ur assignment is to create Pro-forma Income Statement for the first 3 years of operations Pro-forma Balance Sheet for the first 3 years of operations Pro-forma Cash Flow for the first 3 years of operations An Executive Summary with the following information a b. C Summary of key trends and analysis of your projections A call out of key assumptions you had to make Opinions on the feasibility of this business startup d. Any pieces of information you wished Mike would have shared with you and/or any information Mike shared with you that you disagree with 1.0 Executive Summary Nate's Doggy Day Care will offer a safe, fun environment for pet owners to leave their beloved dog while they work, play and do things that will not allow them to take their pet along. While in the care of our staff, dogs will enjoy a routine day of food, games and rest as they interact and socialize with other dogs. In addition, Nate's will offer grooming and boarding services and unique pet goodies such as beds, bandanas and many more products made by local vendors. The purpose of this plan is to highlight the services of this business our family is seeking financial funding to open. This modern facility will be one of its kind in Glasgow, offering services that are not currently offered in this or surrounding areas. This unique service will give us the opportunity to offer the people of Glasgow a much desired service and will allow us the opportunity to offer employment to ten staff members initially, with the target to employee more in the future. Our family not only has a love for pets, we also possess 20 years of experience in business, leadership and marketing to help us successfully open and operate this business. 1.1 Objectives To provide a positive full-service experience for pets at a reasonable and affordable price for their owners. To target markets where we can build a strong clientele by adversing a convenient location and excellent customer focused service. To maintain a positive cash flow with no less than a 25% yearly increase in revenue in the first five years. 1.2 Need/Problem In order to achieve our objectives to their fullest potential, it will be necessary to renovate the property we would like to purchase for functionality and so that it is appealing to our clientele. We will also need to obtain the necessary equipment and staff to operate efficiently while creating a positive environment. Owners able to invest $25,000 cash into project. 1.3 Opportunity/Solution In obtaining the funds for this investment, we will have the opportunity to open and operate a one of its kind establishment in Glasgow. Although there are other dog groomers and boarding facilities in Glasgow, there are none that offer doggy day care with an environment where the sole purpose is to maintain a daily schedule of feeding, resting, playing and monitoring an owner's dog while they are not able to be with it. The opportunity for this is even greater with more people taking in pets and caring for them with a different mindset than in the past. In today's time, people are apt to put more money into caring for their pets and are more willing to pay for their pets to be cared for when they are away, even if it is just for the day. 1.4 Mission To provide a bond between the pets and humans we serve in a safe, happy and healthy environment that provides the best quality of life for dogs and their loving owners. We strive to successfully partner with pets and their owners to share our knowledge in keeping them happy and healthy while in our care and beyond so that we enhance the quality of their lives. 1.5 Keys to Success Our location is easily accessible and in a commonly traveled area of the city. We will be able to serve clients in the city as well as those in the surrounding rural areas who commute to Glasgow for work. Our family is native of Glasgow and has positive relationships with community members, which will help us in delivering excellent customer service to our pet clients and their owners. We will strive to not only serve these customers in our establishment, but we will also help them take the best care of their pet when not in our care. As a family we hold over 20 years of business management, 5 years of marketing experience and most importantly, a love for pets. Our location will be renovated into a welcome, clean and safe environment so that clients will build trust in our ability to take care of their pet. Our business will offer the convenience of a full-service salon for pets, to include grooming, doggy day care and boarding available all day, every day. In addition, we will have strong relationships with other pet businesses such as veterinary services and obedience/training services available for referrals. 2.0 Company Summary 2.1 Corporate Information N/A 2.2 Company Description Nate's Pet Grooming and Boarding is a full-service business where owners can bring their dogs to be groomed, boarded or to leave in the care of staff at our doggy day care. We will have a minimum of two certified groomers on site during grooming hours to give haircuts or other grooming needs specified by owners. In addition, we will have two separate areas, one for big dogs and another for small dogs, both inside and outside, that will be utilized for day care activities. The doggy day care will require an additional staff of no less than four people daily We will also offer boarding services to owners 24 hours a day/7 days a week. This will require an additional staff member daily Our marketing strategy will be to target specific groups with three different marketing tools. We will use social media, the Chamber and publications in Glasgow and surrounding counties, Currently, there are several established groomers in Glasgow, however, there are not any facilities that offer doggy day care and only four facilities offer limited boarding. We will use funds to purchase and renovate the properties at 1111 Main Street. This