 Event Venue

Business
Plan

Sit back while we create the experience of a lifetime.

Prepared By 10200 Bolsa Ave, Westminster, CA, 92683

John Doe [email protected]

(650) 359-3153 https://upmetrics.co

Table of Contents

Executive Summary 4
Mission Statement 5
Vision Statement 5
Products Served 6
Customer Focus 6
Success Factors 6
Financial Summary 7
3 Year profit forecast 7
Chart 7
Company Summary 8
History 9
Business Structure 9
Startup Summary 9
Startup cost 10
Chart 10
Products and services 13

Market Analysis 15
Industry Analysis 16
Market Trends 16
Target Market 16
SWOT Analysis 17

Strategy & Implementations 19

Advertising Strategy 20
Phone Prospecting 20
Public Relations 20
Ongoing Customer Communications 21
Pre-Opening Events 21
Pricing Strategy 21
Milestones 22
Financial Plan 23
Important Assumptions 24
Brake-even Analysis 24
Projected Profit and Loss 25
Profit Yearly 26

1 / 32
 Chart 26
Gross Margin Yearly 26
Chart 26
Projected Cash Flow 27
Projected Balance Sheet 29
Business Ratios 30

2 / 32
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[YEAR ] Bus ines s Plan | Ev ent Venue 3 / 32

1.

Executive Summary
Mission Statement
Vision Statement
Products Served
Customer Focus
Success Factors
Financial Summary

[YEAR ] Bus ines s Plan | Ev ent Venue 4 / 32

 Before you think about how to start an event venue service, you must create a
detailed event venue business plan. It will not only guide you in the initial
phases of your startup but will also help you later on.

To unlock help try Upmetrics! 

Divine Space, a leading event center is based in Detroit – Michigan, USA. We

offer unique and personalized services to all our clients domestic and
corporate. We provide event coordination and offer our clients planning
expertise as well as an extraordinary wait staff service, in addition to our core
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service which is the provision of a conducive hall to host all kinds of events.

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Mission Statement

In order to achieve our vision, we have the required coordination and planning
expertise for all types of events, with professional and competent staff that
would help make the events of our clients a memorable one.

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Vision Statement

Our vision as an event center is to exceed the expectations of our clients by

giving them a beautiful experience as well as event space for all their types of
special events.

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[YEAR ] Bus ines s Plan | Ev ent Venue 5 / 32

Products Served

Divine Space offers the following event spaces: Small Party venues,
Ballrooms, Social Events and Banquet Hall, Conference Rooms, and Seminar
Rooms. We provide spaces that can hold from 30 up to 300 people. Each room
can be designed according to the clients’ theme or preference. We also have
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event management consultants that clients can consultTowith to help them with

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Customer Focus

Divine Space will primarily serve businesses, organizations, and wealthy

individuals within the Detroit area that are looking for venues for their events.
We will primarily target the corporate market, private market, and non-profit
market.
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Success Factors

Divine Space is uniquely qualified to succeed due to the following reasons:

There is currently no high-quality event venue in the community we are

entering. In addition, we have surveyed the major corporations with local
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offices and determined that they have off-site events from timehelp try Upmetrics! 
to time.

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[YEAR ] Bus ines s Plan | Ev ent Venue 6 / 32

Financial Summary

Divine Space is seeking total funding of $3,000,000 to launch the event venue.
The capital will be used for funding capital expenditures, manpower costs,
marketing expenses, and working capital.

Specifically, these funds will be used as follows: To unlock help try Upmetrics! 

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3 Year profit forecast

Sales Gross Margin Net Profit

15.00k

10.00k

5.00k

0
Year1 Year2 Year3

Financial Summary Year 1 Year 2 Year 3

Revenue $965,742 $1,878,611 $2,718,300

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[YEAR ] Bus ines s Plan | Ev ent Venue 7 / 32

2.

Company Summary
History
Business Structure
Startup Summary

[YEAR ] Bus ines s Plan | Ev ent Venue 8 / 32

 Finally, our Chief Executive Officer, Ms. John Moore has over 15 years of
experience in event coordination as well as in catering. This experience in
addition to several certifications in event planning will help take our business to
the desired level it intends to attain.
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We believe in ensuring that our employees are not only productive but that they
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History

Divine Space was founded in 2015 in Detroit by James Moore. With over 15
years of experience in the event management industry, he ventured into event
venue rentals. After leasing a spacious building for several years, he decided
to acquire a property in the middle of the city, where he opened up more event
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spaces for rent. Today, Divine Space’s facility is 2500 To
square feet and was

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Business Structure

Having the right business structure is very important to us as a Divine Space

and so we have laid the right plans that will ensure that our foundation is not
only right but stays true to our core values and vision as a company. This is
why we sourced for and have hired competent professionals who are diligent
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and true to work ethics in the various positions we have in our company.

