Detailed Business Plan: Fox Fitness Company - Local Gym

This business plan outlines the strategy for establishing Fox Fitness Company, a local gym in Edgeworthtown, offering health and fitness services, including personal training and various classes for diverse age groups. The plan details the company's mission, objectives, and critical success factors, emphasizing its unique selling proposition of catering to a previously underserved market. It includes a comprehensive market analysis, competitive analysis, and marketing strategies, with a focus on creating a strong competitive advantage through excellent service and continuous innovation. The operational section covers staffing, organizational structure, and financial projections, including funding requirements, start-up costs, and anticipated profitability over three years. The plan also addresses key aspects of people, operations, and financial forecasting, demonstrating the potential for growth and profitability. The business plan highlights the strategic importance of location, high-quality equipment, and qualified staff to ensure customer satisfaction and long-term success.

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A Business Plan- local gym
Name
Institution
Submission date

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Table of Contents
1. EXECUTIVE SUMMARY......................................................................................................2
1.1. Importance of a business plan...............................................................................................2
1.2. Advantages of our services...................................................................................................3
1.3. Key aspects of people and operations...................................................................................4
2. Company description...................................................................................................................5
2.1 product or service..................................................................................................................5
2.2. Mission and objectives.........................................................................................................5
2.2.1. Mission statements.........................................................................................................5
2.2.2 Milestones.......................................................................................................................5
2.3 critical success factors...........................................................................................................6
2.4 Unique Selling Proposition (USP).........................................................................................6
2.5 SWOT Analysis.....................................................................................................................6
2.5.1 Strengths of fox Fitness Company..................................................................................6
2.5.2. Weaknesses....................................................................................................................7
2.5.3. Opportunities.................................................................................................................8
2.5.4. Threats...........................................................................................................................8
3. MARKET ANALYSIS................................................................................................................9
3.1. Research Methods Overview................................................................................................9
3.1.1. Observation:...................................................................................................................9
3.2. Industry Overview..............................................................................................................10
3.3. Target Market.....................................................................................................................10
2. COMPETITION ANALYSIS................................................................................................11
4.1 key competitors....................................................................................................................11
4.1.1. Key competing products and services.........................................................................11
4.1.2. Profile of the key competitor.......................................................................................11
4.1.3. Advantages and disadvantages of the competitors’ offerings.....................................11
4.1.4. The threat of substitute services..................................................................................12
4.2. COMPETITIVE ADVANTAGE........................................................................................12
4.2.1 Ability to offer and sustain excellent services..............................................................12
4.2.2. Creative expert staff and an ability to consistently innovate their services.................12
4.2.3. Creating a culture of continuous improvement...........................................................12
4.2.4. Access a unique supplier.............................................................................................13

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4.2.4. New technologies or systems.......................................................................................13
3. Marketing and communication strategy.................................................................................13
3.1. Marketing strategies.........................................................................................................13
5.1.1. Various levels of our services......................................................................................14
5.1.2. Positioning statement...................................................................................................14
5.2 Pricing...............................................................................................................................15
5.3 sales forecast........................................................................................................................15
5.4. Sales strategy......................................................................................................................17
5.5. Communication strategy.....................................................................................................17
5. Staffing and operations...........................................................................................................19
6.1. Organizational chart............................................................................................................19
6.2. Staffing...............................................................................................................................19
6.3. Operations...........................................................................................................................20
FINANCIAL PROJECTIONS AND KEY ASSUMPTIONS.......................................................21
7.1. Sources of funding..............................................................................................................21
7.2. Start-up costs......................................................................................................................21
7.3. Loan repayment..................................................................................................................21
7.4. Cash flow............................................................................................................................21
7.5. Income statements (profit and loss)....................................................................................21
Appendices....................................................................................................................................22
Cash flow...................................................................................................................................22
PROFIT AND LOSS ACCOUNT.............................................................................................22

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1. EXECUTIVE SUMMARY
Our business will be called fox Fitness Company, it will be located at Edgeworthtown. This
business will be offering health and fitness, training classes. Clients will opt to subscribe to
individual training or classes. Payment method will be monthly, quarterly, semi-annually and
annual subscription. We have decided to prepare a business plan before commencing the
business because of the following reasons;
1.1. Importance of a business plan
1. To raise money for the business
One of the major reasons is to raise money to start the business by attracting potential investors
and lenders. The business plan shows the entire planned financial plan and the business activities
to be undertaken. The discussions show the likelihood of success of the business.
2. To make the right decisions
A business without a business plan leads to failure. A plan gives a sense of direction as it
outlines what is supposed to be done. This business plan will help to focus on the outlined ideas
and strategies. A business plan discusses every operation and strategies needed to perform the
business; this includes management, financial matters, technology, etc
3. A business plan help identify potential weaknesses of the planned business
By analyzing the business and the target market it will be easy to identify potential weaknesses
of the business idea discussing the idea with professionals and experts will help identify any
loophole in the idea and may be lucky to get important information and advice.
4. it’s a communication tool
A business plan can communicate to shareholders that the business has a potential of secure
investment of capital from lenders. It can also be used to attract potential customers and secure
credit from suppliers.
5. It helps to set specific goals and objectives for management
A business plan outlines the managers and staff giving their roles and specifics of what they are
supposed to do in the business to keep it going. Without a business plan then the company will
be surviving by grace which should not be the case in the area of business.
6. Business plans help to decide whether the business needs to purchase or assets.
Depending on how long the business is planned to live will help the management decide whether
to buy new pieces of equipment or just lease the assets for the period of operation. The
management should also discuss on the number of assets required

