Chat with us, powered by LiveChat Review and assess your financial and market performance during the second year? Compare your actions with the strategy and plan you presented to the venture capitalists (inst | Wridemy

Review and assess your financial and market performance during the second year? Compare your actions with the strategy and plan you presented to the venture capitalists (inst

Format: You will present your plan in a PowerPoint presentation format. Please do not exceed 10 slides and please annotate your slides utilizing the speakers notes section at the bottom of each PPT slide. The speaker’s notes should not simply repeat information on the slide but provide a narrative that represents a complete analysis. The best reports will be clearly written, well justified, insightful, and realistic.

The Report to the Board should include the following components: 

  1. Review and assess your financial and market performance during the second year 
    • Compare your actions with the strategy and plan you presented to the venture capitalists (instructor) at the beginning of the competition and discuss the departures from the plan, how they were justified, and their outcome 
    • Evaluate the performance of the company. Identify and discuss the good, the bad, and/or the ugly, as might be the case 

2. Assess your current strategic position and the forward-looking market landscape, identifying your firm’s strengths and weaknesses and how it can compete in the future?

3. Identify and evaluate what you learned about managing a business as a result of completing the simulation.  

(1. Company Name: SAW Cycles

2. SWOT Analysis:

Strengths:

– Unique and high-priced luxury cycles

– Strong brand image and reputation in the market

– Skilled and experienced team

– High-quality materials and craftsmanship

Weaknesses:

– Limited market reach due to the high price point

– Dependence on a small group of suppliers for materials

– Limited product range compared to competitors

Threats:

– Intense competition from established players in the luxury cycle market

– Economic downturns affecting consumer spending on luxury items

– Disruption in the supply chain due to external factors such as natural disasters or political instability

Opportunities:

– Expansion into new markets with high demand for luxury cycles

– Diversification of product range to attract customers with varying budgets

– Partnership with complementary brands to offer bundled products and services

Decisions that did not work out as planned:

– Launching a limited edition cycle that did not generate as much interest as expected. This was due to poor marketing and lack of market research.

Decisions that worked out as planned:

– Introducing a new line of electric cycles that catered to the environmentally conscious market. This decision led to increased sales and positive customer feedback.

Changes to be made starting in Quarter 4 with VC funding and justification:

– Expansion into new markets with high demand for luxury cycles: With the VC funding, SAW Cycles can invest in market research and identify potential new markets to expand into. This will help diversify the customer base and reduce dependence on a single market.

– Diversification of product range: SAW Cycles can use the VC funding to invest in R&D and introduce new products that cater to customers with varying budgets. This will help attract a wider customer base and increase revenue streams.

– Marketing and advertising: SAW Cycles can invest in marketing and advertising to increase brand awareness and reach a wider audience. This will help in expanding the customer base and increasing sales.

– Production: With the VC funding, SAW Cycles can invest in new technology and equipment to improve production efficiency and reduce costs. This will help in increasing profit margins and reducing reliance on a small group of suppliers.) based on my company where i had only two types of cycle speedy and rockyand i opened web sales in bangalore and amsterdam and then invested in 

08/04/2023, 23:40 Summary of Decisions

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Corporate

Marketing

Company Name SAW

Personal Goals Wupendrum, Saiadithya

Have fun

Goals and Strategy Target Segments: 1 – Speed, 2 – Mountain

Strategic directions: focus on smaller, high margin segments focus on smaller, less costly geographic markets be �rst to market be the low price provider in the market

Modify Brand

SAW ROCKY [new]

SAW speed [new]

ESSENTIALS

Base components

BIKE FRAME

Rugged agile design for rough terrains (Rugged)

Sleek aerodynamic design for speed (Aerodynamic)

CARBON FIBER MATERIAL

Standard

TIRES

Mountain – high grip

Racing – fast

BRAKES

Standard disc

HANDLEBARS

Basic straight

Basic drop down

SAW ROCKY SAW speed

Quarter 1SAWSummary of Decisions

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Sales Channel

Manufacturing

Finance

SAW ROCKY [new]

SAW speed [new]

GEARS

24 speed (3 x 8)

SEAT

Polymer gel all-purpose

Polymer gel comfort (Comfort, Rugged)

ACCESSORIES

Re�ectors (front, back, spokes, pedals, wheel rims)

