Executive Summary

Roller Skating Rink LLC was founded by Christopher Brown in New Orleans. The business offers public roller skating sessions, private event rentals, and skate rentals and sales. Its unique business model combines fun, community events, and retail in one location. The rink provides a safe and friendly environment for all ages. Its value lies in creating memorable experiences and promoting active lifestyles. The company aims to become the top roller skating destination in New Orleans.

Mission

To provide a fun and safe place for people to enjoy roller skating. We aim to create a friendly environment where everyone can have a good time. Our goal is to promote healthy activity and social connection through skating. We value safety, cleanliness, and customer happiness. We want to inspire fun and a love for skating in our community. We are committed to offering great service and affordable pricing. Our mission is to be the go-to spot for recreation and joy through roller skating. We believe everyone should experience the joy and health benefits of skating.

Vision

To become the leading roller skating rink in New Orleans. We aim to create a fun, safe, and welcoming place for everyone. We want to inspire active lifestyles and build a strong community. Our goal is to offer the best skating experience with excellent service and a friendly atmosphere. We plan to grow and innovate, bringing new events and activities. We want to be known for quality, fun, and community spirit. Our vision is to be the top choice for recreation and enjoyment in New Orleans now and in the future.

Industry Overview

The recreational roller skating industry in New Orleans is a small but growing market. It includes skating rinks, outdoor skating parks, and mobile skating events. The industry earned about $5 million in revenue in 2023. The market has grown at an average rate of 4% per year over the past five years. This growth is driven by increasing interest in fitness and outdoor activities.

Main segments include indoor skating rinks, outdoor skating parks, and skating events. Indoor rinks make up about 60% of the market, while outdoor parks and events account for the rest. The industry attracts mostly teenagers and young adults, but families are also interested.

The industry faces competition from other entertainment options like gyms and movie theaters. However, it benefits from nostalgia and the popularity of roller skating events. Local businesses and entrepreneurs are investing in new skating facilities.

Overall, the recreational roller skating industry in New Orleans is steady and has potential for further growth. It offers affordable entertainment and promotes active lifestyles in the community.

Financial Highlights

Revenue Sources

- Public Roller Skating Sessions: approximately 50% of total revenue
- Private Event Rentals (birthday parties, group events): approximately 30% of total revenue
- Skate Rental Fees: approximately 10% of total revenue
- Concessions and Food Sales: approximately 5% of total revenue
- Merchandise Sales (skates, apparel, accessories): approximately 3% of total revenue
- Special Events and Themed Nights: approximately 2% of total revenue

Cost Breakdown

Variable Costs:
- Skate rental fees (e.g., 20%)
- Concession supplies (snacks, drinks) (e.g., 10%)
- Staff wages for hourly employees during open hours (e.g., 15%)
- Cleaning supplies and maintenance (e.g., 5%)
- Marketing/promotional materials tied to events or volume (e.g., 3%)

Fixed Costs:
- Rent or mortgage for the facility (e.g., 25%)
- Insurance premiums (e.g., 8%)
- Salaries for full-time staff (managers, administrative staff) (e.g., 7%)
- Utilities (electricity, water, internet) (e.g., 5%)
- Depreciation on equipment and facility (e.g., 5%)
- Licenses and permits (e.g., 2%)

Break- Even Analysis

This is the intersection of your total revenue and total cost. The point at which both meet is the point of break-even where your revenue becomes equal to cost. Your business becomes profitable beyond this point. Learn more about break-even analysis.

Ask

The Roller Skating Rink LLC is seeking $750,000 and is planning to spend the amount in the following way:

Investment & Capital Expenditure Breakdown

This involves capital investment through debt or equity. Capital expenditure includes the acquisition of fixed assets and intangible assets. You can explore Capital Expenditure (CapEx) Definition, Formula, and Examples.

Business Valuation

The following valuation has been done using the DCF method.

