Trousseau, Bridals by Megan, LLC. 612 Broadway Street. Cape Girardeau, MO, 63701.

Megan Wright: Owner

Statement of Purpose

612 Broadway Street - Cape Girardeau, MO, 63701 Tel: (573) 450-7162 Email: wright489@missouristate.edu

Regions Bank 2045 South Glenstone Ave. Springfield, MO, 65804 Re: Loan Request for $160,000 Subsequent to exploring the demographics and current retail market needs in Cape Girardeau, I have created Trousseau, LLC to fill the void of a proficient, local bridal shop in this area. Currently, there is only one place to purchase a bridal gown in Cape Girardeau, MO, and that is David s Bridal. Alternatives to David s Bridal include a couple of boutiques in a nearby town, which still won t measure up to Trousseau, LLC. Both stores offer a similar collection of dresses and also provide a full array of prom dresses, which is not the image or goal of Trousseau, LLC. I want to provide native-made store that can give the brides in Southeast Missouri not only a much more personal experience while purchasing a gown, but also a more fun and fashionable one. I am very confident in my ability to run a new retail clothing business. Not only do I have the education to back up my ability, but I also have many years of real life retail experience in selling clothing. After years of studying fashion merchandising, I am comfortable in merchandising a store to make it visually appealing, keeping the store stocked and filled with new and up-to-date merchandise, and managing any required financial data. My work experience in retail gives me confidence in my excellent customer service and selling capabilities. By requesting a loan of $160,000 I can make the concept of Trousseau, LLC, a reality. The loan will cover all startup costs including remodeling of the building, necessary fixtures and furniture, my opening inventory, and all other necessities of opening a bridal boutique. This loan will assist me in reaching my first-year projected sales goals, but it will be the outstanding customer service, and unique environment and product assortment that will take Trousseau, LLC to the top. Thank you for your consideration,

Megan Wright

Trousseau, Bridals by Megan, LLC. 612 Broadway Street Cape Girardeau, MO, 63701 Business Experience: 4 years clothing retail experience; visual merchandising; merchandising math; advertising; marketing Mission Statement: Chic and trendy meets classic and timeless; because all brides are one-of-a-kind. Products and Services: Trousseau, LLC will offer top-quality bridal consulting; promising the bride the best shopping experience possible. Product categories offered include bridal gowns, bridesmaid dresses, flower girl dresses, mother-of-the-bride gowns, and then jewelry and bridal accessories. Vendors for bridal gowns consist of Christos, Anne Barge, Wtoo Brides, Watters, Carolina Herrera, Allure Bridals, Monique Lluillier, Galina Signature, Claudine for Alyce, and Michelle Mahler. All other dresses are provided by Jessica McClintock, Pretty Maids, and Alyce Designs JDL. Accessories by Wedding Factory Direct. Target Customer: Trousseau, LLC s target customers include brides ages 18-35 living in or near the Southeast Missouri region. Bride or family income may be $20,000 per year and beyond. Trousseau, LLC wants to appeal to any bride whether they re a simple minimalist or couture with expensive taste. Other target customers consist of the bride s wedding party which may include her bridesmaids and flower girls. Mother of the bride gowns will also be available, appealing to mothers 35-65, with a variety of price ranges. Geographic Footprint: Trousseau, LLC can be considered a destination store because its market reaches further than a 5-10 mile radius. Cape Girardeau is the largest town in its county and even surrounding counties, therefore, it has many out of town visitors. For this reason, Trousseau will be marketed not only in Cape Girardeau, but in surrounding smaller towns as well. If the estimated amount of success is reached, a second store will be in the works to open in Littleton, Colorado. Niche: Trousseau, LLC will bring a youthful perspective to bridal fashion and will go beyond traditional. The store will focus solely on weddings and what a bride needs on her special day, all while offering a unique selection of bridal gowns not already offered in Southeast Missouri. Website: www.trousseaubridals.com Education: BS from College of Business and Administration at Missouri State University, 2007-2011

Letterhead and Business Card

BACK

FRONT

Table of Contents
Business Description Product Brand Foundation Key Elements of Service Product Assortment Plan Price Points Vendors Location Details Benefits and Challenges Visual Merchandising Exterior of Store Location Success of Location Floor Plan Store Setup Budget Marketing Plan Target Customer Competition Pricing and Sales Marketing Calendar Advertising/Promotions Personnel and Management Plans Strengths and Role in Business Employee Manual Organizational Chart Job Descriptions Exit Strategy Financial Data Sales Projections by year and month Opening Inventory Gross Margin Fixed Costs Breakeven Analysis Profit and Loss Pro-forma Cash Flow Pro-forma Balance Sheet Pro-forma Income Statement Two year projections Entrepreneurship Interview Appendix 1 3 4 5 6 10 11 14 15 17 21 22 23 26 31 32 35 37 40 53 58 59 60 69 70 71 73 74 76 77 80 82 83 85 86 87 88 90 92

Business Description

Trousseau, LLC, Bridals by Megan is a chic bridal boutique with an edge. We offer a wide assortment of fashionable and classic bridal gowns, as well as bridesmaid dresses, mother of the bride gowns, and bridal accessories. Our vision is to bring luxury and couture bridal gowns to the smaller towns in the Cape Girardeau area. We prove that brides do not need to travel far to find a special and luxurious wedding gown. We value the ability to make every bride that walks through our doors feel special and unlike any other bride. We pride ourselves in offering gowns within any family s budget. The target customer of Trousseau, LLC is an 18-35 year old bride who s got an edge, just like our store. She doesn t want to look like any other bride but still wants a high level of class incorporated into her look. The target bride has a level of spunk and attitude in her wardrobe and would like her wedding gown to reflect that. Our bride also finds supporting local businesses important, rather than shopping at any corporate bridal store. The bride however, isn t the only one who needs to look special. Trousseau recognizes that finding a dress for the mother of the bride is not easy, and bridesmaids also want to look fabulous! Both dress classifications will be featured in Trousseau. Mother of the brides may be 35-65, and Trousseau keeps that in mind with the dresses we offer. We want the atmosphere of our store to reflect the vision of our product assortment and our target customer. Our bridal consultants will treat every bride like she s the most important girl in the world at that moment. Shopping for a bridal gown can be very stressful, so we want to distinguish any possible stress and bring the bride and her entourage the greatest experience possible. We also pride ourselves in being a onestop-shop for our bride. Instead of going elsewhere we offer our own fitting and alteration services by a trained, professional alterations specialist. Trousseau will bring a youthful perspective to bridal fashion and will go beyond traditional. The store will focus solely on weddings and what a bride needs on her special day, all while offering a unique selection of bridal gowns not already offered in Southeast Missouri. Trousseau, LLC will live up to our fashionable, funky image and stay true to our mission. Chic and trendy meets classic and timeless; because all brides are one-of-a-kind.

Product
The product assortment available at Trousseau, LLC includes a widespread selection of luxurious bridal gowns, bridesmaid dresses, and a narrower assortment of mother of the bride gowns and flower girl dresses. Trousseau, LLC will also offer a variety of bridal accessories including jewelry, veils, and shoes. Product Assortment available at Trousseau, LLC: y Bridal Gowns: available in all styles y Bridesmaid dresses y Flower girl dresses y Mother of the Bride gowns y Accessories: bridal costume jewelry, veils, shoes, tiaras/headbands Trousseau, LLC will offer a variety of bridal gowns styles in our store so we can appeal to any bride. However, there will be an emphasis on funkier, non-traditional type gowns. We want our brides to have access to gowns they can t find anywhere nearby. Our up and front gowns will match the adventurous and unique expression of the store. Because of the unique vision I have for the dresses many nontraditional styles and trends will be offered such as short cocktail bridal gowns, dresses with black detail, and gowns available in colors other than white or ivory (i.e. pink, purple, red, etc.) I realize the location of my store, in Southeast Missouri, must also include more traditional and classic gowns to appeal to a wide conservative demographic. A more limited assortment of bridal party dresses will also be featured in my store, but with much less emphasis than the bridal gowns. I realize that beautiful Mother of the Bride gowns are hard to come by, so I am dedicated to offering gowns for the Mother that everyone will love. The bridesmaid selection will be slightly wider than Mother of the Bride. The look of the bridesmaids is very important and a range of different styles will be offered whether they are for winter weddings, summer weddings, or conservative or innovative weddings; the bridesmaids will complement. It is very important to me to appeal to a wide range of customers. For this reason, I find it very important to offer plus size gowns in my store. No bride should feel left out. Also, having a wide price range is absolutely imperative for my target customer and my store image. I want any bride, no matter what their price point, to be able to purchase the gown of their dreams at Trousseau, LLC. This wide price range will allow simpler, more inexpensive gowns and also more extravagant couture gowns. The same will apply for accessories and shoes.

Brand Foundation
Mission
The Mission of Trousseau, LLC is to provide classic, trendy, and chic wedding gowns to special, one-of-a-kind brides. We present the most exquisite wedding gowns our customer can find in Southeast Missouri.

Vision
Our vision is to bring luxury and couture bridal gowns to the smaller towns in the Cape Girardeau area. We prove that you brides do not need to travel far to find a special and luxurious wedding gown.

Values
We value the ability to make every bride that walks through our doors feel special and unlike any other bride. We pride ourselves in offering gowns within any family s budget.

Brand Personality
The personality of Trousseau, LLC matches that of our wide range of brides: unique, trendy, classic and timeless.

Brand Position
We position ourselves as a one-of-a-kind small bridal boutique that offers an assortment of bridal wear unlike any other store in the area. We appeal to special brides with fashionable tastes.

Brand Promise
We promise to give our brides the most pleasant, fun, and fabulous experience while searching for their dream wedding gown.

