Case Study 2: Shark Tank Advice

Task
Shark Tank Advice
Pretend you are a Shark Tank advisor. Two business partners have come to you for advice for a business they own and operate. This assignment requires you to create a one-page executive summary (not including backup tables of your analysis) of your advice for this business.
Topic/Question – Read the following scenario then address the recommendation/advice section of this assignment. (This scenario is a real-life situation where a neighborhood industry requested advice from a College Economics professor.)
A Boutique Fitness Facility aka affectionately self-referred to as ‘Two Idiots with Bikes’
Tired of hiring themselves out and abiding by corporate rules and various personality issues with management of fitness facilities, two fully certified personal trainers opened a fitness facility. Each trainer was certified in indoor cycle (aka Spinning), personal training, strength, high-intensity training, and TRX. The facility was housed in the finished basement of one owner’s personal residence. They invested $3000 that covers startup equipment costs. Startup equipment included spin bikes, fans, weights, step benches, and mats. Over time they upgraded the spin bikes and added more features such as resistance bands, ropes, TRX equipment, kettlebells and other items for approximately $1000. Based on periodic feedback from clientele, they added some yoga classes and another instructor to teach additional spin classes. The owners taught 90% of the classes themselves and did not take a salary from the business. The yoga classes fully funded the yoga instructor. The additional spin instructor cost approximately $150/month. Costs included $500 monthly for insurance, $200 monthly for utilities, $80 for music licensing. Clientele paid $10 per class unless they purchased a package of 20 classes for $85 or 10 classes for $65. They ran approximately 26 classes a week. Unless there were 2 clients in a class, the class was cancelled. The business averaged 4 clients per class and averaged cancelling 3 classes per week. They also had personal training clients who paid 20 per session. The business averaged 8 personal training sessions per week. Tax rate is 20%. Depreciation on the equipment is 20% a year. Efficiency of the business is compromised from time to time based on clientele – since this is a boutique business that runs classes of 5-6 individuals, personalities and drama sometimes require the business owner’s significant management time in the form of communications with clientele.
Between the two of them, they could earn $800/month by contracting themselves out to other facilities. Additionally, without the business, the trainers could conduct personal training sessions in the basement facility using the equipment they already have and would incur insurance costs of $60/month, no music licensing fees and $100 utilities.
Recommendation/Advice – What do you advise these owners to do? Give a special focus on production and costs in this scenario. You are also encouraged to include academic and business researbcqch as well as data to reinforce your

Don't use plagiarized sources. Get Your Custom Essay on
Case Study 2: Shark Tank Advice
Get an essay WRITTEN FOR YOU, Plagiarism free, and by an EXPERT!
Order Essay
iWriteHomework
Order NOW for a 10% Discount
Pages (550 words)
Approximate price: -

Why Us?

Top Quality and Well-Researched Papers

All ourbpapers are written from scratch. In fact, Clients who ask for paraphrasing services are highly discouraged. We have writers ready to craft any paper from scratch and deliver quality ahead of time.

Professional and Experienced Academic Writers

Our writers keeps you posted on your papers progress - providing you with paper outline/draft. You are also at liberty to communicate directly with your writer.

Free Unlimited Revisions

If you think we missed something, send your order for a free revision. You have 10 days to submit the order for review after you have received the final document. You can do this yourself after logging into your personal account or by contacting our support.

Prompt Delivery and 100% Money-Back-Guarantee

All papers are always delivered on time, in many cases quite ahead of time. In case we need more time to master your paper, we may contact you regarding the deadline extension. In case you cannot provide us with more time, a 100% refund is guaranteed.

Original & Confidential

We use several writing tools checks to ensure that all documents you receive are free from plagiarism. Our editors carefully review all quotations in the text. We also promise maximum confidentiality in all of our services.

24/7 Customer Support

Our support agents are available 24 hours a day 7 days a week and committed to providing you with the best customer experience. Get in touch whenever you need any assistance.

Try it now!

Calculate the price of your order

Total price:
$0.00

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

No need to work on your paper at night. Sleep tight, we will cover your back. We offer all kinds of writing services.

Essays

Essay Writing Service

No matter what kind of academic paper you need and how urgent you need it, you are welcome to choose your academic level and the type of your paper at an affordable price. We take care of all your paper needs and give a 24/7 customer care support system.

Admissions

Admission Essays & Business Writing Help

An admission essay is an essay or other written statement by a candidate, often a potential student enrolling in a college, university, or graduate school. You can be rest assurred that through our service we will write the best admission essay for you.

Reviews

Editing Support

Our academic writers and editors make the necessary changes to your paper so that it is polished. We also format your document by correctly quoting the sources and creating reference lists in the formats APA, Harvard, MLA, Chicago / Turabian.

Reviews

Revision Support

If you think your paper could be improved, you can request a review. In this case, your paper will be checked by the writer or assigned to an editor. You can use this option as many times as you see fit. This is free because we want you to be completely satisfied with the service offered.