Developing a full-blown business plan. Regarding the business model that you will develop, it must require at least $200,000 of financing (both debt and equity), and it must be a full-time endeavor capable of servicing the financing requirements while providing you with a personal income after expenses in excess of $70,000 per year.
Sections:
Idea feasibility assessment
Underlying business plan research and analysis assessment
The business plan presentation clarity and professionalism
The compelling nature of the executive summary (the teaser)
NiteCap Sports Club
Concept:
Revamp vintage sports pub in Arnolds Park Okoboji Iowa that doubles and turns into a nightclub atmosphere later in the evening to drive sales from the current nightlife customers that already do go there. This bar has lost any and all care for its appearance, quality, and functionality as a business. It is in a fantastic spot and has stayed alive for decades despite being an incredibly beaten down dive bar.
Problems:
No Live bands
No TVS
No Bar Food
Very Limited Hours
Bar is open only on Fridays and Saturdays from 9pm-2am
Very little to no security which results in damages and fights
Potential Costs:
Initial Purchase cost: $500,000-750,000 (need to discuss with the owner, Kae, to get a more accurate number for purchase)
Renovations: $250,000-500,000 (200-250/sq ft.)
Entire gut and refinish of walls, ceilings, floors, tables, bar top, booths and bathrooms.
Installation of a new sound system and possibly new POS system.
Likely need to get the current tap and gun systems cleaned, fixed or replaced.
Retraining of employees.
New Hours:
During vacation season (open up the bar Wednesday, Thursday, Friday, Saturday, Sunday) (F, Sat from 12:00-2) and (W,Th, S 12:00pm-12:00)
Expected: Revenue/Year: $320,000-420,000
Based on the average spent/patron being $20
150 people turnover along the night with approx. 4 turnovers (12-3pm, 3-8pm, 8-11pm, 11-2am) on the weekends at around 22,000 dollars for a Friday and Saturday on a normal weekend.
When looking at massive weekends like the 4th of July, Labor Day, Memorial Day, and Winter games these numbers will be closer to $36,000 due to the influx of people for these 4 weekends.
When looking at the non-Friday/Saturdays we would be open that would drop to an average of $2,000/day still netting approximately $2,000-6,000 in lost revenue if the bar was not open.
Expected Operating Percentages of Revenue:
22% Beverages
25% Staff Wages
10% Rent/mortgage
4% Utilities
5% Insurance
3% Marketing
3% Repairs, Supplies, Licenses
Estimated 100,000+ in profit/year after expenses with beginning projection
Market niche:
I want to make this space a multiple target market space. This will bring in more people and boost revenues based on events happening throughout the day. I think it is important for bar owners to identify who is coming into their establishments throughout the day and tailor the space to those different crowds in order to hit more target markets which in turn creates more revenue. Otherwise you get a bar that is only busy at capacity for a few hours because the target market may be too small.
During the day, I want there to be sports, and other things similar to a venue like buffalo wild wings in terms of entertainment on the TVS. This will attract in a group of people that values going to a pub with their friends (likely guys) and spending hours drinking, playing pool, watching sports, and eating bar food. (12:00-5:00pm)
Secondly, I want some sort of live music going during the early evening (5-8 on Saturdays). This will attract older people and live music lovers. This market of people are also people that will be day drinking and as of now, the bar has no way of attracting these people in and are completely losing their money. This group of people may be a little older and likely will go home after their happy hour. This also will appeal to the people who were in the bar earlier in the day to stay for longer due to the incentive of the live music.
Finally, where this bar has strived is nightlife. We will revamp the nightlife and make it even better with updated sound systems, production, and entertainment via DJ’s. This is already the biggest target market of this bar so keeping this structure at night will be necessary along with adding the new target markets during the day for additional revenue. This will bring in college students, young adults and people that like to stay out late and have more of a party culture.
I need the plan to look something like the plan in terms of the overall structure that I have linked below. Obviously, tailor the plan to a bar rather than a photography company and add anything/take out anything you see fit to obtain the best product. I also attached a financial model example, please follow that structure when creating my three financial statements with the assumptions I have given. I also included an executive summary example as well.