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Startup Summary

Moore Lawn Care and Landscape’s start-up costs include:

Home office equipment: file cabinet, the computer system (including

printer, scanner, and fax software)
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[YEAR ] Bus ines s Plan | Ev ent Venue 9 / 32

Startup cost

Amount
100.00k

75.00k

50.00k

25.00k

0
Expenses Assets Investment

Cost distribution Amount

Expenses 50000

Assets 80000

Investment 35000

Start-up Expenses Amount

Legal $75,500

Consultants $0

Insurance $62,750

Rent $22,500

Research and Development $42,750

Expensed Equipment $42,750

Signs $1,250

TOTAL START-UP EXPENSES $247,500

Start-up Assets $0

Cash Required $322,500

Start-up Inventory $52,625

Other Current Assets $222,500

Long-term Assets $125,000

[YEAR ] Bus ines s Plan | Ev ent Venue 10 / 32

 Start-up Expenses Amount

TOTAL ASSETS $121,875

Total Requirements $245,000

START-UP FUNDING $0

START-UP FUNDING $273,125

Start-up Expenses to Fund $121,875

Start-up Assets to Fund $195,000

TOTAL FUNDING REQUIRED $0

Assets $203,125

Non-cash Assets from Start-up $118,750

Cash Requirements from Start-up $0

Additional Cash Raised $118,750

Cash Balance on Starting Date $121,875

TOTAL ASSETS $0

Liabilities and Capital $0

Liabilities $0

Current Borrowing $0

Long-term Liabilities $0

Accounts Payable (Outstanding Bills) $0

Other Current Liabilities (interest-free) $0

TOTAL LIABILITIES $0

Capital $0

Planned Investment $0

Investor 1 $312,500

Investor 2 $0

Other $0

Additional Investment Requirement $0

TOTAL PLANNED INVESTMENT $695,000

Loss at Start-up (Start-up Expenses) $313,125

TOTAL CAPITAL $221,875

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 Start-up Expenses Amount

TOTAL CAPITAL AND LIABILITIES $221,875

Total Funding $265,000

[YEAR ] Bus ines s Plan | Ev ent Venue 12 / 32

3.
Products and
services

[YEAR ] Bus ines s Plan | Ev ent Venue 13 / 32

 Below is Divine Space’s initial service offerings and amenities provided:

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Small Party venue Ballrooms

 Closed space that can hold 30-50

people.
 Rooms that have a maximum
capacity of 300 people.

Social Events and Banquet Hall Conference Rooms

 Event venue that is smaller than the

ballrooms and can hold 200 people.
 Rooms that are smaller than the
ballrooms but larger than the
seminar/training rooms that can
accommodate up to 250 people.

Seminar Rooms

 Smaller conference rooms that are

located near an outdoor space for
outdoor activities. These can hold
50-100 people.

[YEAR ] Bus ines s Plan | Ev ent Venue 14 / 32

4.

Market Analysis
Industry Analysis
Market Trends
Target Market

[YEAR ] Bus ines s Plan | Ev ent Venue 15 / 32

 The most important component of an effective event venue services business
plan is its accurate marketing analysis. If you are starting on a smaller scale,
you can do marketing analysis yourself by taking help from this event venue
business plan sample or other event venue services business plans available
online. To unlock help try Upmetrics! 

Industry Analysis

The Event industry depends on the willingness of households and businesses

to spend money on social gatherings. In general, businesses seek event space
for holiday dinners, fundraisers, and client appreciation events. Since
companies with strong earnings over the course of the previous year have
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more money to allocate toward special events, demandTofor industry services

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Market Trends

Every month there is an event of some sort that is being thrown, which makes
having an event center one of the best businesses for any entrepreneur to go
into. It should however be noted that this industry has peak periods such as
during the middle and end of the year where more events are thrown than
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during any other times in the year.

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Target Market

The target market for this industry is quite huge as there are events that are
being thrown every now and then consisting of different types of the crowd,
which makes for a huge customer base for event centers.

