Do you want to start a pool hall business and need to write a plan? If YES, here is a detailed sample pool hall business plan template & feasibility report.
Entrepreneurs are leveraging on the fact that people like to visit pool and billiard halls to to open new businesses in the industry.
People visit pool and billiard halls not just for playing games, but also to rent latest gaming machines that they do not have or can’t afford.
People also go to these halls to network and discuss over drinks and snacks. In case you don’t know, most pool and billiard halls start making profits within few months of establishment.
Opening a pool and billiard hall is not an easy task, and you need to be creative if you intend making money from your pool hall business. Here is a sample pool hall business plan that can give you the needed guide to write yours;
A Sample Pool Hall Business Plan Template
1. Industry Overview
Pool hall business is part of the pool and billiard halls industry and companies in this industry operate facilities where consumers can play cue sports, such as eight-ball and nine-ball. Also known as billiard halls, these facilities may also offer gaming machines, foosball, darts and other games.
Statistics has it that in the united states of America alone, there are about 1,399 licensed and registered pool and billiard halls responsible for employing about 11,249 employees and the industry rakes in a whooping sum of $951 million annually with an annual growth rate projected at -5.2 percent between 2013 and 2018.
It is important to state that no establishment has a lion share of the available market in this industry. Pool and billiard halls typically charge customers by the hour to use tables, with fees that generally range from $6.00 to $12.00. Some pool halls may also maintain coin-operated pool tables, where minimal staff supervision is needed.
Additionally, pool halls operate arcade games, prize machines and gear and merchandise sales, which provide another source of revenue for industry establishments.
Lastly, pool and billiard halls often sell food and beverages to customers, with operations that range from packaged snacks and vending machines to a full-service bar and restaurant.
Lastly, the need for you to equip your pool hall can’t possibly be overemphasized. This is because you need to make your business point as attractive as ever. You need comfortable chairs, tables, shelve for stocking billiard and pool games accessories amongst others.
2. Executive Summary
Ron Molly® Pool and Billiard Hall, LLC is licensed pool and billiard hall that will be located in one of the busiest streets in Santa Fe – New Mexico. We have been able to secure a standard facility in a central location in Santa Fe.
Ron Molly® Pool and Billiard Hall, LLC is going to become the number one destination for people who visit pool and billiard halls. We are well equipped to operate a licensed pool and billiard hall where people can play cue sports.
We will also offer gaming machines, foosball, darts and other games. Our pool and billiard hall has enough parking space to accommodate a good number of people.
We conducted a thorough market research and feasibility studies and we were able to come to the conclusion that Santa Fe – New Mexico is the right place to open our pool house.
Our client’s best interest would always come first, and everything we do is guided by our values and professional ethics. We will ensure that we hire professionals who are well experienced in the pool and billiards industry.
Ron Molly® Pool and Billiard Hall, LLC will be open 24 hours in a day during weekends (Fridays to Sundays) and from 6:00 am to 12 midnights from Mondays to Thursdays in order for us to accommodate people with different time preferences.
Ron Molly® Pool and Billiard Hall, LLC will at all times demonstrate her commitment to sustainability, both individually and as a business, by actively participating in our communities 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.
Ron Molly® Pool and Billiard Hall, LLC is owned by Ron Molly and his immediate family members. The business will be managed by Ron Molly and his son Gab Molly.
Ron Molly has over 15 years’ experience in the Pool and billiard halls industry working for some of the leading pool halls in Santa Fe – New Mexico.
3. Our Products and Services
Ron Molly® Pool and Billiard Hall, LLC is in the Pool and billiards industry to provide standard business for residents of Santa Fe – New Mexico, which is why we have been able to put up a facility that can help us achieve the goal. These are the services and amenities that will be made available to our clients;
- Cue sports
- Arcade games (gaming machines, foosball, darts and other games)
- Food service
- Cue sports merchandise sales
- Sale of coffee, alcohol and soda drinks, snacks and beverages
4. Our Mission and Vision Statement
- Our Vision of starting Ron Molly® Pool and Billiard Hall, LLC is to build a world – class pool and billiard hall that can favorably compete with leading brands in the industry all across the globe.
