Assignment 2: You Are an Entrepreneur
ACC 557: Financial Accounting
Tuesday, February 12, 2013
Table of Contents
EXECUTIVE SUMMARY 3
geral business Description
operational highlights 5
Cash Flow Projections
BUSINESS CONTROLS 11
COMPLIANCE TO REGULATORY BODIES
Wellfit, Inc will provide ...view middle of the document...
Wellfit Inc mission is to create awareness and the need for healthy lifestyle in the society. Our vision is the provision of quality fitness programs that are in line with health care. The strength and main competencies of the business venture include low cost and affordable services compared to competitors, certified and experienced trainers, and management dedication and commitment towards provision of health care.
Challenges that Wellfit might face include difficulties in establishing its brand image and client attraction due to the already established competitors in the market such as fitness gyms, Adventure camps and specialized personal training. However, since the business venture targets a different market segment of low income earners, and provision of cheap services compared to its competitors, it is expected that the business will break even within its first year of business commencement. The business too intends to engage vigorous advertisements and self marketing so as to boost it image brand in the market.
Services and rationality of the services
Wellfit, Inc intends to offer the following services Cycling, Aerobics, Boxing, Pilates, Yoga, Muscle Training, Obesity and Diabetes control. The members of the society will benefit from the services offered since the venture intends to make use of state-of-the art equipments and facilities form accredited manufactures, low cost and affordable membership targeting low income earners and the use of highly qualified personnel who ensure that clients attain the required results within no time.
Fitness clubs and health clubs in Florida mainly serve high income earners. The average income for most fitness club members in Florida is approximately $80,000 as per 2011 survey. This leaves a big segment of medium and low income clients with unsatisfied needs. Wellfit, Inc will mainly aim at provision of fitness and health care facilities to the medium and low income classes without compromising on service quality.
Our sales ratio projections might be low for the first few months upon commencement of business operation, but for the purpose of this sales forecast assumptions are made that the business will receive at least three client enquiries within the first few months of business commencement. It is expected that there will be a steady increase of clients generated by vigorous promotional activities planned to kick off immediately the business commence.
Sales Forecast Projection
| | | | | | |
| |Y1 |Y2 |Y3 | |Total |
| | | | | | |
|Aerobics |$2,000 ...