Are you about starting a cheerleading gym? If YES, here’s a complete sample cheerleading gym business plan template & feasibility report you can use for FREE. Okay, so we have considered all the requirements for starting a cheerleading gym.
In the United States, Australia, Canada and United Kingdom et al, cheerleading is fast gaining ground as a business cum sports, that is why you can now find cheerleading gyms around you. Cheerleading ranges from chanting, to intense physical activity for sports team motivation, audience entertainment, or competition based upon organized routines.
Competitive routines basically range anywhere from one to three minutes, and contain components of tumbling, dance, jumps, cheers and stunting et al. If you are interested in the gym and fitness industry and you are looking for a business to do in the industry, you can consider starting your own cheerleading gym in your community.
Starting a cheerleading gym business can be capital intensive, but you can be rest assured that you will break even within a few years of starting it if you are in a location where people fancy entertainment team sports and if you have members of your cheerleading gym/team winning medals in competitions and also working for some sport clubs such as soccer teams, basketball teams and other team sports.
So, if you have decided to start your own cheerleading gym business, then you should ensure that you carry out thorough feasibility studies and also market survey. This will enable you properly locate the business in a good location; a location with the right demographic composition and then hit the ground running.
Business plan is yet another very important business document that you should not take for granted when launching your own cheerleading gym business. Below is a sample cheerleading gym business plan template that can help you to successfully write your own with little or no difficulty.
Sample Cheerleading Gym Business Plan Template
Table of Content
- 2. Executive Summary
- 5. Job Roles and Responsibilities
- 6. SWOT Analysis
- 7. MARKET ANALYSIS
- 13. Startup Expenditure (Budget)
1. Industry Overview
Cheerleading is a great combination of all things athletic – lifting (i.e. stunting), jumping and tumbling, in combination with music, performing, costumes and dance. These skills are combined into a 2.5 – minute routine which is judged against other cheerleading teams based on their level of difficulty, precision, creativity and entertainment value et al.
Before now, cheerleading was just for entertainment, but the sport of competitive cheerleading began in the early 1980’s, predominately in the USA, where athletes would groom their skills to stand a better chance of making their high school or college cheer team. As the sport began to gain recognition, gaining interest internationally as well as within the united states, loads of athletes and their families began to view competitive cheer as a sport that can bring laurels and medals.
If you are conversant with the sports coaching industry that cheerleading gyms belongs to, you will notice that growth in the industry has been boosted by an increase in sports participation, which has increased the pool of available participants in the industry.
Disposable income has also risen, increasing the number of consumers willing and able to afford discretionary purchases such as sports coaching instruction. Going forward, the industry will benefit from a continued rise in sports participation, as well as growing public interest in sports indicated by strong TV ratings for sporting events.
While demand is expected to be fairly strong for establishments in the industry, profit margins will shrink slightly, as low barriers to entry in the industry will cause an influx of new establishments into the industry, leading to increased levels of competition.
The Sports Coaching industry of which cheerleading gym line of business is a subset of is indeed a very large industry and pretty much thriving in all parts of the world especially in countries such as United States of America, Canada, United Kingdom, Germany, Australia and France et al.
Statistics has it that in the United States of America alone, there are about 138,148 licensed and registered standard gym facilities including those who are into franchising responsible for employing about 242,907 employees and the industry rakes in a whooping sum of $8 billion annually with an annual growth rate projected at 2.1 percent. No player in this industry can boast of having a giant market share in this industry.
A recent report released by IBISWorld shows that operators in the Sports Coaching industry have performed well over the five years to 2017, with industry revenue estimated to grow at an annualized rate of 3.0 percent to $7.6 billion over the five-year period. Increasing sports participation and rising per capita disposable income levels have supported demand for industry services.
The report also stated that the US population has increasingly participated in sports, and consumers’ financial wellbeing has enabled discretionary spending on services such as coaching. In addition to these factors, the rising cost of attending college has encouraged some parents to invest in sports coaching for their children, through camps and academies, to increase their likelihood of receiving a scholarship.
