Petting Zoo Business Plan
Below is our petting zoo business plan template and sample plan created using our business plan generator.
I. Executive Summary
Company Overview
Our family-run venture, Gentle Friends Family Farm, located in the heart of a vibrant community, is dedicated to providing a unique and educational experience centered around animal care and agriculture. Our farm offers an array of activities for families and individuals of all ages, including interactive animal shows, hands-on petting zoo experiences, and educational tours that highlight sustainable farming practices. At the core of our mission is the goal to foster a deep connection between our visitors and the natural world, promoting a greater understanding and appreciation for the animals that share our planet. Our commitment to animal welfare, education, and sustainable agriculture sets us apart as a premier destination in our region.
Success Factors
Our success stems from a combination of factors and accomplishments. Key among these is our unparalleled dedication to animal welfare and education, which ensures all interactions between animals and visitors are enriching and respectful. We have also made significant strides in sustainable farming, implementing practices that not only benefit the environment but also enhance the visitor experience. Our achievements to date, including the development of a loyal customer base and recognition in the community for our contributions to conservation and education, underscore our commitment to excellence and innovation in the field of family farming and animal care.
Industry Analysis
The family farm and petting zoo industry is experiencing a resurgence, with an increasing number of families seeking educational and engaging outdoor experiences. This trend is driven by a growing awareness of the importance of animal welfare, sustainable agriculture, and the benefits of hands-on learning experiences for children. Furthermore, the industry is supported by a strong community of animal lovers and environmental advocates, making it ripe for growth and innovation. Our farm is positioned to capitalize on these trends, offering a unique blend of educational programs, interactive animal experiences, and a commitment to sustainability that meets the evolving needs and values of our customers.
Customer Analysis
Our target customers are families with children, school groups, and individuals with a keen interest in animals and agriculture. We cater to those looking for educational yet fun outings, people passionate about animal welfare, and anyone interested in learning more about sustainable living practices. Our visitors value hands-on experiences and appreciate the opportunity to connect with nature in a meaningful way. By focusing on these groups, we tailor our offerings to meet their specific needs and interests, creating memorable experiences that encourage repeat visits and word-of-mouth referrals.
Competitive Analysis
Direct Competitors:
- Local Farms: Offer similar petting zoo and educational tour experiences.
- Zoological Parks: Provide animal shows and interactive experiences but at a larger scale.
- Agricultural Fairs: Seasonal competitors offering animal interactions and agricultural education.
Our competitive advantages lie in our unique animal shows and demonstrations, which are designed to be both educational and entertaining, and in our comprehensive petting zoo services that allow for deeper, more meaningful interactions between our guests and the animals. Our commitment to excellence in these areas ensures a distinctive and memorable experience that sets us apart from our competitors.
Marketing Plan
Our product offering encompasses a wide range of experiences, including interactive animal shows, educational tours, and hands-on petting zoo opportunities, all priced affordably to ensure accessibility for a broad audience. We aim to provide exceptional value, combining education and entertainment in a family-friendly environment. Our promotions plan leverages social media platforms to engage with our community, offering behind-the-scenes looks, special event announcements, and exclusive offers. Additionally, we collaborate with local schools and organizations to host field trips and special events, further embedding ourselves in the community and driving attendance through group offers.
Operations Plan
Our operational focus is on ensuring the highest standards of animal care, visitor experience, and farm maintenance. Daily activities include feeding and health checks for animals, guided tours for visitors, and regular maintenance of farm infrastructure. We are committed to providing a safe, educational, and enjoyable experience for all visitors, which is supported by our comprehensive staff training in customer service and animal handling. Key milestones include the expansion of our educational programs and the development of new visitor attractions, aimed at increasing engagement and promoting our mission of sustainable agriculture and animal welfare.
Management Team
Our management team is composed of experienced professionals with backgrounds in animal care, agriculture, and business management. Together, we bring a wealth of knowledge and passion to our operation, ensuring that Gentle Friends Family Farm remains a leader in the industry. Our commitment to our mission drives us to continuously seek opportunities for growth and improvement, ensuring the long-term success and sustainability of our farm.
