Elite Performance

By: Justin LaCorte

Table of Contents
I. Executive Summary 1.1 The Opportunity 1.2 The Company 1.3 The Growth Plan 1.4 The Team 1.5 The Financials The Industry, Target Customers, and Competitors 2.1 The Athletic Training Industry 2.2 Target Customer 2.3 Competitors 2.4 Competitive Advantage The Company 3.1 Company Overview 3.2 The Training Programs 3.3 Services 3.4 The Facility Layout The Marketing Plan 4.1 Marketing Objectives 4.2 Targeting 4.3 Market Penetration 4.4 Pricing Strategy 4.5 Marketing Mix The Operations Plan 5.1 Location 5.2 Hours of Operation 5.3 Employee Hiring and Training 5.4 The Production 5.5 Facilities and Equipment 5.6 Suppliers The Development Plan The Growth Plan The Team 8.1 Launch Team 8.2 Board of Advisors The Financial Plan

II.

III.

IV.

V.

VI. VII. VIII.

IX.

I. II. III. IV.

Executive Summary
1.1 The Opportunity Exercise and Training is now a required necessity in todays society. In tough economic struggles, exercise and a membership to exercise is one of the few things that the average person will not sacrifice to give up. Athletes, amateur and professional, are now forced to train not just to gain an edge on an opponent s, but to keep up with the competition. That is because every athlete does strength and conditioning now. People seeking locations to train at are at an all-time high. Training and Exercise is a very particular subject when it comes to peoples needs. Customers are looking for a certain location, atmosphere, and environment when it comes to choosing a facility to workout at. It has to be suitable for them in every way. The Company Elite Performance will be a state of the art training facility dedicated towards producing results and beyond for driven athletes. We will open our facilities to the public in February 2015. Our prices will be affordable for everyone. The facility will be open from 8A.M. to 8:30PM. We will also vary our schedule around our clients schedules. It will be 2300 square foot of turf and include a designated area for Olympic weight lifting equipment and also our new state of the art skating treadmill. It will be located in Pompton Plains, New Jersey. The Growth Plan Our plan is to first dominate our area. We want all the professional teams in the Tri-State area sending us their athletes. Elite Performance also desires to attain every high school athlete in the area that is serious about bringing their game to a new level. After Elite Performance dominates this market, we want to branch outward near Philadelphia, Connecticut, and New York City. The Team Management Team: Justin LaCorte, Founder and Owner-Graduate of Nazareth College 16 with bachelors in Business Administration and Minor in Marketing, Masters in Exercise Science. Played four years of college hockey at Nazareth and two years of pro hockey. Level 3 USA Hockey Coaching Certificate, Past Partner of Parties, Picnics, and Promos out of Pompton Plains, New Jersey. Ryan LaCorte, General Manager and Head Trainer- 7 years of Personal Training Experience, 3 years training experience at Athletic Republic in Randolph, New Jersey. Graduate of William Paterson University with Bachelors in Exercise Science. Played 3 years of hockey there. Level 2 USA Hockey Coaching Certificate. Recreation Program Director Parks and Recreation Department of Township of Ringwood. Mark Puttenvink, Director of Personnel and Training Specialist- 26 years of experience, Head Strength and Conditioning Coach of New York Rangers 2000-2003, Strength and Conditioning Coach Albany River Rats, New England Patriots, Iona College, Yuri Foreman, Sean George. Board of Advisors Scott Heck, 23 years of experience, Director Parks and Recreation Department of Township of Ringwood, Past Business Owner of Landscaping before selling company, Homeland Security Retiree, Contributor of Chris Christie Political Party Brendan LaCorte, 5 years of Experience, Graduate of William Paterson University with Bachelors in Business. Partner in Parties, Picnics, and Promos in Pompton Plains, NJ. Vendor for USG Building Supplies. The Financials Our estimations calculate that we would require a $1,900,000 investment for start-up. This would include land, building, equipment, and start- up capital.

