Real Business Plans

Sample Business Plan

 Adventure Lodge - Plan
 Daycare - Plan
 Golf Calcutta - Plan
 Yachting Adventures - Short Plan
Pizza Delivery - Plan
Family Fun Center - Plan
Fossil Stone - Plan

 

 

  

 

Golf Business Plan

 

Note from Real Business Plans - This copy of an online golf calcutta business plan used for a real company that a colleague started.  This business plan attracted funding from investors, but was never brought to fruition.  The funding paid for the design and testing, but not anywhere beyond that.  The financial link at the bottom is only for sample P&L's from other plans; to complete your plan you will need more than a P&L.  Our free Financial Guide will give you more information.   Once you are at this stage, read up on the Offering Memorandum and Subscription Agreement which you  need to accept payment for shares from investors.  A business plan alone is not enough.

Our free templates and guides are always made available at no charge to our visitors; we do not ask for user registration or email addresses for access.  Any questions, please email us.


*THE FOLLOWING BUSINESS PLAN IS FOR INFORMATIONAL 
PURPOSES ONLY.  THE  BUSINESS PLAN DOES NOT REPRESENT 
SOLICITATION FOR SALE OF UNITS OR SHARES IN Any Company.   

 

Golf Calcutta

EXECUTIVE SUMMARY

The Calcutta Auction for PGA Tour Events will commence in June 2001, whereby the individual players or group of players of each event will be auctioned over the Internet to the highest bidders.  Each bidder will have established, in his name from an offshore domicile, an account funded via wire transfer or credit card.  The owners of the winning bids for the top four players or fields will receive payouts from the pool (total monies from all auctions) as follows: 

Player's Position in Tournament

Percentage of Total Pool (US$)

1st

35%

2nd

25%

3rd

15%

4th

10%

The auction for the month of May will be a dry run to evaluate the software and fine-tune the criterion for the auctioning process.

Dates

Tournament

Jun 14-17

  U.S. Open Championship

Jun 18-24

  Buick Classic

Jun 25-July1

  Canon Greater Hartford Open

Jul 2-8

  Advil Western Open

Jul 9-15

  Greater Milwaukee Open

Jul 16-22

  British Open

Jul 16-22

  B.C. Open

Jul 23-29

  John Deere Classic

  *See Table 2 on page 8 for full 2001 PGA Schedule

The Calcutta Auction site under development will have the domain name of www.golfcalcutta.com and will be managed by ________.  This site (English Version) will be fully developed by June of this year.  The Japanese version will follow shortly thereafter.

LEGAL FACTORS

The Calcutta Auction for golf has been in existence for many years all over the world.  In the State of Nevada, Calcutta Golf Pools are not considered gambling and therefore not regulated by the Gaming Commission, unless operated by a licensed casino in which case they are regulated. Licensed Casinos will be regulated in this activity.  Many US investors have been of the incorrect belief that online gaming is illegal, or soon may be.  This is not the case.  Online gaming is legal, licensed, and welcome in many areas of the world.  Australia became the primary first-world country to legalize online gaming and Europe, Asia, and South Africa have followed.  The US has many more Internet users but the rest of the world is rapidly catching up.

In the US there has been a wait and see attitude as far as online gaming is concerned.  Technically, the Justice Department has been arguing that it is illegal under some rather broad far fetched laws concerning wire transfers and the like, but there are no laws in any state in the US stating online gaming is illegal.  US lawmakers have taken some steps, but the net result has proven futile in banning online gaming.  In July 2000 the House of Representatives defeated a bill that would limit online gaming, and the passage of future legislation in the US looks unlikely.  The New Jersey Gaming Commission has indicated that online gambling is here to stay and is looking very seriously at ways to regulate the industry rather than ignoring the fact that people are gambling online from the United States. The State of Nevada has a law before its state legislature that may legalize online gabbling in some form

GROWTH MARKET WORLDWIDE

The Online Gaming Industry is growing extremely fast worldwide.  Sport’s gaming is growing even faster.  One-company Online Gaming Systems (Symbol: OGAM) revenues grew 7,000% in the first quarter of 2000 from a year earlier results.  So, even if there were a ban on online gaming in the US, there are companies experiencing dramatic growth on a worldwide basis.  Internet gaming has the potential to reach over $100 billion per year from the 1999 level of $1.2 billion currently projected to grow to $10 billion in 2002.  According to Jason Ader, Bear Sterns managing director and gaming analyst, E-gaming is ready to explode.  Over the past few years the number of e-gaming sites has grown to over 650 and that number is climbing daily.  Another indicator is the growth of Casino Online Publications.  Online versions of these may be found at www.casinoplayer.com, www.strictlyslots.com, and www.pokerdigest.com. 