- Our mission for establishing Ron Molly® Pool and Billiard Hall, LLC is to contribute our quota in promoting gaming and social networking activities in Santa Fe – New Mexico and also to make profits from the Industry.
Our Business Structure
Ron Molly® Pool and Billiard Hall, LLC is in business to become the leading pool and billiard halls in the whole of Santa Fe – New Mexico and we are fully aware that it will take the right facility, management and organizational structure to achieve our goal.
We will ensure that we recruit only the best hands that can help us achieve all that we are set to achieve. The kind of the pool and billiard hall business we intend building and the business goals we want to achieve is what informed the amount we are ready to pay for the best hands available in and around Santa Fe – New Mexico.
Our business will not be built only for the purpose of giving our customers value for their money, but also, we will ensure that we make our pool and billiard hall is highly conducive for all our employees. 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
- Marketing and Sales Officer
- Cue Sports an Arcade Games Instructor/Assistant (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
- Creates, communicates, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for fixing prices and signing business deals
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
- Carries out induction for new team members
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Ensures operation of board games and other equipment by completing preventive maintenance requirements; calling for repairs.
- Carrying out staff induction for new team members
- Responsible for training, evaluation and assessment of employees
- Oversees the smooth running of the daily activities in the pool and billiard hall.
Cue Sports and Arcade Game Instructors/Assistant (5)
- Responsible for operating licensed pool and billiard hall
- Responsible for teaching newbies how to play cue sports
- Responsible for selling food, alcoholic beverages and nonalcoholic beverages
- Ensures that the cue sports facility and arcade games are well arranged for another playing session after every session
- Responsible for recommending the replacement of worn out or damaged games accessories
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
- 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
- Documents all customer contact and information
- Represents Ron Molly® Pool and Billiard Hall, LLC in strategic meetings
- Helps to increase sales and growth for Ron Molly® Pool and Billiard Hall, LLC.
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Provides managements with financial analyses, development budgets, and accounting reports
- 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 Ron Molly® Pool and Billiard Hall, LLC
- Serves as internal auditor for Ron Molly® Pool and Billiard Hall, LLC.
Client Service Executive
- Welcomes 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 pool and billiard hall
- Cleanses up after customers
- Clears ashtrays as and when required.
- 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 manager.
6. SWOT Analysis
Ron Molly® Pool and Billiard Hall, LLC is in business to provide cue sports and arcade gaming facility for gamers in Santa Fe – New Mexico and at the same time to make profits. We are aware that there are competitions in the Pool and billiards industry which is why we took out time to conduct an effective SWOT Analysis before investing our hard – earned money into the business.
We hired the services of a HR and Business consultant with bias in business structuring to help us conduct SWOT analysis for our organization and he did a pretty good job for us. Here is a of the result we got from the SWOT analysis that was conducted on behalf of Ron Molly® Pool and Billiard Hall, LLC;
One of the obvious positives that will definitely stand as a plus for Ron Molly® Pool and Billiard Hall, LLC is the fact that our facility is centrally located in a densely populated – residential area in Santa Fe – New Mexico; our location is in fact one of our major strengths coupled with the support from stake holders in the industry. Lastly our games are amongst the best that anybody living in Santa Fe – New Mexico can get.
We 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 pool and billiard halls in New Mexico when it comes to employing experts in the industry and generating the needed hype that can drive traffic towards our pool and billiard hall.
Pool and other cue sports are considered by consumers to be discretionary leisure activities. Consumers are more likely to spend money on discretionary leisure activities when income is high. In 2018, per capita disposable income is expected to increase, presenting a potential opportunity for Pool and Billiard Halls industry operators.
We are centrally located in one of the busiest areas in Santa Fe – New Mexico and we are open to all the available opportunities that the city has to offer. We will be open 24 hours in a day during weekends (Fridays to Sundays) and from 6:00 am to 12 midnight from Mondays to Thursdays giving us the advantage to leverage on any available opportunity.
Pool and billiard halls have experienced greater external competition in recent years due to the myriad of alternative entertainment options available to teens and young adults, often the primary market for industry operators.
These entertainment options include video game consoles, mobile devices and parallel industries, such as bowling centers and family fun centers. In 2018, external competition for the Pool and Billiard Halls industry is expected to increase, posing a potential threat to the industry.
