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COOL SPRING RANCH

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					COOL SPRING RANCH


        Robin Ailsby
        Grant Immel
        Ryan Klassen
        Anne Pinckney
INTRODUCTION

   Located in the scenic Lac Pelletier Valley
   Cool Spring Ranch currently offers many
    activities operating a training ground for both
    horse and rider in the summer months.

   Goal: Provide a relaxing setting for recreation
    and accommodation.

                                     COOL SPRING RANCH
   New facility offering;
      -riding camps for children.
      -corporate retreat for meetings and group
      training.
   New buildings required:
    –   Indoor riding arena,
    –   Cabins,
    –   Eventually corporate headquarters.

                                         COOL SPRING RANCH
OPERATIONS
                                       CABINS
                                                    Large Cabins




        Studer Road                                                       New Indoor Arena



                                                                   Barn



                        House                   House




                                                                          Outdoor Arena


    N                     Entrance




SE 7 - 11 - 14 W of 3
                                COOL SPRING RANCH
Indoor Arena


•Goodon Industries
•’70X’200
•Steel Poll frame




                     COOL SPRING RANCH
Cabins

   2 dorm style:
    –   6 bunk beds each


   2 Cabins:
    –   Double bed, 2 hide-a-beds
    –   Kitchenette and bathroom




                                    COOL SPRING RANCH
Work Plan and Flow of Work

   Activities
    –   Training
    –   Special Events
            Horse Sales
            Auctions
            Riding camps/Riding clinics/Competitions
    –   Cabin Rental
            Families
            Hunters



                                                    COOL SPRING RANCH
Human Resources
STAFF

Owners/ Operators (David &Cecilia Fiddler):
 -overall control of the everyday operations
 -primary duty is working with both the head
 trainer and camps coordinator
 -oversee the hiring of employees and the
 purchase of all materials for the ranch



                                 COOL SPRING RANCH
STAFF

Camps Coordinator (Marcia Fiddler):
  -scheduling, activity planning, teaching
  -supervisor for both the cook and maintenance staff

Head Trainer (Kristin Fiddler):
  -planning and scheduling of riding clinics and
  competitions
  -working with individual clients and their horses
  -supervisor of the Assistant Trainer


                                        COOL SPRING RANCH
STAFF

Assistant Trainer:
  -working with individual clients and their horses
  -position will be filled during the summer months by
  a student from Olds College participating in their
  summer internship program
Maintenance Staff
Chef



                                       COOL SPRING RANCH
MARKETING
Services
   Week long overnight riding camps for beginners during the
    summer months.

   Day and weekend camps throughout the year (holidays).

   Year round horse training for both horse and rider.

   Rental of facilities for horse shows, clinics, sales, etc.

   Rental of accommodations for tourists and sportsmen.

   Week long corporate retreats (to be phased in year 5).

                                                    COOL SPRING RANCH
Marketing Strategy

   Pricing Policy
    –   Dictated by the market
    –   Competitive pricing


   Selling and Advertising
    –   Getting the name out
    –   Personal promotion




                                 COOL SPRING RANCH
Advertising

   Selling an experience
   Advertising should utilize the following media:
    -Leisure guides
    -Local schools
    -Mail flyers
    -Internet
    -Horse magazines
    -Booths at horse shows / sales / clinics

                                          COOL SPRING RANCH
Marketing Strategy

   Sales and Profit Objectives
    –   Aim to be profitable
    –   Continue expansion


   Channels of Distribution
    –   Broad advertising
    –   Bring customers to Cool Spring Ranch




                                               COOL SPRING RANCH
Geographical Market
   Geographical market will include:
    Saskatoon
    Regina
    Moose Jaw
    Swift Current
    Medicine Hat
    Surrounding rural centers

   Geographical market will expand to:
    Winnipeg
    Calgary
    Edmonton



                                          COOL SPRING RANCH
Market Segmentation

   Prospective customers have been segmented into
    the following groups:

    –   Parents of students (both elementary and high school)

    –   Members of 4-H and other student equestrian clubs

    –   Other members of the horse community

    –   Corporate customers

    –   Sportsmen / outdoor enthusiasts / tourists

                                                 COOL SPRING RANCH
Financial Plan
Revenues


                         2005        2009
  Horse Training         $63,000     $75,987
  Lessons                $1,575      $2,289
  Camps                  $39,938     $46,120
  Corporate Retreat      0           $18,900
  Rental of Facilities   $2,053      $5,069
  Total                  $106,566    $148,364

                                    COOL SPRING RANCH
Expenses

            2005       2009

Equipment   $14,972    $16,206
Rental
Expenses    $67,426    $95,011

Wages       $92,578    $100,209

Total       $174,976   $211,426

                        COOL SPRING RANCH
Net Income

Income Statement 2005          2009


Total Revenues     $106,566    $148,364


Total Expenses     $174,976    $211,426


Total Net Income   ($68,410)   ($63,062)


                                COOL SPRING RANCH
Break Even Analysis

 *Based on quantity of sales as compared to
 capacity.
                     Current     Required
Horse Training         70%        160%
Camps                  85%        290%
Corporate Retreat      30%        260%


                               COOL SPRING RANCH
CONCLUSION

   Not financially feasible
   Though the services offered by Cool Spring Ranch are of a high
    standard, the cost of acquiring the capital assets required as
    well as the related operating costs do not exceed the potential
    revenues.
   Possible alternatives to make this venture profitable may
    include one or a combination of the following:
     –   Decreasing the number of cabins built from four to two.
     –   Eliminating the building of cabins completely.
     –   Phasing in the corporate retreat immediately.
     –   Eliminating the building of the corporate retreat.
     –   Only building the indoor arena.


                                                      COOL SPRING RANCH
QUESTIONS?

				
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