Page 120 - Business Plans that Work A Guide for Small Business

Operations and Development: Execution • 111

Services Offered

Company-owned stores offer laundry, dry cleaning, and storage
Although a franchise,
services on campus. We will mandate that franchisees offer Lazybones is allowing its
franchisees to add services
these core services, but we have experience with and will that they think will bring in
support several additional services for students, including but incremental revenue. Based
not limited to: bottled water, maid service, packing, and shipping. upon the experience of the
franchisees, Lazybones may
We will also remain open to suggestions from franchisees for add successful services to
additional services to offer. the nationwide system.

5.4 Facilities and equipment

Identifies geographic
Local location and criteria for
store sites
Locally, Lazybones can use inexpensive, industrial-quality space
since there is no need for an attractive storefront. For storage we rent
temporary warehouse space within 60 minutes’ driving time of campus at
discounted rates. We generally rent two warehouses, a smaller one for belongings
of students going abroad in spring semester, and a larger one for the summer
(Exhibit 5.3).

Exhibit 5.3 Local Leases

leases Monthly no. Months annual
Laundry building $3,000 12 $36,000
Storage warehouse 1 $750 6 $4,500
Storage warehouse 1 $3,500 4 $14,000
Van lease $350 12 $4,200
Annual lease total $58,700

Table nicely captures
Equipment for a new Lazybones, including washers, dryers, bar- basic rental costs for a unit.
code scanners, computers, and digital video equipment, will be This table when aggregated
leased whenever possible (Exhibit 5.4). Continental-Girbau has across units feeds the pro
forma financials. Breaking
costs by operation and
leased laundry equipment to all our locations and indicated activity helps entrepreneurs
a willingness to finance the full cost of this equipment and its develop more realistic and
installation in return for being our exclusive laundry equipment accurate projections. Loca-
tions can scale as business
supplier. dictates by adding space
(and costs).