PASSIONS BUSINESS PLAN
Passions Eating Disorder Facility
Jennifer A. Liles
555 MyBusiness St.
San Diego, Ca 90031
(727) 599-7386
Jennifer.liles@pepperdine.edu
April 17th, 2009
TABLE OF CONTENTS
Business Structure
Description of Business (Page 1)
Business Organization (Page 2)
Management Team (Page 3)
The Location (Page 3)
The Market
The Product/Service (Page 4)
Market Trends (Page 9)
The Target Market (Page 10)
The Competition (Page 11)
Competitive Advantage (Page 11)
Market Share Estimates (Page 11)
Operating Requirements
Production of the Product/Service (Page 13)
Staffing and Employees (Page 14)
The Financial Plan
Forecasted Startup Budget (Page 14)
Forecasted Break-Even Analysis (Page 15) References (Page 15)
BUSINESS STRUCTURE
Description of Business
Jennifer Liles PhD., Tyler Bowman M.D. , Christina Liles, Micheal Downs, and Jack Taylor propose to start a eating disorder rehabilitation facility specializing in treatment for athletes. The business will be called Passions taking its name from the inner strength or passion to recover, found in the heart of every suffering patient. It will offer male and female treatment for anorexia nervosa, bulimia nervosa and binge eating. Passions will help athletes with eating disorders gradually build a healthy lifestyle so that they can eventually return to their sport.
All services will be executed in a 40 bed rehabilitation facility. Our facility will feature a relaxing beach style environment on 10 acres of land near the San Diego Coast.The walls throughout the patient intake and discharge area will be lined with pale blue sea shell wall paper and furnished with honey oak furniture. Through the intake/discharge area to the right you'll find the business administration and staff area accompanied by a small kitchen and dining area. The dining area breaths light into the room with large windows outlined in oak shelled lining. There are 5 dining tables, each one round seating 5 patients and a monitor. The fitness facility is on the opposite end of the hall in relation to the staff area. It is supplied with 2 treadmills, 2 bikes, mats, free weights and sports specific equipment. To get to the residence halls you must walk outside, down a cobblestone path lined with palm trees, a plethora of flowers and a small creek. The path splits into 2 directions, one leading to the girls residence and the other to the boys. The girls residence is 26 beds and the boys residence is suitable for 16 admissions. Two TV's are provided for the living room of each residence complimented by light starfish wallpaper, 2 long 10 person honey oak desks, sofas, an activity room ,a secure medication room, doctors room, and nurses area. There are 2 community bathrooms lined with rustic tile. Both male and female rooms are equipped with 3 twin beds, 3 dressers, and 3 night stands each with its own lamp. Each room is also connected to its own private bathroom, each with two sinks, a bath/shower, and large mirror. Exit through the back door and you will find a large field surrounded by large oak trees. A cobblestone path continues through the field into the dense greenery. Enveloped in nature you'll find a gazebo surrounded by a rustling creek and challenge course. The path terminates at the coast of the Pacific Ocean. Parking is available in front of the facility.
Passions will be successful because it offers a service highly demanded by the market place . High demand of the perfect body/image projected by the media, expectations in sports, school, socially or in a career, the goal of perfection, and the stress of everyday life are some of the core reasons so many young women and men have been diagnosed with eating disorders. Pressure from parents, coaches, and outside sources and authorities quiet the voices of many young children, teenagers and even adults. If a person perceives this pressure as a threat and lacks control , they must find a way to cope. Unfortunately not all coping mechanisms are healthy and can even be deadly. Millions of men and women have been diagnosed with eating disorders. Controlling what goes in and out of their body gives them a false sense of the control that they lack. Athletes diagnosed with eating disorders is very common especially in sports such as ballet, gymnastics, ice skating, wrestling, jockeying, and running. Sports revolving around certain image or weight restriction. Passions facility is unique to the marketplace in that it offers to help both men and women and also specializes in helping athletes. In an average eating disorder facility, patients must be cleared to do any physical activity starting with walking. This is a necessary precaution that should be taken. But after patients are cleared to do physical activity, a healthy program that combines sport/exercise, therapy, medicine and nutrition should be developed and implemented. Many athletes and regular exercisers plan on going back to their sport or exercising again after they finish rehab. Why not teach them a healthy way to do this while they're in a safe controlled environment, rather than just expecting them to stop their activity or readjust on their own?