Key Elements of Service

Trousseau, LLC wants our customers to feel like the center of the universe. Everything we do in our boutique will be centered on our customer s needs and desires. I have visited the nearby stores to purchase bridal gowns and know that our customer service will stand out above the rest. When a bride-to-be enters our store for her appointment she should immediately feel special and connected to her bridal consultant. Beverages including ice water with lemon or champagne will be offered to the bride and her entourage upon entering her appointment. Our consultants are here to form a relationship with our customers and brides and will make each and every one of them feel relaxed and ready to shop. Each of our employee s will be specially trained to perform their jobs. Consultants are taught the necessary knowledge of different silhouettes, necklines, waist lines, and sleeves and know what looks good on different shapes, sizes, and body types. Trousseau, LLC also has in house alterations available for all our brides and bridal parties. No bride should have to look elsewhere for good alterations. Along with this, our alteration s team will strictly have the necessary experience and knowledge to perform the difficult alterations required for bridal gowns. Trousseau, LLC will feature designers, existing or new to the store, in private trunk shows held in our boutique. Customers will be invited to preview new gowns and merchandise by the designer and be eligible to purchase these gowns before anyone else. Trousseau, LLC will also offer a referral program. If a customer refers a friend to come to our boutique, that customer will get 10% off any in store purchase. This marketing tool will ensure that brides, who are usually one time customers, will not only come back to our store, but also bring in new customers to enhance our sales. The store will hold a special referral notebook on hand to keep track of said referrals. Trousseau, LLC strives to make every bride or customer feel relaxed and excited about their shopping experience. The appearance of the store will have a cozy yet powerful sense to it. We want our customers to enjoy looking through our store, not be bored. Music being played will not be overbearing and will feature artists such as Damien Rice, Adele, Iron & Wine, The Decemberists, and Ray Lamontagne to create a romantic and soft atmosphere in our darker, more edgy store.

Product Assortment Plan

At Trousseau, LLC we will carry an assortment of bridal gowns, bridesmaid and flower girl dresses, mother of the bride gowns, and bridal accessories. We want to appeal to a wide variety of girls, so we will offer a wide variety of styles to match. The widest product assortment will be included within the bridal gown category, for it is the deepest. Our bridal gown assortment will comprise of many different styles including various types of necklines, silhouettes, and waste lines to appeal to any bride who visits our boutique. A few examples of these styles include:

A-Line dress with sheath tank sleeves and flower embellishments By: Christos

Blush, strapless, sweetheart neckline gown By: Christos

One shoulder, fit and flair with flower embellishments By: Allure Bridals

Strapless sweetheart neckline; tea-length dress By: Allure Bridals

Fitted lace gown with vshaped neckline and black accent By: Allure Bridals

Strapless sweetheart with black flower accents By: Carolina Herrera

Ivory embroidered organza short ruffled dress By: Monique Lhuillier

Ceremony to reception detachable dress By: Michelle Mahler

A moderate assortment of bridesmaid and flower girl dresses will also be available at Trousseau, LLC. Below are a few examples of these:

Lace, empire waist, square neck party dress with lace black bodice By: Jessica McClintock

Taffeta, one-shoulder dress with cap sleeve By: Jessica McClintock

Bustier dress with square neck and asymmetric bodice By: Jessica McClintock

High neck tank gown with ruffled bodice. Short length. By: Pretty Maids

Tulle, tea length dress with satin cumber bund sash By: Watters

Spaghetti strap, knee length ivory dress with flower embellishments By: Watters

Mermaid Style lace and chiffon dress. By: Alyce Designs

A-line dress with ruched cross-over bodice. By: Alyce Designs

Below you will find an assortment of accessories for Trousseau, LLC, including veils and jewelry, all from Wedding Factory Direct.

Bridal hat and birdcage veil

Swarovski rhinestone bridal veil with pearl center accents

Gold accented ivory ribbon headpiece

Silver with black stones designer inspired necklace

Beaded flower pearl bracelet

Silver lavender cubic zirconia earrings

Below you will find the limited assortment of shoes available at Trousseau, LLC, all by Allure Bridals:

Category Gowns

Wgt. Avg. TOTAL BM/FG

Avg. Retail Avg. Cost $300 $900 $1,500 $5,000 $10,000 $1,615 $710.60 $90 $125 $200 $300 $178.75 $30 $50 $70 $50 $40 $70 $100 $150 $250 $122 $200 $300 $400 $500 $350

Wgt. Avg. TOTAL Shoes

$63.03

Wgt. Avg. TOTAL Accessories

$21

Wgt. Avg. TOTAL MOB Gowns

$45.20

Wgt. Avg. TOTAL GRAND TOTAL

$140.80

Opening Inventory % Price Point #Pc./Price Point Planned % Total Cost 35% 40 40% 46 10% 12 10% 12 5% 6 100% 116 60% $82,800 30% 66 45% 99 15% 33 10% 21 100% 219 10% $13,800 30% 197 40% 263 30% 197 100% 657 10% $13,800 20% 92 25% 114 20% 92 20% 92 15% 68 100% 458 15% $20,700 30% 15 35% 17 20% 10 15% 7 100% 49 5% $6,900 1499 100% $138,000

Price Points
Trousseau, LLC knows it is very important to appeal to many different types of brides and customers in order to have a successful business. For this reason, we will offer a wide range of price points to appeal to the many different incomes of our target customer. We want no bride left behind when it comes to finding their dream dress at an appropriate price. Below I have featured price points for each product category featured in our store: y y y y y Bridal Gowns: $300, $900, $1,500, $5,000, $10,000 Bridesmaid/Flower girl dresses: $90, $125, $200, $300 Shoes: $30, $50, $70 Accessories: $40, $70, $100, $150, $250 Mother of the Bride Gowns: $200, $300, $400, $500

The price floor for our boutique is $30 and our price ceiling is $10,000, which is obviously a large but necessary range for our product assortment. After research of the demographics in our location, I feel this is an acceptable price range to meet the needs of our target customer.

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Vendors
Bridal Gowns Christos - www.christosbridal.com Christos was established by Christos Yiannakou, but after leaving in 2005 after 20 years heading the collection, it is now under the creative direction of Amsale, owner and creative director of AMSALE. CHRISTOS bridal not only evokes a classic timelessness but also a feeling of fairy-tale, femininity, and romance. Our Christos bridal gowns are made from only the finest silks, French laces, and silk organza. WTOO www.watters.com WTOO was established in 1999 by Vatana Watters, creator of Watters Designs. WTOO was created in order to introduce more contemporary, yet affordable bridal gowns. WTOO is featured in Trousseau, LLC as one of the more affordable bridal gown brands. Anne Barge www.annebarge.com Anne Barge is featured in Trousseau, LLC as a moderate to high-priced bridal line. Anne Barge gowns feature modern interpretations of shapes, fabrics, and embellishments found in vintage couture designs throughout history. Anne Barge Bridal Collection features three separate brands including Black Label, Couture, and La Fleur to appeal to many customers taste and budget. Watters www.watters.com Watters the clothing line was created in the late 1980 s by Vatana Watters, also the creator of WTOO, and Neiman Marcus was the first national retail to carry the line. In, 2002 Watters brides was established to fill a niche for well-designed, attractively-priced bridal gowns. Allure www.allurebridals.com Allure bridals offers a vast variety of bridal gown styles. Each dress impeccably made with an extreme attention to detail. Allure will be a key vendor for our plus size gown selection. Claudine for Alyce www.alycedesigns.com Alyce Designs is a family-owned, 40 year old company based out of Chicago, Illinois. Claudine for Alyce features unique designs and elegant styles fit for any bride. The tendencies of Claudine reflect the latest trends in fashion that meld romanticism and modernity and also convey complicity between the designer and the bride.

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Carolina Herrera www.carolinaherrera.com Carolina Herrera has been an established and well known fashion designer for 25 years. Her gowns will be in Trousseau, LLC as a more higher priced and classically chic featured collection. Monique Lhuillier - www.moniquelhuillier.com
Monique Lhullier launched her very first bridal gown collection as a student at the Fashion Institute of Design and Merchandising in 1996 and has since then established a couture fashion house based in Los Angeles. As a favorite of celebrities such as Gwyneth Paltrow, Reese Witherspoon, and Jennifer Lopez, her couture designs are featured in Trousseau, LLC as the highest priced gowns in the store. Made from the finest fabrics and with show-stopping designs, Monique Lhullier gowns are worth every penny. Michelle Mahler www.darlingdove.com Michelle Mahler is a bridal designer with a desire for faith couture. Michelle Mahler believes that every bride-to-be will flourish into a darling dove on her wedding day. Her engagement will be a time of blossoming into her new life as one. In the Darling Dove studio, every bride will reward in a tranquil experience to choose a wedding gown that will reflect her journey of enduring love. This significant day can only be offered the ultimate femininity, the luxury of a couture gown. With impeccable designs, Michelle s Darling Dove wedding gowns bestow manifest beauty. It is Michelle s vow to every bride to create gowns worthy for her to adorn her flight of new beginning.

Bridesmaid and Flower girl Jessica McClintock www.jessicamcclintock.com Jessica McClintock is a name synonymous with romance. In 1969, she purchased an apparel company, then known as Gunne Sax, and has since developed it into a fashion empire. Her company is composed of designs divisions that cater to the bridal, designer, missy, junior, and children s wear customers. Pretty Maids www.prettybridesmaids.com Pretty Maids by Tiffany Designs was created in 1994 and only sells through local stores. They believe that formal wear requires the expertise and professional touch that only a local store can offer. Pretty Maids by Tiffany designs strives to bring the customer a fabulous product that will make their experience one to remember. Watters www.watters.com Watters bridesmaid dress prices begin at $210, therefore, they are featured in our boutique has moderate to higher priced gowns. These gowns are sophisticated, yet charming, and can appeal to any bridal party, young or old.

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Accessories and Shoes Wedding Factory Direct www.weddingfactorydirect.com

Wedding Factory Direct is a fabulous wholesale online vendor that features almost anything one would need for bridal accessories. This is why all of our fashionable accessories will come from Wedding Factory Direct, complete with affordable prices. Allure Bridals Footwear www.allurebridals.com

Allure bridals not only offers a vast variety of bridal gown styles, but also bridal shoes. Allure will be a key vendor for footwear at moderate to higher prices. Mother of the Bride Alyce Designs Jean De Lys www.alycedesigns.com Jean De Lys is a brand under Alyce Designs designed exclusively for Mothers of the Bride. I have found that Mother of the Bride probably have the most trouble searching for a dress to attend the wedding, and Jean De Lys has the most fashionable and chic gowns a mother could find. Because of our limited selection of Mother of the Bride gowns, Jean De Lys by Alyce Designs is our only vendor for this category.