LIGHTS

Standard

SUSPENSION/SHOCK ABSORBERS

Front (Comfort, Rugged)

Open Store World Market

Opening: Rio de Janeiro Total store cost: 90,000

Open Webcenter Opening: World Market Total web sales center cost: 150,000

Fixed Capacity Fixed capacity available in current quarter: 0 Planned increase in �xed capacity: 16 Fixed capacity available in next quarter: 16

Stock

Stock Type Name of Owner Shares Price Per Share Total Amount Quarter

Common Stock Executive Team 15,000 100 1,500,000 1

Certi�cate of Deposit

3-month certi�cate of deposit account for current quarter 300,000

Q t l i t t t 1 50

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Quarterly interest rate 1.50

Interest to earn 4,500

,

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Corporate

Marketing

Goals and Strategy Target Segments: 1 – Mountain, 2 – Speed

Strategic directions: focus on smaller, high margin segments focus on smaller, less costly geographic markets be �rst to market

Modify Brand No new or modi�ed brands this quarter.

Feature R&D No R&D Investments.

Price and Priority

World Market Brand Available for Sale Retail Price Price Rebate Sales Priority

SAW ROCKY 2,000 50 1

SAW speed 1,900 100 2

Modify Ad No new or modi�ed ad designs this quarter.

Regional Media

World Market Media Cost rocky speedy

Leisure & Entertainment 10,000 10 10

Biking Magazines 4,500 10 10

General News Magazines 8,000 10 10

Total 178,724 178,724

Total number of inserts: 60 Total major media expenses: 357,448

Manage Web Pages

Manage Web Pages

Selection of

Quarter 5SAWSummary of Decisions

08/04/2023, 23:42 Summary of Decisions

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Web Page Content

Selection of Segment and Keywords

Regions Deployed with Quarterly Cost

World Market

rocky

speedy

Total web pages budget: 2,000

Mountain 1,000

Speed 1,000

Search Engine Marketing

Keywords Targeted to Mountain Segment Average Maximum

Industry Bid

World Market

3.31

ROCKY

Maximum Bid 2.01

Maximum Ad Budget 2

Keywords Targeted to Speed Segment Average Maximum

Industry Bid

World Market

1.99

SPEEDY

Maximum Bid 1.98

Maximum Ad Budget 2

Total paid SEM budget: 4

Social Media

World Market Social Media Start Stop Status Setup Cost Quarterly Budget

Social Networking – 8,000 3,500

Blog, Newsletter – 10,000 6,000

Total expenses in social media: 27,500

Buy Market Research Buying for: World Market Total Expenses: 20,000

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Sales Channel Open Store

World Market Operational: Rio de Janeiro Opening: Amsterdam

Total store cost: 153,000

Hire Sales People

World Market

City Annual Salary

Total Sales and

Service People

Specialized Training with Quarterly Cost

300 250 400 400

Service Recreation Mountain Speed

Rio de Janeiro 21,706 5 1 0 2 2

Total number of sales and service people in the prior quarter 5

Total number of sales and service people in the current quarter 5

Net change in number of sales and service people in region 0

Cost to hire new sales and service people 0

Cost to lay off sales and service people 0

Cost to employ sales and service people for the quarter 29,033

Total sales and service people budget: 29,033

Open Webcenter Operational: World Market Total web sales center cost: 60,000

Hire Web Sales People

Web Personnel

City Annual

Compensation Web Sales Web Support Total

Sales People

Bangalore, World Market 21,706 4 1 5

Summary Total number of web personnel in the prior quarter 5

Total number of web personnel in the current quarter 5

Net change in number of web personnel 0

Cost to hire new web personnel 0

Cost to lay off web personnel 0

Cost to employ web personnel for the quarter 27,133

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Manufacturing

Total web personnel budget: 27,133

Improve Web Productivity

Activities to Increase Purchase Probability Once a Visitor is at Your Site Start Stop Status

Setup Cost

Quarterly Budget

Toll-free phone number for advising customers in the decision making process and for handling service calls operational 3,000 3,000

Secure web site to insure privacy in taking orders via credit cards – 9,000 4,000

Advanced shopping cart and checkout procedures to make it easier to shop and place orders operational 23,000 7,000