Passions will provide eating disorder rehabilitation services for men and woman above the age of 13 suffering from binge eating, anorexia nervosa, bulimia nervosa and associated disorders such as over exercising syndrome. The facility will be open 365 days a year.
Business Organization
Partnership
Passions will be organized as a Limited Liability Partnership. This business structure was chosen because it will guarantee that each partner will not be liable for their partners debts and obligations. The partners of Passions with complete the filing fee for registration so that they will have a Registered Limited Liability Partnership and provide limited liability insurance. The fee for filing a LLP is $70. Limited Liability Partnership with the California Secretary of State is obligated to pay the Franchise Tax Board an annual fee of $800. Profits will be distributed equally among the partners to avoid double taxation.
Trademark
The trademark for Passions was confirmed available after submitting an application to the United States Patent and Trademark Office. This was accomplished through a lawyer. The fee to acquire a patent was $1,250 and a signature for legal purposes was necessary. After 9 months of waiting our facility received rights to our proposed symbol and title. The trademark design can be described as a large bold italicized black "P" which starts out the title Passions. The continuance of the word is in bold italicized lower case black ink on a much smaller size scale. The stem of the "P" is elongated so that our motto can be listed from the stem. Off of the stem underneath the title Passions, is listed perseverance and promise, both words using the large "P" as there first letter. Surrounding the head of the "P" is a heart slightly shaded on the left side. Two small wings project out from the sides of the heart, meant to depict the wings of angels. The title was designed to project the passion to heal, unfailing perseverance, and the promise of our facility and staff members to do everything possible to ensure our patients recovery.
Management Team
Jennifer Liles PhD., Tyler Bowman M.D. , Christina Liles, Micheal Downs, and Jack Taylor offer a unique blend of extensive knowledge and experience relative to this venture. Jennifer Liles has a PhD. in psychology and previously worked at a different eating disorder facility. Tyler Bowman M.D. is a retired neurosurgeon and is known for his renowned book "Saying Goodbye to ED." Micheal Downs is a venture capitalist who previously owned Downs Rehabilitation Hospital. He also has interest in Passions for personal reasons. Christina Liles is now a retired CEO of an insurance company. Last but not least Jack Taylor, former owner of Breegs Psychiatry Hospital in San Francisco, California. These 5 partners are highly qualified for their positions. They have knowledge, experience, interest, and characteristics for success.
The Location
Passions will be located in San Diego Ca, a population surrounded by the demands for fame, image and eating disorder facilities. Our operation will target men and women ranging from a base of 13 years old and accepting patients as old as 70 years old diagnosed with binge eating disorder, anorexia nervosa, bulimia nervosa and over exercising syndrome. Passions will market it's rehabilitation service to consumers seeking a premium service but for a moderately expensive price. The facility will be located in a secluded area near the coast. Passions has not yet been built but the architecture and landscape has been laid out for a 10 acre spot of land. Three quarters of the property will be surround by thick transplanted oak trees, various sorts of flowers and thick brush to promote privacy. The last forth of the property accesses a private beach owned by Passions. Passions landscape encloses the facility and isolates it from outsiders. It maintains a decent distance away from populated areas and traffic. The location is priced at the high-end of the real estate market. Factors such as taxes, weather conditions, competition, proximity to other medical related facilities, architecture, decor, coziness, noise, safety security, and privacy are taken into account.
Passions will be located at 555 MyBusiness St. ;San Diego, Ca 90031
Our Rehabilitation Complex location satisfies many of the key components necessary to better the accessibility and needs of our patients. Located near a big city gives us access to immediate transportation (airports, highways) broadens our market outreach, and makes our facility readily available to traveling consumers wanting treatment from other states. Situated far enough from the city to feel safe and secure, but close enough to access other fitness facilities and sport specific layouts, refill on products such as food and supplies on a regular basis, and give close living accommodations to staff. Access to the facility is through a bronze gate which outlines the facilities property. There are two parking lots, one for visitors consisting of 20 spaces and the other for staff consisting of 45 spaces. The facility is handicap accessible.
