HOLE 19GOLF RETAIL & SIMULATION

COURTNEY SANDIFORDCHRIS HOFFOS

ABOUT

PRODUCTS

TARGET MARKET

PROMOTIONAL STRATEGY

CAPITAL & FINANCING

FINANCING 2015

BANK DEBT 52% 750,000

EQUITY 700,000

TOTAL

1,450,000

CAPITAL EXPENSES

LAND 150,000

BUILDINGS

1,000,000 LAND DEVELOPMENT & EQUIPMENT

170,000

TOTAL

1,320,000

WHAT CAN WE EXPECT?

REVENUES 2015 2016 2017 2018 2019

Number of Customers/day Equipment 36 45 52 54 57

Number of Customers/day Simulators 8 10 11 12 13

Total Customers/day 44 55 63 66 70

PURCHASE PRICE 2015 2016 2017 2018 2019

Average Equipment Purchase/customer 80.00 82.00 84.05 86.15 88.31

Average Simulator Purchase/customer 28.57 29.29 30.02 30.77 31.54

NET INCOME 82,272 148,295 229,644 268,693 309,222

BREAKEVENBase Case Cust/day 44 55 63 66 70

Breakeven Cust/day 35 37 36 35 35

1 2 3 4 50

1020304050607080

4455 63 66 70

35 37 36 35 35

YearNum

ber o

f Cus

tom

ers

per

day

WHAT SHOULD WE DO?

FEASIBLE

REQUIRED ROI = 20% IRR = 31.4%

QUESTIONS?

Customers/day Average 5 year Profit Net Payback IRR

26

63,953 200,066 5.6%

31

136,835 853,173 20.2%

36

207,625 1,495,826 31.4%

41

277,841 2,135,605 40.8%

46

346,857 2,745,393 49.0%

Avg Equipment Purchase Price/Customer Average 5 year Profit Net Payback IRR

60

78,529 330,688 8.9%

70

144,123 918,483 21.4%

80

207,625 1,495,826 31.4%

90

270,820 2,071,627 39.9%

100

333,281 2,629,111 47.40%

2015 2016 2017 2018 2019

Manager Salary 48,960 50,184 51,439 52,725 54,043

Full time staff (wage rate/hr) $ 18.00 $ 18.45 $ 18.91 $ 19.38 $ 19.87

Part time staff (wage rate/hr) $ 11.00 $ 11.28 $ 11.56 $ 11.85 $ 12.14

Salary and Wage Costs

Manager 97,920 100,368 102,877 105,449 108,085

Full time staff 141,120 144,648 148,264 151,971 155,770

Part time staff 10,543 38,707 62,963 76,539 91,693

Total Salaries and Wages 249,583 283,723 314,104 333,959 355,548

Product Item Average Price

Jackets $175

Shirts $50

Shorts $75

Pants $100

Hats $28

Product Item Average Price

Drivers $277

Woods $183

Irons (Set) $713

Wedges $130

Putters $123

Product Item Average Price

Bags $150

Tees $10

Balls $40

Marketing Costs Year 1 Source

Online Ads 6000 DiscoverWeyburn.com

Radio Ads 9672 Golden West Radio

Billboard Ads 700 Protouch Signs

Door Prize Donations 500 Golf Courses

Website Design 1000 Stealth Interactive

Licensing 1055 SLGA

Store Sign 7000 Stellar Signs

Total 25,927

COGS

Golf Equipment 622,080 797,040 939,511 1,011,149 1,088,249

COGS Food and Drink 17,107 21,919 25,837 27,807 29,927

Total Cost of Goods Sold 639,187 818,959 965,347 1,038,955 1,118,176