The Company
Candlelight Cichlid Breeders, (CCB), will provide rare tropical fish for aquarists that cannot get them at their local pet stores. CCB ships live fish to its customers’ doors in just one to two working days anywhere in the continental United States. CCB can also deliver fish to local tropical fish shops. CCB will offer convenience and variety that is not available in traditional tropical fish-selling industries.
Candlelight Cichlid Breeders’#8217 will have livestock watering systems and aquariums as their assets. The tanks will be housed in an insulated steel structure.
CCB will be a sole proprietorship, owned by the founder, Shawn Halsey. For the first two years, Shawn Halsey will be the sole proprietor of the business. He will hire a general assistant as sales grow to assist with all aspects of operations.
The Product
Candlelight Cichlid Breeders will provide rare tropical fish from the family Cichlidae. These fish are known for being colorful and their aggressive behavior. CCB plans to breed as many as 30 cichlid species. CCB may also import fish that don’t readily reproduce in captivity.
As CCB develops, we hope to offer more live plants, unusual cichlids as well, new South American catfish species and some of the more commonly-used cichlid species. We do not plan to offer sales outside of the U.S.
The Market
Research has shown that fishkeeping is second in popularity (behind photography in the U.S.). We believe that there will approximately seven million Americans who own an aquarium by the end this year. We predict that about 5% (350,000), will visit our site within one year and that 2.5% (8.750), will actually purchase fish.
CCB sees this opportunity as most people do not have the means to access fish shops that sell a variety of cichlid species. Many of the most exotic and fascinating cichlids are not available in these shops. Furthermore, the current online fish sellers do not have any background and care requirements information for the fish that they sell. CCB will have both information on the species that we offer and the ability for you to order the research fish directly from our website. CCB will be operating in a niche market where established customer loyalty provides significant competitive advantage. CCB plans to offer a complete site that encourages the customer loyalty needed.
The company will target two market segments within the fish hobbyist industry. These are direct online sales for tropical fish collectors and fish retail stores in the company’s local area. Internet users living in the US and who own an aquarium will make up the largest segment of CCB’’s customer base.
Financial Projections
Our start-up costs will include equipment and building expenses. The start-up costs will be financed by an investor, a bank loan and a small owner investment of initial inventory and equipment.
We anticipate that we will achieve our ultimate goal of selling 50,000 units by 2005’s first quarter, when our breeding stock reaches its peak maturity. Because the industry is high in margins and has high inventory turnover, we expect high levels of profitability.
1.1 Objectives
The CCBՉ۪s most important targets are:
- You can trust us to deliver your parcels on time.
- A monthly sales volume of $10,000
- Maintain a ratio of six to one in inventory turnover
1.2 Mission
Candlelight Cichlid Breeders will supply hard-to-find tropical fish from the scientific order Cichlidae to aquarists that do not have access through their local pet shops. Up to 30 separate cichlid species will be bred by CCB, in addition CCB will import fish that do not readily breed in captivity. CCB can ship live fish anywhere in the continental United States to its customers within one to two working days. CCB will also deliver fish to tropical fish shops located within 100 miles from the breeding center. CCB will offer convenience, variety and a level of service that is unmatched in the traditional tropical fish industry.
1.3 Keys to Success
- Many species of tropical fish can be successfully bred.