LEARING TEAM CONSULTANT SCENARIOLearning Team Consultant ScenarioPoint Blank Consulting FirmExecutive SummaryBulls Eye Indoor Shooting Range is a Las Cruces start-up company dedicated to providing a safe and professional atmosphere where safety is our main concern. We offer a climate-controlled building that will be useful to all law enforcement, security, military, and private citizens.Company DescriptionWe offer the only indoor shooting range in southern New Mexico.
Bulls Eye is equipped with 18 lanes, 25 yards long to assist the advanced shooters, as well as, the novice shooters. Six of these lanes will be allocated for private events for qualifications.Product and ServicesBulls Eye will be dedicated to exceeding customers’ expectations by offering gun classes in firearms training, firearms safety, and gun laws. Our National Rifle Association (NRA) certified instructors will teach firearms skills, safety, and self-defense. At Bulls Eye we strive to make every shooting experience an enjoyable one. In addition to our services, we sell rifles, handguns, accessories, and ammunition. Our inventory consists of the world’s finest weapons, which include, but not limited to, Winchester, Remington, Colt, Ruger, Smith & Wesson, and Glock, just to name a few.
The first Tuesday of every month, we will offer a shooting competition with prizes gong to the top three contenders. A fully equipped classroom with an overhead projector is available to rent; perfect for presentations or training. We will also rent top of the line handguns, rifles, and shotguns for use at our range. Gun Rental Rates:Handguns, shotguns and .22 rifles$20 includes Range fee for 1 day and 1 target$15 for Bulls Eye membersAR-15$30 includes Range fee for 1 day and 1 target$25 for Bulls Eye membersOther services will include: special privileges for members, which consist of: Unlimited number of Range visits1 target with first visit per dayDiscounted Range fees for friendsDiscounts on firearm rentalsMembership fees are as follows:1-year Individual Membership$2001-year Couple Membership$2501-year Group Membership$300 (up to 4 members)6 months Individual Membership$1506 months Couple Membership$1256 months Group Membership$250 (up to 4 members)Lifetime Membership$1,000Rapid Fire CardsRapid Fire cards do not carry the benefits of a full membership, but do provide an easy way to save on your range fees and ammunition, our cards do not expire, and are transferable, and they also make great gifts. Each visit includes ammunition, target and shooting lane. Below are two of the benefits of the Rapid Fire card5 visits$5010 visits$100Market AnalysisBulls Eye Shooting Range focuses on providing a state-of-the-art shooting experience where convenience, comfort, practicality, and affordability is available to everyone who wants topractice and improve their shooting skills or possibly purchase a quality weapon at a fair price.
One of our most important customers are local and federal law enforcement agencies. The majority of our customers will be the general public, gun clubs/organizations, and private instructors. These people, whether it’d be for their careers, sport, personal protection, or just exercising their right to bear arms; don’t want to waste time driving out of town to some remote part of the desert to shoot at tin cans, at a makeshift shooting range.Target Market Forecast:Potential CustomersGrowth2004200520062007Law Enforcement10%3000330036003900Gun Clubs/Organizations10% 500 550 600 650Instructors 5% 100105 110 115General Public20%5000600070008000Total45%8,6009,955 11,310 12,665Market DemographicsLarge – Gun Clubs/Organizations, instructors, general public: With the area’s only indoor shooting range, within a 300+ mile radius, Bulls Eye will also provide these customers with the comforts of home. The can have a centralized meeting place where they can benefit from all of our services. Private instructors can train students on safety and proficiency to meet the New Mexico Department of Public Service (DPS) certification requirements for legal concealment of a firearm. The general public can conduct their own training with our certified training instructors for business, home, or personal protection.
The local gun clubs can also use our classrooms to schedule their monthly meetings or to discuss new business.Medium – Law Enforcement Agencies: Our second most important market segment is the combined local law enforcement including Las Cruces Police Department, Dona Ana County Sheriffs office, New Mexico State Police, and the combined efforts of Home Land Security, including the Federal Bureau of Investigations (FBI), U.S. Customs, Alcohol Tobacco and Firearms (ATF), Drug Enforcement Agency (DEA), Border Patrol, just to name a few. These agencies will be calling Bulls Eye Shooting Range to provide them with a training facility where they can train, educate, and practice every time their qualifications are due, to stay current with state and federal regulations. Market TrendsWe stand to benefit from specific trends.
There is a major trend towards concealment carryWith New Mexico passing the Concealment Carry Law, New Mexicans are exercising their right to carry a concealed weapon to protect themselves, their family, and their business.Increase in law enforcement.On the wake of September 11, The United States will never be the same. Terrorists threaten our very existence and have vowed to bring death and destruction to our country.
The federal government is increasing federal and local law enforcement agencies to double its force, and increase Home Land Security to protect us from another possible terrorist attack.Personal protectionPeople are thinking ahead and training for what they believe could be the lastdefense of our great country. Just as our forefathers fought and defeated an invading army, it was the militia common people just like you and I, who helped our country be what it is today. Also, with the increase in crime, many people are protecting themselves from being another victim of crime.Gun Clubs and OrganizationsPeople who buy guns usually join local gun clubs or the National Rifle Association (NRA).
These groups are serious about gun ownership and their rights to bear arms. With the increase in gun sales on the rise, Bulls Eye Shooting Range will be an especially attractive alternative to these clients, because of our environment and our ability to relate to their interest.Marketing PlanThe best idea for capturing the target markets would be advertising. Advertising is a relatively quick, efficient, and powerful medium for communicating with the public. Our advertising strategy would stem from the goals of the company and will be carefully formulated as an integral part of our business plan.
