BUSINESS PLAN: KING TAEKWONDO ACADEMY

Abstract

King Taekwondo Academy operates as a human potential development institution in Prachinburi Province, utilizing Taekwondo as a strategic vehicle to instill discipline and foster self-confidence. The academy strategically targets children and youths from high-purchasing-power families situated within the 304 Industrial Park area and Sri Maha Phot District. Employing both Business-to-Consumer (B2C) and Business-to-Business (B2B) models-the latter facilitated through institutional partnerships with local schools-the business leverages the executive management's extensive 21-year expertise in the sports industry. Financed entirely by a sole proprietor, the project requires an initial capital investment of 4,000,000 THB. The projected revenue commences at approximately 2,500,000 THB in the first year, with a trajectory of continuous growth reaching 3,700,000 THB by the fifth year. Net profit is estimated to initiate at 1,100,000 THB in Year 1 and progressively ascend to achieve the targeted 1,850,000 THB in Year 5) This performance culminates in an ending retained earnings balance of 7,200,000 THB at the conclusion of the fifth year. Furthermore, the cash flow statement demonstrates robust financial liquidity, indicating sufficient working capital to seamlessly sustain operations and ensure consistent dividend distributions. The financial feasibility analysis indicates that the business is capable of generating positive net cash flows from its inaugural year, yielding an estimated payback period of approximately 2.8 years. Profitability indicators consistently reflect highly attractive investment metrics, with a positive Net Present Value (NPV) of 1,280,000 THB evaluated at a 10% discount rate. The Internal Rate of Return (IRR) is established at 22.56%, significantly surpassing the market’s average cost of capital. Conjointly with the sensitivity analysis, these financial indicators substantiate that the project possesses commendable financial stability, exhibits resilience against fluctuations in student enrollment and maintains long-term business sustainability.

Keywords: Business Plan, King Taekwondo Academy