An axe-throwing business is a recreational establishment where customers can throw axes at wooden targets for fun. Typically, customers pay an hourly fee to use the facility and receive basic instructions on how to safely throw an axe.
The targets are typically made of wood and are marked with scoring rings. The business may also offer other activities such as beer or wine tasting, food service, or team-building events. Axe throwing has become a popular activity in recent years, particularly in North America.
It is a unique and thrilling way to spend time with friends, family, or colleagues. The activity requires a certain level of skill and technique but is generally accessible to people of all ages and fitness levels. Many axe-throwing businesses offer leagues or tournaments for more serious enthusiasts, as well as private events for parties or corporate team-building exercises.
An axe-throwing business can be considered a part of the indoor recreation industry and available data shows that the market size of indoor entertainment centers crossed USD 45 billion in 2021 and is anticipated to grow at a CAGR of over 10 percent between 2022 and 2028.
Steps on How to Write an Axe throwing Business Plan
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Executive Summary
Denzel Warrington® Axe Throwing Center, Inc. is an axe throwing business that will be based in Dallas, Texas, and provide customers with a unique and exciting recreational experience. Our facility offers a fun and safe environment for people of all ages and skill levels to enjoy the thrill of axe throwing.
We are located in a prime location with easy access to major highways and public transportation. Our target market is individuals and groups who are looking for a fun and exciting activity to do with friends, family, or colleagues. We also offer leagues and tournaments for more serious enthusiasts, as well as private events for parties or corporate team-building exercises.
We differentiate ourselves from other axe-throwing businesses by providing exceptional customer service, top-quality equipment, and a welcoming and inclusive environment.
Our team of experienced coaches is dedicated to ensuring that our customers have a great experience and feel confident and safe while throwing axes.Daniel Rudolph is the founder and CEO of Denzel Warrington® Axe Throwing Center, Inc.
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Company Profile
a. Our Products and Services
Denzel Warrington® Axe Throwing Center, Inc. will offer services that include;
- Axe throwing lanes
- Equipment rental (axes, safety equipment, and other necessary gear to participate in the activity.
- Coaching and instruction
- Leagues and tournaments
- Private events (birthday parties, bachelor/bachelorette parties, or corporate team-building exercises)
- Food and beverage (beer and wine, snacks, or even full-service dining)
- Merchandise (t-shirts, hats, or other souvenirs)
b. Nature of the Business
Our axe throwing will operate as a B2C – Business to consumer business model. We will offer our services directly to the end user without any middleman arrangement.
c. The Industry
Denzel Warrington® Axe Throwing Center, Inc. will operate in the Indoor recreation industry.
d. Mission Statement
At Denzel Warrington® Axe Throwing Center, Inc., our mission is to provide a safe, fun, and inclusive environment where individuals and groups can come together to enjoy the exciting activity of axe throwing. We are dedicated to providing exceptional customer service, top-quality equipment, and experienced coaching to ensure that every customer has a great experience and feels confident while throwing an axe.
e. Vision Statement
Our vision is to be the premier axe-throwing destination in our region, known for our exceptional customer service, quality equipment, and inclusive environment. We strive to create a community of axe-throwing enthusiasts who feel welcome and supported.
Through our commitment to excellence and dedication to our customers, we aim to become a leader in the indoor recreation industry.
f. Our Tagline (Slogan)
Denzel Warrington® Axe Throwing Center, Inc. – The Melting Pot for Indoor Entertainment!
g. Legal Structure of the Business (LLC, C Corp, S Corp, LLP)
Denzel Warrington® Axe Throwing Center, Inc. will be formed as a Limited Liability Company, LLC.
h. Our Organizational Structure
- Chief Operating Officer (Owner)
- Facility Manager
- Accountant/Cashier
- Marketing and Sales Officer
- Coach/Instructor/Assistant (5)
- Customer Care Executive/Front Desk Officer
- Cleaners
- Security Officers
i. Ownership/Shareholder Structure and Board Members
- Denzel Warrington (Owner and Chairman/Chief Executive Officer) 51 Percent Shares
- Rowland Fredrick (Board Member) 19 Percent Shares
- Stanley Oscar (Board Member) 10 Percent Shares
- James Patrick (Board Member) 10 Percent Shares
- Rita Milton (Board Member and Secretary) 10 Percent Shares.
