The Nightclub will become the best, most energetic, high-energy theme dance and nightclub in Waldport. We want to be an example of excellence in service and stay ahead of the rest. We want our guests to have more enjoyment during their leisure times. We will offer more video and electronic technology per square foot than any other company in the area. Locals and tourists will feel ‘#8216’ connected with us through our simple but unique themed menu. Our operating motto is: “happy and enthusiastic employees create happy guests.”
The main objectives of the development of this new venue are:
Take advantage of this excellent opportunity and make a quick commitment to the Town Square development.
To launch the venue with a highly publicized grand opening event in the summer of Year 1.
To keep tight control over costs, operations, cash flow, through diligent management and automatic computer control
To maintain a food cost below 33% of food revenue.
To keep beverage revenue below 25% and maintain a lower total beverage cost.
To exceed $3 million in annual sales by the fourth year of plan implementation.
These are the keys for success in achieving our objectives:
Service that is exceptional and leaves an impression
High quality products and an enjoyable environment.
To enable capital growth, we must manage our cash flow and internal finances.
Strict control of every cost, at all time, without exception.
The concept of E3 Playhouse (E3) is to provide an entertainment, education, and restaurant venue in downtown Santa Cruz. It will feature a live entertainment stage, a restaurant and community-based arts and music courses. A retail component will sell arts-based merchandise. The Santa Cruz area can also rent the venue.
E3 Playhouse is in an initial position. The company’s start date is July 2004. The purpose of this business plan is to estimate start-up and ongoing costs; identify revenue streams; and forecast net cash flow and profits. The company will lease the venue space in June 2004. It will then have to build out the space for three months. We anticipate opening our doors to the public in mid-September. The company has a fiscal year that runs from July to June.
Michael Horne is the company’s CEO. Michael Horne is an experienced manager of live entertainment venues in Santa Cruz. In fact, he has owned and operated a similar venue for six consecutive years. Wes Anthony leads the management team. Wes Anthony is an experienced musician and educator who is uniquely qualified in developing entertainment and education venues.
The nightclub and bar industry is shifting toward a more entertainment-oriented concept. These bars and nightclubs offer guests an exciting place to mingle and mix, as well as a chance to be part of the entertainment via interactive contests and theme nights. We intend to heavily utilize entertainment-oriented marketing in an effort to withstand the perpetual shift in trends and cater to as large a client base as possible.
It covers 6,600 square feet and will house the company’s corporate office. 200 to 400 people will be able to use the dance club and bar. The venue will be equipped with state-of-the-art audio, lighting, and video systems, serving the need for a true entertainment venue in Santa Cruz. The overall appearance of the venue will be welcoming and clean. With minimal competition from other bars and venues that are dance-themed, the demographics are favorable.
E3 will generate sales through seven revenue streams that comprise the company’s products and services:
Membership Charges
Educational Courses
Food and Beverage
Gate/Entertainment
Retail Merchandise
Arcade
Venue Booking
Each revenue stream must be managed individually. This ensures that each revenue stream performs well and can be developed. Food/Beverage and Gate/Entertainment will provide the best stable revenue streams.
Four major market segments are attracted to the venue:
Young Professionals
College Students
Tourists & Business Travelers
Senior Citizens
The E3 Playhouse’s Santa Cruz location in the heart of downtown and its low competition are all major factors that will ensure the success of this venture. The proposed venue will offer a local solution for the lack of entertainment venues and social atmosphere in the area.
This business plan is used to forecast and forecast cash flow and profits, as well as estimate ongoing and start-up costs. Wes Anthony pays $190,260 as capital to start up and operate the business.
The total investment of the owner is $190,260. The owner anticipates a July 2004 start-up, with several months of construction of a suitable leased space. A grand opening is planned for September 2004. The July 2005 target month for break-even is July 2005. This would mean that the monthly revenue breakeven will be $66,395, which has a variable cost per unit of 60%, and fixed monthly expenses of $26,558.
Our first year’s net profit is expected to be negative ($161,000), due to start up expenses. Our second year forecast predicts a positive net income of around $122,400. It will rise to $129,000. Our projected net cash flow for year one is $22,000. It will rise to $93,000 the second year and $81,700 the third year. We anticipate ending the first year with a cash surplus of $23,000. The amount will increase to $117,000 for our second year and $198,000 for our third year. We anticipate that our accounting net value at the end if our first year will be approximately negative ($10,000), growing to a positive $62,000 second year, and to $142,000 third year.
The owner is fully aware of the high risk nature of opening an entertainment-based restaurant. The owner’s invested capital and expenses could be lost if the venture is unsuccessful. The owner may consider investing in partners if the venture is not adequately capitalized. Owners may also be asked to review their return-on-investment in order to determine if they can provide additional capital. In the event that net profitability cannot be attained, the owner will take sequential steps to exit the venture, as outlined in the Exit Strategy section of the Financial Plan.
1.1 Mission
E3 Playhouse’s mission is to provide entertainment, education and dining opportunities for Santa Cruz residents. E3 will provide unique entertainment that is affordable and accessible to everyone.
E3 Playhouse’s purpose is to provide Santa Cruz County residents and others with entertainment in a fun, friendly atmosphere. It will provide excellent an place and opportunity for social interaction with dancing, games, educational classes, and special events, with an emphasis on “Live” dance music, including Salsa, Swing, R&B, and Americana. You will enjoy a casual dining experience, good food, and great service. There will be a beer and wine bar as well as live entertainment and an arcade.