Factors that could be considered negative to the consumer are proximity to the city, ocean, and weather conditions. Our facility is hidden from society, fully air conditioned and has secure gated access to the beach. We make safety a first priority.
THE MARKET
Service
Passions will feature the following services:
Services Provided
Passions provides an inpatient and outpatient program for men and women with eating disorders. We include nutrition, exercise evaluation and rehabilitation. We are familiar with the Athlete Triad and therefore treat osteoporosis, regulate symptoms and conditions correlated and caused by the disorder. We offer massages, yoga and cooking classes. Passions offers a variety of therapeutic sessions such as cognitive, sports, art, aquatic, body image, family, animal interaction and traumatic experience therapies.
Passions staff will assist those with stiffness, pain, anxiety, depression, dizziness or syncope, hyper/hypotension, diabetes, and minor injuries.Our facility is equipped to take blood pressure, distribute medication, perform ECG testing, take X-rays, implement tube feeding and IV's.
Our facility is not a fully equipped hospital therefor any serious incidences such as stroke, seizures, failure to follow protocol, consistent weight reduction, heart attacks, and serious medical complications, will be sent to the nearest hospital. We will be affiliated with the San Diego Pride Hospital. The patient will remain there and be treated until they are cleared to return to our facility.
Passions accepts United Health Care, Blue Shield, Blue Cross, Aetna and Carefirst. Some private insurance companies are accepted although it is often difficult to get financial assistance through Health Insurance for eating disorders.
Since we are an inpatient facility, nursing staff will remain within the facility on a 24 hour basis.One M.D. is on call at a time for emergency assistance, but most likely the patient will be driven to San Diego Pride Hospital by our transportation service, if urgent care is required.
Admissions
In order to be admitted to Passions the patient must complete a telephone consultation and be prescribed for inpatient or intensive outpatient treatment by there personal medical provider. On most occasions we only accept inpatient treatment to those who have already attempted outpatient treatment . This is not only to save our clients money but also to ensure a common baseline for our patients.
Admissions into Passions facility must be coordinated with our advisor. Patients are admitted on a occupancy basis. Office hours to speak to our coordinator are:
Monday through Sunday 9am – 5pm
Passions accepts e-mails on a 24 hour basis. Responses from staff can take up to a day.
For emergency situations it is advised to call 911
Patient care will be provided twenty-four hours a day and three hundred and sixty-five days a year.
Gift Shop
Our gift shop is small and open every friday for 2 hours so that our patients can browse. We sell approved books, charms, necklaces, stationary, cards, bookmarks, and journals. Patients are able to request money from their safe 3 days before the shop opens. We also sell toiletries such as dental floss, toothbrushes, toothpaste, shampoo, soap and conditioner.
Food Service
Our kitchen staff is highly trained in preparing healthy balanced meals appropriate for the dietary requirements of our patients. Each member has been hired based upon previous work done in a hospital, nursing home, or eating disorder facility . Food products are specially bought and served by our chefs. Our source for fresh food products is the nearest Whole Foods Market. We also order some frozen items from SCHWANS. Each meal is precisely measured and prepared for each individual patient according to their dietary and caloric needs.
Advertisment
Newspapers
Magazines Brochures Cable TV Shows
Clinics Outdoor Billboards Flyer Distribution Catalog Website Lectures Newsletter Publish Articles Flyer Distribution Association Memberships
Passions will take multiple avenues to advertise:
Facebook account: Facebook is a free way to reach out to possible patients. Our target market consists of teenagers, college students, and athletes. A Facebook account can advertise across the country, spread word of our facility and it is a free.
• You Tube: The website "Youtube" receives millions of hits a day. Our website marketers will upload multiple videos including clips from the latest movies such as Twilight,sports events, and famous speeches, and advertise passions as a preview. The clip will promote and explain our facility. Youtube advertising is free and is successfully used by many websites for advertising purposes.
