I. Executive Summary
This Section's Contents
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Business Overview
[Company Name] is a distributor of professional beauty products located at [Address]. It is the premier beauty destination for cosmetics, fragrance, skin care products, hair care products and beauty services. It is a one-stop shop for all of your beauty needs. With the client at the center of the experience, our professional beauty experts are able to effectively educate and assist, while you explore.
It first opened in [year] and seeks to provide a pleasant and convenient beauty retail experience to shoppers by offering a wide selection of beauty products for everyone, in one cozy place.
Products Served
[Company Name] features premium beauty products in-store from well established brands including haircare, bath & body, fragrances, make-up, skincare and lotion, tools and brushes. We also offer make-up application and hair styling services.
Customer Focus
[Company Name] will primarily serve the residents who live within a 10 mile radius of our store. The demographics of these customers are as follows:
- 27,827 residents
- 1,750 workers (who do not live the neighborhood)
- Average income of $54,700
- 38.9% married
- 49.6% in Mgt./Professional occupations
- Median age: 34 years
Management Team
[Company Name] is led by [Founder’s Name] who has been in the beauty business for 20 years. She was assistant manager at another beauty supply store previously. As such [Founder] has an in-depth knowledge of the fashion and beauty business including the operations side (e.g., running day-to-day operations) and the business management side (e.g., staffing, marketing, etc.).
Success Factors
[Company Name] is uniquely qualified to succeed for the following reasons:
- There is currently no high-end beauty supply store in the community we are entering. In addition, we have surveyed the local population and received extremely positive feedback saying that they explicitly want to frequent our business when launched.
- Our location is in a high-volume area with little direct traffic, and will thus be highly convenient to significant numbers of passersby each day.
- The management team has a track record of success in the beauty business.
- The beauty supply industry is a proven business and has succeeded in communities throughout the United States.
Financial Highlights
[Company Name] is currently seeking $330,000 to launch.Specifically, these funds will be used as follows:
- Store design/build: $165,000
- Working capital: $165,000 to pay for marketing, salaries, and land costs until [Company Name] reaches break-even.
Top line projections over the next five years are as follows:
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Revenue | $1,080,000 | $2,472,768 | $2,830,825 | $3,240,728 | $3,709,986 |
| Total Expenses | $962,000 | $1,539,107 | $1,719,742 | $1,901,321 | $2,112,641 |
| EBITDA | $118,000 | $933,661 | $1,111,082 | $1,339,407 | $1,597,344 |
| Depreciation | $25,600 | $25,600 | $25,600 | $25,600 | $25,600 |
| EBIT | $92,400 | $908,061 | $1,085,482 | $1,313,807 | $1,571,744 |
| Interest | $29,946 | $26,202 | $22,459 | $18,716 | $14,973 |
| Pre Tax Income | $62,455 | $881,858 | $1,063,023 | $1,295,091 | $1,556,772 |
| Income Tax Expense | $21,859 | $308,650 | $372,058 | $453,282 | $544,870 |
| Net Income | $40,595 | $573,208 | $690,965 | $841,809 | $1,011,902 |
