FINANCIAL PLAN - Feasibility Study



 VII.

FINANCIAL PLAN



  Financial Assumptions and Projections

 1.Initial cash investment of the owners is Php4,000,000



 2. Estimated market share is expected to increase by 5%

every year



 3. Salaries and wages shall remain fixed for 5 years of operation



 4. No discounts were granted for 5 years of operation and all transactions are cash basis.



 5. Supplies are expected to increase 5% yearly



 6. Permits and licenses are expected to increase by 5%

yearly.



 7. Repairs and maintenance is expected to increase by 10% yearly and will be spent on the second year.



 8. Utilities expense shall increase by 10% annually.



 9. Administrative expense is expected to increase by 5%

annually.



 10. Depreciation for 5 years is computed using a straight line method.



 11. Advertising and Promotion is expected to increase by 5% yearly.

 12. Rentals is expected to increase by 5% yearly.



  Project Costs

 PROJECT COST 

 Fixed Assets

Requirement: 

  Quarterl

 Furniture and fixtures  544,950

 Office equipment  161,000

 Gym equipment  1,664,00

 Leasehold improvements  100,000

 Total Fixed Assets  2,469,9 50

 

 Pre- operating

expense: 

 Advertising and

Promotion  35,000

 Permits and licenses  11,250

 Total Pre-Operating

expense  46,250

 

 Operating expenses: 



 Office supplies  2,193

 Salaries expense  782,400

 Employee benefits  91,375

 Utilities  97,197

 Depreciation Expense  66,432

 Rent  150,000

 Total operating

expense  1,189,5

 

 Total project cost  3,705,7 97



 



 