• The Web: Passions will have its own website. The site will be designed by a professional graphic designer. Passions website will include information about the facility, eating disorders, contact information, and FAQ's. Links to Passions website will be included on our Facebook account, You Tube, the (NEDA) National Association of Eating Disorders and (IAEDP) International Association of Eating Disorder Professionals website. Adds will be placed on health and weight loss websites. Key words such as bulimia, eating disorders, anorexia, treatment for eating disorders, ect. searched in various search engines such as Google, Yahoo and DogPile, will display our facility. .
• College and High school Newspapers: Our target population consists of a majority of high school, college students and athletes.Eating disorders are most prevalent in this age group. Passions will post advertisements in college and high school newspapers. This is an cost reasonable way to target thousands of student within this specific population.
• Television: Airing an add on television is more costly. As Passions grows in it's first couple years we are willing to bear one major expense in relation to advertising. First we will advertise on common teenage and college networks such as ABC, WB, and FOX. As our Revenue increases we will air one or two commercials on ESPN during a major sporting event. Anyone and everyone who is into sports views ESPN at some point and it is an expensive but effective way to advertise nationwide. My type of business is about success but also about getting the viewer to trust my company. Passions may take some hard hits at the beginning, but as we provide successful treatment results my company will be more highly regarded and trusted.
• Business Cards and Recommendations: Passions will consult with multiple hospitals, dentist offices, counseling centers, and fitness facilities. These companies do not contain eating disorder facilities and can advertise and recommend our facility. Eating disorders can greatly affect the health of teeth and the mind. Dentistry and psychologists offices will be effective places to advertise Passions.
• Magazines:Sports Illustrated: Passions will advertise in sports illustrated. This is a magazine viewed by athletes and a diverse population of men and women who value sports and body image. Since Passions aims to help men, women, teenagers, adults and athletes with eating disorders, placing an add in such a highly viewed magazine will help promote our facility. The Gurze: I will also place adds in "The Gurze," a highly viewed magazine by psychologists, counselors, doctors, and other facilities.
• Flyers: Passions will mail flyers to different communities,colleges, sports clubs, medical centers, psychiatrist and therapist offices and hand them out at Eating Disorder Conferences.The recipients can post them in their facilities and recommend our services to those inferring that they, or a loved one needs help. Flyers will make the public more aware of our facility, attract doctors, therapists, ect,. Flyers can catch someone's eye who doesn't need treatment but might want to refer a friend. It is an inexpensive and easy way to market our company. Demographic area wouldn't be more limited because Passions will have consultants and assistance from other areas of the country to post flyers on campuses and at local fitness center and offices nationwide.
These are Passions advertising plans. Our company will try and diversify our advertising from the internet, to TV, to magazines. A wide spectrum of advertising will cover all the bases and give our company the best chances possible to make our services known, reach out to the community, and have Passions become a successful business.
Facility Equipment
For Passions to run successfully we must have adequate supplies. Many of the small disposable items required, such as cups, bandages and tongue depressors will be bought in bulk.
Key operational items: Each room of the facility must be fully equipped. Rehabilitation equipment including mats, swiss medicine balls, dumbbells, stretch bands, sponge rollers, balance balls, massage tables, treadmills and bikes. Machines to calculate V02max gas exchange with bags, tubes, and mouth pieces. Exercise equipment, dynamometers, weighted medicine balls, diathermy units and accessories, hot and cold therapy equipment and supplies, hydrotherapy whirlpool tub, iontophoresis devices, ultrasounds, stem, massagers, medical exam tables, rehabilitation balance boards, braces, towels and water cooler. Diagnostic equipment including ambulatory blood pressure, audiometers, bone densitometer, thermometers and defibrillators.
