NATHANIE’S GOLD GYM

Business Name

Nathaniel Cinco Padasas

Business Owner

Barangay Biclatan, General Trias, Cavite

Business Address
 TABLE OF CONTENTS

Description of Business………………………………………………………………….1

Type of Product/Services……………………………………………………….…….2-4

Target Market……………………………………………………………………..…….5

Location of the Business…………………………………………………………..….…5

Competitors……………………………………………………………………………...6

Management……………………………………………………………………………..6

Personnel……………………………………………………………………………..…..7
Section 1: The Business

1.1 Description of Business

NATHANIE'S GOLD GYM will be one of the most gyms in the Philippines that

will provide many benefits to the customer satisfy they need. Offers high quality physical

fit and make sure the trainer inside the gym is well trained and has professional license as

a gym trainer. The gym is located on the General Trias Cavite that will be made for you

to relax and to feel comfortable without stress.

1.2 Mission

NATHANIE’S GOLDS build quality and service to help customers make their

goals at the affordable membership fee and offer big discounts that are beneficial and

needed by the needs and desires of everyone. Dedication and gym trainer practices this

gym is not just an ordinary gym, but it is also a gym that will make you feel relax and

live without stress.

1.3 Vision

Its real purpose is to be careful and ready to see this purpose through Nathanie’s

Gold Gym.

N- otable Solutions

A- ction and Service

T- hat has a good shape

1.4 Type of Product/Services

NATHANIE'S GOLD GYM gives health and fitness services to the residence of
Biclatan, General Trias, Cavite. These are the services amenities that that will be
available to our customers.

 Personal Training

 ZUMBA Classes
 Yoga Classes

 Weight Management
 Full Locker Room Services

 Sport Shop

 Full Gym Membership

1.5 Target Market

As our main target market is students, residents, and adults aged 18-44, we want

to create a vibrant image towards good health and proper fitness, to reflect on to them

that exercise is important. Students are another focus of our gym. This is because they

tend to do activities in social groups. By drawing with a student, he/she often returns

with one or more friends on the next visit. Biclatan, General Trias Cavite has 8 schools.

Taken together, the college population is at least 20,000. All adults between the ages of

18-44. This is the main target of any gym. At Nathanie's Gold Gym, there are 135,700

people that fit this age group. This compares favorably with the metro area, with an 18-

44 population of 120,500.

1.6 Location of Business

It is located in General Trias Cavite near Governer’s Hill Subdivision.

1.7 Competitors

Below is a list of potential competitors currently located within our expected

location:

Key Competitors:

Pound for Pound Fitness: Complete Address: 3rd floor, Lin-An Building, Brgy. Hugo

Perez, Governor's Drive, Trece Martires City, Cavite (Beside Phoenix Gas Station near

General Trias and Trece Martires City junction).

1.8 Management

Nathanie's Gold Gym will use a combination of paid hourly staff and volunteers.

The owner will use his extensive experience in the gym industry to manage the day-to-

day operations of Nathan’s Gold Gym. In addition, we will hire four part-time, hourly

staff members. Volunteers will be used to fill route setting requirements, other programs,

and groups.
 The gym industry enjoys a high rate of qualified applicants and volunteers.

Potential employees are attracted to the lifestyle and environment of gyms. They also

enjoy the added bonus of being able to pro deal equipment at a significant discount. This

allows gyms to keep employees happy without having to pay high wages.

1.9 Personnel

Estimated personnel expenditure is based on the total hours worked each month

by the manager and front desk/gym instructor employees. The salary for Nathanie's Gold

Gym employees will be Php. 500.00 / hour for manager, and Php. 400.00 / hour for front

desk/gym instructors.

Business hours for Nathanie's Gold Gym are noon-10 pm Monday-Friday and

noon-6 pm every Saturday and Sunday. In addition, employees will work non-operating

hours to set the route, clean, perform general maintenance, and manage team rentals.

In a normal business week, a total of 40 hours can be scheduled for the manager

and 91.5 hours combined for the front desk / gym instructor.
Section 2: Financial Data Information

2.1 Source of Funding/Capital/Initial Capital/Investment needed

Nathaniel Padasas and Mae Biacora plan on personal funding with full start-up costs.

Their initial investment of 70,000 each will come from getting a second mortgage on

their homes and adding to this amount from personal saving accounts.

Start-up Funding

Start-up Expenses to Fund 25,000

Start-up Assets to Fund 115,000
Total Funding Required 140,000
Assets
Non-cash Assets from Start-up 92,000
Cash Requirements from Start-up 23,000
Additional Cash Raised 0
Cash Balance on Starting Date 23,000
Total Assets 115,000
Liabilities and Capital
Liabilities
Current Borrowing 0
Long-term Liabilities 0
Other Current Liabilities (interest-free) 0
Total Liabilities 0

Capital Planned Investment

Mae Biacora 70,000
Nathaniel Padasas 70,000
Additional Investment Requirement 0
Total Planned Investment 140,000

Loss at Start-up (Start-up Expenses) (25,000)

Total Capital 115,000

2.2 Income Statement

Sales 254,032 273,296 294,939

Direct Cost of Sales 12,744 13,709 14,801
Other Costs of Sales 3,600 4,200 4,800
Total Cost of Sales 16,344 17,909 19,601

Gross Margin 237,688 255,387 275,338

Expenses
Payroll 79,050 86,620 89,610
Marketing/Promotion 3,150 4,000 5,000
Depreciation 3,600 3,600 3,600
Rent 52,800 52,800 52,800
Utilities 4,800 5,200 6,000
Insurance 13,200 15,500 16,500
Payroll Taxes 11,858 13,000 13,500
Other 3,600 4,200 4,800

Total Operating Expenses 172,058 184,920 191,810

Profit Before Interest and 65,631 70,467 83,528
Taxes
EBITDA 69,231 74,067 87,128
 Interest Expense 0 0 0
Taxes Incurred 19,689 21,140 25,058

Net Profit 45,942 49,327 58,470

Net Profit/Sales 18.08% 18.05% 19.82%

2.3 Balance Sheet

The balance reflects the healthy growth of Nathanie’s Gold Gym net worth, and its

strong financial position.