Financial Plan
To achieve our growth goals and further our mission, we are seeking financial investments to support the expansion of our facilities and programs. These funds will be allocated towards developing new visitor attractions, enhancing our educational offerings, and investing in sustainable farming technologies. Our financial plan is focused on maximizing the impact of these investments to ensure a sustainable and profitable future for Gentle Friends Family Farm.
Summary
Below is an overview of our expected financial performance over the next five years:
FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | |
---|---|---|---|---|---|
Revenues | $2,473,311 | $2,678,176 | $2,900,009 | $3,140,218 | $3,400,323 |
Direct Expenses | $1,100,419 | $1,156,480 | $1,215,397 | $1,277,316 | $1,342,389 |
Gross Profit | $1,372,892 | $1,521,695 | $1,684,612 | $1,862,901 | $2,057,933 |
Gross Profit (%) | 55.5% | 56.8% | 58.1% | 59.3% | 60.5% |
Other Expenses | $97,085 | $100,030 | $103,065 | $106,192 | $109,414 |
EBITDA | $1,275,806 | $1,421,664 | $1,581,546 | $1,756,708 | $1,948,518 |
Depreciation | $18,400 | $18,400 | $18,400 | $18,400 | $18,400 |
Amortization | $0 | $0 | $0 | $0 | $0 |
Interest Expense | $16,700 | $16,700 | $16,700 | $16,700 | $16,700 |
Income Tax Expense | $434,247 | $485,297 | $541,256 | $602,563 | $669,696 |
Net Income | $806,459 | $901,267 | $1,005,190 | $1,119,045 | $1,243,722 |
II. Company Overview
Gentle Friends Family Farm is a new Petting Zoo that has opened its doors to the community in Elyria, OH. As a newly established local petting zoo business, we are excited to bring a unique experience to our area, recognizing the lack of high-quality local petting zoos in our vicinity. Our mission is to provide an engaging, educational, and entertaining environment for families and animal lovers of all ages.
At Gentle Friends Family Farm, our range of products and services are designed to offer something special for everyone. We provide a variety of animal encounters that allow our visitors to get up close and personal with our friendly farm animals. Our educational programs are designed to inspire and inform guests about the wonders of the animal kingdom. For those looking to celebrate a special occasion, we offer birthday party and event hosting services that promise a memorable day for all attendees. Additionally, our animal shows and demonstrations are crafted to showcase the natural behaviors and talents of our animals, offering better quality and engagement than our competitors. For those unable to come to us, we also provide mobile petting zoo services, bringing the joy of animal interaction to your doorstep.
Located in the heart of Elyria, OH, Gentle Friends Family Farm is perfectly situated to serve our local community and visitors from surrounding areas. Our facilities are designed to ensure a safe, accessible, and enjoyable experience for all our guests, making us a prime destination for family fun and learning.
Our confidence in the success of Gentle Friends Family Farm stems from several key factors. Firstly, our founder brings invaluable experience from previously running a successful petting zoo business. This expertise is complemented by our commitment to offering superior animal shows and demonstrations, as well as a broader range of petting zoo services than our competitors. These strengths position us uniquely in the market and fuel our ambition to become a beloved destination in Elyria, OH.
Since our founding on January 4th, 2024, Gentle Friends Family Farm has achieved several significant milestones as a Limited Liability Company. We have developed a compelling company name and logo that encapsulate our values and mission. Additionally, we have secured a fantastic location that serves as the perfect backdrop for our animal encounters and educational programs. These accomplishments mark just the beginning of our journey, and we are excited about the future of Gentle Friends Family Farm as we continue to grow and serve our community.
III. Industry Analysis
The Petting Zoo industry in the United States is currently a thriving market, with an estimated size of $1.2 billion in annual revenue. This industry has seen consistent growth over the past few years, driven by an increasing interest in animal welfare and experiential activities for families. With more and more people looking for unique and interactive ways to connect with animals, Petting Zoos have become a popular choice for entertainment and education.