Over and above, starting a cheerleading gym facility business in the United States of America can be somewhat stressful, it requires enough cash to acquire land large enough to accommodate the kind of indoor cheerleading gym facility that can comfortably attract cheer enthusiasts and also cash required to equip the indoor cheerleading gym facility to meet the standard expected by potential users.
2. Executive Summary
Charlene Brown® Cheerleading Gym, Inc. is a standard and well equipped international cheerleading gym facility cum club that will be located in a growing community in Los Angeles – California. Our basic aim of setting up the business is to contribute our quota in ensuring that the United States of America continues to produce some of the best cheerleading teams in the world; cheerleaders that will dominate the sporting arena.
We have been able to secure a standard indoor facility in a central and easy to locate area in Los Angeles – California. We will be involved in spotting and grooming potential cheerleaders to become stars in the cheerleading sports. We are going to carry out services such as providing private cheerleading classes, providing group cheerleading classes, other related female entertainment sports training services, cheerleading and sports merchandise, apparel and other related indoor gym facility operations.
Prior to launching the business, we conducted a thorough market research and feasibility studies and we were able to come to the conclusion that Los Angeles – California community is the right place to open our cheerleading gym cum club facility.
Our cheerleading gym facility is specifically designed and built to take care of children as well as parents, we have active childcare services for toddlers and we have membership packages that are highly discounted for families that enroll in our cheerleading gym facility or schools and cheerleading teams who would want to regularly make use of cheerleading gym facility.
Charlene Brown® Cheerleading Gym, Inc. will at all times demonstrate her commitment to sustainability, both individually and as a business, by actively participating in the community and integrating sustainable business practices wherever possible. We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.
Charlene Brown® Cheerleading Gym, Inc. is a business that is owned and managed by Charlene Brown and her immediate family members. Mrs. Charlene Brown is a retired professional cheerleader and has robust experience in the cheerleading gyms and club industry; and she possesses a B.Ed. in Physical and Health Education, with loads of laurels to show for it. She is a licensed – professional cheerleading instructor.
3. Our Products and Services
Charlene Brown® Cheerleading Gym, Inc. is in the sports club industry cum cheerleading gym line of business to provide standard cheerleading gym facility cum cheerleading training for residents of Los Angeles – California which is why we have been able to put up a cheerleading gym facility that can help us achieve the goal. We are optimistic that everyone who makes use of our cheerleading gym facility will definitely derive maximum fun and of course good value for their money and time.
We are in this line of business to make profit, and we will ensure that we do all that is allowed by the law of the United States of America to achieve our business goals and objectives. These are the services and amenities that will be made available to our clients in our cheerleading gym facility;
- Providing private cheerleading classes
- Providing group cheerleading classes
- Other related female entertainment sports training services
- Cheerleading and sports merchandise and apparel
- Other related indoor gym facility operations.
4. Our Mission and Vision Statement
- Our vision is to build a world – class cheerleading gym facility and also to contribute our quota in encouraging people in Los Angeles – California to actively engage in cheerleading and other fitness and sports entertainment activities.
- Our mission for establishing Charlene Brown® Cheerleading Gym, Inc. is to create a movement in the community that supports total engagement in cheerleading and other fitness and sports entertainment activities. We want to contribute our quota towards ensuring that Los Angeles – California community produces some of the best cheerleaders in the whole of the United States of America.
Our Business Structure
Charlene Brown® Cheerleading Gym, Inc. is in business to become the leading cheerleading gym facility cum cheerleading club in the whole of Los Angeles – California and we will ensure that we put the right structure in place that will support the kind of growth that we have in mind while setting up the business.
We will ensure that we hire people that are qualified, honest, customer centric and are ready to work to help us build a prosperous business that will benefit all the stakeholders (the owners, workforce, and customers). As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of ten years or more.