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Location Details

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Benefits and Challenges

Trousseau, LLC will be located at 612 Broadway Street in Cape Girardeau, MO. The building is an older, brick location perfectly placed in the historic downtown Cape Girardeau area. When it came to find a building for my business, I was really striving for a downtown location. I feel as though it would not only fit the image of my store, but my store could help the image of downtown Cape Girardeau. Businesses in this same area include the Cape Girardeau nightlife, small caf s, coffee shops and local restaurants, Shivelbine s Music Store, and a wide variety of antique shops and small boutiques. Also, when going down one direction of this street one will find Southeast Missouri State University and down the other is a beautiful view of the Mississippi River Front. The customer traffic that goes along with this area is what I want to attract. It consists of not only an early twenties college crowd, which may include brides-tobe, but also older women attracted to the antique stores. I think appealing to an older crowd is important in bridal because that s usually the market paying for the dress. This is also the most touristy portion of Cape Girardeau due to all the history involved, including the famous Mississippi River Mural Wall and The Red House, once occupied by Louis and Clark. With sufficient parking behind the building, large windows great for visual displays, and a clear perfect view from downtown s most important street, Broadway, I am very happy with this location. Renovations will be mandatory for my location. The look and feel the building currently gives is not what I want for my store; however, I love the brick of the building. First and foremost, I would like to purchase an awning for the front of my building to display the Trousseau name and logo. I think this would completely revamp the outside of the store. As far as the inside of the store goes, I will need to retile the floor and paint the walls. Building in the dress rooms is also necessary to get the look and feel I am wanting.

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Store Location Fact List

Store location: 612 Broadway St. Cape Girardeau, MO 63701

Cross streets On the corner of Broadway and N. Frederick. Broadway fronts the property. 2,860 sqft.

Dimensions of entire space: Total square footage Dimensions of separate spaces:

Bathroom: 5 x7 Storage: 40 x17 Alterations Room: 12 x18

Shape of store

Rectangle

Location of entrances/exits

Front entrance

Locations of windows

7 large windows in front on the left and right of front entrance. 3 upstairs windows. $3.99 per sqft. $11,411.4 annual. $950.95 per month.

Monthly rent, Rental/square foot Terms of lease

Negotiable

Common area fees: Maintenance, marketing, etc Security deposit Expenses incurred by leasee:

N/A

One month s rent N/A

Allowable renovations

Renovations are allowed on the inside and outside of store. They will include the placement of an awning, inside tiling, painting, and the building of dressing rooms.

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Visual Merchandising Plan

Layout The layout of my store is just a simple rectangular shape with a ground floor and upstairs. The ground floor consists selling space, 4 dressing rooms and a bathroom. The second floor has a sewing and alterations room, storage, and 3 fitting rooms. When the customer enters the store they will have a view of 2 beautifully dressed mannequins, and an open view of the store. The cash wrap is located on the far right side of the selling floor to allow maximum observation of the store. In the back you will find our 4 dressing rooms that will have a private feel away from the selling floor. Fixtures include a bar along the left wall full of gowns, and faceouts on the back of the fitting room wall allowing spotlights on individual dresses. This idea will also be included on the column located near the center of the store. All other space will be available for rolling racks of Mother of the Bride gowns, Bridesmaid dresses, shoes, veils, and flower girl dress. Jewelry will be located near the cash wrap. Store window The front store windows are very large with an open back, which is very important to me. I will leave the backs open to allow passer bys to see into the store. I don t want there to be a disconnect between customer s walking in and the actual inside of the store. Ideally, I want my front windows to be simple, except during certain holidays and events, then they will be themed and extravagant. In my simple windows I will merely have beautiful gowns on dress forms. Floor/ceiling/walls: The floor of Trousseau, LLC will be retiled with this black ceramic tile. I love the mood and feeling a black tile will give. The walls will be painted pale lavender, as shown in the paint sample to the right, to not only go with the store s color scheme, but to contract with the black tile and give an edgy yet soft look.

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Mood: I want the mood of my store to be edgy, yet romantic. The color scheme is black, silver, and lavender with pops of deep red. The overall looks may be a little darker than most bridal shops, but the dresses and tender music will give the store a softer side. Music will include songs from artists such as Adele, Ray Lamontagne, and The Decemberists. Though the store will have fluorescent lighting, it will also have spotlights to highlight specific gowns. I think this will also contribute my by romantic mood to my store. The dcor includes dark grey or black fixtures, black block-like seating and black dressing room curtains. My walls will be painted very pale lavender which will contrast with the black floor tiling. Wall Fixtures: Wall fixtures include a long wall bar for the bridal gowns, and faceouts. Wall fixtures are very limited in my store. The bridal gowns will be sectioned off to the left of the store and will take up that whole half of the selling floor. The faceouts hold only one dress each and will be featured on the back of the dressing room wall, to the left of the store, and on a column near the center of the store. Floor Fixtures: Floor fixtures in Trousseau, LLC include two boutique style rolling racks, a tiered shoe table, two costumer racks, and an accessory case at the cash wrap. The boutique style rolling racks will hold bridesmaid dresses and mother of the bride gowns which are located in the middle of the selling floor. The costumers will be in two locations; one near the rolling racks and the other near the cash wrap and jewelry. One will hold flower girl dresses and the other will hold veils. The accessory case is located at the cash wrap and will hold all jewelry and other head pieces. The tiered shoe rack is located closer the front of the store on the opposite side of the cash wrap as the jewelry and veils. Visual Displays: Window displays, as well as the faceouts, will be changed out every week while the mannequins inside the store will be changed every Monday and Thursday. This is to constantly have a new fresh look inside the store.

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Fixture and Table Examples:

Tiered Show Table Will paint black

Boutique Costumer

Boutique rolling rack

Cash Wrap Dress form and form base

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Exterior of Store Location

y y y

Located down the street from Southeast Missouri State University Only blocks away from the scenic Mississippi River walk In downtown Cape Girardeau Among businesses such as coffee shops, cafs, antique stores, and Shivelbine s Music.

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Success of Location
I definitely feel as though Trousseau, LLC will be successful in the location I have chosen. I wanted an older, historic, downtown feel to my store and that s what I have. They were plenty of other newer, nicer looking buildings more in the business part of town but they just didn t fit my image. Cape Girardeau is working on making downtown a more flourishing area of town, and I would love for my bridal shop to contribute to this goal.

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Floor Plan

23

Mirror

24

25

Store Setup Budget

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Capital Spending Plan Expense Items Rent/Security Deposit Electric Gas and Water Security/Internet Telephone/fax Insurance Deposit Supplies/Postage Travel Advertising/Marketing Business License/Permit Inventory TOTAL CAPITAL ITEMS POS System Telephone/fax Renovations Fixtures and Furniture Store sign/Awning General Supplies TOTAL GRAND TOTAL Budgeted Dollars $950.00 $200 $100 $130 $175 $280 $400 $1,500 $1,300 $230 138,000 $143,065.00 $1,600 $400 $4,000 $4,720 $470 $570 $11,760 $154,825

Justifications Expense Items j Our lease stipulates one month s rent as a security deposit. j Utility expenses include a cost for installation plus the charge for one month s usage of each which we are setting up the store for opening, and one month s deposit on each. j Installation and phone service will cost $175 j Our insurance plan requires a down payment of $280 j Supplies and Postage will include all office and cleaning supplies needed to get the store running. j After figuring up the cost of creating a website, sending out grand opening mailers, and having a grand opening party, we will need about $1300 for advertising before store opening. j A Business license will cost $230. j The cost to purchase our inventory will be about $138,000.

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j The expense item total is $143,065. Capital Items j The Point of Sale system I found for the store will cost $1600. j The total cost for an in store telephone and fax machine will be $400. j Renovations including the painting of walls, retiling, and any other needed remodeling will cost around $4000. j To purchase all fixtures needed in Trousseau, LLC, including mannequins, dress forms, and furniture it will cost $4,720. j We will purchase an awning as the street sign which will cost $475. j An amount of $570 was given for general supplies to have at the store for cleaning and other office needs. j The total amount for capital expenses is $11,760, bringing our total for the capital spending plan to $154,825.

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Fixtures and Furniture Item

Store Sign/Awning POS System Full Length Mirror Headless Mannequins Dress Form Base Dress Form Rolling Rack Straight Faceout Wall Mounts Black Register Stand Black Wrap Counter 48" Black Open Corner Seller Boutique Costumer Sewing Machine and Supplies Ikea Loveseat-Black Snille Visitor Chair Wall Spotlight - Silver Black tissue paper Padded Satin Hanger-black Tiered Nesting Table Dressing Rooms Hooks TOTAL

Number Needed
1 1 4 4 3 3 2 6 1 1 1 2 1 2 6 10 1 100 1 8

Cost Each
$475 $1,600 $79.99 $119 $35 $45 $59 $2.09 $79.00 $144.00 $89.00 $49.00 each $200.00 $149 $19.99 $9.99 each $19.95 $100 ($1 each) $219 $2

Total
$475 $1,600 $319.96 $476 $105 $135 $118 $12.54 $79.00 $144.00 $89.00 $98 $200.00 $298 $119.94 $99.90 $19.95 $100 $219 $12

$4,720

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Office Supplies Item

Envelopes 3-hole punch Stapeler Paper clips Business Hours Sign Incline Sorter 4-pack storage box Appointment book trashbags bathroom cleaner laser printer fax paper broom wastebasket surface cleaner Windex Ballpoint pens Sewing Table Swivel padded chair Fitting Room Mirrors Jewelry Displayers Dressing room curtains TOTAL Grand Total

Number Needed
1 1 1 1 1 1 1 1 1 1 1 1 1 2 1 1 1 2 2 3 7 7

Cost Each
8.29 11.99 9.49 3.99 5.99 12.99 15.99 $23.99 $6.62 $5.49 $49.99 17.99 $9.99 $5 $5.99 5.99 $7.99 59.99 $14.99 $19.99 $7.99 $12.99

Total
8.29 11.99 9.49 3.99 5.99 12.99 15.99 $23.99 $6.62 $5.49 $49.99 17.99 $9.99 $10 $5.99 5.99 $7.99 $120 $30 $60 $56 $91

$570 $5,290

30

Marketing Plan

31

Target Customer
The customer base for Trousseau, LLC is not limited to the town of Cape Girardeau, MO. Cape Girardeau, located in Cape Girardeau County, is the biggest town in the area and the only town with a mall. This attracts many visitors from neighboring towns and counties. Neighboring counties include Scott County, Stoddard County, and Bollinger County. Cape Girardeau also has an east location right across the Mississippi River, therefore attracting consumers from that area as well. As of the 2000 census, there was nearly $70,000 people located in Cape Girardeau County. After some research, I have also noticed that with every census, Cape Girardeau s population has been growing by 2,000 or 3,000 more recently. Something to consider when putting a business downtown in Cape Girardeau is the fact that the city recently voted for the placement of a casino downtown. This will definitely attract more visitors to the area, and therefore bring more customers. It s these reason s that make me believe that Cape Girardeau will keep growing and flourishing with the coming years. The median household income in Cape Girardeau, according to the 2000 census, is $36,502, which is fairly low. This could be a result of just over 15% of the population being under the poverty line. On the other hand, though, there are two hospitals in Cape Girardeau alone. This results in higher income families also being present in town. Also, in Jackson, MO, a town that is just minutes from Cape Girardeau that includes two sources of competition for Trousseau, LLC, the median household income is $40,412. This is slightly higher than Cape Girardeau s. 53.8% of the counties households are married couples, which may be surprisingly beneficial to my business. It shows that marriage is common and important to the demographic in my area. I compared this percent to married couples in St. Louis which is only at 26.2%. When it comes to age in the city of Cape Girardeau, the majority of the population is between the ages of 25 and 44, which lies almost perfectly within my target customer of 18-35 year old women.

