Yogaroom (Nowrizon SPRL) was incorporated on 10 July 2015 and therefore has no historical accounts.
We expect to open 15 studios in Belgium, including 5 in Brussels
However, the Business Plan below is based on the opening of 3 studios in a 3 year period.
The 3 studios will be in Brussels:
- Studio No. 1 - Opening in January 2016 (480 m2) in the Châtelain district.
- Studio No. 2 - Opening in September 2016 and March 2017 in the European district.
- Studio No. 3 - Opening in 2017, location to be decided.
Each Studio will break-even at 60 visits a day.
Starting from a very conservative assumption of 20 people per class, this corresponds to 3 classes per day. In our experience, class sizes vary between 20 and 40 members depending on the type of class.
ASSUMPTIONS ON VOLUMES
- Number of people per class: 20
- 50% of members pay in class (20 Euros)
- 50% of members have an Unlimited monthly subscription (130 Euros) - 8 visits per month.
- 6 months to reach a threshold of 60 members per day (break-even)
- 12 months to reach a threshold of 100 members per day (sustainable profit)
ASSUMPTIONS ON PRICE
All amounts in the Business Plan are in Euros and net of VAT.
- While in sustainable profit, each Studio generates a turnover of 700,000 Euros.
- Revenue growth is good given that the revenues from several studios are accumulated.
The "Cost of sales” entry is the yoga instructors’ wages. Since we work with instructors with international experience, each instructor may charge 75 Euros per Yoga class.
The marketing costs are mainly related to our visibility:
- SEO for top spot on Google, Yahoo (200 Euros/month/Studio)
- FaceBook Ads (300 Euros/month/Studio)
- Press Relations (1000 Euros/month/Studio)
Having several studios of course enables us to increase our communication and maximize the visibility of Yoga Room in Brussels.
- Year 1 (2016) is in profit based on two factors.
a) we reach break-even (60 members per day) after 6 months.
b) we obtain an exceptional product through the subsidies for renovation in an amount of 37,650 Euros.
- Year 2 (2017) includes the opening of studio 2.
- Year 3 (2018) includes the opening of studio 3.
The income statement is based on an average of 100 people per day after 18 months.
- Equity contribution founders: 40.000 euros
- Investment loan Belfius 36 months: 130.000 euros
- Crowdfunding MMI and others investors : minimum 120.000 euros
Use of the funds raised
- participation in development work
- Yoga equipment
- Working capital for the first 6 months
Break even year
1 September 2016