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SWOT Analysis
a. Strength
- Unique and thrilling activity that appeals to a wide range of customers
- Strong potential for repeat business and customer loyalty
- High-profit margins due to low overhead costs and high hourly rates
- Potential for additional revenue streams through food and beverage sales, merchandise, and private events
- Ability to offer leagues and tournaments to attract serious enthusiasts and foster a sense of community.
b. Weakness
- High initial start-up costs for facility rental, equipment, and safety measures
- Potential safety concerns that could lead to liability issues
- Dependence on discretionary income and the overall economic climate
- Relatively limited market reach, as the activity may not appeal to everyone.
c. Opportunities
- Expanding the business to additional locations or regions
- Partnering with other local businesses to offer package deals or promotions
- Developing and offering unique, axe-throwing-related merchandise
- Establishing relationships with corporate clients to provide team-building events or office parties
- Expanding the customer base through targeted marketing and advertising efforts.
i. How Big is the Industry?
The indoor recreation industry that the axe-throwing business is a part of is a big and growing industry.
ii. Is the Industry Growing or Declining?
The indoor recreation industry is a growing industry and as a matter of fact, available statistic shows that the market size of indoor entertainment centers crossed USD 45 billion in 2021 and is anticipated to grow at a CAGR of over 10 percent between 2022 and 2028.
iii. What are the Future Trends in the Industry
The Indoor recreation industry cum axe-throwing sector is changing, and players in the industry are improvising. No doubt, technology, and customized software will change the landscape of the Indoor recreation industry going forward.
iv. Are There Existing Niches in the Industry?
No, there are no niche ideas when it comes to axe throwing line of business. This is so because axe throwing business is a niche idea in the Indoor recreation industry.
v. Can You Sell a Franchise of Your Business in the Future?
Denzel Warrington® Axe Throwing Center, Inc. has plans to sell franchises in the nearest future and we will target major cities with growing working class and families in the United States of America.
d. Threats
- Competition from other indoor recreation businesses or similar axe-throwing establishments
- Changes in regulations or safety requirements that could impact the business’s operations
- Economic downturns or recessions that could lead to decreased demand for recreational activities
- Negative media attention or public perception of axe throwing as a dangerous activity
- Potential for accidents or injuries that could harm the business’s reputation and financial stability.
i. Who are the Major Competitors?
- Bad Axe Throwing
- Kick Axe Throwing
- Bury the Hatchet
- Agawam Axe House
- Urban Axes
- Lumberjaxe
- Stumpy’s Hatchet House
- Iron Nation Axe Throwing
- Civil Axe Throwing
- Axe Monkeys
- Ragnarok Axe Throwing
- Valhalla’s Gate
- The Axe House
- The Bullpen
- Montana Nights Axe Throwing
- Tomahawks Axe Throwing
- The Throwing Lab
- Blade & Timber
- Choppers Hatchet House
- Epic Axe Throwing.
ii. Is There a Franchise for Axe Throwing Business?
Yes, there are franchise opportunities for axe throwing business, and here are some of them;
- BATL – Backyard Axe Throwing League
- Bad Axe Throwing
- Lumberjaxe
- Urban Axes
- Stumpy’s Hatchet House
- Class Axe Throwing
- The Axe Pit
- The Throwing Lab
- Bury The Hatchet
- Blade & Timber
- Agawam Axe House
- Montana Nights Axe Throwing
- Tomahawks Axe Throwing
- Flying Axes
- Civil Axe Throwing
- Splitting Edge Axe Throwing
- Thunderbolt Axe Throwing
- Blackbeard’s Axe Throwing
- Smoky Mountain Axe House
- Montana Axe Throwing Co.
iii. Are There Policies, Regulations, or Zoning Laws Affecting Axe Throwing Business?
Yes, there are various policies, regulations, and zoning laws that can affect an axe-throwing business in the United States. These can vary by state and municipality, and it’s important for business owners to research and comply with all applicable laws and regulations.
Axe-throwing businesses are typically subject to safety regulations from various agencies, such as the Occupational Safety and Health Administration (OSHA) and the National Institute for Occupational Safety and Health (NIOSH). These regulations may cover areas such as equipment maintenance, training and certification of coaches, and proper safety protocols for customers.