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Cape Girardeau is a college town, being the home of Southeast Missouri State University, which happens to be just down the street from my store. I believe a large amount of my target customers will come from SEMO because not only are they within my target customer s age group but lots of girls have friends getting married at that age or may be getting married themselves. I believe college students express themselves much more in many aspects of their lives, especially in fashion. For these reasons, including locations and product assortment, I believe my boutique will appeal to the college crowd more than my direct or indirect competitors. According to Association of Religion Data Archives County Membership Report in 2000, Cape Girardeau is part of the Bible Belt. The majority religion is Evangelical Protestantism, while close followers are Roman Catholics, Southern Baptists, and Lutherans. A dedicated following of Christianity will be beneficial to the bridal business because there is a strong sense of importance in marriage. Along with religion comes rebellion. Cape Girardeau is a college town with not many activities to entertain the younger demographic, therefore, there are plenty of bars downtown that are usually dripping with college kids. That is an indication that girls in their twenties enjoy being around people, having a good time, and being fun and fashionable. This wide range of demographics and psychographics in Cape Girardeau is a true indicator that it needs a bridal boutique to fit many different styles, ages, incomes, and interests. Trousseau, LLC will be just what this town needs for local brides to find the perfect gown for their special day.

33

Customer Profile
Trousseau, LLC s target customer is an 18-35 year old bride who s got an edge. She doesn t want to look like any other bride but still wants a high level of class incorporated into her look. The target bride has a level of spunk and attitude in her wardrobe and would like her wedding gown to reflect that. For these reasons, she doesn t want to get her dress at David s Bridal, then see a girl in the exact same dress the next weekend. Our bride wants exclusivity and designer made merchandise. When she is shopping for her dream gown she doesn t want the distractions of high school girls rummaging for prom dresses or have to wait for a dressing room to try on gowns. Trousseau, LLC is the only store in the area that can match all her desires. You can t have an adventurous bride with a boring bridal party. Trousseau, LLC brides may have bridesmaids around the same age who need to match the look of the wedding. She may be paying for her own dress or relying on her parent s income to get her the dream dress she deserves. For this reason, Trousseau, LLC offers a variety of prices in their wedding gowns, for minimalist or couture brides. Bride or family income may range from $20,000/year and beyond. The bride, however, isn t the only one who needs to look special. Trousseau, LLC recognizes that finding a dress for the mother of the bride is not easy, and bridesmaids also want to look fabulous! Both dress classifications will be featured in Trousseau, LLC. Mother of the brides may be 35-65, and Trousseau, LLC keeps that in mind with the dresses we offer.

34

Direct and Indirect Competition

Trousseau, LLC s direct competitors exist only in Jackson, Missouri, which is a town just minutes away from Cape Girardeau. These direct competitors include The Andrew Jackson Bridal & Tuxedo, and Weddings and Parties Complete. Both of these stores are smaller and boutique like. They offer a similar product assortment as Trousseau, but there are still huge differences. Both the Andrew Jackson and Weddings and Parties complete carry prom and homecoming dresses for high school girls. Trousseau, LLC has chosen not to carry such merchandise because it falls outside of the image we are shooting for as a bridal boutique. Weddings and Parties Complete and the Andrew Jackson Bridal & Tuxedo also carry men s tuxedos, which is also a product category Trousseau, LLC chooses not to carry. Both of these indirect competitors have a wide price range, but still doesn t compare to that of Trousseau, LLC. We manage to carry the most couture and designer gowns in the area. The atmospheres and perceived mood of Weddings and Parties Complete and the Andrew Jackson Bridal & Tuxedo are both extremely similar. Neither have a romantic feel or a specific attitude or mood that they re trying to convey. Both stores just feel like you re walking into any other plain, boring store. Also, these stores also have inadequate space for fittings and dressing rooms. Each only have one or two rooms that are completely cramped and not able to appeal to multiple brides. Trousseau, LLC s indirect competitor, but also the one closest in proximity, is David s Bridal in Cape Girardeau, MO. I consider the store an indirect competitor not only because they are a large corporate business, unlike Trousseau, LLC, but they also have a completely different vendor assortment and price range. The existence of such a store in Cape Girardeau, I think, makes me more appealing and more likely to stand out. David s Bridals price range goes from about $1400 down to $99 when they have they famous $99 gown sale. This is clearly extremely different than Trousseau, LLC s price range which goes from $10,000 down to $300. I want to appeal to both high end brides and the brides that could shop at David s Bridal. Another difference we have from this competitor is the product

35

assortment. Just like our direct competitor s David s Bridal carries prom, homecoming, and other formal gowns. As stated earlier, this is not the image Trousseau, LLC strives for. When looking through the assortment of gowns at David s Bridal, it seems as though these are manufactured gowns you can get anywhere else in the area and country and have a very small sense of unique personality to them. This is the exact opposite of what Trousseau, LLC wants in our bridal gowns. I want to provide more unique, non-traditional gowns at my store. Brides these days are getting edgier and less traditional so I want to give them that dress. However, traditional gowns will still be available, of course, so I can appeal to every bride. I m bringing a youthful perspective and a more narrow, specialty service to Southeast Missouri with Trousseau, LLC.

36

Pricing and Sales

Sales and Gross Margin Exercise Assumptions Annual first-year sales plan: Part A: Category % of total annual planned sales Category Name Wedding gowns Bridesmaid/Flower girl dresses Shoes Accessories (Veils/jewelry) Mother of the Bride gowns Totals 60% 10% 10% 15% 5% 100% Planned Percent Planned Dollars $618,000 $103,000 $103,000 $154,500 $51,500 $1,030,000

Part B: By category, % of sales for regular price vs. markdown price Category Name Regular-Priced Sales % 65% 70% 70% 65% 60% Regular-Priced Sales $ 301,275 180,250 72,100 100,425 30,900 684,950 Markdown Sales % 35% 30% 30% 35% 40% Markdown Sales $ 162,225 77,250 30,900 54,075 20,600 345050

Wedding gowns Bridesmaid/Flower girl Shoes Accessories MOB gowns Totals

Part C: By category, average percent reduction for all markdown sales (promotional plus permanent) Category Name Wedding gowns Bridesmaid/flower girl shoes accessories MOB gowns Average Regular Price $1615 $143.25 $50 $113 $320 Average % Reduction -50% -40% -30% -25% -40% Average Markdown Price $807.5 $85.95 $35 $73.45 $192

37

Markup An overall markup for our gowns and dresses is set at approximately 60%. Gowns and dresses will range in price from $90 to $10,000 which is obviously a very wide range. This is due to flower girl dresses and bridal gowns having the same markup. If an average retail price of a gown is $1000, it would make the average cost $400. Accessories have an overall markup of 60% and will range in price from $30 to $250. The average retail price for accessories is $140, making the average cost $56. The price of veils is higher than all other accessories, which makes the average much higher. Packaging costs will be approximately $.5, consisting of logo garment bags, shopping bags, and tissue. Markdowns Trousseau, LLC has less markdowns than a typical retail store. We only have two seasonal shipments that come in three increments in the spring and fall. Markdown increments only apply to jewelry and accessories and begin with a markdown of 15%. The next markdown a couple weeks later will be at 35% and then the last will be at 50%. Sales on bridal gowns will only occur during our bi-annual sample sales, where the samples will have a 50% markdown. Payment Trousseau, LLC will accept Visa, Mastercard, Discovery, American Express and cash or checks. Visa and Mastercard charge 2.05% of each transaction to be processed. American Express charges 3.1% and Discover charges 3.4%. There is no charge for cash or check transactions. All sales are final.

38

Competition Pricing When comparing prices between Trousseau, LLC and our direct competitor, David s Bridal, they are far from the same. None of David s Bridals dresses go over $1,400 and they famously have their $99 gown sale. I think these low prices say something about the quality of David s Bridal gowns. At Trousseau, LLC we have a much broader price range ($300 to $10,000) so we can appeal to a much wider range of local brides.

39

(Marketing Calendar) March

40

April

41

May

42

June

43

July

44

August

45

September

46

October

47

November

48

December

49

January

50

February

51

March

52

Marketing Calendar
Promotional Event Creation of Website Grand Opening Mailer Grand Opening Party Total Opening Costs 1 week radio ad on 96.5 and 100.7 April, August Preopening $300 $500 $500 Months Planned March March April Total Costs $300 $500 $500 $1,300 $1,200

April-March page color Yellow Page Ad SEMissourian Website Ad April, July, August, September, January, February August, January, March Sample Sale Promo Mailers Newspaper Ads June, October, December

$5700

$300 per month = $1,800

$1500 ($500 each)

$660 ($220 each month)

53

Justifications for Marketing Calendar: -Creation of the store website, sending the grand opener mailer, and the grand opening will all be preopening expenses and will occur in March and the beginning of April -Radio ads will be played on Mix 96.5 and 100.7 KGMO which only occur in April due to the store opening and August to promote our up and coming sample sale that month. -A page color ad will be placed in the Yellow Pages each month for the first year of business. -The local newspaper in Cape Girardeau is the Southeast Missourian and they also have a website. I know the website gets a lot of visitors so this will be the site of the majority of my advertising. They will occur in April for opening, July, August and September for the new season and sample sale and then again in January and February for the sample sale and new season of merchandise. -Sample sale promotional mailers will also be sent to local females within our target market. -Newspaper ads in the Southeast Missourian will run month long in June, October, and December because those are our low selling months and with the ads we hope to pick up sales a bit.

54

Marketing Ideas Event

Bi-Annual Bridal Fashion Show

Method
Hold an in store fashion show exclusively to future brides showcasing new spring and fall merchandise. A Facebook page is the perfect way to reach out to new and potential customers. It can act as a backup store website and be used as a promotion tool. Participation in events around the community is a great way to promote the Trousseau, LLC name. Local fashion show participation would be ideal. Like Facebook, Twitter is a great social networking tool to reach out to our customers with no cost. Specials, new merchandise, and sales could be advertised through Twitter. To promote sales, special guests can be invited in the store after hours to try on dresses in peace and with their friends. Snacks and beverages will be invited, along with a % discount.