Market research indicates that the Petting Zoo industry is expected to continue growing at a steady pace in the coming years. By 2025, experts project that the market size will reach $1.5 billion, representing a significant increase in revenue and opportunities for businesses in this sector. This growth can be attributed to the rising demand for family-friendly activities and the appeal of hands-on experiences with animals.
The trends in the Petting Zoo industry bode well for Gentle Friends Family Farm, a new Petting Zoo serving customers in Elyria, OH. As more consumers seek out authentic and engaging experiences, businesses like Gentle Friends Family Farm are well-positioned to attract visitors looking for a fun and educational day out. By offering a unique and interactive environment for guests to interact with a variety of animals, Gentle Friends Family Farm has the potential to capitalize on the growing interest in Petting Zoos and establish itself as a top destination in the region.
IV. Customer Analysis
Below is a description of our target customers and their core needs.
Target Customers
We will target families, particularly those with young children, as our primary customer segment. This demographic is always looking for new, engaging, and educational activities outside the home. A visit to our petting zoo offers an interactive experience that is both fun and informative, appealing directly to this group’s desire for wholesome family outings.
Beyond families, we will also focus on schools and educational institutions. Field trips to our petting zoo provide a unique hands-on learning opportunity about animals, their habitats, and the importance of caring for the environment. This aligns perfectly with school curriculums that include biology, environmental science, and social responsibility.
Additionally, we will tailor our offerings to attract local residents looking for leisure activities. Whether it’s young adults seeking a unique date idea, seniors desiring a peaceful day out, or anyone interested in learning more about animals, we will provide an experience that is as entertaining as it is educational. Our events and programs will cater to the interests of a diverse local audience, ensuring that there is something for everyone at our farm.
Customer Needs
Gentle Friends Family Farm caters to the innate curiosity and desire for direct interaction with animals that many residents possess. By offering high-quality animal shows and demonstrations, the farm provides an educational and entertaining experience that engages visitors of all ages. Customers can expect not only to see but also to learn about the various animals, their habits, and habitats, enriching their visit beyond mere observation.
Aside from the educational aspect, the farm meets the need for a family-friendly outdoor activity that promotes bonding and physical activity. Visitors have the opportunity to walk around the premises, interact with the animals, and participate in hands-on activities. This creates an environment where families can spend quality time together, away from screens and the hustle of daily life.
The farm also fulfills the need for a unique venue for events such as birthday parties, school field trips, and community gatherings. By providing a setting that is both fun and informative, Gentle Friends Family Farm ensures a memorable experience for guests. The variety of animals and the immersive nature of the shows and demonstrations can cater to diverse interests, making it an ideal destination for events that aim to entertain and educate simultaneously.
V. Competitive Analysis
Direct Competitors
Gentle Friends Family Farm’s competitors include the following companies:
Mapleside Farms
Mapleside Farms offers a variety of attractions that cater to families looking for outdoor fun and educational experiences. These include apple picking, pumpkin patches, and themed festival events throughout the year. Their price points vary depending on the activity and season, providing packages that cater to families and groups.
Located in Brunswick, Ohio, Mapleside Farms serves the Greater Cleveland area and attracts visitors from across the region. The farm generates significant revenue through its diversified offerings, including special events like weddings and corporate functions.
Key strengths of Mapleside Farms include its scenic location, extensive variety of activities, and strong community ties. A potential weakness could be its seasonal reliance on weather conditions, which can impact visitor numbers and event scheduling.
Kingsway Pumpkin Farm
Kingsway Pumpkin Farm specializes in fall activities, featuring pumpkin picking, corn mazes, and hayrides. This seasonal focus allows for a concentrated offering that attracts families and school groups during the autumn months. Pricing is competitive, designed to attract local families looking for affordable entertainment.
This farm is situated in Hartville, Ohio, strategically placed to serve the Canton-Akron area. Despite its seasonal operation, Kingsway Pumpkin Farm achieves considerable revenue, bolstered by high visitor turnout during peak season.
The farm’s key strength lies in its focused seasonal offerings, creating a strong attraction during the fall. However, its operational limitation to one season could be seen as a weakness, potentially affecting year-round revenue generation.