Assets

Current Assets
Cash 72,542 125,469 187,538
Other Current Assets 2,000 2,000 2,000
Total Current Assets 74,542 127,469 189,538

Long-term Assets
Long-term Assets 90,000 90,000 90,000
Accumulated Depreciation 3,600 7,200 10,800
Total Long-term Assets 86,400 82,800 79,200

Liabilities and Capital Year 1 Year 2 Year 3

Current Liabilities
Current Borrowing 0 0 0
Other Current Liabilities 0 0 0
Subtotal Current Liabilities 0 0 0
 Long-term Liabilities 0 0 0
Total Liabilities 0 0 0

Paid-in Capital 140,000 140,000 140,000

Retained Earnings (25,000) 20,942 70,269
Earnings 45,942 49,327 58,470
Total Capital 160,942 210,269 268,738
Total Liabilities and Capital 160,942 210,269 268,738
Net Worth $160,942 $210,269 $268,738

2.4 Cash Flow

As can be seen in the following table, Nathanie’s Gold Gym will enjoy a strong

positive cash flow following the first month of its operation. This is due to the fact that

there is no need to buy goods. It is also important to note that Nathanie’s Gold Gym does

not need to be given rules to its members, and therefore, all payments will be paid in

cash, check, credit card, or EFT.

Cash Received

Cash from Operations

Cash Sales 254,032 273,296 294,939
Subtotal Cash from Operations 254,032 273,296 294,939

Additional Cash Received

Sales Tax, VAT, HST/GST 0 0 0
Received
New Current Borrowing 0 0 0
New Other Liabilities (interest- 0 0 0
 free)
New Long-term Liabilities 0 0 0
Sales of Other Current Assets 0 0 0
Sales of Long-term Assets 0 0 0
New Investment Received 0 0 0
Subtotal Cash Received 254,032 273,296 294,939

Expenditures Year 1 Year 2 Year 3

Expenditures from Operations

Cash Spending 204,490 220,369 232,869
Subtotal Spent on Operations 204,490 220,369 232,869

Additional Cash Spent

Sales Tax, VAT, HST/GST Paid 0 0 0
Out
Principal Repayment of Current 0 0 0
Borrowing
Other Liabilities Principal 0 0 0
Repayment
Long-term Liabilities Principal 0 0 0
Repayment
Purchase Other Current Assets 0 0 0
Purchase Long-term Assets 0 0 0

2.5 Break Even Analysis

Our monthly Break-even point is shown below. At extremely low variable costs, the

basic monthly expenses come from fixed costs.

 Break-even Analysis

Monthly Units Break-even 197

Monthly Revenue Break-even 15,095
Assumptions
Average Per-Unit Revenue 76.63
Average Per-Unit Variable Cost 3.84
Estimated Monthly Fixed Cost 14,338

2.6 Return of Investment

2.7 Pay Back Period

III. Section 3: SWOT Analysis and Strategies for the Proposed Business

SWOT ANALYSIS
STRENGHTS WEAKNESSES
  Management focuses on a strategy  Personal training services can be
that focuses on the result to attract high in cost.
and keep customers in a highly
 Nathanie’s Gold Gym is low in staff
competitive market.
which can be a problem in providing
 Health and physical fitness programs service to a large pool of members.
are carefully considered in
 The gym lacks a marketing budget to
accordance with the needs of the
attract large business clients.
layman.
 Lowest cost of service in the whole
market of Biclatan, General Trias,
Cavite.
 The company will hire qualified and
experienced staff.
OPPORTUNITIES THREATS
 The gym market is growing rapidly.  The economic downturn and
downturn could slow down the
 Adding heart disease and excess
growth of the gym.
weight causes people to pay more
attention exercise and health care  Cheap offers from well-established
activities. competitors. Although it is a small
level of threat
 People get used to having a gym and
a healthy gym in their daily routine. due to a fact that the market is growing
rapidly.
 A large market segment has not yet
gained, the low-income area will be  Low cost health and wellness
special focus on Nathanie’s Gold equipment available for home
Gym which was completely ignored exercise
by rivals.

Marketing Strategies

Value Proposition:
• State of the art facility with the latest equipment from quality manufacturers
• Low cost monthly, quarterly, and annual subscription plans. Starting with the number
less than 3000 for basic body workout exercises.
• Personally qualified trainers to help our members achieve results without wasting
Lots of time

Branding:
Nathanie’s Gold Gym will create the official website for creating a company brand
and image the market, as well as providing online subscriptions.

Marketing Goals:
Nathanie’s Gold Gym will focus on creating a brand image around Biclatan, General
Trias Cavite. They will participate in major events in health and physical fitness
programs and education programs.

Strategy:
Nathanie’s Gym of Gold will start by targeting a low-income market segment in
the town of Biclatan, General Trias Cavite area. They convince people about the benefits
and necessities of goodness programs. It can be done through aggressive pursuit contact
and contacts with people in public health and physical fitness awareness programs and
through delivery newsletters and emails through a website.