Diagnostic medical /nurses room necessities: will contain electrocardiograph machines, exam lights, exam tables and chairs, ambulatory blood pressure machine, laryngoscopes, blood profiling instruments, chart filing cabinet, vision chart, blood pressure cuff, catheter, IV bag and stand, garbage can, biowaste container, medical robes, electrocardiograph machine, urine cups, cue tips, band aids, syringes, paper seating protection, a clock, desk, pens, alcohol swipes, stethoscope, weight and height scale, blood chemistry tubes, and needles . Sphygmomanometers, vital signs monitors, carts, compressors, centrifuges, strep/medical test, epinephrine and insulin supplements for diabetes, sterilization equipment, disinfecting solution.
Living room necessities: Couches, pillows, community blanket, desk, tables, computer, tv's, activities, cabinets, books, DVD player, movies, paper, pencils, pens, markers, crayons.
Nurses/ admissions/ accountants Office: Computers, fax/copier machine, telephones, scanner, filing cabinets, paper, pens, pencils, highlighters, note cards, diagnostic forms, fridge, patients charts, scissors, tape, calculator, paperclips, filing stands, stapler, tacks, desks and chairs.Calender, planner, telephone book, intercom.
Patients Rooms: Bed, dresser, lighting, night stand, toiletries basket, laundry basket, toilet paper, sheets and bedding, picture board.
Kitchen and dining room necessities: Chairs, tables,refrigerator, freezer, food prep countertop, food preparation equipment including stove, grill, microwave,meat slicers, coffee maker. measuring equipments, vegetable peelers, pots and pans, Tupperware, cooking utensils, can opener, kitchen timers, plates, bowls, glasses, mugs and a trash bin.
Maintenance equipment : plunger, floor cleaners, insecticides, chemicals,lawn mower,tree clippers, fertilizer, dusters,vacuums, trash cans, pest control, mops, tool kit, exit sign, alarm system, time clock.
Market Trends
The prevalence of eating disorders has doubled since the 1960's according to the Eating Disorder Coalition for Research, Policy and Action. Eating disorders have the highest mortality rate of any mental illness. One percent of females age 10 to 20 have anorexia nervosa and 3 percent have bulimia nervosa. Males account for 1 percent of eating disorders. Emerging trends consist of younger populations diagnosed with eating disorders as young as 6 years old and incidences of eating disorders are increasing among diverse ethnic groups.
• 42 percent of 1st-3rd grade girls want to be thinner
• 9 percent of nine-year-olds have vomited to lose weight and
• 13 percent of highschool girls purge.
Psychological issues such low self-esteem, distorted physical image, depression, anxiety, and insecurity are only a few of the reasons an estimated 8 million women and 1 million men suffer from bulimia and anorexia nervosa in the United States alone. Another 25 million suffer from binge eating. A dangerous trend has started to emerge of diabetics manipulating insulin to lose weight. Manipulating insulin increases the risk of mortality in sufferers of anorexia nervosa from 20 percent to 30 percent.
• Eating disorder facilities continue to experience a growing demand. Market trends have showed a gradual increase in the incidence rate of eating disorders over the past 2 decades. It is hard to tell whether there are actually more cases, or if people are just being more open about the disorder. Only 10 to 20 percent of females receive treatment . There is no data for males. A few reasons that so few people are treated are social embarrassment, secrecy of the disorder,time and cost. Passions focuses not only on treatment but also on awareness and research. Our company believes that if society becomes more aware of the seriousness of eating disorders, insurance companies may contribute more to inpatient treatment costs, and more people will seek out and obtain treatment. Insurance companies give little attention to eating disorder treatment. They are often considered a barrier to prompt and deny coverage. Passions goal is to petition the current system and increase availability of insurance coverage for disordered treatment.
The Target Market
Passions will target the highschool, college and athletic population market seeking eating disorder rehabilitation services Age acceptance range starts at age 13 and above. People will be drawn to our facility because of the unique services offered, projected high recovery rates, highly certified staff , friendly environment, integrated religious aspect, and ideal location.
