I. Executive Summary
This Section's Contents
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Business Overview
[Company Name] is a new dry cleaner located in the heart of [Location]. Our mission is to provide high-quality dry cleaning services that are environmentally friendly. Unlike our competitors, we don’t use any toxic chemicals in any of our services. We use environmentally friendly solvents to keep our customers’ clothes in perfect condition without harming the environment. We aim to be one of the finest dry cleaning businesses in the area and guarantee that every garment will be in better condition than when the customer dropped it off.
Services
We are a local dry cleaner business that provides dry cleaning services for individuals living in or near [Location]. We can clean any garment that requires dry cleaning, including suits, gowns, other professional wear, and household fabrics (such as table linens and sheets).
Our services are priced on a case-by-case basis, depending on the quantity and type of fabric that needs to be cleaned. Customers can call our business or check out our website to get a quote.
Customer Focus
[Company Name] will primarily serve the residents who live near [Location]. The demographics of these customers are as follows:
- 205,000 residents
- 86,018 workers
- Average income of $60,000
- 44.1% married
- 39% in Mgt./Professional occupations
- Median age: 35 years
Management Team
[Company Name] is headed by its founder, [Founder’s Name]. She has worked at a local dry cleaner for [X] years as an Assistant Manager. Her experience at this job has given her extensive knowledge of the industry, dry cleaning techniques, and customer service. As a manager, she also gained in-depth knowledge and experience in the operations and management aspects of running a business.
In addition to her experience, she recently graduated from [University] with a degree in Business Administration. So, despite never running a business herself, [Founder’s Name]’s experience and education have given her the skills needed to succeed with [Company Name].
Success Factors
[Company Name] is uniquely qualified to succeed for the following reasons:
- [Company Name] will fill a specific market niche in the growing community we are entering. We are the only dry cleaner in town that is committed to providing environmentally friendly services.
- In addition, we have surveyed the local population and received extremely positive feedback saying that they explicitly want to make use of our services when launched.
- Dry cleaners are a proven, successful business in the United States.
- The management team has a track record of success in the industry.
Financial Highlights
[Company Name] is currently seeking $250,000 to launch. The capital will be used for funding capital expenditures and location build-out, hiring initial employees, marketing expenses, and working capital. Specifically, these funds will be used as follows:
- Store design/build: $150,000
- Working capital: $100,000 to pay for marketing, salaries, and lease costs until [Company Name] reaches break-even
Top line projections over the next five years are as follows:
| Financial Summary | FY 1 | FY 2 | FY 3 | FY 4 | FY 5 |
|---|---|---|---|---|---|
| Revenue | $560,401 | $782,152 | $1,069,331 | $1,379,434 | $1,699,644 |
| Total Expenses | $328,233 | $391,429 | $552,149 | $696,577 | $776,687 |
| EBITDA | $232,168 | $390,722 | $517,182 | $682,858 | $922,956 |
| Depreciation | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 |
| EBIT | $225,168 | $383,722 | $510,182 | $675,858 | $915,956 |
| Interest | $6,016 | $5,264 | $4,512 | $3,760 | $3,008 |
| Pre Tax Income | $219,152 | $378,458 | $505,670 | $672,098 | $912,948 |
| Income Tax Expense | $76,703 | $132,460 | $176,985 | $235,234 | $319,532 |
| Net Income | $142,449 | $245,998 | $328,686 | $436,864 | $593,416 |
| Net Profit Margin | 25% | 31% | 31% | 32% | 35% |