7. MARKET ANALYSIS
- Market Trends
A close study of the pool and billiard halls industry shows that from the late 1990s onwards have seen substantial growth in the reach of cue sports and arcade games. This has been attributed to, among other factors, the Internet, which has made it easier for people to find out about games and to find opponents to play against.
Around the year 2000 the pool and billiard halls industry began significant growth with companies producing a rising number of new games to be sold to a growing worldwide audience. In 2010, a number of publications referred to the cue sports as having a new Golden Age. Pool and billiard halls are also growing in popularity.
On the internet, arcade games commonly feature enhanced content for players with broadband internet connection. These features include multiplayer modes, downloadable content and in-game chat functions, which can be free or provided on a fee or subscription basis.
Consumers are expected to increasingly use these online features. The percentage of services conducted online is expected to increase in 2019, representing a potential opportunity for the industry. Lastly, it is a common trend that as pool and billiard halls 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 pool and billiard halls now have fresh juice and smoothie bar, or retail food and drinks, within their facility to encourage people to relax and socialize. In order words, it is very important for pool halls to improvise if they want to grow their business and generate their target revenue.
8. Our Target Market
Aside from professional gamers, the target market for pool and billiard halls cuts across people of different walks of life. The fact that people visit pool and billiard halls for various reasons makes marketing the business interesting. These are the category of people that we intend marketing our pool hall to;
- Professional gamers
- College Students
Our Competitive Advantage
The Pool and billiard halls industry is indeed a highly competitive industry. Clients will only patronize your business if they are comfortable with the games you have or if you can provide the enabling environment and facility for them to socialize.
Ron Molly® Pool and Billiard Hall, LLC is centrally located in a densely populated – residential area in Santa Fe – New Mexico; this is obviously going to give us an edge amongst our competitiors. We equally have a team of highly qualified professionals who will work with all our clients.
So also, our game are amongst the best that anybody living in Santa Fe – New Mexico can get; it is easy to play and highly reliable. We will be open 24 hours in a day during weekends (Fridays to Sundays) and from 6:00 am to 12 midnight from Mondays to Thursdays in order for us to be able to accommodate people with different time preference.
Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and objectives.
9. SALES AND MARKETING STRATEGY
- Sources of Income
Ron Molly® Pool and Billiard Hall, LLC is established with the aim of maximizing profits in the industry and we are going to go do all it takes to attract both clients on a regular basis. Ron Molly® Pool and Billiard Hall, LLC will generate income by offering the following services;
- Cue sports
- Arcade games (gaming machines, foosball, darts and other games)
- Food and drink service
- Cue sports merchandise sales
10. Sales Forecast
We are quite aware that there are several business opportunities available for businesses like pool and billiard halls. We are well positioned to take on the available market in Santa Fe – New Mexico and we are quite optimistic that we will meet our set target of generating enough income/profits from the first six months of operation and grow the business and our clientele base.
We have been able to examine the Pool and billiard halls industry – market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. Below are the sales projection for Ron Molly® Pool and Billiard Hall, LLC, it is based on the location of our facility and the wide range of games that we will make available;
- First Fiscal Year (FY1): $280,000
- Second Fiscal Year (FY2): $470,000
- Third Fiscal Year (FY3): $650,000
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 economic meltdown and natural disasters within the period stated above. There won’t be any major competitor offering same services as we do within same location. 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.
We will leverage on improving on our services and facility to ensure that we win new clients and retain old ones as well. Our unique selling proposition is that we are well positioned, people can easily access our facility, and our payment platforms are highly reliable. Part of the marketing and sales strategies that we will adopt are;
- Open our pool and billiard hall with a big party in other to attract residents who are our first target
- Advertise our pool and billiard hall on national dailies, local TV and radio station
- Promote our pool and billiard hall online via our official website and all available social media platforms
- Making our first impression count positively to those making use of our pool and billiard hall for the first time
- Adopt direct mailing coupon marketing approach
- Position our signage/flexi banners at strategic places in and around Santa Fe – New Mexico
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 walk our way into the heart of our target market. We are set to become the number one choice for clients in the whole of Santa Fe – New Mexico which is why we have made provisions for effective publicity and advertisement of our business.