Many axe-throwing businesses also serve alcohol, and as such, must comply with state and local laws governing the sale and consumption of alcohol. This may include obtaining a liquor license, adhering to specific hours of operation, and ensuring that customers are not served alcohol to the point of intoxication.
Axe-throwing businesses may also be subject to local zoning laws, which regulate the use of certain properties or areas for specific purposes. It’s important to research and comply with all applicable zoning laws, which may include obtaining permits, adhering to specific business hours, and meeting building and safety codes.
Axe-throwing businesses may be required to carry liability insurance to protect against accidents or injuries that may occur on the premises. Insurance requirements can vary by state and municipality, so it’s important to research and comply with all applicable laws and regulations.
Please note that some states may have age restrictions on who can participate in axe throwing, typically requiring participants to be 18 or older. It is important to research and comply with all applicable age restrictions to avoid legal issues.
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Marketing Plan
a. Who is Your Target Audience?
i. Age Range
Our target market falls between 12 years to 65+ years
ii. Level of Educational
We don’t have any basic educational qualifications for those we are targeting; everyone who falls within our target age range is welcome to use our axe-throwing facility.
iii. Income Level
Anyone who can afford our membership fee will be welcome to make use of our axe-throwing facility.
iv. Ethnicity
There is no restriction when it comes to the ethnicity of the people we are looking forward to welcoming to our axe-throwing facility.
v. Language
There is no restriction when it comes to the language spoken by the people we are looking forward to welcoming to our axe-throwing facility.
vi. Geographical Location
Anybody from any geographical location will be welcome in our axe-throwing facility.
vii. Lifestyle
Denzel Warrington® Axe Throwing Center, Inc. will not restrict any patron of our axe-throwing facility based on their lifestyle, culture, or race.
b. Advertising and Promotion Strategies
- Host Themed Events That Catch the Attention of Potential Clients.
- Tap Into Text Marketing.
- Use FOMO to Run Photo Promotions.
- Share Your Events in Local Groups and Pages.
- Turn Your Social Media Channels into a Resource
- Develop Your Business Directory Profiles
- Build Relationships with other healthcare service providers and related organizations in our Area
i. Traditional Marketing Strategies
- Marketing through Direct Mail.
- Print Media Marketing – Newspapers & Magazines.
- Broadcast Marketing -Television & Radio Channels.
- OOH Marketing – Public Transit like Buses and Trains, Billboards, Street shows, and Cabs.
- Leverage direct sales, direct mail (postcards, brochures, letters, fliers), tradeshows, print advertising (magazines, newspapers, coupon books, billboards), referral (also known as word-of-mouth marketing), radio, and television.
ii. Digital Marketing Strategies
- Social Media Marketing Platforms.
- Influencer Marketing.
- Email Marketing.
- Content Marketing.
- Search Engine Optimization (SEO) Marketing.
- Affiliate Marketing
- Mobile Marketing.
iii. Social Media Marketing Plan
- Start using chatbots.
- Create a personalized experience for each of our clients.
- Create an efficient content marketing strategy.
- Create a community for our freelance marketers and influencers.
- Gear up our profiles with a diverse content strategy.
- Use brand advocates.
- Create profiles on relevant social media channels.
- Run cross-channel campaigns.
c. Pricing Strategy
Denzel Warrington® Axe Throwing Center, Inc. will adopt the following pricing strategies:
- Cost-Plus Pricing
- Value-Based Pricing
- Competitive Pricing
- Dynamic Pricing
- Bundle Pricing
Please note that our pricing strategy is based on a careful analysis of the costs and profitability of the business, as well as the needs and preferences of the target customer base.
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Sales and Distribution Plan
a. Sales Channels
Our channel sales strategy will involve using partners and third parties—such as referral partners, affiliate partners, freelance marketers, and social media influencers to help refer clients to us.
Denzel Warrington® Axe Throwing Center, Inc. will also leverage the 4 Ps of marketing which are place, price, product, and promotion. By carefully integrating all these marketing strategies into a marketing mix, we can have a visible, in-demand service that is competitively priced and promoted to our clients.
b. Inventory Strategy
The fact that we will need axe throwing supplies per time means that Denzel Warrington® Axe Throwing Center, Inc. will operate an inventory strategy that is based on a day-to-day methodology for ordering, maintaining, and processing items in our warehouse.