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Fox Fitness Company will offer health and fitness services to its customers and also offer
nutritional advice to clients.
7. A business plan shares information about the business objectives to the management of
the company, the employees and new employees to be hired.
Makes the owners know on which portions to train their employees on.
8. It helps to come up with business alliances
The set targets for developing alliances and chosen portions of a business plan communicate with
other alliances
1.2. Advantages of our services
 Regular exercise makes the brain stay active and also the body to remain healthy
 Exercise helps to reduce the risk of suffering from chronic diseases
 It increases the levels of energy
 Leads to a healthy skin
 Helps to reduce excess weight
 Exercise makes one feel happy
 Leads to strong bones
 Market opportunity
The target location is a very good market opportunity because there is no fitness facility in the
town of Edgeworthtown. The nearest fitness facility is located at Longford which is fifteen
kilometers away from Edgeworthtown. This is a good market opportunity for our business. In
addition, there is no other business which offers fitness services to children as young as eight
years and teenagers. Fox Fitness Company will offer services to children, teenagers, and adults.
This is a unique idea for the fox fitness company and also a good competitive advantage over
other fitness companies.
Management team
The managers of the company will be the two owners of the company that’s Mr. Frank and Mr.
Tom, the other management team will consist of an accountant, a procurement officer, human
resources officer, receptionist, security guards, health and training experts and IT officer.
Management plays an important role to the success of a business because they lead all the
business operations. Our management has been selected brilliantly by checking experts in each
are specified above. The management is believed to take the business to very high levels.

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1.3. Key aspects of people and operations
The business is planning to higher experts of health and fitness to ensure high-quality services
are offered to customers. The staff to be hired should have a good relation with the customers
and also to the rest of the location in order to help market this new company to the public.
Quality operations are to be performed to ensure clients satisfaction or even exceed customers’
expectations. When the clients' expectations are exceeded they are more than happy and that fact
can help maintain our customers.
Financial forecasting has been done on statement of cash flow and statement of profit and loss
account. The forecasted data show that fox fitness company will be profitable in the next three
years according to the analysis which has been done. This is a good forecast result for a
beginning company
The target location has strategically been chosen because there is no other facility like that in that
town. Therefore, our facility is going to save the inhabitants of this area from traveling to all the
way to Longford to get fitness services.
The layout of facilities has been done strategically and in good order to ensure that the workflow
is smooth. Good suppliers will be chosen to ensure that the machines are of the highest quality
hence quality services.
1.4. Financial projections
2019 2020 2021
income 400,000 500,000 550,000
Expenses 26,260 26,260 26,260
Net profit after tax 313,941.60 397,941.60 439,941.60
Market share % 26% 27% 28%
Employment 10% 15% 16%

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1.5. Funding requirements
The company is in need of starting capital from lenders or financial institutions. Currently, the
company has planned to borrow a bank loan of $300, 000; potential investors are all welcomed
to invest in our company with an assurance of secure investments with the fox fitness company
2. Company description
2.1 product or service
Fox fitness factory is a fitness firm offering personal training to potential customers who are able
to do their sessions without guidance and also will offer fitness classes, for example, weights,
resistance training, Pilates among others. Clients will be given options of payments which will be
annual, half a year, quarterly, monthly, weekly and also daily payment method will be allocated.
This method of payment will help accommodate all our clients. Training will be in groups but
clients can also book individual classes. Clients in need of individual classes will opt to subscribe
for one, two, three or four months plan. Potential clients will receive full training and appropriate
nutrition plan for their personal importance. Our firm will also offer fitness classes to children
eight years to sixteen years which is making fox fitness factory very unique. All customers will
be offered a free trial training class.
It is planned that Fox Fitness Company will be located in Edgeworthstown. According to the
recent figures from the central statistics office, this location has a population of 2070. Currently,
382 children from a local school, St John’s are registered. For now,, the nearest gym from the
town is about 15km away so people living in this location should travel all that way to access the
facility. Providing these services at Edgeworthstown will be beneficial to inhabitants of this town
and surrounding. Fox fitness will help both physical and mental health to the clients which
include young and old.
2.2. Mission and objectives
2.2.1. Mission statements
fox fitness company’s mission is to offer satisfying services to its customers while providing
enjoyable, challenging, rewarding and individually tailored fitness experience which will cater
for children and old inhabitants of this location and the surrounding. It's our mission to ensure
that all clients who will visit us will feel that there is no other place like fox fitness.
2.2.2 Milestones
 Develop a range of sportswear with the fox fitness factory logo by partnering with a
sportswear supplier. This will increase the popularity of the company while making
training sportswear readily available to our customers.

