Surf House Okinawa

Surf House Okinawa

Business Plan

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 Surf House Okinawa

Legal Page

Confidentiality Agreement

The undersigned reader acknowledges that the information provided by Surf House Okinawa Japan,
in this business plan is confidential; therefore, reader agrees not to disclose it without the express
written permission of Surf House Okinawa Japan.

It is acknowledged by reader that information to be furnished in this business plan is in all respects
confidential in nature, other than information, which is in the public domain through other means,
and that any disclosure or use of same by reader, may, cause serious harm or damage to Surf House
Okinawa Japan.

Upon request, this document is to be immediately returned to Surf House Okinawa Japan.

_________________________ Signature

____________________________ Name (Typed or

Printed)

____________________________ Date

This is a business plan. It does not imply an offering of securities.

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Surf House Okinawa

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Table of Contents

Executive Summary..............................................................................................................................5
Organizational Overview......................................................................................................................5
The Experience.................................................................................................................................5
Mission..............................................................................................................................................6
Vision/Keys to Success.....................................................................................................................6
Legal Entity......................................................................................................................................6
Start-up Plan....................................................................................................................................7
Pricing – Admission, Tickets, Retail and Food...................................................................................9
Production/Delivery............................................................................................................................13
Human Resources and Management Summary................................................................................13
Interactive Marketing Strategy...........................................................................................................17
Financial Forcast...............................................................................................................................19

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 Surf House Okinawa

Executive Summary

My business plan is for a new surfing themed amusement venue in Okinawa Japan called the Surf
House and will give customers the chance to live out their dreams. The venue combines the wave
riding attractions along with a beach style retail shop, restaurant and bar. The wave riding attractions
are based on the standing wave technology called Flowrider. The Flowrider technology allows
people to do standup surfing as well as body boarding on a continuously flowing 3-inch sheet of
water that forms a perfect wave. These machines recreate waves that most surfers and bodyboarders
only dream of riding.

Currently there are only 2 Flowrider machines in Japan and none in Okinawa. In addition, there are
less than 8 Flowrider machines in the entire southeast with the closest one being in Greenville, SC.
Clearly, there is a huge gap in the market and it is inevitable that a Flowrider attraction will
eventually make its way to Okinawa Japan. My business plan details how to make it a reality while
turning a significant profit.

The Surf House has the potential to make a major economic impact in Okinawa since it would be
only 1 of 3 in the Japan. The Surf House could easy become the most popular attraction in the
Okinawa Japan area due to the rise in tourists and limited exciting attractions in Okinawa. The
estimated cost to build the attraction is 1 million dollars which includes a 300k land acquisition.
Once construction is complete the facility would operate all year around. The Surf House will turn a
respectable profit the first year of operation and then see exponential growth thereafter. Not only is
the Surf House an excellent financial investment opportunity but it is also an investment into the
future of the Okinawa Japan tourism industry.

Organizational Overview

The Experience

When you enter the Surf House you will be greeted by a lush tropical atmosphere but your attention
will be immediately directed toward the Flowrider where you’ll hear the powerful churning of the
water that creates the surfing wave. You’ll see patrons cutting across the wave performing
maneuvers while others line the edge of the attraction waiting their turn to drop into the wave. Some
people will be sitting at the restaurant/bar while others will be standing right in front of the attraction
cheering and applauding the participants. Of course, you’ll have friends and relatives with cameras
snapping photos and filming their friends and family members on the waves. Once acquainted with
the setting and in full disbelief that you have just witnessed someone riding an amazing wave in
Okinawa Japan you’ll look for the counter where you can sign up to do the same. You’ll start by
signing up for a session.

Each session will be 30 minutes in length and you can sign up for as many as you’d like. Once you
have picked a session you’ll sign a full release of liability waiver, pay your money and head towards
the Flowrider to await the beginning of your session. Depending on the amount of time you have to
wait you can grab a bite to eat or a drink and relax and watch the other participants. When your

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session begins you’ll have the option to use a body board or a FlowBoard. A FlowBoard is a special
designed surfboard for use on Flowriders. During the session you will alternate turns on the
Flowrider with others. Each ride will be limited to two minutes or until you wipe out in order to
maximize everyone’s experience. If you are a first time rider you will be assisted by our trained staff
who will give you a crash course in Flowboarding and help you get started. Once you learn the basics
you’ll be able to work on your technique. Want to know the best part? Every time you wipe out you
don’t have to paddle back to the wave break. All you have to do is stand up and get back in line.