As a rule of thumb, cost effectiveness will limit the amount we spend on advertising, but we will try to spend enough to meet the company’s objectives. Advertising will make the public aware of the business and it can develop a distinctive image for our product and services, it can convince the public what we are selling is worth buying. The four main methods of advertising are: personal contact, sales promotion, advertising, and publicity.
Personal ContactDoor-to-Door sales pitchesFliersTelephone callsOpen houseFriendly relations with prominent local peopleWord of mouthSales Promotions (Incentives to buy):Free trialsCouponsRafflesGames with prizesTwo-For-One offersFamily rates, student pricesAdvertisements (Paid-for promotions):Billboards and marqueesDirect mailingsNewspapers and magazine adsRadio commercialsYellow Pages (multiple listings and ads)Special interest group directoriesTV commercialsInternetPublicity:Activities that make the newsCommunity events that allow businesses to participateCommunity activities that welcome businesses as sponsors, such as organizations and sports teamsCharity benefitsThe previous ideas will help us take positive steps to boost sales and capture our target market in spite of the competition or economic conditions. This is the age of specialization. Businesses that do one thing, and do it better than the competition, cannot perform and outlast those that try to offer everything. Marketing improvements will be at the top of our company’s list of things to do in order to remain in business.Operational PlanThe hours of operation for Bulls Eye Indoor Shooting Range will be Tuesday through Saturday from 8 a.
m. to 8 p.m., Sunday from 12 p.m. to 6 p.
m., and will be closed on Monday. The location of the business will be centrally located to better assist our target market, with easy access to I-25.
Our business will be staffed with four employees who will assist the customer interested in purchasing, renting, or using our range facilities. Additional operational duties include inventory, ordering supplies, merchandising, dealing with vendors, and cost analysis. Financial PlanOur new business will be started with initial capital coming from personal savings and other forms of personal equity. We will look to private sources such as friends and family, whilestarting our business venture, friends and relatives may lend us money with little or no interest, which can be beneficial in getting started.
Banks and credit unions will be our main source of funding. These entities will provide financing when we show our sound business plan and the ability to repay the loan. We will increase our chances of getting a loan by being prepared and organized, knowing exactly how much money is needed, why we need it, and, how we intend to pay it back. We will also convince the lender that we are a good credit risk; improper preparation may indicate to the lender that our loan could be a high risk.We will match our financial needs with the needs of our business. One of the loan options we would like to consider is a short-term loan because these loans can be paid back in less than one year.Another option to consider is a long-term loan.
These loans have maturities that are greater than one year, but usually, less than seven years. We will use this loan for major business expenses, purchase of real property, machinery and equipment, and start-up costs. Before applying for a loan, we have considered the five C’s of credit that you will examine before lending us the money.Capacity – To repay, is the most critical of the five factors. You (the lender) will want to know exactly how we intend to repay the loan.
You (the lender) will consider our cash flow from the business, the timing of the repayment, and the probability of successful repayment of the loan.Capital – Having invested a sufficient amount of our own money, will show you (the lender) how much we have invested, and how much we might have to lose in the business, should it fail. If we have significant personal investment in the business, you (the lender) will be more likely to help finance our business plan. Collateral – or guarantees, are additional forms of security we will provide you (the lender). This ensures that if the loan is not paid, that there will be a second source of repayment. Assets such as equipment, buildings, accounts receivable, and in some cases, inventory, are considered possible sources of repayment if they are sold by you (the lender) for cash.
Conditions – Focus on the intended purpose of the loan. We will show you (the lender) how all money will be spent on the business, such as, inventory, additional equipment, start-up costs and operating costs. Character – Is the personal impression we make on you (the lender). Having good character will show you (the lender) our trustworthiness to repay the loan and make a profit on the business.
By having a law enforcement background plus seven years experience in federal security, along with our business staff and expertise, we hope will show our knowledge in the business, therefore, improving our character, thus, improving our ability to fund the business. Another consideration to look at in obtaining a loan, would be to plan a sound, realistic budget, by determining an actual amount of money needed to open our business (start-up costs), and the amount needed to keep it open (operating costs). Our start-up costs will include such one-time costs as: major equipment, utility deposits, down payments, etc. Our operating costs will reflect our priorities in terms of how we spend our money, the expenses we’ll incur and how we will meet those expenses.
Our operating costs will include money to cover the first six months of operation. The following examples are our guidelines for projected expenses:Start-Up CostsOperating CostsPersonnel (costs prior to opening)Personnel Legal/Professional feesInsuranceOccupancyRentLicence/PermitsDepreciationEquipmentLoan paymentsInsuranceAdvertising/promotionsSuppliesLegal/AccountingAdvertising/PromotionsMiscellaneous expensesSalaries/WagesSuppliesAccountingPayroll expensesIncomeSalaries/WagesUtilitiesTaxesPayroll expensesRepairs/MaintenanceOur assumptions and projections were based upon our market analysis and market forecast. In addition, we believe the changes in our society and the on-going threats of terrorism will have a significant impact on the overall market, customer characteristics, customer needs, and the buying decisions of our customers. Our projected losses would include rent, utilities, insurance (property and liability, life and health), workman’s compensation, wages, and theft.
Management SummaryThe owner of Bulls Eye Indoor Shooting Range believes that relationships should be forthright, work should be structured with enough room for creativity, and pay should be compensated with the amount and quality of work completed. The company is young enough that the only manager that is needed is the owner of the business.