Are you about starting a science museum? If YES, here is a detailed sample science museum business plan template & feasibility report you can use for FREE.
The number of people that visit museums has continued to soar because we still have people who appreciate science related antiques and collectibles. Science museums will always be relevant because people will always appreciate ancient science relics. Depending on the scale you want to start, the startup capital for this type of business can range from moderate to high.
As a matter of fact, it is advisable to run a science museum along aside government institutions if indeed you want to maximize profits in the business. Below is a sample science museum business plan template that will help you to successfully write yours.
A Sample Science Museum Business Plan Template
- Industry Overview
Science museum is part of the museum industry and a science museum is a museum devoted primarily to science. Museums that brand themselves as science centers pay more emphasis on a hands-on approach, featuring interactive exhibits that encourage visitors to experiment and explore.
The Museum industry includes operators of art museums and galleries, historical museums, science, nature and technology museums, halls of fame, military museums and others. This industry engages in the preservation and exhibition of objects of historical, cultural and educational value and includes art galleries, art museums and other museums in general. This industry does not include commercial art galleries that sell art products and objects.
In the United States of America, the Museums industry encompasses a wide variety of institutions, including historical, military, science, wax and art museums and galleries, that are engaged in the preservation and exhibition of objects of historical, cultural and educational value.
Over the five years to 2019, rising levels of per capita disposable income have resulted in strong growth for the industry, as consumers were more willing and able to make discretionary purchases such as museum tickets and merchandise.
While the industry was threatened by continual volatility from federal funding for the creative arts, overall improvement in the US financial market helped buoy industry revenue, as many operators are reliant on private donations from corporations and wealthy individuals.
The Museum industry is a thriving sector of the economy of the United States and the industry generates over $12 billion annually from more than 10,129 museums including specialty museum like science museums. The industry is responsible for the employment of over 109,436 people.
Experts project the industry to grow at a 0.5 percent annual rate between 2014 and 2019. Smithsonian Institution and J Paul Getty Museum are the market leaders in this industry.
The Museums industry is characterized by a low level of market share concentration, with the industry’s four largest players expected to account for 26.6 percent. This goes to show that the industry is still open to aspiring entrepreneurs who are interested in starting their own science museum.
Table of Content
- 1 Science Museum Business Plan – Executive Summary
- 2 Science Museum Business Plan – SWOT Analysis
- 3 Science Museum Business Plan – MARKET ANALYSIS
- 4 Science Museum Business Plan – SALES AND MARKETING STRATEGY
- 5 Science Museum Business Plan – Publicity and Advertising Strategy
- 6 Science Museum Business Plan – Sustainability and Expansion Strategy
Science Museum Business Plan – Executive Summary
Sir Andrew Watson® Science Museum, Inc. is a licensed and registered science, nature and technology museum that will be located in in East Rutherford – New Jersey. We have been able to lease a facility along a major road that is big enough for the kind of science museum that we intend launching and the facility is located in a corner piece property in the midst of a commercial center in East Rutherford – New Jersey.
Sir Andrew Watson® Science Museum, Inc. will be developed with a consortium of companies and the government. We will have science related antiques and collectibles in our museum and also engage in touring exhibitions. We will also partner with leading science related antique collectors in and around the United States of America. Entry to the museum is going to be free, but donations will be welcomed. A ticket is required for some of our events, activities, galleries and special exhibitions.
Sir Andrew Watson® Science Museum, Inc. will have over 50 interactive exhibits illustrating many different concepts in physical science. Our museum will be staffed by explainers who will demonstrate how exhibits work, conduct live experiments and perform shows to schools and the visiting public.
Our facility and customer care will be second to none in the whole of East Rutherford – New Jersey. We know that our customers are the reason why we are in business which is why we will get them satisfied when they visit our museum.
Sir Andrew Watson® Science Museum, Inc. will ensure that all our customers are given first class treatment whenever they visit our museum. We have a CRM software that will enable us manage a one on one relationship with our customers no matter how large they may grow to.
Sir Andrew Watson® Science Museum, Inc. is owned by Sir Andrew Watson but is open to partnership with stakeholders in and around New Jersey. Sir Andrew Watson is an antique enthusiast per excellence, he has a BA. in Sociology and Anthropology, with over 25 years’ experience in the museum industry, working for some of the leading brands in the United States.
- Our Product Offerings
Sir Andrew Watson® Science Museum, Inc. is in the museums industry to make profits and we will ensure we make available a wide range of science related antiques and collectibles from different sources and countries. We will ensure that we do all that is permitted by the law of the United States to achieve our aim and ambition of starting the business. Our product and service offerings are listed below;
- Exhibiting a wide range of science related antiques and collectibles
- Listing science related antiques and collectibles online for third parties
- Other related science related antiques, collectibles and merchandize
Our Vision Statement
Sir Andrew Watson® Science Museum, Inc. aims to inspire school children to go into careers in engineering, science and technology.