What makes the experience even better? It is very safe in comparison to surfing in the ocean where
you face a number of risks. When you surf big waves in the ocean you face the risk of drowning
because you are in very deep water and conditions are highly unpredictable. Hundreds of surfers
have lost their lives surfing the barrels in Hawaii because of their massive power that pulls you
underneath the ocean when you fall. With the Flowrider you are surfing in three inches of water on
top of a padded surface so falls are much less costly. In addition, you don’t have to worry about
sharks, stingrays or coral reef. The bottom line is the Flowrider technology takes a lot of the danger
out of surfing while providing a nearly identical experience.

Mission

The mission of the Surf House is to provide a unique and fun surfing experience unlike anything else
in the region. This vision will become a reality through careful planning that will recognize possible
obstacles and develop strategies to overcome them. Our purpose will be fulfilled when we open the
gates and people flood the Surf House for a one of a kind experience that they will talk about forever.

Vision/Keys to Success

The dream would be fulfilled by the opening of the Surf House in a prominent tourist location in
Okinawa. Seeing hundreds of people ride the waves and experience the atmosphere of the Surf
House in Okinawa Japan would be a dream in itself. Many people have tried to recreate attractions or
experiences that have been successful in other areas of the country but failed to deliver the same
product. The Surf House would not be a letdown to visitor’s expectations but would instead exceed
their expectations.

Legal Entity

The Surf House Okinawa Japan will be formed as a limited liability corporation with 3 or 4 owners
having a share of the business. The LLC business entity will be chosen in order to provide legal
protection for the owners as well as tax benefits. The formation of the LLC will limit the owners
liability in most cases to just their monetary investment. The LLC will protect their personal assets as
well as prevent hostile takeovers of the company that could occur if the business was formed as a
corporation and had stock. The only downsides to the LLC formation would be possible difficulty
raising additional funds as well as transfer of ownership.

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Start-up Plan

Architectural Renderings, Construction Estimates, etc.

The first part of the startup plan will be to commission an architect to develop blueprints and
renderings of what the Okinawa Japan facility will look like. These plans and renderings will be
based on previous Surf House locations but modified to represent the layout for Okinawa Japan.
Each Surf House has its own unique features and layout and the Okinawa Japan location would be no
exception. The second part of the startup plan will be to issue an RFP and get construction bids from
three or four competing construction companies.

Site Selection

Once the renderings and a cost estimate have been completed we will identify several parcels of land
within Okinawa Japan that will make suitable locations for the venue. These parcels will then be
studied using a cost-benefit analysis to determine which one will be the best fit for the project. Ideal
locations for the Surf House Okinawa are near tourist areas such as Yomitan village, Onna village or
Nago City. Additional areas in Okinawa could be considered depending on land cost and/or
proximity to tourist areas. Land area requirements will encompass a 300 tsubo footprint with
additional leased parking areas.

Financing

Gaining financing for the attraction will be the most critical part of the project due to the cost
intensive nature of the Surf House. The venue will be financed using a mix of debt and equity with
the majority of financing through Okinawa tourism purpose bank loans.

City Approval

When everything is in place to move forward we will present an overview of the project as well as
the renderings to the city’s tourism board. Once the city has given the initial approval of the project
we will present the project to the city council for a final approval.

Construction

The Surf House will take approximately 6 months to build from ground breaking to the completion.
Phase I of construction will be leveling the land and pouring the concrete infrastructure. Phase II will
be composed of installing the Flowrider and constructing the restaurant and surf shop. Phase III will
be the final phase where restaurant equipment, electrical equipment, cash registers, shelving and
outdoor décor such as palm trees, chairs, table and benches are set up.

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Staffing

The general staff will be interviewed and hired within a 1-2 month window leading up to the grand
opening. The managing partners will be responsible for recruiting, interviewing and hiring everyone
before the start of the season.

Grand Opening

The Grand opening will be held in the March timeframe, which coincides with the kick off to the
Okinawa Japan tourist season. Flyers and grand opening invitations will be sent out several months
before the opening to local resort hotels and regional tourist agencies.