Therefore, our event center cannot be restricted to justTo unlock help

hosting try Upmetrics! 
weddings,
parties, fundraising, and business meetings but it can host any event that our
Start Writing here...

[YEAR ] Bus ines s Plan | Ev ent Venue 16 / 32

5.

SWOT Analysis

[YEAR ] Bus ines s Plan | Ev ent Venue 17 / 32

 Like every successful business out there, we intend to ensure that our event
center is of the required standard whilst also offering the best services and so
to ensure that we attain this, we hired a reputable business consultant here in
Detroit - Michigan, to help us critically look through our business concept and
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determine if we had what it takes to become a standard company.

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Strengths Weaknesses

Our strength lies in the fact that we offer This industry is saturated with these kinds
diverse services that will meet any of businesses; however, we intend to
requirements of our clients, which allows stand apart from our competitors by
us to stand apart from our competitors. offering unique services that will attract
Also, we have professional and competent the customers and offering excellent
staff at hand to ensure that every event no customer care that will retain most of our
matter the kind is conducted smoothly. customers.

Our halls are not only well designed but

also convenient as well as we also have
the grounds for customers who want an
outdoor ceremony. Finally, the expertise
of our Chief Executive Officer, Ms. John
Moore who not only has amassed several
years of experience but also has several
qualifications, is another of our strengths
at Divine Space.

S W
Opportunities Threats

There are various opportunities that There are various threats that exist to
abound for us because the halls can be every business in general, and so the
converted to any kind of event that probability of facing threats is not alarming
intends to be hosted by our clients. We to us. The threats we are likely to face in
also can cater to religious bodies who the course of starting and running the
intend to use our halls for regular business are the off-peak periods, where
meetings.

O T
there are less likely events to be thrown.

[YEAR ] Bus ines s Plan | Ev ent Venue 18 / 32

6.
Strategy &
Implementations
Advertising Strategy
Pricing Strategy
Milestones

[YEAR ] Bus ines s Plan | Ev ent Venue 19 / 32

 After identifying the market demand, market trends, and the potential
customers of the startup, the next step is to define an effective strategy for
attracting those customers. Like marketing analysis, sales strategy is also an
important component of an event venue service business startup and must be
properly planned before you think about starting your own eventhelp
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try Upmetrics!
business.

Advertising Strategy

The Company’s promotions strategy to reach its target market are the
following:

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Divine Space will assign salespeople to contact area corporations to arrange

for corporate rates for their upcoming company events.

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Phone Prospecting
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We will contact all local and regional area newspapers and television stations
to tell them about the event venue opening and the unique value proposition of
Divine Space.

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Public Relations
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[YEAR ] Bus ines s Plan | Ev ent Venue 20 / 32

 Divine Space will maintain a website and publish a monthly email newsletter to
tell local corporations and past customers about promotions and events.

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Ongoing Customer Communications

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Before opening the venue, Divine Space will organize pre-opening events
designed for prospective national customers, local customers, and press
contacts. These events will create buzz and awareness for Divine Space in the
area.
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Pre-Opening Events
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Pricing Strategy

When it comes to the rates we intend to charge for our services, we have come
up with a pricing strategy that will meet the budget of our clients here in
Michigan. There are different packages and categories with varying rates
available for all our different clients and we have ensured that each package is
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not only affordable but will meet and exceed the needsToofunlock
all our different

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[YEAR ] Bus ines s Plan | Ev ent Venue 21 / 32

Milestones

Divine Space expects to achieve the following milestones in the following 24

months:

Date Milestone
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[YEAR ] Bus ines s Plan | Ev ent Venue 22 / 32

7.

Financial Plan
Important Assumptions
Brake-even Analysis
Projected Profit and Loss
Projected Cash Flow
Projected Balance Sheet
Business Ratios

[YEAR ] Bus ines s Plan | Ev ent Venue 23 / 32

 The last component of the event venue service business plan is an in-depth
financial plan. The financial plan crafts a detailed map of all the expenses
needed for the startup and how these expenses will be met by the earned
profits. It is recommended that you use our financial planning tool for guiding
you through all financial aspects needed to be considered for starting
To unlock an event 
help try Upmetrics!
venue service business.

The company will be financed by John himself and he will control the direction
of the business to make sure that it is expanding at the forecasted rate. As for
the event venue service business start-up, no equity funding or outside loans
will be required. With the help of financial experts, John has developed the
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following financial plan for his start-up business, whichTo
outlines the financial

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Important Assumptions
The financial projections of the company are forecast on the basis of the following assumptions. These
assumptions are quite conservative and are expected to show deviation but to a limited level such that
the company’s major financial strategy will not be affected.

