The Spot is a new night club that will focus on attracting the students of State University, with a student population that exceeds 22,000 and growing by 15% each year. The night club will be located one block away from the main campus. The area already has three bars that have been thriving for the past 10 years. Each establishment has long lines waiting for entry each weekend. Recently, commercial space has become available next to the campus when two adjacent business relocated. The Spot will consolidate this space into a 5,000 square foot night club. The location is on the main street most often used by students. 1.1 Mission
It's not the lights; it's not the liquor; and it's not the sound. It's the people! And its the FUN! Successful nightclubs are based on an accurate understanding of the core customers. The mission of the Spot is to create a nightclub environment that satisfies the changing tastes and expectations of our core customers; i.e. college-age women. If the women come, the men will follow. In order to achieve this goal, we must constantly improve our response to the customers' entertainment needs. 1.2 Keys to Success
Provide exceptional service that leaves an impression with our core customers. Consistent entertainment atmosphere and product quality.
Managing our internal finances and cash flow to enable upward capital growth. Strict control of all costs, at all times, without exception. 1.3 Objectives
Capitalize on excellent location opportunity.
Launch the venue with a highly publicized grand opening event in the spring of Year 1. Maintain tight control of costs, operations, and cash flow through diligent management and automated computer control. Maintain food costs below 33% of food revenue.
Maintain total beverage costs below 25% of beverage revenue. Exceed $1 million in annual sales by the third year of plan implementation. Company Summary
The key elements of The Spot are:
Focus on attracting college-age women. The company will focus on design and musical themes that have mass appeal to college-age women. Location
One of the major advantages that the Spot will have over its competition will be its location next to the university campus. Exceptional service
In order to reach and maintain a unique image of quality, the Spot will provide attentive and friendly service. 2.1 Start-up Summary
The Spot has three owners, who will each invest $70,000.
Start-up Expenses to Fund
Start-up Assets to Fund
Total Funding Required
Non-cash Assets from Start-up
Cash Requirements from Start-up
Additional Cash Raised
Cash Balance on Starting Date
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Accounts Payable (Outstanding Bills)
Other Current Liabilities (interest-free)
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Total Planned Investment
Loss at Start-up (Start-up Expenses)
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Research and Development
Air Cond. Upgrade
Fees and Permits
Opening Salaries Deposits
Total Start-up Expenses
Other Current Assets
Products and Services
The Spot represents a unique opportunity create a high energy, dance-theme...
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