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Pricing – Admission, Tickets, Retail and Food

The Surf House will be known for its unique products and services. You will be able to buy tickets
for the Flowriders or grab a bite to eat while watching the surfers. The main offerings of the Surf
House are the Flowriders, the retail surf shop and the restaurant/ bar. Below is an outline of the
products and services offered and the pricing strategy.

General Admission - ¥500

General admission to the Surf House will be ¥500. Once inside patrons can use their ticket stub as a
¥500 voucher for buying anything within the gates of the Surf House. Most Surf Houses have free
general admission but we believe the additional revenue stream will greatly benefit our bottom line.
The gate fee will serve to generate addition income as well as promote spending within the attraction.

Flowrider Tickets

Flowrider tickets will be sold in half-hour and one-hour increments. One-half hour on the Flowrider
will be ¥2500 and one hour will be ¥4000. Each half hour or hour session will be limited to 15
people at any given time in order to maximize the ride time available to our customers. Customers
will take turns on the Flowrider and will switch each time a rider falls or reaches the two-minute time
limit.

Flowrider Double Pricing

½ Hour ¥2500

1 Hour ¥4000

Flowrider Pro Annual Pass

The Flowrider Pro Annual Pass doesn’t work like the typical season pass. Due to the cost intensive
nature of operating the Surf House it doesn’t make sense to offer a true unlimited pass. This could
cause all available time slots to be filled by season pass holders, which would virtually seize up our
revenue model. What the Surf House will offer though is a pass, which will allow you to come
between 8 a.m. and 10 a.m. Monday through Thursday for unlimited rides. This pass is for the Surf
House customer who is looking to progress their skills and enter the Surf House regional and
national competitions. The cost of the pass would be ¥30000 and valid from the date of purchase
until the close of the season just like a water park season pass.

Surf House Retail Shop

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An important part of the revenue model for the Surf House would be a surf shop that would offer
exclusive Surf House gear as well as clothing from the top surf brands. The shop will stock things
such as T-shirts, boardshorts, beach towels, sunscreen and FlowBoards.

Surf House Retail Shop Pricing Examples

Surf House T-shirt ¥2800

Surf House Beach Towel ¥2500

Hawaiian Tropic Products ¥1500

Brand Name Boardshorts ¥2800

Brand Name T-shirts ¥2800

Souvenir items ¥1500 - ¥3500

FlowBoards ¥10000-30000

Surf House Restaurant and Bar

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The restaurant and bar will be a great place to grab lunch or dinner and watch people try their hand at
the wave machines. The restaurant will offer typical American cuisine with hamburgers,
cheeseburgers, chicken fingers, hot wings, etc.

Surf House Restaurant and Bar

Tequila Lime Chicken over Rice ¥1400

Tavern Club Sandwich ¥1300

Fish Tacos with Mango Salsa ¥1500

Chicken Avocado Melt ¥1300

Coconut Breaded Shrimp with Salad ¥1500

Amazing Burgers ¥1200

Japanese Katsu Curry ¥1000

Yakitori over Rice ¥1000

Southern Thick Sliced French Fries ¥500

Beer Batter Onion Rings ¥500

Texas Style Chipotle Chicken Strips ¥800

Soft Drinks ¥400

Tea (Mango, Blackberry, etc.) ¥500

Super Good Slurpys ¥600

Bottled Water ¥300

Coffee and Expresso Drinks ¥500

Beer ¥500

Margaritas and Pina Colada ¥1000

Mixed Umbrella Drinks ¥1000

Red Bull ¥500

Surf House Okinawa Japan SWOT Analysis

A SWOT analysis for the Surf House has been conducted below that shows the general position of
the attraction relative to others in the market. The Surf House has a tremendous list of strengths and
opportunities which will allow the attraction to formulate strategies to overcome each major obstacle.

