Chapter Zero Ltd

A man who claims to be over a hundred years old is likely to be able to spin a good yarn. David Walker, 103 (he says), tells us his new software development company Chapter Zero is the first page of a very exciting book.

Name: David Walker
Age: 103
Business: Chapter Zero Ltd
Type of business: Software Development
Start date: Spring 2005

Tell us about your business.
Chapter Zero is a software development house that specialises in providing bespoke software solutions and creating innovative software before anyone else has worked out how to do it.

Was it your first business idea and where did it come from?
The original business grew out of the frustrations of working in former
companies from dealing with PAYE and related staffing issues and also from being the victim of poor decision-makers.

Was your decision to start a business inspired by any other companies or individuals?
Inspired? Maybe not – but I will admit to a certain robustness about being determined to succeed where others had reneged on important deals that felt like being set up for failure.

What makes you think there’s a market for your business?
It’s an undisputable fact that there’s a market for software development, and this will grow as the technology available progresses. The trick is to come up with smart solutions that do exactly what the customer wants, that are good value and can compete with offshore rates.

Once you’d decided to start a business, what did you do first?
I took a holiday. I knew it would be the last one for a good while.

What research did you do?
Business Link has been a useful point of reference in helping promote profitengine and taking part in the beta testing of one of our product’s websites. But overall the government centres have given conflicting advice and I have to admit it wasted a lot of time. .

Does the government need to provide more help to people trying to start a business?
Don’t get me started. The government is deplorable in its assistance for new businesses. Any concessions for new business we have discovered, have been extracted through dogged determination and indignant response to unrealistic demands on start-ups. Everyone wants to levy a charge before we’ve even made a penny. It’s a wonder any new business ever succeeds.

Talk us through the process of writing your business plan.
After 103 years you get to learn a thing or two - although the basic market research and leap of faith is always a component when forecasting future turnover and profit.

How useful has your business plan been and do you think you’ll stick to it as your business begins to grow?
The business model served a purpose but even in the space of 6 months, the original model has evolved in response to market demands. The original plan has enabled us to focus on being very cautious about expenditure and even now that we can see the income stream shaping up, we’re still only spending on essentials to ensure growth along with the viability of the infrastructure.

How much did it cost to start the business?
Think of a four digit number, add 23, divide by four, and add two more zeros and that’s about the sum of it.

How did you fund this?
I’d been fortunate enough to have surplus income from the past put aside that enabled the set up and running costs to date, but the bank has been very good in placing funds at my disposal should I need to dip into them.
Similarly, how are you funding your running costs until the business takes off? There’s a steady trickle of income arriving now, and our products are now well defined and honed. We’re closing a few deals that should secure the short to mid term future. The nature of bespoke software is that whilst the costs can run quite high, the profit margins are also significant if the product is right for the market place.