A network of salons of Progressive format

Project description

BUSINESS PLAN

development activities “Hysterical” for 5 years until 2021.

1. Description of current business

1.1 Main areas of activities

Sale of hairdressing salon services, namely, hairdressing services, services of manicure-pedicure, brow bar, tanning Studio, sales professional cosmetics.

1.2 Competitive environment

A full-fledged competitive environment in the Salon business in Russia is only being formed. The market share of network players at the moment, no more than 5%. But now there are network players on the market of franchises of beauty salons, which shows dynamic growth.

network of beauty salons “Point of beauty”

Strengths: a private Barber College is the largest network of salons of an economy class.

Weaknesses: poorly represented in the regions, mostly concentrated in Moscow.

— a network of salons "the Strands in Order"

Strengths: strong branding, well-developed regional network.

Weaknesses: weak visualization.

network hairdressers “the Barber”

Strengths: lowest price in the segment.

Weaknesses: lack of strong marketing

2. Forecast business development

2.1 Expected development of applicable market

In the next 4-5 years in many sectors of the economy to grow and develop mainly the segment of low-cost. The same would apply to the segment of Barber shops, beauty salons. The growth forecast for the salon business in Russia 5% per year in monetary terms. The growth in network format will accelerate, will continue to form a truly competitive environment.

2.2 the company's Plans

Scaling network of hairdressers through the franchise with the highest level of automation of business processes with the remote administration system and vending system sales.

Development:

• The opening of three private enterprises in Saint-Petersburg for testing in the format of “the Barber shop without an administrator”;

• A distinctive feature of the format, it is remote administration, maximum autonomy, automation of most business processes;

• Parallel with this launch, franchise sales, mainly in the regions;

• The main channels for sales of services: — Internet marketing (social. networks, working with bloggers); — BTL activities within 1, 5-2 km away from the enterprise;

• The new enterprise network will be opened only in the form of fashion available economy or business class;

• Get more favorable terms on existing contracts with European manufacturers of cosmetics for hair to increase volume of purchases (an increase in trade margins of 15-20%);

The objectives of the project:

— Within 5 years after the start of the project to build a network of more than 100 salons of an economy format;

— Take 2% of the market of services beauty salons in Russia;

— The annual turnover of the network by the end of 2021 of 1 billion rubles.

2.3 Forecast of the key parameters of the statement of profit and loss:

2.3.1.Revenue

Assortment matrix of new objects (the four directions).

Potential customers are divided into two segments:

· Residents of nearby houses — 80%;

· Residents of other areas of the city, coming to a certain master or best promotional items -20%;

To fully comprehend both segments will allow us location hairdressing, as well as the low level of prices for services rendered.

Prices:

Average bill Barber of the new format 790 rubles.

Hairdressing services are the most popular among the population. The most promising segment is considered to be medium level, focused on the target group of the population with income up to 30 thousand rubles.

The basic principle of pricing is to reduce costs without compromising quality of materials and procedures. (the total cost of the procedure is obtained by assigning to each procedure variable costs).

2.3.2. Expenses on primary activity.

All costs are 81%.

2.3.2.1. Raw materials — 16, 5% of revenue.

The average cost of services can be kept at 16, 5%, but you can downgrade to 14, 5%. Hairdressing services with the use of products Nouvelle, the exclusive distributor in Russia is OOO "Hysterical". Due to the fact that we provide direct purchase from the European manufacturer, a given variable may change with the Euro. The strengthening of the ruble contributes to the reduction in the cost of materials used to provide the majority of hairdressing services. In other areas (browbar, manicure and pedicure) reducing the cost of materials is possible thanks to the successful search for new suppliers with better prices for the materials used during procedures, as well as receive discounts from current suppliers. These conditions will allow, including to reduce the price of services and pricing policies to make the network even more attractive to customers;

2.3.2.2. Variable costs – 35 % of revenues.

including

2.3.2.2.1. Consumables, households.costs — 1%;

2.3.2.2.2. Entertainment expenses – 1%;

2.3.2.2.3. Transportation costs – 1%;

2.3.2.2.4. OPEX, utilities – 1%;

2.3.2.2.5. The is – 5%;

2.3.2.2.6. Commission alvarinho – 1%;

2.3.2.2.7. Wage line staff – not more than 45% of the revenue.

2.3.2.2.8. Other incidental expenses – 0, 2%

The share of this variable can vary both upwards and downwards due to factors such as changing electricity rates, utilities, etc., changing fuel prices, changing the loading of vehicles used etc.

2.3.2.3.Fixed costs - 23 % of revenues.

including

2.3.2.3.1. Room rental – 11%;

2.3.2.3.2. Internet and telephony – 0, 3%;

2.3.2.3.3. Promotion of a franchise – 3%;

2.3.2.3.4. Salaries of administrative staff – 8%;

2.3.2.3.5. Taxes – 2%;

Similarly, the variable cost proportion of the variable may change both upwards and downwards, due to the following factors: the change in rents, cost of Internet and communication services, the transition to another tax regime, etc.;

2.3.2.4.Other expenses considered in determining net profit in the income statement

2.3.2.4.1. Mortgage payments – 11% of turnover.

The calculations based on the average financial performance of the company "Hysterical".

2.3.2.5.Costs that are not accounted for in the income statement

estimates of the opening of the 1st object