Passions will target teenagers, college students and athletes. This population is most prevalent with anorexia nervosa, bulimia nervosa, binge eating, and over exercising. The Department of Mental Health states that only 1 in 10 people receive treatment. A study by the National Association of Anorexia Nervosa and Associated Disorders reported that 5-10% of anorexics die within 10 years of the onset of the disease, 18-20% will die within 20 years, and only 30-40% will recover. The mortality rate from anorexia nervosa for females age 15-24 is higher then any other cause of death. Eighty percent of females don't receive treatment. A large factor is the cost. Inpatient treatment can cost $500 to $3,000/ day, followed by outpatient and follow-up treatment costs. It can also take an estimated 3-6 months of inpatient care to maintain recovery. Total cost amounts quickly. This is why our company will promote awareness, contest insurance policies and work with health industries to re-evaluate coverage.
In the United Stated alone, 3 people will die from eating disorder complications.Our goal for Passions is to contribute to decreasing this number. Men and women ages 13 and above have the ability to be admitted into Passions. Our facility admits patients on a case by case basis. A medical history and symptom telephone consultation must be completed to determine the seriousness of the disorder and whether inpatient treatment would be their best option (before outpatient, or intensive outpatient treatment.) This process is to ensure the most serious cases are admitted first and to suggest less expensive options available to clientele if applicable. Our facility is unique in that it works with athletes and males, a service uncommon, if not offered at all, across the United States. Our program also targets professional athletes that would like to return back to their profession. This program is very specific, requires intensive treatment, and integrates a healthy way to live, train and maintain proper nutrition. This exercise integration program requires a longer stay at Passions facility. The prevalence of men with eating disorders has become more common. Passions will work with men and women to build self-esteem, confidence, resolve traumatic issues, image insecurities, and find their voice in this world. Passions will open the eyes of many to the life they strayed from or never knew existed.
Passions will be promoted nationally even though it will be geographically located in San Diego, Ca. The goal of our partnership will be to pay off all investors within the first 6 years, make large gains within the next 10 years, and expand thereafter. From a business standpoint, eventually sell the company for large financial gains. A majority of our clientele will be located within a close proximity, but the unique services offered and success of our business will attract people nationwide.
Our targeted staff will consist of M.D., PhD. MFT, clinical sports psychologists ect. who have graduated at the top of their class, are highly trained for the specific areas our company requires, and have had at least 5 years work experience. They will participate in a 6 week training process by our facility.
Our targeted Limited Liability Insurance carrier and Health Insurance carrier will be United Health Care and Blue Cross.
Competition
Our analysis indicates a competitive marketplace in relation to the prevalence of eating disorders in the United States. There are an estimated 80 to 90 inpatient eating disorder facilities spread throughout the US. There are about 8 facilities within a close proximity to our location. Highly recommended facilities such as Remuda Ranch, Renfrew, Avalon Hills, Monte Nido, Castlewood, ect. have experience, longevity and success rates which our company will not have from the start and will need to produce. Our company will offer services uncommon to many other facilities such as sports rehabilitation with eating disorder treatment and treatment for males. Our location on San Diego beach, variety of therapies and programs offered and respectable staff , benefits our company with regard to competition in many ways.
Our most direct competitors relative to our San Diego location are Harmony Grove, Remuda Ranch, Health Within, Victorian and Mandometer . These are inpatient eating disorder facilities for women. Indirect competition will come from various treatment centers around the country.
The Competitive Advantages
To compete Passions will have a differentiated program that offers unique, highly qualified and specialized services scarcely found throughout the market. Passions has done much research and has planned to fill the gaps that so many other facilities have overlooked. Integrating sports rehabilitation and recovery through active treatment are key components to many patients full recovery (especially with our targeted population.) These gaps represent opportunities for our operation to be successful and will be the foundation for our competitive advantage in this marketplace.
MARKETING & SALES STRATEGY
Pricing and Positioning
Passions primary pricing objective will be to capture, build, and maintain market share. The market will be competitive and the cost of treatment is expensive. Our companies continuous service offerings will reflect our cash flow and be adjusted with rising and falling profit margins.
Shares and Sales
Passions facility is projecting sales of around $10,800,000 during our initial year of operation. Relative to industry averages our facility estimates to be under the average and make profit after the first year. Our revenue goal is very feasible relative to the local San Diego market. Our sale projections for Passions will be within our reach over time.
