Dancing is a centuries-old tradition. Since centuries, ballroom dancing has been a part of social events. Swing and Latin are the Waltz or Foxtrots from days past. Social dance has been a constant presence in our lives for many years. It is in our medias, our musics and daily social functions. It isn’t usually taught parent-to-child so people are seeking schools where they can learn. Dancesport being considered as a gold sport in the next Olympics will increase exposure to Social and Ballroom Dance.
U&ME Dance is committed to providing quality, affordable dance instruction in Bellingham. Bellingham is home to a large and passionate ballroom dance group. But, there has never been a studio for people who want to learn dance and have fun with others of similar interests. Our goal is to integrate the existing dance community into our studio. This will allow us to start with a strong base. We will then be able spread the message that dancing can be fun and an exciting way to spend your time. There are many benefits to dancing that will attract people from many backgrounds and interests.
Toni Simler and Mary Evans, a mother/daughter team, are the founders and owners of U&ME Dance. They have both been very involved in ballroom and social dancing since 1995. Mary worked in Seattle dance studios as an instructor and manager. In the last three years, she taught private dance instruction as an independent contractor. Toni recently retired as a manager at Lucent Technologies. She worked there for 30 years in customer service, business administration, and contract management. She has been a dancer for over 30 years with her husband. They still dance socially. Toni, Mary and their strong partnership will ensure that U&ME Dance is a success.
1.1 Objectives
Here are the U&ME Dance goals and objectives from Years 1 through 3.
Make a dance school that’s warm and supportive. Customers will love it.
Provide a social and entertainment forum for people with diverse interests, backgrounds and ages.
Students of all levels can receive dance training, from beginners to professionals.
Encourage long-term employee commitment by providing ongoing training, benefits, and incentives.
Increase sales to $300K before the end of year 1 and maintain a 15% increase in annual growth.
1.2 Mission
U&ME Dance allows people to have fun, learn new dance moves, have fun, and be comfortable. We offer a varied dance program with price options for all levels of interest, with greater emphasis on group classes and small package sessions to reach dance skill objectives. Our instructors receive ongoing training from some of the most respected professional coaches in the area. Students are provided with the most up-to-date techniques and steps, and also have access to the latest trends in dance. U&ME Dance accepts all types of people. We also maintain a non-smoking, alcohol-free environment.
The concept of E3 Playhouse (E3) 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.
E3 Playhouse, which is in a startup position, has a starting date of July 2004. The business plan’s purpose is to estimate the start-up and ongoing cost, identify revenue streams, forecast net cashflow and profits. The company anticipates leasing venue space in June 2004, with a three-month buildout. We expect to open our doors to the public by mid-September. The company has a fiscal year that runs from July to June.
The company CEO is Michael Horne. Michael has extensive experience managing live entertainment venues in the Santa Cruz area, having successfully owned and operated a similar venue for six years. Wes Anthony is the owner of 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 venues offer guests a lively place to meet and mingle as well as an opportunity to take part in entertainment via interactive contests, theme nights and other events. 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.
The 6,600 sq. ft. complex will be home to the company’s corporate business offices. 200 to 400 people will be able to use the dance club and bar. Santa Cruz’s best entertainment venue, the venue will have state-of-the art audio, lighting and video systems. The venue will have a clean, open appearance that is pleasing to customers. The demographics are favorable with little competition from other venues and bars that specialize in dance music.
E3 will generate revenues through seven revenue streams that include products and services of the company.
Member Fees
Courses
Food and Beverage
Gate/Entertainment
Retail Merchandise
Arcade
Venue Booking
The management of seven different revenue streams involves maximizing each individual area’s performance before moving on to the next. Food/Beverage and Gate/Entertainment will provide the best stable revenue streams.
The venue appeals to four major market segments:
Young Professionals
College Students
Tourists and 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 provide a local solution to the lack of social atmosphere and live entertainment venues in the region.
This business plan will estimate startup and ongoing costs, identify revenue streams, and forecast net cashflow and profits. Initial start-up and operating capital of $190,260 is provided as paid-in capital by owner Wes Anthony.
The total investment for the owner is $190,000. We anticipate a start-up date of July 2004, with several months build-out of an appropriate leased space. A grand opening is scheduled for September 2004. Our targeted break-even month is July 2005, with an estimated monthly revenue break-even at $66,395, a per-unit variable cost of 60%, and fixed monthly costs of $26,558.
Due to start-up expenses, the total net profit for our first fiscal year is negative at $161,000 Our second year forecast predicts a positive net income of around $122,400. It will rise to $129,000. Our net cashflow for the first 12 months is $22,000. This figure will rise to $93,000 by year two and $81,700 by year three. We expect to end our first year with a cash balance totaling $23,000. That amount will increase to $117,000 by year two and $198,000 by year three. We anticipate our accounting net worth at the end of our first year to be approximately negative ($10,000), increasing to a positive $62,000 in our second year and $142,000 in our third year.
The owner is aware that it is extremely risky to open an entertainment-based restaurant. Failure to succeed could result in the owner losing all his capital and costs. The owner may consider investing in partners if the venture is not adequately capitalized. The return-on investments will be reviewed by the owner to see if additional capital can be provided. 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 purpose is to provide entertainment and community education for Santa Cruz residents. E3 Playhouse will offer unique entertainment and be affordable to all.
The purpose of E3 Playhouse is to provide the residents of Santa Cruz County, and beyond, with quality entertainment in an enjoyable, pleasant atmosphere. It will offer a place for social interaction, dancing, games, education classes and special events. The focus is on “Live” dance music including Salsa and Swing as well as R&B and Americana. The casual dining ambiance, quality of the food, and excellent service will ensure a large, loyal following of customers. There will be a beer and wine bar as well as live entertainment and an arcade.
1.2 Keys to Success
Three keys are key to success at the E3 Playhouse venue
Where? The E3 Playhouse’s strategic location will maximize the revenue from live entertainment customers. 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 located in a leased building. 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 will be to maximize the revenue per visitor and extend each visitor’s time spent at the venue.
1.3 Objectives
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 owner will fund the venture with his or her paid-in capital.
E3 Playhouse will provide entertainment, education, and a restaurant venue in downtown Santa Cruz. The facility will include a live entertainment venue, a restaurant, and community-based classes and workshops in music and the art. There will also be a retail section that offers arts-based merchandise. It will also offer rental services for Santa Cruz. These are the objectives:
Remodel a leased space and launch the venue within a $40,000 start-up budget, and an infusion of capital of $150,000 in the first month. After three months of leasing the space, the venue will be open. Leases are expected to begin in June 2004.
Reach a first-year sales goal of $427,757 and second-year goal of $1,222,164. Annual growth is targeted at a conservative 7% for the third year.
