Cents and Senseibility Value-Priced Martial Arts School
Cents and Senseibility Martial Arts School is associated with the Can-Am Taekwondo Instructors and Schools Confederation, a nationally recognized martial arts organization with over 1,500 active member schools across the United States. CATISC is one of the most successful martial arts organizations in the world.
Cents and Senseibility will serve a large community area. It will offer group and individual classes in the art of Taekwondo and self defense. Classes will also be provided in Cardio Kick Boxing and Pilates exercising. As Cents and Senseibility grows, future plans include to expand and accommodate a health club exercise gym to be offered for parents to enjoy while the children are in classes.
The initial Cents and Senseibility Martial Arts School store front will be located on a major street within a shopping center, with ample parking.
2.1 Company Ownership
Cents and Senseibility Martial Arts School will be operated as a sole proprietorship by owner Rolly BonTemps, Fifth Degree Black Belt. All proceeds from membership, programs, tournaments, merchandise and other school activities are that of the owner.
Cents and Senseibility will be affiliated with the Can-Am Taekwondo Instructors and Schools Confederation. Cents and Senseibility Martial Arts School will be obligated to pay the Can-Am Taekwondo Instructors and Schools Confederation approximately 15% of all testing fees. All other income will be that of the owner.
Trained black belt instructors are the #1 resource. These instructors are well versed in the training of Taekwondo and are selected based upon their knowledge and ability to work with students. Instructors are not paid, rather they are members of the inner circle of the do-jahng, a club of top students. Instructors are given free membership and access to the do-jahng and receive payment for private lessons they perform on a contract basis. Instructor materials (i.e., belts, weapons) are provided free for their participation in training of students.
As the Cents and Senseibility Martial Arts School opens its doors, it will be actively seeking members with experience in the martial art of Songahm Taekwondo. Often times students are moving into the area and are looking for the nearest Can-Am Taekwondo Instructors and Schools Confederation affiliated school.
In the eventuality that no experienced instructors are available, the CATISC has several schools in nearby cities that could make instructors available should the owner become injured or disabled.
Also, within the first year of operation, students will progress through the belt ranks to achieve senior student status. Under the watchful eye of the instructor these students will be trained to assist with lower rank classes and be given the opportunity to join the inner circle of instructor ranks.
The Can-Am Taekwondo Instructors and Schools Confederation is very large and if immediate assistance is required due to some unforeseen circumstance, the organization would assist in all ways possible to assist the school owner.
2.2 Start-up Summary
The start-up funding requirements are estimated below. This amount ear-marked for start-up expenses, includes carpeting the floor, installing mirrors, restrooms and and office area, front desk sales counter and store front sign. The remaining funds will be applied to rent of the commercial property until profits are generated. In addition, the company will require some initial cash reserves and additional assets. The start-up costs are to be financed by the equity contributions of the owner, Rolly BonTemps, and his parents, as well as by a three-year commercial loan. These start-up expenses and funding requirements are summarized in the tables below.
The initial start-up for Cents and Senseibility will be relatively inexpensive. Martial arts schools do not require a substantial buildout to open their doors with a large overhead. The insurance needed to operate the Cents and Senseibility Martial Arts School will be offered by the Can-Am Taekwondo Instructors and Schools Confederation. The school will open with a one million dollar liability policy being offered.
CATISC will also provide the Cents and Senseibility Martial Arts School with a school number to open under the Can-Am Taekwondo Instructors and Schools Confederation organizational umbrella. All other required licenses to own and operate a small business will be obtained through the local community in which the do-jahng is located.
CATISC offers future martial arts school owners with a Business Clinic, outlining all the requirements needed to open a successful Taekwondo school.
|Start-up Expenses to Fund||$36,000|
|Start-up Assets to Fund||$59,000|
|Total Funding Required||$95,000|
|Non-cash Assets from Start-up||$15,000|
|Cash Requirements from Start-up||$44,000|
|Additional Cash Raised||$0|
|Cash Balance on Starting Date||$44,000|
|Liabilities and Capital|
|Accounts Payable (Outstanding Bills)||$0|
|Other Current Liabilities (interest-free)||$0|
|Additional Investment Requirement||$0|
|Total Planned Investment||$35,000|
|Loss at Start-up (Start-up Expenses)||($36,000)|
|Total Capital and Liabilities||$59,000|
|Total Start-up Expenses||$36,000|
|Other Current Assets||$0|
2.3 Company Location
Cents and Senseibility Martial Arts School will be located in a major shopping center. Plans are to open a Taekwondo Center in a 3,000 square foot facility with a 1,800 square foot training area, 300 square foot viewing area (lobby) with a receptionist desk, large men’s and women’s dressing areas, showers and rest room facilities. There will be two offices, one will be used for storage and the other for the main office.
Plans are to have the building face a major street and have considerable foot and drive-by traffic. Parking will be available in the shopping center. The facility will be leased yearly, with plans for constructing or purchasing an independent building in future years.