Majestic Meadows Alpacas & Boutique
Majestic Meadows Alpacas & Boutique distinguishes itself by offering an interactive experience with alpacas and other farm animals, alongside a boutique that sells alpaca-wool products. The farm provides educational tours and private events, appealing to animal lovers and families. Their prices reflect the unique experience they offer, targeting mid to high-end customers.
Located in Medina, Ohio, Majestic Meadows serves a wide region, drawing visitors from the greater Cleveland area and beyond. The farm’s revenue is supported by its dual approach of offering both experiences and tangible products.
A key strength of Majestic Meadows is its unique attraction of alpacas, which sets it apart from traditional petting zoos and farms. A potential weakness could be the niche market focus, which might limit broader appeal.
Competitive Advantages
At our establishment, we pride ourselves on offering unparalleled animal shows and demonstrations, setting us apart from our competitors. Our team is dedicated to providing engaging, educational, and entertaining experiences for all ages, ensuring that every visit is memorable. The expertise and passion of our handlers shine through in each presentation, where we not only showcase the unique characteristics and abilities of our animals but also foster a deeper understanding and appreciation for them among our visitors. This commitment to quality and education in our shows and demonstrations is a cornerstone of our competitive advantage.
Moreover, we go beyond the typical offerings of a petting zoo with an expansive range of petting zoo services. Our aim is to create an interactive environment where guests can form meaningful connections with the animals. From hands-on feeding sessions to guided educational tours and special event hosting, we ensure that our services cater to the diverse interests and needs of our community. This breadth of services not only enhances the visitor experience but also positions us as a leader in our industry, distinguished by our comprehensive approach to animal interaction and care. Our dedication to excellence in both the quality of our shows and the variety of our services underscores our commitment to being a premier destination for animal lovers of all ages.
VI. Marketing Plan
Our marketing plan, included below, details our products/services, pricing and promotions plan.
Products, Services & Pricing
Gentle Friends Family Farm offers a unique and interactive experience for animal lovers and families looking for fun and educational outings. With a variety of services tailored to engage visitors of all ages, the farm provides an up-close and personal way to learn about and interact with animals. The farm’s offerings include Animal Encounters, Educational Programs, Birthday Parties and Events, Animal Shows and Demonstrations, and Mobile Petting Zoo Services, each designed to bring joy, education, and memorable experiences to its guests.
Animal Encounters are one of the farm’s most popular attractions, allowing guests to meet, feed, and interact with a wide range of friendly farm animals. This hands-on experience is designed to create lasting memories while fostering a deeper understanding and appreciation for animals. Guests can expect to pay an average of $10 per person for this immersive experience, making it an affordable and enjoyable activity for families and animal enthusiasts alike.
Educational Programs at the farm offer a deeper dive into the lives of farm animals, their care, and their roles in agriculture and nature. These programs are tailored for school groups, homeschoolers, and anyone interested in learning more about animals and farming practices. Priced at an average of $15 per participant, these programs combine educational content with interactive experiences to make learning fun and engaging.
For those looking to celebrate a special occasion in a unique way, the farm offers Birthday Parties and Events services. These packages provide a festive and interactive backdrop for celebrations, complete with animal encounters, guided farm tours, and dedicated party spaces. Pricing for these events starts at $200, offering a versatile and memorable option for birthday parties, family reunions, and other special gatherings.
Animal Shows and Demonstrations give visitors a chance to see farm animals in action. From sheep shearing demonstrations to interactive animal behavior showcases, these events are both entertaining and educational. With an average price of $12 per person, these shows provide an affordable way to learn about animals through dynamic and engaging presentations.
For those unable to visit the farm, Gentle Friends Family Farm brings the farm to you with its Mobile Petting Zoo Services. This service is perfect for schools, community events, and private parties, providing an opportunity for people to interact with animals in their own setting. The mobile petting zoo is priced starting at $250, depending on the size of the event and the number of animals requested, making it a convenient and exciting option for bringing the joy of animal encounters to any location.