Continuous upgrading of the product description, pricing, and order entry pages to improve content, visual appeal and navigation

operational 6,000 6,000

Customer pro�le data banks to store mailing information, credit card numbers, past purchases, etc. to facilitate purchases, customer service and data mining

– 26,000 12,000

Data mining to pro�le visitors and their web behavior in order to present product options that might best appeal to customers (customer pro�le banks must be set up at the same time)

– 40,000 10,000

Order tracking software to allow customers and service reps to track orders/shipments operational 10,000 8,000

Total expenses to improve web productivity: 37,000

Demand Projection

Last Quarter (Actual) This Quarter (Projected)

Number of Sales People

Demand per Sales Person

Total Demand

Number of Sales People

Demand per Sales Person

Total Demand

Stores 5 20.80 104 5 205 1,025

Web Sales Center 5 28.40 142 5 500 2,500

Total 10 246 10 3,525

Brand

Last Quarter (Actual) This Quarter (Projected) Capacity RequiredDemand Percent Demand Percent

SAW ROCKY 194 78.9% 1,025 29.1% 1,025

SAW speed 52 21.1% 2,500 70.9% 2,500

Total 246 100.0% 3,525 100.0% 3,525

Units / Quarter Units / Day

Operating capacity required to satisfy projected demand 3,525 55

Fixed Capacity

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Finance

Fixed Capacity Fixed capacity available in current quarter: 32 Planned increase in �xed capacity: 16 Fixed capacity available in next quarter: 48

Operating Capacity

Current Quarter Units per Day Units per Quarter

Fixed capacity 32 2,080

Operating capacity 30 1,950

Effective operating capacity after adjustment for worker productivity 28.50 1,853

Effective operating capacity needed for demand projection 55 3,525

Projected worker productivity 95

New direct labor cost/unit of operating capacity 95

New overhead cost/unit of operating capacity 22

Expense to change operating capacity (to be added to overhead) 0

Brand Production

Brand Produce

SAW ROCKY

SAW speed

Overtime

Maximum Overtime per Day Overtime Units per Quarter Productivity Average Labor Cost/Unit

1,853 95.0% 94.58

2,063 94.1% 106.15

2,250 92.3% 116.80

2,415 90.1% 126.98

2,556 87.4% 137.08

No overtime

1 hour

2 hours

3 hours

4 hours

Stock

Stock Type Name of Owner Shares Price Per Share Total Amount Quarter

Common Stock Executive Team 15,000 100 1,500,000 1

Common Stock Executive Team 5,000 100 500,000 2

Common Stock Executive Team 5,000 100 500,000 3

Common Stock Venture Capitalists 25,000 100 2,500,000 4

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Human Resources

Certi�cate of Deposit No cash remains in the 3-Month Certi�cate of Deposit account this quarter.

Short Term Loan No outstanding conventional loans this quarter.

Sales Force Compensation

Sales Force Compensation

Region Annual Salary Health Bene�ts

Package Weeks

of Vacation Pension

[% of salary] Compensation

per year

World Market 18,000 3 21,706Expanded coverage 1 week

Production Worker Compensation

Production Worker Compensation

Region Annual Salary Health Bene�ts

Package Weeks

of Vacation Pension

[% of salary] Compensation

per year

World Market 16,000 3 19,295Expanded coverage 1 week

,

08/04/2023, 23:40 Summary of Decisions

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Corporate

Marketing

Sales Channel

Goals and Strategy Target Segments: 1 – Speed, 2 – Mountain

Strategic directions: focus on smaller, high margin segments focus on smaller, less costly geographic markets be �rst to market be the low price provider in the market

Modify Brand No new or modi�ed brands this quarter.

Price and Priority

World Market Brand Available for Sale Retail Price Price Rebate Sales Priority

SAW ROCKY 1,200 50 1

SAW speed 1,500 100 2

Modify Ad No new or modi�ed ad designs this quarter.

