Rybka Family Fun Center
The Commercial Recreation industry in %u0141ód%u017A has generated over $2 billion in sales in 2009. Moreover, this industry has experienced and average growth rate of 60 percent in the last five years. To take advantage of this opportunity, I intend to launch a new full-service family fun center in %u0141ód%u017A suburb. My business will go by the name Rybka Family Fun Center, and it will be located at %u0141ód%u017A 94-328 Maczka Street 35. I have identified the family entertainment sector as my primary interest; therefore, I have decided to focus my attention and efforts on the development of one of the best family entertainment centers that will provide quality family entertainment activities that the current market demands to the %u0141ód%u017A community. Based on the amount of money that residents of %u0141ód%u017A are spending on different recreational activities, I believe that my family fun center will generate approximately $5 million in gross sales in the first year of operations.
My Mission in this venture will be: To create an atmosphere of fun and excitement for the entire %u0141ód%u017A community as well as the substantial tourists who visit the town.
Regulatory and Risk Analysis
As a general rule, the formation and the pursuit of any business entity in Poland is open and free to everyone and on an equal-right basis. However, law regulations sometimes impose some limitations regarding the conduct of business. For instance, the pursuit of business activity in my field requires authorization and concession. Another limitation of conducting business in this place is establishing if a given business activity is a regulated activity in a given field. The pursuit of business ventures like mine has to meet specific requirements provided by law or registrar of businesses. Since I intend to be in business for a long time, concession will definitely hinder my progress. This can be attributed to the fact that the relevant body will permit the performance and commencement of my business for a definite period of not less than five years and no longer than 50 year. More so, the FBA might decide to regulate my business if a specific Act provides unless I fulfill and get registration in the Register of Regulated Work. Moreover, as the sole proprietor of my company owner, the law requires me to:
a) Bear liability with all my assets for the company’s obligation
b) I am compelled to make fixed monthly social security payments that might pull me down businesswise
Financial analysis
The total startup cost for my family fun center is estimated to be approximately $120,000. This estimate includes leased improvements, insurance coverage, common fun center equipment, utility hookups, professional services, and initial; market entry advertising. I will finance 40 percent (48,000) of the startup cost from my personal savings and home equity. I have been saving some money for this business, and since I won’t be compelled to pay any interest or fee for this money, I will be more than willing to place my money in the business. Having understood the risks involved, my family and friends will contribute 10 percent (12,000) of the startup cost for my business. Considering that my family and friends are very close to me, we shall formalize the loan I get from them with a written agreement stating that I will repay the loan, but at a lower interest rate that any other source. The remaining 50 percent (60,000) of the startup shall be financed by my bank through a loan. I intend to repay this loan plus interest as my business progresses. Below is an estimate startup budget for Rybka Family Fun Center.
- $50,000for commencing inventory. This comprises of 1-2 cases of each ingredient, and accounts for sales tax
- $20,000 in delivery costs and equipment needed.
- $10, 000 for remodeling costs and lease improvement. This includes flooring, painting and lighting the premises among other things
- Rybka Family Fun Center will need to obtain a business license and other needed licenses a cost totaling approximately $10,000
- $15,000 in startup advertizing
- $5,000 in utility hook-up deposits
Location analysis
It is claimed that the prime market for a family fun center is in urban areas that are close to neighborhoods that have large numbers of upper and middle income bracket population, and that is why I choose %u0141ód%u017A as the location of my business. With an estimated population of 744,541 people in June 2009, %u0141ód%u017A is the best location for my business. This location satisfies my key customer needs as a majority of %u0141ód%u017A residents are family households with upper or middle income earners. I believe that the location of my business will be very instrumental to its success. Note that the primary target market for my business will consist of three main groups; 15 to 24 years old, 25 to 34 year olds and 35 to 54 years old.
Management analysis
Rybka Family Fun Center will be a sole proprietorship, 100 percent owned by myself (Patrycja Rybka) . Nevertheless, My Company’s philosophy will be based on mutual respect for all contributions that would be made by limited partners, consultants, investors, and employees regardless of their position in the company. I believe that I have the expertise and qualification of running this business to greater heights after I am through with my education. The management team within my company will be small in the beginning. As the founder, I will be the primary employee who will plan events and supervise the other employees. Apart from me, the following team will make up my employees
Stephan Zimmer, Financial Advisor
Ms. Zimmer has a degree in sales technology and distributive education. She is also skilled in business startup, sales, management, marketing and fulfillment. Her responsibilities will include; coordinating the purchase of property, pursue investment capital and profit oversight.
Sebastian Krawczyk, Manager of Promotions and Media
Mr. Krawczyk has a Masters degree in accounting. His skills encompass developing various programs for company marketing, distribution, advertising and fulfillment. He has 5 years experience in accounting, labor negotiations, office management, customer service, and auditing.
Justyna Samorajc, Entertainment and Activity Consultant
Having served as the president of Wallet Leisure and Entertainment Company, Samoraj brings with her a wealth of experience in this field. She will be responsible for reviewing the company’s business plan and advice on all aspects concerning entertainment activities. She will also assist in designing floor layout, assist with training, and assist in building design.
Feasibility recommendation
Having conducted a feasibility study about my business idea, I feel that it is a viable business idea; thus I will commence with it when I finish college. As stated earlier, I have the expertise and enough resources to jumpstart my business. Moreover, %u0141ód%u017A is an untapped market, and I want to use it as the foundation for my business. This can be attributed to the fact that there is ready and able market in this city for the services I will provide. In fact, this will enable me achieve the dream of expanding my business from a local individual business to a major chain of family fun centers around the country.
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