Free Quote

Once you decide on your shredding service we will be able to give you a quote. Our pricing is very straightforward, and you will have no hidden or surprise charges when we arrive to provide our services. Once we’ve helped you choose the right service, you can then schedule your on-site paper or electronics shredding appointment. We are available Monday through Saturday, and offer same day and next day service so your documents will be shredded within 24 hours.

We Come to You

Once we arrive at your home or business, you’ll simply show us the documents you want destroyed, and we’ll do all the work. Your documents are put into a bin that is locked so your documents can be moved securely to our paper shredding truck waiting outside. Your documents will be completely destroyed, and you can even watch it happen!

Your Destroyed Items are Recycled

Our service is about the protection of private information for business and residential customers. Another added benefit of our service is it helps to protect the environment. All of the documents we destroy are then recycled. The shredded paper is sent to paper mills that turns them into paper pulp and then developed into paper towels and tissues. Additionally, electronics are recycled at Calgary’s leading e-waste facility.

ELECTRONICS SHREDDING PROCESS

Electronic data destruction by shredding destroys the drive platters, mechanisms, and electronic components rendering the data virtually unrecoverable. Complete physical destruction and smaller shred sizes ensure that your digital data is permanently destroyed. Using hard drives as an example, our shredding process consists of the following steps:

Remove the hard drive from the host unit.
Capture the serial #. (Option: marry serial # to host unit for improved chain of custody documentation.)
Issue chain of custody documents to transfer possession/ownership of the equipment and move to mobile data destruction truck.
Feed hard drives into shredder.
Shredder slices and dices into small pieces.
Shredded byproduct recycled by R2/RIOS.
We provide a “Certificate of Data Destruction” listing serial #, location and date.

Following every hard drive destruction service, our customers will receive a “Certificate of Destruction” confirming that the material has been securely destroyed. More than peace of mind, the “Certificate of Data Destruction” is proof that the information is no longer at risk of being compromised.

4.1 Equipment

The epicentre of our operations is our 2009 MDS 35GTI International Shred Truck, which we plan to purchase with a loan through the Canada Small Business Financing Program. In addition to our shredding truck we plan to purchase one hundred 65 gallon bins, and one hundred consoles. The bins will be purchased from https://bins4shredding.com/

4.2 Certifications & Licenses

We are taking steps to receive the following certifications by November 1, 2021:

National Association for Information Destruction (NAID) Certification

NAID AAA Certification® verifies secure data destruction companies’ services’ compliance with all known data protection laws through scheduled and surprise audits by trained, accredited security professionals, fulfilling customers’ regulatory due diligence obligations. Like the warranty on your printer, it is your assurance that the information destruction service you get from a NAID ‘AAA’ certified company meets your requirements for information destruction, which is that you are in compliance with any legal and contractual data destruction requirements you have.

R2/RIOS Certified Electronics Recycler

R2/RIOS is a certification for companies that recycle electronics in an environmentally friendly manner. A Certified Electronics Recycler must implement and be certified to two standards: R2 and RIOS. The Institute of Scrap Recycling Industry’s integrated program is designed to help recyclers improve their operations and meet the emerging needs of the marketplace. Responsible Recycling (R2) is a standard adopted by the industry to recognize quality, responsible recyclers that have strong and comprehensive environmental, health, and safety management systems. The Recycling Industry Operating Standard (RIOS) provides a framework for a management system that includes key operational and continual improvement elements for quality, environmental, health and safety performance.

5.0 Market Overview

The global Paper Shredding market is valued at USD $1.5 Billion in 2020 and is expected to reach USD $2 Billion by the end of 2026; growing at a CAGR of 4.4% during 2021-2026.¹

The Electronics Shredding Market is an emerging industry with massive growth potential. As we spend more of our lives on digital devices we leave a trail of confidential and sensitive information behind. Electronics that are most commonly shredded are hard drives, printed circuit boards, mother boards, cell phones, printers, servers, and more. We are committed to providing secure electronics data destruction, and ensuring e-waste is then recycled in an environmental and socially-responsible manner.