Buy Market Research Buying for: World Market Total Expenses: 20,000

Open Store World Market

Operational: Rio de Janeiro Total store cost: 17,000

Hire Sales People

World Market

City Annual Salary

Total Sales and

Service People

Specialized Training with Quarterly Cost

300 250 400 400

Service Recreation Mountain Speed

Quarter 2SAWSummary of Decisions

08/04/2023, 23:40 Summary of Decisions

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Rio de Janeiro 20,500 5 1 0 2 2

Total number of sales and service people in the prior quarter 0

Total number of sales and service people in the current quarter 5

Net change in number of sales and service people in region 5

Cost to hire new sales and service people 3,524

Cost to lay off sales and service people 0

Cost to employ sales and service people for the quarter 27,526

Total sales and service people budget: 31,050

Open Webcenter Operational: World Market Total web sales center cost: 60,000

Hire Web Sales People

Web Personnel

City Annual

Compensation Web Sales Web Support Total

Sales People

Bangalore, World Market 20,500 4 1 5

Summary Total number of web personnel in the prior quarter 0

Total number of web personnel in the current quarter 5

Net change in number of web personnel 5

Cost to hire new web personnel 3,524

Cost to lay off web personnel 0

Cost to employ web personnel for the quarter 25,626

Total web personnel budget: 29,150

Improve Web Productivity

Activities to Increase Purchase Probability Once a Visitor is at Your Site Start Stop Status

Setup Cost

Quarterly Budget

Toll-free phone number for advising customers in the decision making process and for handling service calls – 3,000 3,000

Continuous upgrading of the product description, pricing, and order entry pages to improve content, visual appeal and navigation

– 6,000 6,000

Total expenses to improve web productivity: 18,000

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Manufacturing Demand Projection

Last Quarter (Actual) This Quarter (Projected)

Number of Sales People

Demand per Sales Person

Total Demand

Number of Sales People

Demand per Sales Person

Total Demand

Stores 0 0.00 0 5 30 150

Web Sales Center 0 0.00 0 5 30 150

Total 0 0 10 300

Brand

Last Quarter (Actual) This Quarter (Projected) Capacity RequiredDemand Percent Demand Percent

SAW ROCKY n/a n/a 150 50.0% 150

SAW speed n/a n/a 150 50.0% 150

Total 0 100.0% 300 100.0% 300

Units / Quarter Units / Day

Operating capacity required to satisfy projected demand 300 5

Fixed Capacity Fixed capacity available in current quarter: 16 Planned increase in �xed capacity: 0 Fixed capacity available in next quarter: 16

Operating Capacity

Current Quarter Units per Day Units per Quarter

Fixed capacity 16 1,040

Operating capacity 15 975

Effective operating capacity after adjustment for worker productivity 12.00 780

Effective operating capacity needed for demand projection 5 300

Projected worker productivity 80

New direct labor cost/unit of operating capacity 108

New overhead cost/unit of operating capacity 41

Expense to change operating capacity (to be added to overhead) 20,078

Brand Production

Brand Produce

SAW ROCKY

SAW speed

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Finance

Human Resources

Overtime

Maximum Overtime per Day Overtime Units per Quarter Productivity Average Labor Cost/Unit

780 80.0% 107.66

869 79.2% 120.83

947 77.7% 132.95

1,017 75.8% 144.53

1,076 73.6% 156.03

No overtime

1 hour

2 hours

3 hours

4 hours

Stock

Stock Type Name of Owner Shares Price Per Share Total Amount Quarter

Common Stock Executive Team 15,000 100 1,500,000 1

Common Stock Executive Team 5,000 100 500,000 2

Certi�cate of Deposit

3-month certi�cate of deposit account for current quarter 300,000

Quarterly interest rate 1.50

Interest to earn 4,500

Sales Force Compensation

Sales Force Compensation

Region Annual Salary Health Bene�ts

Package Weeks

of Vacation Pension

[% of salary] Compensation

per year

World Market 17,000 3 20,500Expanded coverage 1 week

Production Worker Compensation

Production Worker Compensation

Region Annual Salary Health Bene�ts

Package Weeks

of Vacation Pension

[% of salary] Compensation

per year

World Market 14,000 3 16,183Minimum package 1 week

,

08/04/2023, 23:42 Summary of Decisions

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Corporate

Marketing

Goals and Strategy Target Segments: 1 – Mountain, 2 – Speed

Strategic directions: focus on smaller, high margin segments focus on smaller, less costly geographic markets be �rst to market

Modify Brand No new or modi�ed brands this quarter.

Feature R&D No R&D Investments.

Price and Priority

World Market Brand Available for Sale Retail Price Price Rebate Sales Priority

SAW ROCKY 1,300 50 1

SAW speed 1,700 100 2

Modify Ad No new or modi�ed ad designs this quarter.