  Financing Scheme

 Name



 Shares

 Fontanoza’s Capital



 Php 800,000

 Lacanlale’s Capital



 Php 800,000

 Ngo’s Capital  Php 800,000



 Ramos’ Capital



 Php 800,000

 Ricarto’s Capital



 Php 800,000

 TOTAL  4,000,000



 LIST OF SCHEDULES

 Schedule 1

 Office Supplies

 Particulars ^ QUANT ITY

 UNIT COST

 TOTAL COST

 Bond Paper  1 ream  191  191

 Adhesive Tape

w/dispenser ^ 5  210  1,050

 Scissors  3  24  72

 Stapler _ 2 _ 100 _ 200

 Staple Wires _ 1 box _ 50 _ 50

 Ball pen  20  10  200

 Pencil  20  6  120

 Calculator  2  360  720

 Folder  20  5  100

 Brown Envelope  20  3  60

 Monobloc  4  101  404

 Schedule 2

 LICENSES

 Particulars ^ Am

 Schedule 3

 Overall Employee Benefits

 Schedule 4

 SALARIES AND WAGES

 Position ^ Number of Employees

53 00 2



 Schedule 5

 Office Equipments

 Particulars ^ Qua ntity ^

Unit Cost ^

Usefu l Life ^

TOTAL COST

 Computers  3 ^ 50,0

00 ^ 15  150,000

 Printer  2 ^ 3,50

0 ^ 15  7,000

 Internet modem

installment ^ 1 ^ 1,00

0 ^ - _ 1,000

 Cashier  1 ^ 3,00

0 ^ 5  3,000

 TOTAL     161,000

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 Schedule 6

 Gym Equipments

 Particulars ^ Quan tity ^

Unit Cost ^

Useful Life ^

Total Cost

 Ab Wheel  25  448  5  11,200

 Resistance Bands  20  3,000  5  60,000

 Fitness Ball  15  990  10  14,850

 Handle Push Bar  20  585  10  11,700

 Exercise Bicycle  25 ^ 15,00

0 ^ 10  375,000

 Thread Mills _ 11 ^ 10,00

0 ^ 5 _ 110,000

 Barbell Benches  10  500  2  5,000

 Barbel Stick  50  200  10  10,000

 Plates 2.5kg  50  225  10  11,250

 Plates 10kg  50  990  10  49,500

 Plates 15kg  50  1,485  10  74,250

 Plates 25kg  50  2,475  10  123,750

 Plates 50kg  50  4,575  10  228,750

 Plates 100kg  25  9,575  10  239,375

 Plates 200kg  25 ^ 13,57

5 ^ 10  339,375

 Punching Bag  10  2,500  3  25,000

 Speed Bags and

Stand ^ 3 _ 2,250 _ 5 _ 6,750

 Double End Bag  5  1,080  5  5,400

 Boxing gloves  15  1,000  2  15,000

 Headgear  15  675  5  10,125

 Body and Groin

Armor ^ 10  3,750  5  37,500

 Punch mitts  15  950  5  14,250

 Punch shield  15  945  5  14,175

 Thai pads  15  950  3  14,250

 Elbow and knee

pad ^ 15  585  3  8,775

 Jump Rope  10  315  5  3,150

 Boxing Ring  1 ^ 40,00

0 ^ 20  40,000

 TOTAL     1,858,3



 Schedule 7

 Furnitures and Fixtures

 Particulars ^ Qua ntity

 Schedule 8

 Advertising and Promotion

 Particulars ^ Amo unt ^

n 000 000 250 763 551

 Promotion ^ 40,0 00 ^

 Schedule 9

 Utilities

 Particulars _ Estimated Monthly cost _ Annual cost

 Electricity  20,000  240,000

 Internet  2,399  28,788

 Water _ 10,000 _ 120,000

 TOTAL  32,399  388,788

 Schedule 10

 Repairs & Maintenance

 Particulars  Year 1  Year 2

 Schedule 11

 Annual Depreciation

 Particulars ^ Years

Acquired ^

Useful Life (Years) ^

 Plates 25kg  2014  10  12,375

 Leasehold

Improvements ^ 2014  10  100,000

 TOTAL    399,505

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 INCOME STATEMENT



VICE

its

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 BALANCE SHEET

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 Manpower Schedule

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 Administrative Schedule

 SCHEDULE OF ADMINISTRATIVE EXPENSE

 Pa

7 5 5 5 5

 1.) Are you living or working within the area of Sangandaan, Quezon City near SM Hypermarket?

 __Yes __No

 2.) Age

 16-25 26-35 36-50

51-70



 3.) Would you like to avail membership?

 Yes No



 Card Holder Member Walk-ins



- I.D. card - All gym facilities &

equipments

- Access to member’s lounges, shower - Locker &

shower room

 and locker rooms - Yoga

& Aerobic Sessions

- Gym facilities and equipments - P250 - Combat training program

- Yoga & Aerobics sessions - Free coffee/ energy drinks - P2,000



 4.) What program do you want to take?

 __ Fitness Program

 __ Combat Training

 __ Conditioning

 __ Aerobics & Yoga

 If Fitness Program, is it for Losing Weight or Building Muscle

 If Combat Training, is it for Self-defense, Competition, or Hobby

 If Conditioning, what areas would you like to focus on?

 Power/Strength – increasing muscular power

 Agility – building up leg strength and the ability to change the direction of the body quickly and effectively.

 Cardiovascular endurance – activities that elevate the heart rate and keep it elevated for a sustained period of time.

 Flexibility – increases the ability of the joints to move through a full range of motion.

 If Yoga & Aerobics, is it because of

 Stress- relieving attributes

 Mental wellness

 Hobby



 5.) Specify the activity of your chosen program

 FITNESS PROGRAM

 A. Losing Weight

 Available Equipments:

 __ Treadmill – Walking, jogging, and running

 __Cable Rower – Rowing uses all the muscles at the same time

 __ Stationary Bike – Seated and standing pedaling



 B. Building Muscle

 Available Equipments:

 Free weights – dumbbells, kettle bells, barbells

 Resistance bands – fit tube and clip tube

 Weight Machines – Chest press machine, Shoulder press, Biceps curl, Leg press, Abdominal crunch

 Pull-up Bars - Front lat pulldown

 Body Segments:

 Upper body

 __ Abdominal Workouts - These abdominal exercises will help you develop the six pack that you have always wanted.

 __ Back Muscle Workouts – Helps strengthen the muscles around the lower and upper back.

 __ Chest Workouts – Helps develops and strengthen the chest muscles.

 __ Shoulder Muscle Workouts – Helps strengthen and tone the muscles of the shoulder joints

 __ Biceps and Triceps Workouts – Muscle exercise and workouts to enlarge biceps and triceps.

 Lower body

 __ Calf Workouts – Makes the calf stronger, firmer, and free from pain and strain.

 __ Gluteal (buttocks) Exercises – Improves the firmness of the buttocks muscles.

 __ Hamstring Exercises – Developing hamstring muscle strength to help avoid injuries.

 __ Hip Exercises – Strengthen hip joint muscles for stability.



 COMBAT TRAINING

 Learn all the basic skills:

 Punching, kicking, elbows and knees – learn how to have quick and strong strikes.

 Footwork – forward, back & sidesteps

 Defense – decrease the chances of getting hit by learning defensive maneuvers.

 Essentials – continuous practice to develop instincts, consistency, and effectiveness.



 What combat sports training would you like to take?

 BOXING MUAY THAI

TAEKWONDO

 Walk-ins:

 __ 1 personal session:

Addtn’l Php 200

 Members:

 __ 1 personal session:

Addtn’l Php 100

 __1 week personal session:

Addtn’l Php 500

Addtn’l Php 250

 Members

 __ 1 personal session:

Addtn’l Php 150

 __1 week personal session:

Addtn’l Php 750

Addtn’l Php 150

 Members

 __ 1 personal session:

Addtn’l Php 75

 __1 week personal session:

Addtn’l Php 300

 CONDITIONING

 Power/Strength – increasing muscular power

 Squat: Begin the squat by pushing your hips back as far as you can. Keep your lower back arched and you should feel a stretch in your hamstrings. When your hips are bent, begin bending your knees and squatting low.



 Deadlift: Use the same stance you would to perform a jump — your legs should be narrowly placed. When you bend down to grab the bar, keep your hips down and your back straight, with your shoulders directly over your knees.



 Bench Press: Start with your head off the bench. Keeping your feet steady, grab the bar and pull your body up off the bench and forward, so that when your butt comes down on the bench your lower back is very arched. Squeeze your shoulder blades together.



 Shoulder press: Flare your lats when the bar is at shoulder level. It will allow you to use more weight.

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 Agility – building up leg strength and the ability to change the direction of the body quickly and effectively.

 Lateral Plyometric Jumps: Lateral plyometric jumps help build dynamic power, coordination and balance by using just an athlete's body weight. Start small, and slowly build up the height of the barrier.

 Speed Ladder Agility Drills:

1. Forward Running, High-Knee Drill: Run with high knees forward through the ladder, touching every ladder space. Land on the balls of the feet and drive forward with your arms.

2. Lateral Running, Side-to-Side Drill: Keep a low center of gravity and step side-to-side through the ladder one foot at a time. Touch in each rung of the ladder with both feet. Land on the balls of the feet and repeat right to left and left to right.

 Tuck Jumps: Stand with feet shoulder width and knees slightly bend. Bend your knees and powerfully jump straight up bringing your knees toward your chest while in midair upon landing immediately repeat the next jump.



 Cardiovascular endurance – activities that elevate the heart rate and keep it elevated for a sustained period of time.

 Jumping ropes or skipping rope: Simple yet effective; jumping rope for a few minutes can do wonders for your body weight. As you gradually master the basics of this activity, you can challenge yourself further by using different patterns like side steps, speed steps and cross mode.

 Jogging: another ideal way to work every part of your body and shed some unwanted calories. In order to achieve the best calorie-burning potential, attempt working above 8 mph.

 Flexibility – increases the ability of the joints to move through a full range of motion.

 Passive stretching: is assuming a position and holding it there with another body part or other means. It is a relaxed stretching technique.



 Static stretching: is more intense and it involves stretching a muscle to its furthest point and maintaining that position.

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6.) Why did you choose our services?



 ___ Excellent service



 ___ Affordable prices



 ___ Location is convenient



 ___ Complete equipments and facilities



 ___Good ambiance



 ___Many programs to chose from



 ___Neat and spacious



 ___ Recommended by friends

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In document Feasibility Study (Page 145-173)