Through its diverse range of services and commitment to providing engaging, educational, and enjoyable experiences, Gentle Friends Family Farm stands out as a premier destination for animal lovers and families in search of fun and learning opportunities. With affordable pricing and a wide array of activities, the farm promises memorable experiences for guests of all ages.
Promotions Plan
At Gentle Friends Family Farm, we understand the importance of effective promotional methods to attract and retain customers. Our strategic approach combines traditional and digital marketing tactics to ensure we reach a wide audience and create a memorable experience for our visitors.
One of the cornerstone strategies we employ is online marketing. We leverage the power of social media platforms such as Facebook, Instagram, and Twitter to engage with our audience. Through regular posts, stories, and live videos, we showcase the unique experiences available at our petting zoo, from cuddling with goats to feeding the ducks. This direct engagement helps us to build a community of animal lovers and keeps our audience informed about upcoming events, new animal arrivals, and special promotions.
In addition to social media, we utilize email marketing to keep in touch with our visitors. By sending out monthly newsletters, we provide updates, share fun animal facts, and offer exclusive discounts to our subscribers. This not only helps in retaining our existing customers but also encourages repeat visits.
Search Engine Optimization (SEO) plays a crucial role in our online marketing efforts. We ensure that our website is optimized with relevant keywords, so potential visitors can easily find us when searching for petting zoos and family-friendly activities in Elyria, OH. Our website is designed to be user-friendly, offering easy navigation and providing all the necessary information about our farm, including opening hours, location, and ticket prices.
Furthermore, we partner with local businesses and schools to cross-promote our services. By doing so, we tap into an already established community base and increase our visibility within the local market. Hosting special events, educational tours, and birthday parties at our farm also serves as a great promotional tool, creating unforgettable experiences that attendees are likely to share with friends and family.
To ensure we reach a broader audience, we also invest in targeted online advertising. Platforms like Google Ads and Facebook Ads allow us to reach potential visitors who have shown interest in similar attractions. By carefully selecting our target demographics and optimizing our ad campaigns, we maximize our visibility and attract more visitors to our farm.
Lastly, we encourage word-of-mouth promotion by providing exceptional customer service and unique, interactive experiences with our animals. Satisfied visitors are our best advocates, and their personal recommendations to friends and family are invaluable. We also encourage our guests to share their experiences on social media and review sites, further extending our reach.
At Gentle Friends Family Farm, we are committed to employing a well-rounded promotional strategy that not only attracts visitors to our petting zoo but also creates lasting memories that will keep them coming back. By blending online marketing with community engagement and exceptional visitor experiences, we expect to establish ourselves as a must-visit destination in Elyria, OH.
VII. Operations Plan
Our Operations Plan details:
- The key day-to-day processes that our business performs to serve our customers
- The key business milestones that our company expects to accomplish as we grow
Key Operational Processes
To ensure the success of Gentle Friends Family Farm, there are several key day-to-day operational processes that we will perform.
- Animal Care:
- Feed all animals according to their dietary requirements twice a day to ensure they remain healthy and happy.
- Perform daily health checks on each animal, looking for any signs of illness or distress.
- Ensure all enclosures and living spaces are clean, safe, and comfortable for the animals.
- Customer Experience:
- Greet all visitors warmly and provide them with a map and schedule of the day’s activities.
- Offer guided tours at set times throughout the day to educate visitors about the animals and how the farm operates.
- Ensure all staff are trained in customer service and animal handling to provide a safe and enjoyable experience.
- Maintenance:
- Conduct daily inspections of the farm’s infrastructure, including fences, shelters, and public amenities, to ensure everything is in good repair.
- Address any repair needs promptly to maintain a safe environment for both animals and visitors.
- Keep all pathways clear and accessible for visitors, especially those with accessibility needs.
- Marketing and Promotion:
- Update social media platforms daily with engaging content about the farm’s activities, special events, and featured animals.
- Respond to online reviews and inquiries promptly to maintain a positive image and encourage word-of-mouth referrals.
- Develop partnerships with local businesses and schools to offer group visits and special promotions.
- Financial Management:
- Track daily earnings from ticket sales, gift shop purchases, and any other revenue sources.
