Business Scenario - your view

[zathras]

as u well know ive started my own businesss.

for the business to be successful, i need to acquire 12 customers/clients per week for 18 weeks.

I have already taken 1 booking and 4 enquiries for potential bookings for dedicated weeks.

i have spent 1,000 GBP on advertising and promotion across different channels, online, print, etc...

how does the future look?

Well if your break even for any given week is 18 and you've got 1 for a week then not very well. Even if the 4 you are currently negotiating with convert to sales it still will leave you less than a third of your break even point.

You have n't said how many people have considered the product (whatever it is) so I can't say if you have checked with them what is wrong with the offering.

[Andyw]

ok no overheads or outlay.

average worth per client 400GBP
18 weeks in one block
estimated turnover 75k
profit 50%

Hang on ! is your business run by Carlsberg ?

[Pinto]

12 clients per week??

Don't come crying here if it gets sore!

[oraclesmith]

ok no overheads or outlay.

average worth per client 400GBP
12 clients per week x 18 weeks
estimated turnover 75k
profit 50%

So if you're only making 50% with no overheads or outlay, where is the other 50% going. ie. based on what you've given us, you've only spent £1k so far, in which case you only need 3 clients to make a profit. What other expenditure have you got ?

[Andyw]

What other expenditure have you got ?

3 pallet loads of KY Jelly !

[el duder]

So if you're only making 50% with no overheads or outlay, where is the other 50% going. ie. based on what you've given us, you've only spent £1k so far, in which case you only need 3 clients to make a profit. What other expenditure have you got ?

sorry, the other 50% is costs.

but i meant there is no inital outlay other than advertising costs. i.e no money up front, no cash risk.

not much other expenditure really.

[John Galt]

sorry, the other 50% is costs.

but i meant there is no inital outlay other than advertising costs. i.e no money up front, no cash risk.

not much other expenditure really.

Presumably you're in some sort of retail then otherwise 50% costs is pretty high

[el duder]

Presumably you're in some sort of retail then otherwise 50% costs is pretty high

yeah.

[oraclesmith]

sorry, the other 50% is costs.

but i meant there is no inital outlay other than advertising costs. i.e no money up front, no cash risk.

not much other expenditure really.

Ok, so assuming you make £200 per client net profit and costs are per-client rather than 'lumpy' (please confirm this), then you only need a few clients to break even. Anything beyond this is clear profit. Which begs the question as to why your critieria for success so high? If you consider it as a pilot rather than a make or break, you will be able to scale up to your target profit the next time around.

[el duder]

Ok, so assuming you make £200 per client net profit and costs are per-client rather than 'lumpy' (please confirm this), then you only need a few clients to break even. Anything beyond this is clear profit. Which begs the question as to why your critieria for success so high? If you consider it as a pilot rather than a make or break, you will be able to scale up to your target profit the next time around.

you got it. 200GBP per client profit on average.
costs are per client.

just a pure numbers game ive got to get 12 clients per week x 18 weeks.

is 1k and word of mouth enough to generate this?