Facebook Page

Sponsor a Local Event

Twitter Page

After Hours Party

55

Grand Opening Mailer

6,

56

Radio Ad on Mix 96.5 and 100.7 KGMO

6 pm to 10 pm: $40 per play *romantic classical song plays* So, the love of your life has finally proposed but you just can t find the perfect dress to match your unique sense of style *record scratch* *music change to upbeat, happy, rock* Sounds like you need Cape Girardeau s new premiere bridal salon, Trousseau, bridals by Megan. Trousseau offers the most exceptional bridal gowns in Southeast Missouri with consulting and alterations to match. Stop on by our one of a kind boutique in downtown Cape Girardeau on Broadway to make your special day an event no one will forget! Chic. Trendy. Timeless. Trousseau Call 450-7162 to schedule an appointment today.

57

Personnel and Management Plans

58

My Role
I plan on being very involved with the everyday functions of my store. I like doing things on my own, so I will be very hands on. I m an impatient person, which could be a strength or weakness. The strong side that I see is that I like getting things done, so waiting and relying on other people can get hard. That s why I ll be so focused on doing certain things myself. I m not the most organized person, though. I think having one more full time employee that I trust as a manager will be very useful, especially with me being unorganized. I think knowing someone else has to be able to sort through certain things will force me to have to be a bit more tidy. As far as duties go, I want to do what the owner of a business should do. I want to: y y y y y y y y Oversee all operations of the store Buying Visual Merchandising Sales/Bridal consulting Human resources (interviewing, hiring and firing) Marketing and Advertising Administration (email, filing, invoicing, bookkeeping) Research

59

Employee Manual
Equal Opportunity Statement Small Business Notes is an Equal Opportunity Employer. This means that we will extend equal opportunity to all individuals without regard for race, religion, color, sex, national origin, age, disability, handicaps or veterans status. This policy affirms XYG's commitment to the principles of fair employment and the elimination of all vestiges of discriminatory practices that might exist. We encourage all employees to take advantage of opportunities for promotion as they occur. Personnel Records It is important that the personnel records of Small Business Notes be accurate at all times. In order to avoid issues or compromising your benefit eligibility or having W2's returned, Small Business Notes requests employees to promptly notify the appropriate personnel representative of any change in name, home address, telephone number, marital status, number of dependents, or any other pertinent information which may change. Attendance Employees are expected to arrive at work before they are scheduled to start and be at their work station productively engaged in Trousseau business by the scheduled start time. All time off must be requested in advance and submitted in writing, as outlined in the appropriate categories with the exception of sick leave. Trousseau views attendance as an important facet of your job performance review. All unapproved absences will be noted in the employee's personnel file. Excessive absences, including for sick leave, will result in disciplinary action, up to and including termination. Dress Code As an employee of Trousseau, we expect you to present a clean and professional appearance when you represent us, whether that is in, or outside of, the office. Management, sales personnel and those employees who come in contact with

60

our public, are expected to dress in accepted tradition. We ask that your clothing stays within a neutral color palette, including white, black, grey, ivory, and navy. Heels are not required, in fact, we encourage comfortable yet professional footwear. Employees must have skin covered rather conservatively. Other than these few points, Trousseau will be rather lenient with appearance and encourage expressing one s personal style. It is just as essential that you act in a professional manner and extend the highest courtesy to co-workers, visitors, customers, vendors and clients. A cheerful and positive attitude is essential to our commitment to extraordinary customer service and impeccable quality.

Safety and Accident Rules Safety is everyone's job at Trousseau. Trousseau provides a clean, hazard free, healthy, safe environment in which to work in accordance with the Occupational Safety and Health Act of 1970. As an employee, you are expected to take an active part in maintaining this environment. Your workspace should be kept neat, clean and orderly. It is your responsibility to know the location of all safety and emergency equipment, as well as the appropriate safety contact phone numbers. All safety equipment will be provided by Trousseau. Employees will be responsible for reasonable upkeep of this equipment. Any problems with or defects in, equipment should be reported immediately to the owner. As an employee, you have a duty to comply with the safety rules of Trousseau, to assist in maintaining a hazard-free environment, to report any accidents or injuries, and to report any unsafe equipment, working condition, process or procedure, immediately to the owner. All work related accidents are covered by Worker's Compensation Insurance pursuant to the laws of the states in which we operate. Substance Abuse Trousseau takes seriously the problem of drug and alcohol abuse, and is committed to providing a substance free work place for its employees. This policy

61

applies to all employees of Trousseau, without exception, including part-time and temporary employees. No employee is allowed to consume, possess, sell or purchase any alcoholic beverage on any property owned by or leased on behalf of Trousseau. No employee may use, possess, sell, transfer or purchase any drug or other controlled substance which may alter an individual's mental or physical capacity. The exceptions are aspirin- or ibuprofen-based products and legal drugs which have been prescribed to that employee, and which are being used in the manner prescribed. Trousseau will not tolerate employees who report for duty while impaired by use of alcoholic beverages or drugs. All employees should report evidence of alcohol or drug abuse the owner immediately. In cases where the use of alcohol or drugs pose an imminent threat to the safety of persons or property, an employee must report the violation. Failure to do so could result in disciplinary action for the non-reporting employee. Employees who violate the Substance Abuse Policy will be subject to disciplinary action, including termination. It is a condition of your continued employment with Small Business Notes that you comply with the Substance Abuse Policy. Nothing in the Substance Abuse Policy shall be construed to alter or amend the employment relationship between Small Business Notes and its employees.

Sexual Harassment Trousseau will not, under any circumstances, condone or tolerate conduct which may constitute sexual harassment on the part of any of its employees. It is our policy that all employees have the right to work in an environment free from any type of illegal discrimination, including sexual harassment. Any employee found to have engaged in such conduct will be subject to immediate discipline, up to and including discharge.

62

Sexual harassment is defined as:

y y

Making submission to unwelcome sexual advances or requests for sexual favors a term or condition of employment Basing an employment decision on submission or rejection by an employee of unwelcome sexual advances, requests for sexual favors or verbal or physical contact of a sexual nature Creating an intimidating, hostile or offensive working environment or atmosphere either by: a) verbal actions, including calling employees by terms of endearment; using vulgar, kidding or demeaning language; or b) physical conduct which interferes with an employee's work performance.

We, at Trousseau, do encourage healthy friendships among its employees; however, employees, especially management and supervisory employees, must be sensitive to acts of conduct which may be considered offensive by fellow employees and must refrain from engaging in such conduct. It is, also, expressly prohibited for an employee to retaliate against employees who bring sexual harassment charges or assist in investigating charges. Retaliation is a violation of this policy and may result in discipline, up to and including termination. No employee will be discriminated against, or discharged, because of bringing or assisting in the investigation of a complaint of sexual harassment. Performance and Salary Reviews Within one week of employment, job change or promotion, every employee will be given job objectives which detail the requirements and expectations of the position for which the employee was hired. Trousseau will measure your job performance against these objectives. After every evaluation, job objectives will be redated and reviewed, or rewritten if needed. In either case, your supervisor will review and discuss the objectives with you. You will be asked to sign a statement indicating agreement with, and understanding of, the objectives. Performance reviews are normally conducted every twelve (12) months from the date of hire, with the exception of a three month review at the end of your probationary period. All performance reviews are based on merit, achievement,

63

job description fulfillment and performance. Wage increases will be based upon this review, as well as past performance improvement, dependability, attitude, cooperation, disciplinary actions, and adherence to all employment policies. Your supervisor will review and discuss your salary during your performance reviews. Payroll Trousseau employees are paid bi-weekly. Our payroll process includes:

Direct Deposit While an employee can certainly have his/her actual pay check delivered directly to their desk each pay period, Trousseau Notes provides, and encourages, direct deposit of paychecks. This is a service which saves you time and provides added security. With this option, each paycheck will be automatically deposited to your checking or savings account (or divided between the two) as you choose. Each pay day, you still receive a pay stub for your records - much like a voided check with all the same information which would appear on your regular check - except the face of the check is voided. No trips to the bank are necessary because your salary appears in your bank account on payday, or in some cases the night before. Direct Deposit will be initiated one pay period following the receipt of the signed authorization form from the employee. Payroll Deductions As required by law, Trousseau will deduct Federal Social Security and Income Tax from your payroll check each pay period. Work Hours and Reporting Workday The normal workday is eight (8) hours for hourly workers, with 40 hours being a normal work week. Salaried employees generally work the same hours, but may be required to work more hours as the work dictates. While you are generally expected to work the number of hours stated above, Trousseau does not guarantee that you will actually work that many hours in any given day or week (or to be paid for such hours if you do not work that many hours).

64

Overtime work is only performed when necessary and approved in advance by you re the owner. You are expected to work necessary overtime when requested to do so. Hourly employees will receive time and one-half pay for time worked exceeding 40 hours in any given work week. Full time employees will be paid double time for hours worked on a company holiday, if they are not scheduled to work on that holiday. Part time employees will be paid one and one-half times the regular rate of pay for working on a company holiday. Salaried employees are not entitled to overtime pay. All overtime payments will be made in the pay period following the period the overtime was worked. Holidays Small Business Notes recoginizes the following holidays: New Years Day, Easter, Independence Day, Labor Day, Thanksgiving, Christmas Eve, and Christmas. When a holiday falls on a weekend, the Friday preceding or Monday following as the observed holiday will be designated as the holiday at the discretion of Small Business Notes. Regular full time employees are paid eight (8) hours for each holiday, regular part time employees are paid for holidays based upon the number of hours they are normally scheduled. Temporary employees are not paid for holidays, unless they are specifically requested to work on the designated holiday. Vacation Full time employees are granted five days paid vacation per year and must notify the owner of these days 3 weeks in advance. Part time employees are granted five days unpaid vacation. Every effort will be made by Trousseau to accommodate vacation requests, unless business circumstances do not permit. Vacation may be taken in full or half days only. Employees who resign in good standing and give proper notice of termination, are entitled to receive payment for accrued vacation, not yet taken. If the employee has taken more vacation than actually accrued at the time of resignation, the unearned vacation will be deducted from the employee's final pay check. Employees who terminate with less than six months service are not eligible to be paid for accrued vacation. Sick Leave