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Strengths Weaknesses

• Capitalizes on tropical island surfing theme • High cost of land and construction
which tourists like • Limited ride capacity
• 1 of 3 Surf Houses in the Japan • Flowriders can be intimidating for beginners
• Only Flowrider in Okinawa • High Cost of Electricity in Japan
• Recreates waves from exotic destinations
• Brand Recognition
• $5 dollar admission
• Central Okinawa Japan location
• Powerful marketing and interactive marketing
strategy
• Body boarding for younger children
• On site restaurant and bar

Opportunities Threats

• Government backed business loans for tourist
based businesses
• High growth of domestic and international
tourism in Okinawa
• Branding partnerships with surf companies and
other corporations
• Special events and concerts
• Operation can be affected by weather
conditions (typhoons)
• Others could open Flowriders in markets at
resort hotels or local area
• Local waterparks and watersports attractions

Production/Delivery

The main service of the Surf House is providing ride time and lessons on the
Flowriders. In order to receive that service visitors must come to the Surf House to sign up for ride
sessions and lessons. A by-product of our main service is entertainment, which is not only provided
for the rider but also people who are just watching the rides. Flowriders attract large crowds of

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people who simply enjoy watching others participate. Most people don’t get to see someone surf
waves everyday so the Surf House becomes a mesmerizing experience for many.

In addition to the Flowriders, the restaurant and bar will be another service that we provide. The
restaurant will only offer dine-in service. Customers will be able to seat themselves at any available
table on a first come, first serve basis. Once seated customers will be greeted by one of our waiters or
waitresses who will serve them for the duration of their meal. There will also be barstool seating for
those wishing to grab just a drink or a quick meal. People seated at the bar and those who wish to
place a carry-out order will be served by one of the bartenders.

Human Resources and Management Summary

The Surf House will be a major Okinawa attraction and will have regional and national appeal as
well. With that being said we will need a top-notch staff with extensive experience in
hospitality/attraction industry. Below is a list of positions that would need to be filled by the opening
date.

Management Positions

Manager - ¥1600 per hour

The manager will be responsible for overseeing the entire operation on a daily basis. Responsibilities
will include forecasting and maintaining an operational budget, review and approve marketing plans,
monitor sales and look for ways to improve service quality, and assemble and manage a high quality
team of individuals.

Restaurant and Bar Manager - ¥1400 per hour

The Surf House will recruit and hire a food and beverage manager with at least 7 year’s experience.
The F&B manager will focus solely on food and beverage operations and look for ways to increase
sales, lower cost and improve food and service quality on a daily basis. By having a manager
dedicated to food and beverage we will be able to maximize the efficiency of the restaurant and bar
without sacrificing quality in favor of dedicating time and effort to other parts of the attraction.

Surf Shop Manager - ¥1400 per hour

A surf shop manager will be hired who has previous experience managing a retail establishment. The
manager must experience in the most desirable surf apparel. He or she will oversee the sales
assistants and set daily and weekly sales goals. Responsibilities will also include attending industry
related trade shows, meeting with brand representatives and maintaining the retail side of the Surf
House Okinawa Japan web site.

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General Staff

Waiters/Waitresses, Ticket Sales, Bartenders - ¥800 per hour

Flowrider Operators / Lifeguards - ¥800 per hour

All Surf House lifeguards will be CPR certified as well as Flowrider certified in order to respond to
all emergencies. Although the Flowrider is designed to be very safe, accidents can and will happen.
The lifeguards must be trained specifically on the Flowrider machines because of their unique nature.
There will be two lifeguards stationed at each Flowrider, one designated to the top of the ride and
one at the bottom. In addition to saving struggling riders the lifeguards will be expert level
FlowBoarders who will train each new customer on how to get started riding the waves. The
lifeguards will work with new riders and train them on basic skills until they are proficient on their
own.

Job Title Salary/Hourly Rate Number of Positions

Management Positions

Manager ¥1600 per hour 1

Restaurant and Bar Manager ¥1400 per hour 1

Surf Shop Manager ¥1400 per hour 1

General Staff

Food Cooks ¥800 per hour 2

Waiters/Waitresses ¥800 per hour 2

Bartenders ¥800 per hour 2

Lifeguards Ride Operators ¥800 per hour 3

Ticket Sales ¥800 per hour 2

Total Number of Employees 14

Surf House New Employee Training

Each employee of the Surf House will attend a new hire seminar conducted by the managers at the
beginning of the season. The goal of the seminar will be to familiarize all employees with the facility
and to discuss service performance goals. The training session will include a little bit of cross
training in order for every employee to be able to answer visitor’s questions about different aspects
of the Surf House. For instance, every employee will have the opportunity to learn to ride the

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Flowrider as well as sample menu items from the restaurant. One of the goals of Surf House is to
have an enthusiast team that is excited about where they work and in turn, share that excitement with
our visitors.