Business Description

Business Name: Roller Skating Rink LLC

Founder: Christopher Brown

Management Team:

Legal Structure: LLC

Location: New Orleans

Products:

• Public roller skating sessions
• Private event rentals
• Skate rentals and sales
• Skating lessons and classes
• Themed party packages
• Concession stand with snacks and beverages

Business Model

Key Partners
- Local schools and youth organizations
- Equipment and skate suppliers
- Event promoters and entertainment providers
- Local government and tourism boards
- Maintenance and cleaning service providers

Key Activities
- Operating daily skating sessions and themed events
- Renting and selling roller skates and accessories
- Providing skating lessons and safety workshops
- Hosting parties, competitions, and special events
- Marketing and community engagement

Value Proposition
- Fun, inclusive recreational space for all ages in New Orleans
- Safe environment with skilled staff and safety gear
- Unique themed events and local cultural integration
- Affordable family-friendly entertainment
- Promotes health, fitness, and social interaction

Customer Relationships
- Friendly, personalized service and safety guidance
- Membership programs and loyalty rewards
- Social media engagement and community events
- Regular newsletters and updates
- Customer feedback and improvement initiatives

Customer Segments
- Families and children seeking recreational activities
- Teenagers and young adults looking for entertainment
- School groups and youth organizations
- Tourist visitors interested in local experiences
- Fitness enthusiasts and local skating clubs

Key Resources
- Skating rink and facilities
- Skates, safety gear, and maintenance equipment
- Trained staff and instructors
- Marketing and booking platforms
- Branding, signage, and promotional materials

Channels
- On-site at the skating rink
- Website and online booking system
- Social media platforms (Facebook, Instagram)
- Local advertising and partnerships
- Event collaborations and community outreach

Costs
- Facility rent and maintenance
- Equipment procurement and upkeep
- Staff wages and training
- Marketing and advertising expenses
- Utilities, insurance, and licensing

Revenue
- Ticket sales for daily admissions and special events
- Rental fees for skates and safety gear
- Merchandise and concession sales
- Membership and VIP packages
- Hosting private parties and corporate events

SWOT

Strengths
- Unique entertainment option in New Orleans, attracting locals and tourists.
- Nostalgic appeal with broad demographic reach.
- Potential for community engagement and events.
- Flexible space for multiple activities and rentals.

Weaknesses
- Seasonal fluctuations affecting attendance.
- High startup costs for equipment and venue setup.
- Limited brand recognition initially.
- Dependence on weather conditions for outdoor skating.

Opportunities
- Partnering with local schools, festivals, and events.
- Expanding into birthday parties, corporate events, and lessons.
- Leveraging tourism by offering guided city skate tours.
- Developing merchandise and membership programs.

Threats
- Competition from other entertainment venues and outdoor activities.
- Safety concerns and liability issues.
- Economic downturns reducing discretionary spending.
- Negative weather impacting outdoor operations.

Organizational Overview

Founder

Christopher Brown

Christopher Brown is the founder and CEO of Roller Skating Rink LLC. Roller Skating Rink LLC was established in 2022 and headquartered in New Orleans. Christopher Brown brings valuable expertise to his role with over a decade of experience in the industry.

Christopher Brown established Roller Skating Rink LLC to address challenges in the rapidly evolving field. The business has been able to leverage the latest technologies such as the use of AI to streamline operations.

Christopher Brown leadership style emphasizes collaboration and continuous learning. Christopher Brown actively fosters a company culture that encourages creativity and innovation amongst team members. Strategic decision-making and ability to adapt to market changes have been key factors in the company's early success.

Organogram

Salaries

Owner/Manager ($50,000 - $70,000 annually): Oversees daily operations, manages staff, handles budgeting, marketing, and customer relations. Ensures safety standards and maintains facility quality. Responsible for strategic planning and growth initiatives. In New Orleans, salary may vary based on experience and rink size.

Assistant Manager ($30,000 - $40,000): Supports the owner in operational duties, staff supervision, and customer service. Manages daily schedules, resolves customer complaints, and ensures safety protocols. Acts as acting manager in owner’s absence. In New Orleans, typical salary reflects industry standards for mid-level management.

