HUNTING RANCH Members: Shawn Hyshka Scott Redekopp Trevor Simpson Tyler Wilkinson

Introduction Borderline Ranch is an Elk and Deer hunt farm Borderline Ranch is an Elk and Deer hunt farm Located near Lloydminster Located near Lloydminster Provide a safe, fun hunting experience, while promoting nature, adventure and a active lifestyle. Provide a safe, fun hunting experience, while promoting nature, adventure and a active lifestyle.

Operations and Human Resource Plan

Organization Structure 4 Board of Directors, 2 internal, 2 external President Supervisor of hunting operations Guides Accountant

Area Plan 2 Sections 2 Sections 1 mile x 2 miles 1 mile x 2 miles Edge of property on river or lake Edge of property on river or lake Springs abundant in area Springs abundant in area 400 acres fenced off for deer hunting and 880 acres for elk 400 acres fenced off for deer hunting and 880 acres for elk

Building and Floor Plan Site Plan Building and Floor Plan Site Plan -Building 50’ x 50’with three different rooms -Storage, lunch, handling room with cooler

Development Plan No specific 5 year plan No specific 5 year plan Assessment done on a yearly basis Assessment done on a yearly basis Dependant on profitability/customer base Dependant on profitability/customer base Future Considerations Future Considerations - Building a 4 star lodge on site - Building a 4 star lodge on site - Hiring/Firing Staff, cook - Hiring/Firing Staff, cook - Year round lodging options - Year round lodging options

Work Plan- What Happens in a Day Guides Guides –Up early to pick up hunters –Drive to the hunt farm –Guide hunters until lunch –Help prepare lunch –Guide until dark –Assist in other maintenance, skinning etc. –Return hunters to hotel President President –Organizing clients –Ordering animals –Hiring employees –Marketing

Capital Budget Land Cost$240,000 Building Cost: Structure$67,000 Electrical/Plumbing$11,500 Fencing$240,180 Gravel on site$4,440 Total Building/ Land Costs $559,720

Equipment Cost Truck$20,000 Quads (6)$50,000 Trailer$750 Snowmobiles (2)$12,000 Guns (2)$4,000 Kitchen Appliances$2,500 Table$300 Heater$1,450 Fuel$2,500 Cooler/Fans$4,250 Stainless steel table$500 Cutting Knives/saws$1,350 Barbeque$400 Camera and Equipment$1,200 Misc. (tools)$2,300 Total Equipment Cost $103,520

Capital Budget Summary Land $ 240,000 Building $ 322,640 Equipment $ 103,520 TOTAL CAPITAL REQUIRED: $ 664,120

Cost of Goods Manufactured Direct Materials Direct Materials Animals $361,250 Animals $361,250 Direct Labor $89,154 Direct Labor $89,154 Overhead $40,223 Overhead $40,223 $490,627 $490,627

Cost of Goods Sold Beg. Inventory = $0 + C of GM = $490,627 + C of GM = $490,627 Cost of goods available for sale- $490,627 - Ending Finished Goods Inventory- $55,000 C of GS is $435,627 C of GS is $435,627

Human Resource Plan Staff Staff –Board of Directors Includes President, Accountant and 2 others Includes President, Accountant and 2 others Salary- President $45,000 Salary- President $45,000 – Accountant $10,000 Job description- Assist in important management decisions and provide capital to the farm. Job description- Assist in important management decisions and provide capital to the farm.

Human Resource Plan Staff Staff –Guides –Salary- $500/group (3 days) Trained in CPR, First Aid, Firearm safety Trained in CPR, First Aid, Firearm safety Must have valid driver’s license Must have valid driver’s license Knowledge of hunting, skinning Knowledge of hunting, skinning Friendly attitude Friendly attitude Job description- Assist hunters in all aspects of the hunt from start to finish. Job description- Assist hunters in all aspects of the hunt from start to finish. Staff Staff –Supervisor Salary - $600/group (3 days) Trained in CPR, First Aid, Firearm safety Thorough knowledge of hunting, skinning, outdoors Job description- Organize and monitor guides and hunters to prevent accidents and be aware of where everyone is at all times.

Human Resource Plan Accountant Accountant Salary- 10,000 Salary- 10,000 Trained in accounting, management Trained in accounting, management Thorough knowledge of business Thorough knowledge of business Job description- maintain and control money in a way that makes the farm profitable. Job description- maintain and control money in a way that makes the farm profitable. President Salary- 45,000 Job description- Front man of company who has signing power and makes important decisions regarding the management of company.

The Marketing Mix Products/ Services Products/ Services Pricing Pricing Promotion Promotion Place Place Segmentation Segmentation Targeting Targeting Positioning Positioning Marketing Marketing

S.W.O.T. Analysis Strengths/Weaknesses Strengths/Weaknesses Human Resources Human Resources Physical Resources Physical Resources Financial Resources Financial Resources Opportunities Opportunities Threats Threats

Borderline Ranch Competitors Dunham’s high caliber ranch Lloydminister, Saskatchewan - 5 star lodging -home cooked meals -20 yrs of experience and clients Whitetail $5,500 Elk $4,950 Aspen Ridge Deer Ranch Bruno, Saskatchewan -on site 3700sq. Ft. lodge -world class walleye fishing -hiking and canoeing in river available if you Whitetail $5,500 Elk $4,500 McKen Hunting Yorkton, Saskatchewan -2 hunting areas -on site lodging -ducks/geese hunting -trout pond for fishing Full service starts at $1,000 and then extra charge for whatever you shoot up to $25,000 Average price range Whitetail $5,000 Elk $4,000 Above prices U.S Borderline Ranch New hunt area Whitetail $4,500 Cdn Elk $5,500 Cdn Elk $5,500 Cdn

Marketing Strategy Sales and Profit Objectives Sales and Profit Objectives Pricing Policy Pricing Policy Selective Markets Selective Markets Selling and Advertising Selling and Advertising

Financial Plan ASSUMPTIONS ASSUMPTIONS - 29 groups, 20% revenue increase - 29 groups, 20% revenue increase after year 5 and 70% elk hunting after year 5 and 70% elk hunting ● FINANCING Long Term Debt Input 339,397 Owner's Equity Input 372,397 Total $711,795

Dividend Policy Reinvestment Policy if gross profit is less than 10x Working Capital Reinvestment Policy if gross profit is less than 10x Working Capital Returns seen in 6 th year Returns seen in 6 th year ● IRR= 17.0% ● ERR= 13.2%

Group Breakdown Unit Cost per Group deer$8000$8160$8320 Groceries$172$176$179 Bullets$10 $11 Total Unit Cost of Direct Materials$8,182$8,346$8,510 Direct Labour$2600 Overhead Hotel $86 $800 $89 $816 $90 $832 Total Unit Cost of Labour and Overhead$3486$3505$3522 Total Cost per Group$11,668$11,851$12,032 Expected Average Selling Price $22,000$22,440$22,889

Risk Analysis Nickels and dimes Nickels and dimes Marketing key Marketing key Social trends Social trends Based solely on groups Based solely on groups Canadian dollar strength Canadian dollar strength Net Income Break- Even Cash flow Break- Even Economic Break- Even

Conclusion With proper marketing and business planning Borderline can be a success. With proper marketing and business planning Borderline can be a success. Long term investment Long term investment Unique and exciting venture for owners and customers Unique and exciting venture for owners and customers

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