Surf House Training Manual

The training manual will have a list of responsibilities and expectations for each position. In addition,
the manual will review human resource policies such as sick days, scheduling, etiquette and proper
dress.

Surf House Issued Uniforms

Position Uniform

Ticket Sales Associates

Khaki shorts, white Surf House embroidered polo

Ride Operators
Boardshorts or khaki shorts and Surf House T-shirt

Lifeguards
(Guys) Boardshorts and white Surf House Tshirt
(Girls) One-piece swimsuit or Surf House Tshirt and
cover-up shorts

Waiters/Waitresses Khaki shorts or skirt with black Surf House T-shirt or

polo
Bartender Khaki shorts or skirt with black Surf House T-shirt or
polo
*Other positions will not require uniforms but employees must abide by proper dress policies found
in the employee training manual.

Marketing Strategy

Primary Target Market

The main target demographic for the Surf House will be tourist families visiting Okinawa from
China and mainland Japan. These families are looking for an exciting way to spend their limited
vacation time in Okinawa. These tourists come from large crowded cities and are willing to pay
premium prices for tropical island entertainment.
The Flowrider appeal also has a wide tourist demographic by nature because it’s all about having fun
and who doesn’t want to have fun while on vacation? The Flowrider machines have proven to appeal

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to two distinctive tourist groups when it comes to actual participation. The first group is children
under 18 who are enthralled with bogey boarding on the machines. Flowriders around the country
and on cruise ships are swamped with kids who just want to bogey board and rarely try stand up
surfing. Stand up surfing in general is usually an activity that kids don’t pick up until they are 16 or
older.

The second major target demographic is 18-34 year old males who dominate the stand up surfing
scene. These individuals are action sports enthusiast and may also participate in activities such as
wakeboarding, snowboarding and skateboarding. While the kids who are bogey boarding are just
doing it for fun the 18-34 year old crowd is trying to perfect their skills and possibly enter
competitions.

Target Demographic Surf House Activity

Children under 18 Bogey Board

18 - 35 Males Stand-Up Surfing

Families Watching, dining at restaurant

Local Market

When opening a major attraction in Okinawa Japan you can’t forget the locals who in many cases
can fill the gaps between heavy tourism weeks.

Marketing Plan

The Surf House is an attraction unlike any other in Okinawa thus requiring a unique marketing plan
to reach our target demographics. While the marketing plan uses many staples of the Okinawa Japan
advertising world the Surf House will push the boundaries of local attraction marketing further with
an elaborate interactive marketing campaign and nationally televised competitions.

Brochures

Brochures for the Surf House would be placed on racks throughout resorta and hotela in Okinawa.
The Surf House would have a full color tri-fold brochure with a discount coupon on the back. The
brochures would also include map and GPS directions.

Interactive Marketing Strategy

A big part of the Surf House’s marketing strategy will be targeting our core audience through various
forms of social media and the internet. This includes advertising or content placement on sites such

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as Youtube, Facebook, Twitter, Google and numerous other sites. Since the majority of Surf House
visitors would be between the ages of 8 and 24 this would be the most cost effective form of
advertising to get the message out.

Web Site

A web site for the Surf House is an absolute must. The web site would consist of ticket information,
hours of operation, photos, videos, virtual tour, general information and links to our Facebook,
Twitter and Youtube accounts. In addition, the site would have an interactive web cam so people
from around the world can watch live streaming video from the attraction during hours of operation.
Web site functionality would also include online ticketing that would allow visitors to save time and
money by purchasing surf sessions in advance.

Facebook

Banner Advertising

The Surf House would buy banner ads targeting kids and young adults on Facebook located within a
200-mile radius. The ads would specifically be targeted to people who list key terms such as surfing,
beach, skateboarding, skim boarding, bogey boarding, etc in their profile. These key terms are
usually found under the interest section of one’s profile on Facebook and are an invaluable way to
target this young audience.

Fan Page

In addition, to ad placement on Facebook we would have a fan page where people could follow the
latest updates on the Surf House by becoming a “fan of the Surf House.” Each day there would be
updates posted to the Facebook page with new pictures and information about what events are
happening that day or week. Visitors to the Surf House would also be able to post their own pictures
of themselves at the Surf House onto our fan page simply by tagging us. This would also be a great
forum for the visitors and employees to interact and discuss the latest happenings or ask questions
about the venue. Each time we conduct a Facebook update it would be displayed in the news Feed of
everyone who has chosen to be a fan. This would put the Surf House at the forefront of consumer’s
minds each day.