- Our Mission Statement
Our mission is to establish a standard and government approved science museum that will make available a wide range of science related antiques and collectibles for the general public.
- Our Business Structure
Our intention going into this line of business is to build a standard science museum in East Rutherford – New Jersey. Although our science museum might not be as big as multimillion-dollar institutions, such as the Science Center of Pinellas County, and the Pacific Science Center (one of the first large organizations to call itself a “science center” rather than a museum), but will ensure that we put the right structures in place that will support the kind of growth that we have in mind while setting up the business.
We will make sure 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 our stakeholders. As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of ten years or more.
In view of that, we have decided to hire qualified hands to occupy the following positions;
- Chief Executive Officer (Owner)
- Museum Operations Manager
- Human Resources and Admin Manager
- Museum/Gallery Exhibition Officer
- Sales and Marketing Manager
- Customer Services Executive
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
- Creating, communicating, 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 providing direction for the business
- Creating, communicating, 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 signing checks and documents on behalf of the company
- Evaluates the success of the organization
- Reports to the board
Admin and HR Manager
- 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 equipment by completing preventive maintenance requirements; calling for repairs.
- Defining job positions for recruitment and managing interviewing process
- Carrying out induction for new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Oversee the smooth running of the daily office activities.
Museum Operations Manager:
- Ensure the proper execution of the Museum budget by assisting the Executive Director in supervising the annual budget and maintaining and/or tracking all Museum financial records.
- Provide for continuing operations of the Museum by maintaining all financial records and accounting data by ensuring all donations are received, processed, deposited, and credited properly to the Museum.
- Responsible for the Museum’s membership and donor data base, recording and acknowledging all contributions
- Takes the lead in efforts to increase visitor numbers to the Museum, especially paid visitors, and coordinates and participates in the Museum’s efforts to market its activities more widely.
- Ensure efficient daily operation of the Museum by ordering/purchasing all office supplies and equipment; by coordinating telephone, copier, and computer support; by submitting work orders for necessary maintenance and keeping records of all maintenance; by arranging for both regular and special custodial support.
- Ensures the efficient use and scheduling of all Museum facilities by serving as the single point of contact for scheduling all events; by maintaining date calendar of all events in the Museum; by determining (in conjunction with the Exec Director) appropriate use of Museum spaces; by scheduling the supervision or participation in these events; and by planning and executing special events and functions in support of the Museum.
- Monitors emerging trends and best practices in the field of museum management
- Supervise the workforce
Museum/Gallery Exhibition Officer
- Responsible for planning special and permanent exhibitions
- Identifying and negotiating the acquisition of items
- Create schedules for the installation of exhibits and help with tasks such as packing and framing
- Preparing and distributing publicity materials, exhibition catalogues and displays
- Generating income via fundraising activities
- Responsible for writing plans and reports
- Liaising with schools, businesses, LEAs, voluntary / outreach / community groups, educational bodies and other organizations, and representing and promoting the museum
- Working with contractors, consultants, conservators, archivists, technicians and curators
- Responsible for undertaking relevant research
- Helping to develop museum activities and to increase access.
Sales and Marketing Manager
- Source for avenues for us to auction our antiques and collectibles
- Manage external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
- Model demographic information and analyze the volumes of transactional data generated by customer purchases
- Identify, prioritize, and reach out to new partners, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Document all customer contact and information
- Represent the company in strategic meetings
- Help increase sales and growth for the company
- Manage the organization website
- Handles ecommerce aspect of the business
- Responsible for installing and maintenance of computer software and hardware for the organization
- Manage logistics and supply chain software, Web servers, e-commerce software and POS (point of sale) systems
- Manage the organization’s CCTV
- Handles any other technological and IT related duties.
- 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
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensuring compliance with taxation legislation
- Handles all financial transactions for the organization
- Serves as internal auditor for the organization
Client Service Executive
- 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 customers on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Manages administrative duties assigned by the human resources and admin manager 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 customers when they make enquiries
- Responsible for cleaning the facility at all times
- Responsible for cleaning the antiques and collectibles in the museum
- Ensure that toiletries and supplies don’t run out of stock
- Handle any other duty as assigned by the museum operations manager.
Science Museum Business Plan – SWOT Analysis
We are aware that there are several science museums all over the United States that can attract visitors from within and outside the US, which is why we are following the due process of establishing a business.
We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be equipped to confront our threats.