- Monitor and record all operational expenses, including feed, veterinary care, and maintenance costs.
- Review financial reports regularly to identify trends and areas for improvement in revenue and cost management.
- Health and Safety Compliance:
- Ensure all operations are in compliance with local, state, and federal regulations regarding animal welfare and public safety.
- Train staff regularly on emergency procedures and first aid to ensure they can respond effectively to any situation.
- Conduct regular safety drills and review emergency plans to ensure readiness.
- Staff Management:
- Schedule staff shifts to ensure adequate coverage during operating hours, including weekends and holidays.
- Conduct regular staff meetings to communicate any changes in operations, gather feedback, and ensure team cohesion.
- Provide ongoing training and professional development opportunities for staff to improve their skills in animal care, customer service, and farm maintenance.
Milestones
Gentle Friends Family Farm expects to complete the following milestones in the coming months in order to ensure its success:
- Secure Suitable Location: Identify and acquire a location that is accessible, secure, and suitable for a range of animals and the activities planned for visitors. This includes ensuring enough space for animal enclosures, parking, and potential expansion.
- Obtain Necessary Permits and Licenses: Successfully navigate local, state, and possibly federal regulations to obtain all necessary permits and licenses required for operating a petting zoo. This includes animal welfare licenses, business operation licenses, and any specific environmental permits.
- Infrastructure and Enclosure Development: Design and construct safe, comfortable, and engaging animal enclosures, visitor paths, and facilities such as restrooms, a ticket booth, and a gift shop. Ensuring the wellbeing of the animals and the safety of the visitors is paramount.
- Animal Acquisition and Welfare Plan: Acquire a diverse collection of animals that are suitable for a family-friendly petting zoo. Develop and implement a comprehensive animal welfare plan that includes regular health check-ups, a nutritious diet plan, and adequate living conditions.
- Hiring and Training Staff: Recruit and train a team that is passionate about animals and customer service. This includes animal caretakers, customer service representatives, and administrative staff. Staff should be trained not only in their specific job roles but also in emergency response and first aid.
- Marketing and Community Engagement: Launch a marketing campaign that targets families and schools within and around Elyria, OH. This should include social media marketing, partnerships with local businesses and schools, and hosting community events to raise awareness and build anticipation.
- Launch Our Petting Zoo Business: Officially open Gentle Friends Family Farm to the public with a grand opening event, ensuring all services are fully operational and staff are prepared for the influx of visitors.
- Implement an Operational Feedback Loop: Establish mechanisms for collecting feedback from visitors and staff to continuously improve the visitor experience and animal welfare. This could include surveys, suggestion boxes, and regular review meetings with staff.
- Achieve Operational Efficiency: Streamline operations to ensure costs are kept under control while maintaining high standards of animal welfare and visitor satisfaction. This could involve optimizing staffing levels, reducing waste, and negotiating better rates with suppliers.
- Get to $15,000/Month in Revenue: Implement revenue growth strategies such as seasonal events, membership programs, private event hosting, and merchandise sales to consistently achieve a monthly revenue target of $15,000. This milestone will be critical for ensuring the financial sustainability and future expansion of the petting zoo.
VIII. Management Team
Our management team has the experience and expertise to successfully execute on our business plan.
Management Team Members
Gentle Friends Family Farm management team, which includes the following members, has the experience and expertise to successfully execute on our business plan:
Theo Lee, CEO
Theo Lee brings a wealth of experience and a proven track record of success to Gentle Friends Family Farm as its CEO. With a rich history in the petting zoo industry, Theo has demonstrated an unparalleled ability to create and sustain engaging and profitable animal-centered attractions. His prior success in running a petting zoo business has endowed him with unique insights into animal care, visitor experience enhancement, and operational efficiency. Theo’s leadership and strategic planning skills are instrumental in steering Gentle Friends Family Farm towards its vision of becoming a beloved and lasting destination for families and animal lovers alike.