Twitter

Twitter has become a great way to dispense updates and to gain a following for your service oriented
business. We would take advantage of this by having a twitter account that would allow Twitter users
to follow us. We would post several updates a day and offer discount codes during off-peak hours to
our Twitter followers.

Youtube

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The Surf House would post several videos a week on Youtube of the weekly competitions held at the
venue. In addition, we would post an informational video that would show first time visitors what to
expect. There would also be a series of videos posted that would teach potential visitors how to ride
the Flowrider and even some instructional videos on how to do special tricks by the pros.

Google Adwords

The Interactive marketing budget would include a monthly sum to be dedicated to promoting the
venue through Google Adwords. Adwords allows you to bid on key terms associated with your
business that users of Google search for. By bidding on the key words you can get your web site link
listed first in Google under the sponsored links column. For instance, the company would bid on
“Okinawa Japan surfing”, “Okinawa Surfing”, etc. When users searched for phrases like these or the
individual key terms they would likely see the Surf House web site link first.

Financial Forecast

OKINAWA SURF
RIDE TICKET SALES
1/1/2018 - 12/31/2018

Below Represents Riders Per Hour

TICKET SALES MON TUES WED THU FRI SAT SUN TOTAL
1100-1200 6 6 6 6 8 10 10 52
1200-1300 6 6 6 6 8 10 10 52

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1300-1400 8 8 8 8 10 10 10 62
1400-1500 8 8 8 8 10 14 14 70
1500-1600 10 10 10 10 14 14 14 82
1600-1700 10 10 10 10 14 14 14 82
1700-1800 10 10 10 10 14 14 14 82
1800-1900 10 10 10 10 14 14 14 82
1900-2000 10 10 10 10 14 14 14 82
2000-2100 8 8 8 8 14 14 14 74
2100-2200 6 6 6 6 14 14 14 66
                 
                 
                 
TOTAL 92 92 92 92 134 142 142 786
4 WEEKS PER MONTH x4 x4 x4 x4 x4 x4 x4 x4
TOTAL MONTHLY RIDES 368 368 368 368 536 568 568 3144

TOTAL TICKET SALES PER MO 3144

60 MINUTE RIDE TICKET PRICE ¥4,000
TOTAL MONTHLY RIDE REVENUE ¥12,576,000
40% reduction for Jan - Mar ¥7,545,600

OKINAWA SURF
Food & Beverage Sales
1/1/2018 - 12/31/2018

Ticketed customers spending ¥1000 each on Food & Bev

  MON TUES WED THU FRI SAT SUN TOTAL
TICKETED CUSTOMERS PER DAY   92 92 92 92 134 142 142 786
AVER FOOD & BEV PRICE   ¥1,000 ¥1,000 ¥1,000 ¥1,000 ¥1,000 ¥1,000 ¥1,000 ¥1,000
WEEKLY FOOD & BEV REVENUE   ¥92,000 ¥92,000 ¥92,000 ¥92,000 ¥134,000 ¥142,000 ¥142,000 ¥786,000
                   

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4 WEEKS PER MONTH   x4 x4 x4 x4 x4 x4 x4 x4

MONTHLY FOOD & BEV REVENUE   ¥368,000 ¥368,000 ¥368,000 ¥368,000 ¥536,000 ¥568,000 ¥568,000 ¥3,144,000

GROSS MONTHLY FOOD & BEV SALES     ¥3,144,000

GROSS MONTHLY FOOD & BEV SALES
(JAN-MAR)     ¥1,886,400
       
COST OF FOOD SOLD IS 25%     ¥786,000
COST OF FOOD SOLD IS 25% (JAN-
MAR)     ¥471,600

NET MONTHLY FOOD & BEVERAGE     ¥2,358,000

NET MONTHLY FOOD & BEVERAGE
(JAN-MAR)     ¥1,414,800

OKINAWA SURF
MERCHANDISE SALES
1/1/2018 - 12/31/2018
Based on 25% of ticketed customer spending ¥2600
MERCHANDISE PRICE MON TUES WED THU FRI SAT SUN TOTAL
OKINAWA SURF T-
SHIRT ¥2,600 ¥59,800 ¥59,800 ¥59,800 ¥59,800 ¥87,100 ¥92,300 ¥92,300 ¥510,900
OKINAWA SURF ¥2,600                