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 Grow client base by a minimum of 5% every year starting from the second year
based on membership figures by the end of the first year. Fox fitness is planned to
grow as the number of customers increase.
 Conduct an annual review in order to use the customers’ feedback for the purpose of
adapting in line with the needs of our clients, for example, adding alternative training
classes, and providing additional training classes. Customers are our priority, their
needs will be taken of great importance to the company for us to be able to know what
to change and what to improve.
2.3 critical success factors
 A loan from a bank will be needed to purchase business pieces of equipment, for
example, weights, machines, etc. it will also be used to pay the first employees salaries
and pay rent of the premises. The factory expectations is that money generated from the
business will cover salaries and rent and also help to clear the loan acquired while
starting the business.
 It’s very important for fox fitness to identify the right supplier. The pieces of
equipment should be of high quality and also should come with a guarantee for repairs
and replacement in case of a break done among others. To get a good supplier can be a
bit expensive. Quality is expensive but worth it in the long run.
 It’s very critical to succeed in recruiting the qualified and right staff for the business.
Staff with experience of working with both young and old will be required. Employees
should be able to work with all the clients either group or individual training. Regular
training will also be provided to ensure continuous professional development of
employees and also as a way of motivating employees making them feel good at their
job and well valued by the firm.
 It’s vital for the firm to develop a fair price matching it to the potential market,
competitors prices should be considered to ensure that the firm is neither overcharging
nor undercharging its customers. The price should also be affordable by the target
market and profitable to the company.
2.4 Unique Selling Proposition (USP)
Fox Fitness Factory’s unique selling proposition of their services is that it caters for the needs of
the young people aged between the ages of eight years to sixteen years. This age bracket has both
children and teenagers. Research shows that there is no other fitness factory in Co. Longford and
surroundings currently catering for fitness training for younger members of the community aged
to as young as eight years. This will be a unique proposition in the market which will make our
company outstand.

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2.5 SWOT Analysis
2.5.1 The Strengths of fox Fitness Company
1. It offers both fitness classes and personal training.
This can encourage those who have never tried fitness sessions or those who are not comfortable
with group training to book personal training sessions. By having a variety of services to offer
fox fitness will attract many potential customers.
2. Varying payment depending on membership options.
Clients have the options of subscribing to fitness classes or personal training depending on their
needs and wants. Payment methods are also categorized to monthly, quarterly, half a year or
annually whereby a client gets services all throughout the year. This will give clients a wide
number of options to choose according to what they will like
3. Caters for children, teenagers, and adults
Fox fitness caters the fitness needs of almost all ages starting from the age of eight years which is
very unique for this firm. Teenagers who have a lot of energy and active at their age will help
them grow health by exercising.
4. The fitness industry is expanding year on year
fitness industry is expanding rapidly day after day by improving the fitness machines and also
coming up with better fitness machines which can be used by young people like children and the
old too. This will encourage the fox to meet the needs of its clients by adopting the latest
technology.
5. Will be first of its kind in the proposed location
Fox fitness being the first modern gym in the proposed location, it will be an added advantage
because clients will get better services by visiting fox fitness which will be taken to their
location. This will attract many customers from the town and the surrounding
2.5.2. Weaknesses
May be difficult to attract newcomers
People are naturally resistant to changes .it may be difficult for people to stop using their current
facilities for a new company. People may be afraid that they wouldn’t be satisfied with the new

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facilities; therefore it may be challenging to attract new customers in the location for the first
time. Winning peoples trust may take a while.
Small and unknown business/brand name
Fox fitness being a starting business is unknown to the market and also small this can make it
unpopular hence few clients because people are unaware of the brand name or even the existence
of the business facilities. People may also ignore a small company compared to the developed
facilities that they are currently using.
2.5.3. Opportunities
Attract newcomers to the fitness industry by being the first fitness studio in
Edgeworthstown.
It’s a great opportunity for a fitness company to be the first in this town because people who
have been traveling to Longford which is fifteen kilometers away from the town will be attracted
by the new firm in their town making it convenient for everyone living in that location. It will
also cut down their traveling expenses by reaching the facilities just near them.
Attract potential clients currently traveling a distance to attend fitness classes
This firm has the opportunity of attracting clients who have to travel fifteen kilometers to access
fitness facilities. The clients from that town may consider cutting down the expenses of traveling
and also save time while accessing fitness facilities. This will be a great chance for fox fitness to
get new clients.
Expand and open the second branch of Fox Fitness Factory in another area currently not
being serviced by a fitness studio the unique special services available at fox fitness of
accommodating as young as eight years can also be established in another area without a gym
studio because it has the opportunity of attracting many potential clients. Since the fox have a
unique idea it can use it to identify a similar location which does not have a fitness company to
start a branch of their company
2.5.4. Threats
Location of Longford town just 15km away containing a number of fitness studios
Clients may have developed trust and confidence with the fitness facility at Longford hence
making it hard for them to change from using their common facilities. Fox being a starting
company may not have as many facilities as the nearby fitness center which is already