Below are the platforms we intend to leverage on to promote and advertise Ron Molly® Pool and Billiard Hall, LLC;
- Place adverts on both print (community – based newspapers and magazines) and electronic media platforms
- Sponsor relevant community – based gaming or sport events and competitions
- Leverage on the internet and social media platforms like; Instagram, Facebook, LinkedIn, twitter, YouTube, Google + et al to promote our brand
- Install our billboards in strategic locations all around Santa Fe – New Mexico
- Distribute our fliers and handbills in target areas all around Santa Fe – New Mexico
- List Ron Molly® Pool and Billiard Hall, LLC on local directories / yellow pages
- Advertise our pool and billiard halls 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 vehicles are well branded with our corporate logo et al.
12. Our Pricing Strategy
Since the bulk of our customers come from the middle class, it is advisable to set prices for playing our games on the moderate side. We will not allow the drive to recoup our money fast tempt us to set prices that can scare our customers off.
In view of that, our pricing system is going to be based on what is obtainable in the industry, we don’t intend to charge more and we don’t intend to charge less than what our competitors are charging in Santa Fe – New Mexico.
- Payment Options
The payment policy adopted by Ron Molly® Pool and Billiard Hall, LLC is all inclusive because we are quite 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 Ron Molly® Pool and Billiard Hall, LLC will make available to her clients;
- Payment with cash
- Payment via online bank transfer
- Payment via mobile money
- Payment via Point of Sales Machines (POS Machines)
- Payment via check
In view of the above, we have chosen banking platforms that will enable our clients make payment for playing our cue sports and arcade games and purchase of food and beverages without any stress on their part.
13. Startup Expenditure (Budget)
From our market survey and feasibility studies, we have been able to come up with a detailed budget for establishing a standard pool hall in Santa Fe – New Mexico and here are the key areas where we will spend our startup capital;
- 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 total cost for hiring Business Consultant – $2,500.
- The amount needed for the purchase of insurance policy covers (general liability, workers’ compensation and property casualty) coverage at a total premium – $5,800.
- The total cost for the purchase of accounting software, CRM software and Payroll Software – $3,000
- The total cost for leasing facility for the pool and billiard hall – $30,000.
- The total cost for facility remodeling – $20,000.
- 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) – $40,000
- The cost for start-up inventory – $15,000
- The cost for acquiring cue sports accessories, such as eight-ball and nine-ball and arcade gaming machines, foosball, darts and other games, comfortable chairs, tables, Air Conditions, Shelve for stocking board games and board games accessories amongst others. – $50,000
- The cost for the purchase of furniture and gadgets (Computers, Printers, Telephone, TVs, Sound System, tables and chairs et al) – $4,000.
- The cost of Launching a Website – $600
- The cost for our grand opening party – $5,000
- Miscellaneous – $5,000
We would need an estimate of two hundred and fifty thousand Dollars ($250,000) to successfully launch a medium but standard pool hall in the United States of America.
Generating Funds/Startup Capital for Ron Molly® Pool and Billiard Hall, LLC
Ron Molly® Pool and Billiard Hall, LLC is owned and managed by Mr. Ron Molly and his immediate family members. They decided to restrict the sourcing of the startup capital for the business to just three major sources.
- Generate part of the startup capital from personal savings and sale of his stocks
- Generate part of the startup 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 $150,000 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
Part of the plans we have in place to sustain Ron Molly® Pool and Billiard Hall, LLC is to ensure that we continue to make available a wide range of cue sports and arcade gaming facility, deliver quality services, improvise on how to do things faster and cheaper. We are not going to relent in providing conducive environment for our workers and also the required trainings that will help them deliver excellent services at all times.
From our findings, another factor that kills new business is financial leakages. In order to plug financial leakages, the management of Ron Molly® Pool and Billiard Hall, LLC will adopt the use of payment machine and accounting software to run the business.
We are quite aware that our customers are key component to the growth and survival of our business hence we are going to continuously engage them to give us ideas on how to serve them better and the products they want to see in our store. Ron Molly® Pool and Billiard Hall, LLC 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 retraining 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; 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 facility and remodeling the facility to fit into a standard pool and billiard hall: 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
- Printing of Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Purchase of the needed cue sports and arcade games and accessories, 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