Operations Staff ($20,000 - $25,000): Handles day-to-day activities such as skate rentals, cleaning, maintaining the rink surface, and assisting customers. Ensures a clean, safe environment. May also oversee entry and exit points. Salary depends on experience and hours worked.

Skate Attendants ($10 - $12 per hour): Responsible for renting skates, assisting customers with fittings, and maintaining skate inventory. Ensures rental equipment is clean and in good condition. Provides basic customer assistance and enforces safety rules. In New Orleans, hourly wages align with local minimum wage laws.

Event Coordinator ($35,000 - $45,000): Plans and executes special events like birthday parties, themed nights, and group outings. Coordinates with vendors, manages bookings, and promotes events. Ensures event safety and customer satisfaction. Typically requires experience in event management.

Marketing & Social Media Specialist ($30,000 - $40,000): Manages online presence, develops promotional campaigns, and engages with the community to increase attendance. Creates content for social media, manages advertising budgets, and tracks marketing performance. Important for community engagement in New Orleans.

Cleaning & Maintenance Staff ($10 - $15 per hour): Responsible for facility cleanliness, equipment maintenance, and safety inspections. Ensures the rink remains hygienic and operational. In New Orleans, wages are aligned with local minimum wages.

This structure provides a comprehensive team suited for a recreational roller skating rink, ensuring operational efficiency and a positive customer experience.

Industry Analysis

[Recreational roller skating is a popular activity enjoyed by many people of all ages. It is often done in skating rinks, parks, or outdoor paths. The industry is driven by fun, fitness, and social interaction. Key players include rink operators, skate manufacturers, and retail stores selling skates and gear. New designs and better materials have improved skate quality. Trends show a rise in outdoor skating and family-friendly events. Technology has introduced safety gear and stylish skate designs, attracting more enthusiasts. The industry faces competition from other fitness activities but benefits from nostalgia and a growing interest in active outdoor hobbies. Overall, the market thrives on community events, new skate styles, and a focus on health and fun.]

Global Market Size

Industry Trends

The recreational roller skating industry in New Orleans is growing. Many people enjoy skating for fun and exercise. New trends are shaping the industry.

Technological innovations are helping. New roller skates have better wheels and lighter frames. Some skates include LED lights for fun. Online booking and social media help skaters find events and share their experiences. Virtual reality is starting to be used for training and entertainment.

Consumers prefer more diverse options. Younger people like stylish and colorful skates. Many want skates that are comfortable and easy to wear. Fitness skating is popular for exercise. Skaters also like themed events, like costume nights or skate parties.

Skating rinks are upgrading. They add music, lighting, and safety features. Some rinks are open late for nightlife. Mobile apps help with reservations and track skating progress. Skaters enjoy community events and competitions.

The industry faces new rules and regulations. Safety is very important. Rinks must follow health guidelines, especially after COVID-19. Masks and sanitizing stations are common. Some areas require safety gear like helmets and pads. Local authorities check for safety standards regularly.

Environmental concerns are growing. Rinks look for eco-friendly materials and energy-saving lighting. Recycling and waste reduction are encouraged. Some rinks use solar panels and energy-efficient systems.

Community involvement is key. Many skating businesses support local schools and charities. They offer discounted rates for students and community groups. Events celebrate local culture and music, attracting more visitors.

Economic factors also affect the industry. The pandemic caused closures and reduced attendance. Now, more people are returning to skating. Prices are staying steady, but some skates and gear are more expensive. Rinks try to keep costs reasonable to attract families.

Overall, the recreational roller skating scene in New Orleans is lively. New technology, changing consumer tastes, and safety rules shape its future. More people are enjoying skating as a fun, healthy activity. Businesses keep adapting to new trends to stay popular.

