In this assignment, you will create a condensed business plan for purchasing and operating a professional sports team. This is a hypothetical sports team and you may make assumptions to support your key points.
Include the following elements in your condensed business plan:
- Overview: Introduce the business plan for purchasing and operating a professional sports team, and provide a thesis statement for your business plan.
- Marketing: Discuss how specific marketing promotions will help drive revenue and profitability for your sports organization. Consider trends, market strategy, pricing, sponsorships, advertising, and revenue generation sources, etc.
- Tax and Legal Issues: Discuss at least one tax and one legal issue you may face in the purchase or operation of your sports business.
- Financial Plan: Develop pro-forma financial statements (5 years) for your sports business. Include:
- An income statement on a monthly basis for year 1, a quarterly basis for year 2, and an annual basis for years 3, 4, and 5.
- A balance sheet on a monthly basis for year 1, a quarterly basis for year 2, and an annual basis for
- years 3, 4, and 5.
- A statement of cash flows on a monthly basis for year 1, a quarterly basis for year 2, and an annual basis for years 3, 4, and 5.
- Important Note: Use a spreadsheet program such as Excel to create the financial statements. Then, embed the statements by copying/pasting them into the final Word document.
- Financial Plan Assumptions: For all financial statements, include a list of key assumptions that drive your financial plan.
- Financial Analysis: Describe three financial metrics or ratios that you will use to analyze the health of your business.
- Financial Risks: Describe three potential financial risks for your sports business.
- Mitigate Risks: Describe possible ways to mitigate each of the risks listed above.
- Investor Return on Investment: Describe what you will offer potential investors in order to seek funding for your business. Consider types of ownership, stocks, dividends, interest payments, royalty fees, merchandise profit sharing, perks, etc.
- Exit Strategy: Describe your exit strategy assuming you are ready to sell the sports business in 10 years.
The Business Plan final paper
- Must be eight to ten double-spaced pages in length (not including title and references) and formatted according to APA Style as outlined in the Ashford Writing Center (Links to an external site.).
- Must include a separate title page with the following:
- Title of paper
- Student’s name
- Course name and number
- Instructor’s name
- Date submitted
- Must begin with an introductory paragraph that has a succinct thesis statement.
- Must address the topic of the paper with critical thought.
- Must end with a conclusion that reaffirms your thesis.
- Must use at least five scholarly sources, in addition to the course text.