Sireletso Protective Group Business Plan — Business Development and Client Acquisition

How contracts are won, the sales cycle for corporate and high-net-worth clients, and the retention mechanics behind recurring revenue.

Business Development and Client Acquisition

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  • 9.1 Acquisition approach
  • 9.2 Contract structure and retention

9.1 Acquisition approach

Channel

Share of new contracts

Character

Cost

Direct corporate relationship

38%

Security and risk managers at listed and multinational corporates

Business development salary; long sales cycle

Referral from existing principals

24%

The highest-converting and lowest-cost channel

Relationship management only

Ad-hoc and event work converting to annuity

19%

A day-rate assignment that becomes a dedicated detail

Already carried in the ad-hoc line

Insurance broker and risk consultant introduction

11%

Brokers placing kidnap and ransom or duty-of-care cover

Relationship; occasional referral fee

Advisory engagement converting to protection

8%

A threat assessment that identifies a protective requirement

Already carried in the advisory line

Two of the five channels are conversions from work the Company is already performing rather than acquisitions in their own right. That is deliberate: the ad-hoc line at 44 per cent margin and the advisory line at 72 per cent are both profitable in isolation and together supply 27 per cent of new annuity contracts. An operator who treats ad-hoc work purely as capacity filler misses the point of it.

9.2 Contract structure and retention

Term

Standard position

Why

Duration

12 to 36 months for annuity work

Longer terms justify the recruitment and vetting investment

Escalation

Linked to the applicable wage determination, not CPI

A CPI-linked contract loses margin every year it runs

Notice

60 to 90 days

Time to redeploy officers rather than carry them idle

Scope

Written, with a defined escalation matrix and stated limits

Protects both parties; a condition of the professional indemnity cover

Rate review

Annual, against the wage settlement

Not renegotiation; a mechanical adjustment agreed at signature

Payment terms

30 days from invoice

Achieved at 62 days on average; the gap is the working capital problem

Renewal

Reviewed 120 days before expiry with a refreshed threat assessment

The refreshed assessment is the renewal conversation