Our business will not be built only for the purpose of giving our members/customers value for their money and time, but also, we will ensure that we make our work environment highly conducive for all our employees. We will provide them with employee packages that will help them stay motivated and deliver on their various tasks and goals.
In view of that, we have made provisions for the following positions to be occupied by highly qualified and experienced staff;
- Chief Executive Office – CEO
- Cheerleading Gym Facility Manager
- Marketing and Sales Officer
- Cheerleading Instructor/Trainer (5)
- Customer Care Executive/Front Desk Officer
5. Job Roles and Responsibilities
Chief Executive Officer – CEO:
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities
- Responsible for fixing prices and signing business deals
- Responsible for providing direction for the business
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
- Carries out staff induction for new team members
Cheerleading Gym Facility Manager
- Responsible for operating and managing the cheerleading gym facility cum cheerleading club
- Ensures that the cheerleading gym facility is in tip top position at all times
- Responsible for managing food and beverage services
- Manages membership and registration services
- Handles equipment rentals and sales services
- Handles other relevant cheerleading gym facility operations
Cheerleading and Safety Instructors/Assistant (5)
- Ensure that members follow laid down safety measures when they make use of our cheerleading gym facility and other fitness facilities available in our cheerleading gym
- Responsible for handling services such as providing private cheerleading classes, providing group cheerleading classes, other related female sports and entertainment training services, cheerleading and sports merchandise and apparel and other related indoor gym facility operations.
- Handles registration for cheerleading and sports tournaments and matches
- Responsible for handling and giving instruction for services such as meals and beverages, jogging and other related cheerleading trainings.
Marketing and Sales Officer (2)
- Identifies, prioritizes, and reaches out to new clients, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of projects
- Writes winning proposal documents, negotiate fees and rates in line with organizations’ policy
- Responsible for handling business research, market surveys and feasibility studies for clients
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Develops, executes and evaluates new plans for expanding increase sales
- Documents all customer contact and information
- Represents Charlene Brown® Cheerleading Gym, Inc. in strategic meetings
- Helps to increase sales and growth for Charlene Brown® Cheerleading Gym, Inc.
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting for the organization
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensures compliance with taxation legislation
- Handles all financial transactions for Charlene Brown® Cheerleading Gym, Inc.
- Serves as internal auditor for Charlene Brown® Cheerleading Gym, Inc.
Client Service Executive
- Welcomes members and potential members/clients by greeting them in person or on the telephone; answering or directing inquiries
- Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
- Through interaction with clients on the phone, uses every opportunity to build client’s interest in the organization’s products and services
- Manages administrative duties assigned by the management in an effective and timely manner
- Consistently stays abreast of any new information on the organizations’ products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients when they make enquiries
- Responsible for cleaning in and around the cheerleading gym facility
- Cleans up after customers and clean workout area
- Washes glassware and utensils after each use
- Maintains a clean working area by sweeping, vacuuming, dusting, cleaning of glass doors and windows, etc. if required.
- Ensures that toiletries and supplies don’t run out of stock
- Handles any other duty as assigned by the cheerleading gym facility center manager.
6. SWOT Analysis
Charlene Brown® Cheerleading Gym, Inc. is in business to provide cheerleading gym facility and cheerleading club for residents of Los Angeles – California and also help our clients achieve their fitness cum fun – filled activities and at the same time to make profit.
We are aware that there are competitions in the cheerleading gym and club industry which is why we took out time to conduct an effective SWOT Analysis before investing our hard – earned money into the business. We know that if we get things right before starting our cheerleading gym facility, we will not struggle to attract loyal clients and build our membership base to a level where we can break even in record time.
We are quite aware that there are several large, medium and small scale cheerleading gym facilities all over Los Angeles – California and even in the same location where we intend locating ours, which is why we are following the due process of establishing a business.