Market Segmentation

• Geographic Segmentation: The Recreational Roller Skating industry in New Orleans primarily targets neighborhoods with active, family-oriented, and youth-dense populations. Prime locations include the French Quarter and the Central Business District due to high tourist foot traffic and visibility. However, more strategic areas are the residential neighborhoods such as Lakeview, Metairie, and Gentilly, which feature young families and active community groups. The Mid-City area also offers a mix of diverse demographics and recreational spaces that attract skaters. Suburban areas like Kenner and Harvey provide larger residential zones with ample space for outdoor skating events and facilities. The Garden District and Uptown areas, known for their affluence and active lifestyles, are ideal for premium or boutique skating experiences. Neighborhoods with parks, community centers, and youth programs, such as Algiers and New Orleans East, offer additional opportunities for outreach. These regions collectively encompass demographic groups including families, teenagers, and young adults seeking recreational activities. Accessibility via major roads and public transportation enhances reach. Overall, the industry focuses on neighborhoods with high population densities, active lifestyles, and community engagement, aligning with the demographic’s interest in leisure, fitness, and social activities.
• Demographic Segmentation: The demographic segmentation for the Recreational Roller Skating industry in New Orleans primarily targets diverse age groups, income levels, and lifestyle segments. The core audience includes children and teenagers aged 5-17, who are attracted to public skating sessions, school outings, and birthday parties, often from middle-income families seeking affordable recreation. Young adults aged 18-34 represent a significant segment, drawn to social events, private rentals for parties, and group outings, typically with moderate to higher disposable incomes. Families with children from all income brackets participate, especially during weekends and holidays, seeking family-friendly entertainment. Adults aged 35-54 may engage less frequently but are attracted to special events or private rentals for celebrations, often with higher income levels. Income-wise, the industry appeals to a broad spectrum—from middle-income households seeking affordable leisure options to higher-income groups interested in exclusive private events and premium skate sales. Educational levels vary, with a mix of students, working professionals, and families. Geographic factors also influence demographics, with residents of New Orleans and surrounding suburbs participating actively, especially in neighborhoods with accessible transportation. Cultural diversity in New Orleans adds to the demographic complexity, with multicultural communities engaging in skating as a recreational activity. Additionally, tourists visiting the city may participate in public skating sessions, expanding the demographic scope temporarily. Overall, the industry’s target demographics encompass a wide age range, various income levels, and diverse cultural backgrounds, with tailored services appealing to both casual skaters and dedicated enthusiasts.
• Psychographic Segmentation: Psychographic segmentation for the recreational roller skating industry in New Orleans targets active, fun-loving individuals who value community, self-expression, and health. Customers often seek social experiences, enjoy music and lively atmospheres, and prioritize entertainment and leisure. They may be nostalgic or trendy, appreciating retro styles or modern, fashionable skates. Values include fitness, creativity, and social connection. Preferences lean toward family-friendly, inclusive environments or energetic venues with themed events, dance nights, and live music. This segment appreciates vibrant, culturally rich experiences that blend recreation with social bonding, reflecting New Orleans' lively, diverse culture and emphasizing enjoyment, personal expression, and community engagement.
• Behavioral Segmentation: Behavioral segmentation for the Recreational Roller Skating industry in New Orleans includes frequent skaters with high usage rates attending weekly events, casual skaters visiting monthly or seasonally, and first-time participants. Purchase patterns vary from regular memberships and group bookings to individual drop-in sessions. Loyal customers often participate in special events, birthday parties, or family outings, demonstrating high engagement and repeat visits. Occasional skaters may only visit during festivals or holidays. Loyalty characteristics include membership retention, attendance consistency, and participation in loyalty programs or discounts. Seasonality influences usage, with peaks during festivals and summer, underscoring the importance of targeted marketing to different behavioral segments.

Market Size

Marketing Plan

Overview

The marketing plan for the roller skating business in New Orleans focuses on both digital and traditional methods. Online, the business will use social media platforms like Facebook, Instagram, and TikTok to share fun videos and photos. This helps attract young people and families. A website will be created with opening hours, prices, and event info. Local online directories and Google My Business will improve visibility.

For traditional marketing, the business will put flyers and posters in local shops, schools, and community centers. Partnering with schools for special skating days can bring in groups. Local newspapers and radio stations will be used for ads and announcements. Hosting grand opening events and skate nights will generate buzz.

