KEYS TO THE KINGDOM
MY PARTY PALACE BUSINESS PLAN
Over 8 years ago the idea hit a mom in Round Rock, TX that little girl birthday parties would
be a fabulous business. Robin Duncan grew up working in a family business in Arkansas
that was a vendor to Wal-Mart. After graduating with a degree in Communications, Robin
moved to Austin and started working for Dell. With almost a decade at Dell and her entire
life around manufacturing, supply chain, and retail, Robin was ready to try a new
In 2004, Caitlyn’s Party Palace started hosting little girl princess parties in Round Rock,
Texas. By delivering a world-class birthday party experience the company was growing by leaps and bounds. After
several moms expressed interest in “wanting to open a birthday party place”, the independent business concept
was born along with the corporate name, My Party Palace, LLC.
Robin stated, “We quickly recognized that other women would love to own their own business, work 15 to 20 hours
a week, have flexibility to be with their families, and have all the back-end business and operational functions
handled for them. At every single party, we had at least one mom say to us that she thought of this long ago, but
didn’t know how to pull it all together.” That’s where Robin’s business development, manufacturing, and supply
chain management knowledge came in very handy. “We are just starting this crazy ride, but when I looked at the
birthday party business we were doing, I thought about the direct sales model I was so familiar with,” Robin added.
“We quickly realized that we could apply those same principles to create a standard offering and partner with
industry leaders to deliver a product to our distributors at a higher quality and lower cost.”
About My Party Palace, LLC
It is the mission of My Party Palace to give women the opportunity to stay at home with their children and still
deliver incremental revenue to the family income. We believe that building a successful business can be achieved
while maintaining a balanced life.
My Party Palace intends to deliver a successful business plan to our partners, start-up inventory of unique birthday
party products, and off-load back-end operational tasks to our executive management team. Reordering these
products, which will be sourced from the United States and the Far East, will be as easy as logging into their
customized website. MPP headquarters will take care of all the business issues. Our distributors only have to focus
on delivering a fabulous birthday party fit for a Princess.
All inclusive birthday parties have increased in appeal to parents seeking to save time, energy, money and solve the
“what to do” dilemma. Today, consumers are seeking a more meaningful and personalized experience that creates
a lasting memory for their child. As a result, sales in the birthday party hosting industry have been growing at a
staggering rate. Large retail chains are doing between 4,200 and 6,000 birthday parties every week generating a
mass of over 200,000 birthday parties a year! This is a rapidly growing industry that is crowded with suppliers
and distributors. Within this industry though, birthday parties are treated as an “after thought” sale.
If you examine your typical retail establishments and notice the added floor space that has been dedicated for
birthday parties, that number is growing. For example: companies such as GattiLand and Chuck-E-Cheese have
been your typical birthday party venues. Now we are starting to see other retail establishments join the birthday
party band wagon. Toys R Us recently modified their store layout to include a birthday party area. Libby Lu’s is a
high-end retail store catering to the “Tween” market with a portion of their retail floor space dedicated to birthday
parties. Then, there are your locally-owned, “main street” business, that are doing tea parties or diva parties all on
Presently, the leading suppliers of birthday party goods and services are Party City, Birthday Express, Libby Lu’s,
Chuck E Cheese, Peter Piper Pizza and Oodles ‘n Oodles and their business models are quite different than MPP.
These companies are producing estimated revenue of $850 million combined sales of birthday party goods and
MPP intends to manage growth by adding 12 distributors in the initial start-up year. By keeping the initial
investment low for the distributor, it is our intention to plant “seeds” of party palaces all over the United States. By
supplying the consumable products to the party palace owners we are guaranteeing a consistent revenue stream.
We see our target market in two separate categories: the actual market size for little girl birthday parties and the
market size for women or families that are potential business owners.
According to the US Census:
• There are 60 Million women between the ages of 25-48 (potential business owners)
• There are 20 Million little girls between the ages of 3-12 (target market)
• Median annual income of female head of household is $25,000 (additional income needed)
• Median annual income of married couples is $57,000 (additional income needed)
Other Market Information:
• 70,000 pampered chef consultants (16 years in business)
• 25,000 Southern Living consultants (3 years)
• 8,000 Curves locations (9 years)
• Club Libby Lu generates $30 Million in annual sales
We believe that by offering a business opportunity such as this, at an affordable start-up cost, to the sizable market
referenced above, the possibilities for growth and expansion is unlimited. Our objective is to get the potential
distributor’s foot in the door by offering them a low start-up cost to own their own business.
We intend to make start up and back-end operational support hassle free and easy for the distributors. MPP
purchases all party supplies in bulk quantities to drive the cost down and we are committed to passing those cost
savings onto the distributors.
My Party Palace is an independent business opportunity, not a franchise, and therefore, we do not charge monthly
or annual royalty, advertising, or franchise fees. The only stipulation in our agreement contract is that all partners
order all of their party supplies from My Party Palace. We feel this is the most equitable approach and it insures
that we can continue to drive the volume commitments we have made to our suppliers – driving our costs even
lower and continually passing those savings on to our business partners.