Year 1 Year 2 Year 3

Plan Month 1 2 3

Current Interest Rate 10,00% 11,00% 12,00%

Long-term Interest Rate 10,00% 10,00% 10,00%

Tax Rate 26,42% 27,76% 28,12%

Other 0 0 0

Brake-even Analysis

Monthly Units Break-even 5530

Monthly Revenue Break-even $159 740

Assumptions:

Average Per-Unit Revenue $260,87

Average Per-Unit Variable Cost $0,89

Estimated Monthly Fixed Cost $196 410

[YEAR ] Bus ines s Plan | Ev ent Venue 24 / 32

Projected Profit and Loss

Year 1 Year 2 Year 3

Sales $309 069 $385 934 $462 799

Direct Cost of Sales $15 100 $19 153 $23 206

Other $0 $0 $0

TOTAL COST OF SALES $15 100 $19 153 $23 206

Gross Margin $293 969 $366 781 $439 593

Gross Margin % 94,98% 94,72% 94,46%

Expenses

Payroll $138 036 $162 898 $187 760

Sales and Marketing and Other Expenses $1 850 $2 000 $2 150

Depreciation $2 070 $2 070 $2 070

Leased Equipment $0 $0 $0

Utilities $4 000 $4 250 $4 500

Insurance $1 800 $1 800 $1 800

Rent $6 500 $7 000 $7 500

Payroll Taxes $34 510 $40 726 $46 942

Other $0 $0 $0

Total Operating Expenses $188 766 $220 744 $252 722

Profit Before Interest and Taxes $105 205 $146 040 $186 875

EBITDA $107 275 $148 110 $188 945

Interest Expense $0 $0 $0

Taxes Incurred $26 838 $37 315 $47 792

Net Profit $78 367 $108 725 $139 083

Net Profit/Sales 30,00% 39,32% 48,64%

[YEAR ] Bus ines s Plan | Ev ent Venue 25 / 32

Profit Yearly

Profit
15.00k

10.00k

5.00k

0
Year1 Year2 Year3

Financial Year Profit

Year1 10000

Year2 12000

Year3 14000

Gross Margin Yearly

Gross Margin

Year1

Year2

Year3

0 2.00k 4.00k 6.00k 8.00k 10.00k 12.00k 14.00k 16.00k

Financial Year Gross Margin

Year1 10000

Year2 12000

Year3 14000

[YEAR ] Bus ines s Plan | Ev ent Venue 26 / 32

Projected Cash Flow

Cash Received Year 1 Year 2 Year 3

Cash from Operations

Cash Sales $40 124 $45 046 $50 068

Cash from Receivables $7 023 $8 610 $9 297

SUBTOTAL CASH FROM OPERATIONS $47 143 $53 651 $59 359

Additional Cash Received

Sales Tax, VAT, HST/GST Received $0 $0 $0

New Current Borrowing $0 $0 $0

New Other Liabilities (interest-free) $0 $0 $0

New Long-term Liabilities $0 $0 $0

Sales of Other Current Assets $0 $0 $0

Sales of Long-term Assets $0 $0 $0

New Investment Received $0 $0 $0

SUBTOTAL CASH RECEIVED $47 143 $53 651 $55 359

Expenditures from Operations

Cash Spending $21 647 $24 204 $26 951

Bill Payments $13 539 $15 385 $170 631

SUBTOTAL SPENT ON OPERATIONS $35 296 $39 549 $43 582

Additional Cash Spent

Sales Tax, VAT, HST/GST Paid Out $0 $0 $0

Principal Repayment of Current Borrowing $0 $0 $0

Other Liabilities Principal Repayment $0 $0 $0

Long-term Liabilities Principal Repayment $0 $0 $0

Purchase Other Current Assets $0 $0 $0

Purchase Long-term Assets $0 $0 $0

Dividends $0 $0 $0

SUBTOTAL CASH SPENT $35 296 $35 489 $43 882

Net Cash Flow $11 551 $13 167 $15 683

[YEAR ] Bus ines s Plan | Ev ent Venue 27 / 32

 Cash Received Year 1 Year 2 Year 3

Cash Balance $21 823 $22 381 $28 239

[YEAR ] Bus ines s Plan | Ev ent Venue 28 / 32

Projected Balance Sheet