property currently includes an approximately 5,000 square foot facility with approximately 1,000 square of outdoor space. Asking price is $170,000, with an estimated $12,000 additional needed for renovations. We will also need another $7,000 for equipment and $5,000 for furniture. After gaining possession of the property, we will renovate the basement and the building to suit our business purposes. The facility will be renovated and sectioned off into multiple sections: one for cutting hair, a second for bathing dogs and a third for drying hair, while other sections will be divided for play time, feeding and napping. Grooming will be separated from the day care and boarding to ensure groomers maintain a safer environment when grooming dogs. We will also implement landscaping and signage improvements on the outside area. The building will be moderately renovated inside and out to custom the Nate Williams, Nate's Pet Grooming & Boarding 3 4.0 Management Summary 4.1 Key Personnel This is a family business and the key personnel involved in opening the business are Kaitlin, Laura and Corry Williams, who all bring education and experience to the business. Kaitlin is currently seeking certification in various pet industry fields. Although she will not be one of the two groomers employed by our business, she will obtain the knowledge necessary to fill in as needed. Kaitlin also brings five years of retail experience, including supervisory experience. Her role in the business will be the primary manager of all operations. Laura has worked in retail management for more than 25 years and is skilled many areas to include leadership, budgeting, workforce development and many other management and retail skills. In addition, she possesses a Bachelor's degree. Her role in the business will be as a consultant. Corry has two Bachelor's degrees in Marketing and Pop Culture and has secured six years of marketing experience for various businesses, including Direct Insurance, Journeys, HCA and Connected Nation. His role in the business will be marketing and research for future expansion of operations. 4.2 Employee Information We expect to hire a total of 5 staff members, not including the three key personnel (Kaitlin, Laura, Corry). This will include two full-time dog groomers and three part-time staff members to assist with grooming, day care and boarding. We will require that groomers be certified in dog grooming. Incecruiting and interviewing other staff, we will put emphasis on the preference for former experience in the animal trade. We will also have applicants interact with dogs as part of the interview process to observe and assess their abilities to work with dogs. 5.0 Marketing and Distribution Plan Primary targeted marketing will be aimed toward the 30 to 49 year old population of Glasgow and Barren County with secondary marketing aimed toward the 50 to 64 year old population. Marketing will be routed to social media, the Chamber e-mail group and in local and surrounding county publications. Marketing will include the distribution of services and pricing for the services with the Nate's brand included in all advertising. We will also include examples of our services in publications on social media to show all that our facility and staff have to offer. 5.1 Customers and Target Market With no facility of this sort available in Glasgow, we will have the advantage of gaining new clients not currently able to take advantage of having their dogs taken care of as they work and do other things. Just as important to today's dog owners, new clients will be able to allow their dogs to socialize with other dogs. With the e-mail blasts from the Chamber, we will be able to target the working population. With social media, we will be able to target all types of potential customers. 5.2 SWOT Analysis Strengths: Owners and operators have extensive experience in business, management, leadership and marketing. Owners and operators have a positive reputation in the community and surrounding communities. The location of our facility is in the center of Glasgow in a high traffic area and is visible to commuters. This will be the first and only establishment to offer day care for dogs. There are four aspects to the facility for revenue intake: day care, boarding, grooming and retail products. Weaknesses: The nature of our business and the lack of this type of day care in the area will likely take a longer period of time for people to catch on. Opportunities: Threats: With this industry showing increases, there is an opportunity for substantial growth in the next five . . years. Growth is anticipated for more people to become pet owners, which gives us the opportunity for growth in the future. With the growth in clientele and revenue, we will have the opportunity to expand our services to bring in even more clients. We project to triple the amount of customers after two years of operation. I A potential threat is that of other area grooming facilities copying our day care program. If that does occur, we will be prepared to enhance our services and continue with excellent customer service to retain current clients and target potential new clients. Disease or sickness of dogs coming into our facility would be a threat if not caught. This threat could be the most serious threat. For that reason, proof of immunizations would be mandatory and closely monitored. Your assignment is to create 1. Pro-forma Income Statement for the first 3 years of operations 2. Pro-forma Balance Sheet for the first 3 years of operations 3 Pro-forma Cash Flow for the first 3 years of operations An Executive Summary with the following information: b. Summary of key trends and analysis of your projections A call out of key assumptions you had to make C. Opinions on the feasibility of this business startup 4 d Any pieces of information you wished Mike would have shared with you and/or any information Mike shared with you that you disagree with