A market exists within the birthday party industry for a highly customized and personal upscale birthday party
venue for little girls ages 3-6 and tweeners age 7-12. By joining MPP, distributors will have access to a network of
suppliers ranging from paper products, birthday party gifts, and customized packaging materials. MPP will market
their products exclusively through these distributors and will not sell directly to end users. MPP intends to reach
those distributors through advertisements in trade publications, conventions, and a network of schools, mother
associations, and women based networks.
We intend to focus young, professional women that are excited and driven to deliver results. MPP is the perfect
business for women that are seeking additional income and want to control their own work schedule. Our initial
focus has centered on the Austin, TX and surrounding Hill Country area, then will expand to the rest of the state,
and then the rest of the United States.
The marketing strategy is to spend most of the money on creating the experience. In the advertising business there
is an approach known as “viral marketing” because the brand message is passed person to person. Much of our
early success relied on such word-of-mouth means. However, we are launching a massive promotional calendar in
the spring and summer of 2006. Those plans include increased advertising in local “kid friendly” publications,
participating in local area women’s conferences, open house kick-off events for community and business leaders,
press releases to local media, and hosting pro-bono events to Children’s homes or Safe Houses for those in our
communities who also deserve to feel like a “Princess”.
Long-term promotional ideas include a cross country party on wheels. Fully customized, hot-pink, leopard printed
18 wheeler that drives around the country doing trainings and other seminars for our partners. This vehicle could
also be used for additional pro-bono events for those less fortunate. We believe that if we can take one day and
make a little girl feel special, valuable, and worthy of such blessings – we just might change one life and in doing so
change the course for a generation.
We assume that most of our owners have no experience or knowledge in the operation of a specialty birthday party
retail store. Therefore, we’ll provide you with materials, manuals, and a comprehensive training program. A
training and introduction video is currently in pre-production and will be available by summer ’06.
The Financial Facts
As in any start-up business, the toughest part is just getting started. Your start-up costs include the initial
investment for inventory, build-out and stocking your birthday party supplies. Here is a real-life scenario: There
are 4 weekends per month and available slots for birthday parties are generally 2 on Friday nights, 3 or 4 on
Saturdays and 2 or 3 on Sundays. Each birthday party is scheduled for 2 hours, with a 30 minute “clean-up” in the
Total Birthday Party Slots per Weekend: 6
Revenue per Birthday Party: $250 or $25 per child.
Costs per Birthday Party (not including fixed expenses; rent, utilities, etc.): $8 per child per party.
Total Gross Income: $6,000 per month
Cost of hosting Birthday Parties: $1,920 per month
Operational Expenses (an estimate): $1,800 per month
Total Net Income: $2,280
Total Time spent on Birthday Parties and Preparations: 24 hours a week
Total Time spent with Family: Invaluable
The numbers above do not include any revenue generating add-on services that the distributor may charge for such
as custom invitations, guest appearance by a “celebrity”, photography, etc.
Frequently Asked Questions
Q. Is My Party Palace, LLC a franchise opportunity?
A. No it isn’t. MPP is an independently owned business opportunity. The distinction is very important.
What you are receiving when you invest in your own business is a license to do business as a My Party Palace
branded facility. We become your supplier for all consumables and other party related items, but we do not
require you pay us an additional royalty or registration fee. You are free to run your business however you see
Q. What are the start-up costs?
A. $3,000 is the initial investment. You will receive a complete starter kit including MPP costumes, inventory
for approximately 300 party guests and a “Keys to the Kingdom” sales binder.
Q. How do I get started?
A. Once you notify us of your interest to open a My Party Palace location, we will contact you to discuss the
opportunity in more detail. You then fill out the application and purchase your starter kit. Once your
application is received at MPP corporate offices, we will respond to discuss plans for the delivery of your
inventory, sales kit, and the agreement contract laying out terms and conditions for you to fill out and return.
Q. Can I recruit other partners?
A. Absolutely. My Party Palace believes that the best recruiting tool is the experience clients have at your
birthday parties. If you recruit another MPP partner and they become a MPP distributor, you will get a $500
signing bonus and there is no cap on the number of referrals you can submit.
Q. Will I get credit for the revenue of anyone I recruit?
A. No- and we cannot state this clearly enough. This opportunity is not a multi-level marketing organization.
Our referral bonus is simply a way to say “thank you” for bringing us qualified candidates.
Q. What kind of support can I expect from MPP corporate?
A. Lots and lots of support! We will assist you with marketing ideas, customer service, industry updates and
market data to ensure we are always staying ahead of the trends. We are available every day via email or phone
to help you. You can depend on us to ensure your success!
Q. Once I become a partner, can I create my own website?
A. Yes. However, we reserve the right to monitor and change the content, message, and design of any outside
websites due to the fact that we own the business name and trademarked images that you would use to
advertise. We maintain a very robust and well designed website with all necessary contact information. In
addition, part of your investment includes a static webpage that we will implement for you.