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developed. This may discourage potential clients to continue using the old facility. This is a big
threat to this starting fitness company,
Opportunity for potential clients to access fitness classes through online portals
The current situation of the target location of staying without a fitness firm within the town may
have encouraged the inhabitants to start using online portals to access fitness classes. It will be
difficult to make this kind of people to start using the farms’ facilities. This will make the firm
lose potential customers.
Opportunity for potential clients to undertake home-based training
Some people may have already bought fitness facilities at home hence don’t have to access the
firm. Some people may have decided to purchase their own home facilities this is a threat to fox
company which is to be located in this area because this can lead to loss of potential clients.
3. MARKET ANALYSIS
3.1. Research Methods Overview
3.1.1. Observation:
3.1.1.1. Primary research already did
According to the primary research already taken, there is currently no fitness studio located in
Edgeworthtown. The nearest fitness studio is located at Longford which is fifteen kilometers
away from this town. From the observation made Edgeworthtown is the real deal for the fox
fitness company to shine. According to primary research, in order to determine the likely interest
of adults living in the area, a survey was sent home to the parents of 382 children in the local
primary school and was completed by 304 participants out of 382 who are mothers and
fathers.128 out of 167 are female participants which is 77% and 98 out of 137 are male
participant which is 72% showed their interest to attend a free training class which gives a strong
indication that there is a high level of interest in fitness classes among adults and children in this
area.
3.1.1.2. Primary research to be done
Teenagers, aged between 13 and 16 years who are attending the varying secondary schools in
Co.longford requested to be issued with questionnaires to establish their levels of interest.
Questionnaires also to be sent to all the foreign nationals living in the area to determine their
levels of interest in the proposed business.
Meetings to be held with leading members of local committees, organizations, sports groups, etc
e.g. local GAA club, local soccer club, Community Games, etc

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3.1.1.3. Secondary Research already was undertaken
Figures released by the Central Statistics Office from the 2016 census were accessed in order to
establish that Edgeworthstown currently has a population of 2070, of which 660are foreign
nationals. This is a good number of target populations.
Local primary school, St. John’s contacted enrolment figures. The school currently has an
enrolment of 382 children to fox Fitness Company
According to the data collected by Health and Fitness Market (2018), 50% of the Irish
population is currently physically active, many of these in own independent home fitness
facilities.
According Mintel, the Exercise and Fitness Ireland estimated consumer spending on gyms,
fitness centers, and sports club memberships was forecast to rise by 10% between 2015 and
2018.
3.2. Industry Overview
health and fitness industry is growing year after year. According to the data collected in 2018,
15% of Irish populations are currently physically active and fit, many of these owned facilities
by that time.
According to exercise and fitness Ireland , estimated consumer spending gyms, fitness centers,
and sports club memberships was forecasted to rise by 10% between 2017 and 2019
3.3. Target Market
Due to the nature of the proposed business, the target market for this business is both males and
females, young and old, who are interested in either taking up or maintaining their existing
fitness practices. Market segmentation will be based largely on the demographics of the potential
customers of this business.
• Adults - All gyms or fitness studios focus on both males and females over the age of 16. It will
be imperative that Fox Fitness Factory takes a stranglehold on this market segment by attracting
potential clients currently traveling elsewhere for their fitness classes, gym memberships, etc
while the business must also Endeavour to attract newcomers from this key market segment. It is
envisaged that Fox Fitness Factory will run men only, women only and mixed classes to cater to
the varying needs of this group.
• Teenagers - Teenagers between the age of 13 and 16 are at quite a vulnerable age. Exercise is
not always the number 1 priority among this age group and gyms and fitness studios in the
surrounding area currently make no provisions for this group. A large focus will be placed on
attracting and retaining those boys and girls between the ages of 13 and 16 for specially designed
and tailored classes with the emphasis on fun.
• Children - According to the Children’s Sport Participation and Physical Activity Study (2010),
85% of children are currently not active enough and therefore in an era dominated by smart
phones and games consoles, a big emphasis will be placed on attracting children to the specially