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TOWEL
SUN SCREEN
OKINAWA SURF
PRODUCTS ¥1,000     EMPLOYEE
  PAYROLL
         
1/1/2018 - 12/31/2018
T-SHIRTS ¥2,600                
BOARD SHORTS ¥3,600                
FEMALE SHORTS ¥3,600    
HOURL  
HOURS  
MONTHLY        
FLOWBOARDS ¥15,000
PAYROLL EXPENSES    
Y WAGE  
PER MO  
PAYROLL      
ANNUAL PAYROLL  
  MANAGER      
¥1,600   160  
¥256,000      ¥3,072,000  
TOTAL  
ASSISTANT MANAGER 1 ¥59,800 ¥1,200
¥59,800 ¥59,800
160 ¥59,800
¥192,000 ¥87,100 ¥92,300 ¥2,304,000
¥92,300 ¥510,900
4 WEEKS PERASSISTANT
MONTH MANAGER
  2 x4 ¥1,200 x4 160 x4 ¥192,000x4 x4 x4 ¥2,304,000
x4 x4
TOTAL SALESGENERAL
PER STAFF 1 ¥800 80 ¥64,000 ¥768,000
MONTH   2
GENERAL STAFF ¥239,200 ¥239,200
¥800 ¥239,200
80 ¥239,200
¥64,000 ¥348,400 ¥369,200 ¥369,200
¥768,000 ¥2,043,600
GENERAL STAFF 3 ¥800 80 ¥64,000 ¥768,000
GENERAL STAFF 4 ¥800 80 ¥64,000 ¥768,000
MONTHLY LIFE GUARD 1 ¥800 80 ¥64,000 ¥768,000
MERCHANDISE SALES   ¥2,043,600
LIFE GUARD 2 ¥800 80 ¥64,000 ¥768,000
MONTHLY
LIFE GUARD 3 ¥800 80 ¥64,000 ¥768,000
MERCHANDISE SALES
LIFE GUARD 4 ¥800 80 ¥64,000 ¥768,000
(JAN-MAR)   ¥1,226,160
     
COST OF GOODS SOLD
- 50% OF SALES
TOTAL MONTHLY  ¥1,021,800
COST OF GOODS SOLD
PAYROLL:   ¥1,152,000
- 50% OF SALES (JAN-
MAR)   ¥613,080
     
       
NET MONTHLY
MERCHANDISE  SALES     ¥1,021,800
 
NET MONTHLY
MERCHANDISE SALES
(JAN-MAR) TAXES     ¥613,080 ¥172,800

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 Surf House Okinawa

Sources of Capital  
Managing Partner  
Investor 1
Investor 2
Bank Loans ¥50,000,000
Total Investment  
 
Buildings/Real Estate  
Land ¥40,000,000
Building ¥20,000,000
Construction ¥10,000,000

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Other ¥0
Total Buildings/Real Estate ¥70,000,000
   
Capital Equipment List  
Furniture ¥1,000,000
Flowrider #1 ¥18,000,000
Flowrider #2 ¥0
Equipment ¥1,000,000
Other  
Total Capital Equipment ¥20,000,000
   
Admin Expenses  
Permits and Fees ¥200,000
Insurance ¥50,000
Employee salaries (6mo) ¥8,000,000
Business licenses ¥200,000
Architect Design ¥1,000,000
Total Location and Admin Expenses ¥9,450,000
   
Opening Inventory  
Surf shop inventory ¥800,000
Food and beverage inventory ¥200,000
Total Inventory ¥1,000,000
   
Advertising and Promotional Expenses  
Advertising ¥300,000
Signage ¥150,000
Printing ¥60,000
Web site development ¥300,000
Grand opening ¥100,000
Travel/entertainment ¥0
Other/additional categories ¥100,000
Total Advertising/Promotional Expenses ¥1,010,000
   
Reserve for Contingencies ¥1,000,000
Working Capital ¥1,000,000
   
TOTAL REQUIRED CAPITAL ¥103,460,000

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Surf House Okinawa

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