Special promotions, like discounts for students or birthday parties, will attract new visitors. The business will also encourage word-of-mouth by offering excellent service. Overall, combining online presence with local outreach will help the skating rink grow and become a popular spot in New Orleans.

Annual Marketing Budget

Promotional Channel Budgets

Marketing Channels

Marketing Plan for Roller Skating Rink LLC

1. Digital Marketing
- Create a user-friendly website with hours, prices, and booking options.
- Use social media platforms like Facebook, Instagram, and TikTok to share fun videos, photos, and events.
- Run targeted ads on social media to reach families and teens.
- Send monthly emails with special deals, events, and discounts.
- Encourage customers to leave reviews on Google and Yelp.

2. Local Advertising
- Distribute flyers and posters in nearby schools, community centers, and local shops.
- Advertise in local newspapers and radio stations.
- Offer special promotions for first-time visitors or group bookings.
- Host themed nights or events to attract different age groups.
- Sponsor or participate in local festivals and community events.

3. Business Partnerships
- Partner with schools for field trips and after-school programs.
- Collaborate with local businesses for cross-promotions, like discounts for employees.
- Work with birthday party planners to offer exclusive packages.
- Team up with sports clubs or youth organizations for joint events.
- Offer loyalty programs or memberships to encourage repeat visits.

Overall, focus on engaging content online, reaching out to the community locally, and building strong partnerships. Consistent messaging and fun events will attract more visitors and grow the business.

Brand Management

Create a clear brand identity. Use bright colors, fun logos, and a friendly tone. Make sure your name and logo are easy to remember. Show that your rink is safe, fun, and family-friendly.

Develop consistent messaging. Use the same words and style in ads, social media, and signs. Highlight key benefits like safety, fun, and community. Share stories of happy customers and special events.

Focus on customer experience. Offer clean, well-maintained facilities. Train staff to be friendly and helpful. Create a fun atmosphere with music, lights, and themed nights. Encourage customer feedback and improve based on it.

Use social media to connect. Post pictures, videos, and updates regularly. Run promotions and contests to attract new visitors. Partner with schools and local groups for special events.

Build loyalty. Offer memberships, discounts, and loyalty cards. Celebrate customer birthdays and milestones. Create a welcoming environment that makes visitors want to return.

Monitor your brand. Ask customers for reviews. Keep an eye on competitors. Adjust your strategy to stay fresh and relevant.

By being consistent, fun, and customer-focused, Roller Skating Rink LLC will build a strong, recognizable brand that keeps visitors coming back.

GTM Strategy

Roller Skating Rink LLC GTM Strategy

Target Market: Families, teens, and young adults looking for fun and exercise.

Pricing Strategy: Offer affordable entry fees. Use discounts during off-peak hours and special days. Provide group rates for parties and events. Introduce memberships for frequent visitors with monthly or yearly fees.

Distribution Channels:
- Physical location at the rink.
- Website for booking and information.
- Social media platforms to reach local audiences.
- Local advertising in schools, community centers, and malls.
- Partnerships with schools and youth groups for events.

Promotional Approach:
- Launch with a grand opening event with free skating or discounts.
- Use social media ads, posts, and videos to showcase the fun atmosphere.
- Offer referral discounts: give rewards for bringing friends.
- Host themed skate nights (e.g., 80s night, costume night) to attract different groups.
- Create loyalty programs: points or rewards for frequent visits.
- Collaborate with local influencers and community groups.
- Send newsletters with updates, special offers, and upcoming events.

Additional Tips:
- Focus on safety and cleanliness to build trust.
- Keep the environment fun and family-friendly.
- Regularly update promotions to keep customers engaged.
- Gather feedback to improve services.

This simple approach will attract new customers, keep existing ones happy, and grow the business steadily.

Implementation & Timeline

Pre-launch (Months 1-2)
- Research target audience and competitors.
- Create branding and logo.
- Develop website and social media pages.
- Design marketing materials.

Month 3
- Secure location and set up the rink.
- Hire staff and train them.
- Plan grand opening event.