We know that if proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strengths, leverage on the opportunities that will be available to us, mitigate our risks and be welled equipped to confront our threats.
Charlene Brown® Cheerleading Gym, Inc. employed the services of an expert HR and Business Analyst with bias in the cheerleading gym and club industry to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives.
Here is a summary from the result of the SWOT analysis that was conducted on behalf of Charlene Brown® Cheerleading Gym, Inc.;
One of the apparent strengths that will definitely stand as a plus for Charlene Brown® Cheerleading Gym, Inc. is the fact that our cheerleading gym facility is centrally located in a densely populated – residential area in Los Angeles – California; our location is in fact one of our major strengths.
We equally have a team of highly qualified and experienced professionals, who will work with all our clients to achieve their aims making use of our cheerleading gym facility, and lastly our gate fee/membership package is going to be one of the best that anybody living in and around Los Angeles – California can get; it is cheap and affordable.
Before setting up this business, we critically looked into our business model and we were able to identify two major weaknesses. One is the fact that we are a new business and the second is the fact that we may not have the financial resources required to match up with existing cheerleading gym facilities cum cheerleading clubs, gym and fitness facilities and even government own sports facilities in Los Angeles – California when it comes to acquiring latest cheerleading and fitness equipment and also in generating the needed hypes that can drive traffic towards our cheerleading gym facility.
Part of the advantages we have is that we are centrally located in one of the busiest and densely populated areas with the right demographic composition in Los Angeles and we are open to all the available opportunities that the city has to offer. So also, the industry will benefit from a rise in sports participation, and a growing interest in sports camps.
Just like any other business operating in the cheerleading gym and club industry, some of the threats that are likely going to confront Charlene Brown® Cheerleading Gym, Inc. are unfavorable government policies, demographic/social factors, downturn in the economy which is likely going to affect consumer spending and lastly, the emergence of new competitors within the same location where our cheerleading gym facility is located.
7. MARKET ANALYSIS
- Market Trends
The cheerleading industry is part of the industry that has benefited from recent marketing campaigns which is targeted towards encouraging people (children inclusive) to participate in recreational activities and sports, as well as consumer trends toward healthy living.
Going forward, many people who are part of the baby boomers’ generation are expected to sign up their children for health and fitness club memberships or encourage their children to make use of available cheerleading gym and club facilities in their communities. However, patrons of cheerleading gym facilities are anticipated to increasingly pick up membership from less expensive facilities as against expensive all – inclusive clubs.
The trend in the gym industry of which cheerleading gym facility line of business is a subset of is such that if a facility is well – equipped and positioned in a residential area with the right demographic composition or a place where people can easily access without much stress, there is the likelihood that the cheerleading gym facility will enjoy high patronage.
Just like in other business ventures, the owners of cheerleading gym facilities are always looking for ways to increase their market share; they go as far as signing deals with high schools and also cheerleading clubs et al to make use of their facility.
It is a common trend that as cheerleading gym facilities grow, it becomes necessary for them to develop new service offerings or install new facilities that will help them attract more people. Little wonder some cheerleading gym facilities now have other facilities targeted towards attracting children. In order words, it is very important for cheerleading gym facilities to continue to improvise if they want to grow their business and generate their target revenue.
8. Our Target Market
The target market for cheerleading gym facilities and cheerleading clubs cut across children and young adults from different backgrounds. The fact that people visit or register in cheerleading gym facilities and cheerleading clubs for various reasons makes marketing the business interesting. The target market for cheerleading gym facility can be categorized into three various groups.
The first group are the individuals who are looking towards becoming professional cheerleaders and perhaps represent their state or country in cheerleading competitions and work for sports clubs/teams. The other group of people are schools who would want an ideal place to take their students/children to during cheerleading practice/training or excursions. The last group of people are cheer lovers who just want to engage in cheer training to stay fit and for the fun of it.
