Nighclub Resort Business Plan
The EbonySun entertainment resort will be one of the world’s largest night life entertainment facilities, located in the Gotham/Metropolis area. The owner, Mr. Clubb, has successfully opened and run 12 different Gotham nightclubs, casinos, and resorts. He will use his experience to launch the next all-in-one party place. EbonySun will have 400,000 square feet to entertain people in a unique way by providing 10 unique themes of nightclub rooms, with a capacity to handle 10,000 to 17,000 people in any given night. The goal is to provide a unique nightlife experience for all adults aged 21-40 living in the Gotham/Metropolis area. The facility will have 4 restaurants with different themes, 10 themed nightclub rooms, 10 individual offices, training and conference rooms, 2 VIP rooms and a large sports center complex for entertaining all kinds of people from nearby businesses and colleges in this area.
The entertainment facility will include a unique outside beach pool with mountains and waterfalls for conducting summer parties. The resort will provide parking facility for 50,000 people including 4 helicopter landing pads to accommodate high profile business executive travelers. This unique entertainment facility is located close to 150 universities and colleges which make it more attractive for college students market.
The EbonySun Entertainment Resort will conduct live concerts, and the different themed club rooms will have entertainments like South America’s wildest party, world’s largest dance floors, water bars, hot tub bars, Oxygen bars, New Orleans entertainment theme, 60’s & 70’s music entertainment, rooms with galaxy themes, country dance central, hip-hop and rock dance floors, Broadway themes, etc. The Sports Center has 100 TV terminals showing various world sports events and will also have over 200 gaming machines.
The goal is to provide a unique nightlife entertainment resort unlike any that exists anywhere in the U.S. at this time. With its unique themes and facilities, the EbonySun Entertainment Resort will be able to attract and serve 8 million people in the larger Gotham/Metropolis area.
To fund construction of the facility, and support its cash reserves during the first year, we are seeking $7.96 Million in equity financing. In addition to an equity stake in the company, investors will receive dividends up to three times their initial investment starting in the third year. This entertainment resort business plan has been developed to facilitate the startup of this venture, seek investment and assist the management team in running the company. Details of the investment offering can be found in the financial topics.
The BigBank Corp management has identified a need of a unique Nightlife entertainment Resort in Gotham/Metropolis area in Gotham. With its proximity to hundreds of colleges, the resort will generate good revenues through entertainment. Th objective of EbonySun project is to create an ultimate nightclub entertainment resort with multi national themes along with sports and dining facilities to create a unique night entertainment specially for college students and business executives in Gotham.
Become a leader in Nightlife Entertainment. Create one of a kind facility with 10 different themes, live concerts, multi-lever bars, various national theme rooms, huge dance floors, VIP luxury entertainment rooms etc
Capitalize on excellent location opportunity where there is no competitors exist at such large scale setup
Maintain tight control of costs, operations and cash flow through diligent management
Provide unique customer experience and create satisfied customers
EbonySun Entertainment Resort provides an unmatchable, unique exiting experience for Nightlife entertainment. We provide highest quality entertainment in wide range of theme based nightclub rooms. Provide facility for wildest party and dance events. Provide high quality and wide variety food facilities for people. Provide highest quality customer service through highly trained staff. Our goal is to be a step ahead of the competition. We want our customers to have more fun during their leisure time. Provide unique multinational food facilities in world class theme based nightlife entertainment centers. We want to be the leader in nightlife entertainment in U.S.
Keys to Success
The keys to success in achieving our goals are:
- Highest quality service.
- Managing finances to increase profit by reducing operating costs.
- Experienced management.
- Creating a unique entertainment effect. Increasing the number of repeated customers.
- Targeted Marketing through various advertising channels. Barriers to entry due to uniqueness of facility.
- Securing financing
- Maintaining and growing its referral networks to generate new and repeat sales.
- Improving efficiencies of operations.
- Price competitive service offerings
EbonySun Entertainment Resort is owned and operated by BigBank Corporation. The resort is funded through equity financing. The resort will be managed by professional management team to increase sales revenue and improve the rate of return from investment. The company is seeking $7.96 Million initial equity financing for building the facility. With its innovative business idea and unique location, the resort will be able to generate good revenues and rate of returns for its investors.