PUBLIC COMPANY OPPORTUNITIES

Other companies that trade in the US market are Global Intertainment (Symbol: GGNC), Starnet (Symbol SMNN), Dotcom Entertainment Group (Symbol DCEG) and Total Entertainment (Symbol: TTLM).  Most of these companies are trading at 50% - 90% off their highs for the year due to the “DOT COM OVERVALUTION and RETRENCHMENT” and the fear of regulation from the US Justice Department, which should not affect these stocks over the long run and offers many attractive opportunities to acquire one of these public companies.  One stock that has fallen from $40 to $0.06 is Virtual Gaming Enterprises (Symbol: VGAM) has been recently recommended as a stock with strong growth potential.  VGAM operates 18 virtual casinos.

GENERAL OPERATIONS

The database, software, and auction control center will function from a cluster of high-performance file servers located in a highly secure location with redundant backup, including alternative power. Using a cluster system, the servers will have an uptime of approximately 99.9% making them highly reliable and available even with heavy demands.  State of the art web server, database, and auction management software have been custom designed and are being utilized.  Start up costs is detailed on page 5 as well as ongoing costs and expected revenues.

The owners of the winning bids for the top four players or fields will receive payouts as follows: 

Player's Position in Tournament

Percentage of Total Pool (US$)

1st

35%

2nd

25%

3rd

15%

4th

10%

Total

85%

Golf Calcutta, Inc. will retain 15% of the pools as revenue and to cover operating expenses and marketing promotions.

MARKETING

The four basic methods of marketing and promoting the Calcutta are via an affiliate program with golf professionals around the world, advertising in publications (e.g.  “Gambling OnLine”, which is published from Kennesaw, GA), target e-mail opt in lists, and search engine optimization. The Golf Professional program will offer to golf pros a financial incentive based upon the amounts wagered by each pro’s member golfers, who open an account on our web site. Our initial goal is to establish 500 golf professionals with each introducing 5 accounts for a total of 2,500 auction participant’s in the early stages of our operation.

Our auctioning techniques will develop from our initial learning experiences. For example, at the onset, the ranked money winners may be auctioned as follows. The first 30 top money winners auctioned individually, the next 4 auctioned as a field (a group), the next 10 as a field followed by the next 16, 20, 24 and then the remainder of players in a final field. This produces 36 entries in the pool.

 At a total weekly pool of approximately $200,000, our revenue stream equals 15% or approximately $24,000 per tournament. The right to bid on any entry will be reserved by us, which will stabilize the auctions, so no one player or field (group) of players are unfairly auctioned at ridiculous prices relative to the field.

 

Calcuttas

 

Revenue Totals

 

Basic

Gold

Platinum

 

Tournament

Annually

Avg. Play (US$)

$400.00

$1,000.00

$3,000.00

 

 

 

Total Pool (36 x Average)

$14,400.00

$36,000.00

$108,000.00

=

$158,400.00

$8,870,400.00

 Winner Payouts

 

 

 

 

 

 

 

 

 

 

 

 

1st (35%)

$5,040.00

$12,600.00

$37,800.00

 

 

 

2nd (25%)

$3,600.00

$9,000.00

$27,000.00

 

 

 

3rd (15%)

$2,160.00

$5,400.00

$16,200.00

 

 

 

4th (10%)

$1,440.00

$3,600.00

$10,800.00

 

 

 

 

 

 

 

 

 

 

House (15%)

$2,160.00

$5,400.00

$16,200.00

=

$23,760.00

$1,330,560.00

STATISTICAL DATA

Arrangements have been established to download and update our statistical file each Monday with the most recent changes to the top money leaders list. The statistics and biographical data for each player will also be tracked. This procedure has been automated to eliminate errors in data entry and reduce time

2001 PRO-FORMA PROJECTIONS

     Startup Costs

 

Software Development

$249,500.00

Hardware Costs

$60,225.00

Graphic Arts

$30,000.00

Total

$339,725.00

 

 

     Annual Budget

 

Net Revenues (56 Tournaments)

$3,991,680.00

 

 

Startup Costs

$339,725.00

Servers & Bandwidth

$220,800.00

Gaming License Fee (if necessary)

$100,000.00

General & Administrative

$480,000.00

Transaction Costs

$931,392.00

Advertising and Promotion

$750,408.00

Total Costs

$2,822,325.00

 

 

Net Cash Flow

$1,169,355.00

COMPETITION

Of the 650 or so gambling sites on the web, none were found to offer the “Calcutta” style of gaming so many golfers are familiar with.  Instead, a few of the sites offer pari-mutuel betting for the top 10 or so ranked players.  Most online gaming sites are focused on other sports and do not offer gaming in golf.  Also, most sites are casino sites offering many types of gaming including cards, java based games and pari-mutuel betting.  None are specific and focused on the golfing industry.