We will develop our strategy with the same thoroughness and attention to detail as we would if we were creating an overall strategy for the business.
c. Payment Options for Customers
Here are the payment options that Denzel Warrington® Axe Throwing Center, Inc. will make available to her donors and contributors;
- Bank Transfers
- Credit or Debit Card
- Cash
- Checks
- Electronic Payment Systems such as PayPal or Venmo.
d. Return Policy, Incentives, and Guarantees
Return Policy: As an Axe Throwing Center, we will implement a return policy that allows customers to cancel their booking or reschedule for a future date if they are unable to attend due to unforeseen circumstances. This can be communicated clearly on your website, social media pages, or booking confirmation email.
Additionally, we will also consider offering refunds or credits for canceled bookings, depending on our center’s policies at the moment.
- Incentives
To encourage repeat business and positive customer reviews, we will offer various incentives to customers. We will offer loyalty programs where customers earn points for every visit and can redeem them for discounts or freebies. We will also offer special discounts to customers who refer friends or family to our center.
We will also offer promotions or themed events during holidays or special occasions, such as Halloween or Valentine’s Day.
- Guarantees
As an Axe Throwing Center, we will guarantee the safety and quality of our services to our customers. We will do this by ensuring that all equipment is well-maintained and that all staff are trained in safety protocols and are available to assist customers as needed.
We will also offer a satisfaction guarantee where customers can provide feedback and request refunds or discounts if they are not satisfied with their experience. Finally, we will guarantee that all customers will have a fun and enjoyable experience at our center, by providing excellent customer service and a friendly atmosphere.
e. Customer Support Strategy
Our customer support strategy will involve ensuring that clients have easy access to contact the axe-throwing business through multiple communication channels, such as email, phone, and social media. We will also make sure that all contact information is clearly displayed on the business’s website and promotional materials.
We will foster a culture of putting clients first, where staff are trained to listen actively and empathize with clients’ needs. We will encourage staff to go the extra mile to ensure clients feel valued and supported. We will implement a CRM system to manage client data, track appointments, and follow-up activities.
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Operational Plan
Our operational plan will cover involve developing and marketing a range of axe-throwing programs and services that cater to clients with different needs, including children and people with disabilities, veterans, and professionals.
Overall, we plan to expand our revenue by 25 percent in the second year and the plan will include a marketing, sales, and operations component. The operations component of the plan would include attracting partnerships and referrals that will enable the firm to boost our service offerings and support revenue growth.
a. What Happens During a Typical Day at an Axe Throwing Center?
- Before opening the doors, staff at the center typically clean the facility, inspect the equipment, and make sure everything is in good condition for customers.
- Conducting axe-throwing sessions
- Throughout the day, staff members monitor customers and the facility to ensure that everyone is following safety protocols and that equipment is in good working condition. They may also restock supplies or perform minor maintenance tasks as needed.
- Staff members also answer questions from customers regarding the facility, booking inquiries, or general inquiries about the game.
- At the end of the day, staff members clean up the facility and prepare it for the next day of operations.
b. Production Process
There is no production process when it comes to an axe-throwing business.
c. Service Procedure
Once the center is open, staff members greet customers, check them in, and provide a brief orientation on safety procedures and the rules of the game. Staff members then assist customers in selecting their axes and provide instructions on proper throwing techniques. They may also lead games or competitions among customers.
Managing the facility: Throughout the day, staff members monitor customers and the facility to ensure that everyone is following safety protocols and that equipment is in good working condition. They may also restock supplies or perform minor maintenance tasks as needed.
Staff members also answer questions from customers regarding the facility, booking inquiries, or general inquiries about the game.
d. The Supply Chain
Denzel Warrington® Axe Throwing Center, Inc. will establish a business relationship with wholesale supplies of axe throwing supplies and merchandise.
e. Sources of Income
Denzel Warrington® Axe Throwing Center, Inc. makes money from;
- Booking fees
- Walk-in fees
- Private events such as corporate team building activities, birthday parties, or bachelor/bachelorette parties for which they charge a flat fee.
- Food and beverage sales
- Merchandise sales
- Memberships and loyalty programs
- Advertising and sponsorships.
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Financial Plan
a. Amount Needed to Start Our Axe Throwing Business?