Success Keys 1.2
Three keys to success are the E3 Playhouse venues
Location The E3 Playhouse will strategically be located in order to maximize the income derived from live entertainment consumers. Santa Cruz will host this showcase. This is a perfect location for entertainment, community education, or a restaurant that features live music.
Low Operating costE3 playhouse will be managed to ensure maximum net profits and maintain targeted operating ratios. E3 Playhouse management plans to keep construction costs as low as possible for initial construction, and build out. The venue will be based in a leased space. All operating expenses will be kept to a minimum, with cost of sales and margins reviewed on a monthly basis. Cost of sales is targeted at 40%.
E3 Playhouse will offer entertainment, community education classes, a full service restaurant/nightclub, a arcade area, retail merchandise area and venue rental services. The objective is to maximize visitor revenue and prolong visitor time at the venue.
1.3 Objectives
This business plan is used to forecast and project net cash flow, profits and costs. The owner will fund the venture with his or her paid-in capital.
The concept of E3 Playhouse is to provide an entertainment, education, and restaurant venue in downtown Santa Cruz. It will offer live entertainment, a restaurant, community-based classes in music and the arts, a retail component with arts-based merchandise and rental services for Santa Cruz. The objectives are to:
Remodel a leased area and launch the venue within a $40,000 starting budget and an infusion capital of $150,000 for the first 30 days. The space will be ready for use within three months. Leasing is scheduled to begin in June 2004.
To achieve a first year sales goal of $427.757, and a second year goal of $1.222.164. A conservative 7% growth rate is expected for the third and fourth years.
EbonySun Entertainment Resort will be located in Gotham/Metropolis and is one of the biggest night life entertainment venues in the world. Mr. Clubb, the proprietor, has previously opened and operated 12 Gotham nightclubs. His extensive experience will help him launch the next all in one party place. EbonySun’s 400,000 square foot venue will allow people to have fun in a different way. There are 10 distinct themes of nightclub rooms that EbonySun offers. The facility can hold between 10,000 and 17,000 people on any given night. All adult residents of the Gotham/Metropolis are invited to enjoy an unforgettable nightlife experience. The facility will include 4 restaurants featuring different themes, 10 themed club rooms, 10 individual offices and training and conference spaces, as well 2 VIP rooms. It also includes a large sports center complex that can entertain all types of people from the area’s colleges and businesses.
The entertainment center will include an outside pool with waterfalls, mountains, and a beach for summer parties. The resort will offer parking facilities for 50,000 people and 4 helicopter landing platforms to accommodate business executives. This unique entertainment center is conveniently located near 150 colleges and universities making it attractive to college students.
EbonySun Entertainment resort will hold live concerts. It will have different themed club areas with entertainments such as South America’’s wildest party, the world’’s largest dance floors and water bars, Oxygen bars. New Orleans entertainment theme, 60’’s and 70’’s music entertainment, rooms featuring galaxy themes, country dancing central, rock and hip-hop floors, Broadway themes, and others. The Sports Center will have 100 TV terminals that show various sports events around the world and more than 200 gaming machines.
The goal is to provide a unique nightlife entertainment resort unlike any that exists anywhere in the U.S. at this time. The EbonySun Entertainment Resort is able to serve 8 million people in Greater Gotham/Metropolis with its unique themes.
To fund construction of the facility, and support its cash reserves during the first year, we are seeking $7.96 Million in equity financing. In addition to an equity stake in the company, investors will receive dividends up to three times their initial investment starting in the third year. This entertainment resort business plan was created to assist in the establishment of the venture, as well as seeking investment. Information about the investment opportunities can be found in financial topics.
Objectives
BigBank Corp management identified a need for a unique Nightlife entertainment resort in Gotham/Metropolis. With its proximity to hundreds of colleges, the resort will generate good revenues through entertainment. EbonySun is a project that aims to create the ultimate nightclub entertainment resort. It will feature multi-national themes, sports and dining to create an unforgettable night entertainment experience for Gotham’s college students and business leaders.
Your company will be the leader in Nightlife Entertainment. Make your facility unique by offering 10 different themes, multilever bars, live concert, multi-leverbars, various national themed rooms, huge dance floor, VIP luxury entertainment, etc.
Grab the opportunity to capitalize on a great location that has no rivals at large scale
Maintain tight control of costs, operations and cash flow through diligent management
Give customers a great experience and make them happy
Mission
EbonySun Entertainment Resort offers a unique and unmatched experience in Nightlife entertainment. We offer the highest quality entertainment in a variety of themed nightclub venues. Facilitate wildest party and dance events. Offer high quality, varied food services to people. Provide highest quality customer service through highly trained staff. Our goal is always to be ahead of the rest. We want our customers have more fun at leisure. We offer unique multi-cultural food services in world-class, theme-based nightlife entertainment centres. We are determined to be the American leader in nightlife entertainment.
Keys for Success
Here are the keys to success in achieving your goals:
Highest quality service.
Managing finances to increase profit by reducing operating costs.
Experienced management.
Creating a unique entertainment effect. Increasing the number of repeated customers.
Targeted Marketing through various advertising channels. Barriers to entry because of uniqueness of facility.
Securing financing
To keep and grow the referral network in order to increase repeat sales.