65

Trousseau provides payment of income (sick leave) for eligible employees when that employee is away from work due to illness. Employees will be eligible for sick leave after completion of 90 calendar days of service, if the work at least thirty (30) hours per week. Sick leave is the same as the employee's regular salary, and is subject to the same withholding elections. Sick leave will be accrued at the rate of a half (1/2) day for each month of service for eligible employees. The balance of unused, but accrued, sick leave days will be carried forward from one year to the next, up to a maximum of 30 days. All sick leave used by employees will be charged against the employee's total sick leave balance. Employees eligible for retirement from Trousseau will be paid for all accrued, but unused, sick leave if the total is greater than 25 days. Any employee that is out on sick leave longer than two days, must return to work with a doctor's certificate stating the nature of the illness and the employee's fitness to return to duty. If an employee is unable to work due to illness, the employee must notify the owner as soon as possible after the onset of the illness, and certainly by the time the employee was to report to work. It is not permissible to be gainfully employed elsewhere while out on sick leave. Any employee doing so will be considered to have voluntarily quit without notice and to not be in good standing at the time of resignation. Sick leave may be taken in hourly increments for hourly employees, while salaried employees will be charged for sick leave for full day absences only, as salaried employees are not paid for overtime. Trousseau permits use of available sick leave for use during absence due to the birth or adoption of a child to an employee. The sick leave will be in addition to other available time. Industrial accidents and illness are covered by Worker's Compensation Insurance pursuant to the requirements of the laws in the various states in which Small Business Notes operates. The sick leave policy outlined above does not apply to those illnesses or injuries that are covered by an applicable worker's compensation policy. Worker s Compensation

66

Employees who are injured on the job at Trousseau are covered by Worker's Compensation Insurance. It is your responsibility to immediately notify your supervisor of any injuries you sustain while on the job at Small Business Notes. Your supervisor will notify your personnel representative. We encourage injured employees to seek immediate medical attention. All medical expenses related to the treatment of an injury sustained on the job are paid in full directly to the medical providers. After a specified waiting period, you are also eligible for disability payments set forth by state law, where necessary. The Worker's Compensation plan is administered by a separate insurance company who will be notified by your personnel representative. You will be contacted by a representative of the administering company. Information on the current company administering this plan will be provided to you by your personnel representative. Additional information on Worker's Compensation Insurance is available from Personnel.

Retirement Plans Trousseau employees have the opportunity to participate in a retirement plan which allows employees to save a portion of their compensation for retirement. After one year of service, employees are eligible to participate in the plan. Contributions to this plan are pre-tax dollars, which means the amount specified by the employee is taken from their salary before federal income taxes are taken out. The employee is then taxed on the remaining salary, resulting in additional savings. It should be noted that any distribution from the 401(k) plan will be subject to tax, whether that be early or qualified distribution. Early distribution may also carry a monetary penalty. See your personnel representative for more details and a copy of the Trousseau Employee Savings Plan. Contributions by the company are based on the amount contributed by the employee, with Trousseau matching 30% of the employee's contribution. As with employee contributions, taxes on company contributions and their related earnings, are deferred until distribution from the plan. Company contributions are not fully vested to the employee until after a five year period; employee contributions are fully vested from the time of contribution.

67

Employees are urged to seek advice from a financial expert prior to any distribution from the 401(k) plan. Trousseau also contributes to the 401(k) for employees participating in this plan.

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Organizational Chart

Owner -------------------------------|---------------------------------| Store Manager | Accountant/Bookkeeping | | Bridal Consultant Alterations Specialist | Alterations Assistant

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Job Descriptions
Full-time employees: 2 40 hrs per week Sick days: 5 days Paid Vacation: 5 days Retirement Plan Salary based pay

Job Descriptions
Store Manager Expectations: One full time employee will be the owner s right hand man. Duties include sales and bridal consulting, scheduling/receptionist responsibilities, wedding exploration and research, visual merchandising, and assistant buying. Salary: $45,000 plus 2% commission Alterations Specialist Expectations: On hand alterations, tailoring, and fittings of wedding gowns and veils. Salary: $35,000 Part-time employees: 2 10-30 hours per week Sick days: 5 days Unpaid vacation: up to 7 days Commission Bridal Consultant Expectations: Bridal sales and consulting, upkeep of the sales floor, scheduling/receptionist responsibilities, wedding exploration and research. $9.00 per hour plus 2% commission Alterations Assistant Expectations: Assist with any alterations and fittings of wedding gowns and veils. $9.00 per hour Outside Advisors Bookkeeper for payroll Accountant for taxes

70

Exit Strategy

71

If I were to start this business, I would see no reason to have an exit strategy for at least 15 years. If I m in this, I m in it for good. However, in the case where I would have to exit I would definitely sell the business rather than completely shut it down. Once it is sold, there would be a 30 day training period for any new owners, managers, or employees.

72

Financial Data

73

First-year Sales Plan

Estimated buying customers served each day Average price of items in store Dollar value of each day s sales Number days open each year Amount of business per year Sales per square foot Total square footage Selling square footage

4 $800 $3200 353 $1,129,600

2860 2060

Amount of business/selling square footage $548

Revised sales plan: 2060 sqft x $500/sqft

$1,030,000

Justifications: 1. The average price of the items in the store were based off the categories and brands of wedding gowns and accessories I plan to offer. 2. The number of days open is based off surrounding competitors. 3. My first calculation yielded an annual first-year sales plan of $1,129,600. 4. A check of projected sales per square feet showed a plan of $548 per square foot. 5. After reviewing these numbers, we elected to take a more conservative approach to my first-year sales plan. I decided upon a plan of $500 per square foot, yielding a final sales plan of 1,030,000.

Closed: Christmas Eve, Christmas, New Years Day, Easter, Thanksgiving, Labor Day, Independence Day.

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Monthly Sales Plan Month April % of Total Year Sales 8% Sales Plan $82,400 Justification
April will not be one of the highest months because it is the first month we re open. We still project fairly good sales though because April is a popular month for bridal sales. May is the highest month for sales because by now our target market is aware of our existence and will be planning for weddings in the fall, more specifically for October (a high wedding month). June sales fall slightly but are still similar to May. Sales drop slightly due to a drop in Winter weddings. For late summer/early fall sales we expect higher sales for accessories and bridesmaids and a drop in gowns. Sales drop slightly due to a drop in Winter weddings. For late summer/early fall sales we expect higher sales for accessories and bridesmaids and a drop in gowns.
Sales drop slightly due to a drop in Winter weddings. For late summer/early fall sales we expect higher sales for accessories and bridesmaids and a drop in gowns.

$113,300 May 11%

June

10%

$103,000 $92,700

July

9%

$82,400 August 8%

September

8%

$82,400

October November

9% 10%

$92,700 $103,300

Sales begin to raise slightly in October for brides planning Spring weddings. A rise in sales continue in November and December for brides preparing for spring weddings. A rise in sales continue in November and December for brides preparing for spring weddings. A drastic drop in sales occurs in January due to weather and a decrease in late summer weddings. A slight rise in sales but still a low volume month.

December

10%

$103,300 $57,500

January February March Totals

5% 6% 6% 100% $61,800 $61,800 $1,030,000

A low volume month, like February.

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Category Gowns

Wgt. Avg. TOTAL BM/FG

Opening Inventory Avg. Avg. % Price #Pc./Price Retail Cost Point Point $300 35% $900 40% $1,500 10% $5,000 10% $10,000 5% $1,615 $710.60 100% $90 $125 $200 $300 $178.75 $30 $50 $70 $50 $40 $70 $100 $150 $250 $122 $200 $300 $400 $500 $350 30% 45% 15% 10% 100% 30% 40% 30% 100% 20% 25% 20% 20% 15% 100% 30% 35% 20% 15% 100%

Planned % 40 46 12 12 6 116 66 99 33 21 219 197 263 197 657 92 114 92 92 68 458 15 17 10 7 49 1499 60%

Total Cost

$82,800

Wgt. Avg. TOTAL Shoes

$63.03

10%

$13,800

Wgt. Avg. TOTAL Accessories

$21

10%

$13,800

Wgt. Avg. TOTAL MOB Gowns

$45.20

15%

$20,700

Wgt. Avg. TOTAL GRAND TOTAL

$140.80

5% 100%

$6,900 $138,000

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Gross Margin with justifications

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Justifications for Sales and Gross Margin: Product categories offered at Trousseau, LLC include bridal gowns, bridesmaid and flower girl dresses, shoes, accessories, and mother of the bride gowns. First year gross sales are projected to be $1,030,000 and after the markup, some markdowns, and cost of packaging, gross profit is projected to be $476,538.50. The majority of sales at Trousseau, LLC will come from our bridal gowns. Bridals gowns are our core product and also have higher prices than any other products in the store. Bridal gowns account for 45% of sales, bridesmaid and flower girl dresses will be 25% of sales, shoes will be 10%, accessories will be 15% and mother of the bride gowns will account for the lowest amount of sales at 5%. Trousseau, LLC will mostly carry sample bridal gowns, therefore, there are less markdowns than a normal retail clothing store. Markdowns for merchandise not including bridal gowns will start at 15%, move to 35%, then finally to 50%. For sample bridal gowns two different sample sales will occur each year, taking 50% off all sample gowns. Markup on gowns will be approximately 60%. The average cost for a gown will be $710.60 which will result in a profit of around $900. Packaging costs will be around $.50 for each bag with a logo. Sample sales which will occur twice a year will markdown each sample gown by 50% resulting in an average price of $800 and a profit of just under $100. Markup on all other merchandise is also around 60%. Average cost for bridesmaid and flower girl dresses is around $63 which will result in a profit just under $80. Average cost for shoes is $21 with a profit of $28. Average cost for accessories is around $45 with a profit just under $70, and finally, average cost for mother of the bride gowns is about $140 with a profit of $178.