1.2

1.3

1.4

1.5

Start-up Requirements
Start-up Expenses Legal $30,000 Air Structure $300,000 Turf Field $160,000 Basketball Rims, Batting Cages$35,000 Exercise Equipment and Misc. $150,000 Skating Treadmill $27,000 Stucco $8,000 Block Fence $30,000 Concrete Footings and Slab $185,000 Site Preparation $20,000 Consultants $3,500 Mechanical $25,000 Second Floor Development and Offices $190,000 Office Equipment $65,000 Paving and Landscaping $80,000 Management Fee $100,000 Promotional Costs $40,000 Design Fees $30,000 Land $415,000 Total Start-up Expenses $1,839,500 Start-up Assets Cash Required $336,500 Start-up Inventory $0 Other Current Assets $0 Long-term Assets $0 Total Assets $336,500 Total Requirements $1,900,000

II. The Industry, Target Customers, and Competitors

2.1 The Athletic Training Industry The industry of athletic training is a booming one. It produced a $10.6 billion last year. In these tough economic times, fitness is one th individual will not give up. There have been many worrying parties of the countries obesity rates. Parents are now sending their childre line training at an even younger age than ever to try and gain an edge on an opponent. The professional athletes in our today s world rec amounts of money for their contracts. Many of them are depending to have the lengthiest careers they can have to depend on that mone after their careers. Strength and conditioning training not only helps you gain an edge on an opponent but has also been proven to make injury prone. 2.2 The Target Customers The obvious target customer for us would be athletes, plain and simple. It is in that area where we have to define the range of athletes we expect to be targeting. We target for the range of high school, college, and professional athletes. We want to have a welcoming environment for all athletes though. We want to spread the benefits of training towards the average middle school athlete and average person in general. 2.3 Competitors With this industry being relatively new, competitors are very slim. There is a franchise called Athletic Republic that is still relatively new to the area. Then there are four privately owned facilities that athletes around the area attend.

This industry also has to take in to account that there are athletes that attend regular gyms and spas to train. These would all be considered our competitors. Our goal and job is to create a facility and services that will attract away from these competitors and create loyal customer relationships. 2.4 Competitive Advantage The competitive advantage we will be striving for are results and consistency. It is going to be the passion and the consistency we emblem that passion towards training our athletes that keeps them coming back and relaying the message to their fellow athletes. The more results and follow-up we produce for our athletes will make other nonattendees want to be a part of Elite Performances training programs. III. The Company 3.1 Company Overview Elite Performance is a brand new state of the art facility equipped with the new top of the line training equipment there is to offer. Elite Performance will be open from 8 A.M. to 8:30 P.M., giving our clients various times to train. We want to be open to our clients schedules, therefore there will never be a client that cant find a slot to train. We will give the freedom to our clients to reserve one of our highly skilled trainers for whenever it is best for the client. That being said, Elite Performance employees will open up early for a scheduled session and even stay late for a scheduled session. We are going to differ from our competitors through our specific programs for each athlete. Our number one goal is to produce results for the athlete, both mentally and physically. We will make sure to work with each athlete one on one for their specific need. We will also provide recovery stations, massage therapy, and mental training for our athletes. The recovery stations will mainly focus on their diets. The massage therapy will be for recovering from their workouts and injuries. The mental training will be a new component to our area because it is not something generally offered by training facilities. Elite Performance understands that an athlete must be just as mentally strong as physically strong. It will be 2300 square foot of turf and include a designated area for Olympic weight lifting equipment and also our new state of the art skating treadmill. 3.2 Training Programs There are many different athletes. Just with the five major sports, that leaves you with five different types of training programs. Within those sports, there are different types of athletes playing that specific sport. For instance, you will not have a quarterback doing the same training program as a lineman. It is also important that you have your stronger, bigger athletes that need to work on speed and for your smaller speedier athletes to focus on strength. These are basics of training. The thing our staff will focus on is specialization. We want to specify the program for what is best for the athlete. For our basic principles, here will be our guideline of phases. Off-Season Phase 1- Recovery Phase After a required break for the athlete to let his body recover, we will take his injuries into account and look to strengthen them back to 100%. When that is complete, we will look into his specific needs and problem areas. Phase 2- Loading Phase This phase will be about 3-4 weeks. It will be mainly for the athlete to put the weight lost from the season back on his body. If an athlete should need to shed weight, it will do so. It will be mainly to put the mass back on his body and attain proper flexibility to complete the next phases of workouts. Phase 3- Power Phase This phase will consist of strength training. This is where the athlete will build explosive power to compete with strongest of his sport. Phase 4- Explosion, Speed, Agility, Weaknesses Phase This phase will consist of speed and quickness training. We will attack his fast twitch fibers and athleticism so he can properly gain an edge on his opponents. The athlete will be attacking his weaknesses in this phase as well to sharpen them up.

