Tennis Club Business Plan, Marketing Plan, How To Guide, and Funding Directory
The Tennis Club Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start a Tennis Club business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.
Your Business Planning Package will be immediately emailed to you after you make your purchase.
Product Specifications (please see images below):
- Bank/Investor Ready
- Complete Industry Research for the Industry
- 3 Year Excel Financial Model
- Business Plan (26 to 30 pages)
- Marketing Plan (24 to 28 pages)
- 425+ Page Funding Directory
- PowerPoint Presentation
- Loan Amortization and ROI Tools
- Three SWOT Analysis Templates
- How to Start a Business Guide
- Easy to Use Instructions
- All Documents Delivered in Word, Excel, and PowerPoint Format
- Meets SBA Requirements
Tennis is a very popular sport within the United States, and as such many tennis clubs have launched operations in order to provide players with courts. These businesses are relatively immune from negative economic changes given that tennis is usually considered a low cost sport to enjoy. Most locations typically charge a small court usage fee coupled with some moderate other fees associated with renting equipment or via sales by having a tennis pro shop on site. One of the nice things about owning and operating a tennis club is that they are able to generate revenues from a number of different sources. First, court fees are always part and parcel of any tennis club operation. Second, these businesses will frequently have a pro shop on site that allows for sale of tennis rackets, tennis balls, shoes, apparel, and other items that are normally associated with the sport. Three, many of these locations also have a tennis pro on-site that can render lessons for per hour fees. This is another high-margin revenue center for these businesses. Four, there are usually a number of afterschool and summer camp programs that tennis clubs offer to the general public. It should be noted that some tennis clubs operate on a membership basis, and this can be highly lucrative in markets where there is a wealthier population. The recurring streams of revenue that are generated from monthly membership fees can be substantial and can drastically boost the valuation of the individual tennis club location.
Banks, lenders, and investors are all willing to put up significant amounts of capital in order to launch the operations of a new tennis club. Given that a substantial amount of this capital will be used for the acquisition of land and development of a tennis club facility – the risks associated with his investment are relatively low. In many circumstances, an entrepreneur will look to an investor to raise the equity portion needed to be use as a down payment so that a business loan can be acquired in order to develop the facility. As with all capital raising activities, a tennis club business plan should be developed and it needs to include a three year profit and loss statement, cash flow analysis, balance sheet, breakeven analysis, and business ratios page. At the time of this writing, the tennis club industry produces about $3 billion a year of revenue within the United States among about 15,000 different locations. Beyond the three year financial model, and analysis of the local population should also be included. This includes examining the population size, population density, median household income, median family income, median house values, percentage of families with children under the age of 18, as well as a thorough competitive analysis. As it relates to competition there is going to be ongoing issues relating not only to dealing with other tennis clubs but also among country clubs that have tennis court facilities as well. A substantial time should be spent examining with competitors the tennis club will face on a day-to-day basis.
Of equal importance to the business plan is the tennis club marketing plan. One of the ways that many new tennis clubs launch their operations is by developing referral relationships with elementary schools, middle schools, high schools, and community colleges within the region. Given that these educational institutions do you often maintain tennis courts on their premises – this can be a substantial opportunity to generate revenues and increase the brand-name visibility of the business by having a reciprocal relationship with these schools. Additionally, many tennis club owners will seek to develop contractual relationships that allow these institutions to bring their students to the tennis club for monthly usage. This can be one of the ways of the tennis club can reach profitability very quickly. Beyond developing referral relationships, many tennis clubs will also engage in a broad-based mail campaign that will inform the local general public of the grand opening. Specialized discounts on court usage, membership fees, and related services may be included in these mailers in order to produce a significant amount of interest in the business. Additionally, it is imperative that a tennis club maintain an expansive online presence as well. This includes not only having a very well-developed standalone website but also maintaining profiles on popular social networking platforms like FaceBook, Twitter, Instagram, and Google+. One of the nice things about the social media platforms is that they allow members and users to place reviews on the pages. If the tennis club offers outstanding customer service and they will be able to rapidly increase the brand-name visibility of the location as more and more people now use social media to find local businesses. Approximately 2% to 3% of all revenues generated by the tennis club are allocated towards ongoing marketing and advertising expenses.
Beyond the above documentation, a tennis club SWOT analysis should be developed as well. This document focuses on the strengths, weaknesses, opportunities, and threats that are faced by these companies on an ongoing basis. Relating the strengths, tennis clubs generate extremely high gross margins from all their revenue streams including court usage fees, membership fees, pro-instruction, and sales of merchandise. The operating costs, while high, are not reasonable. The barriers to entry for new tennis club are considered to be moderate. For weaknesses, these businesses do have some level of decline during times of economic recession. Playing a sport like tennis is a luxury and as such when the economy does not do as well services like tennis clubs are usually cut out people’s budgets. However, these risks are usually mitigated by the high-margin income generated from services. As it relates to opportunities, many tennis clubs are able to establish a secondary location once the initial location has reached 100% capacity. Again, the ability to raise capital for these types of businesses is significant given their low economic risk. Finally – as it relates to threats – tennis clubs really face no changes to how they will operate on a day-to-day basis. Tennis is one of the oldest sports within the United States and it remains extremely popular.