This business plan provides details for investors on all the operational and start-up features of “The Entertainment village”. It specifically outlines the infrastructural issues, business growth, procedures and many other strategies that will be essential to the success of this business.
It has been estimated that a total start-up cost of $10, 063, 535 will be needed and operational costs of $1,142,284.5 for the first year will have to be added thus making the total costs to be $11,205,820.
Risks for investments will be reduced through the following: Project commencement will occur only after adequate capital has been obtained so that investors do not lose their funds.
A thoroughly trained workforce will be available in order to provide the best customer service. Investments in the latest technologies will ensure that the services on offer are a cut above the rest. A perfect location for the business has been selected; it will ensure a consistent flow of clients. Lastly, the products involved do not require excessive inventory so the project will not have many operational costs.
Entertainment village will be located at the heart of Riyadh. The intention is to provide a recreational centre with eight main attractions: indoor and outdoor shooting ranges, four golf simulators, four paintball fields, seven bowling lanes, a play station 3 zone, restaurants and coffee shops, an arcade center and two projectors for matches.
The project will cost a total of $11, 205, 820 to start up. The funds will be borrowed from financial institutions at a rate of 10% per annum for a period of ten years. It is likely that Entertainment village will be opened in one year’s time although the first year profit will not exceed investments in the assets. However, in the second year, gross revenues indicate a return and they are expected to grow in the subsequent years as well.
The aim of creating The Entertainment Village is to offer residents of Riyadh excellent entertainment in an enjoyable and pleasing environment. Quality services will be provided through the most technologically advanced facilities in the recreational industry. This center will be globally competitive because it will borrow trends from different parts of the world. In short, the mission is to provide excellence through the latest technologies and global competitiveness.
The vision of the business is to be the first of its kind in entertainment and recreation; to become the best in the industry and to become the biggest recreational service provider in the country.
The success of The Entertainment Village will be dependent upon the social abilities and the expertise of the management team that will run the facility. This leisure hub will be the most technologically advanced entertainment venue in Riyadh. The contractors that will be used in its creation will be internationally recognized and will build the most reputable entertainment venue in the country (Schilit 104).
The Entertainment Village will be marketed aggressively to potential clients so that they can come and use the facility when it has been completed. Lastly, the center will be located at a prime area with lots of customers who have disposable incomes.
The site for The Entertainment Village will be at a prime business location called Jeddah. This area is five minutes away from the airport and the city centre is about 15 minutes. It is in North Riyadh and is richly endowed with many private residential areas. This is a very busy area but is also known for its recreational services.
A lot of customers usually come to that side of town in order to enjoy themselves. They will find that there is a lot of room for parking. Besides, the architectural requirements for establishing such as complex recreational centre will have been met if the business will be located in that part of town.
The market for a recreational centre is quite high in Riyadh. It has been reported that there is an increase in the number of people aged between sixteen and twenty five. These would be the ideal market segment for the business. The target area has very few similar activities, so this facility will enjoy first-mover advantage.
Demand has been going up for the product so chances are that people will respond well to the initiative (Kiyosaki 25). It will also be possible to expand the activities quite rapidly in this chosen area. As people continue to learn about the centre, more and more of them will continue to participate.
The main priorities will be the arcade center, golf simulator and play station 3 zone. These areas will all possess the latest game versions and play technologies. All areas will be well spaced and beautifully designed. Ample lighting will be provided depending on the nature of the activity under consideration. The Play station 3 zone may not require too much bright light. Consequently, the lights will be strong enough to allow visibility but will not be too overwhelming.
In the arcade center, facilities will be arranged in a straight row so that everyone can witness what the other is doing and thus have more fun in the process. The use of high quality equipment will also make the services quite satisfactory to the patrons. Since The Entertainment Village will have four golf simulator screens as well as four paintball fields, then customers will not have to wait in line in order to use them.
The bowling area will also be highly computerized. Staff members will be ever present at each lane so that clients can be assisted. Scores will be shown through an automated system that will be recorded for every single game. Customers will be informed about prices of each game through a visible board. Promotional and marketing campaigns will also quote those prices so that buyers can be aware of what to expect in the recreational centre.
Time schedules or waiting times will be communicated to the clients before using the centers so as to manage inflow and outflow traffic. It is likely that this sufficient information will translate into a great service experience that will cause most clients to keep spending their money. The structured sources of income will come from the golf simulators, the paintball fields, arcade centers, play station 3 zone, and the shooting range.
These will all have a fixed price that will be paid per hour. However, the cafes, restaurants as well as the projectors for matches will be dependent upon how much the clients choose to spend on food and drinks. Some of the customers from the gaming centers will be the same ones who will frequent these eateries. Given the fact that there will be virtually no competition, this business is likely to elicit very positive responses.
The organization will be privately owned and a portion of the stock will be made available to investors. This means that it will be a joint stock firm.
At the start up of the event, a number of things will occur concurrently. First, the entrepreneurs will obtain investment for the business. As stated earlier, the intention is to do this through a commercial loan (Kiyosaki 29). The business plan will be sent to a variety of funding sources in Riyadh in order to carry out the project. At the same time, it will be necessary to obtain a permit for carrying out the business. This will be collected from the government revenue collection authority.
All other legal requirements will be considered in the process as well. This will be followed by the purchase of the land where The Entertainment Village will be located. As soon as the latter step is completed, architectural drawings for the facility will commence. Since some of the items needed to complete the recreational centre have long lead times, then their orders will be placed immediately; they include steel and other metals.
It will be essential to start looking at the equipments for the arcade centers, bowling, golf simulators and many more. Orders will be made for the equipments at that time. After completion of the orders, it is likely that the architectural drawings will have been completed. It is at this point that the architects will be given the final approval. Shortly after, site clearance and preparation will be done.
The building will then be started and will possess a timeline of about six months. After the six months, employees will be hired to work in the various segments of The Entertainment Village. A number of in-house training initiatives will be developed and implemented immediately after the completion of the building. Finalization of operation procedures will be made such as: streamlining the play station games, pretesting the shooting range and golf simulator equipment and ascertaining that the bowling alley is working well.
Now the company will be ready to start advertising. An intense marketing campaign will be launched in order to let the public know about the services that will be available in this recreational centre. Additional staff will be needed to carry out other functions, so a second hiring phase will be necessary. They will still require some training before then can start working.
After all the structural components have been put in place, the firm will need investors. The restaurants and cafes will require food supplies as well as other kinds of supplies that will be essential in service provision. There will also be a need for gloves, head gear, knee caps, paintball suits, bowling bowls and other supplies that will be necessary in the running of the centre. After all inventories have arrived, then the organization will be ready to open for business.
Shown below is a summary of the establishment requirements
product & expenseprice quantitycost
paintballs (500 per box)7520015000
building with design––5000000