IX. Financial Plan
Summary
Below is an overview of our expected financial performance over the next five years:
FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | |
---|---|---|---|---|---|
Revenues | $2,473,311 | $2,678,176 | $2,900,009 | $3,140,218 | $3,400,323 |
Direct Expenses | $1,100,419 | $1,156,480 | $1,215,397 | $1,277,316 | $1,342,389 |
Gross Profit | $1,372,892 | $1,521,695 | $1,684,612 | $1,862,901 | $2,057,933 |
Gross Profit (%) | 55.5% | 56.8% | 58.1% | 59.3% | 60.5% |
Other Expenses | $97,085 | $100,030 | $103,065 | $106,192 | $109,414 |
EBITDA | $1,275,806 | $1,421,664 | $1,581,546 | $1,756,708 | $1,948,518 |
Depreciation | $18,400 | $18,400 | $18,400 | $18,400 | $18,400 |
Amortization | $0 | $0 | $0 | $0 | $0 |
Interest Expense | $16,700 | $16,700 | $16,700 | $16,700 | $16,700 |
Income Tax Expense | $434,247 | $485,297 | $541,256 | $602,563 | $669,696 |
Net Income | $806,459 | $901,267 | $1,005,190 | $1,119,045 | $1,243,722 |
Funding Requirements/Use of Funds
To accomplish our growth goals, Gentle Friends Family Farm needs $167,000 in funding. Key uses of this funding will be as follows:
Capital Investments | |
---|---|
Location Buildout | $50,000 |
Furniture | $10,000 |
Equipment | $20,000 |
Machines | $10,000 |
Computers | $2,000 |
Non Capital Investments | |
---|---|
Working Capital | $20,000 |
Initial Rent/Lease | $5,000 |
Staff Salaries for the First 3 Months | $30,000 |
Initial Marketing and Advertising | $10,000 |
Supplies | $5,000 |
Insurance | $5,000 |
Financial Projections
5 Year Annual Income Statement
FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
---|---|---|---|---|---|---|
Revenues | ||||||
Revenues | $2,473,311 | $2,678,176 | $2,900,009 | $3,140,218 | $3,400,323 | |
Total Revenues | $2,473,311 | $2,678,176 | $2,900,009 | $3,140,218 | $3,400,323 | |
Direct Costs | ||||||
Direct Costs | $1,100,419 | $1,156,480 | $1,215,397 | $1,277,316 | $1,342,389 | |
Total Direct Costs | $1,100,419 | $1,156,480 | $1,215,397 | $1,277,316 | $1,342,389 | |
GROSS PROFIT | $1,372,892 | $1,521,695 | $1,684,612 | $1,862,901 | $2,057,933 | |
GROSS PROFIT % | 55.5% | 56.8% | 58.1% | 59.3% | 60.5% | |
Other Expenses | ||||||
Salaries | $72,814 | $75,023 | $77,299 | $79,644 | $82,060 | |
Marketing Expenses | $6,067 | $6,251 | $6,441 | $6,637 | $6,838 | |
Rent/Utility Expenses | $6,067 | $6,251 | $6,441 | $6,637 | $6,838 | |
Other Expenses | $12,135 | $12,503 | $12,883 | $13,274 | $13,676 | |
Total Other Expenses | $97,085 | $100,030 | $103,065 | $106,192 | $109,414 | |
EBITDA | $1,275,806 | $1,421,664 | $1,581,546 | $1,756,708 | $1,948,518 | |
Depreciation | $18,400 | $18,400 | $18,400 | $18,400 | $18,400 | |
Amortization | $0 | $0 | $0 | $0 | $0 | |
EBIT | $1,257,406 | $1,403,264 | $1,563,146 | $1,738,308 | $1,930,118 | |
Interest Expense | $16,700 | $16,700 | $16,700 | $16,700 | $16,700 | |
PRETAX INCOME | $1,240,706 | $1,386,564 | $1,546,446 | $1,721,608 | $1,913,418 | |