Sir Andrew Watson® Science Museum, Inc. employed the services of an expert HR and Business Analyst with bias in new business 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. This is the summary of the SWOT analysis that was conducted for Sir Andrew Watson® Science Museum, Inc.;
Our location, the business model we will be operating on (engage in touring exhibitions), varieties of payment options, wide range of science related antiques and collectibles and related products and our excellent customer service culture will definitely count as a plus for Sir Andrew Watson® Science Museum, Inc.
A major weakness that may count against us is the fact that we are a new science museum and we don’t have the financial capacity to compete with multi – million dollar science museums who can get some of the oldest science inventions and are already determining the market direction in the United States.
Factors such as improved household expenditure will lead to renewed demand. The fact that science related antiques and collectibles dealers reduced minimum price guarantees, inventory and advertising to remain stable, and positive economic factors will encourage spending on science related antiques and collectibles.
The level of federal funding for the related endeavor directly affects museum performance, as museums generate nearly 10.0 percent of their total revenue from government appropriations and grants. Federal funding for the creative arts is expected to increase in 2019. However, funding is projected to decline in subsequent years, posing a potential threat to the industry.
Science Museum Business Plan – MARKET ANALYSIS
- Market Trends
Trends in per capita disposable income positively correlate to changes in industry revenue. When individuals have a greater amount of disposable income, they are more likely to spend on discretionary services, such as museum visits. Furthermore, as per capita disposable income rises, individuals are more likely to make private contributions to museums. Per capita disposable income is expected to increase in 2019, representing a potential opportunity for the industry.
The museums industry has continued to reposition themselves as social institutions, widening their appeal to new audiences and helping them secure government grants. Successful science museum operators have made use of existing and emerging digital media to offer online virtual museums.
- Our Target Market
We are aware that museums are part of what keeps the history of a people or industry and we are going to operate a standard science museum which within our capacity will ensure that we acquire science related antiques and collectibles. We will position our business to attract;
- Schools (students)
- Pawn shops (buying related science antiques and collectibles from them)
Our Competitive Advantage
Looking at our business model, we can boast of the fact that our pricing policy is appropriate, we have a diverse range of customers and of course, our ability to quickly adopt new technology is part of our competitive advantage.
We can boast of having over 50 interactive exhibits illustrating many different concepts in physical science. Our gallery is staffed by Explainers who are available to demonstrate how exhibits work, conduct live experiments and perform shows to schools and the visiting public.
Our science museum is located in a corner piece property on a busy road directly opposite one of the largest commercial hubs and science village in East Rutherford – New Jersey. We have enough parking space that can accommodate over 20 cars per time.
Our employees will be well taken care of, and their welfare package will be among the best within our category (startups science museums) in the industry, meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our objectives.
Science Museum Business Plan – SALES AND MARKETING STRATEGY
- Sources of Income
Sir Andrew Watson® Science Museum, Inc. will operate a business where entry to the museum will be free, but we will encourage people to donate to the organization. Our major source of income will come from ticket sales because a ticket will be required for some of our events, activities, galleries and special exhibitions.
- Sales Forecast
One thing is certain when it comes to a science museum, if your facility is stocked and centrally positioned, you will always attract customers cum sales and that will sure translate to increase in revenue generation for the business.
We are well positioned to take on the available market in East Rutherford – New Jersey 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 museum industry, 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 projections for Sir Andrew Watson® Science Museum, Inc., it is based on the location of our business and other factors as it relates to science museum startups in the United States;
- First Fiscal Year: $250,000
- Second Fiscal Year: $550,000
- 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 economic meltdown and 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
Before choosing a location for Sir Andrew Watson® Science Museum, Inc., we conducted a thorough market survey and feasibility studies in order for us to penetrate the available market and become the preferred choice for residents of East Rutherford – New Jersey. We have detailed information and data that we were able to utilize to structure our business to attract the number of customers we want to attract per time.
We hired experts who have good understanding of the museums industry to help us develop marketing strategies that will help us achieve our business goal of winning a larger percentage of the available market in East Rutherford – New Jersey.
In summary, Sir Andrew Watson® Science Museum, Inc. will adopt the following sales and marketing approach to win customers over;
- Open our science museum in a grand style with a party for all.
- Introduce our science museum by sending introductory letters alongside our brochure to organizations, schools, research organizations and key stake holders in and around East Rutherford – New Jersey
- Ensure that we have a wide range of science related antiques and collectibles in our museum at all times.
- Make use of attractive hand bills to create awareness and also to give direction to our science museum
- Position our signage/flexi banners at strategic places around East Rutherford
- Position our greeters to welcome and direct potential customers
- Create a loyalty plan that will enable us reward our regular customers / visitors
Science Museum Business Plan – Publicity and Advertising Strategy
Despite the fact that our science museum is well located, we will still go ahead to intensify publicity for the business.