Month 4
- Launch social media accounts.
- Start teaser campaigns and promotions.
- Test equipment and safety measures.

Month 5
- Continue advertising locally.
- Offer pre-opening discounts.
- Finalize staff schedules.

Month 6
- Host grand opening event.
- Gather customer feedback.
- Launch loyalty programs.

Full operation (Months 7-12)
- Promote weekly events and themed nights.
- Increase online advertising.
- Partner with schools and community groups.
- Monitor marketing results and adjust strategies.
- Maintain high safety and customer service standards.

Contingency Plan

To reduce risks, set clear goals and monitor progress often. Have a flexible marketing plan that can change if needed. Use multiple channels like social media, flyers, and events to reach more people. Stay aware of competitors and industry trends. Prepare a backup budget for unexpected costs. If a campaign fails, quickly try a different approach or message. Offer special discounts or events to attract customers during slow times. Build good relationships with customers for loyalty. Keep an eye on safety rules to prevent accidents. If there are technical issues with your website or booking systems, have IT support ready. In case of bad weather or other emergencies, plan outdoor activities or reschedule events. Regularly review marketing results and adjust strategies. This way, Roller Skating Rink LLC can handle challenges and stay on track to reach its goals.

Financials

Income Statement

Roller Skating Rink LLC Income Statement for the Year Ended December 31, 2023

Revenues:
Public Roller Skating Sessions: $150,000
Private Event Rentals: $50,000
Concessions and Merchandise Sales: $20,000
Total Revenues: $220,000

Cost of Goods Sold:
Concessions and Merchandise Cost: $8,000
Total Cost of Goods Sold: $8,000

Gross Profit:
Total Revenues - Cost of Goods Sold: $212,000

Operating Expenses:
Salaries and Wages: $60,000
Rent and Utilities: $30,000
Maintenance and Supplies: $10,000
Advertising and Promotions: $5,000
Insurance: $3,000
Administrative Expenses: $2,000
Total Operating Expenses: $110,000

Operating Income:
Gross Profit - Operating Expenses: $102,000

Other Income/Expenses:
Interest Expense: $2,000
Net Other Expenses: $2,000

Net Income Before Taxes:
Operating Income - Other Expenses: $100,000

Taxes (Assumed 25%): $25,000

Net Income:
$75,000

This statement summarizes the financial performance of Roller Skating Rink LLC, highlighting revenue streams from public sessions, private rentals, and merchandise, with detailed expenses leading to a net income of $75,000.

Cash Flow Statement

The cash flow statement for Roller Skating Rink LLC shows how cash moves in and out. Cash inflows include revenue from ticket sales, rentals, and snacks, totaling around $50,000 monthly. Outflows include operating expenses like staff wages ($15,000), rent ($8,000), utilities ($2,000), and supplies ($3,000), totaling about $28,000. The net cash from operations is $22,000. There may also be cash used for equipment maintenance or upgrades, around $2,000 monthly. If the company takes out loans or invests, these are added as inflows, while loan payments are outflows. Overall, the cash flow statement helps show if the rink is generating enough cash to stay open and grow. For example, starting cash might be $10,000, and with monthly net cash of $22,000, the ending cash would be $32,000.

Balance Sheet

Balance Sheet for Roller Skating Rink LLC

Assets:
- Equipment: $50,000 (skates, rink gear)
- Inventory: $5,000 (discounted skates, safety gear)
- Property: $200,000 (building and land)

Liabilities:
- Startup Loans: $100,000 (loan from bank to fund opening)
- Accounts Payable: $10,000 (bills for supplies and services)

Equity:
- Owner’s Capital: $145,000 (investment by owners)
- Retained Earnings: $0 (profit reinvested or distributed)

Total Assets: $255,000
Total Liabilities + Equity: $255,000

The balance sheet shows what the business owns (assets), owes (liabilities), and the owners' share (equity). Assets include equipment, inventory, and property. Liabilities include loans and bills. Equity reflects the owners’ initial and retained investment.