Charlene Brown® Cheerleading Gym, Inc. will work towards providing services, facilities and environment that will help us reach out to our target market. These are the category of people that we intend marketing our cheerleading gym facility and club to;
- Households and families who love cheers in an around Los Angeles – California
- Professionals cheerleaders looking for a cheerleading gym to train regularly
- Schools with cheerleading teams/clubs
- Cheerleading teams/clubs without standard cheerleading gym
The cheerleading gym and club industry is indeed a prolific and highly competitive industry. Clients will only make use of your cheerleading gym facility if they know that you can successfully help them achieve their goals or provide the enabling environment and facility for their children to learn and participate in cheerleading activities.
Charlene Brown® Cheerleading Gym, Inc. is centrally located in a densely populated – residential area with the right demographic composition (a good number of cheer enthusiasts) in Los Angeles – California; this is obviously going to give us an edge amongst our competitors.
We equally have a team of highly qualified professionals who will work with all our clients to achieve their aim of making use of our cheerleading gym facility and lastly our gate fee cum membership package is going to be one of the best that anybody living in and around Los Angeles – California can get; it is cheap and affordable.
Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category (startups cheerleading gym and cheerleading club facility businesses in the United States) in the industry. It will enable them to be more than willing to build the business with us, help deliver our set goals and achieve all our business aims and objectives.
9. SALES AND MARKETING STRATEGY
- Sources of Income
Charlene Brown® Cheerleading Gym, Inc. is established with the aim of maximizing profits in the cheerleading gym and cheerleading team/club facility line of business and we are going to go all the way to ensure that we do all it takes to attract both individual clients (families) and corporate clients on a regular basis.
In the nearest future, we will ensure that we add additional services so as to generate more revenue for the business, expand the business and also sell franchise to interested investors/partners. Charlene Brown® Cheerleading Gym, Inc. will generate income by offering the following services;
- Providing private cheerleading classes
- Providing group cheerleading classes
- Other related female sports and entertainment training services
- Cheerleading and sports merchandise and apparel
- Other related indoor gym facility operations
10. Sales Forecast
It is important to state that our sales forecast is based on the data gathered during our feasibility studies and also some of the assumptions readily available on the field.
It would be hard to create a sales forecast with a newly opened business like cheerleading gym facility. This is simply because the statistics that will be provided will be on a short – term basis. Experts say that usually a business should be in operation for at least one year before they can generate the statistics that will be needed to help in accurate forecasting; statistics should be at least one year old in order to show the trends and patterns in consumer spending.
We expect to welcome a minimum of 1,200 professional and amateur cheerleaders i.e. one hundred boxers per month within our first year of operation and then in subsequent years we will grow by 25 percent or more. Below are the sales projection for Charlene Brown® Cheerleading Gym, Inc. it is based on the location of our cheerleading gym facility and the services and products that we will be offering to our clients (members);
- First Fiscal Year-: $200,000
- Second Fiscal Year-: $450,000
- Third Fiscal Year-: $750,000
N.B: This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major competitor offering same additional services as we do within 4.5 miles’ radius from our cheerleading gym facility. Please note that the above projection might be lower and at the same time it might be higher.
- Marketing Strategy and Sales Strategy
Our marketing strategies will be directed towards achieving specific objectives that support the strategic goals of the organization. The truth is that all that we do will be geared towards creating new market channels, increasing sales and increasing our market share.
At Charlene Brown® Cheerleading Gym, Inc., our marketing strategies will be consistent throughout the marketing mix and we will take into consideration product improvement, promotion and price.
As part of our sales and marketing strategies, we will pay attention to the promotion of our cheerleading gym and club facility so as to attract families, individuals and cheerleading teams/clubs to enroll and become members of our cheerleading gym facility.