Phase 5- Endurance Phase After putting on lean muscle and becoming a speed demon, this final stretch is where the athlete will attack his cardio and mental toughness. This phase gets generally overlooked or is never done to the correct standard which is something that will never happen at Elite Performance.

3.3 Services We have four services at Elite Performance. They are training, recovery, medical and massage therapy, and mental training. Training The training offers our highly skilled trainers, brand new top of the line equipment, and our training programs. Our trainers are well experienced in the field and understand what it is to produce in this industry. It will be there knowledge and training programs that will help gather clients and keep them coming back for more. Recovery Our recovery station will consists of a counter top juice bar. It will be equipped with fridges and freezers for the athletes and staff to keep post workout meals and shakes in. We will offer post workout shakes for our athletes immediately after their workout to recover. The athlete will also be educated on dieting and cooking tips in this station. Medical and Massage Therapy We are not looking to bring in a physical therapy unit at this point, but that is definitely a direction we will be leaning toward in the future. This service will be to keep our athletes finely tuned with working out scar tissue and muscle pulls they may endure during their workouts. We will have the proper tables and equipment to make sure we are to meet the basic essential needs of an athletes well -being. Mental Training This is where an athlete can really separate himself from the competition. This service is where we will have sit downs with our athletes and even have the athlete have a monthly session with a sports psychologist to analyze any doubts of confidence the athlete would be suffering from.

3.4 The Facility Layout Our facility will be 2300 square foot of turf. In the south end of the facility is where we will have hard wood floors with basketball rims and batting cages. On the west side of the facility is where we will have a six lane 100 meter clay track strip. The east side will be designated for our weight training and will consist of all our Olympic weight lifting and plyometric equipment. That area will have 5 squat racks and 5 platforms. The north side of the store is the entrance and is where every athlete will be greeted at our front desk. There will be a lobby and waiting room right next to the desk. On the other side of the front desk is where our recovery station will be. The second floor will have all of our offices. It will also consist of a waiting area for parents to watch their children to train. There is also where we will have our massage therapy and training staff have their equipment to oversee injuries and things of that nature. Finally, our locker rooms will be right located right next to stairs on the way up to the second floor.

IV.

The Marketing Plan

4.1 Marketing Objectives Attract clients and bring buzz Attain long-lasting relationships with those clients

Have those clients network with other athletes to spread the word of our business. Become the place to train in the Tri-State Area

4.2 Targeting Elite Performance will be targeting every type of athlete. For an age range, we want to be a facility that trains high school athletes, college athletes, and professional athletes. That would leave us with an age range of about 14 28. The median per capita income levels for Morris County is $96,747. That makes this area a very wealthy one and the average family capable of paying for training. We will be attracting both men and female. Elite Performance wants to be the place that every club and high school comes to train. This is why we have to attract teams of all sports. 4.3 Marketing Penetration Elite Performance will be located right off of Route 23 in Pompton Plains. This area gets high visibility and a lot of car traffic. We will be a total of 8.6 miles away from one of the most popular Ice Rinks in the TriState Area. We are located in a highly competitive area of high school football, baseball, basketball, and hockey. Towns surrounding are area include Pequannock, Wayne, Montville, Butler, and Boonton. It is also in a major sports area that consist of at least nine professional sports teams. 4.4 Pricing Strategy Off-Season Program (4 months) $325.00 2 Month Membership $175 20 Sessions $200 Team Discounts Over 3 Athletes- 5% off each Over 7 Athletes- 10% off each Over 12 Athletes- 20% off each 4.5 Marketing Mix Our marketing mix will start off with print media such as local newspapers and magazines. We advertise with handouts and flyers at all of the major events athletes attend such as showcase tournaments. At events like this, we will offer free three day passes, and we will require an email for this. This is where we will get a mailing list to send out to future clients. We will be getting involved in the community with offering free health and training meetings. Our most important marketing tool will be through professional clients. We will use our training of professional athletes to help advertise our brand. This will help grow our brand and it is our job to maintain loyalty with them through successful results.

V.