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Sales and Gross Margin Exercise Assumptions

Annual first-year sales plan: Part A: Category % of total annual planned sales Category Name Wedding gowns Bridesmaid/Flower girl dresses Shoes Accessories (Veils/jewelry) Mother of the Bride gowns Totals 60% 10% 10% 15% 5% 100% Planned Percent Planned Dollars $618,000 $103,000 $103,000 $154,500 $51,500 $1,030,000

Part B: By category, % of sales for regular price vs. markdown price Category Name Regular-Priced Sales % 65% 70% 70% 65% 60% Regular-Priced Sales $ 301,275 180,250 72,100 100,425 30,900 684,950 Markdown Sales % 35% 30% 30% 35% 40% Markdown Sales $ 162,225 77,250 30,900 54,075 20,600 345050

Wedding gowns Bridesmaid/Flower girl Shoes Accessories MOB gowns Totals

Part C: By category, average percent reduction for all markdown sales (promotional plus permanent) Category Name Wedding gowns Bridesmaid/flower girl shoes accessories MOB gowns Average Regular Price $1615 $143.25 $50 $113 $320 Average % Reduction -50% -40% -30% -25% -40% Average Markdown Price $807.5 $85.95 $35 $73.45 $192

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Fixed Costs: $211471 Cost Category Staffing (payroll or wages) Annual Expenses 2 full time: $85,590 2 Part time: $35,000 Total: $120,590 $16,883 $11,411 $5,220 $1,200 $1080 $2100 $480 $1200 $2080 $2400 $19800 $4500 $4200 $24,347 $6000 $211471 % of Sales Plan 10%

Payroll taxes Rent Utilities (fuel, electric, water) Maintenance and repairs Security Telephone/fax Internet POS system maintenance/ software updates Insurance Supplies and postage Marketing/advertising Travel and entertainment Accounting/bookkeeping Banking services Miscellaneous Total all expenses

2% .6% .3% .07% .06% .11% .03% .07% .11% .13% 1.2% .04% .22% 2.4% .5% 20% of sales revenue

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Justifications for Fixed Costs: 1. Staffing: Trousseau, LLC will have 2 full time employees working 40 hours a week and 2 part time employees working 10-30 hours a week. One full time will include the Store Manager who will be making a salary of $45,000 and 2% commission. The other includes an Alterations Specialist making a salary of $35,000 a year. One part time employee will be a bridal consultant making an hourly wage of $9 plus 2% commission; the other will be part time alterations who will make also make $9 an hour. The staffing cost is at 10%. 2. Payroll Taxes: Payroll taxes include FICA charges for Social Security and Medicare coverage and FUTA charges for unemployment insurance. Payroll expenses are currently 14% of payroll, therefore they equal $16,883, at 2%. 3. Rent: Rent is $11, 411 annually and $950.90 every month, which is .6% of sale. 4. Utilities: Utilities equal $5,220 annually and represent .3% of sales. 5. Maintenance and Repairs: I have allotted $100 a month for maintenance and repairs for the store which equals $1200 annually. Maintenance makes up for .07% of sales. 6. Security: My security system will cost $90 a month which results in an annual cost of $1080. 7. Telephone/Fax: For telephone service that includes 2 landlines, which is the need for Trousseau, LLC, is will be $175 a month, which is $2100 annually. 8. Internet: For internet with a telephone line, it will cost $480 a year. 9. Insurance: Insurance for me, worker s compensation and business content will be about $2080 a year. 10. POS System Maintenance: I have allowed maintenance costs for our POS system per month at $100 which is $1200 annually. 11. Supplies and Postage: An estimated cost for supplies and postage per month has been set at $200, which is $2400 a year. Supplies and Postage includes general cleaning supplies, office items, shipping costs, stamps, and other mailing items. 12. Marketing and Advertising: Advertising for Trousseau, LLC will include a webpage ad, a newspaper ad, a radio ad airing on 2 radio stations, a page yellow book ad in color every month, and a grand opening mailer. The Radio stations include Mix 96.5 and 100.7 which are two of Cape Girardeau s leading radio stations, both operated under KGMO. My webpage ad will be featured on the Southeast Missourian s website, which is the local newspaper, and will also be the site of my newspaper AD. So, my annual marketing cost is $19,800, which is 1.2% of sales. 13. Travel and Entertainment: I will be traveling to market two times a year which makes up for most of the traveling costs. One trip will cost around $2000 and the other will be $1500. For all other months I have allotted a $100 traveling budget. Travel and Entertainment costs equal $4,500 which is .04% of sales. 14. Accounting/Bookkeeping: Accounting and Bookkeeping each month will be about $300, except tax season in March where it will be $600. This creates an annual cost of $4200. 15. Banking Services: Credit Card fees for the year equal $24,347 which includes charges for Mastercard, Visa, American Express and Discovery cards. 2.4% of sales. 16. Miscellaneous: I have allowed $500 a month for miscellaneous costs.

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Break-Even Analysis Annual sales Annual fixed costs Gross profit % Break-even sales Sales over breakeven Profit dollars $1,030,000 $211,471 .4627 $457,037 $335,800 $155,375

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Profit and Loss Statement

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Profit and Loss Justifications: Staffing: 1 store manager/bridal consultant, 1 full time Alterations Specialist, 1 part time bridal consultant, and 1 part time alterations assistant. Store Manager Salary: $45,000 plus 2% commission Alterations Specialist Salary: $35,000 Part time consultant hourly wage: $9.00 plus 2% commission Part time alterations assistant: $9.00 Payroll Taxes: Payroll taxes are 14% of Staffing Expenses. Rent: 2,860 sqft. X $3 per square foot. Utilities: Utilities fluctuates depending on the month, season, and weather. Maintenance: $100 allowed each month for any possible in store maintenance needs. Telephone/Fax: One land line, through AT&T. Security/Internet: Internet also through AT&T. POS System Maintenance: Will cover costs of serviceperson to visit store for manual maintenance and for updates. Insurance: Through Bo Shantz Insurance Agency Inc. Supplies and Postage: Needed for day to day business operations including stamps, printer paper, lightbulbs, toilet paper, etc. Marketing: Advertising will include a webpage ad, a newspaper ad, a radio ad airing on 2 radio stations, a page yellow book ad in color every month, and a grand opening mailer. The Radio stations include Mix 96.5 and 100.7 which are two of Cape Girardeau s leading radio stations, both operated under KGMO. My webpage ad will be featured on the Southeast Missourian s website, which is the local newspaper, and will also be the site of my newspaper AD. Travel: I will be traveling to market two times a year which makes up for most of the traveling costs. One trip will cost around $2000 and the other will be $1500. For all other months I have allotted a $100 traveling budget. Accounting: Payroll and bookkeeping to be done by accountant a $300 per month, and then for $600 during tax season. Banking Services: Visa/Mastercard will cover 45% of sales, Discovery 35%, and American Express 15%. Banking service accounts for individual transaction costs. Miscellaneous: Extra money for unforeseen costs.

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Cash Flow

85

Balance Sheet
Apr-12 Pro-forma Balance Sheet Current Liabilities $7,749.10 Current Portion of Long-Term Debt $138,000 Line of Credit $950.90 TOTAL $400 $500 Long-Term Liabilities $200 Long-Term Debt $1,300 TOTAL $1,500 $130 $970 $151,700.00 Owner's Equity $1,600 Owner's Investment $400 Retained Earnings $4,000 Plus: Net Income $4,720 Less: Owner's Draw $470 TOTAL $11,190 $162,890.00 TOTAL LIABILITIES AND OWNER EQUITY 9.17 $135,170 100

Current Assets Cash Inventory Prepaid Rent-Security Deposit Prepaid Electricity Prepaid Insurance Deposit Prepaid Heating and Water Prepaid Marketing Expenses Prepaid Travel Expenses Security and Internet Postage and Supplies TOTAL Other Assets POS System Telephone and Fax Equipment Renovations Furniture and Fixtures Store Sign TOTAL TOTAL ASSETS CURRENT RATIO NET WORKING CAPITAL DEBT TO WORTH RATIO

$16,530.49 $$16,530.49

$143,469.51 $160,000

$$$$$$160,000

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Income Statement
Gross Sales Cost of Goods Sold Beginning Inventory + Purchases - Ending Inventory Gross Profit Operating Expenses Payroll Payroll Taxes Rent Utilities Maintenance and Repairs Security Telephone and Fax POS System Updates Insurance Postage and Supplies Marketing and Advertising Travel and Entertainment Banking Services Depreciation and Amortization Miscellaneous Total Operating Profit $120,590 $16,883 $11,411 $4,000 $1,200 $1,560 $2,100 $1,200 $2,080 $2,400 $14,580 $4,000 $24,347 $4,800 $1,200 $212,351 $264,215 $138,000 $760,000 344,566 $553,434 $476,566 $1,030,000

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Cash Flow Projections Cash Receipts

(a) cash sales 10% (i)Mastercard/Visa (45%) (ii)Discover (30%) (iii) American Express (15%) (b) gross Sales

Total $ 103,600 $ 463,500 $ 309,000 $ 154,500 $ 1,030,000

$ 120,590.00 $ 16,883.00 $ 950.90 $ 2,400.00 $ 1,620.00 $ 1,200.00 $ 2,100.00 $ 1,560.00 $ 1,200.00 $ 2,080.00 $ 2,400.00 $ 14,100.00 $ 5,000.00 $ 4,200.00 $ 24,347.00 $ 6,000.00

2013 $ 106,000 $ 477,000 $ 318,000 $ 159,000 $ 1,060,000

$ 150,000.00 $ 21,000.00 $ 11,411.00 $ 2,400.00 $ 1,620.00 $ 1,200.00 $ 2,100.00 $ 1,560.00 $ 1,200.00 $ 2,080.00 $ 2,400.00 $ 10,000.00 $ 5,000.00 $ 4,200.00 $ 27,000.00 $ 6,000.00

2014 $ 110,000 $ 495,000 $ 330,000 $ 165,000 $ 1,100,000

$ 180,000.00 $ 25,200.00 $ 20,000.00 $ 3,000.00 $ 2,000.00 $ 1,200.00 $ 2,100.00 $ 1,560.00 $ 1,200.00 $ 2,080.00 $ 2,400.00 $ 10,000.00 $ 5,000.00 $ 4,200.00 $ 29,000.00 $ 6,000.00

ITEMIZED EXPENSES
Staffing Payroll Taxes Rent Electric Heating, Water Maintenance Telephone/Fax Security/Internet POS System Maintenance Insurance Supplies and Postage Marketing Travel Accounting Banking Service Miscellaneous

TOTAL EXPENSES

$ 206,630.90

$ 249,171.00

$ 294,940.00

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Two-year Projections Justifications:

-In my projections, my sales increase slightly each year. This increase comes from the store now being well-known and established and hopefully reaching and even wider demographic. My gross sales are already fairly high, so I didn t raise them tremendously. -As shown in the third year, my rent and utilities increase. This is because there s a possibility of changing locations. A bigger location at that point may be necessary. -Marketing for the 2nd and 3rd year go down due to the lack of a grand opening. Once the store is established I think we can do away with just a small amount of advertising. -Staffing fees are raised in the second and third year for the hope of an employee expansion.

89

Entrepreneurship Interview
Business Owner: Cindy Stewart Business: First Impression - Techniques Service: Full service hair salon Product assortment: Hair products, purses, jewelry, accessories. Location: Cape Girardeau, MO

Why did you want to start your own business?