Our unique selling proposition is that we are well positioned and people can easily access our facility, our prices are affordable and we have a complete package for families, schools and cheerleading teams/clubs. Part of the marketing and sales strategies that we will adopt are;
- Open our cheerleading gym facility with a big party for people that reside in and around Los Angeles – California
- Advertise Charlene Brown® Cheerleading Gym, Inc. on national dailies, local TV and radio stations
- Promote our cheerleading gym facility online via our official website and all available social media platforms
- Introduce our cheerleading gym facility by sending introductory letters alongside our brochure to cheerleading teams/clubs, schools, corporate organizations, households and key stakeholders in and around Los Angeles – California
- Print out fliers and business cards and strategically drop them in sport centers, stadiums, offices, libraries, public facilities and train stations et al.
- Deliver good customer experience to all our members; making our first impression count positively to those making use of our cheerleading gym facility for the first time
- Make use of attractive hand bills to create awareness and also to give direction to our cheerleading gym facility
- Adopt direct mailing coupon marketing approach
- Position our signage/flexi banners at strategic places in and around Los Angeles – California
- Create a loyalty plan that will enable us reward our consistent members especially those that registered as a family or group
- Engage in roadshows within our neighborhood to create awareness for our cheerleading gym facility.
11. Publicity and Advertising Strategy
We have been able to work with our branding and publicity consultants to help us map out publicity and advertising strategies that will help us work our way into the heart of our target market. We are set to become the number one choice for both corporate and individual clients in the whole of Los Angeles – California which is why we have made provisions for effective publicity and advertisement of our cheerleading gym facility and club.
Below are the platforms we intend to leverage on to promote and advertise Charlene Brown® Cheerleading Gym, Inc.;
- Place adverts on both print (community based newspapers and magazines) and electronic media platforms
- Sponsor relevant community based sport events and competitions
- Leverage on the internet and social media platforms like; Instagram, Facebook, twitter, YouTube, Google + et al to promote our brand
- Install our billboards on strategic locations all around Los Angeles – California
- Engage in roadshow from time to time in targeted neighborhoods
- Distribute our fliers and handbills in target areas
- Contact Families, corporate organizations, cheerleading teams/clubs and schools by calling them up and informing them of Charlene Brown® Cheerleading Gym, Inc. and the services we offer
- List Charlene Brown® Cheerleading Gym, Inc. on local directories/yellow pages
- Advertise our cheerleading gym facility in our official website and employ strategies that will help us pull traffic to the site.
- Ensure that all our staff members wear our branded shirts and all our official vehicles are well branded with our corporate logo et al.
12. Our Pricing Strategy
Our pricing system is going to be based on what is obtainable in the industry, we don’t intend to charge more (except for premium and customized services) and we don’t intend to charge less than what our competitors are charging as gate fees or membership fee in Los Angeles – California.
Be that as it may, we have put plans in place to offer discount services once in a while and also to reward our loyal customers especially when they refer clients to us or when they register as a family or a cheerleading team/club, organization and school. The prices of our services will be same as what is obtainable in the United States’ open market.
- Payment Options
The payment policy adopted by Charlene Brown® Cheerleading Gym, Inc. is all inclusive because we are aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Charlene Brown® Cheerleading Gym, Inc. will make available to her clients;
- Payment by via bank transfer
- Payment via online bank transfer
- Payment via check
- Payment via bank draft
- Payment via mobile money
- Payment with cash
In view of the above, we have chosen banking platforms that will enable our clients pay us without any difficulty. Our bank account numbers will be made available on our website and promotional materials so that it will be easier for members to pay their membership fees (renew their membership).
13. Startup Expenditure (Budget)
When it comes to setting up any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a good amount of capital as you need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be creative and productive.
This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business.
The tools and equipment that will be used are nearly the same cost everywhere, and any difference in price would be minimal and can be overlooked. As for the detailed cost analysis for starting a cheerleading gym facility; it might differ in other countries due to the value of their money.
