I. Executive Summary
This Section's Contents
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Business Overview
[Company Name] is a new, artisanal ice cream shop located in [company location] that serves homemade, all-natural ice cream freshly made everyday. It will serve a variety of delicious flavors, smoothies, and a selection of assorted toppings. The ice cream served at [Company Name] is sure to delight anyone’s sweet tooth.
Products Served
[Company Name] will sell a variety of ice cream flavors, smoothies, and toppings to complement any ice cream. All products will be made using only fresh and all-natural ingredients. Because each ice cream is made fresh everyday, it will not include any chemicals or preservatives.
[Company Name] will also offer soda and water beverages.
Customer Focus
[Company Name] will serve the community of [company location]. The community is largely made up of families, and has a large number of schools, churches, and organizations. The demographics of the target customer profile is as follows:
- 52,313 residents
- Average income of $85,000
- 74.9% married
- 16 schools to include elementary, middle, and high schools
- Median age: 39 years
In addition to the family and school population, there are also a large number of youth sports leagues, church organizations, and community non-profit organizations.
Management Team
[Company Name] will be solely owned and operated by [Founder’s Name]. She has been making ice cream at her home for the past twenty years for her husband and children as a hobby. To the urging of her family and friends, [Founder’s Name] began providing ice cream on a larger scale to school events, church gatherings, and social events. She quickly gained a following and increased demand prompted [Founder’s Name] to open a retail ice cream shop.
[Founder’s Name] is a career accountant and is very adept at bookkeeping and taxes for running a business. She will employ a staff of part-time employees to assist her with the daily ice cream preparation, customer service, and cleanliness of the business.
Success Factors
[Company Name] has several advantages over its competition. Those advantages include:
- The company’s competitors use packaged ice cream that was made weeks ago in a large warehouse and sent out for distribution. [Company Name]’s ice cream is made fresh, in-store, using all-natural ingredients.
- The ice cream shop will be located in a highly trafficked, prime retail location in a busy intersection of town.
- [Founder’s Name] has lived in [company location] all of her life and has raised her family in the same community as her target market. She has many connections with the local schools, churches, and organizations.
- [Company Name] will offer premium artisanal ice cream at a price point that is competitive with other establishments and be moderately priced for fresh, all-natural ice cream.
Financial Highlights
[Company Name] is seeking $200,000 in funding to launch its ice cream store. The capital will be used for funding capital expenditures, staffing, marketing and advertising expenses, and working capital.
The breakout of the funding may be seen below:
- Store design/build-out: $75,000
- Ice cream making and vending equipment: $95,000
- Marketing and advertising: $10,000
- Staffing costs: $10,000
- Working capital: $10,000
The following graph outlines the pro forma financial projections for [Company Name] over the next five years:
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Revenue | $738,000 | $1,716,272 | $2,007,297 | $2,331,125 | $2,694,524 |
| Total Expenses | $639,595 | $1,021,515 | $1,110,127 | $1,190,308 | $1,273,715 |
| EBITDA | $98,405 | $694,757 | $897,169 | $1,140,817 | $1,420,809 |
| Depreciation | $16,560 | $16,560 | $16,560 | $16,560 | $16,560 |
| EBIT | $81,845 | $678,197 | $880,609 | $1,124,257 | $1,404,249 |
| Interest | $18,554 | $16,235 | $13,916 | $11,596 | $9,277 |
| Pre Tax Income | $63,291 | $661,962 | $866,694 | $1,112,661 | $1,394,972 |
| Income Tax Expense | $22,152 | $231,687 | $303,343 | $389,431 | $488,240 |
| Net Income | $41,139 | $430,276 | $563,351 | $723,230 | $906,732 |