Net Operating Loss | $0 | $0 | $0 | $0 | $0 | |
Use of Net Operating Loss | $0 | $0 | $0 | $0 | $0 | |
Taxable Income | $1,240,706 | $1,386,564 | $1,546,446 | $1,721,608 | $1,913,418 | |
Income Tax Expense | $434,247 | $485,297 | $541,256 | $602,563 | $669,696 | |
NET INCOME | $806,459 | $901,267 | $1,005,190 | $1,119,045 | $1,243,722 | |
Net Profit Margin (%) | 32.6% | 33.7% | 34.7% | 35.6% | 36.6% |
5 Year Annual Balance Sheet
FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
---|---|---|---|---|---|---|
ASSETS | ||||||
Cash | $789,157 | $1,696,247 | $2,706,053 | $3,834,170 | $4,913,307 | |
Other Current Assets | $212,300 | $229,884 | $248,926 | $261,684 | $283,360 | |
Total Current Assets | $1,001,458 | $1,926,132 | $2,954,980 | $4,095,854 | $5,196,668 | |
Intangible Assets | $0 | $0 | $0 | $0 | $0 | |
Acc Amortization | $0 | $0 | $0 | $0 | $0 | |
Net Intangibles | $0 | $0 | $0 | $0 | $0 | |
Fixed Assets | $92,000 | $92,000 | $92,000 | $92,000 | $92,000 | |
Accum Depreciation | $18,400 | $36,800 | $55,200 | $73,600 | $92,000 | |
Net fixed assets | $73,600 | $55,200 | $36,800 | $18,400 | $0 | |
Preliminary Exp | $0 | $0 | $0 | $0 | $0 | |
TOTAL ASSETS | $1,075,058 | $1,981,332 | $2,991,780 | $4,114,254 | $5,196,668 | |
LIABILITIES & EQUITY | ||||||
Current Liabilities | $101,598 | $106,606 | $111,863 | $115,292 | $120,983 | |
Debt outstanding | $167,000 | $167,000 | $167,000 | $167,000 | $0 | |
Total Liabilities | $268,598 | $273,606 | $278,863 | $282,292 | $120,983 | |
Share Capital | $0 | $0 | $0 | $0 | $0 | |
Retained earnings | $806,459 | $1,707,726 | $2,712,916 | $3,831,962 | $5,075,684 | |
Total Equity | $806,459 | $1,707,726 | $2,712,916 | $3,831,962 | $5,075,684 | |
TOTAL LIABILITIES & EQUITY | $1,075,058 | $1,981,332 | $2,991,780 | $4,114,254 | $5,196,668 |
5 Year Annual Cash Flow Statement
FY 1 | FY 2 | FY 3 | FY 4 | FY 5 | ||
---|---|---|---|---|---|---|
CASH FLOW FROM OPERATIONS | ||||||
Net Income (Loss) | $806,459 | $901,267 | $1,005,190 | $1,119,045 | $1,243,722 | |
Change in Working Capital | ($110,701) | ($12,577) | ($13,784) | ($9,329) | ($15,984) | |
Plus Depreciation | $18,400 | $18,400 | $18,400 | $18,400 | $18,400 | |
Plus Amortization | $0 | $0 | $0 | $0 | $0 | |
Net Cash Flow from Operations | $714,157 | $907,089 | $1,009,806 | $1,128,116 | $1,246,137 | |
CASH FLOW FROM INVESTMENTS | ||||||
Fixed Assets | ($92,000) | $0 | $0 | $0 | $0 | |
Intangible Assets | $0 | $0 | $0 | $0 | $0 | |
Net Cash Flow from Investments | ($92,000) | $0 | $0 | $0 | $0 | |
CASH FLOW FROM FINANCING | ||||||
Cash from Equity | $0 | $0 | $0 | $0 | $0 | |
Cash from Debt financing | $167,000 | $0 | $0 | $0 | ($167,000) | |
Net Cash Flow from Financing | $167,000 | $0 | $0 | $0 | ($167,000) | |
Net Cash Flow | $789,157 | $907,089 | $1,009,806 | $1,128,116 | $1,079,137 | |
Cash at Beginning of Period | $0 | $789,157 | $1,696,247 | $2,706,053 | $3,834,170 | |
$789,157 | $1,696,247 | $2,706,053 | $3,834,170 | $4,913,307 |