Ascend Strength & Conditioning Business Plan — Appendix A: Consolidated Financial Summary
Consolidated five-year summary: studios, capacity, members, churn, revenue by line, EBITDA, profit after tax and debt cover.
Appendix A: Consolidated Financial Summary
Jump to section
- Overview & contents
- i. Important Notice and Basis of Preparation
- 1. Executive Summary
- 2. Market and Positioning
- 3. How a Studio Actually Makes Money
- 4. Churn and the Retention Engine
- 5. SWOT and Competitive Position
- 6. Operations and the Capacity Build
- 7. Compliance and Consumer Protection
- 8. Management and Team
- 9. Financial Plan
- 10. Break-Even and Debt Service
- 11. Investment Analysis
- 12. Sensitivity and Scenario Analysis
- 13. Risk Analysis
- 14. Implementation Roadmap
- 15. Key Performance Indicators
- 16. Key Assumptions
- 17. Conclusion and Recommendation
- A. Appendix A: Consolidated Financial Summary
- B. Appendix B: Capacity and Unit Economics Schedules
- C. Appendix C: Funding, Debt and Working Capital Schedules
- D. Appendix D: Risk Register
- E. Appendix E: Glossary
|
R unless stated |
Year 1 |
Year 2 |
Year 3 |
Year 4 |
Year 5 |
|---|---|---|---|---|---|
|
Studio spaces |
2 |
2 |
3 |
3 |
3 |
|
Coaches |
5 |
6 |
9 |
9 |
9 |
|
Weekly places offered |
1 344 |
1 344 |
2 016 |
2 016 |
2 016 |
|
Timetable capacity, members |
409 |
409 |
613 |
613 |
613 |
|
Closing members |
339 |
409 |
587 |
613 |
613 |
|
Monthly churn |
8.5% |
7.0% |
5.8% |
5.0% |
4.5% |
|
Average tenure, months |
11.8 |
14.3 |
17.2 |
20.0 |
22.2 |
|
Average revenue per member, R a month |
1 090 |
1 160 |
1 240 |
1 310 |
1 380 |
|
Membership revenue |
2 683 000 |
5 356 000 |
7 393 000 |
9 245 000 |
9 775 000 |
|
Personal training |
464 000 |
871 000 |
1 125 000 |
1 331 000 |
1 336 000 |
|
Corporate wellness |
180 000 |
420 000 |
720 000 |
960 000 |
1 120 000 |
|
Joining fees and retail |
412 000 |
507 000 |
659 000 |
675 000 |
650 000 |
|
Total revenue |
3 739 000 |
7 154 000 |
9 897 000 |
12 211 000 |
12 881 000 |
|
Direct costs |
(2 703 000) |
(3 167 000) |
(4 250 000) |
(4 541 000) |
(4 508 000) |
|
Gross profit |
1 036 000 |
3 987 000 |
5 647 000 |
7 670 000 |
8 373 000 |
|
Gross margin |
27.7% |
55.7% |
57.1% |
62.8% |
65.0% |
|
Overhead |
(2 780 000) |
(3 090 000) |
(4 120 000) |
(4 440 000) |
(4 680 000) |
|
EBITDA |
(1 744 000) |
897 000 |
1 527 000 |
3 230 000 |
3 693 000 |
|
Depreciation |
(657 657) |
(716 718) |
(935 693) |
(948 407) |
(956 036) |
|
Interest |
(324 000) |
(324 000) |
(257 679) |
(182 405) |
(96 969) |
|
Taxation |
— |
— |
— |
(113 356) |
(481 572) |
|
Profit / (loss) after tax |
(2 725 657) |
(143 718) |
333 628 |
1 985 832 |
2 158 423 |
|
Cumulative profit / (deficit) |
(2 725 657) |
(2 869 375) |
(2 535 747) |
(549 915) |
1 608 508 |
|
Cash generated from operations |
(1 694 043) |
576 965 |
1 392 280 |
2 945 827 |
3 121 385 |
|
Capital deployed |
(4 339 600) |
(431 800) |
(1 716 200) |
(89 000) |
(53 400) |
|
Debt capital repaid |
— |
(491 264) |
(557 585) |
(632 859) |
(718 292) |
|
Closing cash |
1 666 357 |
1 320 258 |
438 753 |
2 662 721 |
5 012 414 |
|
Total assets |
5 425 001 |
4 853 635 |
4 803 349 |
6 206 541 |
7 663 686 |
|
Term debt outstanding |
2 400 000 |
1 908 736 |
1 351 151 |
718 292 |
0 |
|
Total equity |
2 574 343 |
2 430 625 |
2 764 253 |
4 750 085 |
6 908 508 |
|
Debt service cover |
n/a |
1.10x |
1.87x |
3.96x |
4.53x |
|
Lifetime value to acquisition cost |
2.0x |
5.3x |
7.0x |
9.4x |
11.4x |