The average operation will have gross annual sales of $30,000,000 and we are projecting sales of $10,800,000 during our initial year of operation and hopefully building up to a revenue stream of around 23,000,000 after 5-6 years. The current economy has been poor but has not had a great affect on the medical/healthmarket seeing that people constantly require treatment for a variety of conditions. When treatment is required people will pay for it. Our company will try our best to provide affordable financing options so that each person can get the help they need. One of the biggest issues related to acquiring treatment is insurance coverage. Insurance companies rarely support financing for eating disorder treatment because there has been a constant debate in reference to the severity and necessity of treatment. Average annual sales cannot be included at the time because we commencing our first year of business, but we project negative profit the first year and an increasing revenue stream as we hit 4-5 years and expand to our 40 bed potential.
Relative to industry wages in the area our projections seem moderate. Our sale projections for the business are well within reach in the near-term.
Most sales will be check, credit and insurance transactions. All major credit and debit cards will be honored.
OPERATING REQUIREMENTS
Production of the Service
The over-all business management and operational components of Passions will be the responsibility of Jennifer Liles PhD., Christina Liles, Tyler Bowman M.D., Micheal Downs, Jack Taylor will supervise the quality of our service delivery.
Our 20,000 square foot facility requires air conditioning/heating, running water and electricity to supply all dwellings, offices and community rooms
.Occupancy: 40 patients, 200 people overall.
Staffing and Employees
Medical staff and employess: Staff: Nurses, Psychiatrist,Physician, Sports Physician, Accountants,Consultants, Eating Disorder Psychologist, Sports Clinical Therapist, Family Therapist,Cooking Staff, Nutritionist Trainer, Pharmacologist, Maintenance,Special Services, Recreation Help,Medical Biller
Medical Center Director
THE FINANCIAL PLAN
Forecasted Start-up Budget for Passions
As of (04/27/08-04/27/09)
Assets:
Cash $2,000,000
Savings/Checking Accounts $9,500,000
Stocks, Bonds, Mutual Funds and Other Securities $10,500,000
Life Insurance Cash Value ( For Owners) $4,000,000
Hospital and Personal Items of Worth $30,000
Autos/Other Vehicles $40,000
Real Estate (Home and Investment Property) $5,000,000
Vested Pension Plan/Retirement Accounts $500,000
TOTAL ASSETS: $29,570,000
Liabilities:
Personal Loans ( To bank and Investors) $28,000,000
Taxes Payable (Project 10% of Profit before Taxes over 6 years) $1,030,000
Real Estate Mortgage(s) $7,200,000
TOTAL LIABILITIES: $36,230,000
Net Worth (Assets Minus Liabilities) $-6,660,000
Personal Income and Expenses
Annual Net Income
Capital Gains (Losses) $1,000,000 Self-Employment Income $550,000
Employer Partners (4) $2,000,000 Pensions $500,000 Bonuses $50,000
Interest & Dividends $1,000,000
Total $5,100,000
Annual Expenses
Taxes $1,000,000 Housing (Payment/Yearly x 1) $300,000
Food (Amount/week x 52) $20,160 Electricity $18,000
Clothing $9,000 Oil, Gas $30,600
Insurance (Homeowners & Property) $60,000 Water $21,600
Medical Insurance $300,000 Maintenance $120,000
Telephone $23,000 Auto Payment.(2 Cars, Yearly Cost) $10,800 Real Estate Taxes $400,000 Auto Gas, License & Repairs $3,650
Auto Insurance $2,750 Personal Loan Payments $2,000,000 Major Appliances/Purchases $35,000
Doctor (All Medical Staff) $5,040,000
Medicine $182,500 Vacation $250,000
Total $9,827,060
Forecasted Break-Even Analysis
Passions estimates to break even after 6 years. If our company has the success we expect, bank and personal loans will be paid off at the end of 6 years. Profit will increase with increased occupancy.
References
http://en.wikipedia.org/wiki/Business_plan
Business Plan Pro
www.nationaleatingdisorders.org/
http://www.medmarketplace.com/diagnostic-devices/6.html
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