This unique entertainment facility is located close to 150 universities and colleges, which makes it more attractive for the college students market.
The parent company BigBank Corporation is currently seeking $7.96 million of equity financing to finance the new entertainment resort facility. Most of the expenses will be used for constructing the resort facility in Gotham/Gotham Metropolis area.
Long-term assets include the EbonySun resort structure, at 400,000 square feet of currently undeveloped real estate, and heavy duty equipment such as refrigeration units, kitchen equipment, and the like. Other Current Assets includes furniture and fixtures for every bar, restaurant, and dance hall in the structure. Lighting will be particularly elaborate, to create the different “moods” of each area.
The company will be jointly owned by its founder and outside investors. The founder, Mr. Clubb, has over 30 years of experience in the entertainment, resort, nightclub, and casino industries. Mr. Clubb will retain 40% ownership of the venture and serve as the General Manager for the first three years. He is offering 60% equity ownership for the remaining $5.96 Million of investment necessary to start this project. Every $99,333 of investment will buy 1% equity ownership. Ideally, 2 investors would make up the bulk of the funding. They will start receiving dividends in the third year, and would be eligible in the fifth year to opt for a buy-out option of their shares by Mr. Clubb.
The entertainment resort will have the following amenities:
- 10 individually-themed nightclub rooms for people with different tastes.
- 2 VIP Luxury rooms.
- 4 Restaurants seating 300 and a midnight cafe.
- 1 Sports Central Game room with over 100 TVs with various world sporting events and over 200 Gaming devices for customer entertainment.
- 15 rooms for entertainment, which cannot be matched.
- Outside beach pool with mountains and waterfalls for conducting summer parties.
- Parking for 50,000 people including 4 helicopter landing pads to accommodate high-profile business executive travelers.
Market Analysis Summary
The EbonySun Entertainment Resort has a wide variety of young people as their target market. The unique facility with dance and music along with bars and restaurants will attract young people living in the local area along with visiting tourists. The Metropolis area which has over 150 colleges and universities in the nearby area. These higher number of colleges makes it very easy to reach its students market through targeted advertising. The proximity of this area to these universities increases the success rate of this project.
The EbonySun Entertainment Resort is located in the Metropolis area of Gotham, which has over 150 colleges and universities in the nearby area. These higher number of colleges makes it very easy to reach its students market through targeted advertising. The proximity of this area to these universities increases the success rate of this project.
The target market can be separated into the following six categories:
- College Students: The closeness of EbonySun resort to various colleges and universities will help the resort attract students in and around the Metropolis area. The students will utilize the facility to hang out, spend vacation times and spring break time between semesters. The unique dance and other international themes will attract both U.S. and international students towards these entertainments. The market segmentation of these student category between ages between 18 – 26 is one of the most important customer segments of EbonySun resort. Most of this target market will be single male and female students, who will be interested in exploring new night life entertainment during their young age.
- Single Young Business Professionals – The second category of target market is young business professionals in and around our area between 25 and 40. This area has a lot of industries, including Dell, IBM, Tivoli etc. These corporations have lots of young executives, who have enough money to spend on high quality night entertainment. Currently these professionals are spending their time in small night clubs and bars for parties and get-togethers. With the availability of multi-themed entertainment like EbonySun, they will spend major portion of their income for these entertainments.
- Married Couples – People who are married and between the ages of 30 to 40, who have either one or two kids or don’t have any kids are targeted for this entertainment. The middle aged people have sound financial income and will be interested in spending an occasional weekend out for party. The Broadway-themed nightclub, and New York- and Paradise Island-themed restaurants will attract these people to enjoy their weekends and holidays in EbonySun.
- Tourists/Vacationers – The Metropolis, Gotham area is one of the important tourist areas for visitors from other states and also for the international tourists. This category of people will be interested in getting a unique experience by spending more money. EbonySun provides multilevel dance, hip-hop, and pop entertainment with awide variety of entertainment and restaurant themes in its facility. The tourists can be easily attracted to the facility by creating vacation packages with various airline agencies and local tourist help brokers. The age category can range between 25 – 40 for tourists.
