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I-BUSINESS ANALYSIS INTRODUCTION Max Muscle will be a great business. Max Muscle is what some people call a body building store . We will sell supplements to help people lose weight, gain weight, build muscle, and stay fit. Max Muscle also has its own line of clothing which our will store carries as well as some other clothing items from companies such as Pit Bull, Body Alive, and Reflex. Some people not only use our clothes to work out, but also for casual wear and sleep wear to. I think that we have a good business that will do well in Southern Utah with the right management. SELF ANALYSIS I have a lot of knowledge about this type of business, although I do not use a lot of the things we are going to sell. I do know they work and they are very good products. I have tried almost all of them and know they are going to sell very well. I have read everything I can find, every book, magazine, and newspaper article I can get my hands on. As far as schooling, I have not taken many classes that deal with this sort of thing. I have taken health classes, P.E. and things like that, but no that deal directly with the business itself. I have a great attitude and am going to work hard to make this business successful. ANALYSIS OF TRADING AREA, AND CUSTOMERS I think this will be the biggest obstacle we will have to over come. Not a lot of people know what Max Muscle is. Sometimes get intimidated by stores like this. They don t feel welcome. We plan on tring to entice them to come in by leasing a spot in the Zion Factory Stores. If people knew a little about the store they would feel more comfortable to walk in and ask questions. In California this type of thing is second nature to them, but here in St. George, people have not been exposed to this kind of store. The store is exposed to the outside air, so in the winter business may be a little slower, but in the summer we will do great business. From data from other stores most of our customers will be males between the ages of 16 and 40. Women come into look at clothes but the usually only buy clothes. Although we do carry men s clothing, it s the women who buy things like that. The men are into the supplements to keep in shape. Most of the people who come into the store are just trying to get into or stay in shape. 90% of them don t want to be large. They just want to be fit. That is the big problem. People think they will look stupid if they go into a body building store and they are not like the guys in the pictures. Very few large men come into the store. II-MARKETING PLAN PROPOSED PRODUCT/SERVICE Max Muscle is a worldwide store. Max Muscle makes their own supplements and clothes. All of our products have the word MAX in them. For example; MAX Lean, MAX Whey, Protein MAZ, and Primo MAX etc. We have Creatine, Protein, Meal Replacements, Weight Gainer, and many vitamins. Those are the main products. We also carry many different combinations of these products. Alpha One has creatine, glutamine, and glycine. Creatine 60 has creatine, glutamine. Triple Fusion is the same as Alpha One but with more grams per serving. We also have Androstenedione.(the product causing all the controversy with Mark McGuire) Our products are superior to other products out there is because we take more time and effort into creating them. It seems other companies are coming out with new products every few weeks or so. Max Muscle has had the same products for years, they may come out with a new one every year or so. We take time to research and develop our products so that they are the best. All the other products out there are good, but Max Muscle s are EXCELLENT. Some people say they like EAS or TWIN LABS products better. But they haven t stopped to think why those products taste better. They load up their products with sugar and fat to make them taste good. Our products don t taste as well, but they have a lot more nutritional value. We have our own line of clothes, we also carry other lines. Its all very good looking and fashionable clothes. Pants, T-shirts, tank tops, hate, bags, towels and accessories to go with it all. We have both men and women s clothes. Mostly women though, cause that is what most of the women are interested in. PRICING POLICIES All the Max Muscle stores mark up their inventory 50% more then what they buy it for. Our store in St. George plans on marking up our inventory 45%. We will always be 5% cheaper then other Max Muscle stores, not to mention closer to 10% cheaper then GNC or Vitamin World. We will have 10% of cards, coupons, frequent buyer cards, and we will give away free stuff. Shaker cups, samples, buy one get one free, and things like that. So after our prices are lower, rarely will you ever pay full price. It seems like we are making less money if we do it this way, but it is worth it if + our customers come back again, and again. Our creatine runs from $11.95 for 200 grams to 35.95 for 1000 grams. Protein is $22.95 for two pounds up to $79.95 for nine pounds. ADVERTISING OUR BUSINESS We constantly are going to have premiums. To open the store, we have a free shaker cup with a powder supplement purchase planned. We are going to have free windows stickers. We have V.I.P. customer cards for people to give to their friends to get 10% off. Also, we have plans to advertise on Sunny 93.5 radio. We have coupons in the newspaper. Also, when you come into the store we have free magazines called MAX Sports and Fitness Magazine. We can give away those for free to every customer that comes in. It has very useful information on new products and information on diets and fitness plans. If you come into our store you can get free advice on how to start your diet. We will fill out a sheet on what supplements to take, when to take them, and what food to take them with. Then if anything goes wrong you can blame us. We won t spend a lot of time advertising on the T.V. Just mainly radio, phonebook, and newspaper. We are very easy to find. Anyone who lives in St. George knows where the Factory Stores are and ours is in the dead center of them. We give all of our employees free T-Shirts to wear to work. We train our employees very well. They know plenty about our products and are encouraged to learn for themselves, which they will do. They are friendly people and nice to talk to. PLACE DISTRUBUTION As I have said before, Max Muscle is a worldwide company. We are knows throughout the world. We have our own magazine as stated above. We have a web page We have many catalogs people can come in and look through and order from if we don t have what they need in stock. If they want they can go to the web page and look at products online. III-PROPOSED FINANCIAL PLAN PROJECTED INCOME/CASH FLOW This is the projected cash flow for the first 12 months of the business. We took in the demographics of the area surveys, and observations of other stores around the country and came up with this statement. (SEE NEXT PAGE) PROJECTED THREE YEAR PLAN Since this company is already established a good reputation in other states, it won t take long to get a good one here. After one year there will be a good word going around. I won t have to do as much advertising the next couple years. I am hoping that the good word going around will create interest in people for wanting to get into shape. I think that my company will even help out gyms in the area and other companies involved in this sort of thing. This diagram will show you the business I hope to do over the next three years. (SEE THIRD PAGE)

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