This plan provides detailed investor information and includes the basic strategic business plan information necessary for initial establishment and operation of Kiln Creek Bowling Center. The plan outlines the plans for business growth, methods, procedures for operation, and infrastructure management.
Kiln Creek Bowling Corporation (Kiln Creek Bowling Center) was formed in January, 2001 in Yorktown, Virginia, as a corporation under the Laws of the Commonwealth of Virginia.
The dynamic management team responsible for the design, building, development of company policy, and hands-on-management of the daily operations are Charles H. Collins Jr., Jane W. Collins, and Charles "Chip" Collins III. In addition, a team-oriented and customer-focused staff of 50 will support the management team. Kiln Creek Bowling Corporation will retain the services of a CPA firm to perform professional company audits, prepare taxes and payroll, and serve as a business consultant to assist in setting achievable long-range strategic goals.
Establishment of Kiln Creek Bowling Corporation trading as Kiln Creek Bowling Center provides York County, Hampton, Newport News and the surrounding area quality family entertainment, products, and services.
Based on the current prices in the bowling and restaurant market, Kiln Creek Bowling Center has the potential of making excellent sales the first year. With good management, a healthy annual revenue growth is expected.
The equity for each investor will be based on his or her investment. An in-depth look at Ratios can be found in Topic 7.7, Business Ratios.
Ways to minimize risk factors to Kiln Creek Lane's success include:
- Obtain sufficient capital to build and cover expenses of initial operation. All investor capital will be held in escrow until the project is totally funded.
- Maintain low overhead cost which increases the bottom line profit. Multi-skilled personnel will be employed, and a continual training program will ensure they deliver consistent, superior service, where customer satisfaction is paramount.
- Build a sufficient customer base. An excellent location has been determined by demographics, and an aggressive marketing program by a full-time employee will ensure desired results.
- Establish community involvement to demonstrate how the business will contribute to a better quality of life. Community projects using the bowling center's facilities will be developed to help civic groups obtain their financial goals. School, church, and other groups will be welcomed for tours of the bowling center.
- All payments will be cash, check, or credit card, which eliminates the need for invoicing and collections.
1.1 Objectives
Kiln Creek Bowling Corporation will build a 43,000-square-foot building in the Kiln Creek commercial area of York County/Newport News, Virginia. Service/products include 40 computerized bowling lanes, full-service family restaurant, snack bar, billiard and dart parlor, video game room, apparel shop, pro-shop and children's nursery. In the future a miniature golf course will be added. The project will cost £4.5 million. The commercial funding will borrowed at 9.5% for a 20 year term. Kiln Creek Bowling Center anticipates opening late in September, 2001, with first year gross revenues showing a return on equity. Revenues are expected to grow at a rate above inflation.
1.2 Mission
The purpose of Kiln Creek Bowling Center is to provide the residents of the north side of Hampton Roads with family entertainment in an enjoyable, pleasant atmosphere. It will provide excellent service using the most technologically advanced bowling equipment in a clean facility, which will cater to the entire family. The restaurant will be called "The Train Station," and its decor will depict the golden era of the railroad industry. Its family environment with casual dining will include multiple TVs. Each customer has the opportunity to select which TV station he or she wants to hear. The design will incorporate both artifacts and reproductions of railroad furniture to capture the romantic era of traveling and dining on a train. The casual dining ambiance, quality of the food, and excellent service will ensure a large, loyal following of customers. The restaurant will also feature a full-service bar, with live entertainment or Karaoke on selected nights.
1.3 Keys to Success
Kiln Creek Bowling Center has three keys to success.
- Location. The center will be strategically located to maximize the profits from the modern day bowler. The center will be constructed on Commonwealth Drive in York County, adjacent to the Regal 14 Cinema. This location is a half mile from I-64 exit 265B, in the Kiln Creek Shopping Complex, which includes Super K Department Store, Kroger, Farm Fresh, 14-screen Regal Cinema, an ice rink, six national restaurants, two banks, 35 other store-front type businesses, and a Wal-Mart/Sam's Club that is presently under construction. This is an excellent location for a multi-purpose bowling center. According to the York County Planning Division's statistical profile of the primary market area (one to five mile radius) the location is perfect, as described by the National Bowling Council study that outlines the required demographics for a successful bowling center.
- Low Overhead Cost. Kiln Creek Lane's management will keep overhead cost at a minimum. First, during construction of the center, Charles Collins Jr. will be project manager, saving approximately 15% of construction costs. His experience at operating bowling centers, as well as his educational background as an industrial engineer, contributes to his ability to streamline operations while minimizing unnecessary expenses. The employment of the best in the field for his staff will allow having many of the key employees doing more than one task. The center will have the most energy-efficient equipment of any center in the area.
- Wide Range of Services. Kiln Creek Bowling Center will provide entertainment, not only through bowling, but also by having a full-service restaurant/night club, billiards and darts, arcade, snack bar, apparel/pro shop, and children's nursery. This diversity will bring in more customers and provide them more ways to enjoy themselves and spend their discretionary income.