After managing a fairly high volume salon for a large corporation for 5 years I wanted to try something different. I was successfully managing a salon and bringing more money into a large corporation that didn't seem to care about the people who were working behind the chairs at the salon level. I felt if I could be a success for someone else why not do it for myself? I could increase my sales as well as create a better work environment and income for my employees. It seemed like the next best step in my career.

Did you create a business plan for your salon? What did it include?
I did create a business plan. When I was seeking financial backing for the start up expense of my business I was looking into SBA assistance and they required a business plan. It included the layout of the salon, potential staff size and projected sales for the first year of business. It included my financial statement and experience, equipment cost and inventory pricing. And projected monthly expenses such as rent, electricity, insurance, etc..

What would you say are the pros and cons of running your own business?
The pros are being in charge of your own schedule, services and retail offered, and being able to choose the people you work with. The cons are that all the responsibility rests on you alone. The good and bad decisions are all yours to make and other people rely on you to make the right choices.

What would you do differently in getting your own business started?

I wouldn't be afraid to go for it. I would probably start out a little larger and add more to my business. I worried too much about getting in over my head when in hindsight it would have been fine to spend more up front to make my business more marketable to the area and more successful.

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Do you have any advice for first time entrepreneurs?

Your staff is very important to the success of your business. Make sure you hire honest, reliable people. If someone doesn't fit your needs, remove them immediately. They probably won t change with time and will only add stress to your life and business. Also, follow your dreams and stick to them. If you can dream It, you can achieve it! Don't let anyone get you off the path that s right for you.

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Appendix

92

More Product Examples

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Demographics and Psychographics Research/Location Information

Cape Girardeau city, Missouri

city/ town, county, or zip

Reference Map

Census 2000 Demographic Profile Highlights:

General Characteristics - show more >> Total population Male Female Median age (years) Under 5 years 18 years and over 65 years and over One race White Black or African American American Indian and Alaska Native Asian Native Hawaiian and Other Pacific Islander Some other race Two or more races Hispanic or Latino (of any race) Household population Group quarters population Average household size Average family size Total housing units Occupied housing units Owner-occupied housing units Renter-occupied housing units Vacant housing units Social Characteristics - show more >> Population 25 years and over High school graduate or higher

Number Percent 35,349 16,695 47.2 18,654 52.8 33.6 (X) 1,902 5.4 28,086 79.5 5,483 15.5 34,855 30,865 3,288 138 400 13 151 494 388 32,279 3,070 2.24 2.90 15,827 14,380 8,245 6,135 1,447 98.6 87.3 9.3 0.4 1.1 0.0 0.4 1.4 1.1 91.3 8.7 (X) (X) 90.9 57.3 42.7 9.1

U.S. 49.1% 50.9% 35.3 6.8% 74.3% 12.4% map brief 97.6% 75.1% 12.3% 0.9% 3.6% map map map map brief brief brief brief map map map map map brief brief brief brief

0.1% map brief 5.5% map 2.4% map brief 12.5% map brief 97.2% map brief 2.8% map 2.59 map brief 3.14 map map 91.0% brief 66.2% map 33.8% map brief 9.0% map U.S. 80.4% map brief

Number Percent 21,571 17,610 81.6

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Bachelor's degree or higher Civilian veterans (civilian population 18 years and over) Disability status (population 5 years and over) Foreign born Male, Now married, except separated (population 15 years and over) Female, Now married, except separated (population 15 years and over) Speak a language other than English at home (population 5 years and over) Economic Characteristics - show more >> In labor force (population 16 years and over) Mean travel time to work in minutes (workers 16 years and over) Median household income in 1999 (dollars) Median family income in 1999 (dollars) Per capita income in 1999 (dollars) Families below poverty level Individuals below poverty level Housing Characteristics - show more >> Single-family owner-occupied homes Median value (dollars) Median of selected monthly owner costs With a mortgage (dollars) Not mortgaged (dollars)

6,310 3,659 5,736 699 7,212 6,811 1,418

29.3 13.1 17.7 2.0 52.8 43.4 4.2

24.4% map 12.7% map brief 19.3% map brief 11.1% map brief 56.7% 52.1% brief brief

17.9% map brief U.S. 63.9% brief

Number Percent 18,911 15.7 32,452 43,917 18,918 718 4,921 65.3 (X) (X) (X) (X) 8.5 15.2

25.5 map brief 41,994 50,046 21,587 9.2% 12.4% map map map map brief map

Number Percent U.S. 7,394 brief 90,800 (X) 119,600 map brief (X) (X) brief 795 (X) 1,088 map 254 (X) 295

(X) Not applicable. Source: U.S. Census Bureau, Summary File 1 (SF 1) and Summary File 3 (SF 3)

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Cape Girardeau Community Profile http://www.cityofcapegirardeau.org/AboutCape/Community%20Profile.aspx

Community Profile for Economic Development (PDF) Census Data for Cape Girardeau & Jackson Statistics from the US Dept. of Labor Residents enjoy short commute times, a multitude of entertainment and dining options, and a beautiful backdrop all with a low cost of living and a welcoming small town feel. Cape Girardeau is the traffic-free alternative to big city living. We know our next city manager will no doubt find, not just a job, but their home here.

Cape Girardeau is on the cusp of becoming a Metro Statistical Area. As the regional destination for healthcare, education, entertainment, shopping and employment, Cape Girardeaus population swells to 100,000 daily. Two state-of-the-art hospitals sit within city limits. Together, they serve over one million people from five states. Southeast Missouri State University welcomes over 10,000 students from the region and across the world every day. Multiple private and

parochial schools and over 50 churches also call Cape Girardeau home. Fun and entertainment options include the areas largest shopping mall and a GolfWeek Top 100 course, Dalhousie. Cape Girardeau has a thriving arts and performance community offering something for every taste. Local artists host a monthly art walk inviting connoisseurs and tourists alike to view their latest work. Southeast Missouri State Universitys River Campus offers concerts, performing arts and other events. From state fairs to ballet, Cape Girardeau is the place for quality entertainment. Weekly events and learning opportunities at the Cape Girardeau Conservation Nature Center keep nature enthusiasts engaged year-round. The City of Cape Girardeau also maintains 23 individual parks that offer biking, fishing, sports and other activities. Cape Girardeau is also just 10 miles south of Trail of Tears State Park. Cape Girardeau is the ideal place to live, work and play.

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THE ASSOCIATED PRESS December 1, 2010, 3:52PM

http://www.businessweek.com/ap/financialnews/D9JRBAVG0.htm

Mo. regulators choose Cape Girardeau for casino

By CHRIS BLANK

JEFFERSON CITY, MO.

State gambling regulators selected Cape Girardeau on Wednesday for the location of a new casino that project supporters hope will help revitalize the southeast Missouri city's downtown. The Missouri Gaming Commission voted unanimously and without discussion to choose Cape Girardeau over proposals for St. Louis and for Sugar Creek, which is near Kansas City. Commission Chairman Jim Mathewson said there were concerns that casino markets in St. Louis and Kansas City already are well covered. Plus, he said the company behind the Cape Girardeau project has a strong track record in Missouri. Regulators were weighing applications from Isle of Capri to build a $125 million casino in Cape Girardeau, Casino Celebrations for a $132 million facility in St. Louis and Paragon Gaming for a $107 million casino in Sugar Creek. A casino license became available this summer when the President Casino in downtown St. Louis went out of business. Missouri law since 2008 has capped the number of casino licenses at 13. The commission's decision Wednesday clears the way for a casino in Cape Girardeau, but a license is not awarded until a facility is ready to open. This is the first time regulators have mulled a new casino since the limit on casino licenses was enacted. Cape Girardeau Mayor Harry Rediger, who watched in the audience at the commission's headquarters in Jefferson City, said the casino project would generate revenue, spur jobs, attract new visitors and create momentum for more development in the city. "We're more than pleased. This is a game-changer for our city of Cape Girardeau," Rediger said. The casino is to be built near the city's downtown along the Mississippi River where vacant storefronts are interspersed among Main Street's eateries, bars and antique shops. Near the casino

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site, boarded up buildings and some rundown houses are separated from an empty field by a road. The casino is to go where an old factory once produced shoes. The de facto capital of southeastern Missouri, Cape Girardeau has a population of 38,000 and is located about halfway between St. Louis and Memphis, Tenn. Paul Keller, the chief development officer for Creve Coeur-based Isle of Capri, said construction would start this summer and the new casino would open within two years. He said the casino would be "state-of-the-art" and employ 450 to 500 workers. Isle of Capri also operates casinos in Boonville, Caruthersville and Kansas City. "We saw Cape Girardeau as really the only unfilled market in the state," Keller said. "We felt that if we could combine the best market left with an operator who's got a lot of Missouri experience, that's a pretty tough combination to beat." Cape Girardeau voters last month approved a ballot measure to allow gambling in the city with 61 percent of the vote. Opponents of that ballot measure expressed disappointment with the commission's decision Wednesday. "My heart is absolutely broken. I cried this morning, but that's over," said Doug Austin, who lives in Cape Girardeau and helped to organize opposition to the casino. An economic impact study performed for regulators by the Missouri Department of Economic Development favored the Cape Girardeau project. The study presented worst-case, average and bet-case scenarios and examined the potential for new casinos to take profits from existing facilities. That study concluded the St. Louis and Sugar Creek projects would take more sales from existing casinos than the one proposed for Cape Girardeau. Yet, supporters of the St. Louis casino argued that theirs was the superior project and expressed disappointment with the commission's decision. Rodney Crim, the executive director for the St. Louis Development Corp., said his area's project would bring jobs where they are badly needed and that the casino license was available because a St. Louis casino closed. "This license should have stayed in the city," Crim said

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--------------------------------------------------------------------------------------------------------------------2,860 SF Downtown Lease Space Available

612 Broadway - Cape Girardeau, MO y y y y y y y y

2,860 SF Lease Space Suitable for Office, Retail, or Service Rear Paved Off-Street Parking Lot Historic Broadway Business Area Large Store Front Display Windows Very Affordable Flexible Lease Rate Call for Complete Details Rent for Just $950 Month!

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Competition Information
The Andrew Jackson Bridal and Tuxedo Jackson, MO

-WebpageVendors: Ginza Private Label Alfred Angelo Maggie Sottero Destinations by Maggie Sottero Limited Version Sottero and Midgley Essense of Australia

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Weddings and Parties Complete Jackson, MO

Bridal, Tuxedo Rental, Prom Apparel No webpage

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David s Bridal Cape Girardeau, MO

-Webpage-

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