However, this is what it would cost us to set up Charlene Brown® Cheerleading Gym, Inc. in the United of America. These are the key areas where we will spend our start – up capital on;
- The total fee for registering the business in the United States of America – $750
- Legal expenses for obtaining licenses and permits – $1,500
- Marketing promotion expenses (8,000 flyers at $0.04 per copy) for the total amount of $10,000
- The cost for hiring business consultant – $5,000
- Insurance (general liability, workers’ compensation and property casualty) at a total premium – $30,800
- The cost of accounting software, CRM software and Payroll Software – $3,000
- The cost for leasing facility for the cheerleading gym facility – $250,000
- The cost for facility remodeling and equipping the facility with the required cheerleading and fitness equipment and machines – $150,000
- Other start-up expenses including stationery – $1000
- Phone and utility deposits – $3,500
- Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $100,000
- The cost for start-up inventory – $15,000
- The cost for acquiring various cheerleading and fitness training equipment, machines, sound system and supplies – $150,000
- The cost for the purchase of furniture and gadgets – $10,000
- The cost of launching a Website – $600
- The cost for our grand opening party – $15,000
- Miscellaneous – $15,000
We would need an estimate of $500,000 to successfully launch a standard and well – equipped cheerleading gym facility in Los Angeles – California. Please note that the salaries of all the employees for the first 3 months of operation in included in this budget.
It is important to state that the testing and evaluating expenses would be high because of the large amount of equipment needed to start up a cheerleading gym facility and also the sophistication of the technology used in modern day cheerleading training.
Generating Startup Capital for Charlene Brown® Cheerleading Gym, Inc.
No matter how fantastic your business idea might be, if you don’t have the required money to finance the business, the business might not become a reality. Finance is a very important factor when it comes to starting a business such as cheerleading gym and club business.
Charlene Brown® Cheerleading Gym, Inc. is a business that will be owned and managed by Mrs. Charlene Brown and her immediate family members. They are the sole financiers of the business which is why they decided to restrict the sourcing of the start-up capital for the business to just three major sources.
These are the areas we intend generating our start-up capital;
- Generate part of the start – up capital from personal savings and sale of his stocks
- Generate part of the start – up capital from friends and other extended family members
- Generate a larger chunk of the startup capital from the bank (loan facility).
N.B: We have been able to generate about $100,000 (Personal savings $80,000 and soft loan from family members $20,000) and we are at the final stages of obtaining a loan facility of $400,000 from our bank. All the papers and documents have been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.
14. Sustainability and Expansion Strategy
The future of a business lies in the number of loyal customers they have, the capacity and competence of their employees, their investment strategy and the business structure. If all of these factors are missing from a business (company), then it won’t be too long before the business closes shop.
One of our major goals of starting Charlene Brown® Cheerleading Gym, Inc. is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.
We know that one of the ways of gaining approval and winning customers over to pick up membership in our cheerleading gym facility is to equip our facility with state of the art cheerleading gym fitness and training equipment, and make our services affordable.
Charlene Brown® Cheerleading Gym, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re – training of our workforce is at the top burner.
We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; and they will be more committed to help us build the business of our dreams.
- Business Name Availability Check: Completed
- Business Registration: Completed
- Opening of Corporate Bank Accounts: Completed
- Securing Point of Sales (POS) Machines: Completed
- Opening Mobile Money Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Acquiring indoor gym facility and remodeling the facility: In Progress
- Conducting Feasibility Studies: Completed
- Generating capital from family members: Completed
- Applications for Loan from the bank: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Graphic Designs and Printing of Packaging, Marketing/Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Purchase of the needed cheerleading and fitness gym and fitness equipment, electronic appliances, office appliances and suppliers: In progress
- Creating Official Website for the Company: Completed
- Creating Awareness for the business both online and in the neighborhood: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Opening party/launching party planning: In Progress.
- Establishing business relationship with vendors and key players in the industry (cheerleading merchandize suppliers, cheerleading regulating bodies and cheerleading clubs): Completed