Denzel Warrington® Axe Throwing Center, Inc. would need an estimate of $450,000 to successfully set up our axe throwing center in the United States of America. Please note that this amount includes the salaries of all our staff for the first month of operation.
b. What are the Costs Involved?
- Business Registration Fees – $750.
- Legal expenses for obtaining licenses and permits – $7,300.
- Marketing, Branding, and Promotions – $5,000.
- Business Consultant Fee – $2,500.
- Insurance – $5,400.
- Rent/Lease – $180,000.
- Other start-up expenses include commercial satellite TV subscriptions, stationery ($500), and phone and utility deposits ($2,800).
- Operational Cost (salaries of employees, payments of bills et al) – $40,000
- start-up inventory – $5,000
- Store Equipment (cash register, security, ventilation, signage) – $4,750
- Equipment and maintenance – $50,000
- Website: $600
- Opening party: $3,000
- Miscellaneous: $2,000
c. Do You Need to Build a Facility? If YES, How Much Will It Cost?
Denzel Warrington® Axe Throwing Center, Inc. will not build a new facility for our axe throwing center; we intend to start with a long-term lease and after 5 years, we will start the process of acquiring our own facility.
d. What are the Ongoing Expenses for Running an Axe Throwing Business?
- Rent or lease payments
- Utilities such as electricity, gas, water, and other utilities needed to operate the facility
- Equipment maintenance
- Insurance
- Staff salaries.
- Marketing and advertising
- Supplies such as paper towels, trash bags, cleaning products, and other items needed to maintain the facility
- Taxes and permits
- Credit card processing fees
- Renting additional equipment.
e. What is the Average Salary of your Staff?
- Chief Executive Officer (Owner) – $55,000 per year
- Facility Manager – $40,000 per year
- Accountant/Cashier – $36,0000
- Marketing and Sales Officer – $35,000 per year
- Coach/Instructor/Assistant (5) – $35,000 per year
- Customer Care Executive/Front Desk Officer – $25,396 per year
- Cleaners – $22,000 per year
- Security Officers – $21,150 per year.
f. How Do You Get Funding to Start an Axe throwing Business?
- Raising money from personal savings and sale of personal stocks and properties
- Applying for a loan from your bank/banks
- Pitching our business idea and applying for business grants and seed funding from the government, donor organizations, and angel investors
- Source for soft loans from our family members and friends.
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Financial Projection
a. How Much Should You Charge for Your Product/Service?
At Denzel Warrington® Axe Throwing Center, Inc. our typical session lasts for about 1-2 hours, and will cost about $20 to $50 per person.
b. Sales Forecast?
- First Fiscal Year (FY1): $260,000
- Second Fiscal Year (FY2): $370,000
- Third Fiscal Year (FY3): $520,000
c. Estimated Profit You Will Make a Year?
- First Fiscal Year (FY1): 20%
- Second Fiscal Year (FY2): 30%
- Third Fiscal Year (FY3): 35%
d. Profit Margin of an Axe Throwing Center
The ideal profit margin we hope to make at Denzel Warrington® Axe Throwing Center, Inc. will be between 10 and 25 percent on service charges.
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Growth Plan
a. How do you intend to grow and expand? By opening more retail outlets/offices or selling a franchise?
Denzel Warrington® Axe Throwing Center, Inc. will grow our axe-throwing business by first opening other facilities in key cities in the United States of America within the first five years of establishing the organization and then will start selling franchises from the tenth year.
b. Where do you intend to expand to and why?
Denzel Warrington® Axe Throwing Center, Inc. plans to expand to;
- Indianapolis, IN
- Las Vegas, NV
- Columbia, SC
- Joplin, MO
- Knoxville, TN
- Kalispell, MT
- Easley, SC
- Rockford, IL
- Cherry Hill, NJ
- Durham, NC.
The reason we intend to expand to these locations is the fact that these cities have a promising market for axe-throwing centers and indoor entertainment centers generally.
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Exit Plan
The founder of Denzel Warrington® Axe Throwing Center, Inc. intends to build a family business hence our exit plan will be family succession.
For that reason, the founder Denzel Warrington is already grooming his son Dexter Warrington to take over from him. Dexter Warrington is at the moment being groomed to go through the company’s employment process without any bias.