Sir Andrew Watson® Science Museum, Inc. has a long – term plan of going in touring exhibitions in various locations around the United States which is why we will build our brand to be well accepted in East Rutherford before venturing out.
Here are the platforms we intend leveraging on to promote and advertise Sir Andrew Watson® Science Museum, Inc.;
- Place adverts on community – based newspapers, radio and TV stations
- Encourage the use of word of mouth publicity from our loyal customers
- Leverage on the internet and social media platforms like; YouTube, Instagram, Facebook, Twitter, LinkedIn, Snapchat, Google+ and other platforms to promote our business.
- Ensure that we position our banners and billboards in strategic positions all around East Rutherford – New Jersey
- Distribute our fliers and handbills in target areas in and around our neighborhood
- Advertise Sir Andrew Watson® Science Museum, Inc. business in our official website and employ strategies that will help us pull traffic to the site
- Brand all our official cars and vans and ensure that all our staff wear our branded shirt or cap at regular intervals.
Our Pricing Strategy
Pricing, uniqueness and quality of exhibitions are some of the key factors that gives leverage to a science museum, it is normal for visitors and tourist to visit museums where they can see unique stuffs.
We know we don’t have the capacity to compete with bigger and well – established science museums, but we will ensure that the prices of all our paid events and exhibitions are competitive with what is obtainable amongst science museums within our level.
- Payment Options
The payment policy adopted by Sir Andrew Watson® Science Museum, Inc. 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 Sir Andrew Watson® Science Museum, Inc. will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via credit cards / Point of Sale Machines (POS Machines)
- Payment via online bank transfer
- Payment via check
- Payment via mobile money transfer
- Payment via bank draft
In view of the above, we have chosen banking platforms that will enable our clients make payment for our events and exhibitions without any stress on their part. Our bank account numbers will be made available on our website and promotional materials to clients who may want to deposit cash or make online transfers to our organization.
- Startup Expenditure (Budget)
From our market survey and feasibility studies, we have been able to come up with a detailed budget on achieving our aim of establishing a standard and one stop science museum 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 as well as the accounting services (software, P.O.S machines and other software) – $3,300.
- Marketing promotion expenses for the grand opening of Sir Andrew Watson® Science Museum, Inc. in the amount of $3,500 and as well as flyer printing (2,000 flyers at $0.04 per copy) for the total amount of $3,580.
- The cost for hiring business consultant – $2,500.
- Insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $2,400.
- The cost for payment of rent for 12 months at $1.76 per square feet in the total amount of $105,600.
- The cost for facility remodeling (construction of racks and shelves) – $20,000.
- Other start-up expenses including stationery ($500) and phone and utility deposits ($2,500).
- Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $60,000
- The cost for start-up inventory (stocking with a wide range of science related antiques, collectibles, and other related merchandize) – $250,000
- The cost for store equipment (cash register, security, ventilation, signage) – $13,750
- The cost of purchase and installation of CCTVs – $5,000
- 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 opening party – $5,000
- Miscellaneous – $5,000
We would need an estimate of $450,000 to successfully set up a standard and one stop science museum in East Rutherford – New Jersey.
Generating Funds/Startup Capital for Sir Andrew Watson® Science Museum, Inc.
Sir Andrew Watson® Science Museum, Inc. is a private business that is owned and financed by Sir Andrew Watson and his immediate family members. They do not intend to welcome any external business partners which is why he has decided to restrict the sourcing of the startup capital to 3 major sources.
- Generate part of the startup capital from personal savings
- Source for soft loans from family members and friends
- Apply for loan from the bank
N.B: We have been able to generate about $150,000 (Personal savings $100,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $300,000 from our bank. All the papers and documents have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.
Science Museum Business Plan – Sustainability and Expansion Strategy
It is an established fact that the future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and business structure. If all of these factors are missing from a business, then it won’t be too long before the business closes shop.
One of our most important goals of starting Sir Andrew Watson® Science Museum, Inc. is to build a business that will survive off its own cash flow without 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 is to sell tickets for our paid events and exhibitions a little bit cheaper than what is obtainable in the market and we are prepared to survive on lower profit margin for a while.
Sir Andrew Watson® Science Museum, 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 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
- Leasing of facility and remodeling the science museum: 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 furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
- Creating Official Website for the Company: In Progress
- Creating Awareness for the business both online and around the community: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Opening party/launching party planning: In Progress
- Compilation of our list of products that will be available in our shop: Completed
- Establishing business relationship with science institutions, pawn shops and vendors – suppliers of science related antiques, collectibles and related merchandise: In Progress
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