Target Market Segment Strategy
The market is segmented based on the age and lifestyle category of each group. Market is also segmented into various categories for targeting different types of promotions and advertisements suitable for each target market segment.
- College Students: This segmentation is targeted for students of ages between 18 to 26. Students are more interested in drinks and dance and will find value in variety of nightclub theme rooms. The “Vault” nightclub room provides the largest dance floor, the world’s largest multilevel bar with live host concerts, which will definitely attract this market. The “Ozone and Cloud Nine” themes with Ozone dance music, water bars and hot tub bars will attract students to enjoy unique drink and dance entertainment which is not available anywhere in U.S. at this time. The “Carnival” themes will provide South American party theme and this will help targeting the international students. The “Fat Tuesday” with alternate music & metal play will attract students from various nationalities who wants to listen and hangout for a good time in the resort.
- Single Young Business Professionals: This segmentation is targeted for young business professional between the ages of 25 and 40. The business professionals will be interested in conducting business parties, client meetings, client entertainment and other social activities in places of unique entertainment. Compared to students, this segment has more potential to spend money in night life entertainment activities. This segment of the market can be attracted with corporate promotions and targeted corporate tie-ups for promotional dinner and entertainment activities. These business executives will enjoy “Sin City”-themed nightclub with unique Las Vegas theme with Ocean’s 11-type movie setup. The large dance floors with rap, hip-hop and rock music will easily attract young professionals. The business executives will be attracted to “Fat Tuesday New Orleans” theme which hold 15 bars and conduct wild parties. Target marketing for these market will be done through corporate promotions and targeted advertising.
- Married Couples: This segmentation is for people in the age group of 30 to 40 who are married and are interested in having fun outside. Most of this group will spend weekends in bars and restaurants or any other public entertainment places. This group enjoys 60’s, 70’s & 80’s music theme in “Throw Back Central” which has unique designs like Saturday Night Fever. This group enjoys “Carnival,” “Outer Limits” & “Broadway” themes. The Broadway theme will help them entertain like they are spending nights in the Big Apple. This market can be attracted through unique direct marketing promotions through coupons and free dinner offers.
- Tourists & Vacationers: This market targets people who visit this area from other parts of U.S. and other countries. The Metropolis area has over 250,000 tourists annually; approximately 150,000 of them are adults in our targeted age ranges. This market is constantly looking for better entertainment places and will be ready to spend more time and money for these unique entertainment resorts. The age group for this target market can vary between 20 to 40 years. Most of the tourists will be interested in all types of themes since they will get various experiences by visiting at different nightclub themes. This target market can be attracted by selective ad promotion through travel agencies. Tourists can also be attracted through big billboard ads placed near airports and hotels with promotional package advertisements.
Service Business Analysis
EbonySun Entertainment Resort is in the nightlife entertainment industry, along with casinos and other specialty restaurant businesses. The entertainment industry grows tremendously every year, making very good profits for businesses. The major competitors are restaurant, small nightclubs, major restaurant chains, other adult entertainment centers in the vicinity of Gotham/Metropolis area. The U.S. Census Bureau report shows that gambling industry made $20 billion dollars in revenue in Year 2002, out of which Gotham made approximately $8 billion revenue and other gambling industries, including nightclubs, made $7 billion dollars sales revenue. Amusement, Gambling & Recreation industries have grown from $62 billion in 1997 to 65 billion in 2002.
Competition and Buying Patterns
EbonySun is competing against other local nightclubs, but also against movie theatres, mini-golf, rock concerts, bowling, restaurants, plays, symphony performances, and free parties. We are competing for the disposable income and leisure time that our potential customers would otherwise spend elsewhere. However, once a potential customer has decided they want to go out to eat or to go dancing or listening to music, we are most closely competing with similar types of businesses: other restaurants, nightclubs, and concert venues. Our challenge is both to encourage them to choose activities we offer, and then to preferentially choose EbonySun over smaller, less unique options.
The Metropolis area has hundreds of thousands adults, age 21-40, who attend a concert or go out to a nightclub at least once a month. We not only have to encourage customers to come to our venue, but to choose this kind of entertainment over quieter ones. In the nightlife entertainment industry, people make choices about return visits based on the quality of the environment and experience, along with drinks and food. The price should be competitive enough to attract a wide variety of customers.