Regional Media

World Market Media Cost rocky speedy

Total 0 0

Total number of inserts: 0 Total major media expenses: 0

Manage Web Pages

Manage Web Pages

Web Page Content

Selection of Segment and Keywords

Regions Deployed with Quarterly Cost

World Market

1,000

Quarter 4SAWSummary of Decisions

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Sales Channel

rocky

speedy

Total web pages budget: 2,000

Mountain

Speed

Search Engine Marketing

Keywords Targeted to Mountain Segment Average Maximum

Industry Bid

World Market

2.4

ROCKY

Maximum Bid 0.00

Maximum Ad Budget 0

Keywords Targeted to Speed Segment Average Maximum

Industry Bid

World Market

1.95

SPEEDY

Maximum Bid 0.00

Maximum Ad Budget 0

Total paid SEM budget: 0

Social Media

World Market Social Media Start Stop Status Setup Cost Quarterly Budget

Social Networking – 8,000 3,500

Total expenses in social media: 0

Buy Market Research Buying for: World Market Total Expenses: 20,000

Open Store

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Open Store World Market

Operational: Rio de Janeiro Total store cost: 17,000

Hire Sales People

World Market

City Annual Salary

Total Sales and

Service People

Specialized Training with Quarterly Cost

300 250 400 400

Service Recreation Mountain Speed

Rio de Janeiro 21,706 5 1 0 2 2

Total number of sales and service people in the prior quarter 5

Total number of sales and service people in the current quarter 5

Net change in number of sales and service people in region 0

Cost to hire new sales and service people 0

Cost to lay off sales and service people 0

Cost to employ sales and service people for the quarter 29,033

Total sales and service people budget: 29,033

Open Webcenter Operational: World Market Total web sales center cost: 60,000

Hire Web Sales People

Web Personnel

City Annual

Compensation Web Sales Web Support Total

Sales People

Bangalore, World Market 21,706 4 1 5

Summary Total number of web personnel in the prior quarter 5

Total number of web personnel in the current quarter 5

Net change in number of web personnel 0

Cost to hire new web personnel 0

Cost to lay off web personnel 0

Cost to employ web personnel for the quarter 27,133

Total web personnel budget: 27,133

Improve Web Productivity

08/04/2023, 23:42 Summary of Decisions

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Manufacturing

Improve Web Productivity

Activities to Increase Purchase Probability Once a Visitor is at Your Site Start Stop Status

Setup Cost

Quarterly Budget

Toll-free phone number for advising customers in the decision making process and for handling service calls operational 3,000 3,000

Secure web site to insure privacy in taking orders via credit cards – 9,000 4,000

Advanced shopping cart and checkout procedures to make it easier to shop and place orders operational 23,000 7,000

Continuous upgrading of the product description, pricing, and order entry pages to improve content, visual appeal and navigation

operational 6,000 6,000

Order tracking software to allow customers and service reps to track orders/shipments operational 10,000 8,000

Total expenses to improve web productivity: 24,000

Demand Projection

Last Quarter (Actual) This Quarter (Projected)

Number of Sales People

Demand per Sales Person

Total Demand

Number of Sales People

Demand per Sales Person

Total Demand

Stores 5 23.00 115 5 200 1,000

Web Sales Center 5 26.40 132 5 200 1,000

Total 10 247 10 2,000

Brand

Last Quarter (Actual) This Quarter (Projected) Capacity RequiredDemand Percent Demand Percent

SAW ROCKY 195 78.9% 1,000 50.0% 1,000

SAW speed 52 21.1% 1,000 50.0% 1,000

Total 247 100.0% 2,000 100.0% 2,000

Units / Quarter Units / Day

Operating capacity required to satisfy projected demand 2,000 31

Fixed Capacity Fixed capacity available in current quarter: 32 Planned increase in �xed capacity: 0 Fixed capacity available in next quarter: 32

Operating Capacity

Current Quarter Units per Day Units per Quarter

Units per Day Units per Quarter

08/04/2023, 23:42 Summary of Decisions

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Finance

Units per Day Units per Quarter

Fixed capacity 32 2,080

Operating capacity 30 1,950

Effective operating capacity after adjustment for worker productivity

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