This is the presentation file used in the final for the Spring of 2004 J.H. Muller Undergraduate Business Plan Competition during Babson College's annual Founders Day event.

1. G
Inc.
Gentleman Inc.
“Male Salon and Spa”
Heather Tomkinson
Erin Hurley
Chris Gartlan
Bekah Leger

2. G
Inc.
Gentleman Inc is…
• Exclusively male salon and spa
• Variety of services and products
Salon Spa Retail
- Shampoo - Facials - Shampoo
- Cut - Massage - Conditioner
- Styling - Waxing - Hair Products
- Treatments - Nails - Skin Care
• Customer service top priority
• Comfortable Atmosphere

3. G
Inc.
Customer Experience
• Personalized customer service
– Customer database
• Rejuvenation of mind/body
• Comfortable atmosphere

4. G
Inc.

5. G
Inc.
Floor Plan
massage nail waxing
hair
salon massage nail facial
/ skin
laundry receptionist
/ mgmt.
retail
store lounge
tvs

6. G
Inc.
Voice of Customer
Out of 50 male respondents:
• 100% indicated appearance was
extremely important in business
• Only 34% felt comfortable in a
female salon
• 70% expressed interest in a male
salon
• 15% or higher expressed interest in
waxing, manicures, facials,
pedicures, skin conditioning

7. G
Inc.
Industry Trends
• Well-Being (i.e. care for self, stress relief)
• Capitalizing on the Metrosexual
• Men: $12 billion/year on grooming
products
• Men: 49 % of U.S. spending on personal
care services
– Spending higher on a per capita basis
• 29 % of spa clients nationwide are men
• Industry as a whole undifferentiated and
fragmented

8. G
Inc.
Target Market
Male Aged
20 – 40
Years Old
Sales,
Professional,
or Executive Image Conscious
Occupation Initial Target
Open-minded
Market
Ambitious
Income over
$70,000
Currently
Buys
Grooming
Products

9. G
Inc.
Marketplace
2.2 Million Males in Greater Boston Area
1 Million Fit 850,000 Fit 550,000 Buy
Income Occupation Grooming
Target Target Products
Total Initial Target Market:
110,000

10. G
Inc.
Competitors
High Variety
of Services
Gentleman Inc.
Spas
Salons
Female Male
Atmosphere Atmosphere
Health
Centers
Barber
Shops
Low Variety of
Services

11. G
Inc.
Value Proposition
- Image and Style - Image and Style
- Location What What
- Location
- Variety of Services Gen. Inc. Customers - Variety of Services
- Gentleman’s Atmosphere Offers Want - Gentleman’s Atmosphere
- Service Quality - Quality
What
Competitors
Offer
- Image
- Service Quality
Gap in Marketplace
- Location
- Variety of Services
- Gentleman’s Atmosphere

12. G
Inc.
benefits
• Comfort
– Atmosphere
• Confidence
– Professional Image
• Stress Relief
– Better productivity at work
– Health benefits
• More Time
– Many services in one location
– Close proximity to work

13. G
Inc.
Marketing
Phase 1: Phase 3:
Education of Expanding
Establishment Customer Base
1 Year
Opening 6 Months
Phase 2: Phase 4:
Establish Educate Larger
Customer Base Market,
within Target Generate
Market Customer
Loyalty

14. G
Inc.
Operations Strategy
• Highest level of quality
• Experienced professional
employees
• Timeliness

15. G
Inc.
Operations Strategy
• Scope of Operations
– In house
– Ensures privacy
– Appointments only
• Employees
– Set break and attendance policy
– Ongoing training (to keep up with trends)
– Incentive (Commission based pay & Tips)
• Customer Database
– Stores contact info & personal preferences

16. G
Inc.
Capacity Calculations
• Hours per Weekday = 14 Total Weekday Daily Capacity = 252
• Hours per Weekend = 8 Total Weekend Daily Capacity = 144
• Weekly Capacity = 1,404 Monthly Capacity = 5,616
Sample Weekday Capacity Calculation:
Time per # Service Capacity
Station Providers
hair 0.75 3 56
massage 1.5 2 19
facials 0.75 2 37
waxing 0.5 2 56
Manicures 0.5 2 56
pedicures 1 2 28

17. G
Inc.
Development
• Acquire property (primary concern)
• Hire attorney
– Secure location; paperwork on licenses
• Hire accountant
– Business incorporation; keep start-up expenses and
financials together
• Renovations
• Operating systems refined
• Hire stylists and technicians
– Experienced and reputable
– Train employees
• Opening

18. G
Inc.
Assumptions
• Start – Up Costs
– $ 463,700
• Mostly equipment and renovations
• Revenue Growth
– 10% first 6 mon. 20% 6 – 12 mon.
– 40% year 2 50% years 3 - 4
• Cost of Sales
– 50%
• Commission and retail cost of sales

19. G
Inc.
Expected Returns
Expected Returns
Revenues Net Income Cashflow
3,500,000
3,000,000
2,500,000
Amount ($)
2,000,000
1,500,000
1,000,000
500,000
0
(500,000) 1 2 3 4 5
Year

20. G
Inc.
Critical Risks
• Internal
– Skilled Professionals
– Walk – in vs. Appointment
– Cash Flow
• External
– Location
– Customer Interest
– Effective Education Marketing
– Competitors

21. G
Inc.
Thank You
Questions and Comments