Assets Year 1 Year 2 Year 3

Current Assets

Cash $184 666 $218 525 $252 384

Accounts Receivable $12 613 $14 493 $16 373

Inventory $2 980 $3 450 $3 920

Other Current Assets $1 000 $1 000 $1 000

TOTAL CURRENT ASSETS $201 259 $237 468 $273 677

Long-term Assets

Long-term Assets $10 000 $10 000 $10 000

Accumulated Depreciation $12 420 $14 490 $16 560

TOTAL LONG-TERM ASSETS $980 $610 $240

TOTAL ASSETS $198 839 $232 978 $267 117

Current Liabilities

Accounts Payable $9 482 $10 792 $12 102

Current Borrowing $0 $0 $0

Other Current Liabilities $0 $0 $0

SUBTOTAL CURRENT LIABILITIES $9 482 $10 792 $12 102

Long-term Liabilities $0 $0 $0

TOTAL LIABILITIES $9 482 $10 792 $12 102

Paid-in Capital $30 000 $30 000 $30 000

Retained Earnings $48 651 $72 636 $96 621

Earnings $100 709 $119 555 $138 401

TOTAL CAPITAL $189 360 $222 190 $255 020

TOTAL LIABILITIES AND CAPITAL $198 839 $232 978 $267 117

Net Worth $182 060 $226 240 $270 420

[YEAR ] Bus ines s Plan | Ev ent Venue 29 / 32

Business Ratios

Year 1 Year 2 Year 3 Industry Profile

Sales Growth 4,35% 30,82% 63,29% 4,00%

Percent of Total Assets

Accounts Receivable 5,61% 4,71% 3,81% 9,70%

Inventory 1,85% 1,82% 1,79% 9,80%

Other Current Assets 1,75% 2,02% 2,29% 27,40%

Total Current Assets 138,53% 150,99% 163,45% 54,60%

Long-term Assets -9,47% -21,01% -32,55% 58,40%

TOTAL ASSETS 100,00% 100,00% 100,00% 100,00%

Current Liabilities 4,68% 3,04% 2,76% 27,30%

Long-term Liabilities 0,00% 0,00% 0,00% 25,80%

Total Liabilities 4,68% 3,04% 2,76% 54,10%

NET WORTH 99,32% 101,04% 102,76% 44,90%

Percent of Sales

Sales 100,00% 100,00% 100,00% 100,00%

Gross Margin 94,18% 93,85% 93,52% 0,00%

Selling, General & Administrative Expenses 74,29% 71,83% 69,37% 65,20%

Advertising Expenses 2,06% 1,11% 0,28% 1,40%

Profit Before Interest and Taxes 26,47% 29,30% 32,13% 2,86%

Main Ratios

Current 25,86 29,39 32,92 1,63

Quick 25,4 28,88 32,36 0,84

Total Debt to Total Assets 2,68% 1,04% 0,76% 67,10%

Pre-tax Return on Net Worth 66,83% 71,26% 75,69% 4,40%

Pre-tax Return on Assets 64,88% 69,75% 74,62% 9,00%

Additional Ratios

Net Profit Margin 19,20% 21,16% 23,12% N.A.

Return on Equity 47,79% 50,53% 53,27% N.A.

[YEAR ] Bus ines s Plan | Ev ent Venue 30 / 32

 Year 1 Year 2 Year 3 Industry Profile

Activity Ratios

Accounts Receivable Turnover 4,56 4,56 4,56 N.A.

Collection Days 92 99 106 N.A.

Inventory Turnover 19,7 22,55 25,4 N.A.

Accounts Payable Turnover 14,17 14,67 15,17 N.A.

Payment Days 27 27 27 N.A.

Total Asset Turnover 1,84 1,55 1,26 N.A.

Debt Ratios

Debt to Net Worth 0 -0,02 -0,04 N.A.

Current Liab. to Liab. 1 1 1 N.A.

Liquidity Ratios

Net Working Capital $120 943 $140 664 $160 385 N.A.

Interest Coverage 0 0 0 N.A.

Additional Ratios

Assets to Sales 0,45 0,48 0,51 N.A.

Current Debt/Total Assets 4% 3% 2% N.A.

Acid Test 23,66 27,01 30,36 N.A.

Sales/Net Worth 1,68 1,29 0,9 N.A.

Dividend Payout 0 0 0 N.A.

[YEAR ] Bus ines s Plan | Ev ent Venue 31 / 32

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