5.1 Market Trends

Increasing privacy concerns is one of the main reasons for the growth of the document shredding service market. Growing awareness among individuals about the danger of theft has resulted in the growth of document shredding services. Additionally, new regulations are making document shredding compulsory for businesses across various end-use industries.

The residential market for document shredding is another growth driver for the document shredding service industry. Advanced technologies coupled with strong internet penetration helps many well established companies to offer work from home to employees. These employees need to maintain confidentiality of documents even at home.²

Electronics shredding is a massive growth segment in the market. As people and businesses try to go paperless electronics will increasingly be used, and a demand for safe and secure e-shredding is required.

5.2 Competition

EnviroShred

4378 116 Ave SE, Calgary, AB T2Z 3Z9

Phone: (403) 265-7115

Commercial services only

Offers hard drive and media destruction

Pulp Shred

1815 27 Ave NE #6, Calgary, AB T2E 7E1

Phone: (403) 453-9009

Offers shredding bag pickup, but not on-site destruction

Only offers video verification of shredding if you sign up for their service

Best Shredding Services

3700 78 Ave SE #10, Calgary, AB T2C 2L8

Phone: 1(888) 464-3823

On and off site shredding for commercial services

Personal shredding is through drop-off service at warehouse

Also offers hard drive and media destruction

5.3 Competitive Advantage

Uno Shredding has two competitive advantages:

1.We are locally owned and operated. This allows us to provide a more customized approach to our customers. Where our competitors are national, and even worldwide brands, we are focused solely on the Calgary Metropolitan Region. Developing long-lasting relationships with our customers is a primary focus of ours, and if or when things return back to normal we will be committed to participating in, and sponsoring community-based events and activities.

2.Our focus on serving the residential market and small to medium-sized enterprises is a clear competitive advantage. Our website and marketing efforts will outline this focus on households and small businesses. Most shredding companies vie for large corporate contracts; which is where we differ, providing a direct service to the people and small businesses of Calgary.

5.4 Risk Analysis

A major share of documents in the shredding service industry is due to the heavy usage of paper. Paper is the most common form of printing; however, the recent drive to increase digitization and make paperless work popular worldwide is anticipated to modestly impact the growth of the document shredding service market. This decline is driven by individuals and businesses increasingly turning to digital alternatives, which long-term is anticipated to hamper the growth of the document shredding service market.

Response: Paper isn’t going anywhere. It will always be used to some extent. Furthermore, our focus on establishing ourselves as leaders in electronics shredding will hedge this risk.

Have Questions? Looking To Get Started?

6.0 Sales & Marketing Plan

Considering we are a small business with a limited budget, we will allocate our marketing budget to channels that are proven to convert. At the core of this Sales & Marketing Plan is our website, where we drive traffic to from a targeted Google Ads campaign.

Additionally, in Year 1 we will establish a foundation for SEO, where we publish two professional articles per month. Not only will this help our audience find us organically on Google, but we will also post these articles on social media; therefore, driving more traffic back to our website.

6.1 Key Channels

GOOGLE ADS

Targeted on the Calgary Metropolitan Region
Keywords including: paper shredding, mobile shredding, electronics destruction, electronic shredding, Calgary electronics shredding, document destruction
Will spend $1,000/month on ads and $250/month of ads management

SEARCH ENGINE OPTIMIZATION

Will have a copywriter develop two 1,000 – 2,000 word pieces of content per month and publish them on our website $750/month total
Google My Business optimization: work to get reviews from customers, and upload new pictures

SOCIAL MEDIA

Will develop a Linkedin business page to engage with small to medium-sized businesses in the Calgary area
Will establish a Facebook page to increase awareness of Uno Shredding with residential customers

6.2 Target Customer

RESIDENTIAL CUSTOMERS

25 – 65 years of age
All genders and ethnicities
Medium to upper income quintiles
Lives in the Calgary Metropolitan Region

SMALL TO MEDIUM-SIZED BUSINESSES

Businesses such as medical offices, dental offices, independent pharmacies, law offices, real estate offices, and education centres