The Operations Plan

5.1 Location Our ideal location would be near the highway of Route 23. It receives a lot of traffic volume due to it being on a very busy but safely accessible Route 23. It is located in a popular area of restaurants, store chains, and gas stations. It will be right in the middle of our target area. There are five surrounding towns that are very competitive with high school sports. There are also three colleges in the area that consists of sport teams. Elite Performance will be right at the end of a strip mall that consists of two popular restaurants, a foot locker, and a Dunkin Donuts. It will attain a ton of foot traffic in this sense. Our facility will be the tallest building in this strip mall and will be the first sight in the strip mall when traveling from both sides of the highway.

5.2 Hours of Operation Our facility will be open from 8 A.M. to 8:30 P.M. We will always make times for individual sessions and work with our clients around their schedules. Even if our client needs our staff to open early or stay late, we are going to make that possible.

5.3 Employee Hiring and Training Our staff is already at a high end status. While we are going to be hiring potential employees through interviews, we do want to bring in staff through prior experience with our own staff. That will require us to do some recruiting of past networks. The reason for that is because we want every one of our trainers to be on the same page with our training programs. We also will be looking for a top-notch medical staff and sports psychologists for our medical and mental training services. 5.4 The Production The production of our day to day operations will be non-stop. We want to have a loose and fun environment, but we want our staff, athletes, and future clients to understand that we mean business. Our staff is going to have at least a half hour break between sessions to make sure the staff member is recuperated enough to show the same enthusiasm for every training session. The training services will be our product and for it to run efficiently, we need every employee on the same page. 5.5 Facilities and Equipment

Space We will focus on leasing a space that is at least 2,300 square feet and preferably an empty ware house. Equipment Our equipment will be purchased and installed by Extreme Training Equipment. 5.6 Suppliers - We will purchase all our training equipment from Extreme Training Equipment - We will purchase all our supplements and nutrition needs from Maximum Human Performance. - We will purchase all of our construction and building materials from USG L&W Supply. VI. The Development Plan We will plan on opening our doors on February 1, 2015 with a training competition. We will make it an open event with five different weight classes. It will be limited to twenty participants for each weight class. This will help us launch our brand and hopefully nail down some clients. There will be rewards given to the winners and all participants will get a free week pass. Timeline August Look at Real Estate with Agents Bring in building designer and construction staff Finalize plans and layout of building Line up Funding September Competitive analysis of other facilities Determine equipment needs Get estimates from suppliers and builders Check with zoning laws and regulations October

Finalize deals and set up name, legal entity. Obtain taxpayer I.D. Determine staff needs, wages, and benefits packages Design Procedures: cash handling, payment plans, day to day operations Build schedule for constructions November Complete all permits, health commission, and other necessary laws Begin Construction Determine office set up Design Marketing Plan December Set up accounting systems Finalize training programs and services Finalize job descriptions, policies, and procedures Finalize Insurance January Finalize financials Initiate marketing plan Market the training competition Set up facility Start training staff February Training Competition Grand Opening to Public

VII.

The Growth Plan - Our plan is to lock down 100 clients and at 15 professional clients through the first year. - After the second year, we want to open up a location near Philadelphia or Connecticut. - After the 4th year, we want to have at least ten locations in the north east. The Team

VIII.

8.1 Launch Team Founder: Justin LaCorte, Graduate of Nazareth College 16 with bachelors in Business Administration and Minor in Marketing, Masters in Exercise Science. Played four years of college hockey at Nazareth and two years of pro hockey. Level 3 USA Hockey Coaching Certificate, Past Partner of Parties, Picnics, and Promos out of Pompton Plains, New Jersey. Has been training individuals since high school. A graduate of Pequannock Township High School in 2010, he would train his alma maters hockey team every summer. Has been coaching since he was 16 years old. Justin will be involved with the day to day operations from the business side to the training side. He will oversee the facilities day to day operations. General Manager: Ryan LaCorte, General Manager and Head Trainer- 7 years of Personal Training Experience, 3 years training experience at Athletic Republic in Randolph, New Jersey. Graduate of William Paterson University with Bachelors in Exercise Science. Played 3 years of hockey there. Level 2 USA Hockey Coaching Certificate. Recreation Program Director Parks and Recreation Department of Township of Ringwood. Ryan will be one of the head trainers that will be training our top clients. He will be involved in the make-up of every athletes training program. He will run the training floor and will be the go to guy for special needs in training programs.