FUTURE EXPANSION

1.                  Higher revenue stream as popularity grows worldwide.

2.                  Seven (7) existing additional golf tours to be added worldwide

3.                  Addition of US Seniors’ golf tour

4.                  Other methods of wagering to be added, such as pari-mutual type   


Table 1. Sample screenshot from GolfCalcutta.com website

Table 2. The Events Scheduled for the 2001 PGA Tour  

Date

Tournament

Date

Tournament

Jan 1-7

Accenture Match Play Championship

Jul 2-8

Advil Western Open

Jan 8-14

Mercedes Championships

Jul 9-15

Greater Milwaukee Open

Jan 8-14

Touchstone Energy Tucson Open

Jul 16-22

British Open

Jan 15-21

Sony Open in Hawaii

Jul 16-22

B.C. Open

Jan22-28

Phoenix Open

Jul 23-29

John Deere Classic

Jan 29-Feb 4

AT&T Pebble Beach National Pro-Am

Jul 30-Aug 5

The International

Feb 5-11

Buick Invitational

Aug 6-12

Buick Open

Feb 12-18

Bob Hope Chrysler Classic

Aug 13-19

PGA Championship

Feb 19-25

Nissan Open

Aug 20-26

NEC Invitational

Feb 26-Mar 4

Genuity Championship

Aug 20-26

Reno-Tahoe Open

Mar 5-11

Honda Classic

Aug 27-Sep 2

Air Canada Championship

Mar 12-18

Bay Hill Invitational

Sep 3-9

Bell Canadian Open

Mar 19-25

THE PLAYERS Championship

Sep 10-16

American Express Championship

Mar 26-Apr1

BellSouth Classic

Sep 10-16

Tampa Bay Classic

Apr 2-8

Masters Tournament *

Sep 17-23

Marconi Pennsylvania Classic

Apr 9-15

WORLDCOM CLASSIC - Heritage of Golf

Sep 24-30

Ryder Cup #*

Apr 16-22

Shell Houston Open

Sep 24-30

Texas Open at LaCantera

Apr 30-May 6

COMPAQ Classic of New Orleans

Oct 1-7

Michelob Championship at Kingsmill

May 7-13

Verizon Byron Nelson Classic

Oct 8-14

Invensys Classic at Las Vegas

May 14-20

MasterCard Colonial

Oct 15-21

National Car Rental Golf Classic

May 21-27

Kemper Insurance Open

Oct 22-28

Buick Challenge

May 28-Jun 3

Memorial Tournament

Oct 29- Nov 4

THE TOUR Championship

Jun 4-10

FedEx St. Jude Classic

Oct 29- Nov 4

Southern Farm Bureau Classic

Jun 14-17

U.S. Open Championship

Nov 12-18

EMC World Cup #

Jun 18-24

Buick Classic

Dec 10-16

Williams World Challenge *

Jun 25-July1

Canon Greater Hartford Open

 

 

 Table 3. Example of a “Top 30” Money Leaders Chart

Rank

Player

Events

Money

1

Tiger Woods

7

$2,255,857

2

Joe Durant

9

1,778,672

3

Vijay Singh

8

1,758,495

4

Davis Love III

7

1,400,400

5

Phil Mickelson

8

1,340,102

6

Mark Calcavecchia

7

1,266,633

7

Brad Faxon

9

1,235,310

8

Steve Stricker

7

1,175,070

9

Jim Furyk

7

957,050

10

Tom Lehman

9

904,973

11

Mike Weir

7

858,540

12

Robert Allenby

9

833,976

13

Ernie Els

7

814,725

14

Jeff Sluman

9

792,014

15

Jesper Parnevik

9

761,876

16

Frank Lickliter II

8

713,903

17

Hal Sutton

9

637,470

18

Garrett Willis

10

631,529

19

Jerry Kelly

8

629,355

20

Rocco Mediate

7

624,130

21

Kevin Sutherland

9

598,048

22

Bob Tway

7

595,907

23

Bernhard Langer

8

587,011

24

Scott Verplank

7

557,497

25

Steve Lowery

9

546,456

26

David Toms

9

508,722

27

Billy Mayfair

8

503,348

28

Dennis Paulson

9

475,440

29

Geoff Ogilvy

6

469,821

30

Paul Stankowski

9

457,291

Please click here for the Sample Financials

See our Services page for more on financial projections, offering memorandums, business plans, etc.

 

 

 

   

Ask questions about small business.
We will try to answer as quickly as possible
RealBusinessPlans Forum

 

 About Us - Planning Guide - Raising Capital - Incorporation Report - Your Plan Online
Services for Hire - Financial Guide - Sample Financials - Sample Plans - Subscription Agreement
Suitability Questionnaire - Bylaws - Offering Memorandum - Contact Us - Home

Copyright - Since 1997