Director of Personnel and Training Specialist- Mark Puttenvink, - 26 years of experience, Head Strength and Conditioning Coach of New York Rangers 2000-2003, Strength and Conditioning Coach Albany River Rats, New England Patriots, Iona College, Yuri Foreman, Sean George. Mark will assists Justin and Ryan in the designing of the athletes training programs. Mark brings with him a huge world of contacts and experience. He already trains professional athletes and is the best of friends with fellow trainers that Elite Performance can go after to fill out there staff. 8.2 Board of Advisors Scott Heck, 23 years of experience, Director Parks and Recreation Department of Township of Ringwood, Past Business Owner of Landscaping before selling company, Homeland Security Retiree, Contributor of Chris Christie Political Party. Scott brings his world of business experience to his one of his newly found passions in training. He understands how to bring a small time business to a successful money maker. He started a lawn mowing company when he was eighteen years old and sold it as one of the most successful landscaping companies in North Jersey. His smarts and knowledge will work go great with his new hobby. Brendan LaCorte, 5 years of Experience, Graduate of William Paterson University with Bachelors in Business. Partner in Parties, Picnics, and Promos in Pompton Plains, NJ. Vendor for USG Building Supplies. Brendan was a worker from the age of fifteen. He has always been a hustler and was not shy from juggling three jobs at a time. He understands money and how to make it. Brendan has a special talent in sales and investments.

IX.

The Financial Plan

9.1 Single Store Financials Balance Sheet Year 1 Assets Current Assets Cash Accounts Receivable Total Current Assets Total Assets Liabilities and Capital Current Liabilities Accounts Payable Subtotal Current Liabilities Long-term Liabilities Total Liabilities Paid-in Capital Retained Earnings Earnings Total Capital Total Liabilities and Capital Net Worth $30,000 $30,000 $36,000 $36,000 $38,000 $38,000 $1,250,000 $1,288,000 $1,250,000 $360,000 $60,000 $420,00 $420,000 Year 1 $505,000 $70,000 $575,000 $575,000 Year 2 $765,000 $85,000 $850,000 $850,000 Year 3 Year 2 Year 3

$1,250,000 $1,250,000 $1,280,000 $1,286,000 $1,250,000 $1,250,000

($2,163,000) ($2,107,000) ($1,960,000) $56,000 ($857,000) $423,000 ($857,000) $146,000 ($710,000) $575,000 ($710,000) $275,000 ($435,000) $853,000 ($435,000)

Income Statement Year 1 Cash Received Cash from Operations Cash Sales Cash from Receivables Subtotal Cash from Operations Subtotal Cash Received Expenditures Expenditures from Operations Cash Spending Bill Payments Subtotal Spent on Operations Subtotal Cash Spent Net Cash Flow Cash Balance $360,000 $387,000 $748,000 $748,000 $29,000 $366,000 $438,000 $437,000 $876,000 $876,000 $139,000 $505,000 $516,000 $462,000 $979,000 $979,000 $261,000 $767,000 $334,000 $444,000 $778,000 $778,000 Year 1 $411,000 $604,000 $1,015,000 $1,015,000 Year 2 $502,000 $738,000 $1,241,000 $1,241,000 Year 3 Year 2 Year 3

Cash Flow Statement Operating Activities: Operating Income Plus Depreciation Less Income Taxes Adjusted Income Less increase in accounts receivable Less increase in inventories Plus increase in accounts payable Change in net working capital CASH FLOWS FROM OPERATIONS Investment Activities: Less increase in gross fixed assets Financing Activities: Less interest expense Less dividends paid Plus increase in short-term notes Plus increase in long-term debt TOTAL FINANCING ACTIVITIES Increase in cash Year 1 Year 2 410,000 415,000 15,000 15,000 20,000 20,000 445,000 450,000 5,000 7,000 40,000 35,000 5,000 5,000 40,000 37,000 415,000 413,000 Year 3 430,000 15,000 20,000 465,000 6,000 37,000 5,000 37,000 428,000

200,000

200,000

200,000

20,000 15,000 10,000 40,000 5,000

16,000 12,000 15,000 15,000 12,000 13,000 30,000 22,000 15,000 11,000 18,000 4,000 7,000